Investor Presentaiton
Kinross Gold Corporation
2023 Guidance Summary - Appendix A
Material assumptions used to forecast 2023 production cost of sales are as follows:
•
a gold price of $1,800 per ounce;
a silver price of $20 per ounce;
November 2023
an oil price of $90 per barrel;
foreign exchange rates of:
•
5.0 Brazilian reais to the U.S. dollar;
850 Chilean pesos to the U.S. dollar;
35 Mauritanian Ouguiyas to the U.S. dollar; and
1.30 Canadian dollars to the U.S. dollar;
Taking into account existing currency and oil hedges:
•
•
•
a 10% change in foreign currency exchange rates would be expected to result in an approximate $20 impact on production cost of sales per ounce (8);
specific to the Brazilian real, a 10% change in this exchange rate would be expected to result in an approximate $30 impact on Brazilian production cost of sales per ounce;
specific to the Chilean peso, a 10% change in this exchange rate would be expected to result in an approximate $50 impact on Chilean production cost of sales per ounce;
a $10 per barrel change in the price of oil would be expected to result in an approximate $3 impact on fuel consumption costs on production cost of sales per ounce; and
a $100 change in the price of gold would be expected to result in an approximate $4 impact on production cost of sales per ounce as a result of a change in royalties.
2023 sustaining capital includes the following forecast spending estimates:
•
Mine development:
Mobile equipment:
Mill facilities:
Leach facilities:
Tailings facilities:
$155 million (United States); $25 million (Chile);
$45 million (United States); $60 million (Brazil); $5 million (Chile); $15 million (Mauritania)
$5 million (United States); $40 million (Brazil); $5 million (Chile); $5 million (Mauritania)
$45 million (United States)
$5 million (United States); $55 million (Brazil), $10 million (Mauritania)
2023 non-sustaining capital includes the following forecast spending estimates:
•
Tasiast West Branch stripping:
$165 million
•
Manh Choh (70%)).
$140 million
•
Development and growth projects and studies:
$60 million
•
Great Bear studies (10).
$40 million
ESG projects:
$35 million
KINROSS
(8) Refers to all of the currencies in the countries where the Company has mining operations, fluctuating simultaneously by 10% in the same direction, either
appreciating or depreciating, taking into consideration the impact of hedging and the weighting of each currency within our consolidated cost structure.
(9) Manh Choh non-sustaining capital at 100% is estimated to be approximately $180 million.
(10) Included in 2023 exploration guidance of $150 million are approximately $5 million of capitalized infill drilling costs related to the Great Bear project. These
costs are also included in Great Bear's approximately $40 million capital guidance.
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