Company News

Newmont targets dividend boost by at least 50 pct in 2018

TORONTO, Dec 6 (Reuters) - Newmont Mining Corp said on Wednesday that it plans to boost its dividend by at least 50 percent in 2018, based on balance sheet improvements and the performance of its gold mines.

The Colorado-based miner, which had $3 billion in cash with $1.1 billion debt at the end of September, also issued an updated five-year outlook that said it expects modestly higher gold production.

“Our five-year guidance reflects steady performance, portfolio and balance sheet improvements, and gives us the means and confidence to target a dividend increase of at least 50 percent in 2018,” Chief Executive Gary Goldberg said in a statement.

Newmont expects 2018 output of 4.9 million to 5.4 million ounces of gold, up from the 4.7 million to 5.2 million ounces it previously forecast.

The all-in sustaining cost of producing an ounce of gold, an industry benchmark, is now projected at $965 to $1,025, compared with an earlier estimate of $950 to $1,050. (Reporting by Susan Taylor; Editing by Steve Orlofsky)