SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of February, 2024
Commission File Number: 001-13382
KINROSS GOLD
CORPORATION
(Translation of registrant's name into English)
17th Floor, 25 York Street,
Toronto, Ontario M5J 2V5
(Address of principal executive offices)
Indicate by check mark whether
the registrant files or will file annual reports under cover of Form 20-F or Form 40F:
This Current Report on Form 6-K, dated February 14, 2024 is specifically incorporated by reference into Kinross Gold Corporation's Registration Statements on Form S-8 [Registration No.
333-262966 filed on February 24, 2022, Registration No. 333-217099 filed on April 3, 2017 and Registration Nos. 333-180824, 333-180823
and 333-180822 filed on April 19, 2012.]
Page 2
This report on Form 6-K is being furnished for the sole purpose of providing copies of the two press releases dated February 14, 2024
in which Kinross Gold Corporation reported its audited results for the fourth quarter and full-year ended December 31, 2023, and declared
a dividend to be paid on March 21, 2024.
INDEX
Table of Contents
SIGNATURES
EXHIBIT INDEX
Page 3
SIGNATURES
Pursuant to the requirements
of Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.
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KINROSS GOLD CORPORATION |
| |
|
| |
Signed: //Lucas R. Crosby// |
| |
Vice President, General Counsel – Corporate and Corporate Secretary |
February 14, 2024
Exhibit 99.1
 |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
For more information,
please see Kinross’ 2023 Q4/year-end
Financial Statements and MD&A
at www.kinross.com
NEWS RELEASE
Kinross reports
2023 fourth-quarter and full-year results
Delivers on 2023 guidance, strong
2024 outlook of 2.1 million Au eq. oz.
Tasiast and La Coipa projects completed
driving significant free cash flow
Great Bear exceeds expectations and adds more than one million high-grade inferred ounces
Toronto, Ontario
– February 14, 2024 – Kinross Gold Corporation (TSX: K, NYSE: KGC) (“Kinross” or the “Company”)
today announced its results for the fourth-quarter and year ended December 31, 2023.
This news release contains forward-looking information about expected
future events and financial and operating performance of the Company. We refer to the risks and assumptions set out in our Cautionary
Statement on Forward-Looking Information located on page 48 of this release. All dollar amounts are expressed in U.S. dollars, unless
otherwise noted.
2023 full-year results and 2024 guidance:
| |
|
2023 guidance
(+/- 5%) |
|
|
Q4 2023 results |
|
|
2023 full-year
results |
|
|
2024 guidance
(attributable)1
(+/- 5%) |
|
| Gold equivalent production1
(ounces) |
|
|
2.1 million |
|
|
|
546,513 |
|
|
|
2.15 million |
|
|
|
2.1 million |
|
Production cost of sales1,2
($ per Au eq. oz.) |
|
|
$970 |
|
|
|
$976 |
|
|
|
$942 |
|
|
|
$1,020 |
|
All-in sustaining cost1,2,3
($ per Au eq. oz.) |
|
|
$1,320 |
|
|
|
$1,353 |
|
|
|
$1,316 |
|
|
|
$1,360 |
|
Attributable1 capital
expenditures4 (million) |
|
|
$1,000 million |
|
|
|
$298 million
(Capital expenditures
of $311 million4) |
|
|
|
$1,055 million
(Capital expenditures of
$1,098 million4) |
|
|
|
$1,050 million |
|
| ● | Attributable1 production in 2024 is
expected to be 2.1 million Au eq. oz. Kinross has forecasted stable production guidance of approximately 2.0 million attributable
Au eq. oz. in each of 2025 and 2026. |
Operational, development project
and exploration highlights:
| ● | Tasiast had record throughput in Q4 2023
and achieved record full-year production. It remains well-positioned to deliver another strong year in 2024. |
| ● | La Coipa achieved record quarterly production
driven by strong throughput and grades. |
| ● | Paracatu delivered another year of steady
production including record recovery in 2023. |
| ● | Tasiast, Paracatu and La Coipa
represented nearly 70% of production and were the lowest cost mines in the portfolio, contributing significant free cash flow. |
| ● | Great Bear increased its year-over-year
inferred resource estimate by 45%, adding more than one million ounces primarily driven by high-grade underground additions. Kinross has
increased Great Bear’s mineral resource estimate to approximately 2.8 million Au oz. of measured and indicated mineral resources,
and to approximately 3.3 million ounces of inferred mineral resources. |
| ● | At Manh Choh, mining activities are well
underway including the commencement of ore mining and stockpiling. The project remains on budget and on schedule for initial production
in the second half of 2024. |
| ● | At Round Mountain, mining of Phase
S has commenced. Development of the Phase X exploration decline is approaching the target mineralization, with drilling activities
having commenced in early 2024 and set to ramp up through the year. |
1 “Attributable” includes Kinross’ 70% share
of Manh Choh production, costs and capital expenditures. Attributable guidance figures are non-GAAP financial measures and ratios. Refer
to footnote 3.
2 “Production cost of sales from continuing operations per
equivalent ounce sold” is defined as production cost of sales, as reported on the consolidated statements of operations, divided
by total gold equivalent ounces sold from continuing operations.
3 These figures are non-GAAP financial measures and ratios, as
applicable. They are defined and actual results are reconciled on pages 26 to 30 of this news release. Non-GAAP financial measures and
ratios have no standardized meaning under IFRS and therefore, may not be comparable to similar measures presented by other issuers.
4 Capital expenditures is reported as "Additions to property, plant
and equipment" on the consolidated statements of cash flows.
| p. 1 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
2023 Q4 and full-year highlights:
| ● | Production of 546,513 Au eq. oz. in Q4
2023, and 2,153,020 Au eq. oz. in 2023. |
| ● | Production cost of sales2 of
$976 per Au eq. oz. in Q4 2023, and $942 per Au eq. oz. in 2023. |
| ● | All-in sustaining cost3 of
$1,353 per Au eq. oz. sold in Q4 2023, and $1,316 per Au eq. oz. sold in 2023. |
| ● | Margins5
of $998 per Au eq. oz. sold in Q4 2023, and $1,003 for 2023. |
| ● | Operating
cash flow6 of $410.9 million in Q4 2023, and $1,605.3 million in 2023. |
| ● | Adjusted operating cash flow3 was
$407.4 million in Q4 2023, and $1,669.9 million in 2023. |
| ● | Attributable free cash flow3
was $116.7 million in Q4 2023, and $559.7 million in 2023. |
| ● | Reported
net earnings7 of $65.4 million in Q4 2023, or $0.06 per share, and $416.3 million,
or $0.34 per share, in 2023. |
| ● | Adjusted
net earnings3,8 of $140.0 million, or $0.11 per share in Q4 2023, and $539.8 million,
or $0.44 per share, in 2023. |
| ● | Cash
and cash equivalents of $352.4 million, and total liquidity9 of $1.9 billion
at December 31, 2023. The Company also continued to prioritize debt reduction, repaying the remaining balance on both its Tasiast
loan and revolving credit facility in Q4 2023. |
| ● | Kinross’ Board of Directors declared a
quarterly dividend of $0.03 per common share payable on March 21, 2024, to shareholders of record at the close of business
on March 6, 2024. |
CEO Commentary:
J. Paul Rollinson, President and CEO, made the following comments
in relation to 2023 fourth-quarter and year-end results:
“2023 was a great year at Kinross and I
am proud of our global team who achieved the results that underpin our reputation as strong operators. We met our production, cost and
capital guidance, and completed our projects at Tasiast and La Coipa. Our portfolio of mines produced solid results, we more than doubled
free cash flow year-over-year while maintaining our investment grade balance sheet, and we are carrying this momentum into 2024.
“We expect
to deliver another strong year in 2024, producing approximately 2.1 million gold equivalent ounces. Our development projects are progressing
well and we look forward to first production from Manh Choh in the second half of the year. Great Bear continues to exceed expectations
and we were excited to add more than one million ounces of higher-grade underground resource. We continue to successfully target extensions
of the resource at depth, reinforcing our view that Great Bear has the potential to be a large, long-life, high-grade mining complex.
“Operating responsibly, delivering on our
commitments and advancing our ESG strategy continue to be key principles of our day-to-day operations. Kinross was recently named to the
Dow Jones Sustainability World Index, reflecting our commitment to corporate citizenship as a core value and key strategic driver of our
business. We expect to publish our 2023 Sustainability and ESG Report in May and some highlights from the year include:
| ● | Completed construction of the solar power plant
at Tasiast and are on track to achieve our goal of reducing emissions intensity by 30% by 2030 from our 2021 baseline; |
| ● | In Brazil, we published a book on the Cerrado
biodiversity corridor, highlighting the importance of protecting this critical region and the strategic approach taken by our Paracatu
site; |
| ● | Made approximately $10 million of monetary and
in-kind contributions through site social investments; and |
| ● | Established the “Kinross Alaska Future
Leaders” scholarship at the University of Alaska Fairbanks focused on advancing the inclusion of underrepresented people in the
resource industry.” |
5 “Margins” from continuing operations per equivalent
ounce sold is defined as average realized gold price per ounce from continuing operations less production cost of sales from continuing
operations per equivalent ounce sold.
6 Operating cash flow figures in this release represent “Net
cash flow of continuing operations provided from operating activities,” as reported on the consolidated statements of cash flows.
7 Earnings, net earnings, and reported net earnings (loss) figures
in this release represent “Net earnings (loss) from continuing operations attributable to common shareholders,” as reported
on the consolidated statements of operations.
8 Adjusted net earnings figures in this news release represent
“Adjusted net earnings from continuing operations attributable to common shareholders.”
9 “Total liquidity” is defined as the sum of cash and
cash equivalents, as reported on the consolidated balance sheets, and available credit under the Company’s credit facilities (as
calculated in Section 6 Liquidity and Capital Resources of Kinross’ MD&A for the year ended December 31, 2023).
| p. 2 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Financial results
Summary of financial and operating
results
| | |
Three months ended | | |
Years ended | |
| | |
December 31, | | |
December 31, | |
| (unaudited, in millions of U.S. dollars, except ounces, per share amounts, and per ounce amounts) | |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| Operating Highlights | |
| | | |
| | | |
| | | |
| | |
| Total gold equivalent ounces from continuing operations(a),(b) | |
| | | |
| | | |
| | | |
| | |
| Produced | |
| 546,513 | | |
| 595,683 | | |
| 2,153,020 | | |
| 1,957,237 | |
| Sold | |
| 565,389 | | |
| 620,599 | | |
| 2,179,936 | | |
| 1,927,818 | |
| | |
| | | |
| | | |
| | | |
| | |
| Financial Highlights from Continuing Operations(a) | |
| | | |
| | | |
| | | |
| | |
| Metal sales | |
$ | 1,115.7 | | |
$ | 1,076.2 | | |
$ | 4,239.7 | | |
$ | 3,455.1 | |
| Production cost of sales | |
$ | 552.0 | | |
$ | 526.5 | | |
$ | 2,054.4 | | |
$ | 1,805.7 | |
| Depreciation, depletion and amortization | |
$ | 271.7 | | |
$ | 251.9 | | |
$ | 986.8 | | |
$ | 784.0 | |
| Impairment charges and asset derecognition | |
$ | 38.9 | | |
$ | 350.0 | | |
$ | 38.9 | | |
$ | 350.0 | |
| Operating earnings | |
$ | 193.5 | | |
$ | (160.1 | ) | |
$ | 801.4 | | |
$ | 117.7 | |
| Net earnings (loss) from continuing operations attributable to common shareholders | |
$ | 65.4 | | |
$ | (106.0 | ) | |
$ | 416.3 | | |
$ | 31.9 | |
| Basic earnings (loss) per share from continuing operations attributable to common shareholders | |
$ | 0.06 | | |
$ | (0.08 | ) | |
$ | 0.34 | | |
$ | 0.02 | |
| Diluted earnings (loss) per share from continuing operations attributable to common shareholders | |
$ | 0.06 | | |
$ | (0.08 | ) | |
$ | 0.34 | | |
$ | 0.02 | |
| Adjusted net earnings from continuing operations attributable to common shareholders(c) | |
$ | 140.0 | | |
$ | 108.2 | | |
$ | 539.8 | | |
$ | 283.1 | |
| Adjusted net earnings from continuing operations per share(c) | |
$ | 0.11 | | |
$ | 0.09 | | |
$ | 0.44 | | |
$ | 0.22 | |
| Net cash flow of continuing operations provided from operating activities | |
$ | 410.9 | | |
$ | 474.3 | | |
$ | 1,605.3 | | |
$ | 1,002.5 | |
| Adjusted operating cash flow from continuing operations(c) | |
$ | 407.4 | | |
$ | 496.1 | | |
$ | 1,669.9 | | |
$ | 1,256.5 | |
| Capital expenditures from continuing operations(d) | |
$ | 311.3 | | |
$ | 316.8 | | |
$ | 1,098.3 | | |
$ | 764.2 | |
| Attributable(g) capital expenditures from continuing operations(c) | |
$ | 297.7 | | |
$ | 312.7 | | |
$ | 1,055.0 | | |
$ | 755.0 | |
| Attributable(g) free cash flow from continuing operations(c) | |
$ | 116.7 | | |
$ | 162.6 | | |
$ | 559.7 | | |
$ | 247.3 | |
| Average realized gold price per ounce from continuing operations(e) | |
$ | 1,974 | | |
$ | 1,731 | | |
$ | 1,945 | | |
$ | 1,793 | |
| Production cost of sales from continuing operations per equivalent ounce(b) sold(f) | |
$ | 976 | | |
$ | 848 | | |
$ | 942 | | |
$ | 937 | |
| Production cost of sales from continuing operations per ounce sold on a by-product basis(c) | |
$ | 936 | | |
$ | 793 | | |
$ | 892 | | |
$ | 912 | |
| All-in sustaining cost from continuing operations per ounce sold on a by-product basis(c) | |
$ | 1,328 | | |
$ | 1,203 | | |
$ | 1,284 | | |
$ | 1,255 | |
| All-in sustaining cost from continuing operations per equivalent ounce(b) sold(c) | |
$ | 1,353 | | |
$ | 1,236 | | |
$ | 1,316 | | |
$ | 1,271 | |
| Attributable(g) all-in cost from continuing operations per ounce sold on a by-product basis(c) | |
$ | 1,699 | | |
$ | 1,525 | | |
$ | 1,619 | | |
$ | 1,538 | |
| Attributable(g) all-in cost from continuing operations per equivalent ounce(b) sold(c) | |
$ | 1,709 | | |
$ | 1,540 | | |
$ | 1,634 | | |
$ | 1,545 | |
| (a) | Results for the three months and year-ended December 31, 2023 and 2022 are from continuing operations and exclude results
from the Company’s Chirano and Russian operations due to the classification of these operations as discontinued and their sale in
2022. |
| (b) | “Gold equivalent ounces” include silver ounces produced and sold converted to a gold equivalent based on a ratio of
the average spot market prices for the commodities for each period. The ratio for 2023 was 83.13:1 (2022 – 82.90:1). |
| (c) | The definition and reconciliation of these non-GAAP financial measures and ratios is included on pages 26 to 30 of this news
release. Non-GAAP financial measures and ratios have no standardized meaning under IFRS and therefore, may not be comparable to similar
measures presented by other issuers. |
| (d) | “Capital expenditures from continuing operations” is as reported as “Additions to property, plant and equipment”
on the consolidated statements of cash flows. |
| (e) | “Average realized gold price per ounce from continuing operations” is defined as gold metal sales from continuing operations
divided by total gold ounces sold from continuing operations. |
| (f) | “Production cost of sales from continuing operations per equivalent ounce sold” is defined as production cost of sales
divided by total gold equivalent ounces sold from continuing operations. |
| (g) | “Attributable” includes Kinross’ share of Manh Choh (70%) costs, capital expenditures and cash flow, as appropriate. |
The following operating and financial results
are based on fourth-quarter and year-end 2023 gold equivalent production:
Production:
Kinross produced 546,513 Au eq. oz. from continuing operations in Q4 2023, compared with 595,683 Au eq. oz. from continuing operations
in Q4 2022.
Over the full year, Kinross produced 2,153,020
Au eq. oz. from continuing operations, compared with full-year 2022 production of 1,957,237 Au eq. oz. from continuing operations. The
10% year-over-year increase was largely a result of higher production at La Coipa due to the ramp-up of operations in the second half
of 2022, and higher mill grades, recoveries and throughput at Tasiast, partially offset by lower production at Bald Mountain, consistent
with the mine plan.
Average realized
gold price: The average realized gold price from continuing operations in Q4 2023 was $1,974 per ounce, compared with $1,731
per ounce in Q4 2022. For full-year 2023, the average realized gold price per ounce from continuing operations was $1,945, compared with
$1,793 per ounce for full-year 2022.
Revenue:
During the fourth quarter, revenue from continuing operations increased to $1,115.7 million, compared with $1,076.2 million during Q4
2022. Revenue from continuing operations increased to $4,239.7 million for full-year 2023, compared with $3,455.1 million for full-year
2022. The 23% year-over-year increase is due to the increase in production at Tasiast and La Coipa and higher average realized gold price.
| p. 3 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Production cost
of sales: Production cost of sales from continuing operations per Au eq. oz.2 sold was $976 for Q4 2023, compared
with $848 in Q4 2022. Production cost of sales from continuing operations per Au eq. oz.2 sold was $942 for full-year 2023,
largely in line with $937 per Au eq. oz. for full-year 2022.
Production cost of sales from continuing operations
per Au oz. sold on a by-product basis3 was $936 in Q4 2023 compared with $793 in Q4 2022, based on gold sales of 543,173 ounces
and silver sales of 1,890,563 ounces. Production cost of sales from continuing operations per Au eq. oz. sold on a by-product basis3
was $892 for full-year 2023, in line with $912 for full-year 2022, based on 2023 gold sales of 2,074,989 ounces and silver sales of 8,718,491
ounces.
Margins5:
Kinross’ margin from continuing operations per Au eq. oz. sold was $998 for Q4 2023, compared with the Q4 2022 margin of $883. Full-year
2023 margin from continuing operations per Au eq. oz. sold was $1,003, compared with $856 for full-year 2022.
All-in sustaining
cost3: All-in sustaining cost from continuing operations per Au eq. oz. sold was $1,353 in Q4 2023, compared with
$1,236 in Q4 2022. Full-year all-in sustaining cost from continuing operations per Au eq. oz. sold was $1,316, compared with $1,271 for
full-year 2022.
In Q4 2023, all-in sustaining cost from continuing
operations per Au oz. sold on a by-product basis3 was $1,328, compared with $1,203 in Q4 2022. All-in sustaining cost from
continuing operations per Au oz. sold on a by-product basis3 was $1,284 for full-year 2023, compared with $1,255 in 2022.
Operating cash
flow6: Operating cash flow from continuing operations was $410.9 million for Q4 2023, compared with $474.3 million
for Q4 2022. Operating cash flow from continuing operations for full-year 2023 was $1,605.3 million, compared with $1,002.5 million for
full-year 2022, primarily due to the increase in margins.
Adjusted operating cash flow3 from
continuing operations for Q4 2023 was $407.4 million, compared with $496.1 million for Q4 2022. Adjusted operating cash flow3
from continuing operations for full-year 2023 was $1,669.9 million, compared with $1,256.5 million in 2022.
Attributable1
free cash flow3: Attributable free cash flow from continuing operations was $116.7 million in Q4 2023, compared
with $162.6 million in Q4 2022. Attributable free cash flow for full-year 2023 from continuing operations was $559.7 million compared
with attributable free cash flow of $247.3 million in 2022.
Earnings7:
Reported net earnings from continuing operations were $65.4 million for Q4 2023, or $0.06 per share, compared with reported net loss of
$106.0 million, or $0.08 per share, for Q4 2022. Full-year reported net earnings in 2023 were $416.3 million, or $0.34 per share, compared
with reported net earnings of $31.9 million, or $0.02 per share, in 2022.
Adjusted net earnings3,8 from continuing
operations were $140.0 million, or $0.11 per share, for Q4 2023, compared with $108.2 million, or $0.09 per share, for Q4 2022. Full-year
adjusted net earnings3,8 from continuing operations were $539.8 million, or $0.44 per share, compared with $283.1 million,
or $0.22 per share, for full-year 2022.
Attributable1
capital expenditures4: Full-year attributable capital expenditures from continuing operations were $1,055.0 million
compared with $755.0 million for 2022. The full-year increase was primarily due to an increase in capital stripping at Tasiast and Fort
Knox, and increased development activities at the Manh Choh project. Capital expenditures from continuing operations4 were
$311.3 million for Q4 2023, compared with $316.8 million for Q4 2022. Capital expenditures from continuing operations4 for
full-year 2023 were $1,098.3 million, compared with $764.2 million in 2022.
| p. 4 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Balance sheet
During the quarter, the Company repaid the $140.0
million balance on its Tasiast loan, ahead of its 2027 maturity date, and the remaining $50 million balance on the revolving credit facility.
After the repayments, Kinross had cash and cash
equivalents of $352.4 million as of December 31, 2023, compared with $418.1 million at December 31, 2022.
The Company had
additional available credit10 of $1,557.5 million as of December 31, 2023, and total liquidity9 of
approximately $1.9 billion.
Return of capital
As part of its continuing quarterly dividend
program, the Company declared a dividend of $0.03 per common share payable on March 21, 2024, to shareholders of record as of March 6,
2024. In 2023, the Company did not repurchase any shares.
Operating results
Mine-by-mine summaries for 2023 fourth-quarter
and full-year operating results may be found on pages 21 and 25 of this news release. Highlights include the following:
Tasiast performed
strongly in 2023, with production increasing 15% compared with full-year 2022. The record annual production was mainly a result of strong
grades, record throughput following the completion of the Tasiast 24k project, and higher recoveries. Quarter-over-quarter, production
was lower as a result of lower grades and timing of ounces processed at the mill, partially offset by higher throughput and recovery.
Tasiast’s
full-year cost of sales per ounce was lower year-over-year mainly due to the increase in production as well as the higher proportion
of capital development related to capital stripping of West Branch 5. Cost of sales per ounce sold was largely in line quarter-over-quarter.
Following the completion of the solar power plant, the Company expects to realize immediate and long-term operating cost savings.
Paracatu
full-year production increased compared with 2022 primarily due to an increase in mill throughput, as well as record-high recoveries,
partially offset by lower grades. Production decreased quarter-over-quarter mainly due to lower grades, as expected, partially offset
by higher mill throughput. Cost of sales per ounce sold was higher in both comparable periods mainly due to lower ounces sold and increased
mining volumes, as expected, and unfavourable foreign exchange changes.
La Coipa
continued to perform well and achieved record quarterly production since its restart in February 2022 driven by strong grades and
throughput. Cost of sales per ounce was higher year-over-year and quarter-over-quarter mainly due to a reduction in capitalized stripping.
Fort Knox full-year
production and cost of sales were largely in line with 2022. Quarter-over-quarter production increased mainly due to higher mill throughput
as well as timing of ounces processed in the mill. Compared with Q3 2023, cost of sales per ounce sold was higher mainly due to less
capital development, partially offset by higher production.
