Centamin Plc (LON:CEY) today reported its results for the twelve months ended December 31. Highlights from the report provided below:
Josef El-Raghy, Chairman of Centamin, commented: "Centamin's corporate strategy seeks to deliver peer-leading shareholder returns by taking gold projects from exploration, through development and into production. In this respect, 2014 was a pivotal year for the Company. Our flagship Sukari Gold Mine saw the successful commissioning of the US$331 million Stage 4 process plant expansion, marking the project's transition out of the investment phase and into a sustainable period of free cash flow generation over an expected minimum 20-year mine life. In recognition of this and due to the Company's strong financial position, the Board of Directors initiated a dividend program during 2014 with a maiden interim dividend of 0.87 US cents per share. The Company is now pleased to propose the final dividend for 2014 of 1.99 US cents per share (approx. US$23 million), for a total full year dividend of 2.86 US cent per share, representing a pay-out level of approximately 30% of our free cash flow as defined by our dividend policy."
Operational Highlights: Full year production of 377,261 ounces, a 6% increase on 2013, with Q4 2014 production of 128,115 ounces representing an increase of 37% over Q3 2014; Full year cash cost of production of US$729 per ounce, with Q4 2014 cash costs of US$655 per ounce; Stage 4 plant expansion completed with total project expenditure US$331.2 million; Process plant throughput exceeded nameplate 10Mtpa capacity in Q4 2014; 2015 guidance of 420,000 ounces gold at US$700 per ounce cash cost of production and US$950 AISC; Underground drilling at Sukari supports further resource and reserve expansion potential; Exploration drilling programmes continue in Ethiopia, Burkina Faso and Côte d'Ivoire.
Financial Highlights: EBITDA US$165.4 million, down 29% on the prior year; Basic earnings per share 7.21 cents, down 57% on prior year; Centamin remains debt-free and unhedged with cash, bullion on hand, gold sales receivable and available-for-sale financial assets of US$162.8 million at 31 December 2014; Proposed final dividend of 1.99 US cents per share (approx. US$23 million); total 2014 dividend of 2.86 US c/sh.