For more information, please see Kinross’ 2022 Q4/year-end Financial Statements and MD&A
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
p. 1 Kinross reports 2022 fourth-quarter and full-year results www.kinross.com
For more information,
please see Kinross’ 2022 Q4/year-end
Financial Statements and MD&A
at www.kinross.com
NEWS RELEASE
Kinross reports 2022 fourth-quarter and full-year results
Portfolio had highest production and lowest costs in Q4
Maintains strong expected production of 2.0 million ounces or above in 2023, 2024 and 2025
Returned $455 million to shareholders in 2022
Toronto, Ontario – February 15, 2023 – Kinross Gold Corporation (TSX: K, NYSE: KGC) (“Kinross” or the
“Company”) today announced its results for the fourth-quarter and year ended December 31, 2022.
This news release contains forward-looking information about expected future events and financial and operating performance of the Company. We refer to the risks and assumptions set out
in our Cautionary Statement on Forward-Looking Information located on page 39 of this release. All dollar amounts are expressed in U.S. dollars, unless otherwise noted.
Results from the Company's Russian and Ghanaian assets have been excluded from its 2022 continuing results, along with 2021 comparative figures, due to the classification of these
assets as discontinued as at December 31, 2022.
2022 Q4 and full-year highlights and outlook:
• Production ramped up quarter -after-quarter, with the strongest production and lowest costs of the year in the
fourth quarter.
• As part of the Great Bear initial resource estimate, the Company has added 2.7 million Au oz. of measured and
indicated mineral resources, and added 2.3 million ounces to its inferred mineral resource. See the Great Bear
news release here: Great Bear Initial Resource news release. View an interactive 3D model here: Great Bear
3D model.
• Tasiast achieved record production in Q4 2022 at lower quarter-over-quarter costs with record grades.
• Paracatu achieved its second highest production quarter on record, driven by high grades and strong recoveries.
• La Coipa production and throughput increased substantially quarter-over-quarter.
• In 2022, Kinross returned $455 million in capital to shareholders consisting of approximately $155 million in
dividends and $300 million as part of its enhanced share buyback program. The Company expects to continue
its dividend and share buyback programs in 2023 and 2024.
• Kinross’ Board of Directors declared a quarterly dividend of $0.03 per common share payable on March 23,
2023 to shareholders of record at the close of business on March 8, 2023.
• Kinross expects to increase production to 2.1 million attributable 1 Au eq. oz. in 2023 and 2024 and
approximately 2 million attributable1 Au eq. oz. in 2025.
2022 Q4 and year-end financial results from continuing operations:
• Production of 595,683 Au eq. oz. in Q4 2022, and 1,957,237 Au eq. oz. in 2022.
• Production cost of sales2 of $848 per Au eq. oz. in Q4 2022, and $937 per Au eq. oz. in 2022.
• All-in sustaining cost3 of $1,236 per Au eq. oz. sold in Q4 2022, and $1,271 per Au eq. oz. sold in 2022.
• Margins4 of $883 per Au eq. oz. sold in Q4 2022, and $856 for 2022.
• Operating cash flow5 of $474.3 million in Q4 2022, and $1,002.5 million in 2022.
• Adjusted operating cash flow3 was $496.1 million in Q4 2022, and $1,256.5 million in 2022.
• Free cash flow3 was $157.5 million in Q4 2022, and $238.3 million in 2022.
• Reported net loss6 of $106.0 million in Q4 20 22, or $0.08 per share, and reported net earnings 6 of $31.9
1 Attributable production guidance includes Kinross' share of Manh Choh (70%) production.
2 “Production cost of sales from continuing operations per equivalent ounce sold” is defined as production cost of sales, as reported on the consolidated
statements of operations, divided by total gold equivalent ounces sold from continuing operations.
3 These figures are non-GAAP financial measures and ratios, as applicable, and are defined and reco nciled on pages 20 to 25 of this news release. Non-GAAP
financial measures and ratios have no standardized meaning under IFRS and therefore, may not be comparable to similar measure s presented by other issuers.