Round Mountain
full-year production increased year-over-year primarily due to an increase in ounces recovered from the heap leach pads. Quarter-over-quarter
production decreased primarily due to fewer ounces recovered from the heap leach pads, partially offset by higher grades. Full-year cost
of sales per ounce increased year-over-year mainly as a result of higher-cost ounces recovered from the heap leach pads and less capital
development. Cost of sales per ounce sold in Q4 2023 decreased compared with the previous quarter largely due to lower costs related
to labour and consumables, partly offset by timing of inventory movements.
Bald Mountain
full-year production decreased largely due to lower grades and timing of ounces recovered from the heap leach pads. Compared
with the previous quarter, production increased mainly due to higher grades. Full-year cost of sales per ounce sold increased as a result
of higher-cost heap leach ounces, as well as higher contractor, reagent and maintenance costs. Compared with Q3 2023, fourth quarter
cost of sales per ounce sold was lower mainly due to higher production, a higher proportion of capital development, and lower contractor
and reagent costs, partially offset by timing of ounces recovered.
10 “Available credit”
is defined as available credit under the Company’s credit facilities and is calculated in Section 6 Liquidity and Capital Resources
of Kinross’ MD&A for the year ended December 31, 2023.
| p. 5 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Development projects
Great Bear
At the Great Bear
project, the Company’s robust exploration program continues to make excellent progress, execution planning for the advanced exploration
program is well underway, and permitting continues to advance on plan.
Following the completion
of its 2023 drilling program, Kinross has increased Great Bear’s mineral resource estimate to approximately 2.8 Moz. of measured
and indicated resources and approximately 3.3 Moz. of inferred resources. This includes the addition of more than one million higher-grade,
underground inferred ounces, representing a 45% year-over-year increase.
Kinross continues to add higher-grade material
to the underground resource base, as demonstrated by the year-over-year increase in the inferred grade, which went from 3.6 g/t to 4.5
g/t. While the primary additions were in the LP zone, resources at Hinge and Limb, traditional Red Lake style deposits proximal to the
LP zone, also increased. Further, high-grade intercepts below the resource at Hinge in 2023 demonstrated the potential for this mineralization
to also continue at depth potentially supplementing LP zone production in the future.
The updated mineral resource estimate is set out in the table below:
| |
| Great
Bear Mineral Resource estimates | | |
| | | |
| | |
| | |
| 2022
(Au koz) | | |
| Year-over-year additions (Au koz) | | |
| 2023
(Au koz) | | |
| Grade (Au g/t) | |
| Measured and Indicated Resources | |
| 2,737 | | |
| 75 | | |
| 2,813 | | |
| 2.7 | |
| Inferred Resources | |
| 2,290 | | |
| 1,025 | | |
| 3,315 | | |
| 4.5 | |
Since the last update
on November 8, 2023, the Company has received additional assay results, with a selection of the new results highlighted below. Recent
results highlighted in this release were received after the 2023 resource database cut-off and have not been used to inform year end resource
figures.
Notable exploration results at Great
Bear in the fourth quarter include:
| ● | BR-807 (Discovery) 2.7m @ 9.7 g/t Au at a vertical depth of 880m |
| ● | BR-814C6 (Yauro) 6.6m @ 8.4 g/t Au at a vertical depth of 750m |
| o | Including 2.3m @ 23.3 g/t Au |
| ● | BR-819 (Auro) 8.9m @ 13.9 g/t Au at a vertical depth of 700m |
| o | Including 2.3m @ 51.5 g/t Au |
| ● | BR-843AC1A (Yuma) 15.4m @ 89.1 g/t Au at a vertical depth of 900m |
| o | Including 3.5m @ 389.6 g/t Au |
| ● | BR-890 (Discovery) 1.6m @ 18.8 g/t Au at a vertical depth of 1070m |
These results continue to support the view of
a high-grade, large, long-life mining complex at Great Bear. Hole BR-843AC1A has intersected 3.5m @ 389.6 g/t at 900m vertical depth at
Yuma and is expected to further increase the grade of already high-grade resource stopes in that area. Holes BR-814C6 and BR-819 demonstrate
the continuity of wide, high-grade mineralization below the current resource at Yauro and Auro respectively. To the northwest, holes BR-807
and BR-890A have intersected high-grade mineralization at depths of 880m and 1070m respectively, vertically below surface which highlights
the highly prospective undertested area beneath Discovery.
| p. 6 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Kinross is progressing provincial permitting,
engineering, and execution planning activities for an advanced exploration (AEX) program that would establish an underground decline to
obtain a bulk sample and allow for definition and infill drilling in the LP zone. The mining lease for the main AEX surface footprint
has now been received, providing Kinross with the necessary surface and mining rights to develop the AEX project, subject to obtaining
the required provincial permits.
Detailed engineering
for AEX infrastructure is well underway, and orders have been placed for the onsite camp and high-quality water treatment facility. Procurement
activities for additional infrastructure and site construction activities are progressing well.
Kinross is targeting
a start of the surface construction for the AEX program in the second half of 2024, subject to receipt of permits, with start of the underground
decline planned in mid-2025.
For the main project,
Kinross continues to advance technical studies, including engineering and field test work campaigns, with plans to release the results
of this work in the form of a preliminary economic assessment in the second half of 2024.
The required Federal
Impact Assessment for the main project is underway. The Initial Project Description has been submitted to the Impact Assessment Agency
of Canada, formally kicking off the federal assessment process. The Detailed Project Description is expected to be formally submitted
in Q1 2024. Studies are ongoing and the Company expects to file its Impact Statement in the first half of 2025.
Selected Great Bear Drill Results
See Appendix A for full results.
| Hole ID | |
| |
From (m) | |
To
(m) | |
Width (m) | |
True
Width (m) | |
Au
(g/t) | |
Target |
| BR-807 | |
| |
964.5 | |
980.6 | |
16.1 | |
14.1 | |
0.59 | |
Discovery |
| BR-807 | |
and | |
994.5 | |
1,009.5 | |
15.0 | |
13.2 | |
1.65 | |
|
| BR-807 | |
including | |
1,002.3 | |
1,008.0 | |
5.8 | |
5.1 | |
3.33 | |
|
| BR-807 | |
and | |
1,027.2 | |
1,037.7 | |
10.5 | |
9.2 | |
0.44 | |
|
| BR-807 | |
and | |
1,059.0 | |
1,069.5 | |
10.5 | |
9.2 | |
0.89 | |
|
| BR-807 | |
and | |
1,084.8 | |
1,089.0 | |
4.2 | |
3.7 | |
1.74 | |
|
| BR-807 | |
and | |
1,095.7 | |
1,209.0 | |
113.3 | |
99.7 | |
0.67 | |
|
| BR-807 | |
including | |
1,106.7 | |
1,109.7 | |
3.0 | |
2.7 | |
9.68 | |
|
| BR-807 | |
and including | |
1,207.9 | |
1,209.0 | |
1.2 | |
1.0 | |
21.70 | |
|
| BR-814C6 | |
| |
717.7 | |
729.4 | |
11.7 | |
9.4 | |
0.71 | |
Yauro |
| BR-814C6 | |
and | |
893.3 | |
897.2 | |
3.9 | |
3.1 | |
0.61 | |
|
| BR-814C6 | |
and | |
910.8 | |
919.0 | |
8.3 | |
6.6 | |
8.40 | |
|
| BR-814C6 | |
including | |
913.2 | |
916.0 | |
2.9 | |
2.3 | |
23.32 | |
|
| BR-814C6 | |
and | |
928.0 | |
931.3 | |
3.3 | |
2.6 | |
0.72 | |
|
| BR-814C6 | |
and | |
1,036.5 | |
1,040.5 | |
4.0 | |
3.2 | |
6.91 | |
|
| BR-814C6 | |
including | |
1,037.5 | |
1,040.5 | |
3.0 | |
2.4 | |
8.78 | |
|
| BR-814C6 | |
and | |
1,068.0 | |
1,074.6 | |
6.6 | |
5.2 | |
0.72 | |
|
| BR-819 | |
| |
849.2 | |
855.7 | |
6.5 | |
5.7 | |
0.38 | |
Auro |
| BR-819 | |
and | |
876.0 | |
886.2 | |
10.2 | |
8.9 | |
13.87 | |
|
| BR-819 | |
including | |
879.0 | |
881.7 | |
2.7 | |
2.3 | |
51.45 | |
|
| BR-843AC1A | |
| |
1,317.1 | |
1,336.4 | |
19.3 | |
15.4 | |
89.14 | |
Yuma |
| BR-843AC1A | |
including | |
1,317.1 | |
1,321.5 | |
4.4 | |
3.5 | |
389.57 | |
|
| BR-843AC1A | |
and | |
1,481.8 | |
1,484.8 | |
3.0 | |
2.4 | |
2.07 | |
|
| BR-890A | |
| |
1,331.5 | |
1,363.2 | |
31.7 | |
26.3 | |
2.01 | |
Discovery |
| BR-890A | |
including | |
1,361.2 | |
1,363.2 | |
2.0 | |
1.6 | |
18.79 | |
|
| BR-890A | |
and | |
1,369.5 | |
1,375.7 | |
6.2 | |
5.1 | |
0.77 | |
|
Results are preliminary in nature and are subject to on-going QA/QC.
Lengths are subject to rounding.
See Appendix B for a LP zone long section.
| p. 7 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Manh Choh
At the 70% owned Manh Choh project, of
which Kinross is the operator, construction is essentially complete, on budget and on schedule for production in the second half of 2024.
Mining activities are well underway including the commencement of ore mining and stockpiling. Transportation of ore to Fort Knox, where
it will be processed, has commenced and will gradually increase throughout the first half of the year.
Modifications to the Fort Knox mill continue to
progress on schedule and on budget. Construction of the conveyors and associated buildings are planned for the first quarter along
with interior piping and mechanical installations. The commissioning and operational readiness team is in place and preparing for pre-commissioning
activities following the mechanical completion of each area.
Tasiast solar power plant
At the Tasiast
solar power plant, construction of the solar field and battery system is now complete, with first solar power delivered to the Tasiast
grid in December 2023. Commissioning of the battery system and energy management system will continue in early 2024, supporting the
solar field and battery system integration and power ramp-up. During the first quarter of 2024, grid scenario testing involving incumbent
generators, the solar field, and battery systems will continue toward ensuring stable power from this new renewable energy source. The Tasiast
solar power plant has a continuous power generation capacity of 34MW and an 18MW battery storage system.
Round Mountain
The extension strategy
at Round Mountain is advancing on plan. At Phase S, the operations team is in place and stripping remains on schedule. For
the heap leach pad expansion, detailed engineering is complete, procurement is in progress, and construction activities remain on track.
At Phase X, development
of the exploration decline is progressing well and more than 50% complete, with approximately 1,475 metres developed so far, and is approaching
the target mineralization. Underground definition drilling commenced in early 2024 and is set to ramp up throughout the year. The Company
expects to begin drilling the primary Phase X target in Q2. At Gold Hill, drilling continues to progress as planned with an infill
program from the bottom of the pit and exploration drilling from surface.
Chile
Kinross’ activities in Chile are currently
focused on La Coipa and potential opportunities to extend its mine life. The Lobo-Marte project continues to provide optionality
as a potential large, low-cost mine upon the conclusion of mining at La Coipa. While the Company focuses its technical resources on La
Coipa, it will continue to engage and build relationships with communities related to Lobo-Marte and government stakeholders.
| p. 8 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Company Guidance
The following section of the news release represents
forward-looking information and users are cautioned that actual results may vary. We refer to the risks and assumptions contained in the
Cautionary Statement on Forward-Looking Information on page 48 of this news release.
This Company Guidance section below references
all-in sustaining cost per equivalent ounce sold and sustaining, non-sustaining and attributable capital expenditures, which are non-GAAP
ratios and financial measures, as applicable, with no standardized meaning under IFRS and therefore, may not be comparable to similar
measures presented by other issuers. The definitions of these non-GAAP ratios and financial measures and comparable reconciliations are
included on pages 26 to 30 of this news release.
Attributable1 production
guidance
In 2024, Kinross
expects to produce 2.1 million attributable Au eq. oz.11 (+/- 5%) from its operations, in line with total 2023 production
of 2,153,020 Au eq. oz. Kinross’ annual production is expected to remain stable in 2025 and 2026 at 2.0 million attributable Au
eq. oz.11 (+/- 5%) per year.
| Annual attributable1 gold equivalent
production guidance (+/- 5%) |
|
| 2024 | | |
2.1
million oz. |
|
| 2025 | | |
2.0 million oz. |
|
| 2026 | | |
2.0 million oz. |
|
In 2024, attributable production is expected
to be higher in the second half of the year, which is largely driven by expected initial production at Manh Choh, as well as higher production
at Paracatu.
Attributable1 cost guidance
Production cost
of sales is expected to be $1,020 per Au eq. oz.11 (+/- 5%) for 2024. In 2023, production cost of sales was $942 per
Au eq. oz. The moderate year-over-year increase in 2024 is mainly due to production mix, including higher expected production from the
Company’s U.S. assets and lower production at Paracatu, and inflationary impacts.
The Company expects
its all-in sustaining cost3 to be $1,360 per Au eq. oz. (+/- 5%) for 2024. In 2023, all-in sustaining cost3
was $1,316 per Au eq. oz. sold.
2024 attributable1 production and cost
guidance
| Attributable basis1 | |
Q4 2023
results | | |
2023 full-year results | | |
2024
guidance (+/-
5%) | |
| Gold equivalent basis | |
| | | |
| | | |
| | |
| Production (Au eq. oz.) | |
| 546,513 | | |
| 2.15
million | | |
| 2.1
million11 | |
| Production
cost of sales per Au eq. oz.2 sold | |
$ | 976 | | |
$ | 942 | | |
$ | 1,020 | |
| All-in
sustaining cost per Au eq. oz. sold3 | |
$ | 1,353 | | |
$ | 1,316 | | |
$ | 1,360 | |
11 2024 Gold equivalent ounce production guidance includes approximately 6.5 million ounces of silver.
| p. 9 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
2024 attributable1 production and cost
guidance by country
| Country |
|
2024 production
guidance
(Au eq. oz.)11
(+/-5%) |
|
|
Percentage
of total
forecast
production12 |
|
|
2024 guidance
production cost of sales
(per Au eq. oz. sold)2,11
(+/-5%) |
|
|
2023
production
cost of sales
(per Au eq. oz. sold)2 |
|
| United States |
|
|
730,000 |
|
|
|
35 |
% |
|
$ |
1,330 |
|
|
$ |
1,318 |
|
| Brazil |
|
|
510,000 |
|
|
|
24 |
% |
|
$ |
1,080 |
|
|
$ |
909 |
|
| Chile |
|
|
250,000 |
|
|
|
12 |
% |
|
$ |
800 |
|
|
$ |
681 |
|
| Mauritania |
|
|
610,000 |
|
|
|
29 |
% |
|
$ |
670 |
|
|
$ |
661 |
|
| TOTAL |
|
|
2.1 million |
|
|
|
100 |
% |
|
$ |
1,020 |
|
|
$ |
942 |
|
Material assumptions used to forecast 2024 production
cost of sales are as follows:
| ● | a gold price of $2,000 per ounce; |
| ● | a silver price of $25 per ounce; |
| ● | an oil price of $75 per barrel; |
| ● | foreign exchange rates of: |
| o | 4.75 Brazilian reais to the U.S. dollar; |
| o | 800 Chilean pesos to the U.S. dollar; |
| o | 35 Mauritanian ouguiyas to the U.S. dollar; and |
| o | 1.30 Canadian dollars to the U.S. dollar; |
Taking into account existing currency and oil hedges:
| ● | a 10% change in foreign currency exchange rates13
would be expected to result in an approximate $20 impact on production cost of sales per ounce; |
| ● | specific to the Brazilian real, a 10% change
in this exchange rate would be expected to result in an approximate $40 impact on Brazilian production cost of sales per ounce; |
| ● | specific to the Chilean peso, a 10% change in
this exchange rate would be expected to result in an approximate $30 impact on Chilean production cost of sales per ounce; |
| ● | a $10 per barrel change in the price of oil would
be expected to result in an approximate $3 impact on fuel consumption costs on production cost of sales per ounce; and |
| ● | a $100 change in the price of gold would be expected
to result in an approximate $4 impact on production cost of sales per ounce as a result of a change in royalties. |
Attributable1 capital
expenditures4 guidance
Attributable capital expenditures for 2024 are
forecast to be approximately $1,050 million (+/- 5%) and are summarized in the table below. The 2024 capital expenditures guidance is
in line with 2023 results.
Kinross’ attributable capital expenditures
outlook for 2025 and 2026 is $850 million and $650 million, respectively, based on currently approved projects. As Kinross continues to
develop and optimize its portfolio for production beyond 2026, other projects may be incorporated into its capital expenditures, as well
as potential inflationary impacts, over the 2024-2025 timeframe.
12 The percentages are calculated based on the mid-point of country 2024 forecast production.
13 Refers to all of the currencies in the
countries where the Company has mining operations, fluctuating simultaneously by 10% in the same direction, either appreciating or depreciating,
taking into consideration the impact of hedging and the weighting of each currency within our consolidated cost structure.
| p. 10 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
| Country |
|
Forecast
2024
sustaining
capital14
(+/-5%)
(attributable)1
(million) |
|
|
Forecast
2024
non-
sustaining capital14
(+/-5%)
(attributable)1
(million) |
|
|
Total 2024
forecast capital14
(+/-5%)
(attributable)1
(million) |
|
|
2023
sustaining
capital3
(million) |
|
|
2023 non-
sustaining
capital3
(million) |
|
|
2023 total
capital
(consolidated)
(million) |
|
|
2023 total
capital
(attributable)1
(million) |
|
| U.S. |
|
$ |
250 |
|
|
$ |
180 |
|
|
$ |
430 |
|
|
$ |
303 |
|
|
$ |
216 |
|
|
$ |
519 |
|
|
$ |
476 |
|
| Brazil |
|
$ |
145 |
|
|
$ |
0 |
|
|
$ |
145 |
|
|
$ |
167 |
|
|
$ |
0 |
|
|
$ |
167 |
|
|
$ |
167 |
|
| Chile |
|
$ |
55 |
|
|
$ |
15 |
|
|
$ |
70 |
|
|
$ |
36 |
|
|
$ |
39 |
|
|
$ |
75 |
|
|
$ |
75 |
|
| Mauritania |
|
$ |
50 |
|
|
$ |
270 |
|
|
$ |
320 |
|
|
$ |
46 |
|
|
$ |
263 |
|
|
$ |
309 |
|
|
$ |
309 |
|
| Canada15 and other |
|
$ |
0 |
|
|
$ |
85 |
|
|
$ |
85 |
|
|
$ |
2 |
|
|
$ |
26 |
|
|
$ |
28 |
|
|
$ |
28 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| TOTAL |
|
$ |
500 |
|
|
$ |
550 |
|
|
$ |
1,050 |
|
|
$ |
554 |
|
|
$ |
544 |
|
|
$ |
1,098 |
|
|
$ |
1,055 |
|
2024 sustaining capital14 includes
the following forecast spending estimates:
| ● |
Mine development: |
$115 million (United States); $20 million (Chile); |
| ● |
Mobile equipment: |
$65 million (United States); $60 million (Brazil); $5 million (Chile); $20 million (Mauritania) |
| ● |
Mill facilities: |
$5 million (United States); $25 million (Brazil); $10 million (Chile); $5 million (Mauritania) |
| ● |
Leach facilities: |
$25 million (United States) |
| ● |
Tailings facilities: |
$5 million (United States); $50 million (Brazil), $5 million (Chile); $15 million (Mauritania) |
2024 non-sustaining capital14 includes the following forecast
spending estimates:
| ● |
Tasiast West Branch stripping: |
$235 million |
| ● |
Round Mountain Phase S stripping and others: |
$120 million |
| ● |
Great Bear AEX and studies15: |
$85 million |
| ● |
Manh Choh (70%)16: |
$60 million |
| ● |
Development and growth projects and studies: |
$50 million |
14 Forecast 2024 sustaining, non-sustaining and total forecast capital expenditures are attributable and include Kinross’ share
of Manh Choh (70%) capital expenditures. Actual results as reported for the year ended December 31, 2023, for sustaining, non-sustaining
and total capital expenditures are on a total basis and include 100% of Manh Choh capital expenditures. Sustaining and non-sustaining
capital expenditures are non-GAAP financial measures and are defined and reconciled on page 31 of this news release.
15 Canada’s
forecast for non-sustaining capital expenditures includes approximately $85 million of AEX decline and study costs at the Great Bear project.
16 Manh Choh non-sustaining capital at 100% is estimated to be approximately $85 million.
| p. 11 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Other 2024 guidance
| Category |
|
2024
Guidance |
|
Summary |
| Exploration
and Business Development ($M) |
|
$185 (+/- 5%) |
|
2024
guidance includes approximately $160 million of exploration spend on greenfields, brownfields
and minex exploration targets (2023 - $158.9 million).
For details about the 2024 exploration program, see page 14. |
General
and
Administrative ($M) |
|
$115 (+/- 5%) |
|
Largely
in line with 2023 results. |
Other
Operating Costs
($M) |
|
~$100 |
|
Primarily
relates to studies and permitting activities, as well as care and maintenance and reclamation activities at non-operating sites. |
Effective
Tax Rate
(ETR)17 |
|
33% - 38% |
|
ETR
based on adjusted net earnings3 from continuing operations. |
| Taxes
paid (cash) ($M) |
|
$155 |
|
Taxes
paid is expected to increase by approximately $5 million for every $100/oz movement in the realized gold price. |
| DD&A ($/oz.)18 |
|
$540/oz. (+/- 5%) |
|
The
forecasted increase in DD&A per ounce largely relates to an increase in depreciable asset base, relating to assets recently or
to be put into service for 2024. |
Interest
paid ($M)
(incl. capitalized interest) |
|
$150 |
|
Includes
approximately $105 million of capitalized interest and $45 million of interest expense.
Interest expense excludes accretion of the Company’s reclamation
and remediation obligations, as well as lease liabilities, which for 2023 totaled $39.1 million. |
17 The forecast ETR range for 2024 assumes gold price, foreign exchange and tax rates in the jurisdictions in which the Company operates
remain stable and within 2024 guidance assumptions. The ETR does not include the impact of items which the Company believes are not reflective
of the Company’s underlying performance, such as the impact of net foreign currency translations on tax deductions and taxes related
to prior periods. Management believes that the ETR range provides investors with the ability to better evaluate the Company’s underlying
performance. However, the ETR range is not necessarily an indicator of tax expense recognized under IFRS. The rate is sensitive to the
relative proportion of sales between the Company’s various tax jurisdictions and realized gold prices.
