There was a decline in the share price of IAMGOLD Corporation (IAG) by -9.79% and were trading at a stock price of $2.54. IAG’s stock volume stayed the same at 4.97 million shares, however, this was higher than the average volume of the past 50 days which was 3.96 million shares. Over the last 12 months, there has been a decline in shares of IAG by -41.09%, and the last week they have decreased by -4.42%. IAG’s stock has declined by -18.79% over the last three months and in the last six months, the stock’s value has decreased by -19.48%. The outstanding shares of IAMGOLD stand at 475.80 million and their current market value is $1.42 billion.
IAMGOLD Corporation at a glance
IAMGOLD Corporation, headquartered in Toronto, Canada, is a developer, operator, and explorer for gold mining properties in three regions: Western Africa, North and South America. IAMGOLD is developing high potential mining districts that help them in developing, operating, and exploring projects. Its operational mines comprise of the Westwood mine (Quebec, Canada), the Essakane mine (Burkina Faso, West Africa), and the Rosebel mine (Suriname, South America). Some of its development and exploratory projects are the Diakha-Siribaya gold project (Mali), the Cote gold project (Ontario) and the Boto gold project (Senegal), and various other countries located in America and Western Africa. IAMGOLD is estimated to employ 5,000 people and commits itself to maintain the culture of accountable mining by following high social and environmental standard practices.
IAMGOLD reports second Quarter financial results for 2021
The Essakane mine had produced strong and promising results of the second quarter with high gold production in spite of the fact that there were numerous challenges in ore processing with high graphitic content. The production guidance has been increased for the Essakane project which will reflect higher production in the first two quarters of 2021.
On the other hand, the Westwood mine required additional safety measures because of which the production guidance for Westwood 2021 had to be reduced to reflect this.
Due to difficult operating conditions, mining activities in the Rosebel mine were impacted in the second quarter, which was caused by heavy rainfall. In addition to the operating conditions, there was also a significant increase in COVID-19 cases as there had emerged a new variant in Suriname during the second quarter. The social impact of this greatly affected the projects and operations. The Guidance for Rosebel were adjusted downwards due to the said reasons.
The company has summarized the results preliminary for second-quarter operations and also updated the 2021 guidance set on certain metrics. The changes in guidance have been made based on the first-half performance of 2021 and successive efforts for developing an updated outlook for the latter half of 2021.
The full-year assumptions for the updated full-year guidance 2021 included the $65 average crude oil price per barrel and average realized gold price of $1,745 per ounce with a EUR: USD exchange rate of 1.2 and USD: CAD exchange rate of 1.22.
The production guidance for the overall company has been reduced mainly due to the reduced actual production in Rosebel and Westwood mines, which was somewhat counterbalanced by high actual production in Essakane mine for the first half of 2021. Total per-ounce costs guidance had been increased which reflected lower total company-wide attributable guidance. The company, in accordance with IFRS, is trying to determine any kind of impairment for the Westwood mine and that it need adjustment or not.
