Post on 15-Aug-2020
DeliveringDelivering Disciplined Growth
Cormark Securities Sales Desk PresentationJanuary 12, 2011
Cautionary Statement on Forward‐Looking Information
All statements, other than statements of historical fact, contained or incorporated by reference in or made in giving this presentation, including any information as to the future performance of Kinross, constitute “forward looking statements” within the meaning of applicable securities laws, including the provisions of the Securities Act (Ontario) and the provisions for “safe harbour” 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 presentation. Forward looking statements include, without limitation, possible events; opportunities; statements with respect to possible events or opportunities; estimates and the realization of such estimates; future development, mining activities, production and growth, including but not limited to cost and timing; success of exploration or development of operations; the future price of gold and silver; currency fluctuations; expected capital expenditures and requirements for additional capital; government regulation of mining operations and exploration; environmental risks; unanticipated reclamation expenses; and title disputes. The words “plans”, “expects”, “subject to”, “budget”, “scheduled”, “timeline”, “projected”, “pro forma”, “estimates”, “envision”, “view”, “forecasts”, “guidance”, “conceptual”, “target”, “possible”, “illustrative”, “model”, “opportunity”, “potential”, “intends”, “anticipates” or “believes”, or variations of such words and phrases or statements that certain actions, events or results “may”, “can”, “could”, “would”, “should”, “might”, “indicates”, “will be taken”, “become” “create” “occur” or “be achieved” and similar expressions identify forward looking statements Forward looking statements are necessarily based upon abecome , create , occur , or be achieved , and similar 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. Statements representing management’s financial and other outlook have been prepared solely for purposes of expressing their current views regarding the Company’s financial and other outlook and may not be appropriate for any other purpose. Many of these uncertainties and contingencies can 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. 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. All of the forward looking statements made in this presentation are qualified by these cautionary ff y f p f f g p q f y ystatements, and those made in our filings with the securities regulators of Canada and the U.S., including but not limited to those cautionary statements made in the “Risk Factors” section of our most recently filed Annual Information Form, the “Risk Analysis” section of our FYE 2009 Management’s Discussion and Analysis and the “Cautionary Statement on Forward‐Looking Information” in our news release dated November 3, 2010, to which readers are referred and which are incorporated by reference in this presentation, all of which qualify any and all forward‐looking statements made in this presentation. 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.
Other information
Where we say "we", "us", "our", the "Company", or "Kinross" in this presentation, 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 presentation has been prepared under the supervision of Mr. Rob Henderson, an officer of the Company who is a “qualified person” within the meaning of National Instrument 43‐101 (“NI 43‐101”). The technical information about the Tasiast mineral resource contained in this presentation has been prepared under the supervision of Mr. Nic Johnson, who is a “qualified person” with the meaning of NI 43‐101.
2
I. Why Gold Now?
3
Increasing Demand for Gold
$1,450
$160
$170 Investment / Other
Total Fabrication
$1,050
$1,250
$110
$120
$130
$140
$150
z.)billion
s)
Gold Price (US$/oz)Current gold price
$650
$850
$70
$80
$90
$100
$110
Price (US$/oz
Dem
and (US$
$250
$450
$30
$40
$50
$60
$70
Gold
Total G
old D
‐$150
$50
$0
$10
$20
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010e
4Source: GFMS World Gold Survey 2010 – Update 1
Declining world supply from mine production
3,000Other
2001: Peak Production
2 000
2,500Big Four*
1,500
2,000
Tonn
es
500
1,000
0
500
1969 1974 1979 1984 1989 1994 1999 2004 2009e2009
5
* South Africa, United States, Australia, Canada
Source: GFMS World Gold Survey 2010
Major Gold Discoveries: 1997 ‐ Present
80
90
3 000
3,500
oz.)
