Exploration / Development > Resource-definition

Saramacca nearing reserve status

Producer IAMGOLD (CN:IMG) expects to update its Saramacca resource to reserve status this year thanks to a phase two drilling programme, with the latest highlights including 46m at 11.73g/t gold.

Staff reporter

Exploration / Development > Resource-definition

Saramacca nearing reserve status

Producer IAMGOLD (CN:IMG) expects to update its Saramacca resource to reserve status this year thanks to a phase two drilling programme, with the latest highlights including 46m at 11.73g/t gold.

Staff reporter

Saramacca nearing reserve status

Latest intercepts include 46m at 11.73g/t gold

The company is targeting production in 2019 from Saramacca, which lies about 25km southwest of its 95%-owned Rosebel gold mine in Suriname.

It announced an indicated and inferred maiden resource of about 1.5 million ounces for Saramacca in September.

"We are currently incorporating these [drilling] results in an updated resource model, which when coupled with the ongoing engineering studies, is expected to allow us to upgrade the project to a reserve status in 2018," exploration senior vice president Craig MacDougall said. 

The company's attributable gold production rose 8% in 2017 to 882,000oz, at the top end of guidance, with all-in sustaining costs down US$54/oz to $1,003/oz sold.

Its revenue rose 11% to just over $1 billion with its gross profit up 50% on the previous year to $152.9 million.

The company is targeting production of 1.2-1.3 million ounces by 2022 at an AISC below $850/oz, it told the BMO Conference in Florida this week.

It secured the exploration rights for the Brokolonko property, northwest of Saramacca, last month which it described as another milestone in its Rosebel consolidation strategy.

Its shares closed up C2c yesterday to $6.75, a midpoint in its 52-week range of $4.54-$8.87.

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