Iamgold Corporation · TSX:IMG
Iamgold — Investor Presentation (May 2021)
50 slides from Iamgold's investor presentation, May 2021
Slide 1: Corporate Presentation
Corporate Presentation May 2021 TSX: IMG l NYSE: IAG www.iamgold.com
Slide 2: Cautionary Statement
Cautionary Statement CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION All information included in this presentation whether in narrative or chart form, including any information as to the Company’s future financial or operating performance, and other statements that express management’s expectati
Slide 3: Technical Information and Qualified Persons
Technical Information and Qualified Persons CAUTIONARY NON-GAAP PERFORMANCE MEASURES This presentation includes certain non-International Financial Reporting Standards (“IFRS”) measures such as life of mine total cash costs and life of mine average AISC. These measures are not defined under IFRS and
Slide 4: IAMGOLD – Positioned for Profitable Growth
IAMGOLD – Positioned for Profitable Growth • Operating in three regions (North/South America, W. Africa) with 2021 guidance of 630-700koz1 Diversified Operating I • Disciplined approach to realizing value – targeting a self-funding model at each operation Portfolio • Operating improvements: Essakane
Slide 5: Diversified Operating Portfolio
I Diversified Operating Portfolio Diversified Operating Portfolio GLOBAL OPERATING, DEVELOPMENT AND EXPLORATION PROJECTS ATTRIBUTABLE M&I RESOURCES1 34% 28% IAMGOLD Mining District Operating Mine West Africa Development Project North Advanced Exploration America 23.9 CHIBOUGAMAU Strategic Equity Int
Slide 6: Mining Regions: Key Operating Assets
I Diversified Operating Portfolio Mining Regions: Key Operating Assets ESSAKANE ROSEBEL WESTWOOD Burkina Faso Suriname Canada (90% Ownership) (95% RGM | 66.5% (100% Ownership) Saramacca1) Africa S. America N. America Stable Producer of ~400kozpa on a Long Operating History with Established Bas
Slide 7: Q1 Results and 2021 Outlook: Stronger Production Expected in H2
I Diversified Operating Portfolio Q1 Results and 2021 Outlook: Stronger Production Expected in H2 Attributable Gold Production Q1 RESULTS AND 2021 OUTLOOK (koz Au) Q1 2021 169 unit 2021 Guidance Essakane (90%) koz 102 365 – 390 159 156 Rosebel (95%) koz 47 220 – 245 155 Westwood (100%) koz 7 45 – 65
Slide 8: Environmental, Social and Governance (ESG)
II Culture of Accountable Mining Environmental, Social and Governance (ESG) Our People: Salamata Kagambega, the first Recent Forewoman in Mill Operations at Essakane • Zero Harm® is our commitment to continually strive to reach the highest standards in human health & Highlights * safety, minimize ou
Slide 9: COVID-19: Q1 2021 Update
II Culture of Accountable Mining COVID-19: Q1 2021 Update Health & Safety Protocols Embedded in our Operations and Projects • Essakane – implemented additional measures including thermal screening of all personnel and visitors entering site and Ouagadougou office; 20-bed field hospital and medical c
Slide 10: Focus on Safety: DART & TRI Tracking Below Target
II Culture of Accountable Mining Focus on Safety: DART & TRI Tracking Below Target Days Away, Restricted or Transferred Duty (DART) Total Recordable Injuries (TRI) DART 2021 TARGET: 1.44 0.66 0.511 TRI 2021 TARGET: 1.18 0.851 1.13 0.53 0.51 0.46 0.46 0.87 0.67 0.67 0.3 2016 2017 2018 2019 2020 2021
