Kinross Gold Corporation · TSX:K
Kinross Gold — Investor Presentation (May 2024)
60 slides from Kinross Gold's investor presentation, May 2024
Slide 1: Delivering Value.
Delivering Value. May 2024 Coy KINROSS
Slide 2: Cautionary Statement on Forward-Looking Information
Kinross Gold Corporation May 2024 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 3: Table of Contents
May 2024 Table of Contents Company Overview 4 Great Bear 16 Operations & Projects 27 ESG 47 Appendix 52 33
Slide 4: Who is Kinross?
Kinross Gold Corporation May 2024 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 6 mines • Investment grade • Strong FCF yield of • Consistent top from 2 t
Slide 5: High Quality Portfolio of Assets
Kinross Gold Corporation May 2024 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. 2024E Gold Equivalent Production(2) Great Bear, Canada Curlew, U.S.A Bald Mountain, U.S.A. Round Mountain, U.S.A. 71% ~2.
Slide 6: Top Performer in ESG
Kinross Gold Corporation May 2024 (1) Top Performer in ESG Environment Social Governance GHG INTENSITY INDEPENDENT & DIVERSE 99% 0.38 BOARD • GHG intensity 646 kg CO2e/Au Host Country Workforce eq.oz in 2023, down 13% from 2022; TRIFR (employees & • 9 of 10 Board members are on track towards 2030 ta
Slide 7: Why Kinross?
Why Kinross? May 2024 Delivering Value Compelling FCF Yield Operational Excellence ✓ 8.9% 2024E FCF Yield %(1) 6.8% 6.7% 5.8% Strong Cash Flow ✓ 4.4% 3.9% 3.7% 3.3% Strengthening Balance Sheet ✓ Nmf (2) Attractive Dividend ✓ Strong Share Price Performance Attractive Portfolio 60% 50% Two Top-Tier As
Slide 8: Attractive Valuation
Kinross Gold Corporation May 2024 Attractive Valuation Trading at Compelling P/NAV and EBITDA Metrics Price / Net Asset Value(1) Enterprise Value / 2024E EBITDA(2) 1.58x 1.53x 8.6x 8.4x 1.37x 7.5x 6.7x 6.5x 1.06x 1.04x 1.01x 1.01x 5.3x 5.2x 0.86x 0.86x 4.8x 4.6x (1) Calculated as Share Price / Net A
Slide 9: Balance Sheet Continues to Strengthen
Kinross Gold Corporation May 2024 Balance Sheet Continues to Strengthen Liquidity Position (1) Financial Flexibility • Total liquidity(1) of ~$2.0 billion, including $407 million of cash and cash equivalents As at March 31st • Improved Net Debt position as of quarter-end ~$2.0B • Net Debt to EBITDA
Slide 10: Manageable Debt Profile
Kinross Gold Corporation May 2024 Manageable Debt Profile Senior notes are rated investment grade by all three rating agencies Debt Schedule(1) Debt Ratings Agency Rating Moody’s Baa3 (Stable) $1,000 Fitch BBB (Stable) S&P BBB- (Negative) $ millions Debt Breakdown(1) Interest Rate Amount Due $500 $5
Slide 11: Disciplined Capital Allocation Strategy
Kinross Gold Corporation May 2024 Disciplined Capital Allocation Strategy Reinvesting in our Business 2024 Guidance • Sustaining Capex – maintaining our existing operations ~$500M(1)(2) safely and to world-class environmental standards • Expansion Projects – pursuing attractive returns by leveraging
Slide 12: Advancing the Project Pipeline
Kinross Gold Corporation May 2024 Advancing the Project Pipeline Expected project milestones on track(1) 2023 >> 2024 & 2025 Q1 Great Bear ✓ Q3/24 Manh Choh Initial Resource and Technical First Production Report H2/24 Great Bear H1 Round Mountain ✓ Results of PEA Begin Exploration Decline H2/24 Grea
Slide 13: Strong Reserve and Resources Base
Kinross Gold Corporation May 2024 (1) Strong Reserve and Resources Base Potential for mine life extension at existing operations 20 18 16 14 12 10 Years 8 6 4 2 0 Fort Knox La Coipa Paracatu Round Mountain Tasiast Bald Mountain Expected Reserve Life Potential Resource Life (1) “Expected Reserve Life
Slide 14: Guidance and Outlook
Kinross Gold Corporation May 2024 Guidance and Outlook On Track to Meet Guidance & Strong Multi-Year Outlook Q1/24 2024 2025 Guidance 2026 Guidance Results Guidance (+/- 5%) (+/- 5%) (+/- 5%) Attributable Production 527,399 2.1 million 2.0 million 2.0 million (Au eq. oz.)(1) Production cost of sales
