JSE- and TSX-V-listed tin miner Alphamin Resources, which owns and operates the Mpama North mine in the Democratic Republic of Congo, increased its contained tin production by 10% quarter-on-quarter to 3 114 t in the fourth quarter ended December 31.
A producer of 4% of the world’s mined tin, the miner also increased its contained tin sales during the period by 13% to 3 056 t, while its earnings before interest, taxes, depreciation and amortisation guidance was a record $74-million – up 38% from the third quarter.
Quarter-on-quarter, Alphamin’s net cash increased by 6 486% from $1.03-million in the third quarter, to $68-million in the fourth quarter.
In line with Alphamin’s vision to become a major sustainable tin producer, and from a capital allocation perspective, the miner’s board considered the combination of significant exploration, investment in growth and a high dividend yield – a robust value proposition leading to it declaring a 2021 financial year dividend of C$0.03 a share ($30-million in the aggregate).
The dividend is payable on February 11 to shareholders of record as of the close of business on February 4.
Dividend distributions will be considered based on excess free cash after taking account of working capital requirements, reserve contingencies and expansion opportunities.
In terms of tin processing, the miner produced 1% less quarter-on-quarter at 107 981 t, while the grade of tin improved to 3.9% tin, from 3.5% tin in the third quarter.