Headwater Gold Inc. press release
Kinross proceeds with construction of Phase X, Curlew and Redbird 2
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Kinross proceeds with construction of Phase X, Curlew and Redbird 2
Contributes 3 million ounces of production, enhancing grades and extending mine lives
All projects have an attractive NPV and IRR at a range of gold prices
(This news release contains forward-looking information about expected future events and performance of the Company. We refer to the risks and assumptions set out in our Cautionary Statement on Forward-Looking Information located on page 16 of this release. All dollar amounts are expressed in U.S. dollars, unless otherwise noted.)
TORONTO, Jan. 15, 2026 (GLOBE NEWSWIRE) -- Kinross Gold Corporation (TSX: K; NYSE: KGC) (“Kinross” or the “Company”) today announced that it is proceeding with the construction of three organic growth projects: the Round Mountain Phase X and Bald Mountain Redbird 2 projects in Nevada, and the Kettle River-Curlew (“Curlew”) project in Washington. These projects are expected to meaningfully extend mine life and will benefit long-term costs within Kinross’ United States (U.S.) portfolio.
Overall highlights1:
Continued positive exploration results and robust internal studies have demonstrated strong margins with average all-in sustaining costs2 (AISC) of ~$1,650 per gold equivalent ounce (“Au eq. oz.”) at an attractive Internal Rate of Return3 (IRR) and Net Present Value4 (NPV) that supports proceeding to construction.
These projects are expected to contribute significantly to Kinross’ U.S. production profile and to maintaining 2 million Au eq. oz. per year, with expected production of 400,000 Au eq. oz. per year between 2029 and 2031 and a total of 3 million Au eq. oz. between 2028 and 2038, based on the initial mine plan inventories.
Strong value proposition with a combined IRR of 55% and a combined incremental post-tax NPV4 of $4.1 billion at a gold price of $4,300.
All three assets have significant potential for mine life extensions beyond the initial mine plan inventories included in the completed project studies, potentially further enhancing returns and asset values.
Phase X and Curlew continue Kinross’ grade enhancement strategy, adding higher grade underground ounces and benefitting long-term costs at lower capital intensity as well as providing optionality for further mine life extension beyond the initial mine plan inventories. Redbird 2 provides a substantial mine life extension of efficient open pit mining at Bald Mountain with incremental AISC2 of $1,466 per Au eq. oz.
Kinross intends to self-fund these projects from its operating cash flows and has forecasted capital expenditures of approximately $425 million in 2026 to support their development. Total attributable capital expenditures5 for the global portfolio in 2026 are expected to be $1.5 billion (+/- 5%).
As at December 31, 2025, the Company had completed its 2025 share repurchase program, achieving its increased target of $600 million in shares and reducing its share count by 2.5%. The Company will continue to prioritize its strong balance sheet, liquidity and return of capital program.
Round Mountain Phase X highlights1:
Robust Economics: Post-tax NPV4 of $1.9 billion and IRR3 of 67% at a gold price of $4,300 per ounce.
Extended Mine Life: The project adds 1.4 million Au eq. oz. to the life-of-mine production at Round Mountain, with expected average incremental production of approximately 140,0006 Au eq. oz. per year, and extends mine life by eight years to 2038.
Cost Profile: In line with the Company’s thesis of transitioning to higher grade bulk tonnage underground mining, the incremental Phase X life-of-mine AISC2 of $1,680 per Au eq. oz. and production cost of sales per Au eq. oz. sold7 of $1,576 are expected to lower the cost profile at Round Mountain.
Initial Underground Reserve and Resource: Initial underground reserve of 1.2 Moz. Au eq. at 3.2 g/t, plus further indicated underground resource of 0.2 million Moz. Au eq. and inferred resource of 0.5 Moz. Au eq.
Further Upside: Significant potential for both proximal growth and extension of the resource down dip demonstrated by existing intercepts outside of the initial reserve and resource.
Curlew highlights1:
Robust Economics: Post-tax NPV4 of $1.2 billion and IRR3 of 44% at a gold price of $4,300 per ounce.
Leveraging Existing Infrastructure: Restarting Kinross’ Kettle River mill to process high-grade mineralization from the Curlew underground deposit ~40 kilometres (“km”) northwest of the mill.
Near Term Producer: ~100,000 gold ounces (“Au oz.”) expected per year for the first five full years, with an initial 11-year mine life at an average mine grade of 5.8 g/t. First production expected in 2028 and life-of-mine production of approximately 940,000 Au oz.
