UPDATE 2-Kinross reports net loss on mine writedown

Wed Feb 13, 2013 7:37pm EST
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* Adjusted EPS $0.24 vs Street view $0.22

* Revenue up 29 pct

* Takes $3.21 billion charge on Tasiast, Chirano mines

By Julie Gordon

TORONTO, Feb 13 (Reuters) - Canada's Kinross Gold Corp reported on Wednesday a fourth-quarter net loss as an impairment charge related primarily to its Tasiast gold mine in West Africa outweighed a boost in revenue.

The gold miner took a $3.21 billion after-tax, non-cash impairment charge related to Tasiast in Mauritania and the Chirano gold mine in Ghana, both of which were acquired in the company's $7.1 billion takeover of Red Back Mining in 2010.

The writedown follows a $2.94 billion non-cash goodwill impairment charge in the fourth quarter of 2011, also related to the Red Back assets.

Chief executive J. Paul Rollinson, who took over the top job in August, played down the charge as an accounting requirement and noted the project remains a top priority for the company.

"This doesn't reflect our view of Tasiast's long-term potential," he said. "We see Tasiast as a very important asset for Kinross and something that should be a core asset and a big producer for a long period of time."   Continued...