MMG LXML provides final dividend for 2014
MMG LXML provides final dividend for 2014
MMG Lane Xang Minerals Limited (LXML) Sepon has made a final US$5 million dividend payment for 2014 to the Lao government.
A cheque was handed over yesterday in Vientiane by the MMG LXML Sepon External Relations Manager, Mr Robin Hamilton Coates to the Ministry of Finance State Owned Enterprise Department Deputy Director General, Mr Akhavone Louangsouvannavong, attended by officials from both sides.
This brings the total dividend paid by LXML to the Lao government in 2014 to US$10 million.
“As a large taxpayer, LXML is proud of our contribution to socio-economic development in Laos,” said Mr Coates.
LXML stands committed to cooperating in close partnership with the Lao government to focus on training and community development to enhance sustainable livelihoods near the Sepon mine.
The Lao gove rnment owns a 10 percent share in LXML and has received over US$1.3 billion in direct revenue including taxes, royalties and dividends since the Sepon mine commenced operations in 2003.
MMG Limited (MMG), which owns the Sepon mine in Savannakhet province, delivered a total profit of US$99.2 million in 2014. MMG achieved stable revenue of US$2.479 billion due to record copper sales, offset by lower average realised copper prices.
MMG operates copper, zinc and other base metals projects across Australia, the Democratic Republic of the Congo, Laos and Peru. MMG acquired the Las Bambas copper project in Peru in 2014. It is establishing a platform for future growth in Peru and Africa.
MMG Lane Xang Minerals Limited Sepon (LXML) contributed US$620.2 million in revenue, 17 percent lower than the previous year 2013. Revenue was impacted by a six percent fall in average copper prices.
LXML also completed its first full year as a dedicated copper operation following the cessation of gold production in December 2013.
LXML produced 88,541 tonnes of copper cathode in 2014, two percent below 2013. LXML's 2015 guidance is 80,000–87,000 tonnes of copper cathode at a C1 cost of US$1.10–US$1.20/lb.
Sepon is transitioning to the next phase of mine life with declining ore grades and higher content of carbonates in the ore.
These factors will impact production and the future profitability of the mine.
