Zimbabwe based junior miner to list on NYSE

Blanket mine shaft head gear

Published: 27 July 2017

Canadian junior miner Caledonia Mining Corporation says it has received approval for the listing of its common shares on the New York Stock Exchange (NYSE).

The listing should accrue benefits for the group's flagship operation, the Zimbabwe-based Gwanda gold producer, Blanket Mine.

"The listing on the NYSE American is intended to provide the company with greater access to United States institutional and retail investors which in turn is hoped will result in better overall trading liquidity, a lower cost of capital and other benefits for Caledonia and its shareholders, " said CEO Mr Steve Curtis.

Caledonia owns 49 percent of the Blanket Gold Mine, which has plans to boost production from 50 351 ounces last year to approximately 80 000 ounces by 2021.And the mine's target production for the current year is 52 000 to 57 000 ounces.

Added Mr Curtis; "This listing for the company on the NYSE American is another significant step for Caledonia which joins some of the world's best-known gold and precious metals companies with a listing on this prestigious US exchange.

"This further step in the development of Caledonia's corporate status has taken place against the backdrop of continued progress on our major operational development projects, principally the sinking of the Central Shaft at the Blanket Mine in Zimbabwe."

The Central Shaft, which is being funded from Blanket's internal resources, is expected to fundamentally change the nature of Blanket's operations by improving operating efficiencies and providing access to deeper levels for exploration, development and production.

Completion of the Central Shaft is expected in the last quarter of next year. Caledonia expects that its common shares will begin trading on the NYSE American on July 27, 2017 under the trading ticker symbol "CMCL".

The mining group remains listed on the Toronto Stock Exchange. Meanwhile, output at the Gwanda-based Blanket Gold Mine increased by over 8 percent in the first half of this year.

12 522 ounces of gold were produced during the second quarter ended June 30, 2017 pushing the half year total output total to 25 316 ounces.

Caledonia is confident Blanket Mine will meet its revised 2017 full year production estimates ranging between 52 000 ounces and 57 000 ounces and long-term annual target of 80 000 ounces by 2021.
- BH24

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