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Last updated on April 20, 2014 at 8:28 EDT

IAMGOLD reports first mineral resource estimate on the Boto Gold Project in Senegal

July 29, 2013

TSX: IMG    NYSE: IAG

TORONTO, July 29, 2013 /PRNewswire/ - IAMGOLD Corporation (“IAMGOLD” or the “Company”) today announced the first mineral resource
estimate in accordance with National Instrument 43-101 for its 100%
owned Boto Gold Project in eastern Senegal, West Africa.  With the
discovery of the new Malikoundi zone in 2012, IAMGOLD significantly
expanded its exploration drilling program, culminating in the
completion of the first mineral resource estimate for the project.

The resource estimate, which includes resources calculated for the Boto
2, 4, 5 and 6 deposits as well as the new Malikoundi deposit, is
comprised of Indicated Resources totalling 22 million tonnes averaging 1.62 grams of
gold per tonne for 1.14 million ounces
and Inferred Resources comprised of 1.9 million tonnes averaging 1.35
grams of gold per tonne for 81,000 ounces.  A significant portion of
the estimate is derived from the newly discovered Malikoundi deposit
which overall displays higher grades than most of the previously
discovered zones.

Craig MacDougall, Senior Vice President, Exploration for IAMGOLD,
stated, “The Malikoundi discovery in 2012 is a testament to the effort
and persistence of the exploration team to take this project to the
next level and is the cornerstone of the current resource estimate. 
With several of the deposits, including Malikoundi still open along
strike and at depth, we plan to continue the drill program with the
goal of expanding the existing mineral resource inventory.”

The mineral resource incorporates assay results from 423 diamond and
reverse circulation drill holes totalling 56,832 metres.  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 inverse distance cubed (ID(3)).  A preliminary open pit optimization algorithm was run on the
estimated grade block model to constrain the resource and to support
the Canadian Institute of Mining, Metallurgy and Petroleum (“CIM”)
requirement that Mineral Resources have ‘reasonable prospects for
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.

The mineral resource estimate is summarized in the following table at a
cut-off grade of 0.60 grams of gold per tonne. The effective date of
this resource estimate is April 19, 2013.


                                                               BOTO GOLD PROJECT - MINERAL
    RESOURCE ESTIMATE

                                                                                       April
    19, 2013

              Classification               Zone                  Tonnage                 Gold            Contained
                                                                   (000s)      Grade                 Ounces
                                                                                  (g/t Au)            (Au) (000s)

                                       Malikoundi                14,491                1.68                783

                                       Boto 2                       514                1.15                 19

                      INDICATED        Boto 4                     2,980                1.27                121

                                       Boto 6                     2,362                1.14                 86

                                       Boto 5                     1,612                2.54                132

                  Total Indicated                                21,960                1.62            1,142   

                                       Malikoundi                   702                1.37                 31

                                       Boto 2                         5                0.72                  0

                       INFERRED        Boto 4                       646                1.12                 23

                                       Boto 6                       420                1.53                 21

                                       Boto 5                        87                2.16                  6

                   Total Inferred                                 1,861                1.35                 81

Notes:

      1. CIM definitions were followed for classification of Mineral
         Resources.
      2. Mineral Resources are estimated at a cut-off grade of 0.60 g/t Au.
      3. Mineral Resources are estimated using a gold price of US$1,500 per
         ounce.
      4. High grade capped assay values vary from 15 g/t Au to 30 g/t Au
         based on geological area.
      5. Bulk density varies from 1.61 g/cm3to 2.62 g/cm3 based on
         weathering code.
      6. The resources are constrained by a Whittle pit shell.

The Daorala-Boto permit covers an area of 236 square kilometres and is
located in the Kedougou region of eastern Senegal along the borders
with Mali and Guinea.  The geological setting of the project area is
similar to the Sadiola and Loulo gold districts in adjacent Mali, being
underlain by highly prospective, Birimian-aged metasedimentary,
volcanic and intrusive rocks along a seven-kilometre strike length of
the Senegal-Mali Shear Zone.

