Significant increase in earnings and cash flow
Company on track to meet annual guidance for ninth consecutive year

TORONTO, Nov. 04, 2020 (GLOBE NEWSWIRE) -- Kinross Gold Corporation (TSX: K, NYSE: KGC) today announced its results for the third quarter ended September 30, 2020.
(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 page18of this release. All dollar amounts are expressed in U.S. dollars, unless otherwise noted.)

2020 third-quarter highlights:
Q3 2020 results First nine months
2020 results 2020 guidance
(+/- 5%)
Gold equivalent production 1
(ounces) 603,312 1,742,616 2.4 million
Production cost of sales 1 , 2
($ per Au eq. oz.) $737 $738 $720
All-in sustaining cost 1, 2
($ per Au eq. oz.) $958 $978 $970
Capital expenditures $212.1 million $617.8 million $900 million
•Kinross remains on track to meet its original 2020 guidance for production, cost of sales per ounce, all-in sustaining cost per ounce and capital expenditures for the ninth consecutive year, despite impacts from the COVID-19 pandemic.
• Production 1 , 2 of 603,312 attributable gold equivalent ounces (Au eq. oz.), and sales of 588,559 Au eq. oz.
• Production cost of sales 1, 2 of $737 per Au eq. oz. and all-in sustaining cost1,2 of $958 per Au eq. oz. sold, both of which are within the Company’s 2020 guidance range.
• Attributable margin per Au eq. oz. sold3 increased 60% to $1,171 per Au eq. oz. compared with Q3 2019, significantly outpacing the year-over-year 30% increase in the average realized gold price4.
• Operating cash flow more than doubled to $544.1 million, and adjusted operating cash flow2 increased by 86% to $549.6 million, compared with Q3 2019.
• Reported net earnings 5 nearly quadrupled to $240.7 million, or $0.19 per share, and adjusted net earnings2 nearly tripled to $310.2 million, or $0.25 per share, compared with Q3 2019.
• Cash and cash equivalents of $933.5 million and total liquidity of $2.5 billion at September 30, 2020. The Company also further improved its debt metrics, including its net debt to EBITDA ratio.
•Kinross’ Board of Directors declared a quarterly dividend of $0.03 per common share payable on December 10, 2020 to shareholders of record at the close of business on November 25, 2020. The Company also declared a dividend on September 17, 2020 and announced plans to pay a regular quarterly dividend.
•In August 2020, Kinross released its biennial Sustainability Report, highlighting the Company’s strong environmental, social and governance (ESG) record.
•On September 17, 2020, the Company announced a growing three-year production profile, with production expected to increase 20% to 2.9 million Au eq. oz. in 2023.
•On September 30, 2020, Kinross acquired 70% of the Peak project in Alaska. As the project operator, the Company expects to process Peak ore at its Fort Knox mill, benefitting both the project and mine.
•On October 20, 2020, Kinross provided a long-term production outlook, with expected average annual production of 2.5 million Au eq. oz. out to 2029.

CEO c ommentary :
J. Paul Rollinson, President and CEO, made the following comments in relation to 2020 third-quarter results:

“Kinross delivered another strong quarter, generating robust free cash flow and a significant increase in earnings. Our mines continued to perform well as our global teams have effectively managed the operational challenges caused by the COVID-19 pandemic. As a result, we are well on track to meet our annual guidance for production and costs for the ninth consecutive year.

“Year-over-year, our margins grew by 60% to $1,171 per gold ounce sold, which substantially outpaced the 30% increase in the average realized gold price. We also continued to strengthen our investment grade balance sheet and ended the quarter with approximately $935 million in cash and total liquidity of $2.5 billion.

“In September, we were pleased to announce an expected 20% increase in production over the next three years to 2.9 million gold equivalent ounces, along with plans for a quarterly dividend to return capital to our shareholders. We also provided a long-term production outlook which forecasts Kinross producing an average of 2.5 million gold equivalent ounces annually through to 2029.

“Our robust financial position, diverse operating portfolio, attractive project pipeline and successful track record of exploration and project development provides a strong foundation from which to continue building value well into the future.”

TORONTO, Nov. 04, 2020 (GLOBE NEWSWIRE) -- Kinross Gold Corporation (TSX:K; NYSE:KGC) (the “Company”) today announced that the Company’s Board of Directors has declared a dividend of US$0.03 per common share for the third quarter of 2020.
The dividend is payable on December 10, 2020 to shareholders of record as of the close of business on November 25, 2020. This dividend qualifies as an “eligible dividend” for Canadian income tax purposes while dividends paid to shareholders outside Canada (non-resident investors) will be subject to Canadian non-resident withholding taxes.

About Kinross Gold Corporation

Financial results

Summary of financial and operating results
see & read more on
https://www.kinross.com/news-and-investors/news-releases/press-release-details/2020/Kinross-reports-strong-2020-third-quarter-results/