https://www.miningweekly.com

Moody’s upgrades Nordgold’s ratings

6th October 2021

By: Marleny Arnoldi

Online News Editor

     

Font size: - +

Ratings agency Moody’s Investors Service has upgraded global gold miner Nordgold’s corporate family rating to Ba1 from Ba2 and its probability of default rating to Ba1-PD from Ba2-PD.

Additionally, Moody’s upgraded the company’s senior unsecured $400-million five-year Eurobond – which matures in 2024 – to Ba1 from Ba2.

The agency maintains a stable outlook on both entities.

Moody’s says its decision to upgrade Nordgold’s rating reflects the company’s record of deleveraging; its operational and geographical diversification, with its nine active mines across Burkina Faso, Guinea, Russia and Kazakhstan; its good reserve base; and its competitive operating costs.

The agency says Nordgold has a history of organic growth and shows good corporate governance.

The upgraded ratings are also based on the agency’s expectation that Nordgold will continue to deliver a strong operating performance, which will allow it to maintain modest levels of leverage in various gold price scenarios.

Moody’s also took into account Nordgold’s dividend policy, which anticipates high dividend distributions starting in 2022 – which entails 50% of the company’s pre-dividend free cash flows, adjusted by the amount of the development capital spending, provided that Nordgold’s net debt to earnings ratio is below 1.5 times.

Nordgold intends to pay $400-million in dividends for 2021.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

CSIR International Convention Centre (CSIR ICC)
CSIR International Convention Centre (CSIR ICC)

CSIR International Convention Centre (CSIR ICC) - the leading conference and events venue in Pretoria/Tshwane.

VISIT SHOWROOM 
Hanna Instruments (Pty) Ltd
Hanna Instruments (Pty) Ltd

We supply customers with practical affordable solutions for their testing needs. Our products include benchtop, portable, in-line process control...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.042 0.776s - 111pq - 2rq
Subscribe Now