What it does
Pan African Resources plc (LON:PAF) is a mid-tier African-focused gold producer, dual-listed on the London AIM market and the Johannesburg Stock Exchange, and with a Level 1 ADR programme sponsored by the Bank of New York Mellon. It owns and operates a portfolio of high-quality, high-margin South African operations with a production capacity of approximately 200,000 ounces of gold per annum.
How it is doing
Pan African boosted gold production 5.9% to 98,386 ounces in the six months to December 2020.
It leaves the company on track to deliver on its full-year production guidance of approximately 190,000 ounces of gold.
Net cash generated by operating activities increased by 178.2% to US$28.1mln, and the company was able to reduce net debt by 47.3%.
Profit after taxation amounted to US$40.8mln, and earnings per share increased to US$0.0211 cents.
The company said it continues to focus on ESG projects, including the 9,975MW solar photovoltaic plant at Evander Mines and the large-scale agriculture projects at Barberton Mines. These are on track for commissioning in the third quarter of calendar 2021.
What the boss says: Cobus Loots, chief executive
“Barberton Mines deserves recognition for a robust operational performance, with gold production of 52,354oz for the six months ended 31 December 2020, demonstrating the excellent progress at this flagship operation in reserve development and infrastructure optimisation.”
- Production hits its target of 190,000oz in 2020/21
- Gold price remains high
- Dividend rises as debt is paid down