Susan Taylor of Reuters wrote an article which states Newmont Mining – one of the largest gold mining companies in the world has a cash balance of $3.1 billion. Giving the rising outlook for gold, the company has cut its debt by more than 70% since 2013, the cash balance could go to shareholders in the form of boosting the dividend.

Colorado based Newmont Mining biggest debt payments come due in 2019, there is a window of opportunity to give excess cash back to shareholders. This year the company expects to produce a little over 5 million ounces of gold. In the mining world, Newmont has a window of opportunity to do something with its cash. Chris Mancini an analyst at Gabelli Gold Fund says a potential option is issuing a one time special payment. The fund could also boost its gold priced linked dividend again. At a price of $1,250 an ounce that would translate to 30 cents a share.

Linking to dividend paying stocks, Newmont has the ideal problem, given the company is profitable and has lowered its debt it has the ability to do something with its cash. It could buy another company or give the money to shareholders who will either reinvest it or buy something else. That is a good choice to have.

There are more questions than answers, till the next time – to raising questions.