54 www.resourceworld.com
A U G U S T / S E P T E M B E R 2 0 1 9
MINING
KINROSS GOLD CORP. [K-TSX; KGO-
NYSE] recently tabled strong first
quarter results with all three of its larg-
est operations exceeding expectations.
The company is also busy advancing its
development pipeline. Its Phase W expan-
sion project at Round Mountain and Bald
Mountain Vantage Complex are both near-
ing completion.
For the first quarter of 2019, the
Toronto-based gold producer was on track
to meet its 2019 production guidance esti-
mates by cranking out 606,031 ounces
of gold at an all-in sustaining cost of US
$925/oz. Production costs weighed in at
US $682/oz with operating cash flow of US
$251.6 million.
Kinross reported net earnings of US
$64.7 million, or US $0.05 per share and
had cash or cash equivalents of US $406.9
million and a total liquidity of about US
$1.8 billion at the end of March 31, 2019.
During the comparable quarter last year,
the company posted net earnings of US
$106.1 million, or $0.09 per share, in Q1
2018. The decrease was mainly as a result
of lower operating earnings, partially off
-
set by a decrease in income tax expense.
"We had an excellent first quarter built
on strong operational performance and
disciplined cost management, commented
J. Paul Rollinson, President and CEO. "We
continue to maintain our financial strength
and solid liquidity and are once again well
positioned to deliver on our annual pro
-
duction and cost guidance for the year."
PRODUCTION ASSETS
"Our three largest operations – Paracatu,
Tasiast and Kupol – all exceeded expec-
tations," said Rollinson. Those three
operations produced over 60% of first
quarter production with an average cost of
sales of US $634/oz.
The Paracatu operation in Brazil pro
-
duced 146,776 ounces gold equivalent at
a cost of sales price of $US 648/oz. This
was the second consecutive quarter of
record production and it was attributed to
improved grade control, higher mill effi
-
ciencies, and increased mill through put.
KINROSS GOLD shines
on first quarter results by Thomas Schuster
