Kinross Gold Stock Price, News & Analysis

Kinross Gold Corporation (KGC) has entered into a definitive agreement to sell its Russian assets to Highland Gold Mining for $680 million in cash. The deal includes $400 million for the Kupol mine, with payments structured over the next few years, and $280 million for the Udinsk project. The deferred payments are secured by a comprehensive package of guarantees. The transaction is pending approval from the Russian government. This move is significant as it marks Kinross's exit from Russia amidst ongoing geopolitical tensions.

Kinross Gold Corporation announced a transition plan to divest its Russian assets following the ongoing geopolitical situation. Currently, the company is in exclusive negotiations with a third-party mining firm to sell 100% of its Russian operations, pending government approval. Despite the ongoing operations to maintain assets, the parent company will not receive financial benefit during this transition. Kinross plans to treat these assets as held for sale from an accounting viewpoint until the sale is finalized, and will provide updates to its guidance as necessary.

Kinross Gold Corporation announced a significant milestone with the pour of its first gold bar at the La Coipa project in Chile. The project started commissioning in February 2022 and is expected to reach full capacity by mid-year, remaining under budget. La Coipa's life of mine production has increased by 45%, now estimated at approximately 1 million Au eq. oz., extending its life from 2024 to 2026. Additionally, the company has committed to 100% renewable energy for the project, aligning with its emissions reduction strategy.

Kinross Gold Corporation announced the arrangement of a new US$1.0 billion term loan to enhance its financial position. The loan, with a three-year term maturing on March 7, 2025, features no mandatory amortization payments and a flexible repayment schedule.

The proceeds will be used to repay amounts drawn under its US$1.5 billion revolving credit facility related to the acquisition of Great Bear Resources Ltd. This strategic financing aims to solidify Kinross's balance sheet and operational capabilities.

KGC announced a donation of $1,000,000 to the Canadian Red Cross to assist in the Ukraine humanitarian crisis. Due to safety concerns, the company is suspending all activities at its Udinsk development project and is in the process of suspending operations at its Kupol mine, which employs over 2,000 people. Kinross emphasizes its commitment to adhere to all relevant sanctions and legal restrictions.

The acquisition of Great Bear Resources by Kinross Gold Corporation has been successfully completed, marking a key milestone in Kinross's growth strategy. Great Bear shareholders had options to receive either C$29.00 cash or 3.8564 Kinross shares per share, with a total payment of approximately C$1.35 billion planned. Kinross aims to enhance the asset’s potential with a drilling commitment of 200,000 meters this year. The arrangement includes contingent value rights tied to future gold reserves. Great Bear's shares will be delisted from the TSX Venture Exchange on February 25, 2022.

Kinross Gold Corporation (TSX:K; NYSE:KGC) announced a dividend of US$0.03 per common share for Q4 2021. The dividend is payable on March 24, 2022, to shareholders of record as of the close of business on March 9, 2022. This dividend qualifies as an eligible dividend for Canadian income tax, while non-resident investors will face withholding taxes. Kinross focuses on operational excellence and disciplined growth, with mines in the US, Brazil, Russia, Mauritania, Chile, and Ghana.