Gold Fields promises $500m in shareholder returns over two years

GOLD Fields said today it planned to return $500m to shareholders over the next two years either in special dividends or by buying back its shares.Commenting ahead of a closed presentation to analysts on Wednesday, the group also proposed a rebasing of its dividend in terms of which it will pay out 35% of free cash flow before discretionary growth expenditure.As part of the dividend overhaul, it pledged to pay a minimum dividend of 50 US cents per share in two payments of 25c/share each provided its net debt did not exceed one times its Ebitda. The dividend will be topped up if the minimum payment is less than 35% of the targeted free cash flow, the group added.The adjustment to its capital returns programme is in line with some of the plans rolled out by other significant producers in the gold sector amid record-breaking gold prices.Bullion is currently trading 57% higher this year at some $4,125 per ounce, largely on concerns over rising global debt, especially in the US, as well as geopolitical distress and so-called dollar debasement strategies, led by China.Gold Fields also said it would present to analysts its plans for maintaining gold production at between 2.5 to three million ounces a year.AngloGold Ashanti unveiled a new dividend policy earlier this year in which it rebased its dividend and promised to pay out 50% of free cash flow by year-end. Such has been the cash bonanza, AngloGold has twice declared the early payout of free cash flow in both its second and third quarter announcements.The post Gold Fields promises $500m in shareholder returns over two years appeared first on Miningmx.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com