4 “Margins” from continuing operations per equivalent ounce sold is defined as average realized gold price per ounce from continuing operations less prod uction
cost of sales from continuing operations per equivalent ounce sold.
5 Operating cash flow figures in this release represent “Net cash flow of continuing operations provided from operating activities,” as reported on the consolidated
statements of cash flows.
6 Reported net earnings (loss) figures in this release represent “Net earnings (loss) from continuing operations attributable to common shareholders,” as reported
on the consolidated statements of operations.
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
p. 2 Kinross reports 2022 fourth-quarter and full-year results www.kinross.com
million, or $0.02 per share, in 2022.
• Adjusted net earnings3, 7 of $108.2 million, or $0. 09 per share in Q4 2022, and $283.1 million, or $0.22 per
share, in 2022.
• Cash and cash equivalents of $418.1 million, and total liquidity8 of $1.8 billion at December 31, 2022.
Exploration and mineral reserves and resources update:
• Excluding the divestitures, Kinross’ total proven and probable mineral reserve estimates decreased by 7.5%,
or 2.1 million Au oz., to 25.5 million Au oz., primarily driven by depletion.
• Excluding the divestitures, total measured and indicated resource estimates increased by 2%, or 459 Au koz.,
as the new 2.7 million Au resource estimate at Great Bear more than offset cost pressures. Inferred resource
estimates increased by 26% or 2.2 million Au oz. driven by a 2.3 million Au increase at Great Bear.
• Manh Choh added 698 Au koz. to its reserve estimates following the completion of the project feasibility study
in July 2022.
CEO Commentary:
J. Paul Rollinson, President and CEO, made the following comments in relation to 2022 fourth-quarter and year-end results:
“Reflecting on 2022, it was a challenging year with significant change. I am proud of our global team who came
together to address the challenges we faced and am pleased to note that we finished each quarter stronger than
the last. As we have exited from Russia and Ghana, and are developing our Great Bear project in Red Lake, Ontario,
our portfolio is now more weighted in the Americas. We are excited about the Great Bear initial mineral resource
estimate, which we announced earlier this week . We believe we have a world-class development project at Great
Bear and two cornerstone production assets, Tasiast and Paracatu, that together produce over 50 per cent of our
gold.
“We introduced an enhanced share buyback program which, along with our quarterly dividend, saw us return $455
million to shareholders in 2022, which represented about 8 per cent of our market cap. We expect to continue with
our dividend and dynamic buyback program in 2023 and 2024.
“We are proud to be a consistent leader in ESG performance and expect to publish our 2022 Sustainability Report
in May. We strengthened Board oversight of ESG and advanced strategy, awareness and programming across the
Company, focusing on achieving our targets and metrics to maintain our strong performance. In 20 22 we:
• Were awarded the Alaska Miners Association Environmental Stewardship Award for our Abandoned Mine
Restoration initiative.
• Advanced our commitment to diversity, equity and inclusion by working to embed inclusive behaviours into
everyday interactions across the Company.
• Made more than $10 million of monetary and in -kind contributions through site investments , and provided
humanitarian support in Mauritania to help the country manage the impact of extreme weather events.
• Advanced our green energy t argets with the construction of the Tasiast solar plant, which is expected to
come online in the second half of 2023.”
7 Adjusted net earnings figures in this news release represent “Adjusted net earnings from continuing operati ons attributable to common shareholders.”
8 “Total liquidity” is defined as the sum of cash and cash equivalents, as reported on the consolidated balance sheets, and available credit under the Company’s
credit facilities (as calculated in Section 6 Liquidity and Capital Resources of Kinross’ MD&A for the year ended December 31, 2022).