ding
50
60
70
2 000
2,500
3,000
cove
ries
(MM
te S
tage
Spe
n d
30
40
50
1,000
1,500
2,000
of M
ajor
Au
Dis
c
Gra
ssro
ots
+ La
(US
$ M
M)
0
10
20
-
500
1,000
Year
Ave
rage
o
ar A
vera
ge o
f G
1997 Present 3 Y
3 Ye
a
Total Au Ounces Discovered (3 yr. Avg) Gold Exploration Spending (3 yr. Avg)
10 5 6 5 2 3 7 5 08 2# of Major Gold Discoveries
6Source: Metals Economics Group and Company estimates
Total Au Ounces Discovered (3 yr. Avg) Gold Exploration Spending (3 yr. Avg)
II. Why Kinross Now?
7
Continuing the Kinross Transformation
Kinross Yesterday4.5 – 4.9
Kinross Now(1)
(mm oz)
(mm oz)
1 6
2.2
valent produ
ction
2.6*
valent produ
ction
1.6
Gold eq
uiv
Gold eq
uiv
2005 2009 2010e 2015e
8(1) Please refer to endnote #1.* Figure represents Kinross’ 2010 production estimate, including estimated full year production from the West African assets,which were acquired September 17th, 2010
World Gold Reserves and ResourcesTop Countries
(mm oz.)Total Reserves & Resources
(mm oz.)
Total Reserves &
South AfricaRussia
United StatesBrazil Chile Country
Total Reserves & Resources
%
1. South Africa 997 29.7%
2. Russia 225 6.7%
Canada
Mexico3. Australia 193 5.8%
4. Indonesia 193 5.8%
5. U.S 177 5.3%
6 Canada 135 4 0%
Australia
Ghana6. Canada 135 4.0%
7. China 132 3.9%
8. Chile 109 3.3%
9. Mexico 109 3.3%
Indonesia
China
Other Countries
10. Ghana 87 2.6%
11. Brazil 80 2.4%
Other 916 27.3%
9Source: USGS
Total: 3,353 100%
Focused in the World’s Best Gold Districts
Fort Knox DvoinoyeHigh‐grade epithermal districtStrong North American asset base in the TintinaFort Knox
White Gold
Kettle River‐Buckhorn
Dvoinoye
Kupol
High grade epithermal district with exploration upsidegold belt, Nevada and
Washington
Round Mountain
TasiastCornerstone assets in a
Fruta del Norte
CrixasParacatu
Chiranohighly prospective region
Substantial production base and major
La CoipaMaricunga
Cerro CasaleLobo‐Marte
base and major development pipeline
10
‐ Operating mine ‐ Development project
Track Record of Gold Reserve Growth
Tasiast & Kinross
s (m
m o
z)(2
)
33.2
8.2 53.4Exploration & Development
Chirano Today
ble
Gol
d R
eser
ves 33
Mined
oven
and
Pro
bab
20.8 13.3
15.320.0Divested
Acquired
Pro 15.3
2004 Current
11(2) Please refer to endnote #2.Totals may not add due to rounding
Strong Balance Sheet
• Cash on hand: ~$1.4 bn• Long‐term investments: $713 mmLong term investments: $713 mm
o Includes equity investment portfolio valued at ~$292 mm
$1,381 As at September 30, 2010
$713llion
s
$713
$524US$
mi
Cash and cash equivalents Long‐term investments Long‐term debt
12
Q3 2010 Highlights
• Continuing to deliver strong financial results
$
Revenue +26%
Adjusted Operating Cash Flow(3,4)
+28%
Adjusted Net Earnings(4)
$582
$736
$203
$261 $124
ons
US
$ m
illio
Q3/09 Q3/10 Q3/09 Q3/10
$2
Q3/09 Q3/10
13(3) Please refer to endnote #3.(4) Please refer to endnote #4.
Q3 2010 Highlights
• Production: 575,065 ounces (up 7% from Q3/09)
• Cost of sales margin(5,6) of $673/oz. (up 37% from Q3/09)
• Paracatu outperforms expectations; 4th ball mill approved
• Closed acquisition of Red Back Mining
• Appointment of Brant Hinze as COO, effective October 1st, 2010
• Sold Harry Winston / Diavik interest
• Consolidated ownership of Kupol East & West exploration licenses
• Closed acquisition of Dvoinoye
• Tasiast update: ‐ Added 3.2 mm oz of mineral resource(7)
‐ Scoping study in progress
14(5) Please refer to endnote #5.(6) Please refer to endnote #6.(7) Please refer to endnote #7.
