Iamgold Confirms Significant GOLD Discovery Exceeding Initial Targets at Saramacca - Strategically Located Near Its Rosebel GOLD MINE
NEWS RELEASE
TSX: IMG NYSE: IAG
IAMGOLD CONFIRMS SIGNIFICANT GOLD DISCOVERY
EXCEEDING INITIAL TARGETS AT SARAMACCA -
STRATEGICALLY LOCATED NEAR ITS ROSEBEL GOLD MINE
TORONTO, September 5, 2017 – IAMGOLD Corporation (“IAMGOLD” or the “Company”) today
announced the first mineral resource estimate in accordance with the Canadian Institute of Mining,
Metallurgy and Petroleum (“CIM”) Definition Standards incorporated by reference in National Instrument
43-101 (“NI 43-101”) for the Saramacca deposit located approximately 25 kilometres from its Rosebel
operation in Suriname (see attached map).
The resource estimate comprises 14.4 million tonnes of indicated resources averaging 2.20 grams of
gold per tonne for 1,022,000 ounces and 13.6 million tonnes of inferred resources averaging 1.18
grams of gold per tonne for 518,000 ounces. Approximately 60% of the resources are contained within
shallow, softer laterite and saprolite hosted mineralization. The Saramacca deposit remains open along
strike in both directions and at depth and has significant potential for expansion.
IAMGOLD’s President and CEO, Steve Letwin, commented, “The NI 43-101 maiden resource estimate for
Saramacca confirms the significance of this gold discovery, and adds to the substantial resource increase
reported at Rosebel just over a month ago. With an estimate surpassing our expectations and a deposit
that remains open, our transformative strategy to consolidate prospective land packages aro und Rosebel
continues to add significant value for IAMGOLD shareholders.”
Craig MacDougall, Senior Vice President, Exploration for IAMGOLD, stated, " The initial resource estimate
reported for the Saramacca deposit today is the culmination of an outstanding effort by our exploration and
support teams, who have worked tirelessly to advance the project since the commencement of exploration
activities last September. These initial results not only exceed our expectations, but we are excited about
the potential to further expand the current resources and to make additional discoveries on the property. I
congratulate the exploration team for the well-executed and safely-completed exploration program leading
to today’s announcement.”
The mineral resource for the Saramacca deposit incorporates assay results from 307 diamond and reverse
circulation drill holes spaced at approximately 50 x 50 metres and totalling approximately 47,000 metres,
including 217 holes totalling 37,700 metres completed by IAMGOLD. The estimate was prepared using a
block model constrained with 3D wireframes of the principal mineralized domains. Values for gold were
interpolated into blocks using ordinary kriging (OK). An open pit optimization algorithm was run on the
block model to constrain the resource and to support the CIM requirement that Mineral Resources have
‘reasonable prospects for eventual economic extraction’. The resource estimate assumes a long-term gold
price of US$1,500/ounce. Only mineralization contained within the preliminary pit shell has been included
in the resource estimate. It is meaningful to note that the pit shell generated extends to the base of the
defined resources in some of the higher grade zones of the deposit. The effective date of this resource
estimate is August 28, 2017.
A supporting NI 43-101 Technical Report will be filed on SEDAR at www.sedar.com no later than 45 days
after the date of this release.
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MINERAL RESOURCE STATEMENT - SARAMACCA GOLD PROJECT, SURINAME
August 28, 2017
Category Weathering
Zone
Cut-off Grade
(g/t Au)
Tonnage
(000s t)
Grade
(g/t Au)
Contained Au
(000s oz)
Indicated
Laterite 0.25 2,372 1.20 91
Saprolite 0.25 5,573 2.43 436
Transition 0.35 2,526 2.17 176
Fresh 0.45 3,973 2.49 318
Total Indicated 14,444 2.20 1,022
Inferred
Laterite 0.25 4,455 0.69 98
Saprolite 0.25 4,790 0.82 126
Transition 0.35 1,349 1.97 86
Fresh 0.45 3,039 2.13 208
Total Inferred 13,632 1.18 518
Notes:
1. Mineral resources are not mineral reserves and have not demonstrated economic viability.
2. CIM definitions were followed for classification of Mineral Resources.
3. Cut-off grades are 0.25 g/t Au for laterite and saprolite, 0.35 g/t Au for transition and 0.45 g/t Au for fresh
rock.
