Gold Resource Corp (AMEX:GORO) declared Thursday what it called a "milestone" monthly dividend for June of 6 cents per common share.
June dividend, which will be payable on July 23 to shareholders of
record as of July 10, brings the total dividends declared since the
company's start of commercial production in July 2010 to $1.01 per
This exceeds Gold Resource's IPO price of $1.00 per share, when the Mexico-focused gold producer went public in September 2006.
a shareholder focused precious metal producer, we are pleased to now
have declared dividends exceeding our Initial Public Offering price,”
said president Jason Reid.
"Those original shareholders still holding Gold Resource Corporation
stock will have recouped their original investment after the July 23rd
pay date, underscoring the company’s ability to be both a growth equity
and income equity."
In April, the company started to offer
shareholders the option to convert their monthly cash dividends into
physical gold and/or silver.
Gold Resource in May announced
record results for its first quarter that it said set a "strong base"
for the company, with gold equivalent production quadrupling
year-over-year and mine gross profit more than tripling.
three months to March 31, the US-based gold producer recorded net income
of $16.1 million, or 29 cents per diluted share, versus a profit of
$2.03 million, or 4 cents per diluted share, a year earlier.
profit from the company's El Aguila mine in Oaxaca, Mexico, which
started commercial production in July 2010, totalled $33.7 million, up
281 per cent from $8.84 million in the first quarter of 2011.
Bill Reid said on a conference call at the time that the significance
of the mine gross profit is that the company can decide where that money
is allocated, like with dividends for example. The company's aim was
for a third of the mine gross profit to be distributed through dividends
by the end of 2012.
The company paid $7.9 million to
shareholders in dividends for the quarter, or 15 cents per share, and
converted $2.9 million of its treasury into physical gold and silver.
gold producer said gold equivalent production hit a record 30,528
ounces in the first quarter, representing an increase of 308 per cent.
It milled 75,078 tonnes during the first quarter, at a grade of 4.27
grams per tonne (g/t) of gold and 483 g/t silver, with average
recoveries of 89 per cent for gold and 94 per cent for silver.
Net sales of metals concentrate amounted to $40.62 million, up from $11.28 million a year earlier.
The company stood by its 2012 production goal, targeting a range of 120,000 to 140,000 precious metal gold equivalent ounces.
miner has a 100 per cent interest in six potential high-grade gold and
silver properties in Mexico’s southern state of Oaxaca.