Kinross Gold Corporation · TSX:K
Kinross Gold — Investor Presentation (September 2023)
63 slides from Kinross Gold's investor presentation, September 2023
Slide 1: Delivering Value.
Delivering Value. September 2023
Slide 2: Cautionary Statement on Forward-Looking Information
Kinross Gold Corporation September 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
Slide 3: Table of Contents
Table of Contents Company Overview 4 Great Bear 17 Operations & Projects 29 ESG 48 Appendix 53 33
Slide 4: Who is Kinross?
Kinross Gold Corporation September 2023 Who is Kinross? Portfolio STABLE STRONG ATTRACTIVE COMMITTED TO DIVERSIFIED PRODUCTION FINANCIAL VALUE RESPONSIBLE ASSET BASE OUTLOOK ~2MOZ POSITION MINING • >50% of production • Portfolio of mines • Investment grade • Strong FCF yield of • Consistent leader i
Slide 5: High Quality Portfolio of Assets
Kinross Gold Corporation September 2023 High Quality Portfolio of Assets Two top tier(1) mines – Tasiast & Paracatu – account for >50% of production Fort Knox, U.S.A. Manh Choh, U.S.A. 2023E Gold Equivalent Production(2) Great Bear, Canada Curlew, U.S.A 29% Bald Mountain, U.S.A. Round Mountain, U.S.
Slide 6: Global Mining Leader in ESG
Kinross Gold Corporation September 2023 Global Mining Leader in ESG (1) Environment Social Governance WATER MANAGEMENT • ~80% average water volume 99% > 600,000 INDEPENDENT BOARD recycling rate over the past 5 years of workforce hired from beneficiaries of • 9 of 10 Board members are GHG INTENSITY w
Slide 7: Why Kinross?
Why Kinross? September 2023 Stable Production (Moz Au eq.oz, attributable, outlook) Compelling Value(4) Strong P/NAV upside potential ~ 2.1 ~ 2.1(3) Price / Net Asset Value ~2.0(2) ~ 2.0(3) 1.21x 1.19x 1.11x 1.03x 0.98x Production 0.94x 0.92x 0.89x 2022 2023 2024 2025 Evolution Gold Newmont AngloGol
Slide 8: Attractive Valuation
Kinross Gold Corporation September 2023 Attractive Valuation Trading at compelling FCF and EBITDA metrics 2023E FCF Yield %(1) Enterprise Value / 2023E EBITDA(2) 8.8x 7.9% 8.1x 7.7x 7.1x 5.8% 6.6x 4.8% 4.7% 4.3% 5.3x 3.8% 4.9x 4.9x 4.8x 2.4% 2.4% -4.0% (1) Calculated as Share Price / 2023E Free Cash
Slide 9: Share Price Performance
Kinross Gold Corporation September 2023 Kinross Outperforming YTD 2023 – Kinross Shares Beginning to Re-Rate 40% 30% 20% Share Price Performance 10% 0% -10% -20% Jan-23 Feb-23 Mar-23 Apr-23 May-23 Jun-23 Jul-23 Aug-23 Kinross GDX GDXJ 9
Slide 10: Balance Sheet & Financial Flexibility
Kinross Gold Corporation September 2023 Balance Sheet & Financial Flexibility Liquidity Position (1) Financial Flexibility • Total liquidity(1) of ~$1.9 billion, including $478 million of cash and cash equivalents • Net debt to EBITDA improved as of Q2 2023, with expectation of further reduction by
Slide 11: Manageable Debt Profile
Kinross Gold Corporation September 2023 Manageable Debt Profile Senior notes are rated investment grade by all three rating agencies Debt Schedule(1)(2) Debt Ratings Agency Rating Moody’s Baa3 (Stable) $1,000 Fitch BBB (Stable) S&P BBB- (Negative) $ millions $500 Debt Breakdown(1)(2) Interest Rate A
Slide 12: Disciplined Capital Allocation Strategy
Kinross Gold Corporation September 2023 Disciplined Capital Allocation Strategy Reinvesting in our Business 2023 Guidance • Sustaining Capex – maintaining our existing operations ~$510M(1) safely and to world-class environmental standards • Expansion Projects – pursuing attractive returns by leverag
Slide 13: Advancing the Project Pipeline
Kinross Gold Corporation September 2023 Advancing the Project Pipeline Expected project milestones on track(1) 2023 >> 2024 Q1 Great Bear ✓ 2024 Great Bear Initial Resource and Technical Results of PEA Report 2024 H1 Round Mountain ✓ Great Bear Potential Start of Advanced Begin Exploration Decline E