Next Steps

Drilling to date has not completely defined the limits of the
mineralization at Boto 2, 4, 6 or Malikoundi, and these mineralized
zones remain open along strike and at depth.  Although the 2013
drilling program has now ceased with the onset of the annual rainy
season, which generally persists in the region from mid-July to
October, the Company expects to resume drilling as conditions improve.

The Company plans to continue to advance the project towards the
commissioning of a scoping study in 2014 and will complete further
resource updates as merited.

Qualified Persons

The mineral resource estimate, including verification of the data
disclosed, has been completed by RPA Inc. (“RPA”) and reported in
accordance with National Instrument 43-101 requirements and CIM
Estimation Best Practice Guidelines. The resource estimate was prepared
by RPA Principal Geologist Luke Evans, P.Eng., and a supporting NI
43-101 Technical Report will be posted on SEDAR at www.sedar.com on or before September 13(th), 2013.

Mr. Evans, who is an independent qualified person under NI 43-101, has
reviewed and approved the contents of this release.  Craig MacDougall,
P.Geo., Senior Vice President, Exploration, for IAMGOLD has also
reviewed and approved the contents of this release. Mr. MacDougall is a
Qualified Person as defined by National Instrument 43-101.

Cautionary Note to U.S. Investors

The United States Securities and Exchange Commission 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 presentation, such as “measured,” “indicated,” or
“inferred,” which may not be consistent with the reserve 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.

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 and niobium production,
cash costs, margin expansion, capital expenditures and exploration
expenditures and statements regarding the estimation of mineral
resources, exploration results, potential mineralization, 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”,
“outlook”, “guidance”, “estimate”, “believe”, “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: changes in the global prices for
gold, niobium, copper, silver or certain other commodities (such as
diesel, aluminum and electricity); changes in U.S. dollar and other
currency exchange rates, interest rates or gold lease rates; risks
arising from holding derivative instruments; the level of liquidity and
capital resources; access to capital markets, financing and interest
rates; mining tax regimes; ability to successfully integrate acquired
assets; legislative, political or economic developments in the
jurisdictions in which the Company carries on business; operating or
technical difficulties in connection with mining or development
activities; laws and regulations governing the protection of the
environment; employee relations; availability and increasing costs
associated with mining inputs and labour; the speculative nature of
exploration and development, including the risks of diminishing
quantities or grades of reserves; adverse changes in the Company’s
credit rating; contests over title to properties, particularly title to
undeveloped properties; and the risks involved in the exploration,
development and mining business.  With respect to development projects,
IAMGOLD’s ability to sustain or increase its present levels of gold
production is dependent in part on the success of its projects.  Risks
and unknowns inherent in all projects include the inaccuracy of
estimated reserves and resources, metallurgical recoveries, capital and
operating costs of such projects, and the future prices for the
relevant minerals.  Development projects have no operating history upon
which to base estimates of future cash flows.  The capital expenditures
and time required to develop new mines or other projects are
considerable, and changes in costs or construction schedules can affect
project economics.  Actual costs and economic returns may differ
materially from IAMGOLD’s estimates or IAMGOLD could fail to obtain the
governmental approvals necessary for the operation of a project; in
either case, the project may not proceed, either on its original timing
or at all.

About IAMGOLD

IAMGOLD (www.iamgold.com) is a leading mid-tier gold producer with six operating gold mines
(including current joint ventures) on three continents. In the Canadian
province of Québec, the Company also operates Niobec Inc., one of the
world’s top three producers of niobium, and owns a rare earth element
resource close to its niobium mine. IAMGOLD is well positioned for
growth with a strong financial position and extensive management and
operational expertise.  To grow from this strong base, IAMGOLD will
advance those projects from its pipeline of exploration and expansion
projects that can deliver attractive rates of return. IAMGOLD’s growth
plans are strategically focused in certain regions in Canada, select
countries in South America and Africa.

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/Home/default.aspx.

 

SOURCE IAMGOLD Corporation


Source: PR Newswire