Kinross Gold announced earlier this week that mining and processing operations at its Tasiast mine in Mauritania have been temporarily suspended. As a result of the Mauritanian Ministry of Labor’s decision on June 17 to prohibit certain expatriate employees from working at the site due to allegations of invalid work permits, the company could not continue to fully operate the site in a safe and environmentally responsible manner.

Kinross has taken all steps necessary to ensure that its work permits are in good standing and valid under Mauritanian law and to comply with the requisite formalities including the filing of all requests and applications in accordance with the stipulated timeframes.

The company understands that a number of other institutions and companies in Mauritania are presently experiencing similar work permit issues with the Ministry of Labor. Discussions with the government of Mauritania to resolve the issue are ongoing. The company does not expect this issue to affect development of the Tasiast Phase One expansion.

Kinross continues to be committed to increasing the number of local workers who have the necessary skills and experience to work at Tasiast, which is consistent with Kinross practice at all its operations. Currently, approximately 88% of employees at Tasiast are Mauritanian nationals.