Kinross Gold First Quarter 2026 U.S. Projects Update Conference Call Summary Company Overview - **Company**: Kinross Gold - **Focus**: Update on U.S. projects including Round Mountain Phase X, Kettle River Curlew, and Bald Mountain Redbird II Core Industry Insights - **Gold Mining Industry**: The company is focusing on low-cost structures and high-grade mining opportunities to enhance production and offset inflationary pressures Key Points and Arguments Project Updates - **Investment in Growth Projects**: Kinross Gold is advancing three new growth projects in the U.S. to construction, driven by positive exploration results and robust project studies [4][5] - **Production Goals**: The projects are expected to maintain a production profile of 2 million ounces through the end of the decade, with potential to deliver up to 400,000 ounces per year [6][10] - **Phase X at Round Mountain**: - Expected average annual production of approximately 140,000 ounces, extending operations through 2038 [9][21] - Initial capital investment of $400 million with an AISC of $1,680 per ounce, NPV of $1.9 billion, and IRR of 67% at $4,300 gold [13][10] - **Curlew Project**: - Expected average production of 100,000 ounces per year for the first five years, with a total expected production of approximately 940,000 ounces over an initial 11-year mine life [32][30] - Initial capital costs estimated at $485 million, with a projected NPV of $1.2 billion and IRR of 44% at $4,300 gold [30][29] Economic Metrics - **All-in Sustaining Costs (AISC)**: Average AISC for the projects is $1,650 per ounce, with strong margins and quick paybacks of less than two years [10] - **Net Present Value (NPV) and Internal Rate of Return (IRR)**: Combined NPV of $4.1 billion and IRR of 55% at $4,300 gold, resilient at lower gold prices [10] Strategic Advantages - **Resource Base**: The company has a substantial resource base that provides excellent optionality at current gold prices, with significant exploration potential to extend production beyond current estimates [6][25] - **Transition to Underground Mining**: The transition to underground mining at Round Mountain is expected to maximize value by focusing on higher-grade ore, resulting in a significant increase in the overall resource grade [22][23] Operational Execution - **Funding Development**: Development will be funded through cash flow from existing operations, with a focus on consistent operational execution and strong financial performance [7][8] - **Workforce Management**: The company is using contractors for initial development to de-risk the ramp-up and is concurrently building an internal workforce to ensure smooth transitions [44][46] Permitting and Regulatory Considerations - **Permitting Status**: Most permits are in place, with minor actions expected to be completed without issues. The company is confident in its permitting strategy for both Round Mountain and Curlew [42][43] Exploration Potential - **Future Growth**: Ongoing exploration at both Phase X and Curlew shows potential for resource extensions, which could enhance production profiles and mine life beyond current estimates [26][31] Additional Important Insights - **Historical Context**: The Kettle River Mill has a history of producing 2.8 million ounces and is positioned for a restart, leveraging existing infrastructure [28] - **Technical Expertise**: The company has a strong technical team with extensive underground mining experience, which is crucial for the successful execution of the projects [50][59] This summary encapsulates the key points discussed during the conference call, highlighting Kinross Gold's strategic initiatives, project updates, economic metrics, and operational strategies in the gold mining industry.