Blanket Mines in record quarterly gold production

Caledonia Mining Corporation Plc’s local unit, Blanket Mine, achieved a record gold production of 16 710 ounces during the second quarter to June 30, 2021, which was 23 percent above the same quarter in 2020.

For the first half of the financial year 2021, gold production jumped 7,8 percent to 29 907 ounces compared to 27 732 ounces produced in the first half of the prior year.

Management is upbeat the resources group will maintain this growth trajectory and its full year production guidance of 61 000 to 67 000 ounces as well as remains on track to hit the target of 80 000 ounces from 2022.

“Having got off to a slow start to the year, for production to be 7,8 percent above the first half of 2020 and 23 percent ahead of the corresponding quarter is an outstanding achievement and leaves us well placed to meet our full year guidance.

“During the quarter we also announced that Central Shaft was operational; this has been a huge feat by the team.

“We are currently working hard to achieve the expansion and we remain on track to hit our 80 000 ounce target in 2022,” said Caledonia chief executive officer Steve Curtis.

Caledonia declared a quarterly dividend of US13 cents a share which is 8 percent above the US12 cents paid during the first quarter of the year.

The increase, which is the sixth in quarterly dividends since 2019 and represents a cumulative 89 percent rise in the dividend since the first increase in October 2019.

“We are pleased to announce an additional eight percent increase in our quarterly dividend, the sixth increase in the past two years. This represents a cumulative 89 percent rise in the dividend since the first increase in October 2019.

“The decision by the Board to increase the dividend reflects our continued confidence in the outlook for our business.

“With the Central Shaft now in operation, the anticipated combination of rising production and declining capital investment gives us confidence to further increase the dividend payment in addition to providing funding for investment in new projects, including the exploration prospects at Glen Hume and Connemara North, as announced at the end of 2020,” said Mr Curtis.-herald.cl.zw