Toronto, Canada — MININGREVIEW.COM — 10 December 2010 – IAMGOLD Corporation “’a leading mid-tier gold mining company listed on the Toronto and New York stock exchanges “’ reports that the electrical problem at its Essakane mine in Burkina Faso has been fully rectified and the mine is operating at or above nameplate capacity.
Revealing this in a statement here, the company said the land holding surrounding the current operations continued to exhibit significant upside potential, and would be a focal point of its 2011 exploration plans.
The statement added that the company had increased its annual dividend payment by 33% from US$0.06 per share to US$0.08 per share. The annual dividend would be paid on 14 January 2011 to shareholders on record as of the close of trading on 24 December 2010. In addition, the company had provided guidance for 2011, with gold production expected to increase by approximately 20% over the current forecast production for 2010.
IAMGOLD president and CEO, Steve Letwin said, “The dividend increase reflects the confidence the board and management have in the current and future cash flows for the company. We have a superior combination of assets and people, and when you couple that with our strong balance sheet and attractive opportunities, the outlook for growth is very positive.”
The statement revealed that in 2011 IAMGOLD expected attributable gold production to be in the range of between 1.1 million and 1.2 million oz at a cash cost of between US$565 and US$595/oz, assuming an average spot price for gold of US$1 300. For niobium the company expected to produce between 4.7 million and 5.0 million kg at a margin of between US$15 and US$17/kg.