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TSX-listed IAMGOLD has provided updates on its Brownfield project milestones. The CIC and oxygen plant projects at Rosebel and Essakane are adding low cost marginal ounces with quick returns.

"These low-capex, short payback projects are illustrative of the short-cycle investments we have undertaken at our mines to transform the assets and leverage existing infrastructure," says Gord Stothart, Executive Vice President and COO for IAMGOLD.

"Throughout past years and into 2018, IAMGOLD has continued to achieve our targeted project milestones and execute on our growth.

"With the road construction commencing at Saramacca, the project is well underway and on track to delivering first ore to the mill during the second half of 2019.

"In just over 28 months we have taken this project from a Greenfield property with no defined resource to declaring, this past September, attributable Reserves of 1.0 million ounces, and now to commencing construction.

"The CIC and Oxygen plant projects at Rosebel and Essakane, respectively, are adding low cost marginal ounces with quick returns.

"I commend our mine site and project teams for continuing to improve the assets and deliver on project execution."

Essakane

Dry commissioning of the oxygen Plant has commenced, with the start-up team from the supplier presently on site. IAMGOLD expects the plant to be fully operational in January 2019.

  • The operation of the plant will improve gold leaching kinetics in the Essakane CIL circuit by injecting oxygen directly into the leach tanks versus the current practice of injecting air
  • This change is expected to increase overall gold recovery at Essakane by a minimum of 0.5 percentage points as well as reduce the negative impacts of processing graphitic ore present in some ore zones at Essakane
  • The additional recovery will add at least 2,000 gold ounces annually at a marginal operating cost of about US$175/ounce, primarily to cover incremental power requirements
  • The plant will additionally realize an estimated 10% savings in cyanide consumption, or about US$1.2 million annually for IAMGOLD
  • Total cost of the project is US$5.8 million, and the onsite construction effort began in May 2018

Saramacca

IAMGOLD received approval from the Suriname Ministry of Natural Resources to commence construction on the 18 km long section of the main Saramacca haul road outside of the Rosebel Mineral Lease.

  • Construction of the 5 km long section of the Saramacca haul road on the Rosebel Mineral Lease commenced in November 2018, connecting into the existing haulage network
  • The commencement of road construction allows the Saramacca project to remain on schedule to deliver ore from Saramacca to the Rosebel mill by the second half of 2019
  • The project is contemplating the use of experienced local Surinamese contractors with a proven track record on major civil projects at Rosebel and elsewhere, with supplemental work performed by the Rosebel mine operations department
  • The approval was obtained as part of the Environmental and Social Impact Analysis (ESIA) review that is currently underway by local authorities and is expected to be completed in the coming weeks

Rosebel

Construction of a new carbon-in-column (CIC) plant has been completed and commissioning has commenced. The plant is expected to be fully operational in January 2019.

  • The plant has been installed between the two existing ponds at the Rosebel Tailings Management Facility and will be used to passively treat tailings decant water to recover residual gold that is present in the solution as a result of lost recovery in the Rosebel carbon-in-leach (CIL process) and of downstream leaching of tailings after it has left the process plant
  • This plant is expected to recover a minimum of 5,000 gold ounces annually at a marginal operating cost of about US$35/ounce to cover additional power and elution costs
  • Total cost of the project is US$1.6 million, and the onsite construction effort began in October 2018