Caledonia Mining reports record annual gold production in Zimbabwe

Caledonia CEO Steve Curtis

(Kitco News) – Caledonia Mining (NYSE: CMCL) announced today that its gold production in Zimbabwe was 67,476 ounces in 2021, which was above the top end of the guidance range and was a new record for annual production.

The company also reported that its 2021 gross revenues were $121 million (2020: $100 million) and gross profit was $54.1 million (2020: $46.7 million).

Caledonia added that adjusted earnings per share were 226 cents in 2021 (2020: 204 cents) and total dividend paid was 50 cents per share, a 49 per cent increase from 2020.

Importantly, the company said that the Central Shaft at its Blanket gold mine was commissioned in the first quarter of 2021 and the final stages of underground development and infrastructure are now being completed.

The company’s 2022 gold production guidance is between 73,000 and 80,000 ounces.

CEO Steve Curtis said, “Caledonia’s immediate strategic focus is to complete the remaining underground development associated with the Central Shaft project, which is expected to increase production, reduce operating costs and increase the flexibility to undertake further exploration and development at depth, thereby safeguarding and enhancing Blanket’s long-term future.”

He added that the company also believes there is “excellent” exploration potential in the older shallower areas of the mine and in brownfield sites immediately adjacent to the existing Blanket footprint.