markeplace story 3 2 08, page-6

The JV split actually starts @ 60:40 for 2 years, then 55:45 for the next 2 years and only reaches 50% in the 5th and later years.

By my calculations, because of the extensive capex and exploration costs accrued it will take until 2013 before they start to split profits with the government (although by then they will almost certainly be making additional investment in a larger plant and exploration in the surrounding district).

In the meantime, one of the very positive upsides to their mining agreement is that they effectively operate in a tax free environment - and that is a serious advantage compared to many other countries!

Other than that, they just pay a 3% royalty on revenues!

Pretty good deal all round IMO.