Iamgold Corporation · TSX:IMG

Iamgold — Bank of America Merrill Lynch Canada Mining Conference 2011

45 slides from Iamgold's conference presentation, Sep 8, 2011

  1. Slide 1: Bank of America Merrill Lynch Canada Mining Conference Presentation

    BANK of AMERICA MERRILL LYNCH CANADA MINING CONFERENCE PRESENTATION September 8, 2011 Paul Olmsted Senior Vice-President, Corporate Development 1 TSX: IMG NYSE: IAG

  2. Slide 2: Cautionary Statement

    Cautionary Statement This presentation 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 rega

  3. Slide 3: Strategic Focus

    Strategic Focus IAMGOLD OTHER ESSAKANE, 55% to 65% 35% to 45% ROSEBEL, EXPLORATION SADIOLA, & YATELA FUTURE & ACQUISITIONS WESTWOOD BROWNFIELD GREENFIELD NIOBIUM MINE OPPORTUNITIES OPPORTUNITIES NIOBEC (100%) 33 Creating value through greater focus

  4. Slide 4: High Quality Long-life Assets

    High Quality Long-life Assets 5 producing gold mines Westwood, Canada Niobec, Canada Westwood gold (100% owned) (100% owned) development project 1 Niobium mine Doyon Division, Canada (100% owned) 20+ exploration projects Yatela, Mali (40% interest) Sadiola, Mali (41% interest) Essakane, Burkina Faso

  5. Slide 5: Gold Production

    Gold Production 000 oz 997 1,000 965 967 940 -1,000 939 130-150 900 870-930 800 340-360 725 728 700 671 654 122 600 263 315 392 500 400 395 360-380 Discontinued 300 Operations 260 238 224 200 100 178 145-160 131 118 109 0 33 25-30 2007 2008 2009 2010 2011 E Attributable to IAMGOLD 5

  6. Slide 6: 3 Year Gold Production Forecast

    3 Year Gold Production Forecast 000 oz 1,400 1,120-1,220 130-150 1,200 130-150 Westwood 1,000 870-930 865-940 Essakane 425-455 800 Rosebel 728 340-360 330-360 122 Sadiola & Yatela 600 Mouska 395 385-415 400 360-380 385-415 200 178 145-160 150-165 150-165 0 33 25-30 30-35 2010 2011 E 2012 E 2013 E No

  7. Slide 7: Shifting Towards a More Balanced Risk Profile

    Shifting Towards a More Balanced Risk Profile ► Experienced in different political environments ► In depth knowledge of multiple mining jurisdictions ► Strong partnerships with local governments ► Important contributor to local economies Operating Cash Flow by Region (Gold and Niobium Operations) 20

  8. Slide 8: Strong Balance Sheet

    Strong Balance Sheet $ millions 1,600 $1,548 1,400 350 1,200 $971 1,000 800 $761 350 600 350 1,198 400 621 411 200 0 Q4'10 Q1'11 Q2'11 1 2 Cash & Bullion Credit Facility available 1 Bullion at market value 2 Available undrawn portion, credit facility expiring April 2013 8 Considerable financial flex

  9. Slide 9: Expanding and Optimizing Existing Mines

    Expanding and Optimizing Existing Mines ► More Cost Effective  Leverages existing infrastructure  Economies of scale  Zero to minimal permitting issues  No acquisition costs ► Faster Execution  IAMGOLD in control  Established in-house operating team ► Lower Risk  Higher confidence in minerali

  10. Slide 10: Rosebel Suriname

    Rosebel SURINAME IMG Ownership: 95% Attributable Production (oz) Q2 YTD ’11 187,000 Grade (g/t) 1.0 2010 395,000 Cash Cost ($/oz)3 Q2 YTD ’11 $618 2010 $484 Attributable Reserves & Resources (oz) P&P Reserves1 5,892,000 M&I Resources2 7,531,000 Inferred Resources 609,000 Estimated Mine Life (years)

  11. Slide 11: Reserves Outpace Depletion at Rosebel

    Reserves Outpace Depletion at Rosebel Cumulative Ounces Mined and Reserves (100% basis) 1.2 M oz. reserve growth in 2010 Million ozs (after depletion) 9 Cumulative ounces mined  94,000+m drilling 6.2  Koolhoven and Royal Hill 8 Mineral Reserves (in situ) extensions 7 5.1 6 5 3.7 3.8 3.4 4 3.2 3 2.

