Kinross Gold Corporation · TSX:K
Kinross Gold — Bank of America Merrill Lynch Global Metals & Mining Conference 2009
22 slides from Kinross Gold's conference presentation, May 13, 2009
Slide 1: Delivering Disciplined Growth
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Delivering Disciplined Growth Bank of America Merrill Lynch Global Metals & Mining Conference – May 12 – 13th, 2009 Cautionary statement on forward-looking information All statements, other tha
Slide 2: Why Kinross?
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Why Kinross? 1. Growing margins, growing cash flows Kinross today: • Portfolio of 8 operating mines o Production rising, costs declining o Higher cash margins and CFPS(3) • Policy of no gold-he
Slide 3: Declining World Production
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Declining World Production 3000 2001: Peak Production 2500 Other 2000 Big Four* Tonnes 1500 1000 500 0 1969 1974 1979 1984 1989 1994 1999 2004 * South Africa, United States, Australia, Canada K
Slide 4: Focused portfolio of 8 operating mines in 4 countries
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Focused portfolio of 8 operating mines in 4 countries Operating Mines in Four Key Regions: Chile USA • Maricunga • Fort Knox • La Coipa • Kettle River – Buckhorn • Round Mountain Brazil Russia
Slide 5: Growing production & declining costs
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Growing production & declining costs Production (mm oz.) Cost of Sales ($/oz.)(2) 2.4 – 2.5 $421 1.8 $390 - $420 1.6 $368 (1) (1) 2007 2008 2009e 2007 2008 2009e KINROSS GOLD CORPORATION (1) Pl
Slide 6: Kinross margins expanding
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Kinross margins expanding • Average realized gold price is up 180% • Kinross’ cost of sales margin(5) up 355% $478 $436 Up 355% Cost off Sales($/oz) Margin $329 $279 $161 $170 $135 $105 FY'02 F
Slide 7: Strong financial & operating results
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Strong financial & operating results • Record production & revenue in 2008 • Q1’09 CFPS: $0.32 • CFPS 5 yr CAGR: 20%* • Growing reserves and resources *Based on full year-end results 2003 - 200
Slide 8: Growing cash flow per share
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Growing cash flow per share Q1’09 vs. Q1’08: • Cash flow per doubled $1.01 • Gold price down 3% $0.80 $0.56 $0.51 $0.45 $0.41 $0.32 $0.16 FY'03 FY'04 FY'05 FY'06 FY'07 FY'08 Q1'08 Q1'09 *before
Slide 9: Global production by region
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Global production by region Assets acquired: Brazil – Paracatu Chile – Maricunga, La Coipa, Cerro Casale, Lobo-Marte Latin America Ecuador – Fruta del Norte Russia – Kupol Asia North America -
Slide 10: Pipeline of projects for the future
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Pipeline of projects for the future • Expansions being completed in ‘09 • Further organic growth at our mines • Advancing next suite of projects • Exploration & JV strategies 19 Lobo-Marte La C
Slide 11: Lobo-Marte / Fruta del Norte
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Lobo-Marte • Project parameters under consideration o Phase 1: Truck 2.4 g/t ore to La Coipa mill o Phase 2: 40 – 50k tpd heap leach operation o SART plant to increase recoveries • Recent miles
Slide 12: Fruta del Norte / Condor
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Fruta del Norte / Condor • 2009 spending: FDN o Fruta del Norte: $25 mm o Condor project exploration: $10 mm • Exploration Plan: o Exploration of FDN basin and Pull-apart Condor trend to identi
Slide 13: Cerro Casale and project pipeline
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Cerro Casale La Coipa (2P: 1.06 g/t) • Project parameters under consideration: o Open-pit mine with 18 yr. mine life Lobo-Marte ~110 km o 220 Mt/a ore processing plant and a 37 Mt/a (M&I: 1.72
Slide 14: Current mines: growth projects
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Current mines: growth projects Maricunga, Chile - Expansion o Scoping study completed late 2008 o Expanded throughput could double production o Pre-feasibility expected at end of 2009 La Coipa,
Slide 15: Merrill Lynch: 2009e gold-only cash costs
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Merrill Lynch: 2009e gold-only cash costs $452 $436 $415 $411 ABX NEM GG KGC KINROSS GOLD CORPORATION Source: Merrill Lynch research – May 5, 2009 MAY 2009 29 Merrill Lynch: P / CFPS & P / NAV
Slide 16: Kinross Key Objectives for 2009
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Kinross Key Objectives for 2009 9 Complete Aurelian integration 9 Close Lobo-Marte acquisition from Teck 9 Lock-in significant g share of input p costs 9 Strengthen liquidity: close $41
Slide 17: Endnotes
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Endnotes (1) For more information regarding Kinross’ production outlook for 2009, please refer to the press release dated January 7, 2009 available on our website at www.kinross.com. (2) Cost o
Slide 18: Paracatu, Brazil (100%) / Crixas, Brazil (50%)
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Paracatu, Brazil (100%) • Expansion to triple throughput to 60 mtpa • Expected to reach full capacity Q2’09 • Mine life out to 2041 Operating Results Operating Production Cost of Sales Results
Slide 19: Maricunga, Chile (100%) / La Coipa, Chile (100%)
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Maricunga, Chile (100%) • In the highly prospective Maricunga District • Open pit, heap leach operation • Pre-stripping of Pancho pit begins (March) Operating Results Operating Production Cost
Slide 20: Kupol, Russia (75%) / Fort Knox, USA (100%)
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Kupol, Russia (75%) • 3,000 tpd mill with open-pit and underground operation • 2009 to be first full year of production Operating Results Operating Production Cost of Sales Results (Au eq. oz.)
Slide 21: Round Mountain, USA (50%) / Kettle River, USA (100%)
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 Round Mountain, USA (50%) • Kinross-operated JV with Barrick • Located in Nevada, USA • Open pit mine Operating Results Operating Production Cost of Sales Results (Au eq. oz.) ($/oz.) Q1’09 50,
Slide 22: Kinross Gold Corporation
Kinross Gold Corporation Bank of America Merrill Lynch Global Mining & Metals Conference May 12-13th, 2009 KINROSS GOLD CORPORATION MAY 2009 22
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