Cost Profile: Life-of-mine AISC2 of $1,726 per Au oz. and production cost of sales per Au oz. sold7 of $1,487.
High-Grade Expansion Potential: Potential for further extension of wide, high-grade mineralization at both Stealth and Roadrunner based on existing intercepts provides further project upside.
Bald Mountain Redbird 2 highlights1:
Robust Economics: Post-tax NPV4 of $1.0 billion and IRR3 of 58% at a gold price of $4,300 per ounce.
Extended Mine Life: Redbird 2 and five satellite deposits add a combined 643,000 Au oz. of production, with approximately 155,000 Au oz. expected per year, extending mine life to early 2032.
Cost Profile: High-productivity, low-cost mining leading to an incremental life-of-mine AISC2 of $1,466 per Au oz. and production cost of sales per Au oz. sold7 of $1,360.
Resource and Exploration Upside: Significant potential for further mine life extension at Bald Mountain both from exploration and from the current resource – highlighted by the Top open-pit deposit. The 2025 resource contains 2.5 Moz. Au measured and indicated plus 0.8 Moz. Au inferred.
CEO commentary
J. Paul Rollinson, CEO, made the following comments in relation to the projects’ announcement:
“We are excited to be moving ahead with Round Mountain Phase X, Curlew and Bald Mountain Redbird 2. These three new growth projects are expected to contribute 3 million ounces of life-of-mine production to our portfolio, extend mine lives at our Nevada assets well into the 2030s, and benefit our long-term costs in the U.S. Together they deliver attractive economics with an expected quick payback, an IRR3 of 55% and a cumulative NPV4 exceeding $4.1 billion at a $4,300 gold price.
“Higher-grade underground mining at Phase X and Curlew reflect the next phase of our grade enhancement strategy that we initiated in 2022. The transition to underground mining at Round Mountain is anticipated to initially extend mine life to 2038 and deliver incremental annual production of approximately 140,0006 gold equivalent ounces. Curlew is a high-grade restart opportunity in Washington, leveraging our existing Kettle River mill infrastructure, with an initial 11-year mine life at an average mining grade of 5.8 g/t. Drilling at both assets has already shown wide, high-grade intercepts outside of the initial resource that demonstrate the upside potential for further resource and mine life additions, which will continue to be a focus of our exploration.
“Redbird 2 is expected to deliver high-productivity, low-cost production as the next anchor pit alongside five satellite pits. They are designed to add approximately 155,000 gold ounces of annual production, initially extending Bald Mountain’s mine life to 2032, with further upside potential within the extensive land package.
“By funding these projects with cash flow from our operations, we are reinvesting in our business to generate additional value in internal projects underpinned by a low-cost structure and excellent economics. As we look forward, these new projects are well timed and are expected to start contributing in 2028, coinciding with getting back to higher-grade mining at Tasiast. We look forward to unlocking their full potential as we continue delivering value for our shareholders, communities and employees.”
Round Mountain Phase X overview
The Phase X project is a bulk tonnage underground mining opportunity below the current Phase W open pit at Round Mountain, targeting higher-grade, lower-cost mining of the same mineralization at depth as part of the Company’s grade optimization strategy to offset inflation and increase future margins at the site.
Phase X underground will benefit from the strong existing infrastructure at site and will be processed through the existing mill in parallel with remaining open pit mineralization and stockpiles.
The Company expects Phase X to incrementally produce approximately 1.4 million Au eq. oz. over an initial 11-year mine life, starting in 2028, extending production at Round Mountain until 2038, and averaging approximately 140,000 Au eq. oz. per year from 2029 to 2037. Phase X is expected to lower Round Mountain’s future costs with an incremental AISC2 of $1,680 per Au eq. oz. sold.
Round Mountain Phase X incremental physical highlights1
Average underground annual production (koz. Au eq./yr) (2029-2037)140
Life-of-mine production (koz. Au eq.)1.4 million
Peak mining rate (tpd)4,800
Average grade processed (g/t Au)3.0
Average recovery rate (% Au eq.)88
Round Mountain Phase X financial highlights1, 2, 3, 4, 7, 8
$3,200/Au oz.$4,300 /Au oz.
