Management’s Discussion & Analysis · 30/06/2021 · This Management’s Discussion and Analysis (“MD&A”) dated July 28, 2021 for Kirkland Lake Gold Ltd. (the “Company”)

Management’sDiscussion&Analysis

ForthethreeandsixmonthsendedJune30,2021and2020

MANAGEMENT’SDISCUSSIONANDANALYSIS

ThisManagement’sDiscussionandAnalysis(“MD&A”)datedJuly28,2021forKirklandLakeGoldLtd.(the“Company”)andas defined in the section entitled “Business Overview”, contains information thatmanagement believes is relevant to anassessmentandunderstandingoftheCompany’sconsolidatedfinancialpositionandtheresultsofitsconsolidatedoperationsforthethreeandsixmonthsendedJune30,2021and2020.TheMD&Ashouldberead inconjunctionwiththeunauditedCondensedInterimConsolidatedFinancialStatementsforthethreeandsixmonthsendedJune30,2021and2020,theannualaudited Consolidated Financial Statements for the years ended December 31, 2020 and 2019, which were prepared inaccordancewith International FinancialReportingStandards (“IFRS”),as issuedby the InternationalAccountingStandardsBoard("IASB"),aswellastheannualMD&AandAnnualInformationForm("AIF")fortheyearendedDecember31,2020.

FORWARDLOOKINGSTATEMENTS

ThisMD&Amaycontainforward-lookingstatementsandshouldbereadinconjunctionwiththeriskfactorsdescribedinthe“Risk and Uncertainties” and “Forward Looking Statements” sections at the end of this MD&A and as described in theCompany’sAnnual InformationForm for theyearendedDecember31,2020.Additional information including thisMD&A,Interim Financial Statements for the three and six months ended June 30, 2021, the audited Consolidated FinancialStatementsfortheyearendedDecember31,2020,theCompany’sAnnualInformationFormfortheyearendedDecember31,2020,andpress releaseshavebeen filedelectronically through theSystem forElectronicDocumentAnalysisandRetrieval(“SEDAR”), the Electronic Data Gathering, Analysis and Retrieval system ("EDGAR"), and are available online under theKirkland Lake Gold Ltd. profile at www.sedar.com, www.sec.gov/edgar, www.asx.com.au and on the Company’s website(www.kl.gold).

NON–IFRSMEASURES

Certainnon-IFRSmeasuresareincludedinthisMD&A,includingadjustednetcashprovidedbyoperatingactivities,freecashflow,adjustedfreecashflow,operatingcashcostsandoperatingcashcostsperouncesold,sustainingandgrowthcapitalexpenditures,all-insustainingcosts(“AISC”)andAISCperouncesold,averagerealizedgoldpriceperouncesold,adjustednetearningsandadjustednetearningspershare,earningsbeforeinterest,taxesanddepreciationandamortization(“EBITDA”)andworkingcapital. Inthegoldminingindustry,thesearecommonperformancemeasuresbutmaynotbecomparabletosimilarmeasurespresentedbyotherissuers.TheCompanybelievesthatthesemeasures,inadditiontoinformationpreparedin accordance with IFRS, provides investors with useful information to assist in their evaluation of the Company’sperformance and ability to generate cash flow from its operations. Accordingly, thesemeasures are intended to provideadditionalinformationandshouldnotbeconsideredinisolationorasasubstituteformeasuresofperformancepreparedinaccordancewithIFRS.Forfurtherinformation,refertothe“Non-IFRSMeasures”sectionofthisMD&A.

ThefollowingadditionalabbreviationsmaybeusedthroughoutthisMD&A:GeneralandAdministrativeExpenses(“G&A”);Plant and Equipment (“PE”); Gold (“Au”); Troy Ounces (“oz”); Grams per Tonne (“g/t”); Million Tonnes (“Mt”); SquareKilometre(“km2”);Metres(“m”);KiloTonnes(“kt”);andLifeofMine(“LOM”).ThroughoutthisMD&AthereportingperiodsforthethreemonthsendedJune30,2021andJune30,2020areabbreviatedasQ22021andQ22020respectively,whilethereportingperiodforthethreemonthsendedMarch31,2021isabbreviatedasQ12021.

REPORTINGCURRENCY

AllamountsarepresentedinU.S.dollars("$")unlessotherwisestated.Referencesinthisdocumentto“C$”aretoCanadiandollars and references to "A$" are to Australian dollars. Unless otherwise specified, all tabular amounts are expressed inthousandsofU.S.dollars,exceptpershareorperounceamounts.

Q22021MANAGEMENT’SDISCUSSIONANDANALYSIS

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TABLEOFCONTENTS

BUSINESSOVERVIEW 3

FOREIGNEXCHANGERATES 3

EXECUTIVESUMMARY 4

FULL-YEAR2021GUIDANCE-ISSUEDONDECEMBER10,2020 11

LONG-TERMOUTLOOK 14

EXTERNALPERFORMANCEDRIVERS 15

REVIEWOFFINANCIALPERFORMANCE 17

REVIEWOFOPERATINGMINES 24

GROWTHANDEXPLORATION 31

REVIEWOFFINANCIALCONDITIONANDLIQUIDITY 33

OFF-BALANCESHEETARRANGEMENTS 33

OUTSTANDINGSHAREANDCONVERTIBLEEQUITYINFORMATION 34

QUARTERLYINFORMATION 34

COMMITMENTSANDCONTINGENCIES 34

RELATEDPARTYTRANSACTIONS 34

CRITICALACCOUNTINGESTIMATESANDJUDGEMENTS 35

ACCOUNTINGPOLICIESANDBASISOFPRESENTATION 35

NON-IFRSMEASURES 35

INTERNALCONTROLOVERFINANCIALREPORTINGANDDISCLOSURECONTROLSANDPROCEDURES 43

RISKSANDUNCERTAINTIES 43

FORWARDLOOKINGSTATEMENTS 43

INFORMATIONCONCERNINGESTIMATESOFMINERALRESERVESANDMEASURED,INDICATEDANDINFERREDRESOURCES 44

TECHNICALINFORMATION 45


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BUSINESSOVERVIEW

Kirkland Lake Gold Ltd. (individually, or collectively with its subsidiaries, as applicable, the “Company” or “Kirkland LakeGold”)isagrowing,Canadian,U.S.andAustralian-listed,goldproducerwithassetsinCanadaandAustralia.TheCompany’sproduction is anchored by three high-quality, cornerstone assets. These assets include two high-grade, low-costundergroundminingoperations,theMacassamine(“Macassa”)locatedinnortheasternOntario,CanadaandtheFostervillemine(“Fosterville”),locatedinthestateofVictoria,Australia,aswellastheDetourLakeMine(“DetourLake”),alarge-scaleopen-pitmining operation located inNorthernOntario. Detour Lakewas obtained by the Company on January 31, 2020through the acquisition of Detour Gold Corporation (“Detour Gold”). The Company also owns the Holt Complex, whichincludesthreewhollyownedmines,theTaylormine(“Taylor”),Holtmine(“Holt”)andHollowaymine(“Holloway”),aswellasa centralmilling facility, theHoltmill.Operationsat theHoltComplexwere suspendedeffectiveApril2,2020andarecurrently on care and maintenance. The Company’s business portfolio also includes assets in the Northern Territory ofAustralia.Theseassets,whicharecomprisedof theCosmomine (“Cosmo”),UnionReefsmill (“UnionReefs”)aswellasanumberofexplorationproperties,arealsocurrentlyoncareandmaintenance.

TheCompanyconductsextensiveexplorationactivitiesonitslandholdingsinCanadaandAustralia.ThecurrentexplorationprogramsarefocusedonextendingknownzonesofmineralizationandtestingfornewdiscoveriesinordertoincreasethelevelofMineralResourcesandMineralReservesatitsthreeoperatingassetsinsupportoffutureorganicgrowth.

Kirkland LakeGold is focusedondelivering superior value for its shareholders, andall stakeholdersof theCompany, andmaintaining a positionwithin the goldmining industry as a sustainable, low-cost producer. Over the last two years, theCompanyhasachievedbothsignificantproductiongrowthand increased levelsofprofitabilityandcashflow.Throughtheeffective operation and advancement of expansion and exploration programs at the Company’s profitable, cash flowgeneratingassets,KirklandLakeGoldiswellpositionedtoachievefurtherincreasesinshareholdervalue.

A key component of the Kirkland Lake Gold’s business is its commitment to responsible mining. Consistent with thiscommitment,theCompanyisanindustryleaderinreducinggreenhousegasemissions,hasmadesignificantinvestmentstoenhance the safety andminimize the impacts of tailings facilities, and has increased the effectiveness of its reclamationprograms.Early in2021,theCompanypledgedtoachievenet-zerocarbonemissionsby2050orearlierandfollowedthatpledge with a commitment to invest $75 million per year for five years on technology, innovation and in providingcommunity support. Key areas of focus for these investments is advancing and commercializing alternative fuels andenergies, creating themines of the future through greater use of digitization, automation, connectivity, and investing incommunitiesinsuchkeyareasasmentalhealth,homelessness,addiction,seniorcareandyouthtraininganddevelopment.

FOREIGNEXCHANGERATES

AfterweakeningsharplyagainsttheUSdollar inQ12020,concurrentwiththeemergenceoftheCOVID-19pandemic,theCanadianandAustraliandollarsbegan strengtheningagainst theUSdollar starting inQ22020with this trend continuingthroughtheremainderof2020andintoQ22021.Asaresult,theaverageexchangeratesforQ22021includedC$toUS$of1.23andA$toUS$of1.30.Theseexchangeratescomparedto1.39and1.52,respectively,inQ22020and1.27and1.29,respectively,inQ12021.ComparedtoQ22020,changesinexchangeratesinQ22021resultedinanincreaseinoperatingcashcosts(1)ofapproximately$15million,operatingcashcostsperouncesold(1)of$45,andAISCperouncesold(1)of$70,sustainingcapitalexpenditures(1)ofapproximately$8millionandgrowthcapitalexpenditures(1)ofapproximately$8million.ComparedtoQ12021,exchangeratechangesincreasedoperatingcashcosts(1)byapproximately$3million,operatingcashcostsperouncesold(1)by$10andAISCperouncesold(1)by$13,sustainingcapitalexpenditures(1)ofapproximately$1millionandgrowthcapitalexpenditures(1)ofapproximately$2million.ForYTD2021,theaverageexchangeratesincludedC$toUS$of$1.25andA$toUS$of$1.30,whichcomparedto$1.36and$1.52, respectively, inYTD2020.ComparedtoYTD2020,exchangerate inYTD2021 increasedoperatingcashcosts(1)byapproximately$28million,operatingcashcostsperouncesold(1)by$40andAISCperouncesold(1)by$60,sustainingcapitalexpenditures(1)ofapproximately$13millionandgrowthcapitalexpenditures(1)ofapproximately$10million.

(1) TheForeignExchangeRatesdiscussion includes references toNon-IFRSmeasures.Thedefinitionand reconciliationof theseNon-IFRSmeasuresareincludedonpages35-42ofthisMD&A.


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EXECUTIVESUMMARY

The MD&A document provides a detailed review of information relevant to an assessment and understanding of theCompany’sconsolidated financialpositionand the resultsof itsconsolidatedoperations.This section is intended toassistreadersinterestedinacondensed,summaryreviewoftheCompany'sperformanceforthethreeandsixmonthsendedJune30,2021.ThissectionshouldbereadinconjunctionwiththeremainderoftheMD&A,whichdiscussesamongotherthings,riskfactorsimpactingtheCompany.

(in000'sofdollars,exceptpershareamounts)

ThreeMonthsEnded SixMonthsEnded

June30,2021 June30,2020 March31,2021 June30,2021 June30,2020

Revenue $662,736 $580,975 $551,846 $1,214,582 $1,135,713

Productioncosts 159,726 141,415 170,081 329,807 303,007

Earningsbeforeincometaxes 339,126 225,282 235,983 575,109 519,807

Netearnings $244,167 $150,232 $161,193 $405,360 $353,110

Basicearningspershare $0.91 $0.54 $0.60 $1.52 $1.32

Dilutedearningspershare $0.91 $0.54 $0.59 $1.51 $1.32

Cashflowfromoperatingactivities $330,571 $222,234 $208,174 $538,744 $463,740

CashinvestmentonminedevelopmentandPPE $199,344 $128,155 $165,475 $364,819 $238,792

(in000'sofdollars,exceptpershareamounts)



Tonnesmilled 6,143,064 5,863,282 5,952,141 12,095,204 9,981,386

AverageGrade(g/tAu) 2.0 1.8 1.7 1.8 2.1

Recovery(%) 95.3% 95.8% 95.1% 94.5% 95.8%

Goldproduced(oz) 379,195 329,770 302,847 682,042 660,634

GoldSold(oz) 364,575 341,390 308,029 672,605 685,976

Averagedrealizedprice($/ozsold)(1) $1,814 $1,716 $1,788 $1,802 $1,651

Operatingcashcostsperouncesold($/ozsold)(1) $431 $374 $542 $482 $407

AISC($/ozsold)(1) $780 $751 $846 $810 $763

Adjustednetearnings(1) $246,937 $219,345 $167,768 $414,704 $398,514

Adjustednetearningspershare(1) $0.92 $0.79 $0.63 $1.55 $1.49

Freecashflow(1) $131,227 $94,079 $42,699 $173,925 $224,948

(1) Non-IFRS-thedefinitionandreconciliationoftheseNon-IFRSmeasuresareincludedonpages35-42ofthisMD&A.


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Q22021OperatingPerformance

Production(Kozs)

329.8

379.2

Q22020 Q220210

100

200

300

400

Op.CashCosts($/oz)(1)

$374

$431

Q22020 Q22021

$200

$400

$600

AISC($/oz)(1)

$751 $780

Q22020 Q22021

$250

$500

$750


GoldproductioninQ22021totalled379,195ounces,a15%increasefrom329,770ouncesinQ22020and25%higherthan302,847ouncesthepreviousquarter.ProductioninQ22021exceededtargetlevelslargelyreflectingthefavourableimpactof continued grade outperformance and changes tomine sequencing at Fosterville. Production at Fosterville of 157,993ouncesincreasedfrom155,106ouncesforthesameperiodin2020and108,679ouncesinQ12021.ProductionatDetourLakewasaquarterrecordtotaling165,880ounces,26%higherthan131,992ounces inQ22020anda13%increasefrom146,731ouncesinQ12021,whileproductionatMacassaincreasedto55,322ounces,32%higherthan41,865ounceinQ22020anda17%increasefrom47,437ouncesinQ12021.ComparisonstoQ22020forbothDetourLakeandMacassaareimpactedbythefactthatbothminesweretransitionedtoreducedoperationsformostoflastyear’ssecondquarteraspartoftheCompany’sCOVID-19response,whichresultedinlowerthanplannedgradesandthroughputlevelsatbothmines.

ProductioncostsinQ22021totalled$159.7millionversus$141.4million(including$13.4millionofCOVID-19relatedcosts)inQ22020and$170.1million(including$2.9millionofCOVID-19relatedcosts)thepreviousquarter.StrongerCanadianandAustraliandollarsagainsttheUSdollarcomparedtoQ22020accountedfortheincreaseinproductioncostsfromthesameperiod in2020,whilethereductionfromQ12021was largelyrelatedtohighercapitalizedstrippingand lowerprocessingcostsatDetourLake.

Operating cash costs per ounce sold(1) averaged $431 in Q2 2021 compared to $374 in Q2 2020 and $542 in Q1 2021.Excludingthe impactofexchangeratechanges,operatingcashcostsperouncesold(1) inQ22021were largelyunchangedfromthesameperiodin2020.Operatingcashcostsperouncesold(1)atFostervilleaveraged$162versus$129inQ22020and$228thepreviousquarterwithastrongAustraliandollaraccountingforthemajorityoftheincreasefromQ22020,andtheremaindermainlydue to the impactofhigherminingcostsanda loweraveragegrade inQ22021.The improvementfromQ12021largelyrelatedtotheimpactofasignificantimprovementintheaveragegradeonsalesvolumesquarteroverquarter.Operatingcashcostperouncesold(1)atDetourLakeaveraged$610inQ22021versus$573forinQ22020and$748thepreviousquarter,whileoperatingcashcostsperouncesold(1)atMacassaaveraged$586comparedto$547inQ22020and$699 inQ12021.ForbothDetourLakeandMacassa,the increaseversusQ22020resultedfromastrongerCanadiandollar,withoperatingcashcostsperouncesold(1)improvingyearoveryearexcludingtheimpactofexchangerates.

AISCperouncesold(1)averaged$780inQ22021comparedto$751inQ22020and$846inQ12021.AISCperouncesold(1)in Q2 2021 was significantly better than target levels largely driven by higher than planned production and sales atFosterville. The increase in AISC per ounce sold(1) compared to Q2 2020 was largely driven by stronger Canadian andAustraliandollarsinQ22021.Excludingexchangeratechanges,AISCperouncesold(1) improvedbyapproximately5%yearoveryear,largelyreflectingthefavourableimpactofhigheraveragegradesandsalesvolumesatDetourLakeandMacassa.ContributingtotheimprovementinAISCperouncesoldfromthepreviousquarterwasthefavourableimpactofincreasedsalesvolumesatallthreeoftheCompany’soperatingmines.AISCperouncesold(1)atFostervilleaveraged$353comparedto$273inQ22020and$423inQ12021. InCanada,AISCperouncesold(1)atDetourLakeaveraged$996inQ22021versus$1,090inQ22020and$1,064inQ12021,whileAISCperouncesold(1)atMacassaaveraged$848inQ22021comparedto$841inQ22020and$947inQ12021.


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Q22021FinancialResultsandCondition

Revenue($M)

$581.0$662.7

Q22020 Q22021$0

$250

$500

$750

AdjustedNetEarningsPerShare($/Share)(1)

$0.79

$0.92

Q22020 Q22021

$0.40

$0.60

$0.80

$1.00

FreeCashFlow($M)(1)

$94.1

$131.2

Q22020 Q22021$0

$50

$100

$150


RevenueinQ22021totalled$662.7million,an$81.8millionor14%increasefromQ22020and$110.9millionor20%higherthan the previous quarter. Of the increase from Q2 2020, $41.7 million related to rate factors, mainly reflecting a 6%increase in the average realized goldprice(1) to $1,814perounce inQ22021,with the remaining$40millionof revenuegrowth resulting fromhigher gold sales (364,575 ounces versus 341,390 ounces inQ2 2020). Contributing to the $110.9millionincreaseinrevenuefromQ12021was$101millionrelatedtoan18%increaseingoldsalesfrom308,029ouncesthepreviousquarter,withanadditional$10millionofrevenuegrowthduetoratefactors,mainlyreflectinganincreaseintheaveragerealizedgoldprice(1)from$1,788perounceinQ12021.

NetcashprovidedbyoperatingactivitiesinQ22021totalled$330.6million,a49%increasefrom$222.2millioninQ22020and59%higherthan$208.2millionthepreviousquarter.TheincreaseinnetcashprovidedbyoperationsactivitiesfromQ22020mainlyresultedfromstrongearningsgrowthandthe impactofchanges innon-cashoperatingworkingcapital(1)andlower income taxes paid. During Q2 2021, a $98 million tax payment was made in Australia representing the final taxinstalmentforthe2020taxyear,whichcomparedtoafinaltaxinstalmentpaymentof$132.6millioninQ22020relatedtothe 2019 tax year. Higher net earnings and changes in non-cash operating working capital(1) mainly accounted for theincrease in net cashprovidedbyoperating activities compared toQ12021,with these factors only partially offset by anincreaseinincometaxespaidreflectingthe$98millionincometaxpaymentinAustraliainQ22021.

