New York Stock Exchange-listed company, Caledonia Mining Corporation Plc has announced an increased quarterly dividend of 14 United States cents (US$0.14) on each of the company’s shares, representing an eight per cent increase from the previous quarterly dividend of 13 cents that was paid in July 2021.
Speaking on the announcement, the company CEO, Steve Curtis attributed the positive figures to the successful commissioning of the central shaft earlier this year which has increased production.
“We are pleased to announce an additional eight per cent increase in our quarterly dividend, the seventh increase in the past two years, which reflects our continued confidence in the outlook for our business. This dividend represents a 104 per cent rise since October 2019.
“The anticipated increase in production following the successful commissioning of the Central Shaft earlier in 2021 gives us confidence to further increase the dividend payment in addition to providing funding for investment in new projects, including the exploration prospects at Maligreen and Connemara North, as announced last month and at the end of 2020 respectively,” said Curtis.
Caledonia recently agreed to purchase Gweru-based Maligreen project owned by Pan African Mining (Private) Limited for US$4 million.
The total land area of Maligreen is approximately 550 hectares comprising two historic open-pit mining operations which produced approximately 20,000 oz of gold mined from oxides between 2000 and 2002 after which the operation was closed.
Caledonia expects to drill an initial 4,800 meters at an estimated cost of US$1.6 million over a period of 18 to 24 months to improve its understanding of the existing resource and assess the potential for a mining operation.