I was doing some maths about new Acland royalties IF all royalties went to the Gov, (which it now seems they wont on reading prior posts).
But if they did all go to the gov.....the royalty up to $150/t hasnt changed from 15% but then 4 new tiers have been added...15% over $150 up to $175, 20% over $175 up to $225, 30% over $225 up to $300 and 40% over $300.
Whereas under the old rules 15% applied to all the tiers over $150/t.
If I havent got it wrong above then I dont think its a game-changer.
If prices were $400/t thats $250 more than $150. Under the old rules the royalty on that extra $250 was 15% or $37.50.
Under the new rules the royalty on that extra $250 is $76.25.($3.75+$10+$22.50+$40)
Thats an increase of $38.75 which is 15.5% of the $250.
Yes its a big cost increase but it leaves a lot left.
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