Average production cost of sales (per Au eq. oz. sold)$1,485
$1,576
Average all-in sustaining costs (per Au eq. oz.)$1,590
$1,680
Total initial capital expenditures (millions)$400
$400
IRR40%
67%
NPV(5%)$1,044
$1,881
Payback (years)3.0
1.9
Mine and processing plan
The Phase X project is planned as a bulk tonnage underground operation, with first production expected in 2028, ramping up to a peak mining rate of 4,800 tonnes per day (tpd). Mining costs and AISC are expected to benefit from the wide, consistent nature of the deposit, with an average width of 120 metres. The primary mining method is transverse long-hole open stoping with paste backfill following a bottom-up mining sequence.
The mining cost and efficiency will also benefit from three underground accesses, including two declines that are already in place and a third decline planned for 2028 to enhance both ventilation and haulage routes. The mine plan includes an investment in early development of infrastructure for both the upper and lower zones to allow mining of both zones concurrently, increasing the production rate and overall efficiency of mining.
The underground mineralization from Phase X will be processed through the existing 10,000 tpd milling facility at Round Mountain, blending the higher-grade underground mineralization with lower grade open pit production from Phase S and with low grade stockpile from historic open pit mining thereafter.
The Phase X mine plan inventory has the same geometallurgy as what has been mined historically at Round Mountain, and is expected to have an average recovery of 88% based on a robust metallurgical testwork program, extensive history of processing this mineralization and a bulk sample of the underground deposit in 2025 that demonstrated positive grade reconciliation.
Capital expenditures and permitting
The initial project capital costs are expected to be approximately $400 million to be spent over four years, primarily related to underground development, procurement of mining equipment, and construction of underground infrastructure. The study results indicated that the capital for the transition to underground is significantly lower per ounce compared with expected capital expenditures for further extensions of the open pit.
The infrastructure has been designed to support a long-life, highly productive underground mine with increased investment to drive higher production rates and economies of scale, including optimization such as the development of both the upper and lower zones concurrently and the addition of a third portal.
The initial capital also includes use of a mining contractor for the majority of the capital development in 2026, 2027, and 2028, which is intended to de-risk the critical path to first production in 2028 and provides a two-year timeframe to ramp up internal labour resources for self-perform underground mining.
Development of the underground headings and infrastructure is already well underway, benefiting from the six km of underground development and dual declines completed as part of the exploration program.
The project’s execution timeline is significantly de-risked with federal permits for underground mining at 3,000 tons per day already secured; Kinross expects to receive a minor federal modification to increase the mining rate beyond 3,000 tons per day and finalize the state mining authorization for Phase X in Q1 2026, marking the completion of all major operational permitting.
Forecast Round Mountain Phase X project
initial capital costs($ millions)
Underground development & mining equipment240
Underground infrastructure90
Indirect & contingency70
Total400
Initial Phase X underground reserve and resource
The study and mine plan for Phase X are based on a significant initial underground reserve and resource at Round Mountain that has been defined on the back of nearly 35 km of infill drilling since 2023.
Round Mountain Phase X
Summary of project mineral reserves and resources9
(As of December 31, 2025)
Classification
TonnesGradeGold Eq. Ounces
(000)
(g/t Au)(000)
Probable Reserves11,0423.21,150
Indicated Resources2,1982.6182
Inferred Resources6,0242.4458
As the Phase X underground mine plan inventory overlaps with historic open pit resources from Phase W at Round Mountain, the conversion to underground mining results in a reduction in the lower-grade, open-pit resource at Phase W and a net reduction in the resource base at Round Mountain.
Transitioning to underground mining at Round Mountain is expected to increase the operation’s grade profile and results in superior economics compared with continued open pit operations at Phase W, including lower costs, higher margins, significantly higher IRR and NPV, and increased long-term optionality for mine-life extensions.
Exploration upside potential
This initial underground reserve and resource is a point in time estimate and only demonstrates a portion of the long-term potential of the asset. There is significant potential to extend the reserve and resource at Phase X through both proximal and down dip exploration, with existing intercepts already showing mineralization with similar width and grade outside of the Phase X underground reserve and resource.
These potential future extensions are expected to come with lower incremental capital costs compared with further open pit extensions at Phase W, leveraging the $400 million initial Phase X capital expenditures. The primary additional capital for further reserve and resource additions is expected to be incremental development of ramps and access levels to exploit the potential resource extensions.
Resource extensions down dip also have the potential to increase the underground mining rate at Phase X by opening more stoping zones, resulting in a higher mill grade and production than the initial mine plan assumes.