Q3 2010 Results
(in millions, except ounces and per Q3/09 Q3/10 % ChangeRealized COS share amounts)
Gold equivalent production(ounces)
537,440 575,065 7%(8)
Gold Price+24%
$1,190/oz
Margin(6)
+37%$673/oz
Gold equivalent sales(ounces) 554,232 576,955 4%
Revenue $582.3 $735.5 26%
(8)
Revenue $582.3 $735.5 26%
Adjusted operating cash flow $203.0 $260.8 28%
per share $0 29 $0 34 17%
(3,4)Cost of Sales(5)
+11%$517/oz per share $0.29 $0.34 17%
Adjusted net earnings $1.7 $123.6
per share $0.00 $0.16
(4)
$517/oz
15(3) Please refer to endnote #3.(4) Please refer to endnote #4.(5) Please refer to endnote #5.(6) Please refer to endnote #6.
(8) Please refer to endnote #8.
Paracatu Continues to Perform Ahead of Plan
129,257 $700130 000
117 472 118 101
,
$
$600
$650
$700
120 000
125,000
130,000
unces)
108 421
117,472 118,101
$450
$500
$550
110 000
115,000
120,000
ales ($
/oz)
prod
uction
(o
108,421
$300
$350
$400
100 000
105,000
110,000
Cost of S
a
d eq
uivalent p
$200
$250
95,000
100,000
Q4/09 Q1/10 Q2/10 Q3/10
Gol
16
Expanding Margins
$6482004 – YTD Q3 2010:
• Average realized gold price: +182%
$530
.)
• Average realized gold price: +182%
• Kinross’ attributable cost of sales margin(6): +302%
+302%
$279
$329
$436
Margin ($/oz.
$161 $170
$279
Cost of S
ales
FY/04 FY/05 FY/06 FY/07 FY/08 FY/09 YTD Q3/10
17(6) Please refer to endnote #6.
Growing Cash Flow per Share
• Record high operating cash flow in 2009 (+35% vs. 2008)
• 5‐yr CAGR : 25%
$
$1.36
US$)(4
)
$1.05
YTD/09 vs. YTD/10
$0.80
$1.01
w per Sha
re (U $0.93
$0.45$0.51 $0.56
sted
Cash Flow
FY/04 FY/05 FY/06 FY/07 FY/08 FY/09
Adjus
YTD Q3/09 YTD Q3/10
18(4) Please refer to endnote #4.
2010 Outlook(1)
Production and Costs
Country Production (000 ounces ) Cost of Sales / oz.
USA 690 – 745 $480 – 520
R i (8) 495 525 $340 365Russia(8) 495 – 525 $340 – 365
Brazil 510 – 580 $490 – 555
Chile 350 – 380 $700 – 720
Kinross (w/o West Africa) 2.2 mm oz. $495 – 510
West Africa(8,9) 135 – 155 $650 – 675
Key Sensitivities: Approximately 50% ‐60% of the Company’s costs are denominated in US dollars. A 10% change in foreign exchange could result in anapproximate $7 impact on cost of sales per ounce. A $10 change in the price of oil could result in an approximate $3 impact on cost of sales per ounce.The impact on royalties of a $100 change in the gold price could result in an approximate $4 impact on cost of sales per ounce.
Total Kinross: 2.30 – 2.35 mm oz $505 – 520
19(1) Please refer to endnote #1.(8) Please refer to endnote #8.(9) Please refer to endnote #9.
III. New Project Portfolio
20
Kinross Project Portfolio
2011 2012 2013 2014 2015
Paracatu 3rd Ball Mill
Paracatu Desulphurization
Maricunga SART Plant
Paracatu 4th Ball Mill
Dvoinoye
Tasiast
Lobo‐MarteLobo Marte
Fruta del Norte
Cerro Casale
21Conceptual timeline based on current Company estimates.
