Caledonia Mining Corporation Plc (LON:CMCL) has announced that the Board of Directors has declared an increased quarterly dividend of 14 United States cents (US$0.14) on each of the Company’s shares.
· Eight per cent increase from the previous quarterly dividend of 13 cents that was paid in July 2021
· 104 per cent increase from the level of 6.875 cents since October 2019
· Seventh increase in the quarterly dividend since October 2019
· Central Shaft now operating
· Target production of 61,000 to 67,000 ounces of gold in 2021 and 80,000 ounces of gold per annum from 2022
· Scheduled ramp up in production, the current gold price and good cost control give the Board confidence that the business can sustain a higher level of dividend
Commenting on the announcement, Steve Curtis, Caledonia Mining Corporation Chief Executive Officer, said:
“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.
“The Board will continue to review the Company’s future dividend distributions as appropriate, while balancing the importance of returning money to shareholders and investing in the Company’s growth.”
The relevant dates relating to the dividend are as follows:
· Ex-dividend date: October 14, 2021
· Record date: October 15, 2021
· Payment date: October 29, 2021
Shareholders with a registered address in the UK will be paid in Sterling.
Caledonia’s Dividend Policy
Caledonia’s strategy to maximise shareholder value includes a quarterly dividend policy which the Board adopted in 2014. The Board will consider future increases in the dividend as appropriate in line with its prudent approach to risk management.