Battle Mountain Gold Co. says Lihir SML granted.HOUSTON--(BUSINESS WIRE)--March 17, 1995--Battle Mountain Gold Co. (NYSE NYSE See: New York Stock Exchange :BMG BMG Bundesministerium für Gesundheit (Germand: Federal Ministry for Health) BMG Be My Girl BMG Blue Man Group BMG Bertelsmann Music Group BMG Be My Guest BMG Browning Machine Gun BMG Bulk Metallic Glass ) Friday said that the long awaited Special Mining Lease for the Lihir gold project in Papua New Guinea Papua New Guinea (păp`  ə, –y has been executed by the Governor General of PNG (Portable Network Graphics) A bitmapped graphics file format endorsed by the World Wide Web Consortium. It is expected to eventually replace the GIF format, because there are lingering legal problems with GIFs. , Wiwa Korowi, on the advice of the country's National Executive Committee. The signing clears the way for the financing and development of the 600,000 ounce per year project, in which BMG's 51.4 percent owned subsidiary Niugini Mining Limited (NML (language) nML - A specification language for instruction sets, based on attribute grammars, for back-end generators. ["The nML Machine Description Formalism", M. Freericks <mfx@cs.tu-berlin.de> TR TU Berlin, FB20, Bericht 1991/15]. ) will own a 30 percent interest. BMG Chairman Karl E. Elers noted that other agreements also signed at the ceremony will govern the ownership of the project and provide the legal and financial framework for the development and operation of the Lihir mine. Agreement between the Joint Ventures, the State and the Lihir Landowners has been substantially reached to provide for the ongoing compensation and social well-being of the original owners of the land which is to be developed. Formal execution of Agreement with the landowners is scheduled to take place at a ceremony to be held on Lihir Island in the near future. Following the completion of various purchase agreements, the ownership of the project will be divided 30 percent to NML, 30 percent to the PNG government and landowners and 40 percent to a subsidiary of RTZ RTZ Rio Tinto Zinc RTZ Return To Zero RTZ Return to Zork (game) RTZ Retail Trade Zone Corp. plc. The various parties will pool their interests into a company called Lihir Gold Limited (LGL LGL Legal (paper) LGL Large Granular Lymphocyte LGL Lown-Ganong-Levine Syndrome LGL Bayerischen Landesamtes für Gesundheit und Lebensmittelsicherheit LGL Luxair, Luxembourg (ICAO code) ), which is to be formed and become the vehicle for developing and operating the project. Some 40 percent of the funding for the development of the $671 million Lihir project is expected to come from the sale of equity in LGL in international markets in 1995. The balance of the funding will come from debt financing by LGL and partner contributions prior to the sale of LGL equity. Construction of the Lihir mine is expected to take approximately 27 months following project funding. Project life is expected to be 37 years based on the current mine plan, with cash production costs averaging about $206 per ounce during the first 15 years. The potential for significant expansion exists, and will be studied by LGL. CONTACT: Battle Mountain Gold Co. Les Van Dyke, 713/653-7248 |
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