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
p. 3 Kinross reports 2022 fourth-quarter and full-year results www.kinross.com
Financial results
Summary of financial and operating results
(a) Total gold equivalent ounces produced and sold and attributable gold equivalent ounces produced and sold include results from the Kupol, Dvoinoye and Chirano
mines up to their disposal. "Total gold equivalent ounces" includes 100% of Chirano production. "Attributable gold equivalent ounces" includes Kinross' share of
Chirano (90%) production.
(b) “Gold equivalent ounces” include silver ounces produced and sold converted to a gold equivalent based on a ratio of the average spot market prices for the
commodities for each period. The ratio for 2022 was 82.90:1 (2021 – 71.51:1).
(c) On June 15, 2022, the Company announced that it had completed the sale of its Russian operations, which includes the Kupol and Dvoinoye mines and the
Udinsk project. On August 10, 2022, the Company announced that it had completed the sale of its Chirano mine in Ghana. Results for the years ended December
31, 2022 and 2021 are from continuing operations and exclude results from the Company’s Chirano and Russian operations due to the classification of these
operations as discontinued as at December 31, 2022.
(d) The definition and reconciliation of these non-GAAP financial measures and ratios is included on pages 20 to 25 of this news release. Non-GAAP financial
measures and ratios have no standardized meaning under IFRS and therefore, may not be comparable to similar measures presented by other issuers.
(e) “Capital expenditures from continuing operations” is reported as “Additions to property, plant and equipment” on the consolidated statements of cash flows.
(f) “Average realized gold price per ounce from continuing operations” is defined as gold metal sales from continuing operations divided by total gold ounces sold
from continuing operations.
(g) “Production cost of sales from continuing operations per equivalent ounce sold” is defined as production cost of sales divided by total gold equivalent ounces sold
from continuing operations.
(h) “Attributable all-in cost” includes Kinross’ share of Manh Choh (70%) costs.
The following operating and financial result s are based on fourth-quarter and year -end 202 2 gold equivalent
production:
Production: Kinross produced 595,683 Au eq. oz. from continuing operations in Q4 2022, compared with 340,337
Au eq. oz. from continuing operations in Q4 2021.
Over the full year, Kinross produced 1,957,237 Au eq. oz. from continuing operations , largely in line with the
Company’s revised production guidance, compared with full -year 2021 production of 1,447,240 Au eq. oz. from
(in millions of U.S. dollars, except ounces, per share amounts, and per ounce amounts) 2022 2021 2022 2021
Operating Highlights
Total gold equivalent ounces(a)
Produced(b) 595,683 491,077 2,208,453 2,083,016
Sold(b) 620,599 489,710 2,137,936 2,075,738
Attributable gold equivalent ounces(a)
Produced(b) 595,683 487,621 2,200,247 2,067,549
Sold(b) 620,599 486,547 2,129,154 2,060,909
Total gold equivalent ounces from continuing operations(c)
Produced(b) 595,683 340,337 1,957,237 1,447,240
Sold(b) 620,599 342,184 1,927,818 1,446,477
Financial Highlights from Continuing Operations (c)
Metal sales 1,076.2$ 614.9$ 3,455.1$ 2,599.6$
Production cost of sales 526.5$ 304.3$ 1,805.7$ 1,218.3$
Depreciation, depletion and amortization 251.9$ 165.4$ 784.0$ 695.7$
Impairment charges and asset derecognition 350.0$ 144.5$ 350.0$ 144.5$
Operating (loss) earnings (160.1)$ (137.7)$ 117.7$ 72.1$
Net (loss) earnings from continuing operations attributable to common shareholders (106.0)$ (66.2)$ 31.9$ (29.9)$
Basic (loss) earnings per share from continuing operations attributable to common shareholders (0.08)$ (0.05)$ 0.02$ (0.02)$
Diluted (loss) earnings per share from continuing operations attributable to common shareholders (0.08)$ (0.05)$ 0.02$ (0.02)$