Paracatu: 3rd Ball Mill Update
Lifting mill feed end to mill shell Mill feed end lifted to mill shell
22
Paracatu: At‐site Expansion
3rd Ball Mill
• Installing 3rd ball mill to increase throughput
• Procurement commitments at 90%
• Total project 60% complete; construction at site 40% complete
• On schedule for completion and commissioning in H1 2011
4th Ball Mill
• Allows Paracatu to sustain planned throughput of ~41 mtpa in future years
• Capital estimate: $145 mm (includes $120 mm for mill; $25 mm for additional truck and electric shovel)
• Expected to start‐up in the first half of 2012
23
Exploration Update at Tasiast
• Added 11 drills; 22 rigs currently on‐site
o 16 currently on West Branch
• 64,682 m drilled in Q3 2010; 156,784 m drilled YTD
• Kinross plans an additional 50,000 m for rest of the year, plus 20,000 m beyond 8 km mine corridor
• Q4/10 exploration spending: ~$20.6 million
• Scoping study expected to be complete in December; feasibility study expected to be complete mid‐2011feasibility study expected to be complete mid 2011
24
Plan View of Drilling at Tasiast
25
Greenschist Target
Aug. ’09: 21 m at 1.74 g/tAug.’09: 17 m at 1.69 g/t Jan’10: 84 m at 1.92 g/t
Jan.’10: 85 m at 2.42 g/t
Jan.’10:94 m at 2.78 g/t
Sep.’10:81 m at 3.00g/t
Sep.’10:45 m at 4.26 g/t
Scale 100 m
Sep.’10:74 m at 4.52 g/t
Felsic Volcanic Banded Iron Formation Volcaniclastic Greenschist
26Source: Red Back Mining news releases dated August 31, 2009, January 20, 2010 and September 7, 2010, available on SEDAR as Red Back Mining documents.
Resource Growth at Tasiast
• 3.2 mm oz of Inferred Resource added in November 2010
1.9
5.1
s)(7,10)
9 2 9 31.4
nces (m
illions
3.75.4
9.2 9.30.8Ou
Year‐end 2008 November 2009 September 2010 November 2010Measured & Indicated Mineral Resources Inferred Mineral Resources
Note: Mineral Resources are reported inclusive of Mineral Reserves. For the most recent Mineral Reserve statement for Tasiast, see the Kinross website.
27(7) Please refer to endnote #7.(10) Please refer to endnote #10.
p ,
Tasiast: Conceptual Pit Shell
5 mm oz reserve pit
20 mm oz exploration target pit
District Targets
C6734m at 1 71g/t
C6734m at 1 71g/t34m at 1.71g/t4m at 11.10g/t19m at 1.19g/t12m at 2.18g/t
34m at 1.71g/t4m at 11.10g/t19m at 1.19g/t12m at 2.18g/t
Aoeouat15m at 3.72g/t
Aoeouat15m at 3.72g/t
ProlongationProlongation
6m at 10.62g/t6m at 10.62g/t
9m at 7.41g/t9m at 7.41g/t
C6913m at 3.89/t21m at 0.88g/t
C6913m at 3.89/t21m at 0.88g/t
Prolongation13m at 4.08g/t6m at 2.61g/t6m at 13.0g/t
Prolongation13m at 4.08g/t6m at 2.61g/t6m at 13.0g/t
292910km
15m at 1.72g/t12m at 1.07g/t10m at 1.66g/t
15m at 1.72g/t12m at 1.07g/t10m at 1.66g/t
12m at 11.1g/t12m at 11.1g/t
Please refer to the Tasiast Technical Report, dated August 18, 2010, available on Kinross’ website.
District Potential – 82 x 25 km Archean Greenstone Belt
Tasiast Geology Timmins Geology with Major Au Mines & Au Occurrences(i)
Tasiast
25 km 25 km
(i) Source: Ontario Geological Survey
30
Dvoinoye, Russia
• Closed acquisition August 27, 2010 Pevek
• Completed over 10,000 m of linear drilling
• Completed road connection between site andDvoinoye deposit &
Vodorazdelnaya• Completed road connection between site and paved highway to Pevek
• Clearing of old mine infrastructure well underway
yconcession
~100 km
• Targeted to commence commissioning in 2013 Kupol mine
31
Fruta del Norte, Ecuador
• Pre‐feasibility expected to be complete by year‐end Quito
• Geotechnical and hydrogeological drilling on La Zarza and Colibri concessions
• EIA for La Zarza exploration decline submitted
• Approval expected in H1 2011
• Water permit granted in August
• Expect to submit an EIA on the Colibri concession in Q4/10
Gold Mineral Resources(2)
Tonnes Grade OuncesTonnes (thousands)
Grade (g/t)
Ounces(thousands)
Measured & Indicated 15,932 11.20 5,737
Inferred 24,306 7.85 6,135
32(2) Please refer to endnote #2.