Freecashflow(1)totalled$131.2millioninQ22021,a39%increasefrom$94millioninQ22020andmorethantriplethe$42.7millionof freecash flow(1) inQ12021.Stronggrowth innet cashprovidedbyoperatingactivitiesmore thanoffsethigherlevelsofcapitalexpenditures,inaccountingfortheincreaseinfreecashflowfrombothpriorperiods.

Netearnings inQ22021wasarecord$244.2million,a63%increasefrom$150.2millioninQ22020and51%higherthan$161.2millionthepreviousquarter.ComparedtoQ22020,theincreaseinnetearningswasdrivenbyhigherrevenue,thefavourableimpactofotherincomeof$2.0millioninQ22021versusotherlossof$80.2millionforthesameperiodin2020,withotherlossinQ22020mainlyresultingfrom$72.8millionofforeignexchangelosses,aswellasalowereffectivetaxrateinQ22021versusQ22020.ThelowereffectivetaxrateinQ22021mainlyreflectedfavourabletaxadjustmentsduringthequarterresultingfromre-assessmentsofincometaxespaidinprioryears.Thesefactorsmorethanoffsethigherproductioncosts and depletion and depreciation expense in Q2 2021 compared to Q2 2020. Strong revenue growth also largelyaccounted forhighernetearnings compared to thepreviousquarter,with lowerproductioncostsanda reduction in theeffectivetaxratealsocontributingtotheincrease.

Earningspersharewasarecord$0.91inQ22021,69%higherthan$0.54inQ22020and52%higherthan$0.60inQ12021.Theincreasefrombothpriorperiodsresultedmainlyfromhighernetearnings,withhigherearningspersharecomparedtoQ22020also reflectinga reduction inaverage sharesoutstanding to267.1million inQ22021 from277.1million for thesameperiodin2020.ThereductioninaveragesharesoutstandingversusQ22020resultfromtherepurchaseof10.3millionsharessincethebeginningofQ22020throughtheCompany’snormalcourseissuerbid(“NCIB”).


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Adjusted net earnings(1) in Q2 2021 totalled $246.9 million ($0.92 per share), an increase of 13% from adjusted netearnings(1)of$219.3million($0.79pershare)inQ22020and47%higherthan$167.8million($0.63pershare)thepreviousquarter. Therewas nomaterial difference between net earnings and adjusted net earnings(1) inQ2 2021. The differencebetween net earnings and adjusted net earnings(1) in Q2 2020 related to the exclusion from adjusted net earnings(1) offoreignexchangelosses,COVID-19relatedcostsandrestructuringcostsresultingfromthesuspensionofbusinessactivitiesin the Northern Territory and the Holt Complex in April 2020. The difference between net earnings and adjusted netearnings(1) inQ12021mainlyrelatedtotheexclusionfromadjustednetearnings(1)ofwrite-offsrelatedtoproperty,plantandequipmentatHoltComplex,foreignexchangegains,aswellasCOVID-19relatedcosts.

Capitalexpenditures(1)inQ22021totalled$163.9million,withsustainingcapitalexpenditures(1)accountingfor$81.4millionandgrowthcapitalexpenditures(1)totalling$82.5million.Ofthe$82.5millionofgrowthcapitalexpenditures(1)inQ22021,$52.9millionwasatDetourLake,with$29.0millionrelatedtodeferredstrippingandtheremaindertocontinuedprogresswithkeygrowthprojectsandbusiness improvement initiatives. Growthcapitalexpenditures(1) atMacassa totalled$27.0million,with$12.9millionrelatedtothe#4Shaftproject,whichendedthequarteroveramonthaheadofscheduleandontrack for completion in late 2022. The remaining growth capital expenditures(1) atMacassa inQ2 2021 largely related toundergrounddevelopmentinsupportofthe#4Shaftprojectandexpendituresforanongoingventilationexpansionproject.Growth capital expenditures(1) at Fosterville totalled $2.1 million, which largely related to construction of a surfacerefrigerationplant.

Exploration expenditures totalled $45.7 million, including $38.7 million of capitalized expenditures and $7.0 million ofexpensed exploration expenditures,which compared to $25.0million ($22.6million of capitalized expenditures and $2.4millionofexpensedexpenditures)inQ22020and$42.4millionmillion($36.9ofcapitalizedexpendituresand$5.5millionofexpensedexpenditures)thepreviousquarter.DuringQ22021,theCompanyreportedadditionalencouragingdrillingresultsatDetourLake,includingnewwide,high-gradeintersectionsintheSaddleZone,whichfurtherconfirmedthecontinuityofthemineralized corridor (800metres along strike and800metres todepth) between theMainPit andplannedWest Pitlocation and highlighted the potential for significant growth in both open-pit and underground Mineral Resources.Subsequent to the end of Q2 2021, the Company reported additional encouraging drill results at Detour Lake and alsoreleasednewdrilling resultsatMacassa, includingwide,high-grade intersectionsoutsideofexistingMineralResources inmultiple directions around the SouthMine Complex (“SMC”). The results also included high-grade intersections near thecontact of the SMC and the Amalgamated Break and identified potential new areas of high-grademineralization to thesoutheastandfootwalltotheSMC.

Committedtoreturningcapitaltoshareholders◦ NormalCourseIssuerBid(“NCIB):TheCompanyrenewedtheNCIBinJune2021(the"2021NCIB");Under

theNCIB,theCompanyiseligibletorepurchaseupto26,694,105sharesbetweenJune9,2021andJune8,

2022◦ Automatic Share Purchase Plan (“ASPP”): Subsequent to renewing the 2021 NCIB, the Company

introduced an ASPP under which a designated brokermay purchase up to 5,000,000 shares at its solediscretionbasedonthepurchasingparameterssetoutbytheCompany,untiltheexpiryofthe2021NCIBonJune8,2022;untilallofthesharesarepurchasedundertheASPPorthe2021NCIB;oruntiltheASPPisterminatedbytheCompanyinaccordancewiththeprovisionsoftheASPP.

◦ $62.0 million returned to shareholders: During Q2 2021, $62.0 million was returned to shareholders,including$50.1millionforthepaymentoftheQ12021quarterlydividendof$0.1875pershareonApril14,2021toshareholdersofrecordonMarch31,2021,with$12.0millionbeingusedtorepurchase300,000sharesinJunepursuanttothe2021NCIB(allshareswererepurchasedthroughtheASPP);subsequenttoJune30,2021,945,000sharesrepurchasedinJuly2021for$37.7million.

CashPosition at June30, 2021 totalled$858.4millionwithnodebt versus$792.2millionatMarch31, 2021and$847.6millionatDecember31,2020.TheincreaseincashduringQ22021largelyresultedfromstrongcashflow,whichwasonlypartiallyoffsetbyhighercapitalexpendituresandincometaxpaidinQ22021,aswellasthe$62.0millionofcashreturnedtoshareholdersduringthequarter.


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YTD2021OperatingPerformance

Revenue($M)

$1,135.7 $1,214.6

YTD2020 YTD2021$0

$500

$1,000

$1,500


1.32

$1.52

YTD2020 YTD2021$0.40

$0.80

$1.20

$1.60

FreeCashFlow($M)(1)

$224.9

$173.9

YTD2020 YTD2021$0

$100

$200

$300


GoldproductioninYTD2021totalled682,042ounces,a3%increasefromYTD2020reflectinghigherproductionatDetourLakeandMacassa.ProductionatDetourLaketotalled312,611ouncesversus223,547ouncesforfivemonthsinYTD2020after theDetourLakeacquisitiononJanuary31,2020(270,043ounces for fullYTD2020)).Onacomparablebasis,higherlevels of production at Detour Lake mainly reflected a 12% improvement in the average grade resulting from minesequencing as well as the impact of processing low-grade stockpiles during Q2 2020 while the mine was on reducedoperationsaspartof theCompany’sCOVID-19response.ProductionatMacassa inYTD2021totalled102,759ounces,an11%increasefromthesameperiodin2020reflectingahigheraveragegradeandincreasedtonnesprocessed.AtFosterville,productiontotalled266,672ouncescomparedto314,970ounces forYTD2020.Thechange inproduction fromYTD2020reflectedaloweraveragegradeconsistentwiththeCompany’spreviouslystatedplantoreduceproductionintheSwanZoneby increasingminingactivities inother, lower-grade,areasof themine,with the intentionofcreatingamoresustainableoperation over a longer periodwhile the Company continues its extensive exploration program. Production in YTD 2020included 29,391 ounces from the Holt Complex, almost all of which was in the first quarter prior to operations beingsuspendedeffectiveApril2,2020.

ProductioncostsinYTD2021totalled$329.8million(including$3.8millionofCOVID-19relatedcosts)versus$303.0million(including $13.4million of COVID-19 related costs) in YTD 2020. The increase in production costs year over yearmainlyreflectedstrongerCanadianandAustraliandollarsinYTD2021versusthesameperiodin2020.IncludedinproductioncostsinYTD2020was$173.6millionatDetourLakeforthefivemonthsendedJune30,2020(productioncoststotalled$196.3millionatDetourLakeforthefullYTD2020).TheimpactofonlyfivemonthsofproductioncostsatDetourLakewasoffsetby$36.1millionofproductioncostsincludedinYTD2020relatedtotheHoltComplex.

Operating cash costs per ounce sold(1) averaged $482 in YTD 2021 compared to $407 for the same period in 2020withstrongerCanadianandAustraliandollarsinYTD2021accountingforthemajorityoftheincrease.Operatingcashcostsperouncesold(1)atFostervilleaveraged$192inYTD2021versus$127inYTD2020,withastrongAustraliandollar,highermineproductioncostsreflectingincreasedtonnesdrawnandtheimpactofaloweraveragegradeonsalesvolumesinYTD2021largelyaccountingfortheincrease.Operatingcashcostsperouncesold(1)atDetourLakeaveraged$674inYTD2021versus$628 inYTD2020,with the increase reflectinga strongerCanadiandollar inYTD2021.Excluding the impactofexchangerates,operatingcashcostsperouncesold(1)atDetourLake improvedyearoveryearreflectingthefavourable impactofahigher average grade and tonnes processed on sales volumes, which more than offset higher mining and milling costscomparedtoYTD2020.AtMacassa,operatingcashcostsperouncesold(1)averaged$639comparedto$541forthesameperiodin2020withtheincreasereflectingastrongerCanadiandollarinYTD2021aswellasincreasedmineoperatingcosts,partiallyoffsetbythefavourableimpactofahigheraveragegradeandincreasedtonnesprocessedonsalesvolumes.

AISC per ounce sold(1) averaged $810 in YTD 2021 compared to $763 in YTD 2020,with the increase resulting from thestrongerCanadianandAustraliandollarsyearoveryear.AISCperouncesold(1)atFostervilleaveraged$385versus$293inYTD2020withtheincreaseslargelyreflectingexchangeratechangesaswellastheimpactofaloweraveragegradeonsalesvolumes.AISCperouncesold(1)atDetourLakeaveraged$1,027,a6%improvementfrom$1,098inYTD2020astheimpact


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ofa strongerCanadiandollarwasmore thanoffsetby lower sustainingcapitalexpenditures(1) inYTD2021 largelydue toreduced expenditures for deferred stripping, with the majority of these expenditures in 2021 being included in growthcapitalexpenditures(1).AISCperouncesold(1)atMacassaaveraged$895versus$846forthesameperiodin2020.ExcludingtheimpactofastrongerCanadiandollar,AISCperouncesold(1)atMacassaimprovedbyapproximately8%yearoveryeardriven by higher sales volumes aswell as lower sustaining capital expenditures(1) due largely to reduced levels of capitaldevelopmentandmaintenancecostsinYTD2021.

YTD2021FinancialResults

Revenue($M)

$1,135.7 $1,214.6

YTD2020 YTD2021$0

$500

$1,000

$1,500


$1.49 $1.55

YTD2020 YTD2021$0.40$0.60

$0.80$1.00

$1.20$1.40

$1.60$1.80

FreeCashFlow($M)(1)

$224.9

$173.9

YTD2020 YTD2021$0

$100

$200

$300


Revenue inYTD2021totalled$1,214.6million,an increaseof$78.9millionor7%from$1,135.7million inYTD2020.Theincreaseinrevenuewasdrivenbya9%increaseintheaveragerealizedgoldprice(1),to$1,802perounceinYTD2021from$1,651perounceforthesameperiodin2020,whichresultedinrevenuegrowthfromratefactorsof$101million.Partiallyoffsettingtheimpactofahigheraveragerealizedgoldprice(1)wasareductionof$22millionrelatedtolowergoldsales.GoldsalesinYTD2021totalled672,605ouncescomparedto685,976ouncesinYTD2020.

Netcashprovidedbyoperatingactivities inYTD2021totalled$538.7million,a16% increase from$463.7million inYTD2020mainlyreflectingsolidgrowthinnetearningscomparedtoYTD2020.

Freecashflow(1)totalled$173.9millionversus$224.9millioninYTD2020astheimpactofincreasednetcashprovidedbyoperatingactivitieswasmore thanoffsetbyhigher levelsof capitalexpendituresas theCompanyadvancedanumberofsignificantgrowthprojects,mainlyatMacassaandDetourLake,inYTD2021.

Netearnings inYTDtotalled$405.4million($1.52pershare),a15%increasefrom$353.1million($1.32pershare)inYTD2020.Theincreaseinnetearningscomparedtothesameperiodayearearliermainlyreflectedrevenuegrowth,theimpactof$33.8millionoftransactionfeesinYTD2020relatedtotheDetourGoldacquisition,andalowereffectivetaxrateinYTD2021.Thesefactorswereonlypartiallyoffsetbyhigherproductioncostsanddepletionanddepreciationexpense.

Adjusted net earnings(1) totalled $414.7 million ($1.55 per share) similar to the net earnings for the period, with thedifferencemainlyreflectingtheexclusionfromadjustednetearningsofwrite-offsrelatedtoproperty,plantandequipmentatHoltComplex inQ12021,costsrelatedtonon-operatingassets,mainly intheNorthernTerritoryandCOVID-19relatedcosts, partially offset by the exclusion of foreign exchange gains. The difference between net earnings and adjusted netearnings(1)forYTD2020reflectedtheexclusionfromadjustednetearnings(1)ofthe$33.8millionoftransactionfeesrelatedto the Detour Gold acquisition, as well as costs related to the Company’s COVID-19 response, restructuring costs andseveranceexpense.

Capital expenditures(1) in YTD 2021 totalled $270.7million, with sustaining capital expenditures(1) accounting for $141.9millionandgrowthcapitalexpenditures(1)totalling$128.8million.Ofthe$128.8millionofgrowthcapitalexpenditures(1)inYTD 2021, $80.7 million related to Detour Lake with deferred stripping accounting for $43.9 million and the remainderlargelyduetomobileequipmentprocurementandinvestmentsinkeyprojectstoincreaseprocessingcapacityandenhance


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surfaceinfrastructure.Growthcapitalexpenditures(1)atMacassatotalled$43.0million,with$21.8millionrelatedtothe#4Shaftproject,which remainedaheadof scheduleat June30,2021andwason track for completion in late2022.Growthcapitalexpenditures(1)atFostervilletotalled$3.8million,mainlyrelatedtoconstructionofasurfacerefrigerationplantandlandprocurement.

Exploration expenditures totalled $88.1million, including $75.6million of capitalized expenditures and $12.5million ofexpensed exploration expenditures, which compared to $59.6million of exploration and evaluation expenditures in YTD2020,including$51.3millionofcapitalizedexpendituresand$8.3millionofexpensedexplorationexpenditures.

$158.6million returned to shareholders, including$100.3million for twoquarterlydividends,both totalling$0.1875pershare,withtheQ42020paymentmadeonJanuary14,2021toshareholdersofrecordonDecember31,2020andtheQ12021quarterlydividendpaidonApril14,2021toshareholderofrecordonMarch31,2021.Anadditional$58.3millionwasusedtorepurchase1,374,100sharesthroughtheCompany’sNCIB,with1,074,100sharesrepurchasedinJanuary2021for$46.3million,and300,000sharesrepurchasedinJunefor$12.0millionundertheNCIBandintroductionoftheASPP.The300,000sharesrepurchasedinJunewereallpurchasedthroughtheASPP.

Q22021–OtherKeyHighlights

Progresstowardskeyvalue-creationcatalysts◦ Detour Lake:After releasing a new technical report and life-of-mineplan (“LOMP”) onMarch 31, 2021(2),which

includedsignificantproductiongrowthandimprovedunitcostscomparedtopreviousoperatingexperience,DetourLakecontinuedtoachievesignificantexplorationsuccessandadvancekeygrowthprojectsduringQ22021.Thefullimpactofexploration successachievedandbusiness improvement initiativesundertaken since theacquisitionofDetourLakewillbeincludedinanewtechnicalreportandLOMPtargetedforreleaseduringthefirsthalfof2022.TheCompanyexpectsthenewtechnicalreportandLOMPtoincludesignificantvaluecreationopportunitiesfortheDetourLakeoperation.

◦ Macassa:The#4ShaftprojectremainedoveramonthaheadofscheduleattheendofQ22021andwasontrackforcompletioninlate2022.Oncecompleted,productionatMacassaistargetedtogrowtoover400,000ouncesperyearat significantly improvedunitcosts. Inaddition,workingconditionswillbe improvedat themine,with totalventilation expected tomore than double. The new shaft will also promote future exploration activities as theCompanyworkstocontinuetogrowtheSMCandtoexploretheMain/’04BreakandAmalgamatedBreakacrosstheKirklandLakecamp.

◦ Fosterville:InadditiontoachievingstrongerthanexpectedoperatingresultsinbothQ22021andYTD2021,otherkeyareasofprogresswereachievedduringYTD2021insupportoffutureexplorationandoperatingsuccess.IntheLowerPhoenixSystem,anewdrilldrive(DrillDrive3912)wascompletedinJune2021withfiveundergrounddrillsbeingdeployedbytheendofthemonthtotestthedown-plungeextensionoftheSwanZone.Inaddition,thetwinexplorationdrivefromFostervilletoRobbin’sHillreachedatotalof5,557metresofadvanceasofJune30,2021,withundergrounddrillingofRobbin’sHilltargetsnowexpectedtocommenceinQ32021.

CommitmenttoResponsibleMining:Earlyin2021,theCompanypledgedtoachievenet-zerocarbonemissionsby2050orearlierandfollowedthatpledgewithacommitmenttoinvest$75millionperyearforfiveyearsontechnology,innovationand inproviding community support.DuringQ22021,progresswasachieved inanumberof keyareas in supportof theCompany’s responsible mining commitments. In the area of community support, the Company launched a $12 millionAustralianCommunityPartnershipProgramtosupportpost-COVIDrecoveryservicesintheBendigoarea,withpartnershipsentered into to date including: Haven Home Safe; Bendigo Foodshare; Bendigo Tech School – Girls in STEAM; BendigoBasketballStadium;NorthCentralLocalLearningandEmploymentNetwork(LLEN);andAxedaleCampGetaway.InKirklandLake,Ontario, theCompany committed$4.1million to fundmultipleprojects at theKirkland LakeHospital, including theredevelopmentofthehospital’sEmergencyDepartment,aswellastheprocurementofsignificantequipmentencompassingmammography,ultrasound,andpoint-of-care laboratoryequipment.Buildingon its leadership inminimizingandreducingcarbonemissions,theCompanytookadditionalstepsinQ22021toachievefurtherreductions,includingcompletingthird-party greenhouse gas audits of its operations and improving tracking andmodeling of emissions levels. In addition, theCompany continued to build its battery-powered fleet atMacassa, adding a second Z-50 haul truck, theworld’s first 50-tonnebattery-poweredundergroundhaultruck.