  12. Slide 12: Rosebel Expansion: Production (ounces)

    Current Rosebel Expansion *Based on 2010 SRDP Base Case Expansion Mine Life 18 Years 11 Years Accelerated production Processing Rate 12 Mtpa declining to 6 Mtpa 12-14 Mtpa reduces fixed costs Nominal Mining Rate 55 Mtpa declining to 35 Mtpa 70-75 Mtpa and brings cash flow Strip Ratio (Waste:Ore) 4.0

  13. Slide 13: Essakane Burkina Faso

    Essakane BURKINA FASO IMG Ownership: 90% Attributable production (oz) Q2 YTD ’11 157,000 Grade (g/t) 1.6 2010 122,000 Cash Cost ($/oz)3 Q2 YTD ’11 $501 2010 $429 Attributable Reserves & Resources (oz) P&P Reserves1 4,015,000 ► Commenced production July 2010 Indicated Resources2 4,351,000 Inferred Re

  14. Slide 14: Essakane Expansion: Production (ounces)

    Current Essakane Expansion Based on 2010 SRDP Concept Study Concept Study Base Case Expansion Accelerated Mine Life 21 years 14 years production reduces Processing Rate 9 Mtpa (soft rock) first 3 yrs, then 9 Mtpa (soft rock) first 3 yrs, then fixed costs and declining to 5.4 Mtpa (hard rock) increas

  15. Slide 15: Sadiola Mali

    Sadiola MALI IMG Ownership: 41% JV Partner: AngloGold Ashanti (41%) Attributable production (oz) Q2 YTD ’11 63,000 Grade (g/t) 1.9 2010 118,000 Cash Cost ($/oz)3 Q2 YTD ’11 $714 2010 $653 Attributable Reserves & Resources (oz) P&P Reserves1 2,297,000 ► Long history of commercial production M&I Resou

  16. Slide 16: Sadiola Expansion Plan

    Sadiola Expansion Plan Base Case Expansion Mine Life 8 Years 15 Years Processing Rate 4.6-5.0 Mtpa 7.5-8.5 Mtpa Nominal Mining Rate 25-30 Mtpa 50-60 Mtpa declining to 20 Mtpa Strip Ratio (Waste:Ore) 4.5 3.4 Annual Gold Production 300-325 koz declining to 250-275 koz 350-450 koz Sadiola Sulphide Proj

  17. Slide 17: Operating Model Focused on Cost Management

    Operating Model Focused on Cost Management 2010 Mining Costs per Tonne 5.21 3.72 ($/tonne) 2.90 2.74 2.52 2.58 1.80 1.91 1.60 1.60 1.70 1.50 1.35 Essakane 0.93 Rosebel Sadiola 0.85 Yatela IAMGOLD - Operator Competitors IAMGOLD - Joint Ventures Rosebel Essakane Sadiola ► Production management ► Addit

  18. Slide 18: Project Timelines

    Project Timelines Rosebel 2011 2012 2013 2014 2015 Expansion Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Construction GRAVITY CIRCUIT Commissioning/ Production Construction GRINDING CIRCUIT Commissioning/ Production SRDP Pre-Feasibility Essakane 2011 2012 2013 2014 2015 Expansion Q1

  19. Slide 19: Westwood Canada

    Westwood CANADA IMG Ownership: 100% ► Open at depth and along strike Resources (oz) ► Geology well understood Indicated Resources1 269,000 ► Minimum development costs Inferred Resources1 3,467,000 Estimated annual production (oz) LOM average 186,000 Cash Cost ($/oz) LOM average2 $358 Estimated Mine

  20. Slide 20: Westwood Canada – Project Timeline

    Westwood CANADA – Project Timeline 2011 2012 2013 2014 2015 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Ventilation Shaft Waste Silo Doyon Mill refurbishment 1,560 2,000 Shaft Sinking m m Construction of Paste Backfill Plant Commissioning/ 130,000-150,000 oz Full Production Productio

  21. Slide 21: 2011 Exploration Program

    2011 Exploration Program Areas of Active Exploration 2011 Exploration Budget $43.5M $96.8M $53.3M Greenfields Brownfields 21 Planned near-mine and greenfield drilling >500,000 metres

  22. Slide 22: 2011 Greenfield Exploration – South America

    2011 Greenfield Exploration – South America SURINAME – Near Rosebel Charmagne Discovery  329,000 oz inferred resource grading1.02g/t  Positive concept study completed  Targeting conversion of inferred resource to M&I by year-end Koemboe Prospect  Wide zone of anomalous gold  Close to existing i