Fruta del Norte/Condor (100%)
• Exploration to date has located a number of
FDNepithermal and porphyry‐style targets which will be the focus of continued regional exploration
Pull-apartbasin
• FDN NI 43‐101 Technical Report:Describes major exploration targets in area of Suarez pull‐apart basin
basin• 2010 FDN exploration spending: $34 mm
33
Lobo‐Marte, Chile
• Updated pre‐feasibility study to be complete in Q4 2010
h l d ll l d
La Coipa
• Geotechnical drilling complete; condemnation, hydrological and infill drilling expected to be complete by year‐end
P i l f ddi i l 20 000 i d i
Lobo‐Marte
Maricunga
~110 km
• Permit approval for additional 20,000 m is expected in Q1 2011
• Targeted to commence commissioning in 2014
Cerro Casale
Gold Mineral Reserves and Resources(11)
Tonnes Grade OuncesTonnes(thousands)
Grade (g/t)
Ounces(thousands)
Proven and Probable Reserves 141,124 1.22 5,552
Measured & Indicated Resources 20,091 0.91 590
34(2) Please refer to endnote #2.
Valuation
35
Cormark: P / NAV
1.5
1.4
1.3
1.2
1.0
AEM ABX GG KGC AUY
36Source: Cormark Securities research – January 11, 2011
Cormark: P / 2011 CFPS
15.1
12.311.2
9.2 9.1
GG AEM KGC AUY ABX
37Source: Cormark Securities research – January 11, 2011
Key Objectives for 2010
Declare increased reserves
Complete Lobo Marte pre feasibility study Complete Lobo‐Marte pre‐feasibility study
Close sale of 25% of Cerro Casale
Complete 18,000 drill program at Fruta del Norte
l d k
Complete investment in Red Back Mining
Complete acquisition of Underworld Resources
Final feasibility study for Cerro Casale
Complete Maricunga Expansion feasibility study (H1 2010)
Close Dvoinoye acquisition
Close and integrate Red Back acquisition
Advance Fruta del Norte pre‐feasibility study
Delivery and construction of 3rd ball mill at Paracatu
Complete metallurgical testing and finalize pre‐feasibility study at Lobo‐Marte
38
Complete metallurgical testing and finalize pre feasibility study at Lobo Marte
1 High‐growth major
Why Kinross Now?
1. High growth major
2. Strong cash flow from pure gold production
3. Attractive valuation
39
Endnotes1) For more information regarding Kinross’ production and cost outlook for 2010, including Kinross’ production and cost estimate for the West African
assets acquired through the acquisition of Red Back Mining, the please refer to the news release dated November 3, 2010, available on our website at www.kinross.com.
2) “Current” proven and probable mineral reserves reflect Kinross’ Mineral Reserve and Mineral Resource Statement as at December 31, 2009, contained2) Current proven and probable mineral reserves reflect Kinross Mineral Reserve and Mineral Resource Statement as at December 31, 2009, contained in our news release dated January 28, 2010, adjusted to reflect the sale of half of Kinross’ 50% interest in the Cerro Casale project to Barrick in March 2010 and the acquisition of Tasiast and Chirano. For historical reserve and resource information, refer to Kinross’ public filings, available on our website. Proven and Probable Mineral Reserves for Tasiast and Chirano reflect Red Back’s Mineral Reserve and Mineral Resource statement as at December 31, 2009, adjusted to reflect updates in 2010. Please refer to the Red Back 2009 Annual Information Form and the Red Back news releases dated February 1, 2010, March 1, 2010, July 19, 2010 and September 7, 2010, which are available as Red Back documents on SEDAR at www.sedar.com. For historical mineral reserve and mineral resource relating the Tasiast and Chirano properties, please refer to Red Back’s public filings, available under Red Back’s profile on SEDAR.
3) Unless otherwise stated, all cash flow and cash flow per share figures in this presentation are adjusted operating cash flow.
