Red Rock owns an 0.86% stake in Aussie-listed Jupiter Mines, which in turn has a 49.9% holding in Tshipi é Ntle Manganese Mining, operator of the South African mine.
Tshipi é Ntle has announced plans to pay a A$59mln dividend to shareholders, of which Jupiter will be due 49.9% plus roughly A$3mln from marketing operations.
Jupiter, which paid out 90% of earnings last year, said it plans to declare a dividend exceeding its 70% payout policy after publishing interims at the end of October.
Andrew Bell, Red Rock Chairman, comments: “With the business continuing to perform well, and with manganese prices remaining resilient, we expect a strong dividend announcement in October.”
He added: “The continuing significance to us of our holding in Jupiter is demonstrated by the fact that the value of our holding today is 14% in excess of our market value of £3,177,433.”