Slide 11: Attractive Upside Relative to Mid-tier Producer Peer Group
III Compelling Value & Production Growth Attractive Upside Relative to Mid-tier Producer Peer Group Financial Metrics1 Mineral Reserves & Net Asset Value2 PRICE / 2021E OPERATING CF (P/CF, x) EV / P&P RESERVES P&P Reserves (Moz)2 (US$/oz) 10.9x 6.3 9.9 7.3 19.4 13.8 3.6 15.5 9.9 6.1 11.2 15.2 17.3 1
Slide 12: Building Long Term Value
III Compelling Value & Production Growth Building Long Term Value Generating Near-term Investing in Mine-Site Project Long-term FCF1 Growth Pipeline (US$M) $223.2 • Project 18% complete at Q1 2021 NELLIGAN (75% JV) 3.2 MOZ4 (64.75% ownership)2 +280% • 83% project engineering QC, CANADA 1.0 G/T CANAD
Slide 13: Meaningful Production Growth
III Compelling Value & Production Growth Meaningful Production Growth FULLY FUNDED PEER-LEADING ORGANIC GROWTH PROFILE SUPPORTED BY SOLID OPERATING BASE (2021 Attributable Gold Production, koz2) 1,620 2024 +73% Target1 1,274 Achievable 1.0 –1.3 MOZ 2021 Guidance Pathway to 872 862 780 700 >1Moz 675
Slide 14: Côté Gold – Global Tier I Asset
III Compelling Value & Production Growth Côté Gold – Global Tier I Asset Ontario, Canada (64.75% ownership1) Tier I Asset Criteria I Mine Life >10 Years I 18+ Year Mine Life based on 7.3Moz2 of P&P with district potential II Annual Production >500,000 ounces II 493,000 ounces / year over the first
Slide 15: Côté Project Timeline – Key Milestones
III Compelling Value & Production Growth Côté Project Timeline – Key Milestones Q1 2021 ~18% ~83% $143M $875 – $925M UPDATE1 PROJECT COMPLETION DETAILED ENGINEERING INCURRED COSTS (JUL-20) TOTAL ESTIMATED COST4 Construction Process Major Building TMF Phase 1 Commercial Production Approval2 Earth
Slide 16: Côté Gold – Significant Leverage to Gold Price
III Compelling Value & Production Growth Côté Gold – Significant Leverage to Gold Price After-Tax Net Present Value (NPV5%) – 100% Basis1 After-Tax Internal Rate of Return (IRR) – 100% Basis1 (US$Bn) (%) Spot Gold2 Spot Gold2 $2.8 27.6% Base 25.9% $2.5 Case 24.2% $2.3 22.4% Base Case $2.0 20.5% $1.8
Slide 17: Strong Financial Position $1.5B
IV Strong Financial Position Strong Financial Position AVAILABLE LIQUIDITY NET CASH Q1 Q4 Q1 (In $ Millions) 2021 2020 2020 Undrawn Cash, equivalents & STI $967.8 $947.5 $802.2 Credit Facility1 Lease liabilities $63.8 $66.8 $64.1 $500 M Long term debt $466.7 $466.6 $419.1 $1.5B Revolving credit faci
Slide 18: Industry Leading R&R Growth
V Robust Pipeline of Projects Industry Leading R&R Growth INDUSTRY RESERVES INDUSTRY M&I RESOURCES 17.9Moz 16.7Moz 27.9Moz IAMGOLD P&P Reserves IAMGOLD M&I Resources 27.2Moz 14.5Moz 13.9Moz 24.7Moz 11.3Moz 23.9Moz 23.4Moz 23.5Moz 23.3Moz +12% Growth in 10.1Moz +79% Growth in 22.6Moz 8.6Moz Reserve B
Slide 19: Robust Exploration Pipeline
V Robust Pipeline of Projects Robust Exploration Pipeline West Africa North America South America Essakane Westwood UG Rosebel >5 Moz Au Production Grand Duc Saramacca >2 Moz Au <2 Moz Au Côté Construction Brownfield Advanced Greenfield Greenfield Boto Fayolle Feasibility Study Diakha-Siribaya Monst
Slide 20: 2021 Catalysts