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COVID-19 Response: The Company’s health and safety protocols related to the COVID-19 pandemic remained in placethroughoutQ22021andwereenhancedwith therolloutofvaccinationprograms foremployeesatMacassaandDetourLake. In Kirkland Lake, the Company worked with the local health unit to make vaccines available to all employees atMacassa, with Detour Lake running vaccination clinics at the Cochrane Bus Terminal for employees, contractors andmembersofthelocalcommunitystartinginlateJune.

In late April 2021, 11 workers (employees and contractors) at Macassa’s near-surface exploration ramp project testedpositivefortheCOVID-19virus.Theeventwasclassifiedasanoutbreakunderthecriteriafollowedbythelocalhealthunit.Duringtheoutbreak,workontheexplorationrampwassuspendedforapproximatelysevendayswhiletheentireprojectworkforcewastestedusingrapidtestingkits.WorkresumedattheprojectwithnoadditionaltransmissionsbeingreportedandtheoutbreakwasdeemedresolvedbythelocalhealthunitonMay12,2021.

AtDetourLake,9workers(employeesandcontractors)testedpositiveforCOVID-19inlateMay,whichwasalsoclassifiedasanoutbreakbythelocalhealthunit.Duringthistime,theCompanyaddedadditionalresourcestocompleterapidtestinginthecampatDetour,completingmorethan1,000testsinlessthan36hours.Twoadditionalpositiveresultswereidentifiedasaresultofthistesting.TheoutbreakwasdeclaredresolvedonJune4,2021andnofurtherpositivetestshaveoccurredsincetheoutbreakinMay.

(1) TheExecutiveSummarysectionincludesreferencestoNon-IFRSmeasures.ThedefinitionandreconciliationoftheseNon-IFRSmeasuresareincludedonpages35-42ofthisMD&A.

(2) ReadersarereferredtotheCompany’sPressReleasedatedFebruary25,2021andtheCompany’sNI43-101TechnicalReportentitled“DetourLakeOperation, Ontario, Canada, NI 43-101 Technical Report” effective December 31, 2020 as filed with the applicable regulatory authorities and thedetailedMineralReserveandMineralResourceestimatesandfootnotessetouttherein.

FULL-YEAR2021GUIDANCE-ISSUEDONDECEMBER10,2020

TheCompany’sfull-yearguidancefor2021wasannouncedinapressreleasedatedDecember10,2020andwasmaintainedattheCompany’sQ12021boardmeetingonMay5,2021.IncludedintheCompany’sconsolidatedguidancefortheyearistargetproductionof1,300,000–1,400,000ounces (1,369,652ouncesproduced in2020),operating cashcostsperouncesold(1) of $450–$475 ($404 in2020) andAISCperounce sold(1) of $790–$810 ($800 in2020). TheCompany’s full-yearguidanceassumesstrongproductiongrowthandimprovedunitcostsatbothDetourLakeandMacassacomparedto2020,partially offset by lower production and higher unit costs at Fosterville as themine transitions to a lower-grade, higher-tonnage production profile reflecting efforts by the Company to create a more sustainable operation by extending theproduction life of the Swan Zone. Also included in full-year 2021 consolidated guidance is higher growth capitalexpenditures,(1)withtheexpectedincreasemainlyatDetourLakereflectingashiftofdeferredstrippingcostsfromsustainingcapitalexpenditures(1) togrowthcapitalexpenditures(1) aswellasplans tocompleteanumberofgrowthcapitalprojects,including investments in mill improvements, increased tailings capacity, completion of an assay lab (constructioncommencedin2020),andairstripandotherenhancementstositeinfrastructure.Explorationexpenditureguidanceforfull-year2020totals$170–$190million,withextensiveexplorationprogramsbeingcarriedoutatallthreeoftheCompany’scornerstoneassets.


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Full-Year2021Guidance

($millionsunlessotherwisestated)(1) Macassa DetourLake Fosterville Consolidated

Goldproduction(kozs) 220–255 680–720 400–425 1,300-1,400

Operatingcashcosts/ouncesold($/oz)(2) $450-$470 $580-$600 $230-$250 $450-$475

AISC/ouncesold($/oz)(2) $790-$810

Operatingcashcosts($M)(2) $600-$630

Royaltycosts($M) $82-$88

Sustainingcapital($M)(2)(3) $280-$310

Growthcapital($M)(2)(3) $250-$275

Exploration($M)(4) $170-$190

CorporateG&A($M)(5) $50-$55

(1) TheCompany’s2021guidanceassumesanaveragegoldpriceof$1,800perounceaswellasaUS$toC$exchangerateof1.31andaUS$toA$exchangerateof1.39.Assumptionsusedforthepurposesofguidancemayprovetobeincorrectandactualresultsmaydifferfromthoseanticipated.

(2) See“Non-IFRSMeasures”setoutstartingonpage35ofthisMD&Aforfurtherdetails.ThemostcomparableIFRSMeasureforoperatingcashcosts,operatingcashcostsperounce soldandAISCperounce sold isproductioncosts,aspresented in theConsolidatedStatementsofOperationsandComprehensive Income,and totaladditionsandconstructioninprogressforsustainingandgrowthcapital.

(3) Capitalexpendituresexcludecapitalizeddepreciation.(4) ExplorationexpendituresincludecapitalexpendituresrelatedtoinfilldrillingforMineralResourceconversion,capitalexpendituresforextensiondrillingoutsideofexisting

MineralResourcesandexpensedexploration.Alsoincludescapitalexpendituresforthedevelopmentofexplorationdrifts.(5) Excludesshare-basedpaymentexpense(includingexpenserelatedtosharepricechanges).

YTD2021Results

($millionsunlessotherwisestated)(1) Macassa DetourLake Fosterville Consolidated

Goldproduction(kozs) 102,759 312,611 266,672 682,042

Operatingcashcosts/ouncesold($/oz)(2) $639 $674 $192 $482

AISC/ouncesold($/oz)(2) $810

Operatingcashcosts($M)(2) $324.1

Royaltycosts($M) $40.8

Sustainingcapital($M)(2)(3) $141.9

Growthcapital($M)(2)(3) $128.8

Exploration($M)(4) $88.1

CorporateG&A($M)(5) $30.4

(1) AverageexchangeratesinYTD2021includedaUS$toC$exchangerateof1.25andaUS$toA$exchangerateof1.30.(2) See“Non-IFRSMeasures”setoutstartingonpage35ofthisMD&Aforfurtherdetails.ThemostcomparableIFRSMeasureforoperatingcashcosts,operatingcashcostsper

ounce soldandAISCperounce sold isproductioncosts,aspresented in theConsolidatedStatementsofOperationsandComprehensive Income,and totaladditionsandconstructioninprogressforsustainingandgrowthcapital.

(3) Capitalexpendituresexcludecapitalizeddepreciation.(4) ExplorationexpendituresincludecapitalexpendituresrelatedtoinfilldrillingforMineralResourceconversion,capitalexpendituresforextensiondrillingoutsideofexisting

MineralResourcesandexpensedexploration.Alsoincludescapitalexpendituresforthedevelopmentofexplorationdrifts.(5) Excludesshare-basedpaymentexpense(includingexpenserelatedtosharepricechanges).

▪ Gold production in YTD 2021 totalled 682,042 ounces, with the Company ending the first half of 2021 on track toachievethetophalfthefull-year2021consolidatedproductionguidanceof1,300,000–1,400,000ounces.ProductionatFostervilleof266,672ouncesexceededtargetlevelsinYTD2021largelyduetosignificantgradeoutperformanceintheSwanZoneaswellaswellaschangestominesequencingduringQ22021withhigh-gradeSwanZonestopesinitiallyplanned for Q4 2021 being advanced into Q2 2021. Based on the operation’s performance in YTD 2021, andexpectationsfortheremainderoftheyear,Fostervilleisexpectedtomeet,andpotentiallybeat,thefull-yearguidancerange of 400,000 – 425,000 ounces. Production at Detour Lake in YTD 2021 totalled 312,611 ounces, in line withexpectedlevels.DetourLakeistargetinghigherlevelsofmillthroughputandcontinuedimprovementinaveragegradesoverthebalanceof2021withtheoperationcontinuingtotargetfull-year2021productionof680,000–720,000ounces.ProductionatMacassainYTD2021totalled102,759ounces,slightlybelowtargetlevelsforthefirsthalfoftheyear.TheCompanyexpects higher grades atMacassaover the remainderof 2021with themine continuing to target full-year2021productionof220,000–255,000ounces.


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▪ Productioncosts forQ22021totalled$329.8million,whileoperatingcashcosts(1) totalled$324.1million, in linewithtargetlevels.

▪ Operatingcashcostsperouncesold(1)forYTD2021averaged$482,betterthanplannedlevelsforthefirsthalfoftheyearmainlyduetothefavourableimpactonsalesvolumesofsignificantgradeoutperformanceatFosterville.AtJune30,2021,theCompanywaswellpositionedtoachievethefull-year2021consolidatedoperatingcashcostsperounce(1)guidanceof$450–$475.Operatingcashcostsperouncesold(1)atFostervilleaveraged$192inYTD2021comparedtofull-year2021guidanceof$230–$250.Whileoperating cashcostsperounce sold(1) areexpected to increase in thesecondhalfoftheyearatFosterville,reflectinglowerproductionandsalesvolumes,themineenteredthethirdquarterontracktoachieve,andpotentiallybeat,itsguidanceforfull-year2021.Operatingcashcostsperouncesold(1)atDetourLakeaveraged$674,higherthantheguidancerangeof$580–$600. Withproductionontracktoincreaseduringthesecondhalfoftheyear,reflectingbothhighergradesandincreasedtonnesprocessed,operatingcashcostsperouncesold(1)atDetourLakearetargetedtoimprove,withfull-year2021guidanceremainingat$580–$600.Operatingcashcostsperouncesold(1)atMacassaaveraged$639 inYTD2021versus full-year2021guidanceof$450–$470. WhileMacassa ispositioned for significant improvement inoperatingcashcostsperouncesold(1)during thesecondhalfof2021, driven largely by higher average grades and increasedproduction and sales volumes, operating cash costs perounce sold(1) for full-year 2021 are now expected to exceed the existing guidance range. As indicated above, theCompanycontinuestotargetfull-year2021consolidatedoperatingcashcostsperouncesold(1)of$450–$475.

▪ AISCperouncesold(1)forYTD2021averaged$810,betterthantargetlevelsofthefirsthalfoftheyearandinlinewithfull-year 2021 guidance of $790 –$810. The better than expectedAISC per ounce sold(1) in YTD 2021 resulted fromhigherthanplannedsalesvolumesatFosterville,whereAISCperouncesold(1)averaged$385inYTD2021,drivenlargelybysignificantgradeoutperformanceintheSwanZone.AISCperouncesold(1)atFostervilleisexpectedtoincreaseoverthebalanceof2021 reflecting lower salesvolumesandaveragegrades compared toYTD2021 levels,whileAISCperouncesold(1)atDetourLake($1,027inYTD2021)andMacassa($895inYTD2021)aretargetedtoimproveduringthefinaltwoquartersof2021.TheCompanycontinuestotargetfull-year2021consolidatedAISCperouncesold(1)of$790–$810.

▪ Royalty costs for YTD 2021 totalled $40.8million and continues to target full-year 2021 royalty costs of $82 – $88million.

▪ Sustainingcapitalexpenditures(1)forYTD2021totalled$141.9million,excludingcapitalizeddepreciation,belowtargetlevels for the first half of the year, largely reflecting lower thanplanned capital development andmobile equipmentprocurementatbothMacassaandFosterville.Sustainingcapitalexpenditures(1)areexpectedtoincreaseinthesecondhalfof2021withtheCompanycontinuingtotarget$280–$310forfull-year2021.

▪ Growthcapitalexpenditures(1)totalled$128.8millionforYTD2021(excludingcapitalizedexploration)comparedtofull-year2021guidanceof$250–$275million.Ofgrowthcapitalexpenditures(1)inYTD2021,$80.7millionwereatDetourLake,including$43.9millionrelatedtodeferredstrippingwiththeremaining$36.8millionrelatedtotheprocurementofmobileequipmentandprojectsinvolvingthetailingmanagementarea,processplantaswellasconstructionofanewassaylabandairfield.Growthcapitalexpenditures(1)atMacassatotalled$43.0million,with$21.8millionrelatedtothe#4Shaftproject,whichreached5,600feetofadvanceasatJune30,2021,and$10.0millionforaventilationexpansionprojectinvolvingdevelopmentoftwoventilationraises.Growthcapitalexpenditures(1)atFostervilletotalled$3.8millionlargelyrelatedtoconstructionofasurfacerefrigerationplantandlandprocurement.TheCompanycontinuestotargetfull-year2021growthcapitalexpenditures(1)of$250–$275million.

▪ ExplorationexpendituresforYTD2021totalled$88.1million(includingcapitalizedexploration).Ofthe$88.1millionofexplorationexpendituresinYTD2021,$43.7millionwasatFostervillewheredrillinganddevelopmentcontinuedintheLowerPhoenixSystem,aswellasatRobbin’sHill,CygnetandHarrier.ExplorationexpendituresatMacassainYTD2021totalled$21.9millionwithdrillingmainly targetingthecontinuedexpansionof theSMCandtestingtargetsalongtheAmalgamatedBreak.DetourLakeaccountedfor$19.3millionofexplorationexpendituresinYTD2021,withremainingexplorationexpendituresmainlyrelatedtodrillingatHoltComplexandregionaltargetsinNorthernOntario.

▪ Corporate G&A expense for YTD 2021 totalled $30.4million, with the Company continuing to target full-year 2021CorporateG&Acostsof$50–$55million.


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ForeignExchangeRateImpactofPerformanceAgainstGuidance

TheCompany’sfull-year2021guidanceisbasedonassumedanaverageUS$toC$exchangerateof1.31andaUS$toA$exchangerateof1.39.Afterweakeningagainst theUSdollarearly in2020with theoutbreakof theCOVID-19pandemic,boththeCanadianandAustraliandollarsbeganstrengtheninginthesecondhalfoftheyearandstrengthenedfurtherearlyin2021.Asaresult,theCompany’saverageexchangeratesforYTD2021includedaUS$toC$exchangerateof1.25andaUS$toA$exchangerateof$1.30.TheimpactofthestrongerCanadianandAustraliandollarsonkeyperformancemeasuresinYTD2021versusYTD2020isoutlinedinthesectionentitled“ForeignExchangeRates”earlierinthisMD&A.ShouldtheUS$ to C$ andUS$ toA$ exchange rates remain at levels existing at June 30, 2021 (See “External PerformanceDrivers”sectionbelow)fortheremainderoftheyear,theCompanywouldexpecttofinish2021aroundthetopendofitsfull-year2021consolidatedguidancerangesforoperatingcashcosts(1),operatingcashcostsperouncesold(1),AISCperouncesold(1),sustainingcapitalexpenditures(1)andgrowthcapitalexpenditures(1).

(1) TheFull-Year2021GuidancesectionincludesreferencestoNon-IFRSmeasures.ThedefinitionandreconciliationoftheseNon-IFRSmeasuresareincludedonpages35-42ofthisMD&A.

LONG-TERMOUTLOOK

Kirkland LakeGold is committed to generating returns for shareholders, and all stakeholders, by achieving high levels ofoperationalexcellence, investing in futuregrowthandvalue creation,bothat itsexisting cornerstoneassetsand throughpotential acquisitions, continuing to return capital to shareholders. and by maintaining an overriding commitment toresponsiblemining. TheCompanyhas achieved significant growthover the last several years, increasingproduction from596,405 ounces in 2017 to 1,369,652 ounces in 2020. The Company continues to target significant organic growth inproductionand/orminelife,includingthroughthecompletionoftheMacassa#4Shaftproject,multipleprojectsatDetourLakeandtheRobbin’sHillexplorationdriveatFosterville,aswellasthroughcontinuedexplorationsuccessatall threeoftheseassets.TheCompanywillalsoselectivelypursuegrowthandvaluecreationthroughadditionalexternal transactionswhere it sees an opportunity to enhance the value of assets by investing capital, exploring and applying the Company’sextensivetechnicalexpertise.

The acquisition of Detour Gold on January 31, 2020 was an important development for the Company in its efforts togenerate long-term value and attractive returns. Detour Lake is a large-scale, high-quality asset with significant currentproduction, attractive growth potential and substantial unit-cost improvement opportunities. The 2021 Detour LakeTechnicalReportand2021LOMP,issuedonMarch31,2021,includedsolidproductiongrowthcomparedtopreviousmineplans, lowunitcostsanda22-yearproduction life.While importantmilestones, theyareexpectedtobesupersededbyanewtechnical reportand mineplan in2022thattheCompanyexpectswill includesignificantvaluecreationpotentialbyincorporating the considerable exploration success achieved at Detour Lake as well as the full impact of businessimprovementinitiativesundertakensincetheacquisition.

AnotherkeycommitmentfortheCompanyisreturningcapitaltoshareholdersthroughdividendsandsharerepurchases.Atotalof$1.1billionwasreturnedtoshareholderfromthebeginningof2020toJuly28,2021,including$828.4millionusedtorepurchase 21.2 million shares through the Company’s NCIB and $266.2 million in quarterly dividend payments. TheCompanytripledthequarterlydividendin2020throughtwodividendincreases,from$0.06persharewhentheyearbeganto $0.1875 per share effective theQ4 2020 dividend payment,whichwasmade on January 14, 2021 to shareholders ofrecordonDecember31,2020.Sincethen,theCompanyhasmadetwoadditionalquarterlydividendpaymentsof$0.1875pershare,theQ12021paymentonApril14,2021toshareholdersofrecordonMarch31,2021,andtheQ22021dividendpaymentonJuly14,2021toshareholdersofrecordonJune30,2021.

Recognizing that a fundamental requirement for long-term value creation is maintaining social license to operate, theCompanyhasmadesubstantialprogressinitsreportinganddisclosuresaroundEnvironment,SocialandGovernanceissues,publishing its updated Sustainability Report for 2020/2021, including Sustainable Accounting Standards Board (“SASB”)disclosures andmetrics forMetals andMining. Consistentwith its commitment to responsiblemining, in early 2021 theCompanypledgedtoachievenet-zerocarbonemissionsby2050orearlierandfollowedthatpledgewithacommitmenttoinvest$75millionperyearforfiveyearsontechnology,innovationandinprovidingcommunitysupport.Keyareasoffocusfor these investments is advancing and commercializing alternative fuels and energies, creating themines of the futurethrough greater use of digitization, automation, connectivity, and investing in communities in such key areas asmentalhealth,homelessness,addiction,seniorcareandyouthtraininganddevelopment.


