Kinross Gold Corporation · TSX:K
Kinross Gold — Q3 2021 Earnings Presentation
20 slides from Kinross Gold's earnings presentation, Nov 11, 2021
Slide 1: Third Quarter 2021 Results
Third Quarter 2021 Results November 11, 2021 Delivering Value. Kinross Gold Corporation
Slide 2: Cautionary Statement on Forward-Looking Information
Third Quarter 2021 November 11, 2021 Cautionary Statement on Forward-Looking Information All statements, other than statements of historical fact, contained or incorporated by reference in or made in this presentation, including but not limited to any information as to the future performance of Kinr
Slide 3: Back on Track
Back on Track Portfolio Tasiast mill running and well-positioned 24k project on schedule for the future Growing production and Continuing to see free cash flow expected return to normal over the coming years across our operations 3
Slide 4: Tasiast Mill Restarted
Tasiast Mill Restarted Mill is running Repairs completed below cost estimate On track to achieve 21ktpd throughput by end of Q1 2022 4
Slide 5: Positive Study Results
Positive Study Results Udinsk Lobo-Marte Pre-Feasibility Study Feasibility Study Reaffirms low-risk, Reaffirms high-return project key parameters Adds 3 million Au oz. to Offers long-term growth probable reserves(i) optionality Feasibility study results Potential next mine in expected in H2 2022 Chi
Slide 6: Third Quarter Highlights
Third Quarter Highlights As expected, remain on plan for annual guidance ~483,000 Au eq. oz. production with strong margins On track with share buyback to enhance return of capital Established ESG Executive Committee 6
Slide 7: Financial Results
Financial Results 7
Slide 8: Third Quarter Results
Third Quarter 2021 November 11, 2021 Third Quarter Results On track to meet annual guidance Q3 2021 YTD 2021 2021 Guidance Results Results (+/- 5%) Production 483,060 1.6 million 2.1 million(i) (Attributable Au eq. oz.)(1) Cost of Sales $870 $816 $830(ii) (per Au eq. oz. sold)(1,2) All-in Sustaining
Slide 9: Inflationary Pressures
Third Quarter 2021 November 11, 2021 Inflationary Pressures Input costs and supply chain tightness affecting our cost structure Inputs Direct Cost Drivers Estimated Impacts Ground support Grinding media Steel OPEX Power costs ~5% going forward Fuel Power Explosives Lubricants ANNUAL CAPEX Chemicals
Slide 10: Strong Liquidity & Financial Flexibility
Third Quarter 2021 November 11, 2021 Strong Liquidity & Financial Flexibility Well-positioned to further strengthen our balance sheet next year Liquidity Position Financial Flexibility • Available liquidity of ~$2.1 billion, including $586 million of cash and cash equivalents • Generated $39 million
Slide 11: Operating Results
Operating Results 11
Slide 12: Tasiast
Third Quarter 2021 November 11, 2021 Tasiast Mill up and running; focused on achieving sustained pre-fire throughput levels • Trommel and other key items installed in October • Expect to exit the year at throughput rates of ~18ktpd with production of ~15,000 ounces in Q4 • Mill repair costs of $20 m
Slide 13: Round Mountain
Third Quarter 2021 November 11, 2021 Round Mountain Optimization study, including Phase S, on schedule to be complete in Q2 2022 • Geotechnical analysis advancing well o Expected to provide data on ultimate slope angle, step outs or berms o Study has not presented any significant surprises • Complet
Slide 14: Udinsk PFS Results
Third Quarter 2021 November 11, 2021 Udinsk PFS Results Confirms project’s expected strong returns; 3 million ounces converted from resources to reserves(i) Kinross Estimate $1,200/oz. $1,500/oz. $1,800/oz. Metric (reserve price) (Approximate) IRR(iv)(v) 11% 20% 27% Life of mine production (Au eq. o
Slide 15: Lobo-Marte FS Results
Third Quarter 2021 November 11, 2021 Lobo-Marte FS Results Study confirms project’s key parameters; increase to reserves by 300,000 ounces and resources by 600,000 ounces compared to PFS(i) Kinross Estimate $1,200/oz. $1,500/oz. $1,800/oz. Metric (reserve price) (Approximate) Life of mine production
Slide 16: Kinross Investment Case
Kinross Investment Case Operational Excellence Financial Strength & Flexibility Diverse portfolio of mines consistently meeting Maintaining a strong balance sheet continues to or outperforming operational targets be a priority objective 9 Available liquidity of ~$2.1 billion Met or exceeded Attracti
Slide 17: Appendix
IX Append KINROSS
Slide 18: Mineral Reserve and Resource Statements Notes
Third Quarter 2021 November 11, 2021 Mineral Reserve and Resource Statements Notes (1) Unless otherwise noted, the Company’s mineral reserves are estimated using appropriate cut-off grades based on an assumed gold price of $1,200 per ounce. Mineral reserves are estimated using appropriate process re
Slide 19: Endnotes
Third Quarter 2021 November 11, 2021 Endnotes 1. Unless otherwise noted, gold equivalent production, gold equivalent ounces sold, production cost of sales, all-in sustaining cost figures and attributable margin in this presentation are based on Kinross’ 90% share of Chirano production and costs and
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