Adjusted net earnings from continuing operations attributable to common shareholders(d) 108.2$ 27.4$ 283.1$ 210.8$
Adjusted net earnings from continuing operations per share(d) 0.09$ 0.02$ 0.22$ 0.17$
Net cash flow of continuing operations provided from operating activities 474.3$ 148.0$ 1,002.5$ 695.1$
Adjusted operating cash flow from continuing operations(d) 496.1$ 260.4$ 1,256.5$ 932.1$
Capital expenditures from continuing operations(e) 316.8$ 255.7$ 764.2$ 821.7$
Free cash flow from continuing operations(d) 157.5$ (107.7)$ 238.3$ (126.6)$
Average realized gold price per ounce from continuing operations(f) 1,731$ 1,797$ 1,793$ 1,797$
Production cost of sales from continuing operations per equivalent ounce(b) sold(g) 848$ 889$ 937$ 842$
Production cost of sales from continuing operations per ounce sold on a by-product basis(d) 793$ 882$ 912$ 833$
All-in sustaining cost from continuing operations per ounce sold on a by-product basis(d) 1,203$ 1,482$ 1,255$ 1,238$
All-in sustaining cost from continuing operations per equivalent ounce(b) sold(d) 1,236$ 1,485$ 1,271$ 1,244$
Attributable all-in cost(h) from continuing operations per ounce sold on a by-product basis(d) 1,525$ 1,884$ 1,538$ 1,631$
Attributable all-in cost(h) from continuing operations per equivalent ounce(b) sold(d)
1,540$ 1,883$ 1,545$ 1,632$
Years ended
December 31,
Three months ended
December 31,
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
p. 4 Kinross reports 2022 fourth-quarter and full-year results www.kinross.com
continuing operations. The 35% year-over-year increase was largely a result of higher production at Tasiast due to
the temporary suspension of milling operations in the prior year, and production at La Coipa due to the restart and
ramp-up in the current year.
Average realized gold price: The average realized gold price from continuing operations in Q4 2022 was $1,731
per ounce, compared with $1,797 per ounce in Q4 20 21. For full-year 2022, the average realized gold price per
ounce from continuing operations was $1,793, in line with $1,797 per ounce for full-year 2021.
Revenue: During the fourth quarter, revenue from continuing operations was $1,076.2 million, compared with
$614.9 million during Q4 2021. Revenue from continuing operations was $3,455.1 million for full -year 202 2,
compared with $ 2,599.6 million for full -year 20 21. The 33% year -over-year increase is due to the increase in
production at Tasiast and La Coipa.
Production cost of sales: Production cost of sales from continuing operations per Au eq. oz. sold decreased to
$848 for Q4 2022, compared with $889 in Q4 2021. Production cost of sales 2 from continuing operations per Au
eq. oz. sold was $937 for full-year 2022, compared with $842 per Au eq. oz. for full -year 2021. The increase was
mainly due to inflationary cost pressure on key consumables such as fuel, emulsion and reagents across the
portfolio.
Production cost of sales from continuing operations per Au oz. sold on a by-product basis3 was $793 in Q4 2022
compared with $ 882 in Q4 202 1, based on gold sales of 586,146 ounces and silver sales of 2,820,983 ounces.
Production cost of sales from continuing operations per Au eq. oz. sold on a by-product basis3 was $912 for full-
year 2022, compared with $833 for full-year 2021, based on 2022 gold sales of 1,872,342 ounces and silver sales
of 4,647,415 ounces.
Margins4: Kinross’ margin from continuing operations per Au eq. oz. sold was $883 for Q4 2022, compared with
the Q4 2021 margin of $908. Full-year 2022 margin from continuing operations per Au eq. oz. sold was $856,
compared with $955 for full-year 2021.
All-in sustaining cost 3: All-in sustaining cost from continuing operations per Au eq. oz. sold was $1,236 in Q4
2022, compared with $1,485 in Q4 2021. Full-year all-in sustaining cost from continuing operations per Au eq. oz.
sold was $1,271, compared with $1,244 for full-year 2021.