18 DD&A ($/oz) is defined
as depreciation, depletion and amortization, as reported on the consolidated statements of operations, divided by total gold equivalent
ounces sold from continuing operations.
| p. 12 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Environment, Social and Governance
In 2023, Kinross
continued its strong ESG performance through implementation of its ESG strategy, with priority focus areas in Workforce and Communities,
Natural Capital and Climate and Energy. ESG is a key factor in the Company’s culture, business strategy and future growth plans.
Our focus on strong governance was maintained, including a bespoke ESG training session conducted for the Board of Directors. In addition,
updated Social Performance standards were developed, while work began on updating the standards for health and safety, and environment.
Kinross maintained consistently
high ESG ratings as measured by S&P CSA, MSCI, Refinitiv, Moody’s ESG, and Sustainalytics. With a 97th percentile
ranking as of December 31, 2023, in its S&P Global Corporate Sustainability Assessment (CSA), Kinross was named a constituent
of the Dow Jones Sustainability Indices (DJSI) World Index for 2023 and the S&P ESG 1200. In The Globe and Mail’s annual
Board Games governance rating, Kinross maintained its ranking in the top group of Canadian mining companies. Kinross obtained external
assurance of conformance with the Responsible Gold Mining Principles, which were established by the World Gold Council, and was provided
a limited assurance statement as of March 31, 2023. The Company has established an ongoing process to ensure that every Kinross site
meets the conformance requirements every three years.
Across sites, operational
ESG performance focused on the Company’s First Priorities including health and safety, environment, and communities. In health
and safety, the Company maintained low injury frequency rates that were in line with three-year averages and continued its focus on
a people-centric and progressive safety philosophy. In environment, Kinross completed a detailed assessment of the Company’s
status against the requirements of the Task Force on Nature-related Disclosures and plans to use the results to inform development of
a Natural Capital strategy during 2024. At Paracatu, Kinross published a book on the flora and fauna of the Cerrado biodiversity corridor,
also highlighting the Company’s long-term strategy to protect the biodiversity of this critical region in Brazil.
Kinross has also
progressed on its Climate Strategy. Kinross is focused on renewable power purchase agreements, electric autonomous haulage partnerships,
and energy-efficient opportunities across sites. The outcome of these initiatives is that Kinross is on track to achieve its greenhouse
gas reduction goal of reducing emissions intensity by 30% in 2030 from its baseline. The Tasiast solar power plant, which
has power generation capacity of 34MW and a battery system of 18MW, was completed and is expected to provide annualized fuel savings of
17 million litres of heavy oil, with a payback of less than five years. This translates into an 18% reduction of GHG emissions from the
power plant over life of mine. Annualized GHG emissions reductions are estimated at 50 kilotonnes CO2e and, as a result,
22.5% of Tasiast’s energy generation will be from renewable sources.
In host communities, a
high level of interactions was maintained and approximately $10 million of monetary and in-kind contributions were made through site community
investment strategies throughout the year. In the fourth quarter, Kinross Chile donated three fully equipped research facilities to
the University of Atacama’s high altitude research station in the Nevado Tres Cruces National Park near the La Coipa mine.
Kinross’ support
of education and training continued across all our sites. In Alaska, the Company donated $350,000 to the University of Alaska Fairbanks
to establish the ‘Kinross Alaska Future Leaders Scholarship,’ which will focus on advancing the inclusion of underrepresented
people in the resource development industry. In Canada, the endowed Kinross Chair in Environmental Governance at the University of Guelph
continued to advance knowledge, with the most recent Chair exploring links between the environment and reconciliation. In Chile, research
agreements are now in place with the University of Atacama in areas covering health and safety as well as paleontology.
Kinross continued
its close engagement with Indigenous peoples related to its mines and operations. At the Great Bear project in northwestern Ontario,
an updated exploration agreement was signed together with the Wabauskang and Lac Seul First Nations. At the Manh Choh project in
Alaska, a groundbreaking ceremony was held with the presence of the Chief, elders, and delegates from the Native Village of Tetlin, as
well as Alaska’s Governor and other government officials.
| p. 13 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Through an in-depth consultation
process across all Kinross sites and coordinated through the Kinross Global Inclusion and Diversity Council, an updated Diversity,
Equity and Inclusion Strategy was developed. Roll-out of this strategy will commence in 2024. In 2023, Kinross achieved the highest
percentage of female employees to date and also increased the percentage of women across all levels of management. Kinross launched an
updated set of leadership principles designed to provide leaders at all levels with clear expectations about what makes a leader at Kinross
and how strong leadership enhances business outcomes. Through our support for Skills for Change in Toronto, the Company helped 40 black
youth get training in Science, Technology, Engineering and Math (STEM) subjects.
In anticipation of Bill
S-211, Canada’s Modern Slavery Act, which aims to prevent and reduce the risk of forced labour in supply chains, a human rights
task force was established to provide cross-functional coordination on the important work being done in this area and to help prepare
the Company’s first modern slavery statement to be published in May 2024.
For
more information on Kinross’ sustainability performance, see the Company’s 2022 Sustainability and ESG Report
and its ESG Analyst Centre located on the Company website. The Sustainability and ESG Report follows the Global Reporting Initiative
(GRI) and Sustainability Accounting Standards Board (SASB) reporting standards. The Company’s 2023 Sustainability and ESG Report
is expected to be published in May 2024.
Exploration update
In 2023, approximately 300,000 metres of drilling
was completed for all exploration projects (brownfields, greenfields, minex).
Brownfields exploration
The Company’s brownfields exploration efforts
– which accounts for approximately 90% of the Company’s exploration budget – continued to primarily focus within the
footprint of existing mines and projects during 2023.
Highlights of the 2023 brownfields exploration
programs include results from: Round Mountain, Curlew Basin, Alaska, Bald Mountain, Tasiast and Chile, as well as Great Bear as detailed
on page 6.
Round Mountain
The Phase X exploration decline that commenced
in 2023 is designed to provide a platform for definition drilling of the main Phase X underground target. The exploration program plans
for definition drill holes in critical areas to test growth potential outward from the main zone of mineralization, in particular testing
for continuity of mineralization along strike in areas where surface drilling was limited. Exploration holes are also planned to be drilled
at the end of the decline to test for mineralization beyond the planned development. In parallel with developing the decline, Kinross
has commenced opportunity drilling between the open pit and the main underground target in Q4 2023.
2023 exploration work at Gold Hill demonstrated
significant upside potential at this organic growth target. This year’s work confirmed an 800 metre strike extension of multiple
veins yielding high grade intercepts within the Jersey vein zone (D-1195, -94 and -96), suggesting that this robust system continues and
remains open (reported in Q2 2023). These results build on successful strike extensions from previous years.
Exploration drilling (7,950m) at Gold Hill was
accelerated to be completed in the first half of 2023 to fuel studies and initial permitting efforts. Exploration drilling from surface
and definition drilling from the bottom of the pit resumed in Q4 2023 and is planned to continue into the first half of 2024.
Curlew Basin
Results at Curlew Basin continue to trend well.
At this organic growth project, the 2023 exploration program (16,900m diamond drilling) delivered the following successes:
| 1. | Confirmed extensions and continuity in several critical vein zones with multiple wide, high-grade intercepts. |
| ● | ST-1312 – 27.1m @ 12.5 g/t Au, includes 10.7m @ 19.9 g/t
Au |
| ● | ST-1181 – 2.5m @ 198.4 g/t Au, includes 0.3m @ 1,610.0 g/t Au |
| p. 14 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
| 2. | Demonstrated upside potential continues with the spatially distinct mineralization at the new “Roadrunner”
zone (reported in Q3 14.2m @16.5 g/t Au, includes 7.3m @ 25.3 g/t Au).
Underground drilling resumed in Q4 2023 and will be the primary focus for the first half of 2024. |
| 3. | Meaningful resource increase, including a 34% increase in the inferred resource (note: the cut-off date
for the 2023 year-end mineral resource estimate precedes the new intercepts listed above). |
In 2024, Kinross plans to follow up on resource
growth and new discoveries.
Alaska
Drilling this year in Alaska primarily focused on two main areas: targets
for proximal growth around the Fort Knox pit, and targets for potential deeper underground mineralization.
Proximal growth highlights include:
| o | FFC23-1879 – 24.7m @ 3.5 g/t Au, includes 3.8m @ 22.7 g/t Au |
| o | FFC23-1868 – 58.8m @ 0.8 g/t Au |
| o | FFC23-1903 – 38.7m @ 1.8 g/t Au, includes 6.3m @ 6.0 g/t Au |
| o | FFC23-1904 – 24.3m @ 1.3 g/t Au, includes 4.0m @ 5.4 g/t Au |
Underground Dandelion shear highlight:
FFC23-1871 – 3.2m @ 25.7 g/t Au
These proximal growth highlights have not been
included in the current resource update and may offer potential to augment medium-term production plans at Fort Knox.
At Manh Choh, 2,090 metres of drilling was completed
across six target areas. The near-mine exploration area was expanded to include several new targets identified along the mine road corridor.
Regional reconnaissance work also continued this year and will continue across the greater Tetlin lease area in 2024.
Bald Mountain
Exploration drilling focused on near-term growth
enabling the addition of 78koz. to reserves this year. In 2024, the strategy will continue to focus on low-strip, near-pit extensions
across six target areas in the North and South area of operations, as well as test new target areas within the Bida trend.
Tasiast
At Tasiast, exploration drilling resumed in Q4
2023 targeting soil anomalies in the north satellite area on the TMLSA license. The work tested for the potential northern extension of
a known structure that forms part of the 75km long Aoueouat Greenstone Belt, hosting Kinross’ known gold deposits. The reverse circulation
drill program successfully outlined mineralization and proved the continuity of a known structure. A follow-up drilling program is planned
later this year.
Reverse circulation drilling of priority targets
on the SENISA licenses also began in Q4 2023 and is expected to continue throughout the year. The initial program was designed to test
the western extremity of the greenstone belt, roughly 9km due west of Kinross’ Piment deposit, where favorable geochemistry and
prospecting had outlined anomalous gold.
Drilling around the existing operations for deep
extensions at West Branch, Piment and Prolongation that could support underground mining will be a focus in 2024, with deep drilling expected
to begin later this year.
| p. 15 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Chile
In Chile, the brownfields
drilling program was successful in uncovering potential porphyry mineralization when testing a target at Cerros Bravos on Kinross’
100% owned property. The porphyry is located approximately 8km due north of Kinross’ mine facilities. Follow-up work in 2024
is expected to include geophysics and additional drilling.
At the La Coipa extensions, approximately ~15,000
metres were drilled in 2023 in and around current and historically active pits to extend oxide mineralization and generate geotechnical
and geometallurgical data to support progressing these projects.
Brazil
In Brazil, brownfields and greenfields exploration
efforts are focused on the Company’s extensive land packages, which are primarily along the northwest corridor from the Paracatu
mine. Kinross’ land holdings extend for over 35km and are hosted by the sedimentary package that hosts Paracatu. Extensive soil
surveying has uncovered numerous anomalies that have been followed up by prospecting, sampling and mapping. Recent drilling of some of
these anomalies have revealed similar style mineralization and grades to Paracatu.
In 2024, Kinross expects to actively drill a number
of untested targets and follow up on the best results.
Greenfields exploration update
The primary greenfields exploration strategy is
to identify and explore in areas that have the potential to host high-grade gold deposits. The Company looks for opportunities where it
can stake its own claims or collaborate with high-quality junior exploration companies through either joint venture agreements or via
equity investment. The primary focus is exploring for orogenic, epithermal, Carlin and intrusion related gold and gold-copper style deposits.
The greenfields exploration programs in 2023 were
focused on targets located in Canada, the USA and Finland with approximately 52,000 metres of drilling completed on all projects.
Canada
Outside of Great Bear, the focus in Canada was
on the large land holdings in Snow Lake, Manitoba, where Kinross has 100% ownership in six exploration properties: Laguna, Puella Bay,
Lucky Jack, Laguna North, DSN and SLG. Work on the Laguna and the Laguna North properties over the past few years has uncovered gold rich,
shear hosted vein systems.
Prospecting and mapping on the Laguna North property
was successful, with the discovery of a new quartz vein assaying 104.5 g/t Au and 1.8 g/t Ag. Kinross plans to follow up in the coming
field season with more detailed prospecting and mapping.
Highlights from prospecting and mapping on the
SLG property returned 6.0, 7.4, 9.4 and 11.5 g/t Au from mineralized quartz vein material within a shear zone that our geologists have
uncovered for over a 200m along strike. Roughly 1.5km due south of the gold showing described above, geologists uncovered veining that
contained copper and zinc mineralization with one of the samples returning 0.2 g/t Au, 15.5 g/t Ag, 2.03% Zn and 0.89% Cu. Further work
on all of these areas is planned in 2024.
In February 2023, a joint venture was established
with BTU Metals Corp., who holds a large land package abutting the southern boundary of Kinross’ Great Bear project in Red Lake,
Ontario. Upon signing the agreement, compilation and modelling work began, and the relogging and sampling of existing core got underway
in the second half of the year and will continue in 2024. A drilling program is anticipated at the end of the year, testing the best targets
resulting from the relogging and modelling work.
| p. 16 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
USA
Kinross holds a number of projects in Nevada that
are either 100% owned or are in joint venture with private individuals.
Work on Kinross’ various projects consisted
of geophysics, prospecting and mapping as well as reverse circulation drilling of targets that were more advanced. A total of 38 reverse
circulation drill holes for 12,785 metres, were conducted over the combined land packages during the year. These properties have the potential
to host low sulphidation epithermal, Carlin and porphyry style deposits.
Work continues on evaluating and adding new pipeline
projects through third party agreements and claim staking opportunities in the principal metallogenic belts throughout the US Great Basin,
including the Walker Lane and the primary trends of Carlin-type deposits.
Finland
In the Central Lapland Greenstone Belt of northern
Finland, exploration was conducted on Kinross’ joint venture and 100% owned projects. Kinross’ land positions are proximal
to Agnico Eagle’s Kittilä Gold mine and Rupert Resource’s Ikkari gold deposit, that has reported more than 4 million
ounces at 2.2 g/t Au in indicated resources.
Work in 2023 consisted of prospecting and mapping
during the summer months and Base of Till drilling that was conducted throughout the year. The resulting gold anomalies were followed
up with diamond drilling. A total of 21 holes for 3,116 metres of core and 10,981 metres of Base of Till drilling was carried out on Kinross’
various properties.
The latest joint venture agreement was signed
with Aurion Resources on August 23, 2023, for its Launi East property. The property hosts the potential for orogenic gold mineralization
and contains at least seven gold zones discovered prior to the joint venture. Limited diamond drilling has been carried out over the numerous
gold showings and work will build on the existing data and vector in priority areas. Compilation work as well as mapping and Base of Till
drilling was undertaken on the property before year end. The results will be followed up in 2024.
2024 Focus
For 2024, the exploration expenditure guidance
(brownfields, greenfields and minex) is $160 million (+/-5%) compared with the $158.9 million spent in 2023. The 2024 programs are designed
to follow-up on existing zones of mineralization and to make new discoveries in all of Kinross’ jurisdictions.
Looking at the priority exploration projects:
| ● | At Great Bear, expand the mineralized zones, LP, Hinge and Limb, and explore
for new mineralization on Kinross’ land package |
| ● | At Curlew, expand on the existing resource and follow-up on the newly discovered
high-grade mineralization at Roadrunner |
| ● | At Round Mountain, begin to delineate the Phase X mineralization from the
underground exploration decline. Additional drilling from surface and the bottom of the pit at Gold Hill will test the numerous, high-grade
gold veins |
| ● | At Tasiast, underground-focused drilling from surface at Piment and West
Branch and exploration of the SENISA and TMLSA land packages |
| ● | In Chile, a number of greenfields and brownfields targets will be drill tested
over the course of the year and the porphyry mineralization at Cerros Bravos will be followed up |
| ● | At Paracatu, expand regional exploration activities |
| ● | In Canada, continue to explore the Snow Lake, Manitoba, land package |
Appendix C:
Refer to page 42 of this news release for supplementary illustrations.
Full drill results are available here:
www.kinross.com/Exploration-Drill-Results-Appendix-C-Q4-YE-2023
| p. 17 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
2023 Mineral Reserves and Mineral Resources update
(See the Company’s detailed Annual Mineral
Reserve and Mineral Resource Statement estimated as at December 31, 2023 and explanatory notes starting at page 32.)
Kinross maintained its gold price assumptions
of $1,400 per ounce and $1,700 per ounce for its mineral reserve and mineral resource estimates, respectively, as of December 31,
202319.
The Company also maintained its silver price assumption
of $17.50 per ounce and of $21.30 per ounce for its mineral reserve and mineral resource estimates5.
Kinross continues to prioritize quality, high-margin,
low-cost ounces in its portfolio, and maintained its fully loaded costing methodology.
Kinross is focused on upgrading the quality of
its resources and delineating high-grade gold ounces with the objective of converting to reserves. While there was an overall reduction
in reserves at year-end 2023, additions to resources are primarily high-grade ounces driven by the substantial increase at Great Bear.
| Kinross
Gold Mineral Reserve and Mineral Resource estimates20 |
| | |
| 2022
(Au koz) | | |
| Depletion
(Au
koz) | | |
| Geology &
Engineering
(Au
koz) | | |
| 2023
(Au koz) | |
| Proven
and Probable Reserves | |
| 25,535 | | |
| (2,435 | ) | |
| (344 | ) | |
| 22,757 | |
| Measured
and Indicated Resources | |
| 26,211 | | |
| (69 | ) | |
| (174 | ) | |
| 25,968 | |
| Inferred
Resources | |
| 10,522 | | |
| (85 | ) | |
| 1,049 | | |
| 11,484 | |
Proven and Probable Mineral
Reserves
Kinross’ total proven and probable mineral
reserve estimates decreased by 11%, or 2.8 million Au oz., to 22.8 million Au oz. at year-end 2023 compared with 25.5 million Au oz. at
year-end 2022. The net decrease was mostly due to depletion, with an additional decrease of 0.4 million Au oz. at Paracatu due to geological
and engineering updates, with decreases offset by an increase of 0.1 million Au oz. at Bald Mountain due to the addition of several smaller
pits (converting from resource).
The Company’s total proven and probable
silver mineral reserve estimate decreased by 34% or 12.4 million Ag oz. to 23.7 million Ag oz. at year-end 2023 compared with 36.1 million
Ag oz. at year-end 2022. The net decrease was mostly due to depletion at La Coipa.
Measured and Indicated Mineral
Resources
Kinross’
total measured and indicated mineral resource estimate at year-end 2023 was 26.0 million Au oz. compared with 26.2 million Au oz. at year-end
2022. The slight reduction was largely a result of increased costs at Paracatu, Fort Knox and small conversions of mineral resources to
mineral reserves at Bald Mountain. Decreases were offset by a geologic increase at Tasiast.
19 Please see page 35 for Mineral Reserve and Mineral Resource Statement Notes.
20 Rounding of values to the 000s may result in apparent
discrepancies.
| p. 18 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
The Company’s total measured and indicated
silver resources decreased by 10% to 34.0 million Ag oz. at year-end 2023 compared with 37.6 million Ag oz. at year-end 2022.
Inferred Mineral Resources
Kinross’ total inferred mineral resource
estimate increased by 9% or 1.0 million Au oz. to 11.5 million Au oz. at year-end 2023, compared with 10.5 million Au oz. at year-end
2022. The increase can be attributed to Great Bear which added 1.0 million ounces of inferred material, and Curlew Basin (Kettle River).
The Company’s total inferred silver resources decreased by 13%
to 4.0 million Ag oz. at year-end 2023 compared with 4.6 million Ag oz. at year-end 2022.
Board update
Mr. Ian
Atkinson, who has been a Board member since February 2016, will, pursuant to Kinross’ retirement policy, be retiring and not
stand for re-election at the Company’s Annual General Meeting of Shareholders in May 2024. Kinross’ management and Board
would like to thank Mr. Atkinson for his many contributions during his tenure, including those related to his role as Chair of the
Corporate Governance and Nominating Committee and his membership on the Corporate Responsibility and Technical Committee and the Human
Resources and Compensation Committee.
The Board
of Directors of Kinross has appointed Mr. George Paspalas as a Director with an effective date of January 1, 2024. Mr. Paspalas
is a veteran of the mining industry with nearly 40 years of mining experience and brings a wealth of knowledge to his new position. He
is currently the President & Chief Executive Officer and a board director of MAG Silver Corp., a Canadian silver producer and
exploration company, a position he has held from May 2013. Prior to that, Mr. Paspalas held senior leadership positions at Aurizon
Mines Ltd., Silver Standard Resources Inc., Sargold Resources Corp., and Placer Dome. He has a B. Eng. (Hons) from the University of New
South Wales and has completed the Advanced Management Program from INSEAD. Mr. Paspalas has been appointed to sit on the Company’s
Corporate Responsibility and Technical Committee.
The appointment
of Mr. Paspalas will support the transition of Mr. Atkinson’s retirement as both individuals have commensurate skillsets,
including capital markets and senior-level resource industry experience, deep technical knowledge, and operational leadership.
Conference call details
In connection with this news release, Kinross
will hold a conference call and audio webcast on Thursday, February 15, 2024, at 8 a.m. ET to discuss the results, followed
by a question-and-answer session. To access the call, please dial:
Canada &
US toll-free – +1 (888) 330-2446; Passcode: 4915537
Outside of Canada &
US – +1 (240) 789-2732; Passcode: 4915537
Replay (available up to 14 days after the call):
Canada & US toll-free
– +1 (800) 770-2030; Passcode: 4915537
Outside of Canada & US – +1 (647) 362-9199; Passcode: 4915537
You may also access
the conference call on a listen-only basis via webcast at our website www.kinross.com. The audio webcast will be archived
on www.kinross.com.
This release should
be read in conjunction with Kinross’ 2023 year-end Financial Statements and Management’s Discussion and Analysis report at
www.kinross.com. Kinross’ 2023 year-end Financial Statements and Management’s Discussion and Analysis have been filed with
Canadian securities regulators (available at www.sedar.com) and furnished with the U.S. Securities and Exchange Commission
(available at www.sec.gov). Kinross shareholders may obtain a copy of the financial statements free of charge upon request to
the Company.
| p. 19 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
About Kinross Gold Corporation
Kinross is a Canadian-based global senior gold
mining company with operations and projects in the United States, Brazil, Mauritania, Chile and Canada. Our focus is on delivering value
based on the core principles of responsible mining, operational excellence, disciplined growth, and balance sheet strength. Kinross maintains
listings on the Toronto Stock Exchange (symbol:K) and the New York Stock Exchange (symbol:KGC).