Slide 14: Prioritizing Resource Conversion
Kinross Gold Corporation September 2023 (1) Prioritizing Resource Conversion Significant potential for mine life extension at existing operations 20 18 16 14 12 10 Years 8 6 4 2 0 La Coipa Fort Knox Round Mountain Bald Mountain Tasiast Paracatu Expected Reserve Life Potential Resource Life (1) “Expe
Slide 15: Guidance and Outlook
Kinross Gold Corporation September 2023 Guidance and Outlook On Track to Meet FY2023 Guidance H1 2023 Results FY2023 Guidance(1) FY2022 Results(2) Production ~1.0 million ~2.1 million ~2.0 million (Au eq. oz.) Production cost of sales $941 $970 $937 (per Au eq. oz. sold)(3) All-in sustaining cost $1
Slide 16: Inflationary Pressures
Kinross Gold Corporation September 2023 Inflationary Pressures How inflationary pressure affects our cost structure Inputs Direct Cost Drivers Estimated Impacts Ground support Grinding media Steel Maintenance/supplies OPEX Assume 5% inflation for 2023; Power costs on track for FY cost guidance Fuel
Slide 17: Great Bear
September 2023 Great Bear 1717
Slide 18: Project Overview
Kinross Gold Corporation September 2023 Project Overview High grade mineralization across the property Town of Red LP Zone Lake Open along strike and at depth Disseminated high grade mineralization, analogous to Hemlo N Vein hosted and sulphide replacement high- Limb LP ZONE grade gold mineralizatio
Slide 19: Initial Contained Mineral Resource Estimate
Kinross Gold Corporation September 2023 Initial Contained Mineral Resource Estimate 2022 drilling and technical program have resulted in a high-grade initial resource $1,700/OZ INITIAL RESOURCE Tonnes Grade (Au Ounces (000’s) g/t) (000’s) Indicated Open Pit 33,110 2.57 2,737 Inferred Open Pit 8,400
Slide 20: Majority of Resource Contained in High Grade Core
Kinross Gold Corporation September 2023 Majority of Resource Contained in High Grade Core Targeting higher grade mineralization in the early years Contained Ounces Moz 6 5 4 Inferred Inferred Inferred 3 Inferred 2 Indicated Indicated Indicated 1 Contained Resource Open Pit High Grade Underground Hig
Slide 21: High Grade Core has Strong Spatial Continuity
Kinross Gold Corporation September 2023 High Grade Core has Strong Spatial Continuity Resilient pit shell driven by the high-grade core Open Pit Resource High Grade Core of the Open Pit Resource Based on a 0.5 g/t Cut Off Grade Based on a 0.9 g/t Cut Off Grade N Legend > 0.9 g/t 0.5 to 0.9 g/t 1km 2
Slide 22: Directional Drilling Hitting Targets Faster
Kinross Gold Corporation September 2023 Directional Drilling Hitting Targets Faster Directional drilling hits are showing the orebody continuity at depth Recent intercepts at >1,000 m vertical. NORTHWEST LP - CENTRAL SOUTHEAST BR-778C1 was >50% faster to target zone than drilling from surface. BR-77
Slide 23: Deep Holes Demonstrate Potential for Extension of High-Grade Underground
Kinross Gold Corporation September 2023 Great Bear Deep Holes Demonstrate Potential for Extension of High-Grade Underground NORTHWEST SOUTHEAST DISCOVERY LP CENTRAL VIGGO BR-735 2.6 m @ 73.18 g/t BR-655 BR-805 500 m 5.9 m @ 12.09 g/t BR-794 6.7 m @ 19.31 g/t BR-719 9.0 m @ 3.66 g/t 7.0 m @ 24.38 g/t
Slide 24: Exploration Plan into 2024
Kinross Gold Corporation September 2023 Exploration Plan into 2024 Continue to test strike and depth; prioritizing high-grade LP core NORTHWEST SOUTHEAST DISCOVERY LP CENTRAL VIGGO 500 m 1 `` 3 3 2 1,000 m Open Open Open Open 1 Planned Drillholes Target Area Where we are targeting our drilling in H2
Slide 25: Exploration Decline
Kinross Gold Corporation September 2023 Exploration Decline Advanced exploration decline expected to enable efficient drilling of underground material Conceptual Exploration Timeline Preliminary Advanced Exploration Design 2023 2024 2025 2026 2027+ Resource Development Exploration, Potential Delinea
