Kinross Gold pegs initial capital cost for Tasiast at $2.7 bln

Mon Apr 29, 2013 6:24am EDT
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April 29 (Reuters) - Kinross Gold Corp is pushing ahead with plans to expand its Tasiast project in Mauritania with a feasibility study for a 38,000-tonne-per-day mill and said it expected the initial capital cost for the project to be about $2.7 billion.

The pre-feasibility study on Tasiast expansion found that during the first five years of production a 30,000-tonne-per-day (tpd) mill would be expected to produce an average of about 830,000 ounces of gold per year.

Average cash costs will be about $500 per ounce, the company said.

The Canadian gold miner acquired the West African project as part of its $7.1 billion takeover of Red Back Mining in 2010.