21 March
2024
Centamin plc
("Centamin" or "the
Company")
(LSE:CEY, TSX:CEE)
2023 FINAL DIVIDEND
Centamin is pleased to announce that
the Board of Directors recommend the
payment of a final dividend of 2 US cents
per share, for the six months ended 31 December 2023.
DIVIDEND POLICY
Stakeholder, and specifically
shareholder returns, are central to our Company strategy. Centamin
was one of the first gold producers to pay a dividend under a
structured policy. We have since built a ten-year track record of
returning cash to shareholders, totalling US$881m (inclusive of the
FY23 final dividend).
As a result of our continued
commitment to shareholder returns, the dividend policy remains
unchanged from our previous commitment to return a minimum of 30%
of Group free cash flow before growth capital
expenditure1 to shareholders in cash dividends. In
addition to the minimum dividend, the balance sheet is assessed by
the Board which will use its discretion to allocate the remaining
available cash to growth projects and supplementary dividend
payments.
2023 FINAL DIVIDEND
The Board proposes a final dividend
of 2 US cents per share (US$23 million). The final dividend will be
subject to shareholder approval at the Annual General Meeting on 21
May 2024, which will be hosted in Jersey.
Following the interim dividend of 2
US cents (US$23m) that was declared in July 2023 and paid in
September 2023, the final dividend brings the total dividend
attributed to full year 2023 to 4 US cents per share (US$46
million). This represents 55% of the cash available for dividend
payments, exceeding the policy to pay out a minimum of 30% of Group
free cash flow before growth capital expenditure. The Board applied
its discretion to allocate US$21m to supplementary dividend
payments given the continued strength of the balance
sheet.
The final dividend is calculated by
the following:
|
30-Jun-23
|
30-Dec-23
|
2023
|
US$'000
|
Interim
|
Final
|
Total
|
Group free cash flow
|
19,362
|
29,633
|
48,995
|
Add back:
|
|
|
|
Growth capex financed from
treasury[1]
|
21,818
|
13,887
|
35,705
|
Cash flow available for dividends
|
41,180
|
43,520
|
84,700
|
30% minimum distribution as per
dividend policy
|
(12,354)
|
(13,056)
|
(25,410)
|
Surplus cash flow for discretionary capital
allocation[2]
|
28,826
|
30,464
|
59,290
|
Board dividend supplement
|
(10,814)
|
(10,113)
|
(20,927)
|
Total dividend declared
|
23,168
|
23,169
|
46,337
|
US Cents
|
2.0
|
2.0
|
4.0
|
% of cash flow available for
dividend payments
|
56%
|
53%
|
55%
|
Centamin maintains a robust
financial position, with cash and liquid assets of US$153 million
as at 31 December 2023. The Company's disciplined approach to
capital allocation, provides the flexibility to allocate capital to
shareholders returns, business investment and growth as well as
environmental and social opportunities.
2023 final Dividend Timetable[3]
Below is the final dividend
timetable for the London Stock Exchange (LSE) and Toronto Stock
Exchange (TSX):
●
|
AGM Date
|
21 May 2024
|
●
|
Ex-Dividend Date:
|
30 May 2024 (LSE only)
|
●
|
Record Date:
|
31 May 2024 (Record and Ex-Dividend
Date for the TSX)
|
●
|
Last Date for Currency
Elections:
|
3 June 2024
|
●
|
Payment Date:
|
19 June 2024
|
Dividend Currency Elections
The dividend will be paid on 19 June
2024, 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 3 June 2024 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 4
June 2024 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 premium listings on the London Stock Exchange and
Toronto Stock Exchange. 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 5.7 million ounces of
gold, and today has a projected mine life to 2035.
Through its large portfolio of
exploration assets in Egypt and West Africa, Centamin is advancing
an active pipeline of future growth prospects, including the Doropo
project in Côte d'Ivoire, and over 3,000km2 of highly
prospective exploration ground in Egypt's Arabian 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.
FOR
MORE INFORMATION please visit the
website www.centamin.com
or contact:
Forward-looking Statements
This announcement (including
information incorporated by reference) contains "forward-looking
statements" and "forward-looking information" under applicable
securities laws (collectively, "forward-looking statements"),
including statements with respect to future financial or operating
performance. Such statements include "future-oriented financial
information" or "financial outlook" with respect to prospective
financial performance, financial position, EBITDA, cash flows and
other financial metrics that are based on assumptions about future
economic conditions and courses of action. Generally, these
forward-looking statements can be identified by the use of
forward-looking terminology such as "believes", "expects",
"expected", "budgeted", "forecasts" and "anticipates" and include
production outlook, operating schedules, production profiles,
expansion and expansion plans, efficiency gains, production and
cost guidance, capital expenditure outlook, exploration spend and
other mine plans. Although Centamin believes that the expectations
reflected in such forward-looking statements are reasonable,
Centamin can give no assurance that such expectations will prove to
be correct. Forward-looking statements are prospective in nature
and are not based on historical facts, but rather on current
expectations and projections of the management of Centamin about
future events and are therefore subject to known and unknown risks
and uncertainties which could cause actual results to differ
materially from the future results expressed or implied by the
forward-looking statements. In addition, there are a number of
factors that could cause actual results, performance, achievements
or developments to differ materially from those expressed or
implied by such forward-looking statements; the risks and
uncertainties associated with direct or indirect impacts of
COVID-19 or other pandemic, general business, economic,
competitive, political and social uncertainties; the results of
exploration activities and feasibility studies; assumptions in
economic evaluations which prove to be inaccurate; currency
fluctuations; changes in project parameters; future prices of gold
and other metals; possible variations of ore grade or recovery
rates; accidents, labour disputes and other risks of the mining
industry; climatic conditions; political instability; decisions and
regulatory changes enacted by governmental authorities; delays in
obtaining approvals or financing or completing development or
construction activities; and discovery of archaeological ruins.
Financial outlook and future-ordinated financial information
contained in this news release is based on assumptions about future
events, including economic conditions and proposed courses of
action, based on management's assessment of the relevant
information currently available. Readers are cautioned that any
such financial outlook or future-ordinated financial information
contained or referenced herein may not be appropriate and should
not be used for purposes other than those for which it is disclosed
herein. The Company and its management believe that the prospective
financial information has been prepared on a reasonable basis,
reflecting management's best estimates and judgments at the date
hereof, and represent, to the best of management's knowledge and
opinion, the Company's expected course of action. However, because
this information is highly subjective, it should not be relied on
as necessarily indicative of future results. There can be no
assurance that forward-looking statements will prove to be
accurate, as actual results and future events could differ
materially from those anticipated in such information or
statements, particularly in light of the current economic climate
and the significant volatility, the risks and uncertainties
associated with the direct and indirect impacts of COVID-19.
Forward-looking statements contained herein are made as of the date
of this announcement and the Company disclaims any obligation to
update any forward-looking statement, whether as a result of new
information, future events or results or otherwise. Accordingly,
readers should not place undue reliance on forward-looking
statements.
LEI: 213800PDI9G7OUKLPV84
Company No: 109180