In its earnings statement, Kinross said full-year production exceeded the company’s 2014 guidance and reached a record 2,710,390 attributable equivalent oz of gold, mainly due to a 37% increase in production at the Kupol segment and a 32% production increase at Maricunga compared with full-year 2013.

“With 10 consecutive quarters of having met or exceeded expectations, the company continues to deliver on its commitment to operational excellence, financial discipline and balance sheet strength,” said Paul Rollinson, CEO, Kinross. “These principles underpin Kinross’ decision not to proceed with the Tasiast mill expansion at the present time. We continue to believe a mill expansion has the potential to offer a rare combination of large, low cost production; however, preserving balance sheet strength remains our priority, particularly given the current gold price environment. This decision preserves our cash position — which was approximately $1 billion at year-end — and our liquidity, while giving us the financial flexibility to capitalize on a possible future Tasiast expansion, or other opportunities, should they arise.”

Production costs were $720/oz for full-year 2014, compared with $743 for 2013. The full-year decrease was due mainly to a $217/oz reduction at Maricunga and a $170/oz reduction at Chirano. All-in sustaining cost decreased to $973/oz for full-year 2014, compared with $1,082 for full-year 2013, primarily due to reduced sustaining capital expenditures and production cost of sales. Revenue for Kinross was $3.47 billion for full-year 2014, compared with $.78 billion for full-year 2013, mainly due to a lower average realized gold price.

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