In Q4 202 2, all-in sustaining cost from continuing operations per Au oz. sold on a by -product basis was $1,203,
compared with $1,482 in Q4 2021. All-in sustaining cost from continuing operations per Au oz. sold on a by-product
basis was $1,255 for full-year 2022, compared with $1,238 in 2021.
Operating cash flow: Operating cash flow from continuing operations was $ 474.3 million for Q4 2022, compared
with $148.0 million for Q4 202 1. Operating cash flow from continuing operations for full-year 2022 was $1,002.5
million, compared with $695.1 million for full-year 2021, primarily due to the increase in gold equivalent ounces sold
arising from higher production.
Adjusted operating cash flow 3 from continuing operations for Q4 2022 was $496.1 million, compared with $ 260.4
million for Q 4 2021. Adjusted operating cash flow 3 from continuing operations for full -year 2022 was $1,256.5
million, compared with $932.1 million in 2021.
Free cash flow 3: Free cash flow from continuing operations was $157.5 million in Q4 202 2, compared with a net
cash outflow of $107.7 million for Q4 2021. For the full year, free cash flow from continuing operations was $238.3
million, compared with a net cash outflow of $126.6 million the previous year . The increase in both periods was
mainly due to an increase in Au eq. oz. sold, insurance recoveries related to the 2021 Tasiast mill fire , and a
reduction in other operating expenses.
Impairment charge: Kinross recorded a non -cash, after -tax impairment charge of $289.3 million at Round
Mountain. The impairment charge is related to changes to the mine plan and slope design, and increased costs
due to inflation.
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
p. 5 Kinross reports 2022 fourth-quarter and full-year results www.kinross.com
Earnings: Reported net loss from continuing operations was $106.0 million for Q4 202 2, or $0. 08 per share,
compared with reported net loss of $66.2 million, or $0. 05 per share, for Q4 202 1. Reported net earnings in full -
year 2022 was $31.9 million, or $0. 02 per share, compared with reported net loss of $29.9 million, or $ 0.02 per
share, in 2021.
Adjusted net earnings3, 7 from continuing operations were $108.2 million, or $0.09 per share, for Q4 2022, compared
with $27.4 million, or $0.02 per share, for Q4 20 21. Full-year adjusted net earnings 3, 7 from continuing operations
were $283.1 million, or $0. 22 per share, compared with $ 210.8 million, or $0. 17 per share, for full -year 20 21,
primarily due to the increase in Au eq. oz. sold.
Capital expenditures: Capital expenditures from continuing operations increased to $316.8 million for Q4 202 2,
compared with $255.7 million for Q4 2021. Capital expenditures from continuing operations for full-year 2022 were
$764.2 million, compared with $ 821.7 million in 2021. The decrease was primarily due to a decrease in capital
stripping at certain sites, partially offset by increased development activities at La Coipa.
Balance sheet
As of December 31, 2022, Kinross had cash and cash equivalents of $418.1 million, compared with $531.5 million
at December 31, 2021.
The Company had additional available credit9 of $1,362.9 million as of December 31, 202 2, and total liquidity 8 of
approximately $1.8 billion.
Return of capital
In 2022, Kinross bolstered its capital allocation strategy through its enhanced share buyback and quarterly
dividend programs. During the past year, Kinross returned $45 5 million in capital to shareholders, consisting of
approximately $15 5 million in dividends and $300 million as part of its share buyback program, an increase of
approximately $200 million compared with the prior year. In 2023 and 2024, the Company expects to maintain its
dynamic share buyback program, which is based on an allocation of excess free cash flow, and baseline dividend
programs while reinvesting in the business and maintaining its investment grade balance sheet.
As part of its continuing quarterly dividend program, the Company declared a dividend of $0.03 per common share
payable on March 23, 2023, to shareholders of record as of March 8, 2023.