Slide 15: Inflationary Pressures
Kinross Gold Corporation May 2024 Inflationary Pressures How inflationary pressure affects our cost structure Inputs Direct Cost Drivers Estimated Impacts Ground support Grinding media Steel Maintenance/supplies OPEX Power costs Power Fuel Explosives Lubricants ANNUAL CAPEX Reagents (including strip
Slide 16: Great Bear
May 2024 Great Bear 1616
Slide 17: Project Overview
Kinross Gold Corporation May 2024 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 mineralization Hing
Slide 18: Great Bear
Kinross Gold Corporation May 2024 Great Bear 2023 exploration success added significant ounces and improved grades $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’s) Mea
Slide 19: Directional Drilling Hitting Targets Faster
Kinross Gold Corporation May 2024 Directional Drilling Hitting Targets Faster Directional drilling hits are showing continuity at depth NORTHWEST LP - CENTRAL SOUTHEAST Recent intercepts at ~1,000 m vertical. BR-843AC1A was >50% faster to target zone than drilling from surface. BR-843AC1A 3.5 m over
Slide 20: Confirming Thesis of Extensions at Depth
Kinross Gold Corporation May 2024 Great Bear Confirming Thesis of Extensions at Depth LP CENTRAL NORTHWEST SOUTHEAST DISCOVERY BRUMA YUMA YAURO AURO VIGGO 500 m BR-819 BR-847 8.9 m @ 13.87 g/t 2.4 m @ 5.53 g/t BR-882 BR-807 6.1 m @ 25.71 g/t 2.7 m @ 9.68 g/t 1,000 m BR-890A 1.6 m @ 18.79 g/t BR-814C
Slide 21: Exploration Plan for 2024
Kinross Gold Corporation May 2024 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
Slide 22: BR-843AC1A Grading 389.57 g/t over 4.4 m
Kinross Gold Corporation May 2024 Great Bear BR-843AC1A Grading 389.57 g/t over 4.4 m (3.5m true width) NORTHWEST SOUTHEAST 500m BR-843AC1A (389.57 g/t over 4.4 m) BR-697A (3.5 m True Width) 38.0 m @ 5.24 g/t 1000m ~700 m Plunge BR-695 length open 9.6 m @ 10.46 g/t Visible Gold in BR-843AC1A New Res
Slide 23: Exploration Decline
Kinross Gold Corporation May 2024 Exploration Decline AEX 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 Exploration Decli
Slide 24: Great Bear Appears Similar to Hemlo
Kinross Gold Corporation May 2024 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 15 GxM
Slide 25: Additional Upside Potential on Highly-Prospective Land Package
Kinross Gold Corporation May 2024 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 Hinge &
Slide 26: Targeted Path to Production at Great Bear
Kinross Gold Corporation May 2024 Targeted Path to Production at Great Bear Conceptual Project Development Timeline ‘23 ‘24 ‘25 ‘26 ‘27 ‘28 ‘29 AEX Surface Exploration Decline Construction Environmental Baseline MAIN PROJECT ✓ Initiated Federal Permitting Process Project Impact Statement Agency Revi
Slide 27: Operations & Projects
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Slide 28: Mauritania
Kinross Gold Corporation May 2024 Mauritania 2024E Gold Equivalent Production(1) Asset Highlights Top-tier(2) asset Tasiast Low-cost mine with a strong production profile supported by United States a large gold reserve in a 29% prospective district 35% Expected to deliver low-cost ~2.1Moz Tasiast pr
Slide 29: Tasiast
Kinross Gold Corporation May 2024 Tasiast Low-cost Mine Backed by a Substantial Reserve • Continued strong performance in Q1 Operating Results • Lowest cost operation in Q1 2022 2023 Q1/24 FY24(1) • Another strong year of production expected Production in 2024 with higher throughput offsetting (Au e
Slide 30: Tasiast Solar
Kinross Gold Corporation May 2024 Tasiast Solar Fully Commissioned and Generating Full Power • Commissioning of 34MW solar power plant complete and generating power at full capacity • The 34 MW solar power plant is expected to provide ~20% of the site’s power, offsetting ~530 kt of greenhouse gas em
Slide 31: Brazil