  23. Slide 23: 2011 Greenfield Exploration – West Africa

    2011 Greenfield Exploration – West Africa Essakane  District scale land package  Essakane style mineralization  46,000 m air-core drill program Siribaya JV  30,000 m RC drilling program  10,000 m in diamond drilling  8 km long mineralized corridor Kalana JV  34,500 m diamond and RC drill prog

  24. Slide 24: Acquisition Criteria

    Acquisition Criteria Known regions in West Africa, South America and Canada:  Regional Continuity  Social & Fiscal Stability  Long-Term Prospectivity & Opportunities Target: 150,000+ ounces of gold per year, 2Moz+ reserves 24

  25. Slide 25: Niobec Canada

    Niobec CANADA IMG Ownership: 100% Mkg Niobium production 4.5-5.0 Production (Mkg Nb) 4.4 5 Q2’11 1.1 2010 4.4 4 Operating Margin ($/kg Nb) 3 Q2’11 $14 2.2 2010 $18 2 Reserves & Resources (Mkg Nb2O5) Q2 P&P Reserves1 243.8 1 M&I Resources2 1,927.4 Inferred Resources3 1,240.4 Q1 0 2010 Q2'11 YTD 2011E

  26. Slide 26: Niobium: Rare Metal with Unique Properties

    Niobium: Rare Metal with Unique Properties  Strengthens steel Automotive  Lightens the weight Pipelines  Improves durability  Enhances flexibility Construction  Reduces costs 26 Used to produce high-quality steel

  27. Slide 27: Niobium Demand is Growing Rapidly

    Niobium Demand is Growing Rapidly FeNb Niobium Demand (tonnes) Steel consumption 10% CAGR (Mt) 145,000 2000 • Increased usage intensity 125,000 1800 105,000 1600 85,000 1400 • Growing steel production 65,000 1200 45,000 1000 25,000 800 5,000 600 '82 '84 '86 '88 '90 '92 '94 '96 '98 '00 '02 '04 '06 '0

  28. Slide 28: Independent Preliminary Economic Assessment Confirms Potential Value

    Independent Preliminary Economic Assessment Confirms Potential Value Bulk Mining Methods NI 43-101 Compliant Technical Report* ► 691% increase in M&I mineral resource to 1.93 Bkg ► Potential increase in annual production to 15 Mkg ► Remaining mine life 40+ years at triple current production ► Employ

  29. Slide 29: Rare Earth Element Potential at Niobec

    Rare Earth Element Potential at Niobec Niobium exploration potential Rare earth elements ► 4 hole drill program completed March 2011 ► Exploration and metallurgical testing underway ► Metallurgical results expected end of Q3 2011 Existing block model and shaft 29

  30. Slide 30: CSR Leadership

    CSR Leadership  PDAC 2011 Environmental and Social Responsibility Award HEALTH & SUSTAINABILITY SAFETY  #1 extractive company Framework Framework in Globe and Mail’s Report on Corporate Leadership Social Responsibility Leadership  CIM 2011 Syncrude Accountability Governance Award for Excellence i

  31. Slide 31: Growth Strategy

    Growth Strategy 1 Expand and optimize existing mines focusing on natural extensions 2 Increase focus on mine specific cost reduction measures 3 Pursue exploration plays in highly prospective and low risk regions 4 Evaluate acquisition opportunities aligned with corporate objectives 5 Surface full va

  32. Slide 32: Investment Highlights

    Investment Highlights  Diversified portfolio of long-life gold assets with significant expansion opportunity  Unique niobium asset in a fast growing niche market  Proven operating, exploration and development expertise  Return on capital driven growth strategy  Demonstrated CSR leadership  Str

  33. Slide 33: Contacts

    BANK of AMERICA MERRILL LYNCH CANADA MINING CONFERENCE PRESENTATION Contacts: Bob Tait, VP Investor Relations T: 416 360 4743 C: 647 403 5520 Laura Young, Director Investor Relations T: 416 933 4952 IAMGOLD Corporation 401 Bay Street, Suite 3200 Toronto, ON M5H 2Y4 Canada E: info@iamgold.com 33

  34. Slide 34: Appendix

    # IAMGOLD’ CORPORATION APPENDIX

  35. Slide 35: IAMGOLD's Mining Interests

    IAMGOLD’s Mining Interests 2009 2010 2010 Gold Geographic IAMGOLD Operator Production Production Cash cost1 Mines Location Ownership (000oz) (000oz) ($/oz) Rosebel IAMGOLD Suriname 95% 392 395 484 Essakane IAMGOLD Burkina Faso 90% - 122 429 Doyon Div. IAMGOLD Canada 100% 109 33 655 Sadiola AngloGold

