Technical Report for the Maricunga Gold Mine - Kinross Gold

Kinross Gold CorporationMaricunga Mine Technical ReportIn 2007 the SART process was tested for the Pancho ore as uneconomic concentrations ofcopper are present in ore. Some of the copper minerals are soluble in cyanide solutions andthese minerals consume cyanide reagent and contaminate the leach solution with coppermetal. A feasibility study and pilot testing program were completed by Idesol of Santiago.The study considers plant design, performance metrics, operating and capital costs andimplementation strategy. The reserves defined at Pancho consider the application of SART.23.2 RecoverabilityMetallurgical recovery information is discussed in detail in Section 16 of this report.23.3 MarketsKinross will continue with current marketing arrangements at Maricunga and does notenvision any concerns related to marketing doré.23.4 ContractsSmelting, refining, handling and sales charges are within industry standards.23.5 Environmental ConsiderationsA reclamation plan for the current mine disturbance was approved in 2002, based on thecommitments made in the original environmental impact assessment for the site (1994). Theplan addressed physical activities, such as earthworks, but did not address chemical closureof the heap. A closure plan for chemical stabilization of the heap has been prepared andhas been submitted to the regulatory authorities in the form of a Declaration of Impact to theEnvironment (“DIA”). The regulatory agencies are currently considering the Company’sproposed chemical stabilization approach and further discussions with agencies areexpected prior to a decision regarding the chemical stabilization plan. The agenciesconsider submittal of the chemical stabilization DIA as meeting the commitments in theoriginal environmental impactFuture cash outflows for site restoration costs at Maricunga under CICA Handbook Section3110, as at December 31, 2007, are estimated at approximately US $4.4 million. There is107