Curlew overview
The Curlew project is a high grade, underground gold mine located ~40 km northwest of the Company’s 100%-owned Kettle River mill and tailings facilities. Kinross has a long history of production in the region and significant infrastructure in place. The Kettle River mill has produced 2.8 million Au oz. historically and it was moved to care and maintenance in 2017.
The Company expects Curlew to produce approximately 940,000 Au oz. over an initial 11 year mine life from 2028 to 2038, averaging approximately 100,000 Au oz. per year for the first five full years, and 85,000 Au oz. per year for the life-of-mine.
Kettle River-Curlew physical highlights1
Underground annual production (koz. Au/yr) - first 5 full years1099
Underground annual production (koz. Au/yr) - life-of-mine85
Life-of-mine production (koz. Au)938
Mill processing rate capacity (tpd)1,800
Average mining rate (tpd)1,518
Average grade processed (g/t Au)5.8
Average recovery rate (% Au)80
Kettle River-Curlew financial highlights1, 2, 3, 4, 7, 8
$3,200/Au oz.$4,300/Au oz.
Average production cost of sales (per Au oz. sold)$1,445
$1,487
Average all-in sustaining costs over life-of-mine (per Au oz.)$1,684
$1,726
Total initial capital expenditures (millions)$485
$485
IRR24%
44%
NPV (5%)$528 million$1.2billion
Payback (years)3.2
2.0
Mine plan
Curlew is planned as a high grade underground operation, with first production expected in 2028, ramping up to a peak mining rate of 1,800 tpd. AISC benefits from the strong average grade of 5.8 g/t and good mining widths with an average width of over six metres for the first five years and four metres life-of-mine. The mining methods will include both longitudinal and transverse long hole open stoping with cemented and uncemented rockfill following a bottom-up mining sequence.
The project leverages the existing portal and underground infrastructure from the historic K2 mine, which will be extended to support mining of the current Curlew deposit.
The mine plan will target the widest, highest-grade mineralization first driving the higher expected average gold production of approximately 100,000 Au oz. per annum for the first five full years.
Existing drilling outside of the current resource shows potential to expand with higher-grade, wider mineralization, which would be prioritized ahead of the lowest-grade mineralization in the current mine plan inventory, and providing potential to maintain the 100,000 Au oz. per year production rate for longer.
Mill, processing, and tailings design
Mineralization from the Curlew mine is planned to be processed through the existing 1,800 tpd Kettle River mill. The mill includes conventional crushing, grinding, and carbon-in-leach (CIL) gold recovery, and will be refurbished as part of the restart project.
A new tailings dewatering plant will also be installed at the existing tailings management facility to convert from conventional to dry stack tailings.
Capital expenditures and permitting
The initial project capital costs for the Curlew project are expected to be approximately $485 million to be spent over three years, primarily related to underground development, procurement of mining equipment, refurbishment of the mill, and the addition of the tailings dewatering plant.
The initial capital for the Kettle River mill restart is focused on supporting reliable long-term operations through a fulsome refurbishment given the long initial mine life, the age of the mill, and the potential for further mine life expansion beyond 2038.
Learnings from previous mill restart projects, such as La Coipa, have been incorporated into our estimates and additional capital has been added through recent study phases to replace processing equipment including crushers, mills, pumps, cyclones, and feeders.
The initial capital also includes additional costs for the use of a mining contractor for the initial capital development to de-risk the critical path to first production and provide more time to ramp up internal resources.
Forecast Kettle River-Curlew project
initial capital costs($ millions)
Underground development & mining equipment215
Mill refurbishment & surface infrastructure145
Indirect & contingency125
Total485
The site construction program is well advanced and critical early works are complete. The Company is on track to award major contracts for mining and construction in early 2026, and is advancing the hiring of key roles for project execution and operations.
All significant permits for mining and processing activities have been received with the exception of one state-level permit related to the tailings height increase, which is expected to be received in 2026.
Exploration upside potential
Kinross’ Curlew project offers significant upside potential, driven by ongoing exploration success and the geological prospectivity of the district. Drilling campaigns have consistently grown the resource at depth, with more recent intercepts confirming higher grades and improved mineability in the lower zones. The Company is focused on targeting wider, higher-grade extensions along the productive paleosurface which includes multiple historic mines, including K1 and K2, to both extend the overall resource and enhance the production profile from 2034 onward.