Manganese ore producer Tshipi é Ntle Manganese Mining, which operates the the Tshipi Borwa mine, in South Africa’s Northern Cape province, has resolved to pay a further dividend of R600-million to its shareholders, taking the total dividend for the first half of 2020 financial year to R1.7-billion.
The increased dividend, which is higher than previously estimated, is mainly owing to additional low-grade product sold in the second quarter of the financial year and currency depreciation.
ASX-listed Jupiter Mines, which owns a 49.9% interest in Tshipi é Ntle, will, in addition to its share of the dividend, also receive R30-million from its South African marketing operations.
Jupiter will make its dividend declaration for the same period following the release of its half-year financial statements at the end of October.
Meanwhile, Jupiter CEO Priyank Thapliyal says Tshipi é Ntle’s first-half dividend equates to more than 85% of the R2-billion in capital expenditure invested at the Tshipi Borwa mine.
“Such . . . returns on projects are unprecedented and demonstrates the substantial cash generation potential of Tshipi throughout the cycle owing to its enviable position on production scale, operating costs and mine life.”