4. Mineral Resources are reported using a gold price of US$1,500 per ounce.
5. Mineral Resources are constrained by a Whittle optimized pit shell.
6. All figures have been rounded to reflect the relative accuracy of the estimates. Discrepancies in sums occur
due to rounding.
In support of the mineral resource estimate, preliminary metallurgical test work was completed by ALS
Metallurgical Laboratories in Vancouver, British Columbia, Canada, on thirteen composite samples
prepared from drill core obtained from the Saramacca drilling program. The results suggest that gold
recoveries averaging approximately 97% in oxide, 76% in transition and 82% in fresh rock can be
expected from a conventional gravity and leach/carbon in leach (CIL) circuit. Further testing is
recommended to further optimize gold recoveries.
About the Saramacca Project
The Saramacca project is strategically located approximately 25 kilometres southwest of the Rosebel Gold
Mine processing facility. Mineralization is hosted in the Paramaka Formation within the lower part of the
Marowijne Greenstone Belt, which is dominated by metamorphosed basalt and andesite lithologies in the
project area. These are traversed by the regional, northwest trending Saramacca shear zone, an
important deformation zone for the localization of gold mineralization. Drilling has confirmed the presence
of multiple mineralized structures within an approximately 2-kilometre long and 400-metre wide corridor.
Mineralization occurs in the near surface oxidized weathering profile to depths ranging from 50 to 100
metres, as well as deeper in primary sulphide zones. In the deposit area, three mineralization styles are
recognized from the drilling completed to date: breccia hosted mineralization characterized by jigsaw,
crackle and matrix supported breccias; shear hosted mineralization characterized by well -developed pyritic
disseminations and stringers; and irregular pyrite-quartz-carbonate veins which locally carry high gold
grades.
On August 30, 2016, the Company signed a letter of intent with the Government of Suriname to acquire
rights to the Saramacca property, with the intent of defining a National Instrument 43-101 mineral resource
within 24 months. The terms of the letter included an initial payment of $0.2 million, which enabled
immediate access to the property for Rosebel’s exploration team to conduct due diligence, as well as
access to the data from previous exploration activity at the Saramacca property. On September 3 0, 2016,
having been satisfied with the results of the due diligence, the Company ratified the letter of intent to
acquire the Saramacca property and subsequently paid $10 million in cash and agreed to issue 3.125
million IAMGOLD common shares to the Government of Suriname in three approximately equal annual
instalments on each successive anniversary of the date the right of exploration was transferred to Rosebel
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(December 2016). In addition, the agreement provides for a potential upward adjustment to the p urchase
price based on the contained gold ounces identified by Rosebel in National Instrument 43-101 measured
and indicated resource categories, within a certain Whittle shell within the first 24 months, to a maximum of
$10 million.
The Saramacca project falls within the “UJV” area as defined in an Agreement with the Government of
Suriname announced on April 15, 2013. The Agreement establishes a joint venture growth vehicle under
which Rosebel would hold a 70% participating interest and the Government will acquire a 30%
participating interest on a fully-paid basis.
Next Steps
With the results of the initial resource estimate now in hand, a follow up drilling program is expected to
commence this quarter with the objective to: 1) increase the confidence in the current resources and
convert inferred resources to indicated; 2) target expansions to the existing resource along known
mineralized trends and at depth, and 3) evaluate identified exploration targets for the presence of
additional mineralized zones. A program of approximately 20,000 metres of diamond and reverse
circulation drilling is planned for completion during the remainder of 2017.
In addition to the drilling program outlined above, the Rosebel mine team is working to advance the
Saramacca deposit towards production. An Environmental and Social Impact Study (ESIA) is already
underway as the fundamental element in the permitting process. Preliminary engineering work has been
undertaken on mine design, and infrastructure elements such as ore transport options, access roads, and
waste rock disposal. In addition to the exploration work planned for the next phase, field work will
commence soon on geotechnical investigation and condemnation work. Additional, comprehensive
metallurgical testing will also be undertaken to refine the recovery assumptions, to test the crushi ng and
grinding characteristics of the ore, and to investigate the metallurgical variability across the ore deposit.
Using the new block model as a basis, new mine designs and integrated scheduling with the main Rosebel
resources will commence soon, and will continue to be advanced as additional geologic and engineering
information becomes available. It is our intention to complete the permitting work and to generate a
preliminary reserve estimate for Saramacca during the first half of 2018 and to work tow ard initial
production in 2019.
