Centamin PLC Announces Payments to Government

Rhea-AI Summary

Centamin reported its audited financial results for the twelve months ending December 31, 2022, disclosing payments to governments totaling USD 62,544,010. The payments include profit share of USD 35,492,459, corporate taxes of USD 2,610,782, and royalties of USD 22,445,810. The company emphasizes its commitment to transparency, adhering to UK and Canadian laws requiring such disclosures. In terms of community engagement, Centamin invested in local projects, including renovations and support programs, reflecting its dedication to responsible mining practices.

Positive

• Total payments to governments were reported at USD 62,544,010 for 2022.
• The profit share allocated to governments reached USD 35,492,459, indicating strong financial performance.
• Community investments reflect commitment to social responsibility, enhancing local relations.

Negative

• None.

Audited results for the twelve months ended 31 December 2022

PERTH, AUSTRALIA / ACCESSWIRE / March 16, 2023 / Centamin's mining operations, including exploration projects, generate economic benefit for the countries and communities where we operate through payments to government, employee and contractor wages, payments to suppliers and contractors, vocational training, community investment and academic investment. We care deeply about the communities and environments with which we operate. Fundamental to creating lasting stakeholder relationships is good governance, including reliable, transparent disclosure.

In accordance with the Payments to Governments Regulations of 2014 (the "Regulations"), this report provides an overview of the Centamin's payments to governments.Whilst the Regulations are a part of UK law, and the Company is governed by Jersey law, they are applicable by virtue of the Company's listing on the London Stock Exchange (pursuant to Disclosure and Transparency Rule 4.3A).

The Regulations require companies active in the extractive industries to report certain payments they have made to their host governments in the form of taxes, bonuses, royalties, fees and for infrastructure improvements. The Regulations implement Chapter 10 of the EU Accounting Directive. The Regulations are part of an EU‑wide effort to curb corruption and promote transparency in the extractives sector. Their stated objectives are to provide citizens of resource‑rich countries with the information they need to hold their governments to account; and to provide greater insight (for investors and all other stakeholders) into how the sector operates and the range of economic contributions that can result.

The Regulations require disclosure of the following:

a) production entitlements

b) taxes levied on the income, production or profits of companies, excluding taxes levied on consumption such as value added taxes, personal income taxes or sales taxes

c) royalties

d) dividends, other than dividends paid to a government as an ordinary shareholder unless they are paid in lieu of a production entitlement or royalty

e) signature, discovery and production bonuses

f) licence fees, rental fees, entry fees and other considerations for licences and/or concessions, and

g) payments for infrastructure improvements.

Where a payment or series of related payments do not exceed GBP86,000 they do not need to be disclosed but, in the interests of transparency, the Company has included these costs.

The Company is also subject to equivalent Canadian legislation - the Extractive Sector Transparency Measures Act ("ESTMA") which came into force on 1 June 2015. Canada's requirements are aligned with those in the EU Directive and this report is deemed equivalent for Canadian purposes.

Payments in this report have been disclosed in US dollars, which is the Company's reporting currency. Where actual payments have been made in a local currency they have been converted using the prevailing exchange rate at the time of the payment.

SUMMARY TABLE SHOWING PAYMENTS MADE TO GOVERNMENTS MADE

during the year ended 31 December 2022 in US dollars ("USD")

TYPE	NOTE	EGYPT	BURKINA FASO	CÔTE D'IVOIRE	TOTAL
Profit share		35,492,459	-	-	35,492,459
Corporate taxes	(i)	2,610,782	-	-	2,610,782
Royalties		22,445,810	-	-	22,445,810
Exploration licence fees		-	4,504	301,780	306,284
Mining and other licence fees		424,465	677,895	-	1,092,747
Community investment and donations	(ii)	492,963	-	93,352	594,830
		61,466,479	682,400	395,132	62,544,010

(i) In accordance with the Regulations, this figure excludes taxes levied on consumption such as VAT, payroll, or sales taxes.

(ii) Community investment in Egypt: Renovation for the Marsa Alam youth centre, karate playground and kids play area facilities, donation of medical equipment for Marsa Alam hospital, purchase of sewing machines and fabric for the Marsa Alam community and support for other community development initiatives..

