(Kitco News) - On Wednesday, Kinross Gold (TSX: K, NYSE: KGC), one of the world's largest gold miners, reported that the company produced 529,155 Au eq. oz. in Q3 2022 from continuing operations, a 61% increase compared with 328,409 Au eq. oz. in Q3 2021.
Kinross said that the year-over-year increase in gold production was primarily attributable to higher production at Tasiast due to the temporary suspension of milling operations as a result of the mill fire in June 2021, at Paracatu due to an increase in grade and recovery, and at La Coipa due to the restart and mill ramp-up.
According to a news release, the company's all-in sustaining costs from continuing operations per Au eq. oz. sold were $1,282 in Q3 2022, compared with $1,369 in Q3 2021.
Kinross added that during the third quarter, revenue from continuing operations increased to $856.5 million, up 47% compared with $582.4 million during Q3 2021.
Importantly, the company's reported net earnings from continuing operations were $65.9 million, or $0.05 per share for Q3 2022, compared with reported net loss of $72.9 million, or $0.06 per share, for Q3 2021.
The increase in reported net earnings was mainly due to the temporary suspension of milling operations at Tasiast in June 2021, it said.
Adjusted net earnings from continuing operations were $68.7 million, or $0.05 per share, for Q3 2022, compared with $11.2 million, or $0.01 per share, for Q3 2021.
Kinross also announced that the company's Board of Directors has declared a dividend of US$0.03 per common share for the third quarter of 2022.
The company is expecting its 2022 production to be approximately 2 million Au eq. oz., mainly due to the temporary delays in La Coipa's mill ramp-up and commissioning related to the Tasiast 21k project. Full-year production from continuing operations for the year ended December 31, 2021 was 1,447,240 Au eq. oz.
Kinross expects to be slightly above its revised 2022 production cost of sales guidance of approximately $900 per Au eq. oz. and in line with its revised all-in sustaining cost guidance of approximately $1,240 per Au eq. oz. sold.
President and CEO J. Paul Rollinson commented, "During the quarter, our operations increased production and lowered costs, primarily driven by higher grades at Paracatu, enhanced seasonal recoveries from our U.S.-based heap leaches, and the ramp-up at La Coipa, which progressed well and is expected to continue trending upwards with the mill averaging throughput levels of approximately 9,500 tonnes per day in October. Tasiast is on track to significantly increase production in the fourth quarter, with higher recoveries and increased throughput, which is expected to contribute to our strongest quarter of 2022."
He added that the company has returned approximately $300 million of capital to shareholders so far this year and expects to return a total of approximately $450 million by year-end through its share repurchase and dividend programs.
Kinross is a Canadian-based global senior gold mining company with operations and projects in the United States, Brazil, Mauritania, Chile and Canada.
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