Australian news, and some related international items

BHP won’t pay a cent of Mineral Resources Rent Tax from Olympic Dam uranium mine profits

March 16, 2012 With copper, uranium, gold and silver not covered by the Mineral Resources Rent Tax, profits from biggest hole in the ground ever dug on the face of this planet, the Olympic Dam mine, will be excluded the Greens said.Greens Senator forSouth Australia, Senator Penny Wright, told the Senate last night, that while the tax was a first step towards more efficient taxation of the benefits of the mining boom, not a single cent derived from the Minerals Resources Rent Tax (MRRT) would come from the Olympic Dam mine.

“Olympic Dam is one of our largest mines and is expected to raise billions of dollars of profits from the copper, uranium, gold and silver mined there – yet not one of these minerals will be included in the MRRT,” Senator Wright said.

“The owners of this massive hole, BHP Billiton, are smiling all the way to the bank.   Their deal with the South Australian Government locks in pitifully low royalty rates for 45 years, with no guarantees of one extra job in the state, and the government footing the bill for infrastructure.  And Australians will not receive a cent from the mine under the MRRT.

“The net economic return toSouth Australiain years 10-20 of the project could be as low as $10m per year and that is even before millions are given back to BHP Billiton through federal subsidies like the diesel fuel rebate.

“But the real losers of this deal are our children and grandchildren – we are giving their resources away for a pittance while at the same time leaving them to deal with the enormous toxic legacy of managing the world’s largest radioactive waste dump.

“The Greens will ultimately support this tax, because in this case, something is better than nothing. But there is no doubt that this taxation regime needs to be strengthened so we can all get a fair return for our shared mineral wealth and invest it in things that will benefit all Australians like Denticare, the NDIS and quality public education.”


March 16, 2012 - Posted by | AUSTRALIA - NATIONAL, Olympic Dam, politics, uranium |

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