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Kirkland Lake Gold’s significant financial strength and solid financial position provides financial flexibility to support theCompanyinexecutingallaspectsofitslong-term,value-creationstrategy.

EXTERNALPERFORMANCEDRIVERS

The Company’s results of operations, financial position, financial performance and cash flows are affected by variousbusinessconditionsandtrends.Thevariabilityofgoldprices, fluctuatingcurrencyratesand increasesand/ordecreases incostsofmaterialsandconsumablesassociatedwiththeCompany’sminingactivitiesaretheprimaryeconomicfactorsthathave impacted financial results during the three and six months ended June 30, 2021. The Company’s key internalperformance drivers are production volumes and costs which are discussed throughout this MD&A. The key externalperformancedriversarethepriceofgoldandforeignexchangerates.

GoldPrice

The price of gold is a significant external factor affecting profitability and cash flow of the Company and therefore, thefinancialperformanceof theCompany isexpectedtobeclosely linkedtothepriceofgold.Thepriceofgold issubject tovolatile fluctuations over short periods of time and can be affected by numerous macroeconomic conditions, includingsupplyanddemandfactors,valueoftheUSdollar,interestrates,andglobaleconomicandpoliticalissues.

At June 30, 2021, the gold price closed at $1,763 per ounce (based on the closing price on the London BullionMarketAssociation (“LBMA”)pm fix),which compared to the closing goldpriceof $1,888perounceonDecember31, 2020and$1,768perounceatJune30,2020.TheCompany’saveragerealizedgoldprice(1)forQ22021was$1,814perounceversus$1,716perounceinQ22020and$1,788perouncethepreviousquarter.ForYTD2021,theaveragedrealizedgoldpricewas$1,802perounceversus$1,651perounceforthesameperiodin2020.

Kirkland Lake Gold does not have a precious metals hedging program and management believes the Company is wellpositionedtobenefitfrompotentialincreasesinthepriceofgoldwhilecontinuingtofocusoncostmanagementandmineefficienciesfromitsexistingminesinordertomitigateagainstgoldpricedecreases.

ForeignExchangeRates

The Company’s reporting currency is the US dollar; however, the operations are located in Canada and Australia. Thefunctional currencyof theCompanyand itsCanadian subsidiariesup toDecember31,2020was theCanadiandollar; thefunctional currency for all of the Australian subsidiaries is the Australian dollar. Consequently, the Company’s operatingresults are influenced significantly by changes in the US dollar exchange rates against these currencies. Weakening orstrengtheningCanadianandAustraliandollarsrespectivelydecreaseor increasecosts inUSdollartermsattheCompany’sCanadianandAustralianoperations,asalargeportionoftheoperatingandcapitalcostsaredenominatedinCanadianandAustraliandollars.

TheCompanyelected to change the tax reporting currencyof its Canadian subsidiaries from theCanadian to theUnitedStatesdollareffectiveJanuary1,2021.Thischangeintaxreportingcurrencyresultedinare-assessmentoftheprimaryandsecondary factors under IAS 21 “The Effects of Changes in Foreign Exchange Rates” and led to the conclusion that thefunctionalcurrencyoftheCanadianentitiesistheUnitedStatesdollar.EffectiveDecember31,2020,thefunctionalcurrencyoftheCompany'sCanadianentitieschangedfromtheCanadiandollartotheUnitedStatesdollar,withthechangeappliedonaprospectivebasis.

AsatJune30,2021,theUSdollarclosedat$1.2395againsttheCanadiandollar(comparedto$1.3572atJune30,2020and$1.2731atDecember31,2020)andat$1.3335against theAustraliandollar (compared to$1.4489at June30,2020and$1.2997atDecember31,2020).TheaverageratesforQ22021fortheUSdollaragainsttheCanadianandAustraliandollarswere$1.2282and$1.2990, respectively, versus$1.3850and$1.5214, respectively, inQ22020and$1.2657and$1.2943,respectively,thepreviousquarter.


15 | Page

Aswithgoldprices,currencyratescanbevolatileandfluctuationscanoccurasaresultofdifferentevents,includingandnotlimited to, global economies, government intervention, interest rate changes and policies of the U.S., Canadian andAustraliangovernments.AsatJune30,2021,theCompanydidnothaveaforeignexchangehedgingprograminplace.

(1) TheExternalPerformanceDriverssectionincludesreferencestoNon-IFRSmeasures.ThedefinitionandreconciliationoftheseNon-IFRSmeasuresareincludedonpages35-42ofthisMD&A.


16 | Page

REVIEWOFFINANCIALPERFORMANCE

The followingdiscussionprovides key summarized consolidated financial andoperating information for the three and sixmonthsendedJune30,2021and2020,aswellasforthethreemonthsendedMarch31,2021.

(inthousandsofdollars,exceptpershareamounts)



Revenue $662,736 $580,975 $551,846 $1,214,582 $1,135,713

Productioncosts (159,726) (141,415) (170,081) (329,807) (303,007)

Royaltyexpense (22,369) (19,258) (18,394) (40,763) (40,507)

Depletionanddepreciation (111,348) (82,586) (104,100) (215,448) (175,425)

Earningsfrommineoperations 369,293 337,716 259,271 628,564 616,774

Expenses

Generalandadministrative1 (20,184) (20,137) (12,343) (32,527) (32,699)

Transactioncosts — — — — (33,838)

Exploration (7,079) (2,384) (5,486) (12,565) (8,315)

Careandmaintenance (4,093) (6,570) (4,196) (8,289) (9,460)

Rehabilitationcosts (286) (2,448) 760 474 (2,448)

Earningsfromoperations 337,651 306,177 238,006 575,657 530,014

Financeandotheritems

Otherincome(loss),net 2,016 (80,164) (1,424) 592 (7,959)

Financeincome 297 1,119 247 544 3,715

Financecosts (838) (1,850) (846) (1,684) (5,963)

Earningsbeforeincometaxes 339,126 225,282 235,983 575,109 519,807

Currentincometaxexpense (45,279) (59,020) (42,971) (88,250) (129,150)

Deferredtaxexpense (49,680) (16,030) (31,819) (81,499) (37,547)

Netearnings $244,167 $150,232 $161,193 $405,360 $353,110

Basicearningspershare $0.91 $0.54 $0.60 $1.52 $1.32

Dilutedearningspershare $0.91 $0.54 $0.59 $1.51 $1.32

Weightedaveragenumberofcommonsharesoutstanding(in000's)

Basic 267,074 277,066 267,111 267,092 267,242

Diluted 267,189 277,265 267,907 267,961 267,453

(1) General and administrative expense forQ2 2021 (Q2 2020 andQ1 2021) include general and administrative expenses of $16.9million ($12.5millionand$13.5million)andsharebasedpaymentexpense(recovery)of$3.3million($7.7millionand($1.1)million).


17 | Page

Revenue

Revenue:Q22021vsQ22020($Millions)

$581.0

$40$42

$662.7

Q22020 Volume Rate(1) Q22021$0

$250

$500

$750

Revenue:Q22021vsQ12021($Millions)

$551.8

$101 $10

$662.7

Q12021 Volume Rate(1) Q22021$200

$300

$400

$500

$600

$700

(1) Ratefactorsincludetheimpactofchangesintheaveragerealizedgoldprice(1)aswellasanyimpactrelatedtochangesinforeignexchangerates.InQ22021,ratefactorsincreasedrevenueby$42millionversusQ22020,whichincludeda$36millionfavourableimpactfromanincreaseintheaveragerealizedgoldprice(1)anda$6million impactfromexchangeratechanges.ComparedtoQ12021,ratefactors increasedrevenueby$10million,virtuallyallofwhichrelatedtoahigheraveragerealizedgoldprice(1)comparedtothepreviousquarter.

RevenueinQ22021totalled$662.7million,an$81.2millionor14%fromQ22020.ContributingtothechangeinrevenuefromQ22020was$42millionfavourableimpactfromratefactors,mainlyreflectinga6%increaseintheaveragerealizedgoldprice(1)to$1,814perounceinQ22021from$1,716perounceforthesameperiodin2020.Theremaining$40millionoftheincreaseinrevenueyearoveryearresultedfroma7%increaseingoldsales,to364,575ouncesfrom341,390ouncesinQ22020.Gold sales atDetour Lake increased22% fromQ22020, to 166,374ounces from136,182ounces for the sameperiod in2020,whilegold salesatMacassa rose25%, to55,601ouncesversus44,328ounces inQ22020.At Fosterville,despitehigherproduction,goldsalesinQ22021were9%lower,at142,600ouncesversus157,251ouncesinQ22020.Goldsales inQ2 2020 also included 3,629ounces from theHolt Complexwhere operationswere suspended effectiveApril 2,2020.

RevenueinQ22021increased$110.9millionor20%fromrevenueof$551.8millionthepreviousquarter.Contributingtothe$110.9million increase in revenuewas$101million related toan18% increase ingoldsales to364,575ounces from308,029ounces inQ12021.GoldsalesatDetourLake increased18%from141,112ounces inQ12021,withgoldsalesatFostervilleandMacassaincreasing21%and12%,respectively,from117,450ouncesand49,467ounces,respectively,fortheprevious quarter. The remaining $10 million of revenue growth compared to Q1 2021 was attributable to rate factors,reflectinganincreaseintheaveragerealizedgoldprice(1)to$1,814perouncefrom$1,788perouncethepreviousquarter.


18 | Page

Revenue:YTD2021vsYTD2020($Millions)

$1,135.7 -$22

$101

$1,214.6

YTD2021 Volume Rate(1) YTD2021$400

$600

$800

$1,000

$1,200

$1,400

(1) Ratefactorsincludetheimpactofchangesintheaveragerealizedgoldprice(1)aswellasanyimpactrelatedtochangesinforeignexchangerates.InYTD2021,ratefactorsincreasedrevenueby$101millionversusYTD2020,whichincludeda$102millionfavourableimpactfromanincreaseintheaveragerealizedgoldprice(1)anda$1millionreductionrelatedtoexchangerates

Revenue inYTD2021totalled$1,214.6million,an increaseof$78.9millionor7%from$1,135.7million inYTD2020.Theincreaseinrevenuewasdrivenbya9%increaseintheaveragerealizedgoldprice,(1)to$1,802perounceinYTD2021from$1,651perounceforthesameperiodin2020,whichresultedinrevenuegrowthfromratefactorsof$101million.Partiallyoffsettingtheimpactofahigheraveragerealizedgoldprice(1)wasareductionof$22millionrelatedtolowergoldsales.GoldsalesinYTD2021totalled672,605ouncescomparedto685,976ouncesinYTD2020.Thereductioningoldsalesreflectedtwofactors,includinglowersalesatFosterville(260,050ouncescomparedto311,003ouncesinYTD2020)consistentwiththemine’splan to reduceproduction in theSwanZoneby increasingminingactivities inother, lower-grade,areasof themine,withtheintentionofcreatingamoresustainableoperationoveralongerperiod;aswellasthecontributionof33,242ounces of gold sales from theHolt Complex related to production prior to operations being suspended effectiveApril 2,2020.Thesefactorsmorethanoffsetthefavourableimpactofa25%increaseingoldsalesatDetourLake(307,486ouncescompared to246,638ounces for the fivemonthsending June30,2020)and10%growth in salesatMacassa, to105,069ouncesfrom95,093forthesameperiodin2020.

NetEarningsandAdjustedNetEarnings(1)

NetEarningsandEarningsPerShare

BasicEarningsPerShare:Q22021vsQ22020($/Share)

$0.54

$0.20

$0.20 $0.07 $0.03 $0.01

-$0.07 -$0.04 -$0.01 -$0.01 $0.91

Q22020

Revenue

OtherIn

come/(Loss)

TaxRateChange

Changesin

SharesO/S

CareandM

ainten

ance

Depl.&Depr.

ProductionCosts

RoyaltyCosts

ExplorationandEvaluation

Q22021

$0.00

$0.50

$1.00

$1.50


19 | Page

NetearningsinQ22021totalled$244.2million($0.91pershare),a$94.0millionor63%increasefrom$150.2million($0.54pershare)inQ22020anda51%increasefrom$161.2million($0.60pershare)thepreviousquarter.ComparedtoQ22020,theincreaseinnetearningswasdrivenbyhigherrevenueandthefavourableimpactofotherincomeof$2.0millioninQ22021versusotherlossof$80.2millionforthesameperiodin2020,withotherlossinQ22020mainlyresultingfrom$72.8millionofforeignexchangelosses.Onanafter-taxbasis,theincreaseinrevenuecontributed$54.5millionor$0.20persharetonetearningsgrowth.Similarly,the$82.2millionpre-taxchangeinotherincome/losscomparedtoQ22020increasednetearningsby$54.8millionor$0.20pershareonanafter-taxbasis.AlsocontributingtohighernetearningsversusQ22020wasareductionintheeffectivetaxrates,to28.0%from33.3%inlastyear’ssecondquarter,whichincreasednetearningsby$18.0millionaftertaxor$0.07pershare.ThelowereffectivetaxrateinQ22021mainlyreflectedfavourableadjustmentsresultingfromre-assessmentsofprioryeartaxreturns.Partiallyoffsettingthesefavourablefactorswerehigherproductioncosts(reducednetearningsby$12.2millionaftertaxor$0.04pershare)anddepletionanddepreciationexpense(reducednetearningsby$19.2millionaftertaxor$0.07pershare).

BasicEarningsPerShare:Q22021vsQ12021($/Share)

0.60

$0.28 $0.05 $0.03 $0.01

-$0.02 -$0.02 -$0.01 $0.91

Q12021

Revenue

TaxRateChange

ProductionCosts

OtherIn

come/(Loss)

G&A

Depl.&Depr.

RoyaltyCosts

Q22021

$0.00

$0.50

$1.00

$1.50

Q22021netearningsof$244.2million ($0.91per share)was$83.0millionor51%higher than$161.2million ($0.60pershare)thepreviousquarter.ThemaindriverofhighernetearningscomparedtoQ12021wasthestronggrowthinrevenue,whichhada$75.7millionor$0.28pershareaftertaxfavourableimpact.Alsocontributingtotheincreaseinnetearningswerealowereffectivetaxrate(28.0%versus31.7%inQ12021),whichincreasednetearningsby$12.5millionaftertaxor$0.05 per share and lower production costs, which increased net earnings by $7.1million after tax or $0.03 per share.PartiallyoffsettingthesefactorswerehighercorporateG&Acosts($5.4millionaftertaxor$0.02pershare)andincreaseddepletionanddepreciationexpense($4.9millionaftertaxor$0.02pershare).


20 | Page

BasicEarningsPerShare:YTD2021vsYTD2020($/Share)

1.32

$0.20 $0.09 $0.05 $0.02 $0.01 $0.01

-$0.10 -$0.07 -$0.01 -$0.01 1.52

YTD2

020

Revenue

TransactionCosts

TaxRateChange

OtherIn

come/(Loss)

FinanceCosts

Care&Maintenance

Depl.&Depr.

ProductionCosts

Exploration

FinanceIncome

YTD2

021

$0.00

$1.00

$2.00

Netearnings inYTDtotalled$405.4million($1.52pershare),a15%increasefrom$353.1million($1.32pershare)inYTD2020. The increase in net earnings compared to the same period a year earliermainly reflected revenue growth,whichincreasednetearningsby$53.6millionaftertaxor$0.20pershare.Inaddition,$33.8millionoftransactionfeesinYTD2020related to the Detour Gold acquisition, had a favourable impact of $23.0 million after tax or $0.09 per share on thecomparisonofnetearningsinYTD2021toYTD2020.AlsocontributingtohighernetearningswasalowereffectivetaxrateinYTD2021(29.5%inYTD2021versus32.1%inYTD2020),whichincreasednetearningsby$14.7millionaftertaxor$0.05per share. Partially offsetting these factorswere higher depletion and depreciation expense and production costs,whichreducednetearningsby$27.2millionaftertaxor$0.10pershareand$18.2millionor$0.07pershare,respectively.

AdjustedNetEarnings(1)

Adjustednetearnings(1)inQ22021totalled$246.9million($0.92pershare),similartonetearningsforthequarter.Adjustednetearnings(1)inQ22021increased13%from$219.3million($0.79pershare)inQ22020andwere47%higherthan$167.8million($0.63pershare)thepreviousquarter.Thesmalldifferencebetweennetearningsandadjustednetearnings(1)inQ22021reflectedtheexclusionfromadjustednetearningsofsystemsimplementationcostsof$4.1million($3.0millionaftertax), costs attributed to non-operating assets, mainly in the Northern Territory, of $4.1 million ($2.9 million after tax),COVID-19relatedcostsof$0.9million($0.6millionaftertax)andseveranceexpenseof$1.3million($1.0millionaftertax).These factorswere largely offset by the exclusion fromadjusted net earnings(1) of $2.6million ($1.8million after tax) offoreign exchange gains and $3.5 million ($3.1 million after tax) of unrealized gains on warrants issued. The differencebetweennetearningsandadjustednetearnings(1)inQ22020relatedtotheexclusionfromadjustednetearnings(1)of$72.8million ($56.3millionafter tax)of foreignexchange losses,due toa strengtheningof theCanadianandAustraliandollarsagainsttheUSdollarduringthequarter,aswellas$13.4million($9.2millionaftertax)ofcostsrelatedtotheCompany’sCOVID-19response,mainlyrelatedtolabourcostsduringperiodsofreducedorsuspendedoperations,aswellas$5.3million($3.7million after tax) of restructuring costs,mainly resulting from the suspension of business activities in theNorthernTerritoryandatHoltComplex.Thedifferencebetweennetearningsandadjustednetearnings(1)inQ12021mainlyreflectedtheexclusionfromadjustednetearnings(1)ofwrite-offsrelatedtoproperty,plantandequipmentatHoltComplexof$6.5million($4.5millionaftertax)and$5.7millionofforeignexchangegains($4.0millionaftertax),bothofwhichareincludedinotherloss/income,careandmaintenancecostsof$4.2million($2.9millionaftertax)and$2.9million($2.0millionaftertax)ofCOVID-19costsmainlyatDetourLake.


21 | Page

Adjustednetearnings(1) inYTD2021 totalled$414.7million ($1.55per share),whichcompared tonetearningsof$405.4million($1.52pershare).Thedifferencebetweennetearningsandadjustednetearnings(1)inYTD2021mainlyreflectedtheexclusionfromadjustednetearnings(1)ofthe$6.5million($4.5millionafter-tax)ofwrite-offsatHoltComplexinQ12021,costs relatedtonon-operatingassetsof$8.3million ($5.8millionafter tax), systems implementationcostsof$4.1million($3.0millionafter tax) inQ22021and$3.8million ($2.6millionafter tax)ofCOVID-19costs.Thesefactorswerepartiallyoffsetbytheexclusionfromadjustednetearnings(1)of$8.2million($5.8millionaftertax)offoreignexchangegains,mainlyinQ1 2021. Thedifferencebetweennet earnings and adjustednet earnings(1) for YTD2020 reflected the exclusion fromadjusted net earnings(1) of the $33.8 million ($24.9 million after tax) of transaction fees related to the Detour Goldacquisition, as well as costs related to the Company’s COVID-19 response of $13.4 million ($9.2 million after tax),restructuringcostsof$5.3million($3.7millionaftertax)andseveranceexpenseof$3.7million($2.6millionaftertax).