Forward Looking Statement
This news release contains forward-looking statements. All statements, other than of historical fact, that
address activities, events or developments that the Company believes, expects or anticipates will or may
occur in the future (including, without limitation, statements regarding expected, estimated or planned gold
production, all-in sustaining costs and other cost estimates, capital expenditures and exploration
expenditures and statements regarding the estimation of mineral resources and mineral reserves,
exploration results, life-of-mine estimates and potential mineral resources and mineral reserves) are
forward-looking statements. Forward-looking statements are generally identifiable by use of the words
“may”, “will”, “should”, “continue”, “expect”, “anticipate”, “estimate”, “believe”, “prospective”, “significant”,
“significant potential”, “substantial”, transformative”, “intend”, “plan” or “project” or the negative of these
words or other variations on these words or comparable terminology. Forward -looking statements are
subject to a number of risks and uncertainties, many of which are beyond the Company’s ability to control
or predict, that may cause the actual results of the Company to differ materially from those discussed in
the forward-looking statements. Factors that could cause actual results or events to differ materially from
current expectations include, among other things, without limitation, failure to meet expected, estimated or
planned gold production, unexpected increases in all-in sustaining costs or other costs, unexpected
increases in capital expenditures and exploration expenditures, variation in the mineral content within the
material identified as mineral resources and mineral reserves from that predicted, changes in development
or mining plans due to changes in logistical, technical or other factors, the possibility that future exploration
results will not be consistent with the Company's expectations, changes in world gold markets and other
risks disclosed in IAMGOLD’s most recent Form 40-F/Annual Information Form on file with the United
States Securities and Exchange Commission and Canadian securities regulatory authorities. Any forward -
looking statement speaks only as of the date on which it is made and, except as may be required by
applicable securities laws, the Company disclaims any intent or obligation to update any forward -looking
statement.
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Qualified Persons and Technical Information
The mineral resource estimate, including verification of the data disclosed, has been completed by SRK
Consulting (Canada) Inc. (“SRK”) and reported in accordance with NI 43-101 requirements and CIM
Estimation Best Practice Guidelines. The resource estimate was prepared by Mr. Glen Cole, P.Geo.,
Principal Resource Geologist and Dr. Oy Leuangthong, P.Eng., Principal Geostatistician with SRK.
Both Mr. Cole and Dr. Leuangthong, who are independent qualified persons under NI 43-101, have
reviewed and approved the contents of this release. The information in this news release was reviewed
and approved by Craig MacDougall, P.Geo., Senior Vice President, Exploration for IAMGOLD. Mr.
MacDougall is a Qualified Person as defined by National Instrument 43-101.
Notes to Investors Regarding the Use of Resources
Cautionary Note to Investors Concerning Estimates of Measured and Indicated Resources
This news release uses the term "indicated resources". We advise investors that while that term is
recognized and required by Canadian regulations, the United States Securities and Exchange Commission
(the “SEC”) does not recognize them. Investors are cautioned not to assume that any part or all of mineral
deposits in these categories will ever be converted into reserves.
Cautionary Note to Investors Concerning Estimates of Inferred Resources
This news release also uses the term "inferred resources". We advise investors that while this term is
recognized and required by Canadian regulations, the SEC does not recognize it. "Inferred resources"
have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and
legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be
upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not
form the basis of feasibility or pre-feasibility studies, except in rare cases. Investors are cautioned not to
assume that part or all of an inferred resource exists, or is economically or legally mineable.
Scientific and Technical Disclosure
IAMGOLD is reporting mineral resource estimates in accordance with the CIM guidelines for the
estimation, classification and reporting of resources.
Cautionary Note to U.S. Investors
The SEC limits disclosure for U.S. reporting purposes to mineral deposits that a company can
economically and legally extract or produce. IAMGOLD uses certain terms in this news release, such as
"measured," "indicated," or "inferred," which may not be consistent with the resource definitions
established by the SEC. U.S. investors are urged to consider closely the disclosure in the IAMGOLD
Annual Reports on Forms 40-F. You can review and obtain copies of these filings from the SEC's website
at http://www.sec.gov/edgar.shtml or by contacting the Investor Relations department.
The Canadian Securities Administrators' NI 43-101 requires mining companies to disclose reserves and
resources using the subcategories of "proven" reserves, "probable" reserves, "measured" resources,
"indicated" resources and "inferred" resources. Mineral resources that are not mineral reserves do not
demonstrate economic viability.
