• PNG IRC assesses additional taxes, including a 200% penalty, amounting to PGK 523 million (A$210 million)
• Simberi Gold rejects the IRC's arguments and will appeal the assessment within the 60-day period
• Simberi Gold strongly refutes any suggestion of fraudulent conduct in preparing tax returns

St Barbara Limited's wholly-owned subsidiary, Simberi Gold Company Pty Ltd, has received an assessment from the Papua New Guinea Internal Revenue Commission (IRC) containing details of additional taxes, inclusive of a 200% penalty, amounting to PGK 523 million (approximately A$210 million). The assessment relates to the calculation of Allowable Capital Expenditure asset values since 2006 and the impact on depreciation deduction claims from 2017 to 2021, as well as a deemed dividend withholding tax on a debt-to-equity transaction in 2018. Simberi Gold and St Barbara reject the IRC's arguments and are committed to working with the IRC to reconsider the assessment. Simberi Gold notes that the IRC has reached back beyond the permitted 5-year period for amended assessments and has attempted to argue that Simberi Gold has been fraudulent in the preparation of tax returns. St Barbara takes this assertion very seriously and will vigorously defend it, stating that Simberi Gold has utilized reputable tax advisors and made full and true disclosures of all material facts, strongly rejecting any suggestion of dishonest conduct. The company believes the assertions of fraud have been made to inappropriately re-open prior year tax returns. St Barbara and Simberi Gold will prepare an appeal, which must be lodged by 17 February 2025.