I typically like the Greens, and agree 3.5% for mining royalties is a bit slim, but the timing of this proposal is woeful. Get the open-cut ODX up and running, then increase the royalty rate.
4 days til the ODX EIS is released!
http://www.abc.net.au/news/stories/2009 ... n=business
Greens MP Mark Parnell says BHP Billiton should be paying higher royalties for its Olympic Dam mine in outback South Australia.
Mr Parnell says South Australia is earning a 3.5 per cent royalty from the mine, but a rate of 10 per cent is paid in Queensland, for example.
He says the SA rate should be doubled and the money put into a future fund, especially as the company plans to expand the gold, copper and uranium mine.
"Now with this proposed Olympic Dam expansion it's a non renewable resource, we need to make sure that the South Australian community gets a decent return for this investment if in fact it is to go ahead," he said.
"The best time for us as a community to negotiate with BHP Billiton is before the approvals have been granted.
"Once they've been given approval to expand their mine it'll be too late to then turn around and say 'By the way, can we have higher royalties?'"
