Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Kinross Gold (TSE: K) has announced its commitment to reach net-zero greenhouse gas emissions by 2050.
“To support this goal, we are currently developing a strategy that we expect to finalize by year-end that will identify tangible greenhouse gas (GHG) reduction targets for 2030, and the steps the company plans to take to achieve those targets, leveraging our position as one of the lowest GHG emitters among our peers,” Paul Rollinson, Kinross CEO said in a media release.
Kinross produced 558,777 gold-equivalent ounces (GEOs) in Q1, compared to 567,327 GEOs produced in the same quarter of 2020. All-in sustaining costs also fell to $975/GEO sold.
The company said that it was on track to meet its guidance of 2.4-million GEOs for the year.
Kinross’ three largest producing mines – Paracatu, in Brazil, Kupol, in Russia, and Tasiast, in Mauritania – accounted for 60% of its production and were the lowest cost mines in the portfolio.
Revenue increased by 12% to $986.5-million, compared with $879.8-million in the first quarter of 2020. Adjusted net earnings increased 51% to $192.8-million, or $0.15 a share, from $127.4-million, or $0.10 a share.
Kinross’ stock was down 4% on the NYSE on Thursday afternoon. The company has a $9.27 billion market capitalization.