Kinross Gold Corporation May 2024 Brazil 2024E Gold Equivalent Production(1) Asset Highlights Top-tier(2) asset Mauritania United States 29% Attractive cost structure and 35% stable long mine life ~2.1Moz extending into the next Paracatu decade Chile 12% Paracatu Track record of strong 24% operating
Slide 32: Paracatu
Kinross Gold Corporation May 2024 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 operations Operating Results • Mine plan sequence results in lower 2022 2023 Q1/24 FY24(1) production and higher cost
Slide 33: Chile
Kinross Gold Corporation May 2024 Chile 2024E Gold Equivalent Production(1) Asset Highlights Mauritania United States High-margin production with 29% strong cash flow 35% La Coipa oxide extensions ~2.1Moz La Coipa show promising opportunities La Coipa to extend mine life 12% Agreement in place to re
Slide 34: La Coipa
Kinross Gold Corporation May 2024 La Coipa High-Margin Operation Driving Strong Cash Flow • Strong Free Cash Flow in Q1 from ongoing Operating Results high-margin production • Strong grades and recoveries 2022(1) 2023 Q1/24 FY24(2) Production • On-track for another strong year in 2024 with (Au eq. o
Slide 35: Strong Production Outlook in Chile
Kinross Gold Corporation May 2024 Strong Production Outlook in Chile Mined in succession, La Coipa and Lobo-Marte could enable production in Chile beyond 2040 Salares Norte (Gold N Fields), ~75km N • La Coipa and Lobo-Marte are located in Chile’s Atacama (Region III), approximately 650 km north of S
Slide 36: Lobo-Marte
Kinross Gold Corporation May 2024 Lobo-Marte Potential to be a long-life, cornerstone asset with a large production profile and low costs • Offers excellent long-term optionality in 2023 Reserve & Resource Estimates(1) Chile Tonnes Grade Ounces (thousands) (Au g/t) (thousands) • Significant mineral
Slide 37: United States
Kinross Gold Corporation March May 2024 United States 2024E Gold Equivalent Production(1) Asset Highlights Positioned for near-term Fort Knox, Fort Knox, Round production growth through Mountain, & Bald Alaska Mountain contribution from Manh Choh Mauritania 29% 35% Clear path to production Round ~2.
Slide 38: Fort Knox
Kinross Gold Corporation May 2024 Fort Knox Positioned for Near Term Production Growth Through Manh Choh • Mill modifications and site preparation for Manh Choh ore progressing on plan Operating Results • On-track for first gold from Manh Choh in 2022 2023 Q1/24 early Q3 Production 291,248 290,651 5
Slide 39: Manh Choh (70%)
Kinross Gold Corporation May 2024 Manh Choh (70%) On Track for Production in Early Q3 • Planned utilization of existing mill 2023 Gold Reserve & Resource Estimates(1) and infrastructure at Fort Knox to Tonnes Grade Ounces process Manh Choh ore (thousands) (Au g/t) (Au koz) 2P Reserves 2,885 7.6 709
Slide 40: Round Mountain
Kinross Gold Corporation May 2024 Round Mountain Planned Future of Open-pit mining, Underground Work Advancing Gold Hill • Ongoing mining of Phase W2 W3 (exploration) (study) (~8 km to north) • Phase S – Waste stripping has commenced and on- Phase X schedule. Planned production ramping-up in 2025 W2
Slide 41: Round Mountain
Kinross Gold Corporation May 2024 Round Mountain Phase S Optimization Highlights Higher Forecasted Returns • Provides clarity around the next step for Round Mountain - production expected to Incremental Phase S Estimates (1) extend through the end of the decade • Revised pit design has reduced the u
Slide 42: Round Mountain
Kinross Gold Corporation May 2024 Round Mountain Expect Production Through The Decade, With Additional Upside Potential Round Mountain Open Pit Production Profile Forecast Excludes potential from Phase X and Gold Hill Underground 300koz 0 2024 2025 2026 2027 2028 2029 2030 Phase W2 Executing + other
Slide 43: Round Mountain – Phase X