A mineral resource is a concentration or occurrence of natural, solid, inorganic material, or natural, solid
fossilized organic material including base and precious metals in or on the Earth's crust in such form and
quantity and of such a grade or quality that it has reasonable prospects for economic extraction. The
location, quantity, grade, geological characteristics and continuity of a mineral resource are known,
estimated or interpreted from specific geological evidence and knowledge. A measured min eral resource is
that part of a mineral resource for which quantity, grade or quality, densities, shape and physical
characteristics are so well established that they can be estimated with confidence sufficient to allow the
appropriate application of technical and economic parameters, to support production planning and
evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable
exploration, sampling and testing information gathered through appropriate techniques from locations such
as outcrops, trenches, pits, workings and drill holes that are spaced closely enough to confirm both
geological and grade continuity. An indicated mineral resource is that part of a mineral resource for which
quantity, grade or quality, densities, shape and physical characteristics can be estimated with a level of
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confidence sufficient to allow the appropriate application of technical and economic parameters, to support
mine planning and evaluation of the economic viability of the deposit. Th e estimate is based on detailed
and reliable exploration and testing information gathered through appropriate techniques from locations
such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough for geological
and grade continuity to be reasonably assumed. An inferred mineral resource is that part of a mineral
resource for which quantity and grade or quality can be estimated on the basis of geological evidence and
limited sampling and reasonably assumed, but not verified, geological and grade continuity. The estimate
is based on limited information and sampling gathered through appropriate techniques from locations such
as outcrops, trenches, pits, workings and drill holes. Mineral resources which are not mineral reserves do
not have demonstrated economic viability.
Investors are cautioned not to assume that part or all of an inferred resource exists, or is
economically or legally mineable.
A feasibility study is a comprehensive technical and economic study of the selected d evelopment option for
a mineral project that includes appropriately detailed assessments of realistically assumed mining,
processing, metallurgical, economic, marketing, legal, environmental, social and governmental
considerations together with any other relevant operational factors and detailed financial analysis, that are
necessary to demonstrate at the time of reporting that extraction is reasonably justified (economically
mineable). The results of the study may reasonably serve as the basis for a fina l decision by a proponent
or financial institution to proceed with, or finance, the development of the project. The confidence level of
the study will be higher than that of a Pre-Feasibility Study.
A Pre-Feasibility Study is a comprehensive study of a range of options for the technical and economic
viability of a mineral project that has advanced to a stage where a preferred mining method, in the case of
underground mining, or the pit configuration, in the case of an open pit, is established and an effe ctive
method of mineral processing is determined. It includes a financial analysis based on reasonable
assumptions on mining, processing, metallurgical, economic, marketing, legal, environmental, social and
governmental considerations and the evaluation of any other relevant factors which are sufficient for a
qualified person, acting reasonably, to determine if all or part of the Mineral Resource may be classified as
a Mineral Reserve.
CONFERENCE CALL
A conference call will be held on Wednesday, September 6, 2017 at 8:30 a.m. (Eastern Daylight Time) for
a discussion with management regarding the mineral resource estimate for Saramacca. A webcast of the
conference call will also be available through IAMGOLD`s website - www.iamgold.com.
Conference Call Information: North America Toll-Free: 1-800-319-4610 or 1-604-638-5340.
A replay of this conference call will be accessible for one month following the call by dialing: North America
toll-free: 1-800-319-6413 or 1-604-638-9010, passcode: 1658#.
About IAMGOLD
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 acq uisition opportunities.
IAMGOLD is in a strong financial position with extensive management and operational expertise.
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For further information please contact:
Ken Chernin, VP Investor Relations, IAMGOLD Corporation
Tel: (416) 360-4743 Mobile: (416) 388-6883
Laura Young, Director, Investor Relations, IAMGOLD Corporation
Tel: (416) 933-4952 Mobile: (416) 670-3815
Shae Frosst, Investor Relations Associate, IAMGOLD Corporation
Tel: (416) 933-4738 Mobile: (647) 967-9942
Toll-free: 1-888-464-9999 [email protected]
Please note:
This entire news release may be accessed via fax, e -mail, IAMGOLD's website at www.iamgold.com and through CNW Group’s
website at www.newswire.ca. All material information on IAMGOLD can be found at www.sedar.com or at www.sec.gov.
Si vous désirez obtenir la version française de ce communiqué, veuillez consulter le
http://www.iamgold.com/French/accueil/default.aspx.
Rosebel Unincorporated Joint Venture (UJV) Area