(Source: MARKET WIRE)
Kinross Gold Corporation ("Kinross") (TSX: K)(NYSE: KGC) announced today that it has completed its acquisition of a 40% interest in Minera Santa Rosa SCM ("Minera") from certain subsidiaries of Anglo American plc ("Anglo") for an aggregate purchase price of US$140 million. Minera owns 100% of the Lobo-Marte gold project located in the Maricunga district of northern Chile, roughly midway between Kinross' Maricunga and La Coipa mines.
As announced on November 20, 2008, Kinross has also entered into a separate agreement with Teck Cominco Limited ("Teck") pursuant to which Kinross will acquire the remaining 60% interest in Minera for approximately 5.6 million common shares of Kinross, plus a net cash payment of approximately US$40 million and a 1.75% net smelter returns royalty on 60% of future production, payable when the gold price is US$760 per ounce or more. Kinross expects the purchase from Teck to be completed before the end of 2008.
About Kinross
Kinross is a Canadian-based gold mining company with mines and projects in the United States, Brazil, Chile, Ecuador and Russia, and employs approximately 5,500 people worldwide. Kinross' strategic focus is to maximize net asset value and cash flow per share through a four-point plan built on: generating growth from core operations; expanding capacity for the future; attracting and retaining the best people in the industry; and driving new opportunities through exploration and acquisition. Kinross maintains listings on the Toronto Stock Exchange (symbol: K) and the New York Stock Exchange (symbol: KGC).
Cautionary Statement on Forward-looking Information
All statements, other than statements of historical fact, contained in this news release, including any information as to the future financial or operating performance of Kinross constitute "forward-looking information" or "forward-looking statements" within the meaning of certain securities laws, including the provisions of the Securities Act (Ontario) and the "safe-harbour" provisions under the United States Private Securities Litigation Reform Act of 1995 and are based on the expectations, estimates and projections of management as of the date of this news release unless otherwise stated. The words "plans", "expects", "scheduled", "estimates", "intends", "anticipates", "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "should", "might", or "will be taken", "occur" or "be achieved", and similar expressions, identify forward-looking statements.
