Canadian miner Kinross Gold has revealed the buyer of its Russian assets, announcing that Highland Gold Mining group will acquire its mines and projects in that country for $680-million in cash.
The company last month announced the sale of its Russian assets in response to President Vladimir Putin’s invasion of Ukraine, which led to Western nations imposing sanctions on Russia.
Kinross said it would receive $400-million for the Kupol mine and the surrounding exploration licences, of which $100-million would be paid upon closing and the balance over the next three years.
For the Udinsk project, the company would receive $280-million in cash, comprising $80-million before the end of 2025, $100-million before the end of 2026, and $100-million before the end of 2027.
Kinross noted that the deferred payments were secured by an extensive security package that included share pledges, financial guarantees and an escrow account.