CashandCashFlows

ChangeinCash:June30/21vsMarch31/21($Millions)

$792.2

$330.6

-$200.8

-$62.0 -$2.3

$0.6

$858.4

3/31/21 Operating Investing ReturnofCapital

OtherFinancing

F/X(1) 6/30/21$500

$600

$700

$800

$900

$1,000

$1,100

$1,200

(1) RelatedtoimpactofforeignexchangeratechangesoncashheldbyAustralianentitiesinforeigncurrencies.

TheCompany’scashbalanceatJune30,2021totalled$858.4million,whichcomparedtocashof$792.2millionatMarch31,2021.Netcashprovidedbyoperatingactivitiestotalled$330.6million,anincreaseof49%from$222.2millioninQ22020and59%higherthan$208.2millionthepreviousquarter. TheincreaseinnetcashprovidedbyoperatingactivitiesfromQ22020mainlyresultedfromstrongearningsgrowthandtheimpactofchangesinnon-cashoperatingworkingcapital(1)aswellaslowerincometaxespaid.Highernetearningsandchangesinnon-cashoperatingworkingcapital(1)mainlyaccountedfortheincreaseinnetcashprovidedbyoperatingactivitiescomparedtoQ12021,withthesefactorsonlypartiallyoffsetbyanincrease in income taxes paid. During Q2 2021 the Company made a $98 million income tax payment in Australiarepresentingthefinaltaxinstalmentpaymentforthe2020taxyear.The$98millionpaymentinQ22021comparedtoataxpaymentof$132.6million inQ22020, representingthe final tax instalmentpaid for the2019taxyear. Netcashused ininvestingactivitiesinQ22021totalled$200.8millionversus$128.3millioninQ22020and$164.2millioninQ12020.Thehigherlevelofnetcashusedininvestingactivitiesreflectedincreasedadditionstomininginterestsandplantandequipmentthan in the prior periods due to higher growth capital expenditures(1) reflecting the advancement of a number ofmajorgrowth projects, mainly at Macassa and Detour Lake, during Q2 2021. Net cash used in financing activities in Q2 2021totalled $64.3million,mainly reflecting $62.0million of cash returned to shareholders. The $62.0million included $50.1millionusedfortheQ12021quarterlydividendof$0.1875,paidonApril14,2021toshareholdersofrecordonMarch31,2021 and $12.0million used to repurchase 300,000 shares through the Company’s 2021 NCIB. All 300,000 shares werepurchased in JunethroughthenewASPPprogram.Netcashused in financingactivities inQ22020totalled$90.0million,with$49.9millionbeingused to repurchase1,345,600 shares through theCompany’spriorNCIBand$34.7millionbeingusedforofdividendpaymentsrelatedtotheQ12020paymentonApril13,2020.


22 | Page

ChangeinCash:June30/21vsDecember31/20($Millions)

$847.6

$538.7

-$365.0

-$158.6 -$3.9 -$0.5 $858.4

12/31/21 Operating Investing ReturnofCapital

OtherFinancing

F/X(1) 6/30/21$300

$400

$500

$600

$700

$800

$900

$1,000

$1,100

$1,200

$1,300

$1,400

(1) RelatedtoimpactofforeignexchangeratechangesoncashheldbyAustralianentitiesinforeigncurrencies.

TheCompany’scashbalanceof$858.4millionatJune30,2021comparedtocashof$847.6millionatDecember31,2020.NetcashprovidedbyoperatingactivitiesinYTD2021totalled$538.7million,a16%increasefrom$463.7millioninYTD2020mainly reflectingsolidgrowth innetearningscomparedtoYTD2020.Netcashused in investingactivities totalled$365.0millioninYTD2021versus$67.6millioninYTD2020.ContributingtothelowlevelofnetcashusedforinvestingactivitiesinYTD 2020 was $173.9 million of cash acquired as part of the Detour Gold acquisition in Q1 2020. Additions to mininginterestsof$157.1millionandadditionstoplantandequipmentof$207.7millioninYTD2021comparedto$129.2millionand$109.6million,respectively, inYTD2020,withthe increasesreflectinghighercapitalexpendituresduetoasignificantincreaseingrowthcapitalexpenditures(1),reflectingtheadvancementofmajorgrowthprojectsatMacassaandDetourLakeduringYTD2021,whichmorethanoffsetlowerlevelsofsustainingcapitalexpenditures(1)yearoveryear.NetcashusedinfinancingactivitiesinYTD2021totalled$162.5million,whichincluded$158.6millionofcashreturnedtoshareholders.The$158.6millionwascomprisedof$100.3millionusedfortwodividendpaymentsof$0.1875pershare,includingthepaymentoftheQ42020dividendonJanuary14,2021toshareholdersofrecordonDecember31,2020andthepaymentoftheQ12021 dividend on April 14, 2021 to shareholders of record on March 31, 2021, as well as $58.3 million to repurchase1,374,100sharesthroughtheCompany’sNCIB.SharerepurchasesduringYTD2021included1,074,100sharesrepurchasedinJanuary2021for$46.3million,and300,000sharesrepurchasedinJunefor$12.0millionunderthe2021NCIBandfollowingtheintroductionoftheASPP.NetcashusedinfinancingactivitiesinYTD2020totalled$564.6million,with$379.8millionused to repurchase 11,059,100 shares through the Company’s NCIB, and an additional $47.2million used for the fourthquarter2019andQ12020dividendpayments. Inaddition,netcashused in financingactivities inYTD2020also included$98.6millionused to repayDetourGold’soutstandingdebtduringQ12020and$30.3million to closeoutDetourGold’shedgepositionsrelatingtoforwardgoldsalesaswellashedgesoncurrenciesanddieselfuel.

Freecashflow(1)

Freecashflow(1)totalled$131.2millioninQ22021,a39%increasefrom$94.1millioninQ22020andmorethantriplethe$42.7millionof freecash flow(1) inQ12021.Stronggrowth innet cashprovidedbyoperatingactivitiesmore thanoffsethigherlevelsofcapitalexpendituresinaccountingfortheincreaseinfreecashflowfrombothpriorperiods.ForYTD2021,freecashflow(1)totalled$173.9millionversus$224.9millioninYTD2020astheimpactof increasednetcashprovidedbyoperating activities wasmore than offset by higher levels of growth capital expenditures(1) as the Company advanced anumberofmajorgrowthprojects,mainlyatMacassaandDetourLake,inYTD2021.MineralpropertyadditionsinYTD2021totalled$157.1million,whileadditionstoproperty,plantandequipmenttotalled$207.7million,whichcomparedto$129.2millionand$109.6million,respectively,inYTD2020.

(1) TheReviewofFinancialPerformancesectionincludesreferencestoNon-IFRSmeasures.ThedefinitionandreconciliationoftheseNon-IFRSmeasuresareincludedonpages35-42ofthisMD&A.


23 | Page

REVIEWOFOPERATINGMINES

CanadianMineOperations

MacassaMine

TheMacassaMineislocatedintheMunicipalityofKirklandLake,withinTeckTownship,DistrictofTimiskaming,inthenortheastoftheprovinceofOntario,Canadawhichisapproximately600kmnorthofToronto,Canada.MacassaistheCompany’sfoundationCanadianminingoperation.SituatedinoneofCanada’smosthistoricandrenownedgoldminingdistricts,theKirklandLakeCamp,MacassahadprovenandprobableMineralreservestotalling3.5milliontonnesgradinganaverageof20.1g/tfor2.3millionouncesasatDecember31,2020.Inaddition,atyear-end2020therewere308,000tonnesgradinganaverageof8.7g/tfor86,000ouncesofMineralReservesinnear-surfacezonesalongtheAmalgamatedBreak,whichtheCompanyplanstoaccessinlate2021bydrivingasurfaceramp.


Operatingresults June30,2021 June30,2020 March31,2021 June30,2021 June30,2020

TotalOreMilled(t) 90,796 77,624 76,231 167,027 159,880

AverageGrade(g/t) 19.3 17.2 19.8 19.5 18.5

GoldContained(oz) 56,480 42,915 48,474 104,954 94,971

Recovery(%) 97.9% 97.6% 97.9% 97.9% 97.6%

GoldProduced(oz) 55,322 41,865 47,437 102,759 92,726

GoldSold(oz) 55,601 44,328 49,467 105,069 95,093

Developmentmetres-operating 567 1,798 766 1,333 3,763

Developmentmetres-capital 780 917 483 1,263 2,125

Productioncosts $34,104 $27,748 $34,989 $69,093 $54,156

Operatingcashcostsperouncesold1 $586 $547 $699 $639 $541

AISCperouncesold1 $848 $841 $947 $895 $846

Totalcapitalexpenditures(inthousands) $47,094 $24,938 $36,238 $83,332 $59,242


ProductionatMacassainQ22021totalled55,322ouncesbasedonprocessing90,796tonnesatanaveragegradeof19.3g/tandaveragerecoveriesof97.9%.Q22021productionwas32%higherthan41,865ounces inQ22020and increased17%from 47,437 ounces the previous quarter. Higher tonnes processed in Q2 2021 compared to both prior periods mainlyreflectedbetter thananticipatedwidthsandstrike lengths fromstopes in theSouthMineComplex,aswellasprocessingfromsurfacestockpiles.

Production costs in Q2 2021 totalled $34.1million versus $27.7million (including $3.3million related to the Company’sCOVID-19response)inQ22020and$35.0millionthepreviousquarter.Operatingcashcostsperouncesold(1)averaged$586millionversus$547forthesameperiodin2020and$699thepreviousquarter,withtheincreasefromQ22020reflectingastrongerCanadiandollar inQ22021. Excluding the impact of changes in exchange rates, operating cash costs per ouncesold(1)improvedfromQ22020mainlyduetothefavourableimpactofahigheraveragegradeandtonnesprocessedonsalesvolumesinQ22021.The16%improvementfromQ12021alsolargelyreflectedthefavourableimpactofhigherouncessold,aswellaslowermaintenancecostsandreducedexpendituresrelatedtooperatingdevelopmentcomparedtothepreviousquarter. AISC per ounce sold(1) averaged $848 inQ2 2021, largely unchanged from $841 inQ2 2020, as the impact of astrongerCanadiandollarwasoffsetbyhighersalesvolumes.Excludingtheimpactofexchangerates,AISCperouncesold(1)improved9%fromQ22020reflectingthefavourableimpactofhighersalesvolumesaswellasloweroperatingcashcosts(1)andsustainingcapitalexpenditures(1). Sustainingcapitalexpenditures(1) inQ22021 totalled$10.9million ($197perouncesold)versus$10.5million($236perouncesold)inQ22020.ExcludingtheimpactofastrongerCanadiandollar,sustainingcapitalexpenditures(1)inQ22021were6%lowerthanQ22020reflectingreducedlevelsofcapitaldevelopmentandlowerlevelsofequipmentprocurement.AISCperouncesold(1) improved10% from$947 thepreviousquarteras the impactofhigher sales volumes and lower operating cash costs more than offset an increase in sustaining capital expenditures(1).Sustainingcapitalexpenditures(1) inQ22021comparedto$9.3million($189perouncesold) inQ12021withtheincreaselargelyrelatedtomobileequipmentprocurement.


24 | Page

Production(Kozs)

41.9

55.3

Q22020 Q220210

25

50

75


$547 $586

Q22020 Q22021$0

$250

$500

$750

AISC($/oz)(1)

$841 $848

Q22020 Q22021$0

$500

$1,000


ProductionatMacassaforYTD2021totalled102,759ounces,basedonprocessing167,027tonnesatanaveragegradeof19.5g/tandaveragerecoveriesof97.9%.YTD2021productionincreased11%from92,726ouncesforthesameperiodin2020reflectingahigheraveragegradeandincreasedtonnesprocessed.

ProductioncostsforYTD2021totalled$69.1millionversus$54.2million(including$3.3millionrelatedtotheCompany'sCOVID-19response)inYTD2020.Operatingcashcostsperouncesold(1)averaged$639comparedto$541forthesameperiodin2020withtheincreasereflectingastrongerCanadiandollarinYTD2021andtheimpactofahigherproportionofundergroundcostsbeingallocatedtooperationsversuscapitalexpenditures,partiallyoffsetbythefavourableimpactofahigheraveragegradeonsalesvolumesinYTD2021.AISCperouncesold(1)averaged$895forYTD2021versus$846ayearearlier.ExcludingtheimpactofastrongerCanadiandollarinYTD2021,AISCperouncesold(1)improvedbyapproximately3%drivenbyhighersalesvolumesaswellaslowersustainingcapitalexpenditures(1).Sustainingcapitalexpenditures(1)totalled$20.3million($193perouncesold)comparedto$24.9million($262perouncesold)inYTD2020withthereductionlargelyresultingfromlowerlevelsofcapitaldevelopmentandreducedexpendituresformobileequipment.

Production(Kozs)

92.7102.8

YTD2020 YTD20210

50

100

150


$541

$639

YTD2020 YTD2021$0

$250

$500

$750

AISC($/oz)(1)

$846 $895

YTD2020 YTD2021$0

$500

$1,000


Growthprojects:Growthcapitalexpenditures(1)atMacassaforYTD2021totalled$43.0million($27.0millioninQ22021).Oftotalgrowthexpenditures(1)forYTD2021,$21.8million($12.9millioninQ22021)relatedtothe#4Shaftproject.DuringQ22021, theshaftadvancedapproximately600feetandhadreachedadepthof5,600feetasof June30,2021.TheprojectendedQ22021aheadofscheduleontrackforcompletioninlate2022.Anadditional$10.0million($4.7millioninQ22021)ofgrowthcapitalexpenditures(1) inYTD2021relatedtoaventilationexpansionproject, involvingthedevelopmentoftwonewventilationraises.ThefirstraisewascompletedinJune2021,withthesecondexpectedtobecompletedinthefirsthalfof 2022. The two new raiseswill add approximately 200,000 cfm of additional ventilation into themine. The remaininggrowthcapitalexpenditures(1)inQ22021mainlyrelatedtoanumberofundergroundprojects,includinglateraldevelopmentfromtheminetowardsthe#4Shaft.


25 | Page

DetourLake

Detour LakeMine is the second largest gold producingmine in Canada. Detour Lake is located in northeasternOntario,approximately 300 kilometres northeast of Timmins and 185 kilometres by road northeast of Cochrane, within thenorthernmostAbitibiGreenstoneBelt.Themine is situated in theareaof thehistoricDetourLakeopenpit/undergroundmineoperatedbyPlacerDomewhichproduced1.8millionouncesofgoldfrom1983to1999.DetourLakehasthelargestMineral Reserve basedof any goldmine in Canada,which support a production life ofwell over 20 years. TotalMineralReservesatDetour LakeasatDecember31,2020 included447.4million tonnesatanaveragegradeof0.96g/t for13.8millionouncesatanaveragecut-offgradeabove0.5g/t,withanadditional148.7milliontonnesatanaveragegradeof0.41g/tfor2.0millionouncesatanaveragecut-offgradebelow0.5g/t.Thelow-gradeMineralReservewillbeprocessedmainlyattheendoftheminelife.

The Company obtained the Detour LakeMine through the acquisition of Detour Gold on January 31, 2020. The resultspresentedbelowforYTD2020areforthefivemonthsfromJanuary31,2020toJune30,2020.


Operatingresults June30,2021 June30,2020 March31,2021 June30,2021 June30,2020(2)

TotalOreMilled(t) 5,881,953 5,655,992 5,701,704 11,583,657 9,364,014

AverageGrade(g/t) 0.96 0.79 0.87 0.91 0.81


Recovery(%) 91.5% 91.7% 92.2% 91.8% 91.4%

GoldProduced(oz) 165,880 131,992 146,731 312,611 223,547

GoldSold(oz) 166,374 136,182 141,112 307,486 246,638


Operatingcashcostsperouncesold(1) $610 $573 $748 $674 $628

AISCperouncesold(1) $996 $1,090 $1,064 $1,027 $1,098


(1) Non-IFRS-thedefinitionandreconciliationoftheseNon-IFRSmeasuresareincludedonpages35-42ofthisMD&A.(2) ReflectsresultsforfivemonthsfromJanuary31,2021toJune30,2021.

DetourLakeachievedrecordquarterlyproductioninQ22021of165,880ouncesbasedonprocessing5,881,953tonnesatanaverage grade of 0.96 g/t and average recoveries of 91.5%. The 165,880 ounces of productionwas 26%higher than the131,992ouncesproducedinQ22020andincreased13%fromthepreviousquarter.Theincreaseinproductionquarteroverquartermainlyreflectedasignificantimprovementintheaveragegrade,astheminesequencedintohighergradeareasaspartofthePhase2miningplanduringQ22021,aswellasan increase intonnesprocessed,withfirstquarterthroughputtypicallythelowestoftheyearduetoseasonalfactors(recordfirstquarterthroughputachievedinQ12021).

ProductioncostsatDetourLakeinQ22021totalled$102.6millionQ22021comparedto$85.8million(including$7.7millionof COVID-19 related costs) inQ22020and$108.3million (including$2.6millionof COVID-19 related costs) thepreviousquarter.ApproximatelyhalfoftheincreaseinproductioncostscomparedtoQ22020relatedtoastrongerCanadiandollarinQ2 2021, with the remainder largely reflecting higher tonnes mined (ore and waste), as well as increased diesel andmaintenancecosts.Operatingcashcostsperouncesold(1)averaged$610inQ22021versus$573inQ22020and$748thepreviousquarter.Excludingtheimpactofexchangerates,operatingcashcostsperouncesold(1)improved4%comparedtoQ22020withtheimprovementlargelyrelatedtothefavourableimpactofasignificantlyhigheraveragegradeandincreasedtonnesprocessedonsalesvolumes.Comparedtothepreviousquarter,theimprovementinoperatingcashcostsperouncesold(1)reflectedareductionintotaloperatingcashcostslargelyduetolowerstrippingandprocessingcosts,aswellasthefavourableimpactofhighersalesvolumes.AISCperouncesold(1)averaged$996inQ22021versus$1,090inQ22020and$1,064inQ12021.Sustainingcapitalexpenditures(1)atDetourLakeinQ22021totalled$55.6million($334perouncesold)comparedto$65.8million($483perouncesold)inQ22020and$37.5million($266perouncesold)inQ12021.Excludingtheimpactofexchangerates,sustainingcapitalexpenditures(1)inQ22021were24%lowerthaninQ22020mainlyrelatedtodeferred stripping, with the most of these expenditures included as growth capital expenditures(1) in Q2 2021. Highersustaining capital expenditures(1) compared to the previous quarter mainly reflected increased expenditures related totailingsmanagementandanongoingcampexpansion.


26 | Page

Production(Kozs)

132.0

165.9

Q22020 Q220210

100

200


$573 $610

Q22020 Q22021$0

$250

$500

$750

AISC($/oz)(1)

$1,090$996

Q22020 Q22021$0

$500

$1,000

$1,500


ProductionatDetourLakeforYTD2021totalled312,611ounces,whichresultedfromprocessing11,583,657tonnesatanaveragegradeof0.91g/tandaveragerecoveriesof91.8%.ProductioninYTD2021increased40%from223,547ouncesforthefivemonthsfollowingtheacquisitionofDetourLakeonJanuary31,2020toJune30,2020andwas16%higherthanthe270,043ouncesproducedforthefullsix-monthperiodendingJune30,2020.The increase inproductionversusthesameperiodin2020mainlyreflecteda12%improvementintheaveragegrade.