Slide 26: Great Bear Appears Similar to Hemlo
Kinross Gold Corporation September 2023 Great Bear Appears Similar to Hemlo Over 90% of Hemlo has been mined from underground at depths of greater than 500 m Hemlo Great Bear Hemlo has produced +20 Moz 0 RL Open Open 500 RL 1,000 RL Open Open Open 3 Shafts GRADE THICKNESS < 5 GxM 50 to 100 GxM 5 to
Slide 27: Additional Upside Potential on Highly-Prospective Land Package
Kinross Gold Corporation September 2023 Additional Upside Potential on Highly- Prospective Land Package Transmission line Highway 105 1 Felsic – Intermediate Felsic Intrusive Ultramafic Mafic-Ultramafic Mafic (Calc-Alkaline?) Sediments 3 Great Bear property 3 Where we see opportunity for growth: 2 H
Slide 28: Targeted Path to Production at Great Bear
Kinross Gold Corporation September 2023 Targeted Path to Production at Great Bear Conceptual Project Development Timeline ‘23 ‘24 ‘25 ‘26 ‘27 ‘28 ‘29 Project Studies Release PEA Surface Exploration Decline AEX Environmental Baseline Permitting estimate in line with peers’ for Federal IAAC1 process ✓
Slide 29: Operations & Projects
”) J O oot .) _ oO 03 lions Operat
Slide 30: Q2/23 Recap
September 2023 Q2/23 Recap Americas on Track Strong Q2 Production • Paracatu and La Coipa on plan as • Production of 555koz accounted for strong grades and recoveries continued ~26% of FY2023 guidance • US operations delivered stronger quarterly production and remain on plan Strong Margins Round Mou
Slide 31: Brazil
Kinross Gold Corporation September 2023 Brazil 2023 Gold Equivalent Production(1) Asset Highlights Top-tier(2) asset Mauritania United States 29% 32% Attractive cost structure and stable long mine life ~2.1Moz extending into the next Paracatu decade Chile 11% Paracatu Track record of expansion 28% a
Slide 32: Paracatu
Kinross Gold Corporation September 2023 Paracatu Top-tier Gold Mine With Production Extending into the Next Decade • Largest gold mine in Brazil, and one of the world’s largest gold mining Operating Results operations 2021 2022 H1/23 • Higher production expected in Q3 on higher mining rates and stro
Slide 33: Mauritania
Kinross Gold Corporation September 2023 Mauritania 2023 Gold Equivalent Production(1) Asset Highlights Top-tier(2) asset Tasiast Low-cost mine with a growing production profile supported by United States 29% a large gold resource in a 32% prospective district ~2.1Moz On track to sustained 24ktpd Tas
Slide 34: Tasiast
Kinross Gold Corporation September 2023 Tasiast Low-cost Mine Backed by a Substantial Reserve, On-Track to Deliver Near-Term Production Growth • Following a successful ramp up to Operating Results 21ktpd in 2022, the 24k expansion project is on track to ramp up to 2021(1) 2022 H1/23 sustained 24ktpd
Slide 35: Tasiast Solar Project
Kinross Gold Corporation September 2023 Tasiast Solar Project Advancing on Schedule for Completion by end of 2023 • The 34 MW solar power plant will provide Installation of Solar Panels ~20% of the site’s power, offsetting ~530 kt of greenhouse gas emissions over the life- of-mine, or ~10,000 gasoli
Slide 36: Chile
Kinross Gold Corporation September 2023 Chile 2023 Gold Equivalent Production(1) Asset Highlights Successfully achieved high- Mauritania United States 29% margin production and 32% generating positive cash flow ~2.1Moz La Coipa La Coipa extensions show promising opportunities to La Coipa extend mine
Slide 37: La Coipa
Kinross Gold Corporation September 2023 La Coipa High-Margin Operation Driving Strong Cash Flow • Plant optimization to continue in second half Operating Results of the year • On track to deliver full-year production and 2021 2022 H1/23 cost guidance following strong first-half Production - 109,576
Slide 38: Strong Production Outlook in Chile
