Polymetal cashes in on soaring gold price

Russian miner Polymetal is on track to deliver 1m ounces of gold equivalent production in 2012 it said, as it announced sharp increases in revenue and earnings.

Russian miner Polymetal is on track to deliver 1m ounces of gold equivalent production in 2012 it said, as it announced sharp increases in revenue and earnings.

Revenue in 2012 rose 43% to $1,326m in 2012 from $925m in 2011, as production rose by 8% to 810,000 ounces of gold equivalent from 753,000 ounces in 2011. As well as gold, Polymetal produces silver and copper.

MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

The average realised price for gold sold in 2012 was $1,556 an once, up 26% from $1,232 an ounce in 2011.

The directors propose to pay a dividend of $0.20 per share, and from 2012 the company intends to pay a dividend of 20% of net earnings provided that net debt to adjusted EBITDA ratio is below 1.75.

JH

MoneyWeek

MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.