On September 18, 2017, Kinross announced that it will be proceeding with the Phase Two expansion at Tasiast and the Phase W expansion at Round Mountain. This announcement is a key milestone for the Company and opens a new chapter as we invest in our long-term future growth.
More details on the announcement can be found here in our news release.
Watch CEO J. Paul Rollinson’s interviews on Canada’s Business News Network (BNN) and on the U.S. Bloomberg TV station as he discusses the announcement.
The Tasiast Phase Two expansion confirms the significant potential of Tasiast, which is expected to transform into a large, world-class mine with low costs and strong cash flow. Phase Two is expected to increase mill capacity to 30,000 t/d and double annual production compared with Phase One estimates, and substantially lower costs.
The first five years of Phase Two mining is forecast to produce more than 800,000 gold ounces per year at a low cost of sales of $440 per ounce. Commercial production from Phase Two is expected in Q3 2020. With the Phase One expansion proceeding as planned, we are in a solid position to undertake this next phase of the mine’s expansion.
The Round Mountain Phase W project expects to add approximately 1.5 million gold ounces to the life of mine and extend mining by five years at one of our most consistent operations located in one of the best mining jurisdictions in the world. The project includes a layback of the existing pit, construction of a new heap leach and CIC plant, and relocation of some infrastructure.
Our disciplined approach and technical excellence have allowed us to optimize these two organic projects to generate robust returns and decrease execution risk, while success in maintaining a strong balance sheet puts us in an excellent position to finance the projects.
The projects also underscore our deep technical bench strength and are as a result of the hard work and dedication of all Kinross employees.