Santo Domingo.- The Government and Barrick Gold Corp. reached an agreement over the mine at Pueblo Viejo, Cotui (center) with State revenue of US$11.6 billion, and now goes to Congress for approval in the coming days.
Presidency chief of staff Gustavo Montalvo made the announcement on Twitter Wednesday night, and said more details will be provided at 4pm today. "The Dominican government and Barrick Gold have reached final agreement. Tomorrow at 4:00 pm we will announce all the details.
"The agreement will be sent to Congress in the coming days for deliberation and approval," Montalvo said.
The government had announced a preliminary agreement with Barrick's Pueblo Viejo Dominicana Corporation to modify the lease contract in May, through which the State would obtain a higher percentage of the mine's earnings.
The change in the contract will increase Government revenue through taxes to more than US$1.5 billion over the life of the project, in addition to the US$10.0 billion that had been projected in March 2013.
"It is projected that the total tax revenue received by the government amount to approximately US$11.6 billion, of which, Pueblo Viejo Dominicana Corporation, will contribute US$2.2 billion during the period 2013-2016, subject to a gold price of US$1,600/oz and the projected production," the document says.