Definitive Agreement With Government of Mauritania

TORONTO - Kinross Gold Corporation has signed a definitive agreement with the Government of Mauritania to provide enhanced certainty on Tasiast economics. The Agreement confirms the same key terms of the agreement in principle signed on June 15, 2020, including: The continuation of tax exemptions on fuel duties; The repayment by the Government to Kinross of approximately $40 million in outstanding VAT refunds; The payment by the Company to the Government of $10 million to resolve disputed matters; The introduction of an updated escalating royalty structure1 tied to the gold price that aligns with current Mauritanian mining legislation and is comparable to other royalties in the region; and The nomination of two observers by the Government to the Board of Directors of the Kinross subsidiary operating the Tasiast mine.

Mauritania’s Minister of Petroleum, Mines and Energy, Abdessalem Ould Mohamed Saleh, said, “The Government’s solidarity and support for the Company during his two-day visit to Tasiast in late June 2021. The Minister met with Kinross officials and toured the mine, including the area of the recent mill fire, and was briefed on the progress of the 24k expansion project. The Company and Government are focused on the goal of restarting milling operations at Tasiast and are prioritizing efforts and processes to achieve this shared objective. Tasiast Sud is not included in this simplified Agreement and is not part of the 24k expansion project, Tasiast’s current life of mine production plan and Kinross’ mineral reserve and resource estimates. Kinross and the Government will continue to focus on the shared goal of restarting the Tasiast mill and discussions respecting the prospective Tasiast Sud area are expected to continue. The completion of this agreement is a testament to the quality of the strategic partnership between the Government of Mauritania and Kinross. The agreement is also indicative of the Government’s commitment and focus on attracting responsible, experienced and long-term private sector partners in Mauritania to carry out projects that advance the country’s development and provide benefits to its people.”

“We are pleased to finalize the balanced agreement with the Government of Mauritania to further strengthen our longstanding and constructive relationship,” said J. Paul Rollinson, Kinross Gold President and CEO. “We look forward to continue delivering strong results at Tasiast for the benefit of both Kinross and Mauritania.