Any thoughts.31 Mar 2021 12:31
Dontay31 Mar '21 - 09:41 - 16130 of 16136
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Dividends are paid out from profits, not revenue, any near term profits will be reinvested in supporting the company’s expansion and growth plans - developing Mokopane as a stand alone mine and V processing plant plus all the Kiln refurbishments to increase and hit the forecasted production targets, the development of the chemical plant, proposals for a new battery assembly factory, setting up Enerox etc, etc, etc.
The company have been loss making over the recent term, production costs have increased but so have ALL other costs of running the company. They have been selling shares to raise money to support these cap-ex plans!
Even after recent V price increases, the margins (if any!) will be very small, they will not be in any position to support divi payouts for at least another couple of years, the exception being a possible special divi from the proceeds of selling Lemur.