Community investment in Cote d'Ivoire: Community HIV awareness programs, new boreholes and rehabilitation of old boreholes for community water needs, supporting local football tournament and other community engagement initiatives

PAYMENTS SPLIT BY PAYEE

during the year ended 31 December 2022 in USD

COUNTRY / PROJECT	NOTE	PAYEE	ROYALTIES	PROFIT SHARE	TAXES	LICENSE OR PERMIT FEES	OTHER	TOTAL
EGYPT:	(iii)
Sukari Gold Mine		Arab Republic of Egypt	-	-	-	-	-	-
		Egyptian Mineral Resources Authority	22,445,810	35,492,459	-	-	-	57,938,269
		Egyptian Tax Authority	-	-	2,610,782	-	-	2,610,782
		Other payees	-	-	-	424,465	492,963	917,428
BURKINA FASO:
Konkera Project	(iv)	Ministry of Mines	-	-	-	668,282	-	668,282
		Burkina Faso Tax Office	-	-	-	-	-	-
		Other payees	-	-	-	-	1,099	1,099
BURKINA FASO:
Exploration projects		Ministry of Mines	-	-	-	4,504	-	4,504
		Burkina Faso Tax Office	-	-	-	-	-	-
		Other payees	-	-	-	-	8,515	8,515
CÔTE D'IVOIRE:
Exploration projects	(iv)	Ministry of Mines	-	-	-	301,780	-	301,780
		Côte d'Ivoire Tax Office	-	-	-	-	-	-
		Other payees	-	-	-	-	93,352	93,352
			22,445,810	35,492,459	2,610,782	1,399,031	595,928	62,544,010

(iii) Other types of payments that are required to be disclosed in accordance with the Regulations include production entitlements; signature, discovery, and production bonuses; and dividends. The Company and its subsidiaries did not make any such payments to governments during the year.

(iv) In accordance with the definition of 'project' in the Regulations, the Company treats its exploration licence holding areas in Côte d'Ivoire and Burkina Faso as single projects each for the purposes of the Regulations. This is because the licence areas are operationally and geographically linked.

This announcement contains ongoing regulated information.

ABOUT CENTAMIN

Centamin is an established gold producer, with premium listings on the London Stock Exchange and Toronto Stock Exchange. Following a period of 'reset' including a significant refresh of the Board and management team, the Company is now entering a growth phase, balanced with stakeholder returns. The Company's flagship asset is the Sukari Gold Mine ("Sukari"), Egypt's largest and first modern gold mine, as well as one of the world's largest producing mines. Since production began in 2009 Sukari has produced over 5 million ounces of gold, and today has 6.0Moz in gold Mineral Reserves. Through its large portfolio of exploration assets in Egypt and Côte d'Ivoire, Centamin is advancing an active pipeline of future growth prospects, including the Doropo project in Côte d'Ivoire, and has over 3,000km² of highly prospective exploration ground in Egypt's Nubian Shield.

Centamin practices responsible mining activities, recognising its responsibility to deliver operational and financial performance and create lasting mutual benefit for all stakeholders through good corporate citizenship, including but not limited to in 2022, achieving new safety records (8 million hours LTI-free), commissioning of the largest hybrid solar farm for a gold mine (Sukari 36MW_DC solar plant), sustaining a 96% Egyptian workforce and a 68% Egyptian supply chain at Sukari.

FOR MORE INFORMATION please visit the website www.centamin.com or contact:

Centamin plc Alexandra Barter-Carse, Head of Corporate Communications investor@centaminplc.com

FTI Consulting Ben Brewerton / Sara Powell / Nick Hennis +442037271000 centamin@fticonsulting.com

LEI: 213800PDI9G7OUKLPV84
Company No: 109180

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

SOURCE: Centamin PLC

View source version on accesswire.com:
https://www.accesswire.com/744126/Centamin-PLC-Announces-Payments-to-Government

FAQ

What were Centamin's total payments to governments in 2022?

Centamin's total payments to governments in 2022 amounted to USD 62,544,010.

How much profit share did Centamin report for 2022?

Centamin reported a profit share of USD 35,492,459 for the year 2022.

What royalties did Centamin pay in 2022?

Centamin paid royalties totaling USD 22,445,810 in 2022.

What community investments did Centamin make in 2022?

Centamin invested in community projects such as renovations and support programs in various regions.

How does Centamin ensure transparency in its operations?

Centamin complies with UK and Canadian laws requiring disclosure of payments made to governments.