Production for the second quarter totalled 166,000 oz., up from 107,000 oz. in Q2 2023, also at lower cash costs and AISC ($1,071/oz. and $1,617/oz.) than the previous year. The Q2 results exceeded analyst expectations, which were 157,000 oz. and $1,731/oz. for output and AISC respectively.
The improvements in production and costs allowed Iamgold to post adjusted net earnings of $137.8 million for H1 2024, which is significantly higher than the $22 million in 2023. This was boosted by Q2 2024 net earnings of $84.8 million, compared to a loss of $3.3 million last year.
“We are very proud of our achievements during the first half of the year at IAMGOLD,” said CEO Renaud Adams, attributing the results to strong performances at the Essakane and Westwood mines, located in Burkina Faso and Quebec, Canada, respectively.
“The Essakane and Westwood teams have continued to deliver strong operational results, which has positioned the company to beat our production and cost guidance targets set at the beginning of the year,” he added.
Also contributing to the H1 results is the Côté Gold mine in Ontario, which just had its first full quarter of production, contributing 20,000 oz. in production, and is expected to ramp up to 90% capacity by year-end.
Encouraged by the half-year results, IAMGOLD has raised its production guidance from Essakane and Westwood to 495,000-540,000 oz., up from the previous guidance range of 430,000-490,000 oz. Cost guidance for both mines have also been lowered.
Meanwhile, Côté Gold, which recently entered commercial production, is expected to hit the lower end of its forest range of 130,000-175,000 oz. on a 60.3% ownership basis. Costs for the new mine have also been revised down.
IAMGOLD’s stock traded at C$5.88 apiece by 2:00 p.m. ET in Toronto for a daily gain of 15.8%. Its 52-week range is C$2.71-C$6.24. The Canadian gold miner has a market capitalization of approximately C$3.3 billion ($2.4bn).
