Kinross completes sale of gold assets in Russia for $340 million


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(Kitco News) – Kinross Gold (TSX: K) announced today that it has completed the sale of 100% of its Russian assets to the Highland Gold Mining group of companies for total consideration of $340 million in cash.

Kinross said it received $300 million in US dollar-denominated cash into its corporate account and will receive a deferred payment of $40 million on the first anniversary of closing.

The company added that, as reported on April 5, 2022, the previously agreed total consideration for the transaction was $680 million, which included a payment of $100 million at closing, with the remaining $580 million to be received. in annual payments from 2023 to 2027.

However, according to the company’s statement, the consideration for the transaction was adjusted by the parties after review by the newly formed Russian Foreign Investment Control Subcommittee, which approved this transaction for a purchase price not exceeding not $340 million.

Kinross also noted that with the approval and completion of the sale, the company has divested all of its interests in Russia and has no further obligations or liabilities in the country.

“Following the full divestiture of our Russian operations, Kinross’ rebalanced portfolio maintains a substantial production outlook anchored by its two Tier 1 assets – Tasiast and Paracatu – as well as a strong portfolio of mines in the Americas, growing business in Chile, and the world-class Great Bear Project in Canada,” said President and CEO J. Paul Rollinson.

Kinross is a leading global gold mining company based in Canada with mines and projects in the United States, Brazil, Mauritania, Chile, Ghana and Canada.

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