ProductioncostsatDetourLakeinYTD2021totalled$210.9million(including$3.5millionofCOVID-19relatedcosts),whichcomparedto$173.6million(including$7.7millionofCOVID-19relatedcosts)forfivemonthsinYTD2020,fromJanuary31,2020toJune30,2020.Operatingcashcostsperouncesold(1)averaged$674inYTD2021versus$628inYTD2020.ExcludingtheimpactofastrongerCanadiandollarinYTD2021,operatingcashcostsperouncesold(1)improved1%yearoveryearasthe favourable impact of a higher average grade and tonnes processed on sales volumesmore than offset higher costsrelatedtoincreasedtotaltonnesmined(oreandwaste)aswellashighermillingcosts inYTD2021.AISCperouncesold(1)averaged$1,027inYTD2021comparedto$1,098inYTD2020.DuringYTD2021,sustainingcapitalexpenditures(1)atDetourLaketotalled$93.0million($303perouncesold)comparedto$108.2million($439perouncesold)forthesameperiodin2020. The reduction in sustaining capital expenditures(1) versusYTD2020 largely reflected lowerdeferred stripping costs,whichweremainlyincludedingrowthcapitalexpenditures(1)inYTD2021.

Production(Kozs)

223.5

312.6

YTD2020 YTD20210

200

400


$628$674

YTD2020 YTD2021$0

$250

$500

$750

AISC($/oz)(1)

$1,098 $1,027

Q22020 Q22021$0

$500

$1,000

$1,500


Growthprojects:Growthcapitalexpenditures(1)atDetourLakeinYTD2021totalled$80.7million($52.9millioninQ22021),including$43.9millionrelatedtodeferredstrippingwiththeremaining$36.8millionrelatedtotheprocurementofmobileequipmentandprojectsinvolvingthetailingmanagementarea,processplantaswellasconstructionofanewassaylabandairfield.


27 | Page

HoltMineComplex

The100%ownedHoltMineComplexconsistsofthreemines:TheHoltMineandMillandtheHollowayMine,whicharebothlocated east of Matheson, approximately 20 km west of the Quebec border, within the Timmins Mining District innortheasternOntario;andtheTaylorMinelocated53kmeastofTimmins,Ontario(approximately68kmbyroadwestoftheHoltMill).MineproductionfromthethreeminesisprocessedattheHoltMill,ontheHolt-Hollowaypropertypackage.TheHolt-Hollowaypropertypackageiscomprisedof48separatepropertyelementstotalling559claimsforanaggregateareaof11,528hectares(“ha”).TheTaylorMineconsistsof77claimsforatotalareacovering3,080ha.

Operationsweresuspendedat theHoltComplexeffectiveApril2,2020aspartof theCompany’sCOVID-19responseandwhiletheCompanyconductedastrategicreviewoftheseassets.InJuly2020,theCompanyannouncedthatthesuspensionofoperationsatHoltComplexwouldbeextendeduntilfurthernotice.Asaresult,therewasnoproduction,sales,operatingcostsorcapitalexpendituresfromHoltComplexinQ22021orYTD2021.CareandmaintenancecostsinYTD2021relatedtoHoltComplextotalled$2.9million($1.3millioninQ22021).Inaddition,theCompanyrecordedanassetimpairmentof$6.5millionrelatedtothedisposalofequipmentattheHoltComplexinQ12021.

InQ2 2020, theHolt Complex produced 807 ounces. For YTD 2020, production at Holt Complex totalled 29,391 ounces.ProductioncostsinYTD2020totalled$36.1million(including$2.4millionofCOVID-19relatedcosts),whileoperatingcashcostsperouncesold(1)averaged$1,000andAISCperouncesold(1)averaged$1,406.Sustainingcapitalexpenditures(1)inYTD2020totalled$9.1million($273perouncesold).

AustralianMineOperations

FostervilleMine

The FostervilleMine is located approximately 20 km northeast of the town of Bendigo and 130 km north of the city ofMelbourne inVictoria,Australia.Withanoteworthyhistoryofgoldmining in the regiondatingback to1894, thecurrentFostervilleMinecommencedcommercialproductioninApril2005withasulphideplantthathasproducedapproximately3.0millionouncestodate.AtDecember31,2020, theexistingFostervilleMinehadtotal reservesof3.3milliontonnesatanaveragegradeof15.4g/tforatotalof1.8millionounces.Inaddition,MineralReservesatRobbin’sHillasatDecember31,2020 totalled1.1million tonnesatanaveragegradeof5.3g/t for180,000ounces.Locatedapproximately4.0kilometresfromFosterville’sexistingminingoperations,Robbin’sHillhasthepotentialtobecomeasecondminingoperationtofeedtheFostervilleMill.

Threemonthsended, Sixmonthsended,

Operatingresults June30,2021 June30,2020 March31,2021 June30,2021 June30,2020

TotalOreMilled(t) 170,315 123,473 174,206 344,520 242,174

AverageGrade(g/t) 29.2 39.5 19.8 24.4 40.9


Recovery(%) 98.7% 99.0% 98.2% 98.5% 98.9%

GoldProduced(oz) 157,993 155,106 108,679 266,672 314,970

GoldSold(oz) 142,600 157,251 117,450 260,050 311,003

Developmentmetres-operating 443 747 472 915 1,067

Developmentmetres-capital 1,001 1,134 747 1,747 2,645


Operatingcashcostsperouncesold(1) $162 $129 $228 $192 $127

AISCperouncesold(1) $353 $273 $423 $385 $293




28 | Page

TheFostervilleMineproduced157,993ouncesinQ22021basedonprocessing170,315tonnesatanaveragegradeof29.2g/tandaveragemillrecoveriesof98.7%.Productionforthequarterwassignificantlyaboveplannedlevelsdrivenlargelybycontinued grade outperformance in the Swan Zone, as well as changes tomine sequencing with high-grade Swan ZonestopesinitiallyplannedforQ42021beingadvancedintoQ22021.The157,993ouncesofproductioninQ22021wasslightlyhigher than the155,106ouncesproduced inQ22020and increased45% from108,679ounces thepreviousquarter.Theincrease versusQ1 2021was driven by a 47% improvement in the average grade. The Swan Zone accounted for 53%oftonnesmilled inQ22021and79%ofouncesproducedcomparedto62%and85%,respectively, inQ22020and42%and72%,respectively,thepreviousquarter.

Productioncostswere$23.0millioninQ22021versus$20.3millioninQ22020and$26.8millionthepreviousquarter.TheincreasefromQ22020resultedfromasignificantstrengtheningoftheAustraliandollaragainsttheUSdollarsincelastyear’ssecond quarter. Operating cash costs per ounce sold(1) averaged $162 versus $129 in Q2 2020 and $228 in Q1 2021.Excluding the impact of a stronger Australian dollar in Q2 2021, operating cash costs per ounce sold(1) were largelyunchangedfromthesameperiodin2020withasmallincreaseresultingmainlyfromtheimpactofahigheraveragegradeonsales volumes in Q2 2020. AISC per ounce sold(1) averaged $353 compared to $273 in Q2 2020 and $423 the previousquarter.TheincreaseinAISCperouncesold(1)reflectedastrongerAustraliandollar,theimpactofahigheraveragegradeinQ22020andincreasedlevelsofsustainingcapitalexpenditures(1)inQ22021.Theimprovementinbothoperatingcashcostsperouncesold(1)andAISCperouncesold(1)comparedtoQ12021wasmainlyrelatedto increasedsalesvolumesduetoahigheraveragegradeinQ22021.Sustainingcapitalexpenditures(1)totalled$14.5million($102perouncesold)inQ22021versus $10.8million ($69 per ounce sold) inQ2 2020 and $12.4million ($106 per ounce sold) the previous quarter. Theincreaseinsustainingcapitalexpenditures(1)fromQ22020mainlyreflectedthestrongerAustraliandollarinQ22021aswellashigherlevelsofcapitaldevelopmentcomparedtothesameperiodin2020.

Production(Kozs)

155.1 158.0

Q22020 Q220210

100

200


$129

$162

Q22020 Q22021$0

$100

$200

AISC($/oz)(1)

$273

$353

Q22020 Q22021$0

$200

$400


ProductionatFostervilleforYTD2021totalled266,672ounceswhichcomparedto314,970ouncesforYTD2020.Thechangein production from YTD 2020 reflected a lower average grade consistent with the Company’s previously stated plan toreduce production in the Swan Zone by increasing mining activities in other, lower-grade, areas of the mine, with theintention of creating a more sustainable operation over a longer period while the Company continues its extensiveexplorationprogram.TheSwanZoneaccountedfor47%oftonnesmilledand76%ofouncesproducedinYTD2021versus62%and89%,respectively,forthesameperiodin2020.FostervilleendedYTD2021wellpositionedtomeet,andpotentiallybeat,itsfull-year2021productionguidanceof400,000–425,000ounces.

Productioncostswere$49.8millionforYTD2021versus$39.2millionforthesameperiodin2020,withtheincreasefromYTD2020largelyresultingfromtheimpactofastrongerAustraliandollarinYTD2021,aswellassignificantlyhigherbusinessvolumeswithconsiderablyhigherlevelsoftonnesminedandmilledinYTD2021versusYTD2020.Operatingcashcostsperouncesold(1)averaged$192versus$127inYTD2020,whileAISCperouncesold(1)averaged$385comparedto$293inYTD2020.The increases inoperating cash costsperounce sold(1) andAISCperounce sold(1) versus levels inYTD2020mainlyresultedfromthestrongerAustraliandollar inYTD2021aswellasthe impactofa loweraveragegradeversusYTD2020.Sustainingcapitalexpenditures(1)totalled$26.9million($103perouncesold),unchangedfrom$26.9million($87perouncesold)inYTD2020,astheimpactofastrongerAustraliandollarandincreasedexpendituresrelatedtomobileequipmentinYTD2021wasoffsetbyareductionincapitaldevelopmentexpenditurescomparedtoYTD2020.


29 | Page

Production(Kozs)

315.0266.7

YTD2020 YTD20210

200

400


$127

$192

YTD2020 YTD2021$0

$100

$200

$300

AISC($/oz)(1)

$293

$385

YTD2020 YTD2021$0

$200

$400

$600


Growthprojects:Growthcapitalexpenditures(1)atFostervilleforYTD2021,excludingcapitalizedexploration,totalled$3.8million($2.1millioninQ22021),mainlyrelatedconstructionofasurfacerefrigerationplantandlandprocurement.

NorthernTerritory

OnFebruary19,2020,theCompanyannouncedthattheNorthernTerritoryassetshadbeendesignatedasnon-corewiththeCompany planning to consider strategic options formaximizing the value of these assets. InMarch 2020, the Companyannouncedthesuspensionoftestminingandprocessing intheNorthernTerritoryandalsothesuspensionofexplorationactivities.Thedecisionreflectedresultsofthetestproductiontodate,aswellasotherprioritieswithintheCompany.Theseassetshavebeenoncareandmaintenancesincethattime.TotalcareandmaintenancecostsfortheCompany’sNorthernTerritoryassetstotalled$1.9millioninYTD2021($1.0millioninQ22021)versus$9.1million($6.2millioninQ22020)inYTD2020.

Consistent with the Company’s commitment to effective environmental management, a three-year, $60 – $65 millionrehabilitationprogramwaslaunchedintheNorthernTerritoryduringQ32020,whichresultedina$32.6millionincreaseintheenvironmentalremediationprovisionsbeingrecordedinQ32020(includedasrehabilitationcostsinnetearningsforFY2020). The program, which is intended to address environmental issues caused by prior owners of the assets, involvesmanagingtheHowleyStreakwastedumps,rehabilitationofdamsandtreatmentofsitewaterinventory.Theobjectiveoftheprograminvolvesrestoringapproximately360hatograzinglandquality,removingwasterockdumpsandfillingexistingopenpits.Asat June30,2021,approximately3.5million tonnesofwaste rockhadbeen removedaspartof the rehabilitationprogram.

(1)TheReviewofOperatingMinessectionincludesanumberofNon-IFRSmeasures.ThedefinitionandreconciliationoftheseNon-IFRSmeasuresareincludedonpages35-42ofthisMD&A.


30 | Page

GROWTHANDEXPLORATION

OnDecember10,2020,theCompanyissuedapressreleaseannouncingitsfull-year2021guidance,whichincludedguidanceforexplorationandevaluationexpendituresof$170–$190million.TheCompany’sexplorationguidanceisdividedevenlybetweenCanadaandAustralia,withtargetexplorationexpendituresof$45-$50atMacassa,$40–$45millionatDetourLakeand$85–$95millionatFosterville.DuringYTD2021,explorationexpenditurestotalled$88.1million($45.7millioninQ2 2021), including capitalized exploration expenditures of $75.6 million ($38.7 million in Q2 2021) and expensedexplorationexpendituresof $12.5million ($7.0million inQ22021).Of total explorationexpenditures in YTD2021,$44.0million($22.4millioninQ22021)wereinCanadaand$44.1million($23.3millioninQ22021)wereincurredinAustralia.AtJune30,atotalof43drillswereoperatingattheCompany’sthreecornerstoneassets,including10undergrounddrillsand1surfacedrillatMacassa,12surfacedrillsatDetourLakeandatotalof17drillsatFosterville.Inaddition,theCompanyalsohad2 surfacedrillsoperatingat regional targets inNorthernOntarioandonesurfacedrillingworkingon regional targetsnorthofFosterville.

Canada

Macassa

For YTD 2021, the Company completed approximately 75,896metres of underground drilling atMacassa, using up to 9undergrounddrillsonthe3400,5300,5600,5700and5800levels.ThisdrillingtargetedextensionsoftheSMCtotheeast,thewestandtodepth,aswellasareasnearthecontactoftheSMCandtheAmalgamatedBreakandalongtheAmalgamatedBreak. In addition, the drilling focused on infill targets within the current Mineral Resource with the aim of upgradingresourceswithintheSMC,LowerSMC.Adrillprogramwasalsoinitiatedonthe3400LeveltargetingtheAmalgamatedBreakinapreviouslyuntestedareaofthemine. Inadditiontotheundergrounddrillingfrom#3ShaftatMacassa,theCompanyalsocompleted9,027metresofdrillingfromanewplatformintheNearSurfaceRamptargetingapreviouslyuntestedareaofthe‘04/MainBreak.TotalexplorationexpendituresatMacassa,includingcapitalizedexploration,totalled$21.9millionforYTD2021($10.0millioninQ22021).

Ofthe75,896metresoftotalundergrounddrillingforYTD2021,42,176metresweredrilledtotesttheextentsoftheEast,WestandLowerSMC,withanadditional17,540metresbeingdrilledtotesttheAmalgamatedBreak.Infilldrillingconsistedof16,180metresofdrillingfocusedonupgradingresourceswithintheSMCandLowerSMC.

A total of 9,027metres of drilling from theNear Surface Rampwere drilled YTDwith 7,113metres dedicated to testingpreviouslyunexploredareasof the ‘04/MainBreaksystemandanadditional1,914metres focusedon targetingpotentialextensionofthecurrentnearsurfaceresources.

In addition, the Company completed 2,558 metres of drilling from surface during YTD 2021 utilizing one drill targetingshallowtargetsassociatedwithnearsurfaceresourceareas.

A totalof913metresofundergrounddevelopmentwas completedduringYTD2021,which included theexcavationof4diamond drill bays. Development to the east on the 5300 Level was extended 195metres during the first half of 2021,including theexcavationof2diamonddrillbays. Development to theweston the5300Levelwasextended136metresduringthefirsthalfof2021,includingtheexcavationof2diamonddrillbays.TheCompanyisalsoadvancinganexplorationdevelopmentheadingeastonthe5807decline,with124metresofadvancecompletedinYTD2021,reachingatotalof948metresofdevelopmentsinceworkontheheadingcommencedin2019.InlateQ32020,theCompanyalsocommencedanexplorationdevelopmentheadingonthe5150Leveltotargetthe’04BreakandpotentialextensionoftheSMCwestoftheAmikougamicross-fault,withatotalof358metresofdevelopmenthavingbeencompletedasatJune30,2021.

A significant new project undertaken atMacassa in 2020was the development of an exploration decline to access andexplorepreviously identifiedhigh-gradezonesnear surfacealong theAmalgamatedBreak.Theportal for thedeclinewascompletedinQ22020withthefirstdevelopmentroundexcavatedonJune15,2020.Bytheendof2020,thedeclinehadadvanced approximately 1,085metres,with an additional 1,437metres of advance being completed in YTD 2020. Initialproductionfromnear-surfacezonesalongtheAmalgamatedBreakusingthenewdeclineisexpectedtocommenceinlate2021.


31 | Page

SubsequenttotheendofQ22021,onJuly6,2021, theCompanyannouncedresults from54holesand20,773metresofdrillingatMacassaMine.TheresultshighlightedtheextensivepotentialthatexiststoaddnewMineralReservesandMineralResources intheSMC,withhigh-gradeintersectionsbeingreportedoutsideoftheexistingdeposit,totheeast,southandnorth,aswellasupanddowndip.Inaddition,thenewresultsalsoincludehigh-gradeintersectionsintheareawheretheSMCmergeswiththeAmalgamatedBreak,aswellastheidentificationofpotentialnewhigh-gradelensestothesoutheastandinthefootwallofthemainSMCstructure.Basedoninterpretationsofthenewdrillresults,theCompanyindicatedinthepressreleaseissuedonJuly6,2021,thattheSMCEastmineralizedstructureappearstobeswingingtothenortheastinthedirectionofthelargecorridorofhigh-grademineralizationthatwasidentifiedalongtheMainBreakandannouncedin2020.Thepotentialconvergenceofthetwostructureswouldrepresentanextremelyattractiveexplorationtargetforfuturedrilling.

DetourLake

TheCompanyiscarryingoutanaggressivesurfaceexplorationprogramatDetourLake,tobecompletedbytheendof2021,aimedatexpandingthepresentopen-pitMineralReserveandMineralResourceestimatesbothbetweenthepresentMainandWestpitsaswellasatdepthbelowthepresentopen-pitMineralResource.

ExplorationdiamonddrillingwasinitiatedontheDetourLakepropertyinmid-January2020withatotalof69,808metresofdrilling completed in 2020. A total of 66,115 metres of drilling in 84 holes (including 6 wedge holes) were completedbetweentheMainPitandWestPitlocationsandtothewestoftheWestPit,withanadditional3,693metresofdrillingin11drillholestargetedthe58NZone.Anadditional122,990metresofsurfacedrillingwascompletedduringYTD2021,withthefocus remaining on the areas between the Main and West pit locations and west of the West Pit. Total explorationexpenditures atDetour Lake, including capitalized exploration, totalled$19.3million in YTD2021, including$10.9millionduringtheQ22021.

SincetheacquisitionofDetourLakeonJanuary31,2020,theCompanyhasissuedsixpressreleasesannouncingencouragingdrilling result, each providing increasing evidence that amuch larger deposit exists along theDetourMine Trend than isreflectedintheexistingMineralReserve.DuringQ22021,apressreleasewasissuedonMay4,2021,whichincludednew,high-gradeintersectionsnearthebottomoftheexistingMineralResourcepitshell intheSaddleZoneandhighlightedthepotential for growth in both open-pit and underground Mineral Resources. In addition, the results also included newintersectionsfromtheEastandCentralSaddleZonewhichconfirmedthecontinuityofmineralizationtothewestandbelowtheMainPit,whiledrillingwestoftheplannedWestPitlocationintersectedmineralizationupto425metreswestofexistingMineralReserves.

