All monetary amounts are expressed in US dollars, unless otherwise indicated.
Toronto, Ontario–(Newsfile Corp. – January 28, 2019) – IAMGOLD Corporation (TSX: IMG) (“IAMGOLD” or the “Company”) today announced its decision not to proceed with construction of the Côté Gold Project (“Côté”) in Ontario.
“We are focused on creating superior shareholder value by allocating our capital to our best near- and long-term opportunities in a manner that is consistent with shareholder expectations, and with our goal of maintaining a strong balance sheet. We have substantially de-risked the Côté Gold Project, from both a technical and financial perspective, and believe in its potential to positively transform the Company. However, we have decided to wait for improved, and sustainable, market conditions in order to proceed with construction,” said IAMGOLD’s President and CEO, Steve Letwin.
IAMGOLD remains focused on our existing operations and on current initiatives and opportunities at Saramacca, Rosebel, Essakane, and Westwood. The Company will continue to advance engineering and permitting work at Côté, which it believes will add value. The Company has added value over the past several years by:
- Identifying almost 10.0 million ounces in Measured and Indicated Resources at Côté (inclusive of Reserves), compared with less than 1.0 million ounces at acquisition; and
- Developing a Feasiblity Study (“FS”) Base Mine Plan and a FS Extended Mine Plan with improved net present values and internal rates of return as compared to the Prefeasiblity Study.
2019 Côté Capital Guidance
IAMGOLD will provide guidance on capital for the Côté workplan when it reports fourth quarter and full year 2018 financial results, which will be released after market hours on February 20, 2019. For additional clarity, the Company notes that the original guidance, which included $20 million in Corporate and Development Projects mainly related to Côté, will be updated.
IAMGOLD (www.iamgold.com) is a mid-tier mining company with four operating gold mines on three continents. A solid base of strategic assets in North and South America and West Africa is complemented by development and exploration projects and continued assessment of accretive acquisition opportunities. IAMGOLD is in a strong financial position with extensive management and operational expertise.
For further information please contact :
Indi Gopinathan, Investor Relations Lead, IAMGOLD Corporation
Tel: (416) 360-4743 Mobile: (416) 388-6883
Martin Dumont, Senior Analyst Investor Relations, IAMGOLD Corporation
Tel: (416) 933-5783 Mobile: (647) 967-9942
Toll-free: 1-888-464-9999 [email protected]
For the original source of this news release: http://www.iamgold.com/English/investors/news-releases/news-releases-details/2019/IAMGOLD-Defers-Ct-Construction/default.aspx