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Thursday, Oct 10
Kinross opens Dvoinoye mine in Russia, on time and on budget
- Kinross Gold (KGC) says commercial production has commenced at its new Dvoinoye mine in Russia on schedule and on budget.
- The mine is expected to add 235K-300K gold equiv. oz. to KGC's Russian output in the first three full years; the manageable size was key to bringing it onstream so smoothly, CEO Paul Rollinson says; also, Dvoinoye is just 100 km from its flagship Kupol mine, allowing its existing team to build the mine and limit the number of contractors.
- Cowen analysts say its model values Kupol/Dvoinoye at $1.46/share on an end-of-year 2013 basis, making it KGC's most valuable asset; on an end-of-year 2014 basis, the mine is valued at $1.34/share, making it second in value to Paracatu (Briefing.com).