By Saheli Roy Choudhury
Is cash still king? Investors in a junior Australian miner may soon have to decide.
The ASX-listed Resolute Mining said shareholders who hold 5,000 or more Resolute shares can opt to receive their dividend payment in gold through a personal account held with the government guaranteed Perth Mint.
Resolute's managing director and CEO, John Welborn, said in a statement the company's strong performance allowed for the adoption of the unique dividend policy.
"Resolute's new gold sales-linked dividend policy rewards our shareholders by providing a sustainable income stream that allows direct participation in our ongoing production success," said Welborn.
Resolute, which operates gold mines in Australia and Africa, announced on Tuesday it will pay a final dividend of 1.7 Australian cents (1.28 cents) per share for fiscal 2016.
It will pay out a total of A$11.1 million in dividends, which amounts to 2 percent of the gold miner's fiscal 2016 gold sales revenue of A$555 million. As of June 30, 2016, Resolute had A$102 million in cash and bullion.