KINROSS GOLD CORPORATION COMPLETES MERGER WITH AMAX GOLD INC.
Creates the fifth largest North American Gold Producer
Toronto, Ontario (June 1, 1998) - Kinross Gold Corporation (TSE-K; NYSE-KGC) is pleased to announce
that the merger of Kinross with Amax Gold Inc. approved last week by shareholders closed on June 1,
1998. With the completion of merger, the proceeds from the previously announced subscription rights
offering have been released from escrow and the 38.1 million subscription rights have been converted
into 38.1 million Kinross common shares. In addition, Kinross has issued 126.9 million Kinross common
shares to Amax Gold shareholders, including the shares issued to Cyprus Amax Minerals Company as
consideration for the payment of cash and the transfer of indebtedness in the aggregate amount of US
$135 million. Kinross has 292 million shares outstanding after giving effect to the issuance of these
shares.
As a result of this merger Kinross has become the fifth largest gold producer in North America with
annualized production of approximately 1.2 million ounces and a current market capitalization of
approximately US$1.3 billion (C$1.9 billion).
Robert M. Buchan, Chairman and Chief Executive Officer of Kinross said "the Fort Knox, Hoyle Pond and
Kubaka mines of Kinross are world class assets collectively producing over 1,000,000 ounces of gold
annually with over 750,000 of these ounces atrributable to Kinross at a total cash operating cost of
about US$175 per ounce. These core assets together with the other operating assets, the strong
balance sheet and most importantly the dedicated employees and shareholders, are the key elements
of the elevated platform from which we will continue to pursue our aggressive growth strategy."
This press release includes certain "Forward Looking Statements" within the meaning of section 21E of
the United States Securities Exchange Act of 1934, as amended. All statements, other than statements
of historical fact, included herein, including without limitation, statements regarding potential
mineralization and reserves, exploration results and future plans and objectives of Kinross are forward
looking statements that involve various risks and uncertainties. There can be no assurance that such
statements will prove to be accurate, and actual results and future events could differ materially from
those anticipated in such statements. Important factors that could cause actual results to differ
materially from Kinross expectations are disclosed under the heading "Risk Factors" and elsewhere in
Kinross’ documents filed from time to time with The Toronto Stock Exchange, the New York Stock
Exchange, the United States Securities and Exchange Commission and other regulatory authorities.
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For additional information contact:
Robert M. Buchan
Chairman and Chief Executive Officer
Tel. (416) 365-5650
Gordon A. McCreary
Vice President Investor Relations