Proactiveinvestors recommends
Additional Information
Market: TSX
Sector: Gold Mining
EPIC: K
Latest Price: 5.77  (-1.62% Descending)
52-week High: 10.88
52-week Low: 5.13
Market Cap: 6,581.69M
1 year chart
digital-look imported chart image
1 day chart
digital-look imported chart image
Kinross Gold
www.kinross.com

Kinross Gold Corporation was established in 1993 and has since grown to become the third largest primary gold producer in North America by reserves.  Based in Canada, with nine mines in stable countries including the United States, Brazil, Chile and Russia, Kinross employs more than 5,000 people worldwide

Full Kinross Gold profile here
Pdf

Kinross Gold invests $600 million in Red Back Mining

5th May 2010, 1:06 pm
Kinross Gold invests $600 million in Red Back Mining

By Dorothy Kosich, Mineweb.com

Kinross Gold Tuesday said it had made a private placement of 24 million common shares of Red Back Mining for a 9.4% interest in the West Africa gold miner. The aggregate total purchase price is Cdn$600 million (US$584.5mn) at a price of C$25 per common share.

Red Back currently operates the Tasiast Gold Mine in Mauritania and the Chirano Gold Mine in Ghana. The company expects to mine 485,000 to 525,000 ounces of gold this year.

Meanwhile, Kinross has reported a 38% increase in adjusted net earnings, as well as a 23% increase in metals sales for the first quarter of this year.

The Toronto-based gold miner expects to produce 2.2 million GEO this year and reported 544,134 ounces of gold equivalent production during the first quarter, a 3% increase over a year ago.

A total of 592,464 GEO were produced during the first three months of this year, up slightly from 591,169 GEO a year ago. Kinross reported 571,622 ounces of gold (up 6% from 1Q09) and 3,087,000 ounces of silver (down 17% from 1Q09) were sold during the first quarter

Kinross has also increased its 2010 capex estimate by $40 million to $590 million, along with increasing its planned exploration budget from $79 million to $97 million, primarily reflecting forecast 2010 exploration expenses at the White Gold project.

Metals sales were reported at $657.6 million during the first quarter of the year, a 23% increase over the $532.7 million reported during the first quarter of 2009. Production for the first-quarter 2009 includes production increases at Fort Knox, Paracatu and Kettle River-Buckthorn. These production increases were offset by lower production at Kupol due to lower grades, which are consistent with the mine plan, and lower production in Chile.

Net earnings for the first quarter of 2010 were $110.6 million or 16-cents per share compared with net earnings of $76.5 million or 11-cents per share for the first-quarter 2009. The sale of one-half of Kinross's interest in the Cerro Casale project impacted first-quarter 2010 net earnings, along with lower interest expenses due primarily to lower debt.

Adjusted net earnings were $97.4 million or 14-cents per share during the first quarter of the year, a 38% increase from the adjusted net earnings of $70.7 million or 10-cents/sh.

No investment advice


Proactive Investors North America Inc, trades as "Proactiveinvestors USA & Canada".


You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.


You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.


From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.


You understand that we may be providing advertising and/or marketing services to companies mentioned on the site. A full list of companies that are paying for services from us, or our affiliated companies in the UK and Australia can be viewed here