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Caledonia sets a production record

The Zimbabwe-based gold miner set a production record in 2016, and expects to outstrip that figure this year and next

Caledonia sets a production record

All told, there's not much more investors in Caledonia Mining (CMCL) could have asked from their company in 2016. Gold production hit a record 50,351 ounces, even as proven and probable reserves ticked up 13 per cent. All-in sustaining costs also fell by 12 per cent in the period, helping gross profits rocket by 78 per cent to $23.5m (£18.8m) and supporting the high levels of investment in the expansion of the Blanket mine.

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This year, Caledonia expects to increase production by another 20 per cent, which explains consensus estimates for pre-tax profits of $27.8m and adjusted EPS of 37.5¢ for 2017, up from $9.48m and 18¢ in 2016.