Media Contact
Victoria Barrington
Senior Director, Corporate Communications
phone: 647-788-4153
victoria.barrington@kinross.com
Investor Relations Contact
Chris Lichtenheldt
Vice-President, Investor Relations
phone: 416-365-2761
chris.lichtenheldt@kinross.com
| p. 20 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Review of operations
| Three months ended December 31, | |
Gold equivalent ounces | | |
| | |
| | |
| | |
| |
| | |
Produced | | |
Sold | | |
Production cost of
sales ($millions) | | |
Production cost of
sales/equivalent ounce sold | |
| | |
2023 | | |
2022 | | |
2023 | | |
2022 | | |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| Tasiast | |
| 160,764 | | |
| 143,002 | | |
| 171,199 | | |
| 147,019 | | |
$ | 110.4 | | |
$ | 96.2 | | |
$ | 645 | | |
$ | 654 | |
| Paracatu | |
| 127,940 | | |
| 180,809 | | |
| 132,886 | | |
| 183,190 | | |
| 144.2 | | |
| 130.3 | | |
| 1,085 | | |
| 711 | |
| La Coipa | |
| 73,823 | | |
| 67,683 | | |
| 73,477 | | |
| 68,135 | | |
| 52.9 | | |
| 39.4 | | |
| 720 | | |
| 578 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Fort Knox | |
| 84,215 | | |
| 83,739 | | |
| 81,306 | | |
| 87,061 | | |
| 104.3 | | |
| 102.1 | | |
| 1,283 | | |
| 1,173 | |
| Round Mountain | |
| 55,764 | | |
| 61,929 | | |
| 56,495 | | |
| 67,484 | | |
| 82.6 | | |
| 95.1 | | |
| 1,462 | | |
| 1,409 | |
| Bald Mountain | |
| 44,007 | | |
| 58,521 | | |
| 49,375 | | |
| 66,847 | | |
| 57.1 | | |
| 62.8 | | |
| 1,156 | | |
| 939 | |
| United States Total | |
| 183,986 | | |
| 204,189 | | |
| 187,176 | | |
| 221,392 | | |
| 244.0 | | |
| 260.0 | | |
| 1,304 | | |
| 1,174 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Maricunga | |
| - | | |
| - | | |
| 651 | | |
| 866 | | |
| 0.2 | | |
| 0.6 | | |
| 307 | | |
| 693 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Continuing Operations Total | |
| 546,513 | | |
| 595,683 | | |
| 565,389 | | |
| 620,602 | | |
| 551.7 | | |
| 526.5 | | |
| 976 | | |
| 848 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Discontinued Operations | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Kupol | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
$ | - | | |
$ | - | |
| Chirano (100%) | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| 24.3 | | |
| - | | |
| - | |
| | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| 24.3 | | |
| | | |
| | |
| |
| Years ended December 31, | |
Gold equivalent ounces | | |
| | |
| | |
| | |
| |
| | |
Produced | | |
Sold | | |
Production cost of
sales ($millions) | | |
Production cost of
sales/equivalent ounce sold | |
| | |
2023 | | |
2022 | | |
2023 | | |
2022 | | |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| Tasiast | |
| 620,793 | | |
| 538,591 | | |
| 615,065 | | |
| 519,292 | | |
$ | 406.8 | | |
$ | 380.1 | | |
$ | 661 | | |
$ | 732 | |
| Paracatu | |
| 587,999 | | |
| 577,354 | | |
| 592,224 | | |
| 571,164 | | |
| 538.6 | | |
| 497.6 | | |
| 909 | | |
| 871 | |
| La Coipa | |
| 260,138 | | |
| 109,576 | | |
| 268,491 | | |
| 99,915 | | |
| 182.8 | | |
| 57.2 | | |
| 681 | | |
| 572 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Fort Knox | |
| 290,651 | | |
| 291,248 | | |
| 287,532 | | |
| 291,793 | | |
| 343.5 | | |
| 350.7 | | |
| 1,195 | | |
| 1,202 | |
| Round Mountain | |
| 235,690 | | |
| 226,374 | | |
| 234,064 | | |
| 227,655 | | |
| 357.7 | | |
| 309.2 | | |
| 1,528 | | |
| 1,358 | |
| Bald Mountain | |
| 157,749 | | |
| 214,094 | | |
| 180,139 | | |
| 214,808 | | |
| 223.5 | | |
| 208.8 | | |
| 1,241 | | |
| 972 | |
| United States Total | |
| 684,090 | | |
| 731,716 | | |
| 701,735 | | |
| 734,256 | | |
| 924.7 | | |
| 868.7 | | |
| 1,318 | | |
| 1,183 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Maricunga | |
| - | | |
| - | | |
| 2,421 | | |
| 3,192 | | |
| 1.4 | | |
| 2.1 | | |
| 578 | | |
| 658 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Continuing Operations Total | |
| 2,153,020 | | |
| 1,957,237 | | |
| 2,179,936 | | |
| 1,927,819 | | |
| 2,054.3 | | |
| 1,805.7 | | |
| 942 | | |
| 937 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Discontinued Operations | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Kupol | |
| - | | |
| 169,156 | | |
| - | | |
| 122,295 | | |
| - | | |
| 83.8 | | |
| - | | |
| 685 | |
| Chirano (100%) | |
| - | | |
| 82,060 | | |
| - | | |
| 87,823 | | |
| - | | |
| 131.2 | | |
| - | | |
| 1,494 | |
| | |
| - | | |
| 251,216 | | |
| - | | |
| 210,118 | | |
| - | | |
| 215.0 | | |
| | | |
| | |
| p. 21 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Consolidated balance sheets
| | |
As at | |
| | |
December 31, | | |
December 31, | |
| | |
2023 | | |
2022 | |
| Assets | |
| | | |
| | |
| Current assets | |
| | | |
| | |
| Cash and cash equivalents | |
$ | 352.4 | | |
$ | 418.1 | |
| Restricted cash | |
| 9.8 | | |
| 10.1 | |
| Accounts receivable and other assets | |
| 268.7 | | |
| 318.2 | |
| Current income tax recoverable | |
| 3.4 | | |
| 8.5 | |
| Inventories | |
| 1,153.0 | | |
| 1,072.2 | |
| Unrealized fair value of derivative assets | |
| 15.0 | | |
| 25.5 | |
| | |
| 1,802.3 | | |
| 1,852.6 | |
| Non-current assets | |
| | | |
| | |
| Property, plant and equipment | |
| 7,963.2 | | |
| 7,741.4 | |
| Long-term investments | |
| 54.7 | | |
| 116.9 | |
| Other long-term assets | |
| 710.6 | | |
| 680.9 | |
| Deferred tax assets | |
| 12.5 | | |
| 4.6 | |
| Total assets | |
$ | 10,543.3 | | |
$ | 10,396.4 | |
| | |
| | | |
| | |
| Liabilities | |
| | | |
| | |
| Current liabilities | |
| | | |
| | |
| Accounts payable and accrued liabilities | |
$ | 531.5 | | |
$ | 550.0 | |
| Current income tax payable | |
| 92.9 | | |
| 89.4 | |
| Current portion of long-term debt and credit facilities | |
| - | | |
| 36.0 | |
| Current portion of provisions | |
| 48.8 | | |
| 50.8 | |
| Other current liabilities | |
| 12.3 | | |
| 25.3 | |
| | |
| 685.5 | | |
| 751.5 | |
| Non-current liabilities | |
| | | |
| | |
| Long-term debt and credit facilities | |
| 2,232.6 | | |
| 2,556.9 | |
| Provisions | |
| 889.9 | | |
| 755.9 | |
| Long-term lease liabilities | |
| 17.5 | | |
| 23.1 | |
| Other long-term liabilities | |
| 82.4 | | |
| 125.3 | |
| Deferred tax liabilities | |
| 449.7 | | |
| 301.5 | |
| Total liabilities | |
$ | 4,357.6 | | |
$ | 4,514.2 | |
| | |
| | | |
| | |
| Equity | |
| | | |
| | |
| Common shareholders' equity | |
| | | |
| | |
| Common share capital | |
$ | 4,481.6 | | |
$ | 4,449.5 | |
| Contributed surplus | |
| 10,646.0 | | |
| 10,667.5 | |
| Accumulated deficit | |
| (8,982.6 | ) | |
| (9,251.6 | ) |
| Accumulated other comprehensive income (loss) | |
| (61.3 | ) | |
| (41.7 | ) |
| Total common shareholders' equity | |
| 6,083.7 | | |
| 5,823.7 | |
| Non-controlling interests | |
| 102.0 | | |
| 58.5 | |
| Total equity | |
| 6,185.7 | | |
| 5,882.2 | |
| Total liabilities and equity | |
$ | 10,543.3 | | |
$ | 10,396.4 | |
| | |
| | | |
| | |
| Common shares | |
| | | |
| | |
| Authorized | |
| Unlimited | | |
| Unlimited | |
| Issued and outstanding | |
| 1,227,837,974 | | |
| 1,221,891,341 | |
| p. 22 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Consolidated statements of operations
| | |
Years ended | |
| | |
December 31, | | |
December 31, | |
| | |
2023 | | |
2022 | |
| Revenue | |
| | |
| |
| Metal sales | |
$ | 4,239.7 | | |
$ | 3,455.1 | |
| | |
| | | |
| | |
| Cost of sales | |
| | | |
| | |
| Production cost of sales | |
| 2,054.4 | | |
| 1,805.7 | |
| Depreciation, depletion and amortization | |
| 986.8 | | |
| 784.0 | |
| Impairment charges | |
| 38.9 | | |
| 350.0 | |
| Total cost of sales | |
| 3,080.1 | | |
| 2,939.7 | |
| Gross profit | |
| 1,159.6 | | |
| 515.4 | |
| Other operating expense | |
| 64.5 | | |
| 113.8 | |
| Exploration and business development | |
| 185.0 | | |
| 154.1 | |
| General and administrative | |
| 108.7 | | |
| 129.8 | |
| Operating earnings | |
| 801.4 | | |
| 117.7 | |
| Other (expense) income - net | |
| (27.3 | ) | |
| 64.4 | |
| Finance income | |
| 40.5 | | |
| 18.3 | |
| Finance expense | |
| (106.0 | ) | |
| (93.7 | ) |
| Earnings from continuing operations before tax | |
| 708.6 | | |
| 106.7 | |
| Income tax expense - net | |
| (293.2 | ) | |
| (76.1 | ) |
| Earnings from continuing operations after tax | |
| 415.4 | | |
| 30.6 | |
| Loss from discontinued operations after tax | |
| - | | |
| (636.3 | ) |
| Net earnings (loss) | |
$ | 415.4 | | |
$ | (605.7 | ) |
| Net earnings (loss) from continuing operations attributable to: | |
| | | |
| | |
| Non-controlling interests | |
$ | (0.9 | ) | |
$ | (1.3 | ) |
| Common shareholders | |
$ | 416.3 | | |
$ | 31.9 | |
| Net earnings (loss) from discontinued operations attributable to: | |
| | | |
| | |
| Non-controlling interests | |
$ | - | | |
$ | 0.8 | |
| Common shareholders | |
$ | - | | |
$ | (637.1 | ) |
| Net earnings (loss) attributable to: | |
| | | |
| | |
| Non-controlling interests | |
$ | (0.9 | ) | |
$ | (0.5 | ) |
| Common shareholders | |
$ | 416.3 | | |
$ | (605.2 | ) |
| Earnings per share from continuing operations attributable to common shareholders | |
| | | |
| | |
| Basic | |
$ | 0.34 | | |
$ | 0.02 | |
| Diluted | |
$ | 0.34 | | |
$ | 0.02 | |
| Loss per share from discontinued operations attributable to common shareholders | |
$ | - | | |
$ | (0.50 | ) |
| Basic | |
$ | - | | |
$ | (0.50 | ) |
| Diluted | |
| | | |
| | |
| Earnings (loss) per share attributable to common shareholders | |
| | | |
| | |
| Basic | |
$ | 0.34 | | |
$ | (0.47 | ) |
| Diluted | |
$ | 0.34 | | |
$ | (0.47 | ) |
| p. 23 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Consolidated statements of cash flows
(expressed in millions of U.S. dollars)
| | |
Years ended | |
| | |
December 31, | | |
December 31, | |
| | |
2023 | | |
2022 | |
| Net inflow (outflow) of cash related to the following activities: | |
| | |
| |
| Operating: | |
| | |
| |
| Earnings from continuing operations after tax | |
$ | 415.4 | | |
$ | 30.6 | |
| Adjustments to reconcile net earnings from continuing operations to net cash provided from operating activities: | |
| | | |
| | |
| Depreciation, depletion and amortization | |
| 986.8 | | |
| 784.0 | |
| Impairment charges | |
| 38.9 | | |
| 350.0 | |
| Share-based compensation expense | |
| 6.7 | | |
| 9.3 | |
| Finance expense | |
| 106.0 | | |
| 93.7 | |
| Deferred tax expense (recovery) | |
| 143.9 | | |
| (56.2 | ) |
| Foreign exchange (gains) losses and other | |
| (8.6 | ) | |
| 21.6 | |
| Reclamation (recovery) expense | |
| (19.2 | ) | |
| 23.5 | |
| Changes in operating assets and liabilities: | |
| | | |
| | |
| Accounts receivable and other assets | |
| 68.7 | | |
| 17.9 | |
| Inventories | |
| (91.4 | ) | |
| (261.6 | ) |
| Accounts payable and accrued liabilities | |
| 95.5 | | |
| 130.4 | |
| Cash flow provided from operating activities | |
| 1,742.7 | | |
| 1,143.2 | |
| Income taxes paid | |
| (137.4 | ) | |
| (140.7 | ) |
| Net cash flow of continuing operations provided from operating activities | |
| 1,605.3 | | |
| 1,002.5 | |
| Net cash flow of discontinued operations provided from operating activities | |
| - | | |
| 47.6 | |
| Investing: | |
| | | |
| | |
| Additions to property, plant and equipment | |
| (1,098.3 | ) | |
| (764.2 | ) |
| Interest paid capitalized to property, plant and equipment | |
| (114.1 | ) | |
| (43.7 | ) |
| Acquisitions net of cash acquired | |
| - | | |
| (1,027.5 | ) |
| Net disposals (additions) to long-term investments and other assets | |
| 1.7 | | |
| (67.2 | ) |
| Decrease (increase) in restricted cash - net | |
| 25.3 | | |
| (4.2 | ) |
| Interest received and other - net | |
| 18.2 | | |
| 8.8 | |
| Net cash flow of continuing operations used in investing activities | |
| (1,167.2 | ) | |
| (1,898.0 | ) |
| Net cash flow of discontinued operations provided from investing activities | |
| 45.0 | | |
| 296.2 | |
| Financing: | |
| | | |
| | |
| Proceeds from issuance or drawdown of debt | |
| 588.1 | | |
| 1,297.6 | |
| Repayment of debt | |
| (960.0 | ) | |
| (340.0 | ) |
| Interest paid | |
| (53.2 | ) | |
| (52.4 | ) |
| Payment of lease liabilities | |
| (30.2 | ) | |
| (23.2 | ) |
| Funding from non-controlling interest | |
| 46.2 | | |
| 10.8 | |
| Dividends paid to common shareholders | |
| (147.3 | ) | |
| (154.0 | ) |
| Repurchase and cancellation of shares | |
| - | | |
| (300.8 | ) |
| Other - net | |
| 7.4 | | |
| (0.5 | ) |
| Net cash flow of continuing operations (used in) provided from financing activities | |
| (549.0 | ) | |
| 437.5 | |
| Net cash flow of discontinued operations provided from financing activities | |
| - | | |
| - | |
| Effect of exchange rate changes on cash and cash equivalents of continuing operations | |
| 0.2 | | |
| (0.8 | ) |
| Effect of exchange rate changes on cash and cash equivalents of discontinued operations | |
| - | | |
| 1.6 | |
| Decrease in cash and cash equivalents | |
| (65.7 | ) | |
| (113.4 | ) |
| Cash and cash equivalents, beginning of period | |
| 418.1 | | |
| 531.5 | |
| Cash and cash equivalents of assets held for sale, beginning of period | |
| - | | |
| - | |
| Cash and cash equivalents, end of period | |
$ | 352.4 | | |
$ | 418.1 | |
| p. 24 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
| |
Mine |
Period |
Tonnes
Ore
Mined |
Ore
Processed (Milled) |
Ore
Processed
(Heap Leach) |
Grade
(Mill) |
Grade
(Heap
Leach) |
Recovery
(a)(d) |
Gold
Eq
Production(b) |
Gold
Eq
Sales(b) |
|
Production
cost of
sales |
|
Production
cost of
sales/oz(c) |
|
Cap
Ex -
sustaining(e) |
|
Total
Cap
Ex (e) |
|
DD&A |
| |
|
|
('000 tonnes) |
('000
tonnes) |
('000
tonnes) |
(g/t) |
(g/t) |
(%) |
(ounces) |
(ounces) |
|
($
millions) |
|
($/ounce)
|
|
($
millions) |
|
($
millions) |
|
($
millions) |
| West
Africa |
Tasiast |
Q4
2023 |
2,937 |
2,056 |
- |
3.04 |
- |
93% |
160,764 |
171,199 |
$ |
110.4 |
$ |
645
|
$ |
9.7
|
$ |
85.2
|
$ |
70.6
|
| Q3
2023 |
3,486 |
1,796 |
- |
3.10 |
- |
92% |
171,140 |
162,823 |
$ |
108.5 |
$ |
666
|
$ |
12.2
|
$ |
77.3
|
$ |
69.0
|
| Q2
2023 |
1,688 |
1,663 |
- |
3.25 |
- |
93% |
157,844 |
152,564 |
$ |
99.5 |
$ |
652
|
$ |
9.1
|
$ |
81.9
|
$ |
58.6
|
| Q1
2023 |
1,690 |
1,208 |
- |
3.49 |
- |
91% |
131,045 |
128,479 |
$ |
88.4 |
$ |
688
|
$ |
14.6
|
$ |
64.6
|
$ |
46.2
|
| Q4
2022 |
3,737 |
1,627 |
- |
3.21 |
- |
90% |
143,002 |
147,019 |
$ |
96.2 |
$ |
654
|
$ |
38.3
|
$ |
90.3
|
$ |
48.7
|
| Americas |
Paracatu |
Q4
2023 |
16,865 |
15,279 |
- |
0.35 |
- |
79% |
127,940 |
132,886 |
$ |
144.2 |
$ |
1,085
|
$ |
41.6
|
$ |
41.6
|
$ |
43.3
|
| Q3
2023 |
14,725 |
14,669 |
- |
0.41 |
- |
79% |
172,482 |
167,105 |
$ |
141.2 |
$ |
845
|
$ |
58.4
|
$ |
58.4
|
$ |
53.1
|
| Q2
2023 |
14,199 |
15,104 |
- |
0.42 |
- |
80% |
164,243 |
163,889 |
$ |
135.2 |
$ |
825
|
$ |
39.7
|
$ |
39.7
|
$ |
49.8
|
| Q1
2023 |
8,056 |
15,130 |
- |
0.37 |
- |
79% |
123,334 |
128,344 |
$ |
118.0 |
$ |
919
|
$ |
27.8
|
$ |
27.8
|
$ |
40.4
|
| Q4
2022 |
13,324 |
13,847 |
- |
0.50 |
- |
81% |
180,809 |
183,190 |
$ |
130.3 |
$ |
711
|
$ |
43.9
|
$ |
43.9
|
$ |
52.7
|
| La
Coipa(f) |
Q4
2023 |
1,591 |
1,188 |
- |
1.92 |
- |
78% |
73,823 |
73,477 |
$ |
52.9 |
$ |
720
|
$ |
7.0
|
$ |
10.9
|
$ |
54.8
|
| Q3
2023 |
1,137 |
1,017 |
- |
1.69 |
- |
81% |
65,975 |
65,856 |
$ |
41.4 |
$ |
629
|
$ |
7.5
|
$ |
15.2
|
$ |
48.3
|
| Q2
2023 |
869 |
971 |
- |
1.62 |
- |
81% |
66,744 |
67,378 |
$ |
43.6 |
$ |
647
|
$ |
19.9
|
$ |
23.3
|
$ |
48.3
|
| Q1
2023 |
748 |
691 |
- |
1.68 |
- |
88% |
53,596 |
61,780 |
$ |
44.9 |
$ |
727
|
$ |
1.6
|
$ |
25.4
|
$ |
36.4
|
| Q4
2022 |
1,047 |
933 |
- |
1.47 |
- |
84% |
67,683 |
68,135 |
$ |
39.4 |
$ |
578
|
$ |
2.6
|
$ |
46.0
|
$ |
25.6
|
| Fort
Knox |
Q4
2023 |
11,002 |
2,173 |
9,930 |
0.69 |
0.22 |
78% |
84,215 |
81,306 |
$ |
104.3 |
$ |
1,283
|
$ |
50.6
|
$ |
69.0
|
$ |
31.5
|
| Q3
2023 |
6,667 |
1,912 |
5,961 |
0.81 |
0.21 |
78% |
71,611 |
71,616 |
$ |
82.3 |
$ |
1,149
|
$ |
52.1
|
$ |
57.8
|
$ |
24.6
|
| Q2
2023 |
7,624 |
2,075 |
6,837 |
0.82 |
0.24 |
82% |
69,438 |
69,206 |
$ |
79.3 |
$ |
1,146
|
$ |
52.1
|
$ |
58.2
|
$ |
22.1
|
| Q1
2023 |
7,412 |
1,966 |
5,972 |
0.78 |
0.22 |
82% |
65,387 |
65,404 |
$ |
77.6 |
$ |
1,186
|
$ |
38.6
|
$ |
39.1
|
$ |
18.6
|
| Q4
2022 |
12,205 |
2,395 |
11,454 |
0.69 |
0.20 |
79% |
83,739 |
87,061 |
$ |
102.1 |
$ |
1,173
|
$ |
34.4
|
$ |
39.1
|
$ |
40.9
|
| Round
Mountain |
Q4
2023 |
4,666 |
884 |
2,729 |
0.91 |
0.48 |
68% |
55,764 |
56,495 |
$ |
82.6 |
$ |
1,462
|
$ |
4.6
|
$ |
4.8
|
$ |
45.0
|
| Q3
2023 |
8,474 |
911 |
7,644 |
0.75 |
0.38 |
75% |
63,648 |
61,931 |
$ |
93.1 |
$ |
1,503
|
$ |
7.7
|
$ |
7.8
|
$ |
44.1
|
| Q2
2023 |
10,496 |
1,021 |
10,028 |
0.67 |
0.35 |
76% |
57,446 |
57,412 |
$ |
85.5 |
$ |
1,489
|
$ |
10.5
|
$ |
10.5
|
$ |
33.5
|
| Q1
2023 |
5,019 |
878 |
4,367 |
0.81 |
0.44 |
79% |
58,832 |
58,226 |
$ |
96.5 |
$ |
1,657
|
$ |
7.4
|
$ |
7.4
|
$ |
34.6
|
| Q4
2022 |
5,177 |
962 |
4,772 |
0.74 |
0.36 |
74% |
61,929 |
67,484 |
$ |
95.1 |
$ |
1,409
|
$ |
41.1
|
$ |
41.1
|
$ |
19.1
|
| Bald
Mountain |
Q4
2023 |
3,894 |
- |
3,918 |
- |
0.47 |
nm |
44,007 |
49,375 |
$ |
57.1 |
$ |
1,156
|
$ |
36.3
|
$ |
38.8
|
$ |
25.0
|
| Q3
2023 |
7,412 |
- |
7,412 |
- |
0.39 |
nm |
40,593 |
41,300 |
$ |
53.9 |
$ |
1,305
|
$ |
20.6
|
$ |
24.9
|
$ |
23.3
|
| Q2
2023 |
4,142 |
- |
4,119 |
- |
0.42 |
nm |
39,321 |
42,181 |
$ |
54.5 |
$ |
1,292
|
$ |
16.5
|
$ |
31.4
|
$ |
25.6
|
| Q1
2023 |
1,864 |
- |
1,857 |
- |
0.47 |
nm |
33,828 |
47,283 |
$ |
58.0 |
$ |
1,227
|
$ |
6.1
|
$ |
25.2
|
$ |
33.9
|
| Q4
2022 |
3,002 |
- |
2,957 |
- |
0.37 |
nm |
58,521 |
66,847 |
$ |
62.8 |
$ |
939
|
$ |
17.2
|
$ |
37.4
|
$ |
63.4
|
| (a) | Due to the nature of heap leach operations, recovery rates at Bald Mountain cannot be accurately measured on a quarterly basis.
