Pan African Resources PLC: Half‑Year Performance and Dividend Initiative

Pan African Resources PLC (Paf) has released its operational update for the half‑year ended 31 December 2025 (H1FY26) and announced the initiation of an interim dividend, underscoring a period of robust output and disciplined financial management.

Production Upswing

  • Gold output rose by 51 % from 84,705 oz in H1FY25 to 128,296 oz in H1FY26, bringing the Group on track to meet its full‑year guidance of 275,000 – 292,000 oz.
  • Evander operations surged by 87 % to 21,640 oz, driven by the high‑grade Kinross Channel of the Kimberley Reef and full utilisation of the sub‑vertical hoisting shaft.
  • Elikhulu delivered a 14 % increase, producing 29,450 oz, while Mogale Tailings Retreatment (MTR) operated at a steady‑state of 21,729 oz.
  • Barberton Mines recorded a modest 5 % rise to 32,774 oz, and Tennant Mines maintained stable throughput at 15,560 oz, inclusive of gold‑equivalent ounces from copper concentrate sales.

MTR’s expansion to 1,000 ktpm, commissioned in December 2025, is expected to lift annualised production to between 55,000 – 60,000 oz in H2FY26. The average recovered mining grade is projected to climb to 2.22 g/t in H2, up from 1.15 g/t in H1.

Safety and Operational Efficiency

  • The Group’s Total Recordable Injury Frequency Rate (TRIFR) improved from 8.25 to 4.74 incidents per million man‑hours, while the Lost Time Injury Frequency Rate (LTIFR) fell from 1.54 to 1.22.
  • These metrics reflect a sustained commitment to safety and operational excellence across all sites.

Balance Sheet Strength

  • Pan African Resources has substantially de‑geared its balance sheet, achieving a net‑debt reduction of more than 65 %.
  • This deleveraging positions the Group to support continued exploration, expansion, and shareholder returns without compromising liquidity.

Dividend Proposal

  • The Board has proposed a 12 cent per share interim dividend (ZA12c) to be approved at the forthcoming shareholders’ meeting.
  • The dividend follows a period of strong output and a lean cost structure, reinforcing the company’s reputation as one of the lowest cash‑cost gold producers in Southern Africa.

Forward Outlook

  • With production on target and a robust balance sheet, Pan African Resources is well‑placed to capitalize on the projected full‑year gold guidance.
  • The impending completion of the Definitive Feasibility Study for the Soweto Cluster project in June 2026 is expected to open additional growth avenues.

The combination of elevated production, improved safety, disciplined financial management, and a new dividend signal a confident trajectory for Pan African Resources PLC, reinforcing its standing as a leading mid‑tier African gold producer on the London Stock Exchange.