24 JULY 2015www.iol.co.za
South32 targets dividend next year
Edited by : AL CIRCLE
2 min read
BHP Billiton owned South32 anticipates declaring a dividend at the end of next year.This was revealed in the company’s third quarterly report, which it issued to shareholders yesterday.
In the statement, South32 notes it has hit four annual production records including saleable alumina at Brazil Aluminium, coal at Illawarra, alloy at Australia Manganese and ore at SA Manganese.
It also experienced a “substantial” increase in annual exports from SA Energy Coal, although aluminium production at Hillside and Mozal were “broadly unchanged” as efficiency gains offset a “significant” increase in load-shedding.
CEO Graham Kerr says: “We have the right balance sheet for the times and intend to distribute a minimum 40% of underlying earnings to our shareholders from next year.”
Kerr adds the quarter was “historic” as it demerged from BHP and was listed on the Australian, London and Johannesburg Stock Exchanges.
South32 invested $4 million in exploration in the months of May and June as it was active in metallurgical coal and silver in Australia, and nickel in Colombia.
The globally diversified metals and mining company has a portfolio of cash generative assets producing bauxite, alumina, aluminium, thermal and metallurgical coal, manganese, nickel, silver, lead and zinc.
It claims to be the world’s largest producer of manganese ore, and own the world’s largest silver mine. “We run exceptionally high-quality alumina refinery and two modern, cost-competitive aluminium smelters. And we run one of the world’s leading ferronickel operations,” it says.
In the statement, South32 notes it has hit four annual production records including saleable alumina at Brazil Aluminium, coal at Illawarra, alloy at Australia Manganese and ore at SA Manganese.
It also experienced a “substantial” increase in annual exports from SA Energy Coal, although aluminium production at Hillside and Mozal were “broadly unchanged” as efficiency gains offset a “significant” increase in load-shedding.
CEO Graham Kerr says: “We have the right balance sheet for the times and intend to distribute a minimum 40% of underlying earnings to our shareholders from next year.”
Kerr adds the quarter was “historic” as it demerged from BHP and was listed on the Australian, London and Johannesburg Stock Exchanges.
South32 invested $4 million in exploration in the months of May and June as it was active in metallurgical coal and silver in Australia, and nickel in Colombia.
The globally diversified metals and mining company has a portfolio of cash generative assets producing bauxite, alumina, aluminium, thermal and metallurgical coal, manganese, nickel, silver, lead and zinc.
It claims to be the world’s largest producer of manganese ore, and own the world’s largest silver mine. “We run exceptionally high-quality alumina refinery and two modern, cost-competitive aluminium smelters. And we run one of the world’s leading ferronickel operations,” it says.
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