Update: Solid start, expansion on track, yields 8%
The first quarter of 2015 has provided Caledonia with a solid footing to progress towards its FY15 production and expansion goals. Production is in line with budget, and expansion underway and firmly on track (with the tramming loop estimated to be ready a few weeks earlier than planned). We reiterate our forecasts and stress that Caledonia is a lowest-quartile AISC African gold miner with significant cash flow-funded growth due to start coming through in early 2016. A 6c dividend (equating to an 8% yield, twice the FTSE Mining Index average) is currently payable quarterly, with cash flow at current gold prices making a similar dividend in 2016 look likely.
Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.
.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.