4) Adjusted net earnings and adjusted operating cash flow numbers are non‐GAAP financial measures which are meant to provide additional information and should not be used as a substitute for performance measures prepared in accordance with GAAP. For more information about these non‐GAAP financial measures, and a reconciliation of these non‐GAAP financial measures for the three months and nine months ended September 30, 2010 and September 30, 2009, please refer to the press release dated November 3, 2010, available on our website at www.kinross.com under the heading p p p g“Reconciliation of non‐GAAP financial measures”.
5) Cost of sales per ounce is defined as cost of sales as per the financial statements divided by the number of gold equivalent ounces sold, both reduced for Kupol sales attributable to a third‐party 25% shareholder and for Chirano sales attributable to a 10% minority interest holder.
6) Cost of sales margin is defined as the average realized price of gold less attributable cost of sales per ounce.
7) For more information on Kinross’ updated Measured and Indicated Mineral Resource and Inferred Mineral Resource estimate for Tasiast, please refer t th l d t d N b 3 2010 hi h i il bl b it t kito the news release dated November 3, 2010, which is available on our website at www.kinross.com.
8) Unless otherwise stated, gold equivalent production, gold equivalent ounces sold and cost of sales figures in this presentation are based on Kinross’ share of Kupol production (75%) and Chirano production (90%).
9) For details regarding the reconciliation of the cost of sales forecast for the West African assets, please refer to the section titled “Red Back Cost of Sales Reconciliation” in our news release dated November 3, 2010, available on our website at www.kinross.com.
10) For historical mineral resource estimates relating to the Tasiast property, please refer to Red Back’s public filings, available under Red Back’s profile on
40
10) For historical mineral resource estimates relating to the Tasiast property, please refer to Red Back s public filings, available under Red Back s profile on SEDAR.
Appendix
41
Fort Knox, USA (100%), ( )
• Located in Alaska
• Expansion and new heap leach to extend mine life
• Material being stacked on new pads
Operating Results
Production (Au eq. oz)
Cost of Sales($/oz)
YTD Q3 2010 264 590 $550YTD Q3 2010 264,590 $550
YTD Q3 2009 176,646 $596
2009 Gold Reserves and Resources(2)
Tonnes Grade OuncesTonnes(thousands)
Grade (g/t)
Ounces(thousands)
2P Reserves 252,945 0.45 3,692
M&I Resources 105,768 0.50 1,694
42(2) Please refer to endnote #2.
Round Mountain, USA (50%), ( )
• Kinross‐operated JV with Barrick
• Located in Nevada, USA
• Open pit mine
Operating Results
Production (Au eq. oz)
Cost of Sales($/oz)
YTD Q3 2010 141 033 $614YTD Q3 2010 141,033 $614
YTD Q3 2009 160,873 $527
2009 Gold Reserves and Resources(2)
Tonnes Grade oz (thousands) (g/t) (thousands)
2P Reserves 71,493 0.64 1,468
M&I Resources 39,837 0.73 938
43(2) Please refer to endnote #2.
Kettle River, USA (100%), ( )
• Entered production in Q4’08
• Small foot‐print, underground mine
• Near‐mine exploration targets
Operating Results
Production (Au eq. oz)
Cost of Sales($/oz)
YTD Q3 2010 145 555 $318YTD Q3 2010 145,555 $318
YTD Q3 2009 111,192 $308
2009 Gold Reserves and Resources(2)
Tonnes Grade ozTonnes(thousands)
Grade (g/t)
oz (thousands)
2P Reserves 1,701 13.88 759
M&I Resources ‐ ‐ ‐
44(2) Please refer to endnote #2.
Kupol, Russia (75%)p , ( )
• 3,000 tpd mill with open‐pit and underground
• 2009 first full year of production
Operating Results
P d i C f S lProduction (Au eq. oz)
Cost of Sales($/oz)
YTD Q3 2010 404,504 $318
YTD Q3 2009 529,421 $255
2009 Reserves and Resources(2)
Tonnes(thousands)
Grade (g/t)
Ounces(thousands)
2P Reserves: AuAg
6,11813.04167.8
2,56533,010
M&I Resources: AuAg
1715.48269.2
9149
45(2) Please refer to endnote #2.
