Iamgold CEO eyes pivotal year in 2023

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Iamgold Corp [IMG-TSX, IAG-NYSE] Interim President and CEO Maryse Belanger said 2023 will be a pivotal year for the company as it continues to focus on development of the Cote gold project in Ontario, which is 73% complete.

The prediction is contained in a press release containing Iamgold’s financial and operating results for the fourth quarter and year ended December 31, 2022.

“We remain on track to commence production at Cote early next year and are eager to showcase what will be Canada’s third largest gold mine by production,’’ Belanger said.

Iamgold is an intermediate gold producer and developer based in Canada with operating mines in North America and West Africa. The company is building the long- life Cote project with partner Sumitomo Metal Mining Co. Ltd. of Japan. In October, 2022, the company said it had agreed to sell its interest 95% interest in Rosebel Gold Mines in Suriname to Zijin Mining Group Co. Ltd. for US$360 million.

The deal left Iamgold with the Essakane mine in Burkina Faso, West Africa and the Westwood mine in Canada in addition to the Cote gold project.

The company said attributable gold production from continuing operations, excluding Rosebel, was 116,000 ounces in the fourth quarter and 499,000 ounces for the year.

Iamgold reported a net earnings (loss) and adjusted net loss per share attributable to equity holders of $(0.01) and $(0.02) for the fourth quarter respectively and a loss of $(0.12) and $(0.07) for the year ended December 31, 2022 respectively.

In its outlook for 2023, the company said attributable gold production for the year, excluding Rosebel, is expected to be in the range of 410,000 to 470,000 ounces, including 340,000 to 380,000 ounces at Essakane and 70,000 to 90,000 ounces at Westwood.

The all-in-sustaining cost (AISC) per ounce sold is expected to be in the range of US$1,625 to US$1,700 per ounce. The estimate includes assumptions related to the escalated pricing levels of certain consumables as experienced during the second half of 2022, the company said.

Iamgold’s financial results were released after the close of trading on February 16, 2023, when the shares closed at $3.13. They are currently trading in a 52-week range of $4.74 and $1.26.

In an updated mineral reserve and resource statement, Iamgold said its attributable reserves currently stand at 11.6 million ounces of gold. Attributable measured and indicated resources stand at 24.1 million ounces of gold.

Iamgold equipped to meet its share of the remaining construction costs at the Cote gold project in Ontario after striking a deal with Managem Group to sell its interests in a basket of exploration and development projects in Senegal, Mali and Guinea for US$282 million.

Mangem is a Pan-African and fully integrated mining group with 6,000 people on the payroll and operations in six African countries, including Morocco.

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