Recovery rates at Fort Knox and Round Mountain represent mill recovery only. |
| (b) | Gold equivalent ounces include silver ounces produced and sold converted to a gold equivalent based on the ratio of the average
spot market prices for the commodities for each period. The ratios for the quarters presented are as follows: Q4 2023: 85:1; Q3 2023:
81.82:1; Q2 2023: 81.88:1; Q1 2023: 83.82:1; Q4 2022: 81.88:1. |
| (c) | “Production cost of sales per equivalent ounce sold” is defined as production cost of sales divided by total gold equivalent
ounces sold from continuing operations. |
| (d) | "nm" means not meaningful. |
| (e) | "Total Cap Ex" is as reported as “Additions to property, plant and equipment” on the consolidated statements
of cash flows. "Capital expenditures - sustaining" is a non-GAAP financial measure. The definition and reconciliation of this
non-GAAP financial measure is included on page 30 of this news release. |
| (f) | La Coipa silver grade and recovery were as follows: Q4 2023: 96.24 g/t, 44%; Q3 2023: 106.70 g/t, 63%; Q2 2023: 109.84 g/t, 56%;
Q1 2023: 125.77 g/t, 70%; Q4 2022: 137.53 g/t, 68%. |
| p. 25 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
Reconciliation of non-GAAP financial measures and
ratios
The Company has included certain non-GAAP financial
measures and ratios in this document. These financial measures and ratios are not defined under IFRS and should not be considered in isolation.
The Company believes that these financial measures and ratios, together with financial measures and ratios determined in accordance with
IFRS, provide investors with an improved ability to evaluate the underlying performance of the Company. The inclusion of these financial
measures and ratios is meant to provide additional information and should not be used as a substitute for performance measures prepared
in accordance with IFRS. These financial measures and ratios are not necessarily standard and therefore may not be comparable to other
issuers.
All the non-GAAP financial measures and ratios
in this document are from continuing operations and exclude results from the Company’s Chirano and Russian operations due to the
classification of these operations as discontinued and their sale in 2022. As a result of the exclusion of Chirano, the following non-GAAP
financial measures and ratios are no longer on an attributable basis, but on a total basis: production cost of sales from continuing operations
per ounce sold on a by-product basis and all-in-sustaining cost from continuing operations per equivalent ounce sold and per ounce sold
on a by-product basis.
Adjusted Net Earnings from Continuing Operations
Attributable to Common Shareholders and Adjusted Net Earnings from Continuing Operations per Share
Adjusted net earnings from continuing operations
attributable to common shareholders and adjusted net earnings from continuing operations per share are non-GAAP financial measures and
ratios which determine the performance of the Company, excluding certain impacts which the Company believes are not reflective of the
Company’s underlying performance for the reporting period, such as the impact of foreign exchange gains and losses, reassessment
of prior year taxes and/or taxes otherwise not related to the current period, impairment charges (reversals), gains and losses and other
one-time costs related to acquisitions, dispositions and other transactions, and non-hedge derivative gains and losses. Although some
of the items are recurring, the Company believes that they are not reflective of the underlying operating performance of its current business
and are not necessarily indicative of future operating results. Management believes that these measures and ratios, which are used internally
to assess performance and in planning and forecasting future operating results, provide investors with the ability to better evaluate
underlying performance, particularly since the excluded items are typically not included in public guidance. However, adjusted net earnings
from continuing operations and adjusted net earnings from continuing operations per share measures and ratios are not necessarily indicative
of net earnings from continuing operations and earnings per share measures and ratios as determined under IFRS.
| p. 26 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
The following table provides a reconciliation
of net earnings (loss) from continuing operations to adjusted net earnings from continuing operations for the periods presented:
| (expressed in millions of U.S dollars, | |
Three months ended | | |
Years ended | |
| except per share amounts) | |
December 31, | | |
December 31, | |
| | |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| Net earnings (loss) from continuing operations attributable to common shareholders - as reported | |
$ | 65.4 | | |
$ | (106.0 | ) | |
$ | 416.3 | | |
$ | 31.9 | |
| Adjusting items: | |
| | | |
| | | |
| | | |
| | |
| Foreign exchange losses (gains) | |
| 2.7 | | |
| (0.7 | )# | |
| 1.9 | | |
| (0.8 | ) |
| Foreign exchange losses (gains) on
translation of tax basis and foreign exchange on deferred income taxes within income tax expense | |
| 24.1 | | |
| (17.1 | )# | |
| 29.3 | | |
| (25.5 | ) |
| Taxes in respect of prior periods | |
| (19.9 | ) | |
| 0.4 | # | |
| 13.9 | | |
| 16.2 | |
| Impairment charges and asset derecognition(a) | |
| 38.9 | | |
| 350.0 | # | |
| 38.9 | | |
| 350.0 | |
| Restructuring costs | |
| - | | |
| - | # | |
| - | | |
| 13.0 | |
| Reclamation (recovery) expense | |
| (5.1 | ) | |
| 19.6 | # | |
| (19.2 | ) | |
| 23.5 | |
| VAT expense (recovery) in respect of prior periods | |
| - | | |
| (24.2 | )# | |
| 8.5 | | |
| (24.2 | ) |
| Tasiast insurance recoveries | |
| - | | |
| (77.1 | )# | |
| - | | |
| (77.1 | ) |
| Loss on sale of assets | |
| 8.1 | | |
| 12.1 | # | |
| 14.8 | | |
| 14.3 | |
| Settlement provisions | |
| 20.0 | | |
| - | # | |
| 30.0 | | |
| - | |
| Other(b) | |
| 8.2 | | |
| 16.4 | # | |
| 9.6 | | |
| 22.6 | |
| Tax effects of the above adjustments | |
| (2.4 | ) | |
| (65.2 | )# | |
| (4.2 | ) | |
| (60.8 | ) |
| | |
| 74.6 | | |
| 214.2 | | |
| 123.5 | | |
| 251.2 | |
| Adjusted net earnings from continuing operations attributable to common shareholders | |
$ | 140.0 | | |
$ | 108.2 | | |
$ | 539.8 | | |
$ | 283.1 | |
| Weighted average number of common shares outstanding - Basic | |
| 1,227.8 | | |
| 1,258.4 | | |
| 1,227.0 | | |
| 1,280.5 | |
| Adjusted net earnings from continuing operations per share | |
$ | 0.11 | | |
$ | 0.09 | | |
$ | 0.44 | | |
$ | 0.22 | |
| Basic earnings per
share from continuing operations attributable to common shareholders - as reported | |
$ | 0.06 | | |
$ | (0.08 | ) | |
$ | 0.34 | | |
$ | 0.02 | |
| (a) | During the year ended December 31, 2023, the Company recognized impairment charges of $38.9 million
related to a reduction in the estimate of recoverable ounces on the Fort Knox heap leach pads due to changes in recovery rates. The tax
impact of the impairment was an income tax recovery of $3.1 million. During the year ended December 31, 2022, the Company recognized
impairment charges of $350.0 million at Round Mountain, of which $106.8 million related to impairment of metal inventory and $243.2 million
related to impairment of property, plant and equipment. The income tax recoveries related to the impairment charges were $18.9 million
and $41.8 million, respectively. During the year ended December 31, 2021, the Company recognized impairment and asset derecognition
charges of $144.5 million at Bald Mountain, of which $95.2 million related to impairment of metal inventory and $49.3 million related
to the derecognition of property, plant and equipment. The income tax recoveries related to the impairment charges were $25.3 million
and $13.1 million, respectively. |
| (b) | Other includes various impacts, such as one-time costs at sites, and gains and losses on hedges, which
the Company believes are not reflective of the Company’s underlying performance for the reporting period. |
Attributable Free Cash Flow from Continuing
Operations
Attributable free cash flow is defined as net
cash flow of continuing operations provided from operating activities less attributable capital expenditures and non-controlling interest
included in net cash flow from operating activities. The Company believes that this measure, which is used internally to evaluate the
Company’s underlying cash generation performance and the ability to repay creditors and return cash to shareholders, provides investors
with the ability to better evaluate the Company’s underlying performance. However, this measure is not necessarily indicative of
operating earnings or net cash flow of continuing operations provided from operating activities, as determined under IFRS.
The following table provides a reconciliation
of attributable free cash flow from continuing operations for the periods presented:
| (expressed in millions of U.S dollars) | |
Three months ended | | |
Years ended | |
| | |
December 31, | | |
December 31, | |
| | |
| 2023 | | |
| 2022 | | |
| 2023 | | |
| 2022 | |
| Net cash flow of continuing operations provided from operating activities - as reported | |
$ | 410.9 | | |
$ | 474.3 | | |
$ | 1,605.3 | | |
$ | 1,002.5 | |
| | |
| | | |
| | | |
| | | |
| | |
| Less: Additions to property, plant and equipment | |
| (311.3 | ) | |
| (316.8 | ) | |
| (1,098.3 | ) | |
| (764.2 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Free cash flow from continuing operations | |
$ | 99.6 | | |
$ | 157.5 | | |
$ | 507.0 | | |
$ | 238.3 | |
| | |
| | | |
| | | |
| | | |
| | |
| Add: Non-controlling interest included in additions to property, plant and equipment | |
| 13.6 | | |
| 4.1 | | |
| 43.3 | | |
| 9.2 | |
| | |
| | | |
| | | |
| | | |
| | |
| Attributable free cash flow from continuing operations | |
$ | 113.2 | | |
$ | 161.6 | | |
$ | 550.3 | | |
$ | 247.5 | |
See page 31 for details of
the endnotes referenced within the table above.
Adjusted operating cash flow from continuing
operations is a non-GAAP financial measure and is defined as net cash flow of continuing operations provided from operating activities
excluding certain impacts which the Company believes are not reflective of the Company’s regular operating cash flow and excluding
changes in working capital. Working capital can be volatile due to numerous factors, including the timing of tax payments. The Company
uses adjusted operating cash flow from continuing operations internally as a measure of the underlying operating cash flow performance
and future operating cash flow-generating capability of the Company. However, the adjusted operating cash flow from continuing operations
measure is not necessarily indicative of net cash flow of continuing operations provided from operating activities as determined under
IFRS.
| p. 27 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| |
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5 |
The following table provides a reconciliation
of adjusted operating cash flow from continuing operations for the periods presented:
| (expressed in millions of U.S dollars) | |
Three months ended | | |
Years ended | |
| | |
December 31, | | |
December 31, | |
| | |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| Net cash flow of continuing operations provided from operating activities - as reported | |
$ | 410.9 | | |
$ | 474.3 | | |
$ | 1,605.3 | | |
$ | 1,002.5 | |
| | |
| | | |
| | | |
| | | |
| | |
| Adjusting items: | |
| | | |
| | | |
| | | |
| | |
| Working capital changes: | |
| | | |
| | | |
| | | |
| | |
| Accounts receivable and other assets | |
| (2.1 | ) | |
| 29.1 | | |
| (68.7 | ) | |
| (17.9 | ) |
| Inventories | |
| (1.8 | ) | |
| 39.2 | | |
| 91.4 | | |
| 261.6 | |
| Accounts payable and other liabilities, including income taxes paid | |
| 0.4 | | |
| (46.5 | ) | |
| 41.9 | | |
| 10.3 | |
| Total working capital changes | |
| (3.5 | ) | |
| 21.8 | | |
| 64.6 | | |
| 254.0 | |
| Adjusted operating cash flow from continuing operations | |
$ | 407.4 | | |
$ | 496.1 | | |
$ | 1,669.9 | | |
$ | 1,256.5 | |
Production cost of sales from continuing operations
per ounce sold on a by-product basis is a non-GAAP ratio which calculates the Company’s non-gold production as a credit against
its per ounce production costs, rather than converting its non-gold production into gold equivalent ounces and crediting it to total production,
as is the case in co-product accounting. Management believes that this ratio provides investors with the ability to better evaluate Kinross’
production cost of sales per ounce on a comparable basis with other major gold producers who routinely calculate their cost of sales per
ounce using by-product accounting rather than co-product accounting.
The following table provides a reconciliation
of production cost of sales from continuing operations per ounce sold on a by-product basis for the periods presented:
(expressed in millions of U.S. dollars,
except ounces and production cost of sales per equivalent ounce) | |
Three months ended | | |
Years ended |
| | |
December 31, | | |
December 31, | |
| | |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| Production cost of sales from continuing operations - as reported | |
$ | 552.0 | | |
$ | 526.5 | | |
$ | 2,054.4 | | |
$ | 1,805.7 | |
| Less: silver revenue(a) | |
| (43.7 | ) | |
| (61.9 | ) | |
| (204.3 | ) | |
| (98.9 | ) |
| Production cost of sales from continuing operations net of silver by-product revenue | |
$ | 508.3 | | |
$ | 464.6 | | |
$ | 1,850.1 | | |
$ | 1,706.8 | |
| | |
| | | |
| | | |
| | | |
| | |
| Gold ounces sold from continuing operations | |
| 543,173 | | |
| 586,146 | | |
| 2,074,989 | | |
| 1,872,342 | |
| Total gold equivalent ounces sold from continuing operations | |
| 565,389 | | |
| 620,599 | | |
| 2,179,936 | | |
| 1,927,818 | |
| Production cost of sales from continuing operations per equivalent ounce sold(b) | |
$ | 976 | | |
$ | 848 | | |
$ | 942 | | |
$ | 937 | |
| Production cost of sales from continuing operations per ounce sold on a by-product basis | |
$ | 936 | | |
$ | 793 | | |
$ | 892 | | |
$ | 912 | |
See page 31 for details of the footnotes referenced
within the table above.
All-in sustaining cost and attributable all-in
cost from continuing operations per ounce sold on a by-product basis are non-GAAP financial measures and ratios, as applicable, calculated
based on guidance published by the World Gold Council (“WGC”). The WGC is a market development organization for the gold industry
and is an association whose membership comprises leading gold mining companies including Kinross. Although the WGC is not a mining industry
regulatory organization, it worked closely with its member companies to develop these metrics. Adoption of the all-in sustaining cost
and all-in cost metrics is voluntary and not necessarily standard, and therefore, these measures and ratios presented by the Company may
not be comparable to similar measures and ratios presented by other issuers. The Company believes that the all-in sustaining cost and
all-in cost measures complement existing measures and ratios reported by Kinross.
All-in sustaining cost includes both operating
and capital costs required to sustain gold production on an ongoing basis. The value of silver sold is deducted from the total production
cost of sales as it is considered residual production, i.e. a by-product. Sustaining operating costs represent expenditures incurred at
current operations that are considered necessary to maintain current production. Sustaining capital represents capital expenditures at
existing operations comprising mine development costs, including capitalized stripping, and ongoing replacement of mine equipment and
other capital facilities, and does not include capital expenditures for major growth projects or enhancement capital for significant infrastructure
improvements at existing operations.
All-in cost is comprised of all-in sustaining
cost as well as operating expenditures incurred at locations with no current operation, or costs related to other non-sustaining activities,
and capital expenditures for major growth projects or enhancement capital for significant infrastructure improvements at existing operations.
| p. 28 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
 | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
All-in sustaining cost and attributable all-in
cost from continuing operations per ounce sold on a by-product basis are calculated by adjusting production cost of sales from continuing
operations, as reported on the consolidated statements of operations, as follows:
| | |
Three months ended | | |
Years ended | |
| | |
December
31, | | |
December
31, | |
| | |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| Production cost of sales from continuing operations
- as reported | |
$ | 552.0 | | |
$ | 526.5 | | |
$ | 2,054.4 | | |
$ | 1,805.7 | |
| Less:
silver revenue from continuing operations(a) | |
| (43.7 | ) | |
| (61.9 | ) | |
| (204.3 | ) | |
| (98.9 | ) |
| Production cost of sales from continuing operations net of
silver by-product revenue | |
$ | 508.3 | | |
$ | 464.6 | | |
$ | 1,850.1 | | |
$ | 1,706.8 | |
| Adjusting items: | |
| | | |
| | | |
| | | |
| | |
| General
and administrative(d) | |
| 26.5 | | |
| 29.3 | | |
| 106.9 | | |
| 116.8 | |
| Other
operating expense - sustaining(e) | |
| 5.2 | | |
| 5.0 | | |
| 23.0 | | |
| 28.5 | |
| Reclamation
and remediation - sustaining(f) | |
| 16.4 | | |
| 14.2 | | |
| 63.1 | | |
| 42.7 | |
| Exploration
and business development - sustaining(g) | |
| 10.4 | | |
| 7.7 | | |
| 38.3 | | |
| 30.6 | |
| Additions
to property, plant and equipment - sustaining(h) | |
| 150.1 | | |
| 178.0 | | |
| 554.3 | | |
| 402.6 | |
| Lease
payments - sustaining(i) | |
| 4.6 | | |
| 6.1 | | |
| 29.5 | | |
| 22.4 | |
| All-in Sustaining Cost on a by-product basis | |
$ | 721.5 | | |
$ | 704.9 | | |
$ | 2,665.2 | | |
$ | 2,350.4 | |
| Adjusting
items on an attributable(c) basis: | |
| | | |
| | | |
| | | |
| | |
| Other
operating expense - non-sustaining(e) | |
| 11.1 | | |
| 12.8 | | |
| 38.5 | | |
| 45.1 | |
| Reclamation
and remediation - non-sustaining(f) | |
| 2.2 | | |
| 1.9 | | |
| 7.7 | | |
| 8.0 | |
| Exploration
and business development - non-sustaining(g) | |
| 40.1 | | |
| 40.1 | | |
| 145.9 | | |
| 122.3 | |
| Additions
to property, plant and equipment - non-sustaining(h) | |
| 147.6 | | |
| 134.4 | | |
| 500.7 | | |
| 352.4 | |
| Lease
payments - non-sustaining(i) | |
| 0.1 | | |
| - | | |
| 0.7 | | |
| 0.8 | |
| All-in
Cost on a by-product basis - attributable(c) | |
$ | 922.6 | | |
$ | 894.1 | | |
$ | 3,358.7 | | |
$ | 2,879.0 | |
| Gold ounces sold from continuing operations | |
| 543,173 | | |
| 586,146 | | |
| 2,074,989 | | |
| 1,872,342 | |
| Production
cost of sales from continuing operations per equivalent ounce sold(b) | |
$ | 976 | | |
$ | 848 | | |
$ | 942 | | |
$ | 937 | |
| All-in sustaining cost from continuing operations per ounce
sold on a by-product basis | |
$ | 1,328 | | |
$ | 1,203 | | |
$ | 1,284 | | |
$ | 1,255 | |
| Attributable(c)
all-in cost from continuing operations per ounce sold on a by-product basis | |
$ | 1,699 | | |
$ | 1,525 | | |
$ | 1,619 | | |
$ | 1,538 | |
See page 31 for details of
the endnotes referenced within the table above.
The Company also assesses its all-in sustaining
cost and attributable all-in cost from continuing operations on a gold equivalent ounce basis. Under these non-GAAP financial measures
and ratios, the Company’s production of silver is converted into gold equivalent ounces and credited to total production.
All-in sustaining cost and attributable all-in
cost from continuing operations per equivalent ounce sold are calculated by adjusting production cost of sales from continuing operations,
as reported on the consolidated statements of operations, as follows:
| | |
Three months ended | | |
Years ended | |
| | |
December
31, | | |
December
31, | |
| | |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| Production cost of sales from continuing operations
- as reported | |
$ | 552.0 | | |
$ | 526.5 | | |
$ | 2,054.4 | | |
$ | 1,805.7 | |
| Adjusting items: | |
| | | |
| | | |
| | | |
| | |
| General
and administrative(d) | |
| 26.5 | | |
| 29.3 | | |
| 106.9 | | |
| 116.8 | |
| Other
operating expense - sustaining(e) | |
| 5.2 | | |
| 5.0 | | |
| 23.0 | | |
| 28.5 | |
| Reclamation
and remediation - sustaining(f) | |
| 16.4 | | |
| 14.2 | | |
| 63.1 | | |
| 42.7 | |
| Exploration
and business development - sustaining(g) | |
| 10.4 | | |
| 7.7 | | |
| 38.3 | | |
| 30.6 | |
| Additions
to property, plant and equipment - sustaining(h) | |
| 150.1 | | |
| 178.0 | | |
| 554.3 | | |
| 402.6 | |
| Lease
payments - sustaining(i) | |
| 4.6 | | |
| 6.1 | | |
| 29.5 | | |
| 22.4 | |
| All-in Sustaining Cost | |
$ | 765.2 | | |
$ | 766.8 | | |
$ | 2,869.5 | | |
$ | 2,449.3 | |
| Adjusting
items on an attributable(c) basis: | |
| | | |
| | | |
| | | |
| | |
| Other
operating expense - non-sustaining(e) | |
| 11.1 | | |
| 12.8 | | |
| 38.5 | | |
| 45.1 | |
| Reclamation
and remediation - non-sustaining(f) | |
| 2.2 | | |
| 1.9 | | |
| 7.7 | | |
| 8.0 | |
| Exploration
and business development - non-sustaining(g) | |
| 40.1 | | |
| 40.1 | | |
| 145.9 | | |
| 122.3 | |
| Additions
to property, plant and equipment - non-sustaining(h) | |
| 147.6 | | |
| 134.4 | | |
| 500.7 | | |
| 352.4 | |
| Lease
payments - non-sustaining(i) | |
| 0.1 | | |
| - | | |
| 0.7 | | |
| 0.8 | |
| All-in
Cost - attributable(c) | |
$ | 966.3 | | |
$ | 956.0 | | |
$ | 3,563.0 | | |
$ | 2,977.9 | |
| Gold equivalent ounces sold from continuing operations | |
| 565,389 | | |
| 620,599 | | |
| 2,179,936 | | |
| 1,927,818 | |
| Production
cost of sales from continuing operations per equivalent ounce sold(b) | |
$ | 976 | | |
$ | 848 | | |
$ | 942 | | |
$ | 937 | |
| All-in sustaining cost from continuing operations per equivalent
ounce sold | |
$ | 1,353 | | |
$ | 1,236 | | |
$ | 1,316 | | |
$ | 1,271 | |
| Attributable(c)
all-in cost from continuing operations per equivalent ounce sold | |
$ | 1,709 | | |
$ | 1,540 | | |
$ | 1,634 | | |
$ | 1,545 | |
See page 31 for details of
the endnotes referenced within the table above.
| p. 29 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Capital Expenditures and Attributable Capital
Expenditures From Continuing Operations
Capital expenditures are classified as either
sustaining capital expenditures or non-sustaining capital expenditures, depending on the nature of the expenditure. Sustaining capital
expenditures typically represent capital expenditures at existing operations including capitalized exploration costs and capitalized
stripping unless related to major projects, ongoing replacement of mine equipment and other capital facilities and other capital expenditures
and is calculated as total additions to property, plant and equipment (as reported on the consolidated statements of cash flows), less
non-sustaining capital expenditures. Non-sustaining capital expenditures represent capital expenditures for major projects, including
major capital stripping projects at existing operations that are expected to materially benefit the operation, as well as enhancement
capital for significant infrastructure improvements at existing operations. Management believes the distinction between sustaining capital
expenditures and non-sustaining capital expenditures is a useful indicator for the purpose of capital expenditures and this distinction
is an input into the calculation of all-in sustaining costs from continuing operations per ounce and attributable all-in costs from continuing
operations per ounce. The categorization of sustaining capital expenditures and non-sustaining capital expenditures is consistent with
the definitions under the WGC all-in cost standard. Sustaining capital expenditures and non-sustaining capital expenditures are not defined
under IFRS, however, the sum of these two measures total to additions to property, plant and equipment as disclosed under IFRS on the
consolidated statements of cash flows. Additions to property, plant and equipment per the statement of cash flow includes 100% of capital
expenditures for Manh Choh. Attributable capital expenditures includes Kinross' 70% share of capital expenditures for Manh Choh. Management
believes this to be a useful indicator of Kinross’ cash resources utilized for capital expenditures.