SubsequenttotheendofQ22021,theCompanyreleasedresultsfor43holes(25,848metres)ofdrillingwhichincludedasignificant number of new intersections with attractive grades and widths. The new intersections provided additionalcompellingevidencethatabroadandcontinuouscorridorofmineralizationexistsextendingfromtheMainPitthroughtheSaddleZonetotheplannedWestPit locationtoadepthofatleast800mbelowsurface.Inaddition,thenewresultsalsocontinued to expand themineralized corridorwest of the plannedWest Pit and to identify broad zones of higher-grademineralizationextendingbelowtheMainPitandWestPitlocationpitshellsthathighlightthepotentialtoaddnewopen-pit,andpotentiallyunderground,MineralReservesandMineralResourcesatdepth.

TimminsRegionalExploration

Atotalof17,611metresofdrillingfor$2.8millionofexpendituresinYTD2021($1.5millioninQ22021)werecompletedforregionalexploration inCanada, largelyattheHoltComplexproperties.Thedrilling includedsurfaceexplorationdrillingontheTaylorMineproperty,theHollowayWestProjectandtheMelkiorProperty.OnSeptember25,2020theCompanysignedanoptionagreementwithMelkiorResourcesontheCarscellanpropertylocated25kmswestofTimmins,withaninitialdrillprogramcommencinginmid-October2020andbeingcompletedinJanuary2021.


32 | Page

Australia

Fosterville

During YTD 2021, exploration expenditures, including capitalized exploration, at Fosterville totalled $43.7 million ($23.1millioninQ22021).Atotalof84,248metresofsurfaceandundergrounddrillingwascompletedforYTD2021.Undergrounddrillingduringthefirsthalfof2021continuedtotargettheHarrierandCygnetzones,aswellastheLowerPhoenixsystem.Explorationdrillingdown-plunge in the LowerPhoenix systemcontinuedduringYTD2021,withexplorationdevelopmentcontinuing,with 1,138metres of advance completed during the first half of the year (449metres duringQ2 2021). ThedevelopmentisbeingcompletedtoestablishnewdrillplatformsinbetterlocationstoexploretheLowerPhoenixsystematdepth.InearlyJune,thePhoenix3912drilldrivewascompletedand,byaboutmid-month,fivedrillswerepositionedalongthedrilldrivetocommenceinfilldrillingintotheLowerPhoenix.ThePhoenix3950drilldrivewascompletedinMarch2021,andsincethattimeuptotwodrillrigshavebeeninfilldrillingtheCygnetZone.

Surfacedrilling during YTD2021 continued to test along theCurie at Robbin’sHill in thenorthernpart of the FostervilleMining license, as well as along the Herschel Fault, which also extends through the Robbin’s Hill target area. Aftercompleting close to 3,300metres of development on a twin exploration drive from the Falcon undergroundworkings toRobbin’s Hill in 2020, an additional 2,257 metres of advance was achieved in YTD 2021 (1,143 metres in Q2 2021). Inaddition,drillingfromthenewdrivecommencedduringthefirstquarterfocusingontargetsinbetweentheFalconPitandRobbin’sHill. DrillingoftargetsalongtheCurieFaultatRobbin’sHill isexpectedtocommencefromthenewexplorationdriveinthirdquarterof2021withcompletionofdevelopmenttargetedformid-2022.SurfacedrillingalsocommencedatthesouthernendoftheFostervilleMininglicenseduringQ22021targetingtheHarrierSouth,Daley’sHillandRussellReeflinesofmineralization.

FostervilleRegionalExplorationNear theendofQ22021, regional surfacediamonddrilling commenced inEL006502,47kmnorthof the FostervilleGoldMine, with approximately 50metres of drilling completed as at June 30, 2021. In addition to the drilling, other projectactivitiesincludedgroundandairbornegeophysics,geochemicalsoilsampling,andpredictivediscoverywork.

REVIEWOFFINANCIALCONDITIONANDLIQUIDITY

Kirkland LakeGold is committed tomanaging liquidity by achieving positive cash flows from itsmine operations to fundoperatingandcapitalrequirements,includingquarterlydividendpayments,aswellasdevelopmentprojects.TheCompanymonitors theexpectedsettlementof financialassetsand liabilitiesonanongoingbasis;however, therearenosignificantaccountspayable,capitalleaseobligations,orotherpaymentsthatareoutstandingpasttheirduedates.

AsatJune30,2021,theCompanyhadapositiveworkingcapitalbalanceof$709.9million,includingacashbalanceof$858.4million,whichcomparestoaworkingcapitalof$504.3millionandcashof$847.6millionatDecember31,2020.ThestrongworkingcapitalreflectsongoingfreecashflowgenerationfromtheCompany’smineoperationsand isaidedby increasedrevenuesfromhighersalesvolumesandthetimingofsustainingandgrowthcapitaloutlays.

TheCompany’scashbalancesupplementedbycashflowfromoperationsareexpectedtobesufficienttofundoperationsandcapitalrequirementsforatleastthenexttwelvemonths.

OFF-BALANCESHEETARRANGEMENTS

AsatJune30,2021,theCompanydidnothaveanyoff-balancesheetitems.


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OUTSTANDINGSHAREANDCONVERTIBLEEQUITYINFORMATION

OutstandingShareInformation

AsatJuly28,2021WeightedAverage

ExercisePrice

Authorized:Unlimitednumberofcommonshares

Issued:Fullypaidcommonshares 265,839,623 —

Issued:Stockoptions 120,250 C$3.85

Issued:Restrictedshareunits 375,163 —

Issued:Performanceshareunits 360,664 —

TermsoftheCompany’sequityincentiveplansareoutlinedintheCompany’sauditedConsolidatedFinancialStatementsforthe year ended December 31, 2020 and the Condensed Consolidated Interim Financial Statements for the three and sixmonthsendedJune30,2021.

QUARTERLYINFORMATION

ThefollowingselectedfinancialdataforthelasteightfiscalquartershasbeenpreparedinaccordancewithIFRSandshouldbe read inconjunctionwith theCompany’sCondensedConsolidated InterimFinancial Statements foreachof theperiodsconsideredbelowandtheConsolidatedFinancialStatementsforthethreeandsixmonthsendedJune30,2021.

2021 2020

ThreeMonthsEnded

(inthousandsexceptpershareamounts) June2021 March2021 December2020 September2020

Revenue $662,736 $551,846 $691,548 $632,843

Earningsbeforeincometaxes $339,126 $235,983 $337,586 $295,316

Netearnings $244,167 $161,193 $232,573 $202,022

Basicearningspershare $0.91 $0.60 $0.86 $0.73

Dilutedearningspershare $0.91 $0.59 $0.85 $0.73

2020 2019

ThreeMonthsEnded

(inthousandsexceptpershareamounts) June2020 March2020 December2019 September2019

Revenue $580,975 $554,738 $412,379 $381,430

Earningsbeforeincometaxes $225,282 $294,525 $232,042 $254,119

Netearnings $150,232 $202,878 $169,135 $176,604

Basicearningspershare $0.54 $0.79 $0.81 $0.84

Dilutedearningspershare $0.54 $0.77 $0.80 $0.83

COMMITMENTSANDCONTINGENCIES

TheCompany’s capital commitments increasedby approximately $31millionduring the sixmonths ended June30, 2021fromtheyearendedDecember31,2020.ForadditionaldisclosuresrefertotheCompany’sauditedConsolidatedfinancialstatementsfortheyearendedDecember31,2020.

RELATEDPARTYTRANSACTIONS

Relatedpartytransactionsaremeasuredattheexchangeamountwhichistheconsiderationagreedtobetweentheparties.

The Company entered into contractswithwholly-owned subsidiaries of Gekko Systems, a globalmineral processing andequipmentcompany.Thetotalexpensewas$1and$6duringthethreeandsixmonthsendedJune30,2021(threeandsix


34 | Page

monthsendedJune30,2020-$86and$107).Ms.ElizabethLewis-Gray,amemberoftheCompany’sBoardofDirectors,istheCo-founderandChairofGekkoSystems.

CRITICALACCOUNTINGESTIMATESANDJUDGMENTS

The preparation of the financial statements requires management to make judgments, estimates and assumptions thataffecttheapplicationofaccountingpoliciesandthereportedamountsofassets, liabilitiesandcontingent liabilitiesatthedateofthefinancialstatementsandreportingamountsofrevenuesandexpensesduringthereportingperiod. Estimatesand assumptions are continually evaluated and are based on management’s experience and other factors, includingexpectationsoffutureeventsthatarebelievedtobereasonableunderthecircumstances.However,actualoutcomesmaydiffermateriallyfromtheseestimates.

Theestimatesandunderlyingassumptionsarereviewedonanongoingbasis.Revisionstoaccountingestimatesaregenerallyrecognizedintheperiodinwhichtheestimatesarerevised.

Our significant judgments, estimates and assumptions are disclosed in note 3 of the audited Consolidated financialstatementsfortheyearendedDecember31,2020.

ACCOUNTINGPOLICIESANDBASISOFPRESENTATIONTheCompany’ssignificantaccountingpoliciesaredisclosedinnote3oftheauditedConsolidatedfinancialstatementsfortheyearendedDecember31,2020.AnychangesinoradoptionofnewaccountingpoliciesadoptedbytheCompanyinQ22021aredisclosedinnote3oftheaccompanyinginterimfinancialstatements.

NON-IFRSMEASURESThe Company has included certain non-IFRSmeasures in this document, as discussed below. The Company believes thatthesemeasures, in addition to conventionalmeasures prepared in accordancewith IFRS, provide investors an improvedabilitytoevaluatetheunderlyingperformanceoftheCompany.Thenon-IFRSmeasuresareintendedtoprovideadditionalinformation and should not be considered in isolation or as a substitute for measures of performance prepared inaccordancewithIFRS.ThesemeasuresdonothaveanystandardizedmeaningprescribedunderIFRS,andthereforemaynotbecomparabletootherissuers.FreeCashFlowandAdjustedFreeCashFlowInthegoldminingindustry,freecashflowisacommonperformancemeasurewithnostandardizedmeaning.TheCompanycalculatesfreecashflowbydeductingcashcapitalspending(capitalexpendituresfortheperiod,netofexpenditurespaidthroughfinanceleases)fromnetcashprovidedbyoperatingactivities.TheCompanydiscloses freecash flowas itbelievesthemeasureprovidesvaluableassistanceto investorsandanalysts inevaluating the Company’s ability to generate cash flow after capital investments and build the cash resources of theCompany.TheCompanyalsodisclosesandcalculatesadjustedfreecash flowbyexcluding itemsfromfreecash flow.ThemostdirectlycomparablemeasurepreparedinaccordancewithIFRSisnetcashprovidedbyoperatingactivitieslessnetcashusedininvestingactivities.Freecash flowandadjusted freecash flow is reconciledto theamounts included in theConsolidatedStatementsofCashFlowsasfollows:


(inthousands) June30,2021 June30,2020 March31,2021 June30,2021 June30,2020

Netcashprovidedbyoperatingactivities $330,571 $222,234 $208,174 $538,744 $463,740

Mineralpropertyadditions (98,357) (57,242) (58,786) (157,143) (129,223)

Plantandequipment (100,987) (70,913) (106,689) (207,676) (109,569)

Freecashflow $131,227 $94,079 $42,699 $173,925 $224,948


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ThreeMonthsEnded SixMonthEnded


Netcashprovidedbyoperatingactivities $330,571 $222,234 $208,174 $538,744 $463,740

TransactionandrestructuringcostsrelatedtoDetouracquisition

— — — — 60,494

Adjustednetcashprovidedbyoperatingactivities 330,571 222,234 208,174 538,744 524,234

Mineralpropertyadditions (98,357) (57,242) (58,786) (157,143) (129,223)

Plantandequipment (100,987) (70,913) (106,689) (207,676) (109,569)

Adjustedfreecashflow $131,227 $94,079 $42,699 $173,925 $285,442

OperatingCashCostsandOperatingCashCostsperOunceSoldOperating cash costs and operating cash cost per tonne and per ounce sold are non-IFRSmeasures. In the goldminingindustry, these metrics are common performance measures but do not have any standardized meaning under IFRS.Operatingcashcosts includeminesiteoperatingcosts suchasmining,processingandadministration,butexcluderoyaltyexpenses,depreciationanddepletionand sharebasedpaymentexpensesand reclamationcosts.Operatingcashcostperouncesoldisbasedonouncessoldandiscalculatedbydividingoperatingcashcostsbyvolumeofgoldouncessold.

TheCompanydisclosesoperatingcashcostsandoperatingcashcostpertonneandperounceas itbelievesthemeasuresprovidevaluableassistance to investors andanalysts inevaluating theCompany’soperationalperformanceandability togeneratecashflow.ThemostdirectlycomparablemeasurepreparedinaccordancewithIFRSistotalproductionexpenses.OperatingcashcostsandoperatingcashcostperounceofgoldshouldnotbeconsideredinisolationorasasubstituteformeasurespreparedinaccordancewithIFRS.

SustainingandGrowthCapital

SustainingcapitalandgrowthcapitalareNon-IFRSmeasures. Sustainingcapital isdefinedascapital requiredtomaintaincurrent operations at existing levels. Growth capital is defined as capital expenditures for major growth projects orenhancement capital for significant infrastructure improvements at existing operations. Bothmeasurements are used bymanagementtoassesstheeffectivenessofinvestmentprograms.

ThreeMonthsEnded SixMonthEnded


Sustainingcapital $83,313 $96,205 $63,601 $146,914 $186,226

Growthcapital(1) 133,354 33,017 90,965 224,319 85,761

Totalcapitalexpenditures $216,667 $129,222 $154,566 $371,233 $271,987

Other 2,186 823 (496) 1,690 525

FinanceleasesrelatedtoIFRS16 — 5,792 2,229 2,229 5,792

Totaladditions $218,853 $135,837 $156,299 $375,152 $278,304

(1) Growthcapitalincludescapitalizedexploration.

AISCandAISCperOunceSold

AISCandAISCperounceareNon-IFRSmeasures.Thesemeasuresareintendedtoassistreadersinevaluatingthetotalcostsofproducinggoldfromcurrentoperations.Whilethereisnostandardizedmeaningacrosstheindustryforthismeasure,theCompany’sdefinitionconformstothedefinitionofAISCassetoutbytheWorldGoldCouncilinitsguidancenotedatedJune27,2013.

TheCompanydefinesAISC as the sumof operating costs (as defined and calculated above), royalty expenses, sustainingcapital, corporate expenses and reclamation cost accretion related to current operations. Corporate expenses includegeneral and administrative expenses, net of transaction related costs, severance expenses formanagement changes andinterestincome.AISCexcludesgrowthcapitalexpenditures,growthexplorationexpenditures,reclamationcostaccretionnotrelatedtocurrentoperations,interestexpense,debtrepaymentandtaxes.


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TotalcashcostsandAISCReconciliation

The following tables reconciles thesenon-IFRSmeasures to themostdirectly comparable IFRSmeasuresavailable for thethreeandsixmonthsendedJune30,2021and2020:


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ThreemonthsendedJune30,2021

(inthousands,exceptperounceamounts)HoltMineComplex MacassaMine DetourLakeMine

TotalCanadianOperations FostervilleMine

NorthernTerritory

TotalAustralianOperations

Generalandadministrative

TotalConsolidated

Productioncosts $— $34,104 $102,590 $136,694 $23,032 $— $23,032 $— $159,726

Share-basedcompensation — (146) (195) (341) — — — — (341)

COVIDrelatedcosts — (68) (836) (904) — — — — (904)

RestructuringCharges — (1,306) — (1,306) — — — (1,306)

Operatingcashcosts — 32,584 101,559 134,143 23,032 — 23,032 — 157,175

Royaltyexpense — 3,080 6,904 9,984 12,385 — 12,385 — 22,369

Stock-basedcompensation 10 146 195 351 — — 421 2,867 3,639

Rehabilitationandremediation 185 81 204 470 52 — 52 — 522

Generalandadministrativeexpense — — — 8,196 — — 5,336 3,364 16,896

Depreciation-ARO — 208 1,183 1,391 192 — 192 — 1,583

Sustainingcapital1 145 11,198 55,589 67,678 16,107 — 16,107 (472) 83,313

Capitalizeddepreciation — (267) (17) (284) (1,628) — (1,628) — (1,912)

Sustainingleases — 127 112 239 196 11 271 223 733

AISC $340 $47,157 $165,729 $222,168 $50,336 $11 $56,168 $5,982 $284,318

Ouncesofgoldsold — 55,601 166,374 221,975 142,600 — 142,600 — 364,575

Operatingcashcostperouncesold $— $586 $610 $604 $162 $— $162 $— $431

Sustainingcapitalexpendituresperouncesold $— $197 $334 $304 $102 $— $102 $— $223

AISCperouncesold $— $848 $996 $1,001 $353 $— $394 $— $780

(1) Sustainingcapitalexcludescapitalcostsassociatedwithfinanceleasesthatwererecognizedintheperiod.