Kinross Gold Corporation September 2023 Strong Production Outlook in Chile Mined in succession, La Coipa and Lobo-Marte could enable production in Chile beyond 2040 N • La Coipa and Lobo-Marte are located in Chile’s Atacama (Region III), approximately 650 km north of Santiago • Both deposits are in
Slide 39: United States
Kinross Gold Corporation September 2023 United States 2023 Gold Equivalent Production(1) Asset Highlights Fort Knox, Round Fort Knox, Positioned for near-term Mountain, & Bald Alaska production growth Mountain Mauritania 29% 32% Round Substantial mineral resource ~2.1Moz Mountain, inventory providin
Slide 40: Fort Knox
Kinross Gold Corporation September 2023 Fort Knox Positioned for Near Term Production Growth Through Manh Choh • Current mine life is expected to extend to Operating Results 2030 • Significant mill capacity provides optionality 2021 2022 H1/23 for future production growth Production • Future product
Slide 41: Manh Choh (70%)
Kinross Gold Corporation September 2023 Manh Choh (70%) On Track for Full Production in H2/24 • Planned utilization of existing mill and infrastructure at Fort Knox to process Manh Choh Reserve & Resource Estimates(1) Manh Choh ore Tonnes Grade Ounces (thousands) (Au g/t) (Au koz) • Construction act
Slide 42: Round Mountain
Kinross Gold Corporation September 2023 Round Mountain Open-pit and Underground Optionality in a Top Jurisdiction • Substantial resource: orebody is open at depth with increasing grade Operating Results • Cost of sales forecast to increase in H2/23, 2021 2022 H1/23 before declining next year as Phas
Slide 43: Round Mountain
Kinross Gold Corporation September 2023 Round Mountain Exploring Higher-Margin Life of Mine Extensions • Ongoing mining of Phase W2 and other minor phases Gold Hill (shown in green) (exploration) (~8 km to north) W3 (study) • Phase S – Ongoing optimization work has shown positive W2 (currently resul
Slide 44: Round Mountain – Phase X
Kinross Gold Corporation September 2023 Round Mountain – Phase X Focused on Higher-Margin UG Potential at Phase X • Progressing decline to start definition drilling in early 2024 • Advancing studies and permitting in parallel to advance path to first production • Vein intercepts and early mine desig
Slide 45: Gold Hill
Kinross Gold Corporation September 2023 Gold Hill Potential High-Grade Underground Satellite to Supplement Phase X UG • Drilling to date suggests a series of narrower, higher-grade parallel veins extending from the open pit • The 2023 exploration program has confirmed an 800m west strike extension,
Slide 46: Bald Mountain
Kinross Gold Corporation September 2023 Bald Mountain Potential to Add Significant Mine Life • Substantial mineral resource base Operating Results with multiple sources of potential mineral reserve additions that could 2021 2022 H1/23 extend mine life beyond mid-2020s Production 204,890 214,094 73,1
Slide 47: Curlew Basin Exploration
Kinross Gold Corporation September 2023 Curlew Basin Exploration Underground Drilling Continues to Confirm High-Grade Vein Extensions • Exploration proving robustness of geological model and facilitating new discoveries: o Confirmed vein extensions and continuity across multiple targets, which are e
Slide 48: ESG
September 2023 ESG 48
Slide 49: Our Approach
Kinross Gold Corporation September 2023 Our Approach At the heart of our success is our people and our four Core Values. Our Values and Guiding Principles unite our global workforce We integrate sustainability considerations This approach drives ESG results: into our core operations and practices: E
Slide 50: Consistently Earning Top-Quartile ESG Results
Kinross Gold Corporation September 2023 Consistently Earning Top-Quartile ESG Results Strong Standing Across Major ESG Indices Within the Mining Sector Kinross Relative (Percentile) Performance ESG Percentiles: 10-year Trend on Key ESG Ratings* (Normalized) 97 ESG Percentiles: 10-year trend 100 94 9