The following table provides a reconciliation
of the classification of capital expenditures for the periods presented:
| (expressed in millions of U.S dollars) | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| Three months ended
December 31, 2023: | |
Tasiast
(Mauritania) | | |
Paracatu
(Brazil) | | |
La
Coipa (Chile) | | |
Fort
Knox (USA) | | |
Round
Mountain (USA) | | |
Bald
Mountain (USA) | | |
Manh
Choh (USA) | | |
Total
USA | | |
Other | | |
Total | |
| Sustaining
capital expenditures | |
$ | 9.7 | | |
$ | 41.6 | | |
$ | 7.0 | | |
$ | 50.6 | | |
$ | 4.6 | | |
$ | 36.3 | | |
$ | - | | |
$ | 91.5 | | |
$ | 0.3 | | |
$ | 150.1 | |
| Non-sustaining
capital expenditures | |
| 75.5 | | |
| - | | |
| 3.9 | | |
| 18.4 | | |
| 0.2 | | |
| 2.5 | | |
| 45.1 | | |
| 66.2 | | |
| 15.6 | | |
| 161.2 | |
| Additions to property, plant
and equipment - per cash flow | |
$ | 85.2 | | |
$ | 41.6 | | |
$ | 10.9 | | |
$ | 69.0 | | |
$ | 4.8 | | |
$ | 38.8 | | |
$ | 45.1 | | |
$ | 157.7 | | |
$ | 15.9 | | |
$ | 311.3 | |
| Less:
Non-controlling interest(c) | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| (13.6 | ) | |
| (13.6 | ) | |
| - | | |
| (13.6 | ) |
| Attributable
capital expenditures(c) | |
$ | 85.2 | | |
$ | 41.6 | | |
$ | 10.9 | | |
$ | 69.0 | | |
$ | 4.8 | | |
$ | 38.8 | | |
$ | 31.5 | | |
$ | 144.1 | | |
$ | 15.9 | | |
$ | 297.7 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Three months ended December 31, 2022: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Sustaining
capital expenditures | |
$ | 38.3 | | |
$ | 43.9 | | |
$ | 2.6 | | |
$ | 34.4 | | |
$ | 41.1 | | |
$ | 17.2 | | |
$ | - | | |
$ | 92.7 | | |
$ | 0.8 | | |
$ | 178.3 | |
| Non-sustaining
capital expenditures | |
| 52.0 | | |
| - | | |
| 43.4 | | |
| 4.7 | | |
| - | | |
| 20.2 | | |
| 17.1 | | |
| 42.0 | | |
| 1.1 | | |
| 138.5 | |
| Additions to property, plant
and equipment - per cash flow | |
$ | 90.3 | | |
$ | 43.9 | | |
$ | 46.0 | | |
$ | 39.1 | | |
$ | 41.1 | | |
$ | 37.4 | | |
$ | 17.1 | | |
$ | 134.7 | | |
$ | 1.9 | | |
$ | 316.8 | |
| Less:
Non-controlling interest(c) | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| (4.1 | ) | |
| (4.1 | ) | |
| - | | |
| (4.1 | ) |
| Attributable
capital expenditures(c) | |
$ | 90.3 | | |
$ | 43.9 | | |
$ | 46.0 | | |
$ | 39.1 | | |
$ | 41.1 | | |
$ | 37.4 | | |
$ | 13.0 | | |
$ | 130.6 | | |
$ | 1.9 | | |
$ | 312.7 | |
| (expressed in millions of U.S dollars) | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| Year ended December
31, 2023: | |
Tasiast
(Mauritania) | | |
Paracatu
(Brazil) | | |
La
Coipa (Chile) | | |
Fort
Knox (USA) | | |
Round
Mountain (USA) | | |
Bald
Mountain (USA) | | |
Manh
Choh (USA) | | |
Total
USA | | |
Other | | |
Total | |
| Sustaining
capital expenditures | |
$ | 45.6 | | |
$ | 167.5 | | |
$ | 36.0 | | |
$ | 193.4 | | |
$ | 30.2 | | |
$ | 79.5 | | |
$ | - | | |
$ | 303.1 | | |
$ | 2.1 | | |
$ | 554.3 | |
| Non-sustaining
capital expenditures | |
| 263.4 | | |
| - | | |
| 38.8 | | |
| 30.7 | | |
| 0.3 | | |
| 40.8 | | |
| 144.3 | | |
| 216.1 | | |
| 25.7 | | |
| 544.0 | |
| Additions to property, plant
and equipment - per cash flow | |
$ | 309.0 | | |
$ | 167.5 | | |
$ | 74.8 | | |
$ | 224.1 | | |
$ | 30.5 | | |
$ | 120.3 | | |
$ | 144.3 | | |
$ | 519.2 | | |
$ | 27.8 | | |
$ | 1,098.3 | |
| Less:
Non-controlling interest(c) | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| (43.3 | ) | |
| (43.3 | ) | |
| - | | |
| (43.3 | ) |
| Attributable
capital expenditures(c) | |
$ | 309.0 | | |
$ | 167.5 | | |
$ | 74.8 | | |
$ | 224.1 | | |
$ | 30.5 | | |
$ | 120.3 | | |
$ | 101.0 | | |
$ | 475.9 | | |
$ | 27.8 | | |
$ | 1,055.0 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Year ended December 31, 2022: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Sustaining
capital expenditures | |
$ | 52.7 | | |
$ | 124.7 | | |
$ | 7.8 | | |
$ | 78.7 | | |
$ | 102.2 | | |
$ | 35.3 | | |
$ | - | | |
$ | 216.2 | | |
$ | 1.2 | | |
$ | 402.6 | |
| Non-sustaining
capital expenditures | |
| 114.7 | | |
| - | | |
| 147.7 | | |
| 7.4 | | |
| 0.2 | | |
| 52.3 | | |
| 33.2 | | |
| 93.1 | | |
| 6.1 | | |
| 361.6 | |
| Additions to property, plant
and equipment - per cash flow | |
$ | 167.4 | | |
$ | 124.7 | | |
$ | 155.5 | | |
$ | 86.1 | | |
$ | 102.4 | | |
$ | 87.6 | | |
$ | 33.2 | | |
$ | 309.3 | | |
$ | 7.3 | | |
$ | 764.2 | |
| Less:
Non-controlling interest(c) | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| (9.2 | ) | |
| (9.2 | ) | |
| - | | |
| (9.2 | ) |
| Attributable
capital expenditures(c) | |
$ | 167.4 | | |
$ | 124.7 | | |
$ | 155.5 | | |
$ | 86.1 | | |
$ | 102.4 | | |
$ | 87.6 | | |
$ | 24.0 | | |
$ | 300.1 | | |
$ | 7.3 | | |
$ | 755.0 | |
See page 31 for details of the endnotes referenced
within the table above.
| p. 30 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Endnotes
| (a) | “Silver revenue”
represents the portion of metal sales realized from the production of the secondary or by-product
metal (i.e. silver). Revenue from the sale of silver, which is produced as a by-product of
the process used to produce gold, effectively reduces the cost of gold production. |
| (b) | “Production cost of
sales from continuing operations per equivalent ounce sold” is defined as production
cost of sales from continuing operations divided by total gold equivalent ounces sold from
continuing operations. |
| (c) | “Attributable”
includes Kinross’ share of Manh Choh (70%) free cash flow, costs and capital expenditures.
As Manh Choh is a non-operating site, the attributable costs and capital expenditures are
non-sustaining and as such only impact the all-in-cost measures. |
| (d) | “General and administrative”
expenses is as reported on the consolidated statements of operations, net of certain restructuring
expenses. General and administrative expenses are considered sustaining costs as they are
required to be absorbed on a continuing basis for the effective operation and governance
of the Company. |
| (e) | “Other operating expense
– sustaining” is calculated as “Other operating expense” as reported
on the consolidated statements of operations, less other operating and reclamation and remediation
expenses related to non-sustaining activities as well as other items not reflective of the
underlying operating performance of our business. Other operating expenses are classified
as either sustaining or non-sustaining based on the type and location of the expenditure
incurred. The majority of other operating expenses that are incurred at existing operations
are considered costs necessary to sustain operations, and are therefore classified as sustaining.
Other operating expenses incurred at locations where there is no current operation or related
to other non-sustaining activities are classified as non-sustaining. |
| (f) | “Reclamation and remediation
- sustaining” is calculated as current period accretion related to reclamation and
remediation obligations plus current period amortization of the corresponding reclamation
and remediation assets, and is intended to reflect the periodic cost of reclamation and remediation
for currently operating mines. Reclamation and remediation costs for development projects
or closed mines are excluded from this amount and classified as non-sustaining. |
| (g) | “Exploration and business
development – sustaining” is calculated as “Exploration and business development”
expenses as reported on the consolidated statements of operations, less non-sustaining exploration
and business development expenses. Exploration expenses are classified as either sustaining
or non-sustaining based on a determination of the type and location of the exploration expenditure.
Exploration expenditures within the footprint of operating mines are considered costs required
to sustain current operations and so are included in sustaining costs. Exploration expenditures
focused on new ore bodies near existing mines (i.e. brownfield), new exploration projects
(i.e. greenfield) or for other generative exploration activity not linked to existing mining
operations are classified as non-sustaining. Business development expenses are classified
as either sustaining or non-sustaining based on a determination of the type of expense and
requirement for general or growth related operations. |
| (h) | “Additions to property,
plant and equipment – sustaining and non-sustaining are as presented on page 30.
Non-sustaining capital expenditures included in the calculation of attributable all-in-cost
includes Kinross’ share of Manh Choh (70%) costs. |
| (i) | “Lease payments –
sustaining” represents the majority of lease payments as reported on the consolidated
statements of cash flows and is made up of the principal and financing components of such
cash payments, less non-sustaining lease payments. Lease payments for development projects
or closed mines are classified as non-sustaining. |
| (j) | Non-controlling interest”
represents the non-controlling interest portion in Manh Choh (30%) and other subsidiaries
for which the Company’s interest is less than 100% for cash flow from operating activities
and capital expenditures. |
| p. 31 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
2023 Annual Mineral Reserve and Resource Statement
Proven and Probable Mineral Reserves
| MINERAL RESERVE AND MINERAL RESOURCE
STATEMENT | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
GOLD | |
| PROVEN AND PROBABLE MINERAL RESERVES | |
(1,3,4,5,6,7) | | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| Kinross
Gold Corporation's Share at December 31, 2023 | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| | |
| | |
| | |
Kinross | | |
Proven | | |
| | |
| | |
Probable | | |
Proven
and Probable | |
| | |
| | |
Location | | |
Interest | | |
Tonnes | | |
Grade | | |
Ounces | | |
Tonnes | | |
Grade | | |
Ounces | | |
Tonnes | | |
Grade | | |
Ounces | |
| | |
| | |
| | |
(%) | | |
(kt) | | |
(g/t) | | |
(koz) | | |
(kt) | | |
(g/t) | | |
(koz) | | |
(kt) | | |
(g/t) | | |
(koz) | |
| NORTH AMERICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Bald Mountain | |
| | | |
| USA | | |
| 100 | % | |
| 638 | | |
| 0.5 | | |
| 9 | | |
| 27,628 | | |
| 0.5 | | |
| 480 | | |
| 28,265 | | |
| 0.5 | | |
| 489 | |
| Fort Knox | |
| | | |
| USA | | |
| 100 | % | |
| 17,029 | | |
| 0.4 | | |
| 229 | | |
| 119,594 | | |
| 0.4 | | |
| 1,357 | | |
| 136,623 | | |
| 0.4 | | |
| 1,586 | |
| Manh Choh | |
| | | |
| USA | | |
| 70 | % | |
| 4 | | |
| 2.7 | | |
| 0 | | |
| 2,881 | | |
| 7.7 | | |
| 709 | | |
| 2,885 | | |
| 7.6 | | |
| 709 | |
| Round Mountain | |
| 8 | | |
| USA | | |
| 100 | % | |
| 5,485 | | |
| 0.4 | | |
| 70 | | |
| 72,448 | | |
| 0.8 | | |
| 1,908 | | |
| 77,933 | | |
| 0.8 | | |
| 1,979 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 23,156 | | |
| 0.4 | | |
| 309 | | |
| 222,551 | | |
| 0.6 | | |
| 4,454 | | |
| 245,706 | | |
| 0.6 | | |
| 4,763 | |
| SOUTH AMERICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| La Coipa | |
| 9 | | |
| Chile | | |
| 100 | % | |
| 1,286 | | |
| 1.6 | | |
| 65 | | |
| 11,918 | | |
| 1.8 | | |
| 695 | | |
| 13,205 | | |
| 1.8 | | |
| 760 | |
| Lobo Marte | |
| 2 | | |
| Chile | | |
| 100 | % | |
| 0 | | |
| 0.0 | | |
| 0 | | |
| 160,702 | | |
| 1.3 | | |
| 6,733 | | |
| 160,702 | | |
| 1.3 | | |
| 6,733 | |
| Paracatu | |
| | | |
| Brazil | | |
| 100 | % | |
| 293,503 | | |
| 0.5 | | |
| 4,337 | | |
| 122,147 | | |
| 0.3 | | |
| 1,110 | | |
| 415,650 | | |
| 0.4 | | |
| 5,446 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 294,790 | | |
| 0.5 | | |
| 4,402 | | |
| 294,767 | | |
| 0.9 | | |
| 8,538 | | |
| 589,557 | | |
| 0.7 | | |
| 12,940 | |
| AFRICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Tasiast | |
| | | |
| Mauritania | | |
| 100 | % | |
| 56,719 | | |
| 1.1 | | |
| 2,072 | | |
| 45,827 | | |
| 2.0 | | |
| 2,982 | | |
| 102,546 | | |
| 1.5 | | |
| 5,055 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 56,719 | | |
| 1.1 | | |
| 2,072 | | |
| 45,827 | | |
| 2.0 | | |
| 2,982 | | |
| 102,546 | | |
| 1.5 | | |
| 5,055 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| TOTAL GOLD | |
| | | |
| | | |
| | | |
| 374,664 | | |
| 0.6 | | |
| 6,783 | | |
| 563,145 | | |
| 0.9 | | |
| 15,974 | | |
| 937,809 | | |
| 0.8 | | |
| 22,757 | |
| MINERAL RESERVE AND MINERAL RESOURCE
STATEMENT | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
SILVER | |
| PROVEN AND PROBABLE MINERAL RESERVES | |
(1,3,4,5,6,7) | | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| Kinross
Gold Corporation's Share at December 31, 2023 | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| | |
| | |
| | |
Kinross | | |
Proven | | |
| | |
| | |
Probable | | |
Proven
and Probable | |
| | |
| | |
Location | | |
Interest | | |
Tonnes | | |
Grade | | |
Ounces | | |
Tonnes | | |
Grade | | |
Ounces | | |
Tonnes | | |
Grade | | |
Ounces | |
| | |
| | |
| | |
(%) | | |
(kt) | | |
(g/t) | | |
(koz) | | |
(kt) | | |
(g/t) | | |
(koz) | | |
(kt) | | |
(g/t) | | |
(koz) | |
| NORTH AMERICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Manh Choh | |
| | | |
| USA | | |
| 70 | % | |
| 4 | | |
| 4.4 | | |
| 1 | | |
| 2,881 | | |
| 13.5 | | |
| 1,249 | | |
| 2,885 | | |
| 13.5 | | |
| 1,249 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 4 | | |
| 4.4 | | |
| 1 | | |
| 2,881 | | |
| 13.5 | | |
| 1,249 | | |
| 2,885 | | |
| 13.5 | | |
| 1,249 | |
| SOUTH AMERICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| La Coipa | |
| 9 | | |
| Chile | | |
| 100 | % | |
| 1,286 | | |
| 74.4 | | |
| 3,077 | | |
| 11,918 | | |
| 50.4 | | |
| 19,327 | | |
| 13,205 | | |
| 52.8 | | |
| 22,404 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 1,286 | | |
| 74.4 | | |
| 3,077 | | |
| 11,918 | | |
| 50.4 | | |
| 19,327 | | |
| 13,205 | | |
| 52.8 | | |
| 22,404 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| TOTAL SILVER | |
| | | |
| | | |
| | | |
| 1,290 | | |
| 74.2 | | |
| 3,077 | | |
| 14,799 | | |
| 43.2 | | |
| 20,576 | | |
| 16,090 | | |
| 45.7 | | |
| 23,653 | |
See page 35 of this news release for details of the footnotes
referenced within the table above.
| p. 32 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Measured and Indicated Mineral Resources
| MINERAL RESERVE AND MINERAL RESOURCE
STATEMENT | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
GOLD | |
| MEASURED AND INDICATED MINERAL
RESOURCES | |
| | |
(3,4,5,6,7,10,11,13) | | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| Kinross
Gold Corporation's Share at December 31, 2023 | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| | |
| | |
| | |
Kinross | | |
Measured | | |
| | |
| | |
Indicated | | |
Measured
and Indicated | |
| | |
| | |
Location | | |
Interest | | |
Tonnes | | |
Grade | | |
Ounces | | |
Tonnes | | |
Grade | | |
Ounces | | |
Tonnes | | |
Grade | | |
Ounces | |
| | |
| | |
| | |
(%) | | |
(kt) | | |
(g/t) | | |
(koz) | | |
(kt) | | |
(g/t) | | |
(koz) | | |
(kt) | | |
(g/t) | | |
(koz) | |
| NORTH
AMERICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Bald
Mountain | |
| | | |
| USA | | |
| 100 | % | |
| 7,743 | | |
| 0.7 | | |
| 180 | | |
| 232,973 | | |
| 0.5 | | |
| 3,506 | | |
| 240,716 | | |
| 0.5 | | |
| 3,686 | |
| Fort Knox | |
| | | |
| USA | | |
| 100 | % | |
| 4,137 | | |
| 0.4 | | |
| 50 | | |
| 66,131 | | |
| 0.3 | | |
| 697 | | |
| 70,269 | | |
| 0.3 | | |
| 747 | |
| Great Bear | |
| | | |
| CAN | | |
| 100 | % | |
| 1,839 | | |
| 2.6 | | |
| 152 | | |
| 31,029 | | |
| 2.7 | | |
| 2,661 | | |
| 32,867 | | |
| 2.7 | | |
| 2,813 | |
| Curlew Basin | |
| | | |
| USA | | |
| 100 | % | |
| 0 | | |
| 0.0 | | |
| 0 | | |
| 1,985 | | |
| 6.4 | | |
| 408 | | |
| 1,985 | | |
| 6.4 | | |
| 408 | |
| Manh Choh | |
| | | |
| USA | | |
| 70 | % | |
| 0 | | |
| 0.0 | | |
| 0 | | |
| 436 | | |
| 2.3 | | |
| 32 | | |
| 436 | | |
| 2.3 | | |
| 32 | |
| Round Mountain | |
| 8 | | |
| USA | | |
| 100 | % | |
| 0 | | |
| 0.0 | | |
| 0 | | |
| 120,545 | | |
| 0.9 | | |
| 3,361 | | |
| 120,545 | | |
| 0.9 | | |
| 3,361 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 13,719 | | |
| 0.9 | | |
| 382 | | |
| 453,099 | | |
| 0.7 | | |
| 10,665 | | |
| 466,818 | | |
| 0.7 | | |
| 11,047 | |
| SOUTH
AMERICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| La Coipa | |
| 9 | | |
| Chile | | |
| 100 | % | |
| 6,006 | | |
| 1.8 | | |
| 347 | | |
| 19,824 | | |
| 1.6 | | |
| 1,028 | | |
| 25,830 | | |
| 1.7 | | |
| 1,375 | |
| Lobo Marte | |
| 12 | | |
| Chile | | |
| 100 | % | |
| 0 | | |
| 0.0 | | |
| 0 | | |
| 99,440 | | |
| 0.7 | | |
| 2,366 | | |
| 99,440 | | |
| 0.7 | | |
| 2,366 | |
| Maricunga | |
| | | |
| Chile | | |
| 100 | % | |
| 64,728 | | |
| 0.7 | | |
| 1,521 | | |
| 221,602 | | |
| 0.7 | | |
| 4,688 | | |
| 286,329 | | |
| 0.7 | | |
| 6,209 | |
| Paracatu | |
| | | |
| Brazil | | |
| 100 | % | |
| 81,953 | | |
| 0.5 | | |
| 1,253 | | |
| 212,573 | | |
| 0.3 | | |
| 1,788 | | |
| 294,526 | | |
| 0.3 | | |
| 3,041 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 152,686 | | |
| 0.6 | | |
| 3,121 | | |
| 553,439 | | |
| 0.6 | | |
| 9,870 | | |
| 706,125 | | |
| 0.6 | | |
| 12,991 | |
| AFRICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Tasiast | |
| | | |
| Mauritania | | |
| 100 | % | |
| 9,615 | | |
| 0.9 | | |
| 284 | | |
| 48,936 | | |
| 1.0 | | |
| 1,646 | | |
| 58,551 | | |
| 1.0 | | |
| 1,930 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 9,615 | | |
| 0.9 | | |
| 284 | | |
| 48,936 | | |
| 1.0 | | |
| 1,646 | | |
| 58,551 | | |
| 1.0 | | |
| 1,930 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| TOTAL
GOLD | |
| | | |
| | | |
| | | |
| 176,020 | | |
| 0.7 | | |
| 3,787 | | |
| ####### | | |
| 0.7 | | |
| 22,181 | | |
| ####### | | |
| 0.7 | | |
| 25,968 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| MINERAL RESERVE AND MINERAL RESOURCE
STATEMENT | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
SILVER | |
| MEASURED AND INDICATED MINERAL
RESOURCES | |
| | |
(3,4,5,6,7,10,11,13) | | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| Kinross
Gold Corporation's Share at December 31, 2023 | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| | |
| | |
Location | | |
Kinross | | |
Measured | | |
| | |
| | |
Indicated | | |
Measured
and Indicated | |
| | |
| | |
| | |
Interest | | |
Tonnes | | |
Grade | | |
Ounces | | |
Tonnes | | |
Grade | | |
Ounces | | |
Tonnes | | |
Grade | | |
Ounces | |
| | |
| | |
| | |
(%) | | |
(kt) | | |
(g/t) | | |
(koz) | | |
(kt) | | |
(g/t) | | |
(koz) | | |
(kt) | | |
(g/t) | | |
(koz) | |
| NORTH AMERICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Manh Choh | |
| | | |
| USA | | |
| 70 | % | |
| 0 | | |
| 0.0 | | |
| 0 | | |
| 436 | | |
| 9.1 | | |
| 128 | | |
| 436 | | |
| 9.1 | | |
| 128 | |
| Round Mountain | |
| 8 | | |
| USA | | |
| 100 | % | |
| 0 | | |
| 0.0 | | |
| 0 | | |
| 4,085 | | |
| 8.4 | | |
| 1,106 | | |
| 4,085 | | |
| 8.4 | | |
| 1,106 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 0 | | |
| 0.0 | | |
| 0 | | |
| 4,520 | | |
| 8.5 | | |
| 1,234 | | |
| 4,520 | | |
| 8.5 | | |
| 1,234 | |
| SOUTH AMERICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| La Coipa | |
| 9 | | |
| Chile | | |
| 100 | % | |
| 6,006 | | |
| 29.5 | | |
| 5,697 | | |
| 19,824 | | |
| 42.4 | | |
| 27,042 | | |
| 25,830 | | |
| 39.4 | | |
| 32,739 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 6,006 | | |
| 29.5 | | |
| 5,697 | | |
| 19,824 | | |
| 42.4 | | |
| 27,042 | | |
| 25,830 | | |
| 39.4 | | |
| 32,739 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| TOTAL SILVER | |
| | | |
| | | |
| | | |
| 6,006 | | |
| 29.5 | | |
| 5,697 | | |
| 24,344 | | |
| 36.1 | | |
| 28,276 | | |
| 30,350 | | |
| 34.8 | | |
| 33,972 | |
See page 35 of this news release for details of the footnotes
referenced within the table above.
