Photo by: Bloomberg
PERTH (miningweekly.com) – ASX-listed Cape Lambert Resources has finally settled its dispute with the Australian Taxation Office (ATO), after two years.
In 2012, the ATO assessed Cape Lambert as owing A$96-million, including tax and penalties, prompting the company to lodge objections. Despite this, Cape Lambert made a A$33-million payment to the ATO in that year, leaving a potential exposure of A$79-million.
The company said on Friday that it had now settled its dispute with the ATO, and has agreed to pay A$2.4-million to the ATO, within the next 42 days, without admitting liability.
The payment would represent full and final settlement of the issue, and would remove the potential A$79-million in payments under the 2012 assessment.
“We are pleased to finally bring this matter to a satisfactory resolution and commend our advisers and the ATO for finding a proactive way to resolve the dispute,” said Cape Lambert executive chairperson Tony Sage.
He added that the company would now shift its management focus to the Marampa iron-ore project, in Sierra Leone, where it was looking to secure significant investment at project level, and its interest in the Republic of Congo-based Mayoko iron-ore project royalty, which the company would look to sell.
“The company will be looking to capitalise on funding pressures within the resource sector through the evaluation and advancement of suitable investment opportunities that have been presented to it in recent months. The company will also continue it share buy-back, which started earlier this year,” Sage added.