  36. Slide 36: Reserves & Resources Growth

    Reserves & Resources Growth Moz Moz Moz Attributable Proven and Attributable Measured & Attributable Probable Reserves 1 22 22 Indicated Resources 9 Inferred Resources 20 20 8 18 18 7 16 16 14 14 6 12 12 5 21.4 8.9 10 10 19.8 4 8.0 8 16.4 8 14.5 3 6 6 2 4 4 2 2 1 0 0 0 2009 2010 2009 2010 2009 2010

  37. Slide 37: 2011 Guidance

    2011 Guidance 2011 Guidance Issued August 2011 attributable gold production (000oz) Rosebel 360-380 Essakane 340-360 Mouska 25-30 Mines owned and operated by IAMGOLD 725-770 Sadiola and Yatela 145-160 Total attributable production from 870-930 continuing operations Discontinued Operations (Mupane, T

  38. Slide 38: Planned Capital Expenditures

    Planned Capital Expenditures $ millions 400 350 25 300 54 250 191 132 200 92 150 23 38 100 139 146 98 13 50 95 20 13 22 39 16 0 15 Essakane Westwood Sadiola Rosebel Niobec Other 2011 2012 2013 38

  39. Slide 39: 2011 Capital Expenditures

    2011 Capital Expenditures Westwood - $146M  Deepening shaft 2011 Planned Capital Expenditures of  Developing drift levels for future mining $456M Essakane - $139M ($ millions)  Expansion construction to start in Q4’11 based on favourable outcome to expansion feasibility study $146 Rosebel - $95M

  40. Slide 40: Mouska Canada

    Mouska CANADA IMG Ownership: 100% Reserves & Resources (oz) P&P Reserves1 73,000 M&I Resources2 272,000 Inferred Resources 529,000 Attributable Production (oz) 2010 33,000 2009 109,000  Began processing stock-piled ore in September ’10 Cash Cost ($/oz)  Ore mined from Mouska stockpiled for 2010 $6

  41. Slide 41: Yatela Mali

    Yatela MALI IMG Ownership: 40% JV Partner: AngloGold Ashanti (40%) Attributable Reserves & Resources (oz) P&P Reserves1 78,000 M&I Resources2 129,000 Inferred Resources 49,000 Attributable Production (oz) Q2 YTD ‘11 14,000  Drilling extended mine life to at least 2011 2010 60,000  Exploring Yatela

  42. Slide 42: Mali – Kalana JV

    Mali – Kalana JV 2011 Budget - $7.9 million  387 km2 Mining Permit expires 2033  Avnel - IMG Option Agreement signed GUINEA MALI August 2009 Kalanako  IAMGOLD can earn a 51% interest in Avnel’s share of SOMIKA (80%); Malian Dadjan High priority Government (20%) Kalana 60km²  $11M expenditure in

  43. Slide 43: Mali – Siribaya JV

    Mali – Siribaya JV 2011 Budget – C$3.0+ million Senegal  563 km2 land package  Maiden Resource Guemedji Trend  Indicated: 308Koz at 2.39 g/t Au Mali Boto  Inferred: 70Koz at 2.29 g/t Au (100% IMG) SiribayaTrend  Merrex - IMG Option Agreement Zone 1B Resource Area signed December 2008 Siribaya 

  44. Slide 44: Senegal – Daorala-Boto & Bambadji

    Senegal – Daorala-Boto & Bambadji Sabodala – 2 Moz Loulo – 6 Moz 315 km² in World-Class District DAORALA Yalea – 2.4 Moz Daorala-Boto: 100% IAMGOLD Massawa – 4.5 Moz Tabakoto – 2.8 Moz Gounkoto – 2.65 Moz  Boto located 25 km from Siribaya BAMBADJI JV  Non-compliant mineral inventory Senegal  Daor

  45. Slide 45: Contacts

    BANK of AMERICA MERRILL LYNCH CANADA MINING CONFERENCE PRESENTATION Contacts: Bob Tait, VP Investor Relations T: 416 360 4743 C: 647 403 5520 Laura Young, Director Investor Relations T: 416 933 4952 IAMGOLD Corporation 401 Bay Street, Suite 3200 Toronto, ON M5H 2Y4 Canada E: info@iamgold.com 45

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