Operating results
Mine-by-mine summaries for 2022 fourth-quarter operating results may be found on pages 15 and 19 of this news
release. Highlights include the following:
Tasiast achieved record production and record grades during the quarter . Cost of sales per ounce sold was lower
quarter-over-quarter mainly due to the increase in production and higher year -over-year mainly due to higher
operating waste mined. Full -year production was higher due to the temporary suspension of milling operations in
the prior year. During the quarter, the Company successfully finalized a three-year collective labour agreement at
Tasiast with no interruption to operations.
Paracatu continued to perform well and achieved its second highest production quarter on record, driven by high
grades and strong recoveries. Production for the full-year 2022 increased compared with the previous year largely
due to higher grades and recoveries. Full-year cost of sales per ounce sold increased largely due to inflationary
pressures, partially offset by increased ounces sold. Cost of sales per ounce sold decreased quarter -over-quarter
due to higher production.
Fort Knox full-year production increased year -over-year largely due to increased mill throughput and ounces
9 “Available credit” is defined as available credit under the Company’s credit facilities and is calculated in Section 6 Liquid ity and Capital Resources of Kinross’
MD&A for the year ended December 31, 2022.
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
p. 6 Kinross reports 2022 fourth-quarter and full-year results www.kinross.com
recovered from the heap leach pads , as production from the Barnes Creek heap leach pad ramped up . Full-year
cost of sales per ounce sold increased primarily due to inflationary co st pressures on consumables and higher
contractor costs related to mining the Gil deposit. Q4 2022 was the strongest production quarter of the year at Fort
Knox largely due to more ounces recovered from the Barnes Creek heap leach pad, partially offset by marginally
lower mill grades and recovery. Lower quarter-over-quarter unit costs are mainly due to the increase in production.
At Bald Mountain, full-year production increased compared to 2021 due to an increase in ounces recovered from
the heap leach pads. For the full year, cost of sales per ounce increased year -over-year largely due to inflationary
cost pressures on consumables, partially offset by the increase in ounces sold. Production in Q4 2022 decreased
quarter-over-quarter mainly due to fewer oun ces recovered from the heap leach . Quarter-over-quarter unit costs
were lower primarily due to an increase in ounces sold.
At Round Mountain, full-year production was lower year-over-year, primarily due to the timing of ounces recovered
from the heap leach pads. Cost of sales per ounce sold was higher for the full year mainly due to lower production,
fewer lower-cost ounces recovered from the heap leach pads , and inflationary cost pressures on consumables ,
cyanide in particular. Production and cost of sales per ounce sold were in line quarter-over-quarter.
The Company completed the Round Mountain Optimization program in the third quarter and decided to prioritize
underground opportunities at Phase X and Gold Hill as they show potential for higher -margin, higher -return
operations as compared to the open pit expansions at Phase W3 and Phase S. The Company plans to start
construction of an underground exploration decline at Phase X in the first half of 2023. The Company is continuing
to mine Phase W (W1 and W2) while progressing underground opportunities. The open pit expansion opportunities
at Phase W3 and Phase S remain in reserves and will continue to be optimized and evaluated for potential
exploitation with sustained macroeconomic improvements.
La Coipa poured its first gold in February 2022 and fourth quarter production showed significant quarter -over-
quarter improvement as Q4 throughput ramped up and as mining and processing grades increased. Fourth quarter
gold production has ramped up and exceed ed quarterly forecast levels for 2023. La Coipa has a planned mill
shutdown in February for maintenance work aimed at increasing reliability to sustain throughput. Cost of sales per
ounce sold was higher quarter -over-quarter largely due to higher processin g costs related to maintenance and
contractors.
Development projects
Tasiast
The Tasiast 24k project continues to progress on schedule to reach throughput of 24,000 t/d by mid-year and ramp-
up to operate consistently at design tonnage by the end of the year. The final expansion to the leach circuit is now
complete and has successfully been put in to operation. The plant is currently undergoing a planned shutdown to
allow for the installation of tie ins as part of the work for the 24k project. Civil works are substantially complete and
the mechanical contractor is advancing with the installation of an additional classifying cyclone which is the final
stage in the series of 24k debottlenecking scopes.