SixmonthsendedJune30,2021



NorthernTerritory



TotalConsolidated



COVID-19relatedcosts — (340) (3,469) (3,809) — — — — (3,809)

RestructuringCharges — (1,306) — (1,306) — — — — (1,306)


Royaltyexpense — 5,585 12,698 18,283 22,480 — 22,480 — 40,763

Stock-basedcompensation 10 292 266 568 — — 532 1,641 2,741

Rehabilitationandremediation 366 81 204 651 61 — 61 — 712



Sustainingcapital1 135 21,626 93,933 116,791 29,665 — 29,665 458 146,914

Capitalizeddepreciation — (1,363) (894) (2,257) (2,755) — (2,755) — (5,012)

Sustainingleases — 228 226 454 400 28 492 436 1,382

AISC $511 $93,992 $315,832 $423,930 $100,005 $28 $109,721 $11,299 $544,950




AISCperouncesold $— $895 $1,027 $1,028 $385 $— $422 $— $810


Q22021MANAGEMENTDISCUSSIONANDANALYSIS

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ThreemonthsendedJune30,2020



NorthernTerritory



TotalConsolidated

Productioncosts $7,629 $27,748 $85,752 $121,129 $20,286 $— $20,286 $— $141,415

Share-basedcompensation (209) (230) — (439) — — — — (439)

COVID-19relatedcosts (2,436) (3,263) (7,675) (13,374) — — — — (13,374)

Operatingcashcosts 4,984 24,255 78,077 107,316 20,286 — 20,286 — 127,602

Royaltyexpense 418 2,480 4,547 7,445 11,813 — 11,813 — 19,258

Stock-basedcompensation 209 230 — 439 — — 1,186 6,467 8,092

Rehabilitationandremediation (26) (187) 225 12 22 54 76 — 88


Depreciation-ARO — — (293) (293) — — — — (293)

Sustainingcapital1 485 11,285 71,840 83,610 11,741 — 11,741 854 96,205

Capitalizeddepreciation (43) (809) (6,075) (6,927) (964) — (964) — (7,891)

Sustainingleases 205 45 150 400 28 46 74 290 764

AISC $6,232 $37,299 $148,471 $197,563 $42,926 $100 $47,352 $11,394 $256,309

Ouncesofgoldsold 3,629 44,328 136,182 184,139 157,251 157,251 — 341,390

Operatingcashcostperouncesold $1,373 $547 $573 $583 $129 $— $129 $— $374

Sustainingcapitalexpendituresperouncesold $122 $236 $483 $416 $69 $— $69 $— $259

AISCperouncesold $1,717 $841 $1,090 $1,073 $273 $— $301 $— $751


SixmonthsendedJune30,2020



NorthernTerritory



TotalConsolidated

Productioncosts $36,054 $54,156 $173,569 $263,779 $39,228 $— $39,228 $— $303,007

Share-basedcompensation (308) 675 — 367 — — — — 367

COVID-19relatedcosts (2,436) (3,263) (7,675) (13,374) — — — — (13,374)

By-productcredit (53) (101) — (154) (143) — (143) — (297)

Purchasepriceallocation — — (10,967) (10,967) 508 — 508 — (10,459)

Operatingcashcosts 33,257 51,467 154,927 239,651 39,593 — 39,593 — 279,244

Royaltyexpense 3,807 4,702 7,606 16,115 24,392 — 24,392 — 40,507

Stock-basedcompensation 308 (675) — (367) — — 211 4,985 4,829

Rehabilitationandremediation 1 6 225 232 36 116 152 — 384


Depreciation-ARO — — (293) (293) — — — — (293)

Sustainingcapital1 9,551 26,346 120,061 155,958 29,051 — 29,051 1,217 186,226

Capitalizeddepreciation (484) (1,459) (11,901) (13,844) (2,149) — (2,149) — (15,993)

Sustainingleases 299 76 282 657 55 98 153 513 1,323

AISC $46,739 $80,463 $270,907 $407,761 $90,978 $214 $98,180 $17,789 $523,730

Ouncesofgoldsold 33,242 95,093 246,638 374,973 311,003 — 311,003 — 685,976

Operatingcashcostperouncesold $1,000 $541 $628 $639 $127 $— $127 $— $407

Sustainingcapitalexpendituresperouncesold $273 $262 $439 $379 $87 $— $87 $— $248

AISCperouncesold $1,406 $846 $1,098 $1,087 $293 $— $316 $— $763


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ThreemonthsendedMarch31,2021



NorthernTerritory



TotalConsolidated



COVID-19relatedcosts — (272) (2,633) (2,905) — — — — (2,905)


Royaltyexpense — 2,505 5,794 8,299 10,095 — 10,095 — 18,394

Stock-basedcompensation — 146 71 217 — — 111 (1,226) (898)

Rehabilitationandremediation 181 — — 181 9 — 9 — 190



Sustainingcapital1 (10) 10,428 38,344 49,113 13,558 — 13,558 930 63,601

Capitalizeddepreciation — (1,096) (877) (1,973) (1,127) — (1,127) — (3,100)

Sustainingleases — 101 114 215 204 17 221 213 649

AISC $171 $46,834 $150,103 $201,761 $49,669 $17 $53,553 $5,317 $260,631




AISCperouncesold $— $947 $1,064 $1,059 $423 $— $456 $— $846


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AverageRealizedPriceperOunceSold

Inthegoldminingindustry,averagerealizedpriceperouncesoldisacommonperformancemeasurethatdoesnothaveanystandardizedmeaning.ThemostdirectlycomparablemeasurepreparedinaccordancewithIFRSisrevenuefromgoldsales.Average realizedpriceperounces sold shouldnotbe considered in isolationor as a substitute formeasuresprepared inaccordancewithIFRS.Themeasure is intendedtoassistreaders inevaluatingthetotalrevenuesrealizedinaperiodfromcurrentoperations.

Averagerealizedpriceperouncesoldisreconciledfortheperiodspresentedasfollows:


(inthousands,exceptperounceamounts) June30,2021 June30,2020 March31,2021 June30,2021 June30,2020

Revenue $662,736 $580,975 $551,846 $1,214,582 $1,135,713

Silver — — — — ($297)

Foreignexchangeimpact (1,416) 4,917 (1,209) (2,626) (2,890)

RealizedRevenue $661,320 $585,892 $550,637 $1,211,956 $1,132,526

Ouncessold 364,575 341,390 308,029 672,605 685,976

Averagerealizedpriceperouncesold $1,814 $1,716 $1,788 $1,802 $1,651

AdjustedNetEarningsandAdjustedNetEarningsperShare

Adjusted net earnings and adjusted net earnings per share are used by management and investors to measure theunderlyingoperatingperformanceoftheCompany.

Adjustednetearningsisdefinedasnetearningsadjustedtoexcludetheafter-taximpactofspecificitemsthataresignificant,but not reflective of the underlying operations of the Company, including foreign exchange gains and losses, transactioncostsandexecutiveseverancepayments,purchasepriceadjustmentsreflectedininventoryandothernon-recurringitems.Adjustednet earningsper share is calculatedusing theweightedaveragenumberof sharesoutstanding for adjustednetearningspershare.


(inthousands,exceptpershareamounts) June30,2021 June30,2020 March31,2021 June30,2021 June30,2020

Netearnings $244,167 $150,232 $161,193 $405,360 $353,110

Lossonwarrants (3,496) (148) 228 (3,268) 1,345

Transactioncosts — — — — 33,838

Foreignexchangeloss(gain) (2,566) 72,826 (5,653) (8,220) (118)

Restructuring/Severance 1,306 5,342 296 1,602 9,046

Costsattributabletonon-operatingsites 4,092 — 4,196 8,288 —

COVID-19relatedcosts 904 13,374 2,905 3,809 13,374

Donation(COVID-19) 306 — 1,007 1,313 —

HoltComplexassetimpairments — — 6,530 6,530 —

Systemimplementationcosts 4,108 — — 4,108 —

Incometaxrelatedtoaboveadjustments (1,884) (22,281) (2,934) (4,818) (12,081)

Adjustednetearnings $246,937 $219,345 $167,768 $414,704 $398,514

Weightedaveragesharesoutstanding-basic('000s) 267,074 277,066 267,111 267,092 267,242

Adjustednetearningspershare $0.92 $0.79 $0.63 $1.55 $1.49

EarningsbeforeInterest,Taxes,Depreciation,andAmortization(“EBITDA”)

EBITDA represents net earnings before interest, taxes, depreciation and amortization. EBITDA is an indicator of theCompany’s ability to generate liquidity by producing operating cash flow to fund working capital needs, service debtobligations,andfundcapitalexpenditures.

Q1 2021 MANAGEMENT DISCUSSION AND ANALYSIS

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ThefollowingisareconciliationofEBITDAtotheconsolidatedfinancialstatements:



Netearnings $244,167 $150,232 $161,193 $405,360 $353,110

Addback:

Financecosts 838 1,850 846 1,684 5,963

Depletionanddepreciation 111,348 82,586 104,100 215,448 175,425

Currentincometaxexpense 45,279 59,020 42,971 88,250 129,150

Deferredincometaxexpense 49,680 16,030 31,819 81,499 37,547

EBITDA $451,312 $309,718 $340,929 $792,241 $701,195

WorkingCapital

Workingcapital isaNon-IFRSmeasure. Inthegoldmining industry,workingcapital isacommonmeasureof liquidity,butdoesnothaveanystandardizedmeaning.

Themostdirectlycomparablemeasureprepared inaccordancewith IFRS iscurrentassetsandcurrent liabilities.Workingcapitaliscalculatedbydeductingcurrentliabilitiesfromcurrentassets.WorkingcapitalshouldnotbeconsideredinisolationorasasubstitutefrommeasurespreparedinaccordancewithIFRS.ThemeasureisintendedtoassistreadersinevaluatingtheCompany’sliquidity.WorkingcapitalisreconciledtotheamountsintheConsolidatedStatementsofFinancialPositionasfollows:

(inthousands) AsatJune30,2021 AsatDecember31,2020

Currentassets $1,084,468 $1,036,670

Currentliabilities 374,540 532,348

Workingcapital $709,928 $504,322


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INTERNALCONTROLOVERFINANCIALREPORTINGANDDISCLOSURECONTROLSANDPROCEDURESKirklandLakeGold’smanagement, including theCEOandCFO,are responsible forestablishingandmaintainingadequateinternalcontroloverfinancialreportinganddisclosurecontrolsandproceduresasdescribedinthe2020MD&A.

Due to its inherent limitations, internal controls over financial reporting and disclosure may not prevent or detect allmisstatements.Managementwillcontinuetomonitor theeffectivenessof its internalcontrolover financial reportinganddisclosurecontrolsandproceduresandmaymakemodificationsfromtimetotimeasconsiderednecessary.

FortheperiodendingJune30,2021,managementconcludedthattheCompany’sdisclosurecontrolsandprocedures,andinternalcontroloverfinancialreportingaredesignedtoprovidereasonableassuranceregardingthereliabilityofinformationdisclosedinitsfilings,includingitsinterimfinancialstatementspreparedinaccordancewithIFRS.

AsdiscussedintheannualMD&A,theCompanylimitedthescopeoftheauditofitsdisclosurecontrolsandproceduresandinternalcontroloverfinancialreportingevaluationtoexcludeDetourGold,aspermittedbysecuritiesregulators.DuringthequarterendingJune30,2021,theCompanyisintheprocessofimplementingnewcontrolsandimprovingexistingcontrolsatDetourGoldinordertofulfillthereportingobligationssetforthinthe2013COSOFramework.

RISKSANDUNCERTAINTIESTheexploration,developmentandminingofmineraldepositsinvolvessignificantrisks,whichevenacombinationofcarefulevaluation,experienceandknowledgemaynoteliminate.KirklandLakeGoldissubjecttoseveralfinancialandoperationalrisksthatcouldhaveasignificantimpactonitscashflowsandprofitability.Themostsignificantrisksanduncertaintiesfacedby theCompany include: thepriceof gold; theuncertaintyofproductionestimates (whichassumeaccuracyofprojectedgrade, recovery rates, and tonnage estimates and may be impacted by unscheduled maintenance, labour and otheroperating,engineeringortechnicaldifficultieswithrespecttothedevelopmentof itsprojects,manyofwhichmaynotbewithinthecontroloftheCompany), includingtheabilitytoextractanticipatedtonnesandsuccessfullyrealizingestimatedgrades;thethreatofoutbreaksofvirusesorotherinfectiousdisease,includingCOVID-19;changestooperatingandcapitalcostassumptions; the inherentriskassociatedwithprojectdevelopmentandpermittingprocesses; theuncertaintyof themineral resources and their development intomineral reserves; the replacement of depleted reserves; foreign exchangerisks; changes inapplicable lawsand regulations (including tax legislation); regulatory; taxmattersand foreignmining taxregimes, as well as health, safety, environmental and cybersecurity risks. For more extensive discussion on risks anduncertainties refer to the “Risks andUncertainties” section in theDecember 31, 2020Annual Information Form and theCompany’sMD&AfortheperiodendedDecember31,2020filedonSEDAR.

FORWARDLOOKINGSTATEMENTSCertain statements in this MD&A constitute ‘forward looking statements’, including statements regarding the plans,intentions, beliefs and current expectations of the Companywith respect to the future business activities and operatingperformance of the Company. The words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”,“estimate”,“expect”andsimilarexpressions,astheyrelatetotheCompany,areintendedtoidentifysuchforward-lookingstatements.Investorsarecautionedthatforward-lookingstatementsarebasedontheopinions,assumptionsandestimatesofmanagementconsideredreasonableatthedatethestatementsaremade,andareinherentlysubjecttoavarietyofrisksanduncertaintiesandotherknownandunknownfactorsthatcouldcauseactualeventsorresultstodiffermateriallyfromthoseprojectedintheforward-lookingstatements.Thesefactorsinclude,amongothers,thedevelopmentoftheCompany’sproperties and the anticipated timing thereof, expected production from, and the further potential of, the Company’sproperties, the anticipated timing and commencement of exploration programs on various targetswithin the Company’sland holdings and the implication of such exploration programs (including but not limited to any potential decisions toproceedtocommercialproduction),theanticipatedimpactofforeignexchangefluctuations,theanticipatedoverallimpactoftheCompany’sCOVID-19responseplans, includingmeasurestakenbytheCompanytoreducethespreadofCOVID-19,including but not limited to the rapid testing implemented at various sites, and whether such measures taken by theCompanyorothers,inanattempttoreducethespreadofCOVID19mayaffecttheCompany,whetherdirectlyorresultsineffectsonemployeehealth,workforceproductivity,contractoravailability,supplychainorotheraspectsoftheCompany’sbusiness, the ability to lower costs and gradually increaseproduction, the ability of theCompany to successfully achievebusinessobjectives, theabilityof theCompany to achieve its longer-termoutlookand theanticipated timingand resultsthereof, theperformanceof theCompany’s equity investments and the abilityof theCompany to realizeon its strategicgoals with respect to such investments, the effects of unexpected costs, liabilities or delays, the potential benefits and


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synergies and expectations of other economic, business and or competitive factors, the Company's expectations inconnectionwiththeprojectsandexplorationprogramsbeingmet,theimpactofgeneralbusinessandeconomicconditions,globalliquidityandcreditavailabilityonthetimingofcashflowsandthevaluesofassetsandliabilitiesbasedonprojectedfutureconditions,fluctuatinggoldprices,currencyexchangerates(suchastheCanadiandollarversustheUSdollar),mark-to-marketderivativevariances,possiblevariationsinoregradeorrecoveryrates,changesinaccountingpolicies,changesinthe Company's corporate mineral resources, changes in project parameters as plans continue to be refined, changes inprojectdevelopment,construction,productionandcommissioning time frames, thepossibilityofprojectcostoverrunsorunanticipatedcostsandexpenses,higherpricesforfuel,power,labourandotherconsumablescontributingtohighercostsand general risks of themining industry, failure of plant, equipment or processes to operate as anticipated, unexpectedchangesinminelife,seasonalityandunanticipatedweatherchanges,costsandtimingofthedevelopmentofnewdeposits,successofexplorationactivities,permittingtimelines,risksrelatedtoinformationtechnologyandcybersecurity,timingandcostsassociatedwiththedesign,procurementandconstructionoftheCompany’svariouscapitalprojects,includingbutnotlimitedtothe#4ShaftprojectattheMacassaMine,theventilation,pasteplant,transformerandwatertreatmentfacilityattheFostervilleMine,theabilitytoobtainallnecessarypermitsassociatedwiththeDetourLakemine,theabilitytoobtainthenecessarypermitsinconnectionwithallofitsvariouscapitalprojects,includingbutnotlimitedtotherehabilitationoftheMacassatailingsfacilityandthedevelopmentofanewtailingsfacilityandtheanticipatedresultsassociatedtherewith,millimprovements,increasedtailingscapacity,completionofanassaylabandotherenhancementstositeinfrastructureattheDetourLakemineandtheanticipatedresults thereon,theabilitytoobtainrenewalsofcertainexploration licences inAustralia,nativeandaboriginalheritageissues,includingbutnotlimitedtoongoingnegotiationsandconsultationswiththeCompany’sFirstNationspartnersandtheanticipatedimpactsandtimingthereof,risksrelatingtoinfrastructure,permittingand licenses, exploration and mining licences, government regulation of the mining industry, risks relating to foreignoperations,uncertaintyintheestimationandrealizationofmineralresourcesandmineralreserves,qualityandmarketabilityof mineral product, environmental regulation and reclamation obligations, risks relating to the Northern Territory wetseason, risks relating to litigation, risks relating to applicable tax and potential reassessments thereon, risks relating tochangestotaxlawandregulationsandtheCompany'sinterpretationthereof,foreignminingtaxregimesandthepotentialimpact of any changes to such foreign tax regimes, competition, currency fluctuations, government regulation ofminingoperations,environmentalrisks,unanticipatedreclamationexpenses,titledisputesorclaims,andlimitationsoninsurance,aswellasthoseriskfactorsdiscussedorreferredtointheAIFoftheCompanyfortheyearendedDecember31,2020filedwith the securities regulatory authorities in certain provinces of Canada and available atwww.sedar.com. Should one ormoreof these risks or uncertaintiesmaterialize, or should assumptions underlying the forward-looking statements proveincorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed,estimatedorexpected.Although theCompanyhasattempted to identify important risks,uncertaintiesand factorswhichcouldcauseactual results todiffermaterially, theremaybeothers that cause resultsnotbeasanticipated,estimatedorintended.TheCompanydoesnotintend,anddoesnotassumeanyobligation,toupdatetheseforward-lookingstatementsexceptasotherwiserequiredbyapplicablelaw.Mineral resources are not mineral reserves, and do not have demonstrated economic viability, but do have reasonableprospects for eventual economic extraction. Measured and indicated resources are sufficiently well defined to allowgeologicalandgradecontinuitytobereasonablyassumedandpermittheapplicationoftechnicalandeconomicparametersinassessingtheeconomicviabilityoftheresource.Inferredresourcesareestimatedonlimitedinformationnotsufficienttoverifygeologicalandgradecontinuityortoallowtechnicalandeconomicparameterstobeapplied.Inferredresourcesaretoospeculativegeologicallytohaveeconomicconsiderationsappliedtothemtoenablethemtobecategorizedasmineralreserves.ThereisnocertaintythatMeasuredorIndicatedmineralresourcescanbeupgradedtomineralreservesthroughcontinuedexplorationandpositiveeconomicassessment.

INFORMATIONCONCERNINGESTIMATESOFMINERALRESERVESANDMEASURED,INDICATEDANDINFERREDRESOURCESThisMD&AhasbeenpreparedinaccordancewiththerequirementsofthesecuritieslawsineffectinCanada,whichdifferincertainmaterial respects from thedisclosure requirementsofUnitedStates securities laws. The terms “mineral reserve”,“provenmineralreserve”and“probablemineralreserve”areCanadianminingtermsasdefinedinaccordancewithCanadianNational Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”) and the Canadian Institute ofMining,Metallurgy and Petroleum (the “CIM”) – CIM Definition Standards onMineral Resources andMineral Reserves,adoptedbytheCIMCouncil,asamended(the“CIMStandards”).Thesedefinitionsdiffersignificantlyfromthedefinitionsinthe disclosure requirements promulgated by the Securities and Exchange Commission (the “SEC”) applicable to domesticreportingcompanies. Investorsarecautionedthat informationcontained in thisMD&Amaynotbecomparable tosimilarinformationmadepublicbyUnitedStatescompaniessubjecttothereportinganddisclosurerequirementsundertheUnitedStatesfederalsecuritieslawsandtherulesandregulationsoftheSECthereunder.


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TECHNICALINFORMATION

The technical contents related to Kirkland Lake Gold Ltd. mines and properties, have been reviewed and approved byNatashaVaz,P.Eng.,ChiefOperatingOfficerandEricKallio,P.Geo,SeniorVicePresident,ExplorationandAndreLeite,P.Eng,AUSIMMCP(MIN),MEng.,VicePresident,TechnicalServices. Ms.Vaz,Mr.KallioandMr.Leiteare“qualifiedpersons”asdefinedinNationalInstrument43-101andhavereviewedandapproveddisclosureofthetechnicalinformationanddatainthisMD&A.


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Documents

Management’s Discussion & Analysis · 30/06/2021 · This Management’s Discussion and Analysis (“MD&A”) dated July 28, 2021 for Kirkland Lake Gold Ltd. (the “Company”)