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Gold & silver

Pan African Resources still in profit and paying dividend, despite tough few months

Revenue dipped, but Pan African's Barberton and Evander mines proved robust enough to weather a difficult few months and still turn a profit

It’s been a tough few months for Pan African Resources plc (LON:PAF) as time lost due to industrial action and processing problems at the Barberton tailings operation ate into production.

Underground development issues were also a problem.

READ: Pan African no longer picking over the bones of ASA Resource Group

During the six months to December 2017, Pan African delivered 85,282 ounces of gold produced from its South African projects, down nearly 7% on the comparable period in 2016.

Even so, Pan African still ranks comfortably among mid-tier producers and continues to pay a dividend, marked at just under 0.88p per share for the full financial year.

READ: Pan African Resources is reviewing its cost base and "strategic merits" of its portfolio

Profits for the six months to December came in at £3.3mln.

During the period, the company also disposed of the troubled Phoenix platinum project, and also pressed on with development of the Elikhulul tailings project, which will be a low cost operation.

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