TORONTO - Kinross Gold Corp. [K-TSX; KGC-NYSE] 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. All dollar amounts are expressed in United States dollars, unless otherwise noted. Kinross has received $300-million in its corporate account and will receive a deferred payment of $40-million on the one-year anniversary of closing.
As disclosed on April 5, 2022, the previously agreed total consideration for the transaction was $680-million, which included a payment of $100-million upon closing, with the remaining $580-million scheduled to be received in annual payments from 2023 through to 2027. The transaction consideration was adjusted by the parties following review by the recently formed Russian subcommission on the Control of Foreign Investments, which approved this transaction for a purchase price not exceeding $340-million. With the approval and completion of the sale, Kinross has divested all of its interests in Russia and has no further obligations or liabilities in the country.
"After the completed divestment of our Russian business, Kinross' rebalanced portfolio maintains a substantial production outlook anchored by its two tier one assets - Tasiast and Paracatu - as well as a strong portfolio of mines in the Americas, a growing business in Chile, and the large, world-class Great Bear project in Canada," said J. Paul Rollinson, Kinross's president and ceo. "We would like to thank our Russian work force for their dedication, professionalism and hard work. Their ongoing commitment to safety and the environment, especially during the transition of our business in the country, has been commendable."
Kinross is a Canadian-based global senior gold mining company with mines and projects in the United States, Brazil, Mauritania, Chile, Ghana and Canada.