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Iamgold reiterates plus-1Moz aim

Iamgold president and CEO Gordon Stothart has reiterated bigger production aims as he said the miner achieved its revised production and cost guidance for 2020 “in the face of many and varied challenges”.
Iamgold reiterates plus-1Moz aim Iamgold reiterates plus-1Moz aim Iamgold reiterates plus-1Moz aim Iamgold reiterates plus-1Moz aim Iamgold reiterates plus-1Moz aim

At Iamgold’s Rosebel operations in Suriname

Staff reporter

The company had revised its guidance for the fourth time in November to 630,000-680,000 ounces, after an earthquake and subsequent suspension of its Westwood mine in Quebec, following an earlier stoppage at Rosebel in Suriname along with COVID-19 impacts.

According to preliminary figures, Iamgold recorded attributable gold production of 653,000oz for 2020 from Westwood, Rosebel and Essakane, with the Burkina Faso mine having its strongest quarter in December.

The company expected all-in sustaining costs to come in at the lower end of a forecast US$1,240-$1,270/oz.

It put 2021 attributable production guidance at 630,000-700,000oz and AISC at $1,230-$1,280/oz, and noted the global COVID-19 crisis was expected to continue to affect its operations.

However Stothart was upbeat about the future.

"Looking forward, Iamgold's unique growth platform will enable our transformation to a lower-cost producer of over one million ounces of annual production within the next two-and-a-half years," he said.

He pointed to construction underway at the $1.3 billion Cote gold project joint venture with Sumitomo in Ontario, a near-term initial resource for the nearby Gosselin discovery, de-risking the Boto gold project in Senegal, evaluating satellite targets including at Rosebel and advancing the "hub and spoke" concept for Westwood.

Iamgold tipped capex of about $710 million for 2021, including $355 million for Cote, where it said its 70% share of construction capital was maintained at $875-$925 million.

It planned to release its financial results after market close on February 17.

Its shares (TSX: IMG), which have spanned C$2-$7.07 over the past year, closed up 3.5% to C$4.41 to capitalise it at $2 billion (US$1.6 billion).