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Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers -- Ignore unavailable to you. Want to Upgrade?

To: LoneClone who wrote (33563)	2/22/2007 9:15:34 AM
From: LoneClone	Read Replies (1) \| Respond to of 78421

Kinross Gold Reports $41 Million Q4 Profit By Romina Maurino 21 Feb 2007 at 12:30 PM GMT-05:00 resourceinvestor.com TORONTO (CP) -- Kinross Gold Corp. [TSX:K; NYSE:KGC] posted earnings of US$41 million in its fourth quarter, boosted by higher gold prices. The company's earnings amounted to 11 cents per share for the three months ended Dec. 31, and compared to a net loss of US$154.3 million or 45 cents per share in the same period last year. --> The earnings were reduced by one cent per share as a result of the impairment of certain long-term investments, partially offset by a gain on asset sales. Revenue was US$231.4 million, a 22% increase over US$190 million in the same period last year. Kinross acquired Bema Gold Corp.in an all-stock US$2.8 billion deal late last year. ''This quarter, and indeed 2006, has seen record revenues, cash flow and earnings for the company,'' said Kinross CEO Tye Burt. ''Positive financial results were accompanied by the significant increase in our gold reserves year-over-year. This is due to additions from exploration and soon will be supplemented through the planned acquisition of Bema Gold.'' For the full year, profits were a record US$165.8 million, or 47 cents per share, up from a net loss of US$216 million a year ago. Revenue was a record US$905.6 million, up from US$725.5 million the year before. At year end, the company's cash position was US$154.1 million, compared to US$97.6 million in 2005, primarily as a result of higher realized gold prices. Kinross produced 362,028 gold equivalent ounces in the fourth quarter and 1.5 million gold equivalent ounces for the full-year, both ahead of plan. Kinross' total proven and probable mineral reserves increased to 27.9 million ounces of gold from 24.7 million ounces at Dec. 31, 2005. In 2007, the company expects gold equivalent production to be approximately 1.5 million ounces and cost of sales to be in the range of US$320 to $330 per ounce. That's expected to grow to 1.6 million to 1.7 million gold equivalent ounces in 2008 and 1.8 million to 1.9 million gold equivalent ounces in 2009 as the Paracatu expansion and Buckhorn project come into full production. Capital expenditures in 2007 are expected to be approximately US$450 million, of which US$260 million relates to the Paracatu expansion, US$60 million to the Buckhorn project and $100 million to sustaining capital. Kinross, a Toronto-based gold mining company, is the fourth largest primary gold producer in North America and the eighth largest in the world. With eight mines in Canada, the United States, Brazil and Chile, Kinross employs more than 4,000 people. Kinross has eight mines in Canada, the United States, Brazil and Chile, and more than 3,700 employees, while Bema has the Julietta mine in Russia and the Petrex mines in South Africa. The companies each own half of the Refugio mine in Chile. The Bema Gold acquisition will close on Feb. 27. On the TSX Wednesday, Kinross shares closed up 3.5%, or 53 cents, at C$15.61 before the results were announced. © The Canadian Press 2006