Kinross Gold Corporation (USA) (NYSE:KGC) is set to announce its 3Q2016 financial results on November 2, 2016, after markets close, with a conference call being held on November 3, 2016. The company has also included a Q&A session, to be held after the call. KGC has been showing signs of improvement, since October 7, adding approximately $0.25 to its share value. Although much of the interest behind the stock has been a result of growing speculation that the Feds would hike interest, later this year, the company has also been making announcements, which could position it for future growth. Analysts are predicting another bullish run in Gold. Read more about how this small company could provide large returns on your investment HERE.
The Collective Labor Agreement
Recently on October 5, the company had announced that it has signed a 3-year Collective Labor Agreement, with its unionized employees, working at the Tasiast mine in Mauritania. The agreement comes after Kinross stated, in its 2Q2016 news release, that it has reached an agreement with the government in Mauritania, to implement a Maruitanization plan. Under the agreement, KGC was to increase the number of local workers, employed at the mines.
The agreement had allowed the company to once again begin operations at Tasiast, in mid-August, once the expatriate work issue was resolved. The company claimed that the new CLA, coupled with its earlier agreement with the government, hints at its commitment to build strong relationships in the country, with the local workers and the government. It would be interesting to note the effect that Tasiast mines have had on the financial health of the company, during the 3Q2016.
Reduction of Stake in Lundin Gold
In addition to making progress with its own mines, KGC seems to have decided to diverse its stakes in other mining companies. Recently, Kinross announced that it has signed an agreement with GMP Securities L.P, to sale a total of 5.5 million shares of Lundin Gold Inc, to GMP. It should be noted here that GMP has the right to resale the shares, through private placements. Moreover, this represents 4.6% of the total outstanding shares of Lundin. Through this sale, KGC was able to acquire proceeds of CAD$30.8 million.