Kinross Gold Corporation · TSX:K
Kinross Gold — Q4 2023 Earnings Presentation
34 slides from Kinross Gold's earnings presentation, Feb 15, 2024
Slide 1: Fourth Quarter and Year-End 2023 Results
Fourth Quarter and Year-End 2023 Results February 15th, 2024 Delivering Value.
Slide 2: Conference Call Participants
Conference Call Participants Paul Rollinson Andrea Claude Geoff Gold Will Dunford President & Freeborough Schimper SVP, Technical EVP, Corporate Chief Executive Officer EVP & Chief Financial EVP & Chief Operating Development, External Services Officer Officer Relations & CLO 2
Slide 3: Cautionary Statement on Forward-Looking Information
Fourth Quarter and Year-End 2023 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 and responses to questions, including but not limited to any information as to
Slide 4: Q4 and 2023 Recap
Q4 and 2023 Recap Met Guidance La Coipa & Paracatu strong • Full-year production in top-half of • La Coipa – strong margins and FCF guidance range • Paracatu – steady full-year production • Full-year costs in low-end of guidance and strong mill performance in Q4 range Strong Margins US Delivering •
Slide 5: Strong Outlook
Strong Outlook Production Outlook(1) (Million Au eq. oz. +/- 5%) Strong and stable multi-year (2) production outlook(1) 2.15 2.1 (3) (3) (3) 2.0 (2) 2.0 2.0 Disciplined capital allocation strategy Competitive dividend 2022 2023 2024 2025 2026 (1) Refer to endnote #1. (2) Represents actual production
Slide 6: ESG – Core to our Business
ESG – Core to our Business Continued to deliver on our Climate & Energy Strategy Construction of the 34MW solar facility at Tasiast complete; advancing our goal of reducing emissions intensity by 30% by 2030 $10 million of contributions through site investments 6 ‘Kinross Alaska Future Leaders’ scho
Slide 7: Financial Results
Financial Results KINROSS
Slide 8: Fourth Quarter & Year-End Results
Fourth Quarter and Year-End 2023 Fourth Quarter & Year-End Results Prior Comparable Periods Q4 2023 FY 2023 Q4 2022 FY 2022 Results Results Results(1) Results(1) Production (Au eq. oz) 546,513 2,153,020 595,683 1,957,237 Cost of Sales (per Au eq. oz. sold)(2) $976 $942 $848 $937 All-in Sustaining Co
Slide 9: Balance Sheet & Financial Flexibility
Fourth Quarter and Year-End 2023 Balance Sheet & Financial Flexibility Liquidity Position (1) Financial Flexibility • Total liquidity(1) of ~$1.9 billion, including $352 million of cash and cash equivalents As at December 31st • $190 million of debt repaid in Q4 ~$1.9B • Revolving Facility and Tasia
Slide 10: Guidance and Outlook
Fourth Quarter and Year-End 2023 Guidance and Outlook Strong Multi-Year Outlook Q4/23 2023 FY 2023 2024 2025 2026 Results Guidance Results Guidance Guidance Guidance (+/- 5%) (+/- 5%) (+/- 5%) (+/- 5%) Attributable Production 546,513 2.1 million 2.15 million 2.1 million 2.0 million 2.0 million (Au e
Slide 11: Operational Overview
Operational Overview 11
Slide 12: Operations Overview
Fourth Quarter and Year-End 2023 Operations Overview Strong Q4 and Full-Year Performance Tasiast, Mauritania Paracatu, Brazil La Coipa, Chile Bald Mountain, Nevada Round Mountain, Nevada Fort Knox, Alaska 12
Slide 13: Tasiast
Fourth Quarter and Year-End 2023 Tasiast Record Full-Year Production • Higher throughput in Q4 over prior quarter reaching an average of ~22ktpd • Lowest cost operation in the fourth quarter and full-year • Another strong year of production expected in 2024 with higher throughput offsetting lower pl
Slide 14: Paracatu
Fourth Quarter and Year-End 2023 Paracatu Strong Output in FY2023 • Q4 production was lower than prior quarter as planned due to mine sequencing • Strong mill performance and recoveries continued in Q4 • Lower production and higher costs anticipated in 2024 as mine sequencing continues through lower
Slide 15: La Coipa
Fourth Quarter and Year-End 2023 La Coipa Low-Cost Production Driving Strong Full-Year Cash Flow • Strong operating performance continues with record Q4 production • Record mill grade in Q4(1) • FY production of 260koz exceeded the top-end of guidance • FY cost of sales of $681/oz came in below the
Slide 16: US Operations
Fourth Quarter and Year-End 2023 US Operations Stronger Q4 – FY Guidance Achieved Images TBU? Fort Knox, Alaska Bald Mountain, Nevada Round Mountain, Nevada FY23 FY24 United States Total Q4/23 FY23 Guidance(1) Guidance(1) Production 183,986 684,090 670,000 730,000 (Au eq. oz.) Production cost of sal
