Caledonia Mining Corporation has announced that its Central Shaft – the deepest of any gold mine in Zimbabwe -is now fully operational. According to Steve Curtis, Chief Executive Officer of Caledonia, commissioning the Central Shaft has been the culmination of a six-year project costing approximately US $67m, all funded through internal cash flow.
“I am delighted to announce that our new Central Shaft, which is the deepest shaft of any gold mine in Zimbabwe, is fully operational. We can now start to hoist rock, men and material on a daily basis, which will solve our hoisting constraints and facilitate the planned expansion in mine capacity targeting 80,000 oz of gold production per year,” he said.
“This has been an owner-funded and built project by the Blanket team and I would like to thank everyone for their hard work and especially for achieving the completion of the shaft without any serious accidents, recording only two lost time injuries,” he added.
Caledonia Mining is a profitable cash generative gold producer with a strong growth profile, Caledonia’s primary asset is the Blanket Mine in Zimbabwe. By 2022 the Company plans to increase its annual production by 45%, up to 80,000 ounces.
The Company pays a quarterly dividend of 11 cents a share. The dividend has been increased 4 times & is a 60% cumulative increase from 6.875 cents announced in October 2019.
Caledonia is committed to evaluating investment opportunities in Zimbabwe and has entered into two option agreements to acquire the mining claims over Glen Hume and Connemara North.