PERTH, AUSTRALIA / ACCESSWIRE / July 26, 2023 / ("Centamin" or "the Company" or "the Group") (LSE:CEY, TSX:CEE)
Consistent with the Company's stated commitment to shareholder returns, the Centamin Board of Directors are pleased to declare an interim dividend of 2.0 US cents per share (US$23 million), for the six months ended 30 June 2023.
As per the dividend policy, this distribution is in line with the commitment to return a minimum of 30% of Group free cash flow before growth capital expenditure1 to shareholders in cash dividends. In consideration of the below factors, and reflecting the Board's confidence, a total of 56% of H1 2023 Group free cash flow before growth capex will be distributed to shareholders on 29 September 2023:
· Centamin is in a financially robust position with US$161 million in cash and liquid assets
· The US$150 million sustainability linked revolving credit facility remains undrawn as a result of H1 2023 growth capex being funded from cash flow
· The gold price protection programme limits the revenue downside risk below US$1,900/oz gold price
· The Company is operationally and financially well positioned for a stronger H2 2023, in line with plan
The interim dividend is calculated by the following:
| | | 30 June 2023 |
| | | US$'000 |
| Group free cash flow | 19,362 |
| Add back: | |
| Growth capex financed from treasury[1] | | 21,818 |
| Cash flow available for dividends | 41,180 |
| 30% minimum distribution as per dividend policy | (12,354) |
| Surplus cash flow for discretionary capital allocation[2] | | 28,826 |
| Board interim dividend supplement | | (10,814) |
| | | |
| Total interim dividend declared | | 23,168 |
DIVIDEND TIMETABLE[3]
Below is the final dividend timetable for the London Stock Exchange and Toronto Stock Exchange:
· Ex-Dividend Date: 31 August 2023
· Record Date: 1 September 2023
· Last Date for Currency Elections: 4 September 2023
· Payment Date: 29 September 2023
Dividend Currency Elections
The dividend will be paid on 29 September 2023, in US Dollars ("USD") with an option for shareholders to elect to receive the dividend in Pounds Sterling ("GBP"). Currency elections should be made no later than 4 September 2023 as per the instructions detailed on the Company website (www.centamin.com). Payments in GBP will be based on the USD/GBP exchange rate on 5 September 2023 and the rate applied will be published on the website thereafter.
As a Jersey incorporated company, there is no requirement for Centamin plc to make any withholding or deduction on account of Jersey tax in respect of the dividend.
ABOUT CENTAMIN
Centamin is an established gold producer, with a premium listing on the London Stock Exchange and a secondary listing on the Toronto Stock Exchange. Following a period of 'reset' including a significant refresh of the Board and management team, the Company is now entering a growth phase, balanced with stakeholder returns. The Company's flagship asset is the Sukari Gold Mine ("Sukari"), Egypt's largest and first modern gold mine, as well as one of the world's largest producing mines. Since production began in 2009 Sukari has produced over 5 million ounces of gold, and today has 6.0Moz in gold Mineral Reserves. Through its large portfolio of exploration assets in Egypt and Cte d'Ivoire, Centamin is advancing an active pipeline of future growth prospects, including the Doropo project in Cte d'Ivoire, and has over 3,000km2 of highly prospective exploration ground in Egypt's Nubian Shield.
Centamin practices responsible mining activities, recognising its responsibility to deliver operational and financial performance and create lasting mutual benefit for all stakeholders through good corporate citizenship, including but not limited to in 2022, achieving new safety records (8 million hours LTI-free), commissioning of the largest hybrid solar farm for a gold mine (Sukari 36MWDC solar plant), sustaining a 96% Egyptian workforce and a 68% Egyptian supply chain at Sukari.