08:19 AM EDT, 07/09/2024 (MT Newswires) -- Amerigo Resources Ltd. ( ARREF ) , which lost more than 3% yesterday, on Tuesday declared the company's first Performance Dividend. The dividend will be in the amount of C$0.04 per share, payable on August 6, 2024, to shareholders of record as of July 16, 2024.

Based on Amerigo's June 30, 2024, share closing price of C$1.55, this Performance Dividend, along with the company's quarterly dividends of C$0.03 per share, represents an annual dividend yield of 10.3%. ARG said its Capital Return Strategy to investors is now fully deployed.

"This initial Performance Dividend provides significant, immediate, and additional investment returns to shareholders. It also demonstrates Amerigo's unique ability to share the benefit of strong copper prices with investors promptly," said Aurora Davidson, Amerigo's President and CEO. "With this first Performance Dividend, Amerigo has now deployed all three tools in the company's comprehensive Capital Return Strategy."

Davidson added: "The strong copper prices we experienced last quarter confirmed our long-standing view on the strength of copper supply and demand fundamentals. The positive impact of these recent copper prices also demonstrated Amerigo's ability to generate substantial excess cash for shareholders. This is possible because of Amerigo's excellent operating performance and low debt and capital requirements. This combination is powerfully and predictably generating a strong Return on Invested Capital for the company and shareholders.

"In less than a quarter, our cash reserves have reached targeted levels, allowing more than the equivalent of an additional quarterly dividend to be paid to shareholders. Amerigo's Performance Dividend is a flexible mechanism with regard to timing, frequency and the amount of capital returned to shareholders. We look forward to a strong second half of 2024."