Canadian-based miner Kinross Gold Corp. has completed the sale of its Russian assets to the Highland Gold Mining group of companies for US$340 million in cash.
The previously agreed total for the Kupol mine and surrounding exploration licenses, plus the Udinsk project was $680 million. However, Kinross said the price was adjusted by the companies following a review by the recently formed Russian Sub-commission on the Control of Foreign Investments.
“After the completed divestment of our Russian business, Kinross’ rebalanced portfolio maintains a substantial production outlook anchored by its two tier-one assets – Tasiast and Paracatu – as well as a strong portfolio of mines in the Americas, a growing business in Chile, and the large, world-class Great Bear project in Canada,” said J. Paul Rollinson, Kinross president and CEO.
“We would like to thank our Russian workforce for their dedication, professionalism and hard work. Their ongoing commitment to safety and the environment, especially during the transition of our business in the country, has been commendable.”
With the approval and completion of the sale, Kinross said it has divested all of its interests in Russia and has no further obligations or liabilities in the country.
Highland Gold operates several mines in Russia, including in the Chukotka and Khabarovsk regions where the Kupol mine and Udinsk project are located.