(Adds comment and updates shares.)
Kinross Gold (K.TO, KGC) on Tuesday suspended mill operations at the Tasiast mine in Mauritania due to a fire.
The fire, which broke out on Monday, is fully extinguished and no injuries have been reported, the company said, adding that it is investigating the cause and assessing the damage and potential impact. An initial assessment indicated that the fire was localized in the SAG discharge area.
The company does not expect to change its guidance for Tasiast.
National Bank of Canada maintained its outperform rating and $23.00 on the company's shares following the news release.
Based on its current estimates, a shutdown of about 10 days in the mill would result in a drop in 2025 production of 14,000 gold equivalent ounces. This would result in production of 485,000 gold equivalent ounces from Tasiast, which is well within the asset's guidance range for the year, the bank said.
The bank said Kinross remains its top pick among senior gold producers due to its attractive valuation, above-average sensitivity to gold and relatively low geopolitical risk.
Kinross shares were last seen up $0.14 to $20.27 on the Toronto Stock Exchange.
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