Slide 17: US Operations
Fourth Quarter and Year-End 2023 US Operations Highlights Fort Knox, Alaska Bald Mountain, Nevada Round Mountain, Nevada • Q4 production improved over the prior • Q4 production improved over the prior • Q4 production lower over the prior quarter on higher mill throughput quarter on higher grades qua
Slide 18: Projects, Exploration & Resource Update
Projects, Exploration & Resource Update 18
Slide 19: Round Mountain
Fourth Quarter and Year-End 2023 Round Mountain Progressing Higher-Margin UG Opportunities at Phase X and Gold Hill Phase X Gold Hill • 1,475 metres advanced to date (over half of • Infill drilling from the bottom of the open pit planned development metres) and exploration from surface are ongoing •
Slide 20: Curlew Basin Exploration
Fourth Quarter and Year-End 2023 Curlew Basin Exploration Exploration Success continues • Successful 2023 exploration program confirmed extensions and continuity • Meaningful increase in resource to approximately 400koz M&I and 700koz Inferred (34% increase in inferred resource) • 2024 focus: expand
Slide 21: Great Bear
Fourth Quarter and Year-End 2023 Great Bear 2023 exploration success added significant ounces and improved overall grade $1,700/OZ UPDATED RESOURCE YE2022 YE2023 Delta Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces (000’s) (Au g/t) (000’s) (000’s) (Au g/t) (000’s) (000’s) (Au g/t) (000’
Slide 22: Great Bear
Fourth Quarter and Year-End 2023 Great Bear Confirming our thesis of high-grade resource additions at depth LP CENTRAL NORTHWEST SOUTHEAST DISCOVERY BRUMA YUMA YAURO AURO VIGGO 2022 Resource Outline 500 m BR-825 BR-806 0.5 m @ 147.0 g/t 3.6 m @ 11.20 g/t BR-819 8.9 m @ 13.87 g/t BR-807 2.7 m @ 9.68
Slide 23: Exploration Plan for 2024
Fourth Quarter and Year-End 2023 Exploration Plan for 2024 Continue to test strike and depth; prioritizing high-grade LP core LP CENTRAL NORTHWEST SOUTHEAST DISCOVERY BRUMA YUMA YAURO AURO VIGGO 2 500 m 2 1,000 m 3 1 Open Open 3 Open Planned Drillholes Target Where we are targeting our drilling in 2
Slide 24: Exploration Decline
Fourth Quarter and Year-End 2023 Exploration Decline Advanced exploration decline expected to enable efficient drilling of underground material Conceptual Exploration Timeline 2023 2024 2025 2026 2027+ Resource Development Exploration, Potential Delineation of New Discoveries Deep Drilling Surface E
Slide 25: Exploration Highlights
Fourth Quarter and Year-End 2023 Exploration Highlights More than 300,000m of drilling completed in 2023 Brownfields Exploration Property / Jurisdiction Exploration Thesis Progress ✓ 17km of drilling in 2023 confirmed extensions and continuity, Under-explored, high-grade historical producer Curlew B
Slide 26: Reserve and Resources
Fourth Quarter and Year-End 2023 Reserve and Resources Focus on High Quality Resource Growth Overview of Year-Over-Year Changes: • Year-end reserves were down on depletion: • M&I resources remained stable at year-end at ~26Moz • Strong increase to Inferred resources driven by substantial additions a
Slide 27: Strong Position to Deliver Value
Strong Position to Deliver Value ✓ Strong production profile ✓ Generating significant cash flow ✓ Investment grade balance sheet ✓ Competitive dividend ✓ Exciting pipeline of opportunities in attractive jurisdictions ✓ Commitment to mining responsibly and industry leader in ESG 27
Slide 28: Appendix
2s x) c 7) 2. °. <x
Slide 29: Endnotes
Fourth Quarter and Year-End 2023 Endnotes 1. Kinross’ updated outlook represents forward-looking information and users are cautioned that actual results may vary. Please refer to the Cautionary Statement on Forward-Looking Information on slide 2 of this presentation. 2. Production cost of sales or c
Slide 30: Mineral Reserve and Mineral Resource Statement
Fourth Quarter and Year-End 2023 MINERAL RESERVE AND MINERAL RESOURCE STATEMENT 30
Slide 31: Mineral Reserve and Mineral Resource Statement
Fourth Quarter and Year-End 2023 MINERAL RESERVE AND MINERAL RESOURCE STATEMENT 31
Slide 32: Mineral Reserve and Mineral Resource Statement
Fourth Quarter and Year-End 2023 MINERAL RESERVE AND MINERAL RESOURCE STATEMENT 32
Slide 33: Mineral Reserve and Mineral Resource Statement Notes
Fourth Quarter and Year-End 2023 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
Slide 34: Slide 34