Announcement • Jul 31

Kinross Gold Corporation Provides Update on Lobo-Marte Project in Chile

Kinross Gold Corporation provided a high-level update of the 2021 feasibility study economics for its Lobo-Marte project in Chile to account for inflationary impacts and advancement of the execution strategy since 2021. The 2021 feasibility study outlines an initial operating life of approximately 15 years, with total production of approximately 4.6 million gold ounces, based on the 2021 feasibility study pit design, which only includes a portion of the total resource. Average production is expected to be approximately 350,000 gold ounces per year during steady state operations based on the initial mine plan, with a low estimated all-in sustaining cost of approximately $1,000 per ounce, supported by a strong heap leach grade of 1.3 grams per tonne and low overall strip ratio of 2.0:1. Estimated Net Present Value is $4.3 billion, Internal Rate of Return is 26% and payback of 2.3 years at a $4,100 per ounce gold price. The initial mine plan includes approximately 6.7 million ounces of proven and probable reserves with significant potential for mine life extension through the 2.8 million ounces of Measured and Indicated resource and 670,000 ounces inferred resource, along with the wider prospective land package at Lobo-Marte. Kinross’ Environmental Impact Assessment was accepted for review by the Environmental Assessment Service of Chile in the second quarter of 2026 and is currently advancing through the permitting process while the Company progresses engineering and execution planning. First gold production is targeted for the early 2030s. Kinross intends to self-fund this project from its operating cash flow and has forecasted initial capital expenditures of approximately $1,800 million over three years. The project plan includes 100% renewable grid power, electric shovels, solar and battery power for the camp, and regenerative conveyor braking. Lobo-Marte is a high-quality asset with long-life potential located in Chile’s prolific Maricunga belt. The project includes the Lobo and Marte deposits. Kinross acquired 100% of Lobo-Marte in 2008 and multiple studies have been completed since 2011 to advance project development. Based on the 2021 feasibility study, which has been updated for inflationary impacts and an enhanced execution strategy, Lobo-Marte is expected to deliver low-cost, high-margin gold production over an initial 15-year operating life. Average annual production is anticipated to be approximately 350,000 gold ounces during steady state operations with estimated all-in sustaining cost of approximately $1,000 per ounce. Lobo-Marte is expected to sustain Kinross’ production and presence in Chile well into the 2040s, building on nearly 30 years of regional expertise, permitted infrastructure and stakeholder engagement. The project is planned as two open pits (Lobo and Marte) mined sequentially using conventional truck-and-shovel operations within the pits with a large-scale fleet delivering a peak total mining rate of 50 million tonnes per annum and an average mining cost of $3.25 per tonne mined. The low overall strip ratio of the open pits of 2.0:1 also provides a strong benefit to the project economics, helping to drive a low-cost operation and strong margins. The project is planned to use heap leach processing facilities, including a 35,000 tonnes per day three stage crushing circuit, an Adsorption, Desorption and Recovery facility for gold recovery, and a Sulphidization, Acidification, Recycling and Thickening plant to recover copper from the process solution. Kinross has significant experience with heap leach processing, including SART, from its operations both in Chile and in the United States, and extensive metallurgical studies have been conducted to support the attractive estimated heap leach recovery of 69%. The heap leach has a low expected processing cost of $12.30 per tonne, which is a key driver of the low-cost production and strong margins of the project. Covered overland conveyors are planned to be employed to move ore from the open pit primary crushers to the secondary and tertiary crushing circuit, helping to minimize the environmental footprint of the project and contributing to the overall low operating cost. Key infrastructure planned to support Lobo-Marte beyond the processing facilities includes a 75 kilometre access road, a 60 kilometre powerline, and a 40 kilometre pipeline. The pipeline is designed to connect the project to Kinross’ existing operating well field that currently supplies water to La Coipa. Kinross intends to fund the Lobo-Marte project from operating cash flows. Based on the high-level update of the 2021 feasibility study to account for inflation and advancements in the execution strategy, initial project capital costs are approximately $1,800 million, primarily related to mining equipment, heap leach and processing facilities, and establishing the camp, power line, and other supporting infrastructure. The project is now advancing to detailed engineering and the Company will provide a fulsome capital update once detailed engineering is substantially complete. Permitting is the critical path for Lobo-Marte. The project’s Environmental Impact Assessment was accepted for review by Chile’s Environmental Assessment Service in the second quarter of 2026 and is currently advancing through the regulatory review process. Kinross took a rigorous approach to ensure environmental and community considerations were incorporated directly into the project design, leveraging best available technologies and including measures intended to protect water resources and local wildlife, reduce dust generation, centralize infrastructure to reduce the project footprint, and better align access roads, power lines and other infrastructure with the local environment. Kinross is proceeding with detailed engineering and procurement, targeting first production in the early 2030s. Lobo-Marte is situated within the prolific Maricunga belt and the current mine plan inventory represents only a portion of the broader mineralization identified across the project. The significant initial estimated operating life of 15 years is based on the 2021 feasibility study and is supported by approximately 6.7 million ounces of proven and probable reserves. This static mine plan has been maintained as the base case for permitting as this is the mine plan that was advanced through baseline studies over prior years. The Company believes that the substantial resource inventory provides opportunities for future reserve conversion, mine life extension and production growth beyond the initial forecast mine plan. The current feasibility study mine plan should be viewed as a point-in-time development scenario based on the assumptions used in 2021.

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