| p. 33 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Inferred Mineral Resources
| MINERAL RESERVE
AND MINERAL RESOURCE STATEMENT | | |
| | |
GOLD | |
| INFERRED MINERAL RESOURCES | | |
(3,4,5,6,7,10,11,13) | | |
| |
| Kinross Gold Corporation's Share at December 31, 2023 | | |
| | |
| |
| | |
| | |
| | |
Kinross | | |
Inferred | |
| | |
| | |
Location | | |
Interest | | |
Tonnes | | |
Grade | | |
Ounces | |
| | |
| | |
| | |
(%) | | |
(kt) | | |
(g/t) | | |
(koz) | |
| NORTH AMERICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Bald Mountain | |
| | | |
| USA | | |
| 100 | % | |
| 49,041 | | |
| 0.3 | | |
| 489 | |
| Fort Knox | |
| | | |
| USA | | |
| 100 | % | |
| 19,265 | | |
| 0.3 | | |
| 193 | |
| Great Bear | |
| | | |
| CAN | | |
| 100 | % | |
| 22,691 | | |
| 4.5 | | |
| 3,315 | |
| Curlew Basin | |
| | | |
| USA | | |
| 100 | % | |
| 3,728 | | |
| 6.0 | | |
| 715 | |
| Manh Choh | |
| | | |
| USA | | |
| 70 | % | |
| 10 | | |
| 4.1 | | |
| 1 | |
| Round Mountain | |
| 8 | | |
| USA | | |
| 100 | % | |
| 95,361 | | |
| 0.5 | | |
| 1,542 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 190,095 | | |
| 1.0 | | |
| 6,255 | |
| SOUTH AMERICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| La Coipa | |
| 9 | | |
| Chile | | |
| 100 | % | |
| 2,933 | | |
| 1.2 | | |
| 116 | |
| Lobo Marte | |
| 12 | | |
| Chile | | |
| 100 | % | |
| 18,474 | | |
| 0.7 | | |
| 445 | |
| Maricunga | |
| | | |
| Chile | | |
| 100 | % | |
| 174,847 | | |
| 0.6 | | |
| 3,097 | |
| Paracatu | |
| | | |
| Brazil | | |
| 100 | % | |
| 7,348 | | |
| 0.3 | | |
| 67 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 203,602 | | |
| 0.6 | | |
| 3,725 | |
| AFRICA | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Tasiast | |
| | | |
| Mauritania | | |
| 100 | % | |
| 19,551 | | |
| 2.4 | | |
| 1,504 | |
| SUBTOTAL | |
| | | |
| | | |
| | | |
| 19,551 | | |
| 2.4 | | |
| 1,504 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| TOTAL GOLD | |
| | | |
| | | |
| | | |
| 413,248 | | |
| 0.9 | | |
| 11,484 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| MINERAL RESERVE AND MINERAL RESOURCE STATEMENT |
|
|
|
|
|
SILVER |
|
| INFERRED MINERAL RESOURCES |
|
|
(3,4,5,6,7,10,11,13)
|
|
|
|
|
| Kinross Gold Corporation's Share at December 31, 2023 |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
Kinross |
|
|
Inferred |
|
| |
|
|
|
|
Location |
|
|
Interest |
|
|
Tonnes |
|
|
Grade |
|
|
Ounces |
|
| |
|
|
|
|
|
|
|
(%) |
|
|
(kt) |
|
|
(g/t) |
|
|
(koz) |
|
| NORTH AMERICA |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Manh Choh |
|
|
|
|
|
|
USA |
|
|
|
70 |
% |
|
|
10 |
|
|
|
10.2 |
|
|
|
3 |
|
| Round Mountain |
|
|
8 |
|
|
|
USA |
|
|
|
100 |
% |
|
|
330 |
|
|
|
1.1 |
|
|
|
12 |
|
| SUBTOTAL |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
339 |
|
|
|
1.4 |
|
|
|
15 |
|
| SOUTH AMERICA |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| La Coipa |
|
|
9 |
|
|
|
Chile |
|
|
|
100 |
% |
|
|
2,933 |
|
|
|
42.3 |
|
|
|
3,987 |
|
| SUBTOTAL |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,933 |
|
|
|
42.3 |
|
|
|
3,987 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| TOTAL SILVER |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,272 |
|
|
|
38.0 |
|
|
|
4,002 |
|
See page 35 of this news release for details of
the footnotes referenced within the table above.
| p. 34 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Mineral Reserve and Mineral Resource Statement Notes
(1) Unless otherwise noted, the Company's
mineral reserves are estimated using appropriate cut-off grades based on an assumed gold price of $1,400 per ounce and a silver price
of $17.50 per ounce. Mineral reserves are estimated using appropriate process recoveries, operating costs and mine plans that are unique
to each property and include estimated allowances for dilution and mining recovery. Mineral reserve estimates are reported in contained
units based on Kinross' interest and are estimated based on the following foreign exchange rates:
Canadian Dollar to $US 1.30
Chilean Peso to $US 850.00
Brazilian Real to $US 5.00
Mauritanian Ouguiya to $US 35.00
(2) The mineral reserve estimates for
Lobo Marte assume a $1,200 per ounce gold price and foreign exchange rate assumption of Chilean Peso to $US 800.00 are based on the 2021
Feasibility Study.
(3) The Company’s mineral reserve
and mineral resource estimates as at December 31, 2023 are classified in accordance with the Canadian Institute of Mining, Metallurgy
and Petroleum (“CIM”) “CIM Definition Standards - For Mineral Resources and Mineral Reserves” adopted by the
CIM Council (as amended, the “CIM Definition Standards”) in accordance with the requirements of National Instrument 43-101
“Standards of Disclosure for Mineral Projects” (“NI 43-101”). Mineral reserve and mineral resource estimates
reflect the Company’s reasonable expectation that all necessary permits and approvals will be obtained and maintained.
(4) Cautionary note to U.S. investors
concerning estimates of mineral reserves and mineral resources. These estimates have been prepared in accordance with the requirements
of Canadian securities laws, which differ from the requirements of United States’ securities laws. The terms “mineral reserve”,
“proven mineral reserve”, “probable mineral reserve”, “mineral resource”, “measured mineral
resource”, “indicated mineral resource” and “inferred mineral resource” are Canadian mining terms as defined
in accordance with NI 43-101 and the CIM Definition Standards. These definitions differ from the definitions in subpart 1300 of Regulation
S-K (“Subpart 1300”), which replaced the United States Securities and Exchange Commission (“SEC”) Industry Guide
7 as part of the SEC’s amendments to its disclosure rules to modernize the mineral property disclosure requirements. These
amendments became effective February 25, 2019 and registrants are required to comply with the Subpart 1300 provisions by their first
fiscal year beginning on or after January 1, 2021. While the definitions in Subpart 1300 are more similar to the definitions in
NI 43-101 and the CIM Definitions Standard than were the Industry Guide 7 provisions due to the adoption in Subpart 1300 of terms describing
mineral reserves and mineral resources that are “substantially similar” to the corresponding terms under the CIM Definition
Standards, including the SEC now recognizing estimates of “measured mineral resources”, “indicated mineral resources”
and “inferred mineral resources” and amending its definitions of “proven mineral reserves” and “probable
mineral reserves” to be “substantially similar” to the corresponding CIM Definitions, the definitions in Subpart 1300
still differ from the requirements of, and the definitions in, NI 43-101 and the CIM Definition Standards. U.S. investors are cautioned
that while the above terms are “substantially similar” to CIM Definitions, there are differences in the definitions in Subpart
1300 and the CIM Definition Standards. Accordingly, there is no assurance any mineral reserves or mineral resources that the Company
may report as “proven mineral reserves”, “probable mineral reserves”, “measured mineral resources”,
“indicated mineral resources” and “inferred mineral resources” under NI 43-101 would be the same had the Company
prepared the mineral reserve or mineral resource estimates under the standards set forth in Subpart 1300. U.S. investors are also cautioned
that while the SEC recognizes “measured mineral resources”, “indicated mineral resources” and “inferred
mineral resources” under Subpart 1300, investors should not assume that any part or all of the mineralization in these categories
will ever be converted into a higher category of mineral resources or into mineral reserves. Mineralization described using these terms
has a greater amount of uncertainty as to its existence and feasibility than mineralization that has been characterized as reserves.
Accordingly, investors are cautioned not to assume that any measured mineral resources, indicated mineral resources, or inferred mineral
resources that the Company reports are or will be economically or legally mineable. Further, “inferred mineral resources”
have a greater amount of uncertainty as to their existence and as to whether they can be mined legally or economically. Therefore, U.S.
investors are also cautioned not to assume that all or any part of the “inferred mineral resources” exist. Under Canadian
securities laws, estimates of “inferred mineral resources” may not form the basis of feasibility or pre-feasibility studies,
except in rare cases. As a foreign private issuer that files its annual report on Form 40-F with the SEC pursuant to the multi-jurisdictional
disclosure system, the Company is not required to provide disclosure on its mineral properties under the Subpart 1300 provisions and
will continue to provide disclosure under NI 43-101 and the CIM Definition Standards. If the Company ceases to be a foreign private issuer
or loses its eligibility to file its annual report on Form 40-F pursuant to the multi-jurisdictional disclosure system, then the
Company will be subject to reporting pursuant to the Subpart 1300 provisions, which differ from the requirements of NI 43-101 and the
CIM Definition Standards.
For the above reasons, the mineral reserve
and mineral resource estimates and related information in this news release may not be comparable to similar information made public
by U.S. companies subject to the reporting and disclosure requirements under the United States federal securities laws and the rules and
regulations thereunder.
(5) The Company’s mineral resource
and mineral reserve estimates were prepared under the supervision of and verified by Mr. Nicos Pfeiffer , who is a qualified person
as defined by NI 43-101.
(6) The Company’s normal data verification
procedures have been used in collecting, compiling, interpreting and processing the data used to estimate mineral reserves and mineral
resource.
(7) Rounding of values to the 000s may
result in apparent discrepancies.
8) Round Mountain refers to the Round Mountain
project, which includes the Round Mountain deposit and the Gold Hill deposit. The Round Mountain deposit does not contain silver and
all silver resources at Round Mountain are contained exclusively within the Gold Hill deposit. Disclosure of gold mineral reserves and
mineral resources reflect both the Round Mountain deposit and the Gold Hill deposit. Disclosure of silver mineral reserves and mineral
resources reflect only the Gold Hill deposit.
| p. 35 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
(9) Includes mineral resources and mineral
reserves from the Puren deposit in which the Company holds a 65% interest; as well as mineral resources from the Catalina deposit, in
which the Company holds a 50% interest.
(10) Mineral resources are exclusive
of mineral reserves.
(11) Unless otherwise noted, the Company’s
mineral resources are estimated using appropriate cut-off grades based on a gold price of $1,700 per ounce and a silver price of $21.3
per ounce. Foreign exchange rates for estimating mineral resources were the same as for mineral reserves.
(12) The mineral resource estimates for Lobo
Marte assume a $1,600 per ounce gold price and are based on the 2021 Feasibility Study.
(13) Mineral resources that are not mineral
reserves do not have to demonstrate economic viability. Mineral resources are subject to infill drilling, permitting, mine planning,
mining dilution and recovery losses, among other things, to be converted into mineral reserves. Due to the uncertainty associated with
inferred mineral resources, it cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to indicated
or measured mineral resources, including as a result of continued exploration.
Mineral Reserve and Mineral Resource Definitions
A ‘Mineral Resource’ is a
concentration or occurrence of solid material of economic interest in or on the Earth’s crust in such form, grade or quality and
quantity that there are reasonable prospects for eventual economic extraction. The location, quantity, grade or quality, continuity and
other geological characteristics of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge,
including sampling.
An ‘Inferred Mineral Resource’
is that part of a Mineral Resource for which quantity and grade or quality are estimated on the basis of limited geological evidence
and sampling. Geological evidence is sufficient to imply but not verify geological and grade or quality continuity. An Inferred Mineral
Resource has a lower level of confidence than that applying to an Indicated Mineral Resource and must not be converted to a Mineral Reserve.
It is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued
exploration.
An ‘Indicated Mineral Resource’
is that part of a Mineral Resource for which quantity, grade or quality, densities, shape and physical characteristics are estimated
with sufficient confidence to allow the application of Modifying Factors in sufficient detail to support mine planning and evaluation
of the economic viability of the deposit. Geological evidence is derived from adequately detailed and reliable exploration, sampling
and testing and is sufficient to assume geological and grade or quality continuity between points of observation. An Indicated Mineral
Resource has a lower level of confidence than that applying to a Measured Mineral Resource and may only be converted to a Probable Mineral
Reserve.
A ‘Measured Mineral Resource’
is that part of a Mineral Resource for which quantity, grade or quality, densities, shape, and physical characteristics are estimated
with confidence sufficient to allow the application of Modifying Factors to support detailed mine planning and final evaluation of the
economic viability of the deposit. Geological evidence is derived from detailed and reliable exploration, sampling and testing and is
sufficient to confirm geological and grade or quality continuity between points of observation. A Measured Mineral Resource has a higher
level of confidence than that applying to either an Indicated Mineral Resource or an Inferred Mineral Resource. It may be converted to
a Proven Mineral Reserve or to a Probable Mineral Reserve.
A ‘Mineral Reserve’ is the
economically mineable part of a Measured and/or Indicated Mineral Resource. It includes diluting materials and allowances for losses,
which may occur when the material is mined or extracted and is defined by studies at Pre-Feasibility or Feasibility level as appropriate
that include application of Modifying Factors. Such studies demonstrate that, at the time of reporting, extraction could reasonably be
justified. The reference point at which Mineral Reserves are defined, usually the point where the ore is delivered to the processing
plant, must be stated. It is important that, in all situations where the reference point is different, such as for a saleable product,
a clarifying statement is included to ensure that the reader is fully informed as to what is being reported. The public disclosure of
a Mineral Reserve must be demonstrated by a Pre-Feasibility Study or Feasibility Study.
A ‘Probable Mineral Reserve’ is
the economically mineable part of an Indicated, and in some circumstances, a Measured Mineral Resource. The confidence in the Modifying
Factors applying to a Probable Mineral Reserve is lower than that applying to a Proven Mineral Reserve.
A ‘Proven Mineral Reserve’ is the economically
mineable part of a Measured Mineral Resource. A Proven Mineral Reserve implies a high degree of confidence in the Modifying Factors.