Slide 51: Reducing our Carbon Footprint
Kinross Gold Corporation September 2023 Reducing our Carbon Footprint We are making green investments and adapting our business because it’s the right thing to do • Committed to 30% GHG • Reporting to CDP since 2005 and in line with intensity reduction in Task Force for Nature Related Financial LOW
Slide 52: Endnotes
Kinross Gold Corporation September 2023 Endnotes 1) Kinross’ 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) All-in sustaining cost from co
Slide 53: Appendix
September 2023 Appendix 53
Slide 54: 2023 Guidance Summary – Appendix A
Kinross Gold Corporation September 2023 2023 Guidance Summary – Appendix A Company guidance Annual attributable (1) gold equivalent production guidance (+/- 5%) 2023 2.1 million oz.(2) 2024 2.1 million oz. 2025 2.0 million oz. 2023 production and cost guidance 2023 Guidance (2) Accounting basis 2022
Slide 55: 2023 Guidance Summary – Appendix A
Kinross Gold Corporation September 2023 2023 Guidance Summary – Appendix A 2023 capital expenditures guidance Forecast 2023 sustaining Forecast 2023 non- Total 2023 forecast 2022 sustaining capital 2022 non-sustaining 2022 total capital capital (5)(6) sustaining capital (5)(6) capital (5)(6) capital
Slide 56: 2023 Guidance Summary – Appendix A
Kinross Gold Corporation September 2023 2023 Guidance Summary – Appendix A Material assumptions used to forecast 2023 production cost of sales are as follows: • a gold price of $1,800 per ounce; • a silver price of $20 per ounce; • an oil price of $90 per barrel; • foreign exchange rates of: • 5.0 B
Slide 57: Mineral Reserve and Mineral Resource Statement – Appendix B
Kinross Gold Corporation September 2023 MINERAL RESERVE AND MINERAL RESOURCE STATEMENT – Appendix B MINERAL RESERVE AND MINERAL RESOURCE STATEMENT GOLD PROVEN AND PROBABLE MINERAL RESERVES (1,4,5,6,7,8) Kinross Gold Corporation's Share at December 31, 2022 Kinross Proven Probable Proven and Probable
Slide 58: Mineral Reserve and Mineral Resource Statement – Appendix B
Kinross Gold Corporation September 2023 MINERAL RESERVE AND MINERAL RESOURCE STATEMENT – Appendix B MINERAL RESERVE AND MINERAL RESOURCE STATEMENT GOLD MEASURED AND INDICATED MINERAL RESOURCES (EXCLUDES PROVEN AND PROBABLE MINERAL RESERVES) (4,5,6,7,8,11,12,15) Kinross Gold Corporation's Share at De
Slide 59: Mineral Reserve and Mineral Resource Statement – Appendix B
Kinross Gold Corporation September 2023 MINERAL RESERVE AND MINERAL RESOURCE STATEMENT – Appendix B MINERAL RESERVE AND MINERAL RESOURCE STATEMENT GOLD INFERRED MINERAL RESOURCES (4,5,6,7,8,11,12,15) Kinross Gold Corporation's Share at December 31, 2022 Kinross Inferred Property Location Interest To
Slide 60: Notes – Appendix B
Kinross Gold Corporation September 2023 MINERAL RESERVE AND MINERAL RESOURCE STATEMENT NOTES – Appendix B (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 ounc
Slide 61: Great Bear Drill Results – Appendix C
Kinross Gold Corporation September 2023 Great Bear Drill Results – Appendix C Hole ID From (m) To (m) Width (m) True Width (m) Au (g/t) Target BR-696 1,347.7 1,352.2 4.5 4.1 15.53 Bruma BR-696 including 1,349.2 1,350.7 1.5 1.4 45.60 BR-696 and 1,364.1 1,367.8 3.7 3.4 1.33 BR-696 and 1,510.0 1,514.0
Slide 62: Great Bear Drill Results – Appendix C
Kinross Gold Corporation September 2023 Great Bear Drill Results – Appendix C Hole ID From (m) To (m) Width (m) True Width (m) Au (g/t) Target BR-830 784.6 791.0 6.5 5.5 0.45 Yuma BR-830 and 920.2 928.0 7.9 6.7 2.66 BR-830 including 921.2 924.3 3.1 2.6 6.07 BR-830 and 961.1 969.1 8.0 6.8 1.01 BR-830
Slide 63: Slide 63
Kinross Gold — Investor Presentation (September 2023) on 6ix