Kinross Gold to acquire Russian project under $238M deal

Photo: Kinross

Canada’s Kinross Gold Corporation has announced it signed an agreement with N-Mining Ltd to purchase Russia’s Chulbat-kan project, a "high-quality, heap leach development project" for a total of $283 million.


The amount to paid for the Russia project includes about $113 million in cash and some $170 million in Kinross shares, the miner said in a state-ment.


"In addition, N-Mining will have the right to economic participation equiv-alent to a 1.5% net smelter return (NSR) payment and contingent consid-eration linked to future reserve additions," according to the statement. "Based on the analysis and substantial due diligence work, Kinross esti-mates approximately 3.9 million gold ounces in indicated mineral re-sources and 80,000 gold ounces in estimated inferred mineral resources for the project."