| p. 36 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
APPENDIX A
Recent LP zone assay results
| Hole
ID |
|
From
(m) |
To
(m) |
Width
(m) |
True
Width (m) |
Au
(g/t) |
Target |
| BR-778C4 |
|
1,513.9 |
1,519.0 |
5.2 |
4.6 |
0.56 |
Yuma |
| BR-778C5 |
No
Significant Intersections |
Yuma |
| BR-789 |
|
1,305.3 |
1,339.5 |
34.2 |
25.7 |
1.05 |
Discovery |
| BR-789 |
and |
1,354.9 |
1,365.1 |
10.2 |
7.6 |
0.42 |
|
| BR-789 |
and |
1,512.0 |
1,516.3 |
4.3 |
3.2 |
0.50 |
|
| BR-799A |
No
Significant Intersections |
Bruma |
| BR-799C |
No
Significant Intersections |
Bruma |
| BR-799D |
|
1,548.0 |
1,551.0 |
3.0 |
2.3 |
0.78 |
Bruma |
| BR-799D |
and |
1,559.3 |
1,571.4 |
12.1 |
9.3 |
0.52 |
|
| BR-799D |
and |
1,576.7 |
1,585.5 |
8.8 |
6.7 |
0.38 |
|
| BR-799D |
and |
1,591.5 |
1,595.6 |
4.1 |
3.2 |
0.48 |
|
| BR-807 |
|
964.5 |
980.6 |
16.1 |
14.1 |
0.59 |
Discovery |
| BR-807 |
and |
994.5 |
1,009.5 |
15.0 |
13.2 |
1.65 |
|
| BR-807 |
including |
1,002.3 |
1,008.0 |
5.8 |
5.1 |
3.33 |
|
| BR-807 |
and |
1,027.2 |
1,037.7 |
10.5 |
9.2 |
0.44 |
|
| BR-807 |
and |
1,059.0 |
1,069.5 |
10.5 |
9.2 |
0.89 |
|
| BR-807 |
and |
1,084.8 |
1,089.0 |
4.2 |
3.7 |
1.74 |
|
| BR-807 |
and |
1,095.7 |
1,209.0 |
113.3 |
99.7 |
0.67 |
|
| BR-807 |
including |
1,106.7 |
1,109.7 |
3.0 |
2.7 |
9.68 |
|
| BR-807 |
and
including |
1,207.9 |
1,209.0 |
1.2 |
1.0 |
21.70 |
|
| BR-808 |
|
797.2 |
801.3 |
4.1 |
3.7 |
0.51 |
Discovery |
| BR-808 |
and |
809.1 |
820.3 |
11.2 |
10.1 |
0.50 |
|
| BR-808 |
and |
837.6 |
851.8 |
14.3 |
12.8 |
0.79 |
|
| BR-809 |
|
716.0 |
742.5 |
26.5 |
22.5 |
0.54 |
Discovery |
| BR-809 |
and |
781.7 |
809.6 |
27.9 |
23.7 |
0.47 |
|
| BR-809 |
and |
816.5 |
837.0 |
20.5 |
17.4 |
0.91 |
|
| BR-809 |
and |
865.3 |
868.3 |
3.0 |
2.6 |
0.44 |
|
| BR-809 |
and |
907.5 |
910.5 |
3.0 |
2.6 |
2.85 |
|
| BR-809 |
and |
997.4 |
1,004.3 |
6.9 |
5.9 |
1.17 |
|
| BR-814C4 |
|
722.9 |
725.9 |
3.0 |
2.5 |
0.38 |
Yauro |
| BR-814C5 |
|
716.2 |
726.4 |
10.2 |
9.3 |
0.84 |
Yauro |
| BR-814C5 |
and |
917.3 |
930.0 |
12.8 |
11.7 |
2.71 |
|
| BR-814C5 |
including |
929.3 |
930.0 |
0.7 |
0.6 |
35.60 |
|
| BR-814C5 |
and |
971.0 |
974.0 |
3.0 |
2.8 |
0.38 |
|
| BR-814C5 |
and |
1,089.6 |
1,098.0 |
8.4 |
7.7 |
0.61 |
|
| BR-814C6 |
|
717.7 |
729.4 |
11.7 |
9.4 |
0.71 |
Yauro |
| BR-814C6 |
and |
893.3 |
897.2 |
3.9 |
3.1 |
0.61 |
|
| BR-814C6 |
and |
910.8 |
919.0 |
8.3 |
6.6 |
8.40 |
|
| p. 37 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
| BR-814C6 |
including |
913.2 |
916.0 |
2.9 |
2.3 |
23.32 |
|
| BR-814C6 |
and |
928.0 |
931.3 |
3.3 |
2.6 |
0.72 |
|
| BR-814C6 |
and |
1,036.5 |
1,040.5 |
4.0 |
3.2 |
6.91 |
|
| BR-814C6 |
including |
1,037.5 |
1,040.5 |
3.0 |
2.4 |
8.78 |
|
| BR-814C6 |
and |
1,068.0 |
1,074.6 |
6.6 |
5.2 |
0.72 |
|
| BR-819 |
|
849.2 |
855.7 |
6.5 |
5.7 |
0.38 |
Auro |
| BR-819 |
and |
876.0 |
886.2 |
10.2 |
8.9 |
13.87 |
|
| BR-819 |
including |
879.0 |
881.7 |
2.7 |
2.3 |
51.45 |
|
| BR-827 |
|
464.2 |
473.0 |
8.8 |
7.7 |
0.41 |
Viggo |
| BR-827 |
and |
477.6 |
483.6 |
6.0 |
5.2 |
0.58 |
|
| BR-828 |
|
468.8 |
480.0 |
11.2 |
10.0 |
0.64 |
Viggo |
| BR-829 |
|
486.6 |
497.2 |
10.6 |
8.5 |
3.78 |
Viggo |
| BR-829 |
including |
486.6 |
489.0 |
2.4 |
1.9 |
15.05 |
|
| BR-832C4 |
|
998.7 |
1,002.0 |
3.3 |
2.5 |
0.46 |
Bruma |
| BR-832C4 |
and |
1,111.5 |
1,117.5 |
6.0 |
4.6 |
1.89 |
|
| BR-832C4 |
and |
1,170.6 |
1,188.2 |
17.6 |
13.5 |
1.30 |
|
| BR-832C4 |
and |
1,194.6 |
1,252.3 |
57.8 |
44.5 |
0.62 |
|
| BR-832C4 |
and |
1,257.7 |
1,274.3 |
16.6 |
12.7 |
1.00 |
|
| BR-835A |
No
Significant Intersections |
Viggo |
| BR-836 |
No
Significant Intersections |
Viggo |
| BR-837 |
|
895.9 |
898.9 |
3.0 |
2.6 |
0.51 |
Viggo |
| BR-838 |
|
762.9 |
766.0 |
3.1 |
2.6 |
0.82 |
Viggo |
| BR-839 |
No
Significant Intersections |
Viggo |
| BR-843 |
|
244.5 |
249.0 |
4.5 |
3.5 |
1.26 |
Yuma |
| BR-843A |
|
1,258.5 |
1,299.0 |
40.5 |
35.6 |
0.74 |
Yuma |
| BR-843A |
and |
1,317.0 |
1,321.5 |
4.5 |
4.0 |
0.93 |
|
| BR-843A |
and |
1,356.6 |
1,359.0 |
2.4 |
2.1 |
3.49 |
|
| BR-843AC1A |
|
1,317.1 |
1,336.4 |
19.3 |
15.4 |
89.14 |
Yuma |
| BR-843AC1A |
including |
1,317.1 |
1,321.5 |
4.4 |
3.5 |
389.57 |
|
| BR-843AC1A |
and |
1,481.8 |
1,484.8 |
3.0 |
2.4 |
2.07 |
|
| BR-844 |
|
1,369.0 |
1,375.4 |
6.4 |
5.1 |
0.47 |
Bruma |
| BR-844 |
and |
1,394.2 |
1,402.0 |
7.9 |
6.2 |
0.98 |
|
| BR-844 |
and |
1,417.8 |
1,427.5 |
9.8 |
7.7 |
0.47 |
|
| BR-844 |
and |
1,435.0 |
1,438.0 |
3.0 |
2.4 |
0.70 |
|
| BR-844 |
and |
1,451.3 |
1,463.8 |
12.5 |
9.9 |
0.70 |
|
| BR-844C1 |
|
1,115.3 |
1,120.4 |
5.1 |
4.3 |
0.96 |
Bruma |
| BR-844C1 |
and |
1,378.5 |
1,402.0 |
23.5 |
20.0 |
0.71 |
|
| BR-844C1 |
and |
1,408.0 |
1,435.2 |
27.2 |
23.1 |
0.51 |
|
| BR-844C1 |
and |
1,454.5 |
1,459.5 |
5.0 |
4.3 |
0.97 |
|
| BR-844C1 |
and |
1,473.6 |
1,481.7 |
8.1 |
6.8 |
0.55 |
|
| BR-845 |
|
858.0 |
891.5 |
33.5 |
30.5 |
1.32 |
Discovery |
| BR-845 |
including |
865.5 |
870.2 |
4.8 |
4.3 |
4.71 |
|
| BR-845 |
and |
920.2 |
924.9 |
4.7 |
4.3 |
0.83 |
|
| p. 38 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
| BR-845 |
and |
958.5 |
961.5 |
3.0 |
2.7 |
0.82 |
|
| BR-845 |
and |
970.5 |
973.5 |
3.0 |
2.7 |
0.54 |
|
| BR-845 |
and |
996.0 |
1,005.0 |
9.0 |
8.2 |
0.45 |
|
| BR-846 |
|
885.5 |
888.8 |
3.4 |
3.1 |
0.37 |
Discovery |
| BR-846 |
and |
906.1 |
911.2 |
5.2 |
4.7 |
0.38 |
|
| BR-846 |
and |
946.5 |
956.6 |
10.1 |
9.3 |
0.76 |
|
| BR-846 |
and |
962.0 |
982.9 |
20.9 |
19.2 |
0.45 |
|
| BR-846 |
and |
1,116.0 |
1,119.8 |
3.8 |
3.5 |
0.82 |
|
| BR-852 |
No
Significant Intersections |
Viggo |
| BR-854 |
No
Significant Intersections |
Regional |
| BR-861 |
|
404.7 |
408.3 |
3.6 |
3.3 |
1.20 |
Regional |
| BR-864 |
No
Significant Intersections |
Regional |
| BR-865 |
|
1,466.0 |
1,469.0 |
3.0 |
2.7 |
0.65 |
Auro |
| BR-866 |
|
1,074.5 |
1,077.5 |
3.0 |
2.4 |
0.41 |
Auro |
| BR-867A |
|
1,073.0 |
1,077.5 |
4.5 |
3.9 |
0.75 |
Auro |
| BR-867A |
and |
1,230.9 |
1,234.4 |
3.5 |
3.0 |
0.85 |
|
| BR-870C3A |
|
1,176.0 |
1,180.5 |
4.5 |
3.4 |
0.37 |
Yuma |
| BR-870C3A |
and |
1,271.8 |
1,287.0 |
15.2 |
11.6 |
2.10 |
|
| BR-870C3A |
including |
1,285.5 |
1,287.0 |
1.5 |
1.1 |
15.70 |
|
| BR-870C3A |
and |
1,292.9 |
1,304.3 |
11.4 |
8.6 |
1.16 |
|
| BR-870C3A |
and |
1,315.5 |
1,335.0 |
19.5 |
14.8 |
0.90 |
|
| BR-870C3A |
and |
1,377.8 |
1,381.5 |
3.8 |
2.9 |
0.73 |
|
| BR-870C4A |
No
Significant Intersections |
Yuma |
| BR-870C4B |
No
Significant Intersections |
Yuma |
| BR-870C4C |
No
Significant Intersections |
Yuma |
| BR-870C4E |
|
1,221.9 |
1,224.9 |
3.1 |
2.6 |
0.60 |
Yuma |
| BR-870C4E |
and |
1,231.5 |
1,235.0 |
3.5 |
2.9 |
0.38 |
|
| BR-870C4E |
and |
1,249.9 |
1,260.4 |
10.6 |
8.9 |
0.64 |
|
| BR-870C4E |
and |
1,272.3 |
1,275.3 |
3.0 |
2.5 |
0.33 |
|
| BR-880 |
No
Significant Intersections |
Viggo |
| BR-881 |
|
1,278.6 |
1,284.0 |
5.4 |
4.2 |
0.79 |
Viggo |
| BR-881 |
and |
1,291.6 |
1,295.0 |
3.4 |
2.7 |
0.47 |
|
| BR-883 |
|
1,030.7 |
1,035.2 |
4.5 |
3.8 |
0.41 |
Auro |
| BR-883 |
and |
1,074.2 |
1,081.0 |
6.8 |
5.8 |
0.64 |
|
| BR-883 |
and |
1,101.2 |
1,104.2 |
3.0 |
2.6 |
0.69 |
|
| BR-883 |
and |
1,110.2 |
1,119.0 |
8.8 |
7.5 |
0.73 |
|
| BR-890A |
|
1,331.5 |
1,363.2 |
31.7 |
26.3 |
2.01 |
Discovery |
| BR-890A |
including |
1,361.2 |
1,363.2 |
2.0 |
1.6 |
18.79 |
|
| BR-890A |
and |
1,369.5 |
1,375.7 |
6.2 |
5.1 |
0.77 |
|
| BR-900 |
|
252.4 |
255.5 |
3.1 |
2.5 |
0.45 |
Yauro |
| BR-900A |
No
Significant Intersections |
Yauro |
| DHZ-062 |
|
66.3 |
69.3 |
3.0 |
2.7 |
0.44 |
Hinge |
| DHZ-063 |
No
Significant Intersections |
Hinge |
| p. 39 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
| DL-093 |
|
329.5 |
334.1 |
4.6 |
3.7 |
2.72 |
Limb |
| DL-100 |
|
405.3 |
413.1 |
7.8 |
6.3 |
1.78 |
Limb |
| DL-101 |
No
Significant Intersections |
Limb |
| DL-131C1 |
No
Significant Intersections |
Hinge |
| DL-131C2 |
No
Significant Intersections |
Hinge |
| DL-131C3 |
|
947.3 |
949.7 |
2.4 |
2.2 |
7.44 |
Hinge |
| DL-149 |
|
781.5 |
788.5 |
7.1 |
5.9 |
3.02 |
Limb |
| DL-149 |
including |
783.0 |
786.5 |
3.5 |
2.9 |
4.19 |
|
| p. 40 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Appendix B
LP long section demonstrating potential for extension of a high-grade
underground resource.
Composites
generated from drill intersections received since the November 8, 2023, news release includes assays from 49 fully assayed
drill holes at the LP zone, 9 fully assayed drill holes at the Hinge and Limb zone, and 3 fully assayed regional drill holes. Composites
are generated using 0.3 g/t minimum grade, maximum linear internal dilution of 5.0 m, and allows short high-grade intervals greater than
8 GXM to be retained. Results are preliminary in nature and are subject to on-going QA/QC. For full list of significant, composited assay
results, see Appendix A.
| p. 41 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
APPENDIX C
Figure 1: Curlew Basin Cross Section
| p. 42 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Figure 2: Alaska Exploration Intercept Highlights
| p. 43 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Figure 3: SENISA and TMLSA License Map
| p. 44 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Figure 4: SENISA Main Target Areas
The radius circle denotes the distance from the mill at the Tasiast
mine.
| p. 45 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Figure 5: Cerros Bravos Location Map
| p. 46 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Figure 6: Snow Lake, Manitoba, Property Location Map
| p. 47 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Cautionary statement on forward-looking information
All statements, other than statements of historical
fact, contained or incorporated by reference in this news release including, but not limited to, any information as to the future financial
or operating performance of Kinross, constitute “forward-looking information” or “forward-looking statements”
within the meaning of certain securities laws, including the provisions of the Securities Act (Ontario) and the provisions for “safe
harbor” under the United States Private Securities Litigation Reform Act of 1995 and are based on expectations, estimates and projections
as of the date of this news release. Forward-looking statements contained in this news release, include, but are not limited to, those
under the headings (or headings that include) “2023 full year results and 2024 guidance”, “Operational, development
project and exploration highlights”, “CEO commentary”, “Return of capital”, “Development projects”,
“Company Guidance”, and “Environment, Social and Governance” as well as statements with respect to our guidance
for production, cost guidance, including production costs of sales, all-in sustaining cost of sales, and capital expenditures; statements
with respect to our guidance for cash flow and attributable free cash flow; the declaration, payment and sustainability of the Company’s
dividends; identification of additional resources and reserves or the conversion of resources to reserves; the Company’s liquidity;
greenhouse gas reduction initiatives and targets; the implementation and effectiveness of the Company’s ESG or Climate Change strategy;
the schedules budgets, and forecast economics for the Company’s development projects; budgets for and future prospects for exploration,
development and operation at the Company’s operations and projects, including the Great Bear project; potential mine life extensions
at the Company’s operations; the Company’s balance sheet and liquidity outlook, as well as references to other possible events
including, the future price of gold and silver, costs of production, operating costs; price inflation; capital expenditures, costs and
timing of the development of projects and new deposits, estimates and the realization of such estimates (such as mineral or gold reserves
and resources or mine life), success of exploration, development and mining, currency fluctuations, capital requirements, project studies,
government regulation, permit applications, environmental risks and proceedings, and resolution of pending litigation. The words “advance”,
“continue”, “estimates”, “expects”, “focus”, “forecast”, “guidance”,
“on plan”, “on schedule”, “on track”, “opportunity” “outlook”, “plan”,
“potential”, “priority”, “prospect”, “target”, “upside”, or variations of
or similar such words and phrases or statements that certain actions, events or results may, could, should or will be achieved, received
or taken, or will occur or result and similar such expressions identify forward-looking statements. Forward-looking statements are necessarily
based upon a number of estimates and assumptions that, while considered reasonable by Kinross as of the date of such statements, are
inherently subject to significant business, economic and competitive uncertainties and contingencies. The estimates, models and assumptions
of Kinross referenced, contained or incorporated by reference in this news release, which may prove to be incorrect, include, but are
not limited to, the various assumptions set forth herein and in our Management’s Discussion and Analysis (“MD&A”)
for the year ended December 31, 2023, and the Annual Information Form dated March 31, 2023 as well as: (1) there
being no significant disruptions affecting the operations of the Company, whether due to extreme weather events (including, without limitation,
excessive snowfall, excessive or lack of rainfall, in particular, the potential for further production curtailments at Paracatu resulting
from insufficient rainfall and the operational challenges at Fort Knox and Bald Mountain resulting from excessive rainfall or snowfall,
which can impact costs and/or production) and other or related natural disasters, labour disruptions (including but not limited to strikes
or workforce reductions), supply disruptions, power disruptions, damage to equipment, pit wall slides or otherwise; (2) permitting,
development, operations and production from the Company’s operations and development projects being consistent with Kinross’
current expectations including, without limitation: the maintenance of existing permits and approvals and the timely receipt of all permits
and authorizations necessary for the operation of Tasiast; water and power supply and continued operation of the tailings reprocessing
facility at Paracatu; permitting of the Great Bear project (including the consultation process with Indigenous groups), permitting and
development of the Lobo-Marte project; in each case in a manner consistent with the Company’s expectations; and the successful
completion of exploration consistent with the Company’s expectations at the Company’s projects; (3) political and legal
developments in any jurisdiction in which the Company operates being consistent with its current expectations including, without limitation,
restrictions or penalties imposed, or actions taken, by any government, including but not limited to amendments to the mining laws, and
potential power rationing and tailings facility regulations in Brazil (including those related to financial assurance requirements),
potential amendments to water laws and/or other water use restrictions and regulatory actions in Chile, new dam safety regulations, potential
amendments to minerals and mining laws and energy levies laws, new regulations relating to work permits, potential amendments to customs
and mining laws (including but not limited to amendments to the VAT) and the potential application of the tax code in Mauritania, potential
amendments to and enforcement of tax laws in Mauritania (including, but not limited to, the interpretation, implementation, application
and enforcement of any such laws and amendments thereto), potential third party legal challenges to existing permits, and the impact
of any trade tariffs being consistent with Kinross’ current expectations; (4) the completion of studies, including scoping
studies, preliminary economic assessments, pre-feasibility or feasibility studies, on the timelines currently expected and the results
of those studies being consistent with Kinross’ current expectations; (5) the exchange rate between the Canadian dollar, Brazilian
real, Chilean peso, Mauritanian ouguiya and the U.S. dollar being approximately consistent with current levels; (6) certain price
assumptions for gold and silver; (7) prices for diesel, natural gas, fuel oil, electricity and other key supplies being approximately
consistent with the Company’s expectations; (8) attributable production and cost of sales forecasts for the Company meeting
expectations; (9) the accuracy of the current mineral reserve and mineral resource estimates of the Company and Kinross’ analysis
thereof being consistent with expectations (including but not limited to ore tonnage and ore grade estimates), future mineral resource
and mineral reserve estimates being consistent with preliminary work undertaken by the Company, mine plans for the Company’s current
and future mining operations, and the Company’s internal models; (10) labour and materials costs increasing on a basis consistent
with Kinross’ current expectations; (11) the terms and conditions of the legal and fiscal stability agreements for Tasiast being
interpreted and applied in a manner consistent with their intent and Kinross’ expectations and without material amendment or formal
dispute (including without limitation the application of tax, customs and duties exemptions and royalties); (12) asset impairment potential;
(13) the regulatory and legislative regime regarding mining, electricity production and transmission (including rules related to
power tariffs) in Brazil being consistent with Kinross’ current expectations; (14) access to capital markets, including but not
limited to maintaining our current credit ratings consistent with the Company’s current expectations; (15) potential direct or
indirect operational impacts resulting from infectious diseases or pandemics; (16) changes in national and local government legislation
or other government actions, including the Canadian federal impact assessment regime; (17) litigation, regulatory proceedings and audits,
and the potential ramifications thereof, being concluded in a manner consistent with the Corporation’s expectations (including
without limitation litigation in Chile relating to the alleged damage of wetlands and the scope of any remediation plan or other environmental
obligations arising therefrom); (18) the Company’s financial results, cash flows and future prospects being consistent with Company
expectations in amounts sufficient to permit sustained dividend payments; and (19) the impacts of detected pit wall instability at Round
Mountain and Bald Mountain being consistent with the Company’s expectations. Known and unknown factors could cause actual results
to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to: the inaccuracy
of any of the foregoing assumptions; fluctuations in the currency markets; fluctuations in the spot and forward price of gold or certain
other commodities (such as fuel and electricity); price inflation of goods and services; changes in the discount rates applied to calculate
the present value of net future cash flows based on country-specific real weighted average cost of capital; changes in the market valuations
of peer group gold producers and the Company, and the resulting impact on market price to net asset value multiples; changes in various
market variables, such as interest rates, foreign exchange rates, gold or silver prices and lease rates, or global fuel prices, that
could impact the mark-to-market value of outstanding derivative instruments and ongoing payments/receipts under any financial obligations;
risks arising from holding derivative instruments (such as credit risk, market liquidity risk and mark-to-market risk); changes in national
and local government legislation, taxation (including but not limited to income tax, advance income tax, stamp tax, withholding tax,
capital tax, tariffs, value-added or sales tax, capital outflow tax, capital gains tax, windfall or windfall profits tax, production
royalties, excise tax, customs/import or export taxes/duties, asset taxes, asset transfer tax, property use or other real estate tax,
together with any related fine, penalty, surcharge, or interest imposed in connection with such taxes), controls, policies and regulations;
the security of personnel and assets; political or economic developments in Canada, the United States, Chile, Brazil, Mauritania or other
countries in which Kinross does business or may carry on business; business opportunities that may be presented to, or pursued by, us;
our ability to successfully integrate acquisitions and complete divestitures; operating or technical difficulties in connection with
mining, development or refining activities; employee relations; litigation or other claims against, or regulatory investigations and/or
any enforcement actions, administrative orders or sanctions in respect of the Company (and/or its directors, officers, or employees)
including, but not limited to, securities class action litigation in Canada and/or the United States, environmental litigation or regulatory
proceedings or any investigations, enforcement actions and/or sanctions under any applicable anti-corruption, international sanctions
and/or anti-money laundering laws and regulations in Canada, the United States or any other applicable jurisdiction; the speculative
nature of gold exploration and development including, but not limited to, the risks of obtaining and maintaining necessary licenses and
permits; diminishing quantities or grades of reserves; adverse changes in our credit ratings; and contests over title to properties,
particularly title to undeveloped properties. In addition, there are risks and hazards associated with the business of gold exploration,
development and mining, including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins,
flooding and gold bullion losses (and the risk of inadequate insurance, or the inability to obtain insurance, to cover these risks).
Many of these uncertainties and contingencies can directly or indirectly affect, and could cause, Kinross’ actual results to differ
materially from those expressed or implied in any forward-looking statements made by, or on behalf of, Kinross, including but not limited
to resulting in an impairment charge on goodwill and/or assets. There can be no assurance that forward-looking statements will prove
to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Forward-looking
statements are provided for the purpose of providing information about management’s expectations and plans relating to the future.
All of the forward-looking statements made in this news release are qualified by this cautionary statement and those made in our other
filings with the securities regulators of Canada and the United States including, but not limited to, the cautionary statements made
in the “Risk Analysis” section of our MD&A for the year ended December 31, 2023, and the “Risk Factors”
set forth in the Company’s Annual Information Form dated March 31, 2023. These factors are not intended to represent
a complete list of the factors that could affect Kinross. Kinross disclaims any intention or obligation to update or revise any forward-looking
statements or to explain any material difference between subsequent actual events and such forward-looking statements, except to the
extent required by applicable law.
| p. 48 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
| | Kinross
Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
|
Key Sensitivities
Approximately 70%-80% of the Company's costs
are denominated in U.S. dollars.
A 10% change in foreign currency exchange
rates would be expected to result in an approximate $20 impact on production cost of sales per equivalent ounce sold21.
Specific to the Brazilian real, a 10% change
in the exchange rate would be expected to result in an approximate $40 impact on Brazilian production cost of sales per equivalent ounce
sold.
Specific to the Chilean peso, a 10% change
in the exchange rate would be expected to result in an approximate $30 impact on Chilean production cost of sales per equivalent ounce
sold.
A $10 per barrel change in the price of oil
would be expected to result in an approximate $3 impact on production cost of sales per equivalent ounce sold.
A $100 change in the price of gold would be
expected to result in an approximate $4 impact on production cost of sales per equivalent ounce sold as a result of a change in royalties.
Other information
Where we say "we", "us",
"our", the "Company", or "Kinross" in this news release, we mean Kinross Gold Corporation and/or one or
more or all of its subsidiaries, as may be applicable.
The technical information about the Company’s
mineral properties contained in this news release has been prepared under the supervision of Mr. Nicos Pfeiffer, an officer of the
Company who is a “qualified person” within the meaning of National Instrument 43-101.
Source: Kinross Gold Corporation
21 Refers to all of the currencies in the
countries where the Company has mining operations, fluctuating simultaneously by 10% in the same direction, either appreciating or depreciating,
taking into consideration the impact of hedging and the weighting of each currency within our consolidated cost structure.
| p. 49 Kinross reports 2023 fourth-quarter and full-year results | www.kinross.com |
Exhibit 99.2
| |
Kinross Gold Corporation
25 York Street,
17th Floor
Toronto, ON Canada M5J 2V5 |
NEWS RELEASE
Kinross declares quarterly dividend
Toronto, Ontario, February 14, 2024
– Kinross Gold Corporation (TSX:K; NYSE:KGC) (the “Company”) today announced that the Company’s Board of Directors
has declared a dividend of US$0.03 per common share for the fourth quarter of 2023.
The dividend is payable on March 21, 2024, to shareholders of record as of the close of business on March 6, 2024. This dividend qualifies
as an “eligible dividend” for Canadian income tax purposes while dividends paid to shareholders outside Canada (non-resident
investors) will be subject to Canadian non-resident withholding taxes.
About Kinross Gold Corporation
Kinross is a Canadian-based global senior gold
mining company with operations and projects in the United States, Brazil, Mauritania, Chile and Canada. Our focus is on delivering value
based on the core principles of responsible mining, operational excellence, disciplined growth, and balance sheet strength. Kinross maintains
listings on the Toronto Stock Exchange (symbol:K) and the New York Stock Exchange (symbol:KGC).
Media Contact
Victoria Barrington
Senior Director, Corporate Communications
phone: 647-788-4153
victoria.barrington@kinross.com
Investor Relations Contact
Chris Lichtenheldt
Vice-President, Investor Relations
phone: 416-365-2761
chris.lichtenheldt@kinross.com
Source: Kinross Gold Corporation
www.kinross.com
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