Coal miner Wescoal is paying a total dividend of about 6c per share for the year to March as it expects "excellent growth options", according to CEO Waheed Sulaiman. The dividend tops a year of corporate activity in which Wescoal brought its Elandspruit mine to full production, increased its black ownership and bought Keaton Energy. Sulaiman said on Wednesday that Wescoal wanted to strike a balance between rewarding loyal shareholders and conserving cash for future acquisitions. Wescoal shares surged 11% to 220c after the announcement. Group revenue rose by a third compared with 2016’s to R2.1bn due to an 82% increase in run-of-mine coal production to 3.37-million tonnes from the Elandspruit and Intibane mines. The group’s third mine, Khanyisa, is expected to contribute about 290,000 tonnes in the first half of the year. Gross profit margins widened to 17.4% from 15.8% because of higher production and restructuring in the trading division, which involved closing some offices and red...
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