The 34MW Tasiast solar power plant continues to advance and remains on schedule for completion in the second
half of 2023. Engineering is focused on d eliverables for integration with existing power infrastructure. Delivery of
materials at site has started and all photovoltaic modules are in transit or have arrived. Construction is underway
and earthworks are ongoing. Mechanical works commenced in early February and electrical works are expected to
commence in early March.
Great Bear
Kinross announced a robust initial mineral resource at the Great Bear project on February 13, 2023. The initial
mineral resource estimate consists of 2.737 Moz. of indicated resources and 2.290 Moz. of inferred resources.
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
p. 7 Kinross reports 2022 fourth-quarter and full-year results www.kinross.com
Read the announcement here: Great Bear Initial Resource news release.
View an interactive 3D model here: Great Bear 3D Model.
Manh Choh
At the 70% owned Manh Choh project, activities remain on schedule and on budget, with the early works program
progressing as planned. Camp refurbishments were completed in advance of the construction season and all long-
lead procurement orders for both the Fort Knox mill modifications and the Manh Choh site have been placed. The
Company has selected an Alaska -based supplier for the life -of-mine ore haul trucking and has also awarded the
contract mining to a company with significant experience working in Alaska . This contract will inc lude initial
construction along with mining and closure activities. Permitting is progressing well and a public comment period is
expected to open in early 2023 regarding the Company’s applications. Kinross continues to focus on safely
advancing the project, listening to stakeholder concerns, and building on relationships with the local communities
and the Native Village of Tetlin.
The Company announced on July 27, 2022, that it was proceeding with the Manh Choh project as the operator of
the joint venture. Initial production from Manh Choh is expected in the second half of 2024 and is expected to add
approximately 640,000 attributable Au eq. oz. to the Company’s production profile over its approximately 4.5 years
life of mine.
Lobo-Marte
Kinross’ activities in Chile are currently focused on La Coipa and opportunities to extend its mine life up to the end
of the decade with the potential of additional pushbacks. The Lobo-Marte project continues to provide optionality
as a potential large, low-cost mine upon the conclusion of mining at La Coipa. While the Company focuses its
technical resources on La Coipa, it will continue to engage and build relationships with communities related to Lobo-
Marte and government stakeholders.
Company Guidance
The following section of the news release represents forward -looking information and users are cautioned that actual results may vary. We refer to the risks and
assumptions contained in the Cautionary Statement on Forward -Looking Information on page 39 of this news release.
This Company Guidance section below and breakdown summarized in Appendix A of this news release references all -in sustaining cost per equivalent ounce sold
and sustaining and non -sustaining capital expenditures, which are non-GAAP ratios and financial measures, as applicable, with no standardized meaning under
IFRS and therefore, may not be comparable to similar measures presented by other issuers. The definitions of these non -GAAP ratios and financial measures and
and comparable reconciliations are included on pages 20 to 25 of this news release.
The Company’s guidance , including commodity price, foreign currency exchange rate assumptions, and a
breakdown of guidance by country, is summarized in Appendix A: Refer to page 32 of this news release.
Production guidance
In 2023, Kinross expects to produce 2.1 million Au eq. oz. (+/ - 5%) from its operations, which is an increase of
approximately 140,000 Au eq. oz. compared with 2022 production. Kinross’ annual production is expected to remain
stable in 2024 and 2025 at 2.1 million and 2.0 million attributable 1 Au eq. oz. (+/- 5%), respectively.
Production is forecasted to be lower in the first quarter of 2023 compared with the rest of the year, mainly as a result
of the current shutdown at Tasiast related to the 24k project, the on-going ramp-up including planned mill shutdown
at La Coipa, and the seasonal impacts on mining at Paracatu and on the Company’s US heap leach operations.
