dedicated to being world class Denver Gold Forum September 28, 2004 Robert M. Buchan President & Chief Executive Officer

Transcription

1 dedicated to being world class Denver Gold Forum September 28, 2004 Robert M. Buchan President & Chief Executive Officer

2 Forward Looking Statement Certain statements set forth in this presentation constitute "forward looking statements" within the meaning of the United States Private Securities Litigation Reform Act of Such statements involve risks, uncertainties and other factors that may cause the actual results, performance or achievements to differ from those expressed or implied by such forward looking statements. Such risks and uncertainties are described in periodic filings made by Kinross Gold Corporation with the U.S. Securities and Exchange Commission and Canadian provincial securities regulatory authorities. All dollar amounts used throughout this presentation are expressed in US dollars, unless otherwise noted.

3 Why Kinross? Very liquid senior gold producer Strong balance sheet Total cash costs similar to other senior gold producers No gold hedging Experienced management team Part of S&P TSX 60, S&P TSX Capped Gold Index, XAU Index, HUI Index

4 Kinross at a Glance Key Facts Senior gold producer, 2004 gold equivalent production of 1.7 million $230 total cash cost ~3,600 employees in 6 countries Debt free Key Attributes Excellent spread of geopolitical risk Modern, low cost asset base Exciting pipeline of development projects and exploration targets

5 Highly liquid, undervalued stock Glamis Price / NAV Meridian Cambior Barrick Placer Goldcorp Newmont 1.5 Kinross % 0.3% 0.4% 0.5% 0.6% 0.7% 0.8% 0.9% 1.0% Liquidity

6 Kinross Today Kinross is now a major gold producer, focused in the Americas Concerns addressed: Financial leverage strong balance sheet

7 Balance Sheet (at December 31, 1999) Assets Liabilities $ millions $ millions Cash Current liabilities 50.5 Other working capital Property, plant and equipment Total debt Other long term assets 34.7 Site restoration costs 58.5 Future Taxes 7.3 Common Shareholders Equity Total assets Total Liabilities 882.4

8 Balance Sheet (at June 30, 2004) Assets Liabilities $ millions $ millions Cash Current liabilities 79.6 Other working capital Property, plant and equipment Total debt 31.5 Goodwill Site restoration costs Other long term assets 51.7 Future taxes 52.4 Common shareholders equity 1,828.3 Total assets 2,120.2 Total Liabilities 2,120.2

9 From Net Debt to Net Cash $ millions ~$478M E Estimated net cash at year end 2004

10 Kinross Today Kinross is now a major gold producer, focused in the Americas Concerns addressed: Financial leverage strong balance sheet Cash costs comparable to other North American seniors

11 Total Cash Costs 400 How Kinross has improved relative to other producers over time? Total Cash Costs 2000 Total Cash Costs 2004E US dollars Harmony Anglo Placer Kinross Newmont Cambior Barrick Glamis Goldcorp Agnico Eagle Meridian

12 Kinross Today Kinross is now a major gold producer, focused in the Americas Concerns addressed: Financial leverage strong balance sheet Cash costs comparable to other North American seniors Deliver on production and cost targets

13 Deliverables Production - Budget Production - Actual 000s gold equivalent ounces Q Q Q Q Q Q Q3 2004E Q4 2004E

14 Kinross Today Kinross is now a major gold producer, focused in the Americas Concerns addressed: Financial leverage strong balance sheet Cash costs comparable to other North American seniors Deliver on production and cost targets Reserve life increasing year over year

15 Low Price/NAV due to short mine life? Source: Merrill Lynch Reserve mine life Price/NAV Years Price / NAV multiple Harmony Barrick Agnico Eagle Placer Glamis Anglo Meridian Newmont GoldCorp Kinross Cambior 0

16 Reserve Replacement (1.8) Millions of ounces Dec-02 Depletion New Discoveries 31-Dec-03

17 Reserve Replacement 2004E (2.1) Millions of ounces Dec-03 ($325) Depletion New Discoveries Acquisitions Gold Price 31-Dec-04E ($350)

18 Reserve Growth (excluding production) Estimated New 2P Reserves To Be Added in 2004 Gurupi Buckhorn Fort Knox Kubaka PJV Round Mtn La Coipa Musselwhite Crixas Blanket Lupin Kettle River Reserve Ounces (000's)