Kinross Gold Corporation May 2024 Round Mountain – Phase X Focused on Higher-Margin UG Potential at Phase X • Over ~1,800 metres advanced to date • Underground definition drilling along decline has commenced; technical studies ongoing • High-grade zones encountered between portals and target mineral
Slide 44: Round Mountain – Gold Hill
Kinross Gold Corporation May 2024 Round Mountain – 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 confirmed an 800m west strike exte
Slide 45: Bald Mountain
Kinross Gold Corporation May 2024 Bald Mountain Significant Optionality • Substantial mineral resource base with multiple sources of potential mineral reserve Operating Results additions that could extend mine life beyond mid-2020s 2022 2023 Q1/24 Production 214,094 157,749 46,980 • Mine plan optimi
Slide 46: Curlew Basin Exploration
Kinross Gold Corporation May 2024 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)(1) • 2024 focus: ex
Slide 47: ESG
May 2024 ESG 47
Slide 48: Our approach to Sustainability
Kinross Gold Corporation May 2024 Our approach to Sustainability “Sustainability and mining responsibly are at the core of our Kinross culture… you need an “on-the- ground,” people-focused approach, along with a clear strategy, strong governance and visible leadership at all levels of the company.”
Slide 49: Consistently Earning Top-Quartile ESG Results
Kinross Gold Corporation May 2024 Consistently Earning Top-Quartile ESG Results Our performance depends on our people, united by our four core values, and who are the heart of our success Environment – Strong track record on environmental compliance: water management, tailings stewardship, closure a
Slide 50: Reducing our Carbon Footprint
Kinross Gold Corporation May 2024 Reducing our Carbon Footprint We are making green investments and constantly seeking efficiencies to help reduce our emissions profile • Committed to 30% GHG • ~90% of our Scope 1 and Scope 2 emissions intensity reduction in come from the fleets we deploy in our LOW
Slide 51: Endnotes
Kinross Gold Corporation May 2024 Endnotes 1) Kinross’ outlook, which is reported on an attributable basis including Kinross’ share of Manh Choh (70%), represents forward-looking information and users are cautioned that actual results may vary. Please refer to the Cautionary Statement on Forward-Loo
Slide 52: Appendix
PER May 2024 ‘a i ? » Appendix KINROSS
Slide 53: 2024 Guidance Summary – Appendix A
Kinross Gold Corporation May 2024 2024 Guidance Summary – Appendix A Company guidance Annual attributable (1) gold equivalent production guidance (+/- 5%) 2024 2.1 million oz. 2025 2.0 million oz. 2026 2.0 million oz. 2024 attributable production and cost guidance 2024 Guidance (1) Accounting basis
Slide 54: 2024 Guidance Summary – Appendix A
Kinross Gold Corporation May 2024 2024 Guidance Summary – Appendix A 2024 attributable capital expenditures guidance Forecast 2024 sustaining Forecast 2024 non- Total 2024 forecast 2023 sustaining capital 2023 non-sustaining 2023 total capital capital (4)(5) sustaining capital (4)(5) capital (4)(5)
Slide 55: 2024 Guidance Summary – Appendix A
Kinross Gold Corporation May 2024 2024 Guidance Summary – Appendix A 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: • 4.75 Brazil
Slide 56: Mineral Reserve and Mineral Resource Statement – Appendix B
Kinross Gold Corporation May 2024 MINERAL RESERVE AND MINERAL RESOURCE STATEMENT – Appendix B 56
Slide 57: Mineral Reserve and Mineral Resource Statement – Appendix B
Kinross Gold Corporation May 2024 MINERAL RESERVE AND MINERAL RESOURCE STATEMENT – Appendix B 57
Slide 58: Mineral Reserve and Mineral Resource Statement – Appendix B
Kinross Gold Corporation May 2024 MINERAL RESERVE AND MINERAL RESOURCE STATEMENT – Appendix B 58
Slide 59: Notes – Appendix B
Kinross Gold Corporation May 2024 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 ounce. Min
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