OceanaGold (Philippines) Inc. (OGP) has remitted P466.86 million in additional share (AGS) to the national government for its fiscal year in 2024.
In a statement on Thursday, the company said the payment was formally turned over on April 30 at the Mines and Geosciences Bureau (MGB) Central Office in Quezon City.
The OGP remittance brings the total AGS payment to almost P1.6 billion, over the last two years pursuant to the terms of its Financial or Technical Assistance Agreement (FTAA).
MGB director Michael Cabalda said, “OceanaGold’s significant contribution to the national treasury, demonstrated by this AGS payment, underscores that mining, when done responsibly, becomes a powerful engine for nation-building and ensures that our people benefit meaningfully from the country’s mineral wealth, while creating an environment where responsible investors can thrive.”
He added that OGP’s consistent remittances, “even amid shifts in global markets and production cycles, reaffirm its role as a reliable partner of the Philippine government under the FTAA.”
Joan Adaci-Cattiling, OGP president and general manager for external affairs and social performance, said their mining operations support both the Philippine government and nation building efforts.
“This significant contribution of almost P1.6 billion in cumulative AGS payments exemplifies the substantial economic benefits that responsible mining can bring,” she said.
This year’s AGS payment is on top of the P870 million in excise taxes and P512 million local taxes and fees that were paid last year.
Under the FTAA, the government and OGP share the net revenue from the Didipio gold-copper Mine in Luzon on a 60-40 basis, where the government receives 60 percent of the net revenue and OGP takes 40 percent.
The parties said such arrangement is based on the principle that the government should receive a fair economic return for its mineral natural resources, while OGP is entitled to a reasonable return on its investments.
Under the terms of the FTAA, all taxes and fees paid to the government are deducted from the government’s 60 percent share of net revenue to arrive at any additional government share payable.
In 2024, the mining firm spent P220 million to support initiatives in education, healthcare, livelihood enhancement, and infrastructure improvement in host and neighboring barangays.
OGP invested P203 million and P102 million in community and provincial development initiatives in the provinces of Nueva Vizcaya and Quirino.
The company currently explores the Didipio copper and gold mine traversing the provinces of Nueva Vizcaya and Quirino.
OGP projects the Didipio mine to produce 85,000 to 105,000 ounces of gold and 13,000 to 15,000 tons of copper this year.
