Pan African unveils maiden interim dividend as gold smashes $5000

PAN African Resources announced plans to pay a maiden interim dividend amid a strong operational performance for the six months ended December.All of the group’s operations increased production during the period for a total of 128,296 ounces, a 51% year-on-year improvement mainly owing to the first time inclusion of gold from Tennant Mines in Australia and Mogale Tailings Retreatment where production is being ramped up in terms of a previoiusly announced expansion.The catalyst to the performance though is a vaulting gold price – up 30% from July to end December on a spot basis. Pan African said it received $3,368/oz on average which is 43% higher year-on-year (2024: $2,359/oz). This enabled the company to cut net debt by about 65% to $49.9m (June 30: $150.5m).Such was gold’s continued upward momentum, the miner expected to be debt free by the end of this month. Gold burst through $5,000 per ounce today driven by a host of factors related to escalating US debt, debasement trade and geopolitical distress.“Gold is the inverse of confidence,” Max Belmont, a portfolio manager at First Eagle Investment Management told Bloomberg News. “It’s a hedge against unexpected bouts of inflation, unanticipated drawdowns in the market, flare-ups in geopolitical risk.”The metal is up 10% this month.“During the reporting period the group de-geared its balance sheet and is also now further boosting cash returns to shareholders, with our board set to approve an attractive proposed interim dividend payment,” said Cobus Loots, CEO of Pan African in a statement.Pan African has proposed a interim dividend of 12 South African cents a share, equal to 0.75 US cents a share assuming a rand/dollar exchange of 16.11.Shares in Pan African gained 5.5% in early morning Johannesburg trade taking year to date gains to 17% – remarkable considering the stock tripled in value in 2025 calendar year.The post Pan African unveils maiden interim dividend appeared first on Miningmx.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com