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Iamgold restarts Rosebel

Iamgold said on Friday it had restarted its Rosebel gold mine in Suriname, which had been suspended mid-June due to a work stoppage, after receiving the nod from both COVID-19 authorities and the union.
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Local entrepreneurs have supplied protective masks to Iamgold’s Rosebel mine in Suriname

Staff reporter

Seven Rosebel workers had tested positive for the virus last month and Iamgold said at the time the union had chosen to use one of the proposed preventative measures as the basis for a work stoppage

It said it had restarted operations on Friday after receiving confirmation and advice from the country's COVID-19 outbreak management team that it was safe to restart.

"In addition, following intervention by the mediation board for Suriname, the union and Rosebel explicitly agreed on the restart of the operations," Iamgold said.

It said the workforce recall had begun, the Rosebell mill had restarted processing stockpiled material and Saramacca ore, and contractors had restarted construction activities to complete the road at Saramacca.

Iamgold owns 95% of Rosebel and the remainder is held by the government.

"Given the ongoing uncertainty relating to the duration and extent of the global COVID-19 crisis, and the impact it may have on the demand and price for gold, on our suppliers and workforce, and on global financial markets, the company continues to face uncertainties that may impact its operating activities and financial results," Iamgold said.

The company had earlier trimmed its 2020 production guidance from 700,000-760,000 ounces to 685,000-740,000oz.

It's due to release June quarter financial results after market close on August 5.

Iamgold also has the Essakane mine in Burkina Faso and Westwood in Canada, and last week along with joint venture partner Sumitomo gave the go-ahead for its majority-owned, "transformational" Côté gold development project in Ontario.

The company's share price remains near a one-year high reached last week and closed up almost 4% on Friday to C$6.55, capitalising it at $3.1 billion (US$2.3 billion).