19 Reserve Growth 2005 Round Mountain Fort Knox Kettle River Paracatu

20 Round Mountain Area 0.5 Mile 1 Deep Vein Target N $350 Pit Outline Mt. Jefferson Caldera Margin Target Gold Hill Mine South Gold Hill Target Mt. Jefferson Caldera Mt Jefferson Caldera Margin Fault Dry Canyon Caldera Fa ul t Margin Fault Ra ng ef ro nt 0 Dry Canyon Caldera Jefferson District Round Mountain Mine

21 Gold Hill Exploration Concepts A A Current Reserve Pit Sinter Basins Midas-style veins Caldera Margin Mineralization Sediment hosted gold 1000 Resource > opt Au Mt Jefferson Caldera Margin Resource is open towards the South-West and at Depth

22 Round Mountain / Gold Hill Deep HG Feeder Target S325 Pit Outline Mt Jefferson Caldera Margin Target Quaternary Cover Mt. Jefferson Caldera East Surprise Target South Gold Hill Target Completed drilling Q2 Proposed drilling Caldera boundary Fault half mile

23 Round Mountain Pit Expansion Ultimate Pit Current Pit Crest Potential Pit Expansion 1000

24 Fort Knox Drill Targets A South SECTION 10,600 E Looking West A' North Ultimate Pit Current Pit FFC OPT Au OPT Au Pit Expansion Target 0.16 OPT Au 0.18 OPT Au 0.45 OPT Au 0.33 OPT Au 0.09 OPT Au 0.20 OPT Au 0.11 OPT Au E X P L A N A T I O N Mineralized Shear > Au opt Drill Intercept > Au opt Granite Schist SCALE 1,000 FT FORT KNOX MINE SECTION 10,600 E PIT EXPANSION TARGET

25 Kettle River North Emanuel Creek 4500 E 5000 E SURFACE DRILL SITES 5500 E 6000 E EMANUEL NORTH 2004 EXPLORATION DRILLING PLAN MAP ENS04-01 thru ENS / / / / N EXPLANATION Mineralized Zone 45 / Surface Projection N A-A (47,000 N) 79.8 / / N 2004 Drill Hole Trace 2004 Planned Drill Hole Drill Hole Trace 53.9 / / / / / 0.20t 10.0 / Intervals > 0.2 Au opt N 17.0 / / N 4500 E 10.0 / 2.05 B-B 860 North Drill Station 5500 E 41.3 / / E 37.7 / / / SCALE 500 FT EN04-01 thru EN04-08

26 Paracatu, Cross Section Looking N30 W m surface WATER TABLE 700m Hydrothermally Altered Ore Zone Mt TARGET SAG EXPANSION (161Mt) CURRENT PIT LIMIT (369Mt) Phyllite 500m 1000 metres Existing drill hole Lower Pyrrhotite Ore Horizon B2 Calha Ore As >2,500 ppm

27 Kinross Today Kinross is now a major gold producer, focused in the Americas Concerns addressed: Financial leverage strong balance sheet Cash costs comparable to other North American seniors Deliver on production and cost targets Reserve life increasing year over year

28 Current Project Pipeline Refugio Pamour Birkachan Exploration Pre-feasibility Feasibility Construction Production Paracatu Exp. Puren Gurupi Gold Hill PQ Deeps Emanuel North Forquilha Sul Round Mtn Exp. Measured & Indicated Resources Proven & Probable Reserves Progress January 03 to September 04 New Discovery Pending Acquisition Round Mtn U/G South Gold Hill Buckhorn

29 Cash Flow Supporting Capex Cash flow Capex Millions US dollars E

30 2004 Capex Summary Millions US dollars Refugio Fort Knox Porcupine Kubaka Round Mountain Project Sustaining Other

31 2004 Capex Fort Knox Investment - $74 million over three years to complete pit laybacks on phase 5 and phase 6 of mine plan Liberates 1.4 million oz of gold to be produced in timeframe Porcupine Investment $33 million spread over to bring Pamour mine into operation Ensures adequate mill feed for the 15,000 tpd mill

32 2004 Capex Refugio $56 million (Kinross share) to retrofit and restart plant that has been idle since 2001 Produce 210,000 to 230,000 oz/year (100% $220 to $240

33 Summary Strong balance sheet Total cash costs similar to other senior gold producers Meet or exceed production targets Reserve concern being addressed

34 dedicated to being world class Shares outstanding: million KGC: NYSE K: TSX K.U: TSX (US dollar trading symbol) K.WT: TSX Kinross Gold Corporation 40 King Street West, 52 nd Floor Scotia Plaza Toronto, ON M5H 3Y