Ramelius launches A$250m buyback

The changes, announced this week, form part of the Ramelius' updated capital allocation framework for 2026 and 2027, which prioritises reinvestment in the business, increased shareholder returns and maintaining a strong balance sheet. The shift follows several years of investment, including the acquisition of Cue and a staged build-up of its stake in Spartan Resources.

MD Mark Zeptner said on Wednesday that the buyback and higher dividend were backed by Ramelius’ strong cash-generation record and confidence in future returns.

“We remain fully funded, our production profile is growing and we anticipate further increases in our free cash flow returns,” he said. As the company’s capital investments mature, he added, Ramelius expected to provide “even better returns” to shareholders.

Ramelius is pursuing organically driven growth with a focus on mine extensions and targeted exploration. Development of the Never Never underground mine at Dalgaranga will continue over the next two financial years, with steady-state output of about one-million tonnes a year expected early in the 2028 financial year.

At the Mt Magnet hub, Ramelius plans to expand the processing plant’s capacity from the current 1.8-million to 2-million tonnes a year to 4.3-million tonnes a year by the September quarter of 2027. Preparations for the Eridanus Stage 3 cutback will begin in late 2026, and exploration results from the December quarter are scheduled for release in January.

The company will also run a substantial exploration programme in the 2026 financial year across Penny North, Saturn, Mars, Hesperus, Perseverance South, West Winds, Four Pillars and Applewood, targeting extensions and potential new underground opportunities.

The share buyback is expected to begin about December 24, with the timing and volume of purchases to depend on market conditions and the prevailing share price.

The minimum dividend increase to $0.02 a share equates to a payout of about A$38.5-million a year.