Cost guidance
Production cost of sales is expected to be $970 per Au eq. oz. (+/ - 5%) for 2023. In 2022, production cost of sales
was $937 per Au eq. oz. The moderate year -over-year increase is mainly due to inflationary impacts, including
higher costs for labour and consumables.
Kinross Gold Corporation
25 York Street, 17th Floor
Toronto, ON Canada M5J 2V5
p. 8 Kinross reports 2022 fourth-quarter and full-year results www.kinross.com
The Company expects its all -in sustaining cost 3 to be $1,320 per Au eq. oz. (+/ - 5%) for 2023 . In 2022, all -in
sustaining cost3 was $1,271 per Au eq. oz. sold.
Capital expenditures guidance
Attributable capital expenditures 10 for 2023 are forecast to be approximately $1.0 billion (+/ - 5%) and are
summarized in the table in Appendix A. The capital expenditures guidance is higher than the prior year mainly due
to carryover of capital stripping from 2022 into 2023 across the portfolio, and the advancement of the Manh Choh
project and project studies at Great Bear.
Kinross’ attributable capital expenditures10 outlook for 2024 and 2025 is $850 million and $700 million, respectively,
based on currently approved projects. As Kinross continues to develop and optimize its portfolio for production
beyond 2025 , other projects may be incorporated into it s capital expenditures, as well as potential inflationary
impacts, over the 2023-2024 timeframe.
Other 2023 guidance
The 2023 forecast for exploration11 is $150 million (+/ - 5%), of which approximately $5 million is expected to be
capitalized, and is a $10 million increase from last year’s revised guidance. The exploration program (greenfields
and brownfields) will follow up on 2022’s exploration success, and will focus on Great Be ar, developing the Phase
X exploration drift at Round Mountain, and underground exploration at Curlew Basin.
The 2023 forecast for overhead (general and administrative and business development expenses) is $135
million (+/ - 5%), which is in line with the 2022 results, and approximately $25 million less than the Company’s
previous year guidance primarily as a result of adjustments to Kinross’ regional head office presence to align with
its Americas-focused portfolio following the divestitures in 2022.
Other operating costs expected to be incurred in 2023 are approximately $100 million, which are principally related
to care and maintenance and reclamation.
Tax expense is expected to be $135 million and taxes paid is expected to be $105 million. Adjusting the Brazilian
real and Mauritanian Ouguiya to the respective exchange rates of 5.22 and 36.64 to the U.S. dollar in effect at
December 31, 2022, the tax expense would be expected to be approximately $175 million. Tax expense is expected
to increase by 25% of any profit resulting from higher gold prices. Taxes paid is expected to increase by
approximately $8 million for every $100 movement in the realized gold price.
Depreciation, depletion and amortization is forecast to be approximately $450 per Au eq. oz. sold (+/- 5%).
Interest paid is forecast to be approximately $160 million, which includes approximately $90 million of capitalized
interest.
Environment, Social and Governance
In 2022, Kinross continued its strong ESG performance. ESG is a key factor in the Company’s culture, business
strategy and future growth plans. The Company completed the development of its ESG strategy and strengthened
its ESG governance structure including monthly ESG Executive Committ ee meetings and enhancing Board of
Directors’ oversight with updates to the Board and Committee charter documents and quarterly reports from the
ESG Executive Committee.
Kinross maintained consistently high ratings as measured by S&P CSA, MSCI, Refinitiv , Moody’s ESG, and
Sustainalytics. In The Globe and Mail’s annual Board Games governance rating, Kinross was ranked the highest
10 Attributable capital expenditure guidance includes Kinross’ share of Manh Choh (70%) capital expenditures.
11 Included in 2023 exploration guidance of $150 million are approximately $5 million of capitalized infill drilling costs relat ed to the Great Bear project. These
costs are also included in Great Bear’s approximately $40 million capital guidance. See also Appendix A.