Deutsche Bank Comments On Mine Visit For Kinross Gold

According to Deutsche Bank, Kinross Gold KGC has two new additions to its portfolio. Deutsche Bank reported that it just returned from visiting mines located in Mauritania (Tasiast) and Ghana (Chirano), both new additions to the Kinross portfolio following the stock-based acquisition of competitor Red Back for ~$8bn in 2H10. “Our overall impression was that Kinross is well regarded by the local governments in both countries and that the market may be under-estimating the true long-term potential at Tasiast. Tasiast gave us the impression of a largescale iron ore mine complex due to its sheer size (better appreciated from the air) and similarities to Brazilian iron ore coloration - in fact, there does appear to be abundent iron ore (Fe grade was not disclosed) and while this does not form any part of the current gold mine plan (pre-feasibility 36% complete) it would be premature to rule-out this potentially low-grade byproduct given Mauritania's active role in this commodity.” Kinross Gold closed yesterday at $15.39.