Nevsun Resources’ cash dividend of $0.04 per common share will be paid to shareholders of record as of the close of business on 30 December 2016.
As per the company’s dividend reinvestment plan, shareholders are allowed to reinvest their cash dividends into additional common Nevsun shares.
“Our dividend is core to our capital allocation philosophy. We encourage investors to sign-up for the dividend reinvestment plan,” says Nevsun Resources CEO Cliff Davis.
Further, the cash not used for dividends will be invested in the recently acquired world-class Timok copper-gold development project in Serbia and for the generation of additional organic growth from the company’s extensive asset portfolio.
Davis highlighted that the reinvestment plan held benefits for shareholders which include the fact that it is commission free; common shares are issued at a 3% discount to the market price; shareholders can elect to receive all or part of their dividend in shares; and shareholders can change participation in the reinvestment plan at any time.
Nevsun Resources is the 60% owner of the high grade Bisha mine in Eritrea. Bisha has nine years of reserve life and generates revenue from both copper and zinc concentrates which contain gold and silver by-products.
According to the company, Nevsun has a strong balance sheet, no debt and pays a peer-leading quarterly dividend. The company is also well-positioned to grow shareholder value through exploration at Bisha and its Serbian assets that include the high-grade copper-gold Timok project.