Iamgold hits record gold output, powers up Canadian growth

Canadian miner Iamgold (TSX: IMG)(NYSE: IAG) has reported strong third-quarter results, driven by record production at its flagship Côté gold mine in Ontario and continued debt reduction efforts.The company’s three operations — Côté, Westwood and Essakane — produced 190,000 attributable ounces of gold during the quarter, bringing year-to-date output to 524,000 ounces. Iamgold said it remains on track to meet its full-year guidance of 735,000 to 820,000 ounces.Côté delivered a record 106,000 ounces, while Westwood in Quebec added 23,000 ounces. The Essakane mine in Burkina Faso contributed 92,000 ounces. Quarterly revenue reached $706.7 million from sales of 203,000 ounces at an average realized gold price of $3,492 per ounce. Year-to-date revenue totalled $1.76 billion. All-in sustaining costs averaged $1,956 per ounce, placing the company at the upper end of its cost guidance.Chief executive Renaud Adamssaid the third quarter marked “a pivotal moment” for the company, citing operational discipline and financial strength.“Our trailing 12-month earnings before interest, tax, depreciation now exceeds $1-billion, and we have repaid about $270-million of our second lien notes, further strengthening our balance sheet and financial flexibility,” Adams said.Net earnings for the quarter were $139.4 million, or $0.24 per share, while adjusted net earnings reached $170.9 million, or $0.30 per share. Free cash flow hit a record $292.3 million, including $135.6 million from Côté alone. Iamgold ended the quarter with $707 million in liquidity and net debt of $813 million, down $202 million from the previous quarter.With its balance sheet strengthening, the board approved a share buyback program for up to 10% of outstanding shares, funded from operating cash flow after debt repayments.Canadian growthDuring the quarter, Iamgold also advanced plans to grow its Canadian footprint through the proposed acquisitions of Northern Superior Resources and Mines d’Or Orbec, valued at a combined $280 million in cash and shares. The deals would consolidate the Chibougamau region in Quebec into the Nelligan Mining Complex — a 134,000-hectare land package holding 3.75 million ounces of measured and indicated resources and 8.65 million ounces inferred.Adams said Iamgold would continue to focus on cost control and disciplined capital deployment while advancing expansion plans at Côté. “We are (…) positioning Iamgold as a modern, Canada-focused gold producer with a robust growth pipeline,” he said.The company’s next phase will hinge on ramping up Côté, integrating new Quebec assets, and reducing debt. The strategy is expected to build long-term shareholder value.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com