Paracatu, Brazil (100%)
• Recoveries near target
Operating Results
• Major expansion commissioning
• Adding 3rd and 4th ball mills
Operating Results
Production (Au eq. oz)
Cost of Sales($/oz)
YTD Q3 2010 364,830 $528
YTD Q3 2009 245,975 $711
2009 Gold Reserves and Resources(2)
Tonnes Grade Ounces (thousands) (g/t) (thousands)
2P Reserves 1,320,886 0.41 17,472
M&I Resources 225,581 0.41 2,994
46(2) Please refer to endnote #2.
Crixas, Brazil (50%), ( )
• JV with AngloGold Ashanti
• Underground mine located in the Brazil
Operating Results
Production (Au eq. oz)
Cost of Sales($/oz)
YTD Q3 2010 56,798 $477
YTD Q3 2009 52 624 $430YTD Q3 2009 52,624 $430
Reserves and Resources(2)
Tonnes Grade Ounces (thousands) (g/t) (thousands)
2P Reserves 2,923 3.70 347
M&I Resources 303 3.40 33
47(2) Please refer to endnote #2.
La Coipa, Chile (100%)p , ( )
• Gold/silver mine in the Maricunga district
• Comprehensive exploration program
Operating Results
Production Cost of SalesProduction (Au eq. oz)
Cost of Sales($/oz)
YTD Q3 2010 136,310 $666
YTD Q3 2009 174,384 $409
2009 Reserves and Resources(2)
Tonnes(thousands)
Grade (g/t)
Ounces(thousands)
2P Reserves: Au 1 30 1 1072P Reserves: AuAg
26,5681.3044.4
1,10737,944
M&I Resources: AuAg
11,2290.8838.5
31713,901
48(2) Please refer to endnote #2.
Maricunga, Chile (100%)g , ( )
• Located the highly prospective Maricunga District
• Open pit, heap leach operation
Operating ResultsOperating Results
Production (Au eq. oz)
Cost of Sales($/oz)
YTD Q3 2010 123,611 $682
YTD Q3 2009 173,692 $525
2009 Gold Reserves and Resources(2)
Tonnes Grade Ounces(thousands) (g/t) (thousands)
2P Reserves 280,792 0.71 6,403
M&I Resources 160,049 0.57 2,945
49(2) Please refer to endnote #2.
Tasiast, Mauritania (100%)
• Open-pit mine located in Mauritania, ~300 km north of the capital city of Nouakchottthe capital city of Nouakchott
• Situated in remote, flat, sparsely populated desert
• Commercial production commenced in January 2008
• 2.5 Mtpa CIL mill and 4.5 Mtpa dump leach operation
• 2010e production(1): ~185-195k oz• Road access to mine and small air strip on site
• Highly prospective, underexplored gold belt
• Only 8 km of 70 km strike length testedTonnes(000)
Grade(g/t)
Cont’d Au (mm oz )• Only 8 km of 70 km strike length tested
• 156,784 m of drilling completed (as of Q3’10)
(000) (g/t) (mm oz.)
2P Mineral Reserves(2) 115,200 1.4 5.03
M&I Mineral Resources(7) 196,400 1.47 9.27
Inferred Mineral Resources(7) 105,600 1.5 5.15
M&I Mi l R t t d i l i f i l
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M&I Mineral Resources are stated inclusive of mineral reserves.
(1) Please refer to endnote #1.(5) Please refer to endnote #5.(7) Please refer to endnote #7.
Chirano, Ghana (90%)
• Open‐pit and underground mining operation
• 90% owned by Red Back; Government of Ghana holds a 10% carried interest
• 9 open‐pits and 2 recently‐discovered d d d itunderground deposits
• 2010e production of ~215‐225 k oz(1)
• Current estimated mine life of 10+ years
Gold Reserves and Resources(2)
Tonnes(thousands)
Grade (g/t)
Contained Au (mm oz)
2P Reserves 41,300 2.4 3.19
M&I Resources 46,600 2.71 4.07
Inferred Resources 9,600 2.7 0.8
51(1) Please refer to endnote #1.(2) Please refer to endnote #2.
M&I Mineral Resources are stated inclusive of mineral reserves.
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON M5J 2V5
Tel: 416 365 5123Tel: 416‐365‐5123
Toll‐Free: 1‐866‐561‐3636
www.kinross.com
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