2021 Catalysts1 Target Progress Essakane Completion of mill optimization project Q1 2021 Completed Return to full mining rates End of Q2 2021 Ongoing Rosebel Completion of Saramacca non-critical infrastructure Q4 2021 Ongoing Westwood Westwood underground re-start and ramp-up2 H2 2021 On track Start
Slide 21: Operations
Operations Photo: Wärtsilä 21
Slide 22: Rosebel Gold Mine, Suriname
Rosebel Gold Mine, Suriname 22
Slide 23: Rosebel – Long Operating History with Attractive District Upside
Rosebel – Long Operating History with Attractive District Upside OVERVIEW KEY NOTES Brokopondo district in north-eastern Suriname Ownership • Gross Rosebel Concession (RGM): 95% IAMGOLD, 5% Saramacca Satellite Deposit Government of Suriname Production ramp-up complete in 2020 • Saramacca UJV: 70%
Slide 24: Essakane Gold Mine, Burkina Faso
Essakane Gold Mine, Burkina Faso 24
Slide 25: Essakane – Stable Producer of ~400kozpa on a 100% basis
Essakane – Stable Producer of ~400kozpa on a 100% basis OVERVIEW KEY NOTES North-eastern Burkina Faso, West Africa Ownership • 90% IAMGOLD, 10% Government of Burkina Faso CIL (carbon-in-leach) Debottlenecking Mining • Conventional open pit Mill upgrade project completed in Q1 NIGER Method 2021 MAL
Slide 26: Westwood Gold Mine, Canada
Westwood Gold Mine, Canada 26
Slide 27: Westwood – Established Base in Prolific Abitibi Gold Camp
Westwood – Established Base in Prolific Abitibi Gold Camp OVERVIEW KEY NOTES Northwestern Québec, Canada Ownership • 100% IAMGOLD Current Status Mining • Underground Method • Grand Duc satellite open pit • Assessing business continuity CANADA following seismic event in the west USA Start-up • 2014 p
Slide 28: Westwood – “Hub-and-Spoke” Model
Westwood – “Hub-and-Spoke” Model ATTRACTIVE DISTRICT EXPLORATION POTENTIAL1 THAT COULD SUPPLEMENT EXCESS MILL CAPACITY FAYOLLE PROPERTY (OP) A B ROUYN GOLD PROJECT (UG) 100% ACQUIRED FROM MONARCH GOLD IN JUNE 2020 A Fayolle OPTION TO ACQUIRE 100% FROM YORBEAU RESOURCES Property • ~35 km northeast of
Slide 29: Construction Review
Construction Review 29
Slide 30: Transformational Value in Canada
Transformational Value in Canada CÔTÉ GOLD – CONSTRUCTION PROGRESS • Major earthworks commenced ahead of schedule, focused on road widening and overburden stripping ONTARIO QUÉBEC • Commenced water management infrastructure for the tailings management facility • Temporary camp complete with construc
Slide 31: Côté Gold: Key Project Metrics
Côté Gold: Key Project Metrics C$ 10B* C$ 5B* In estimated economic activity during In wages forecast through direct (100% basis, average LOM) GO-FORWARD UPDATE1,2 the mine’s operations and indirect job creation Mine Life 18 years Open Pit Mining 70 Mtpa Mill Capacity 13.1 Mtpa (36,000 tpd) 450 Stri
Slide 32: Development and Exploration Projects
Development and Exploration Projects 32
Slide 33: Gosselin Zone: Exploration Target Potential of 3-5 Moz Near Côté
Gosselin Zone: Exploration Target Potential* of 3-5 Moz Near Côté Ontario, Canada (64.75% ownership1) 2021 OUTLOOK • Côté district greenfield budget of $2.8 million GOSSELIN ZONE • ~13,000-16,000 metres of planned diamond drilling, (0.5 g/t Au grade shell)* including 12,000-14,000 metres of delineat
Slide 34: Boto Gold – High Margin Investment in Prospective District
Boto Gold – High Margin Investment in Prospective District OVERVIEW OPTIMIZATION STUDY HIGHLIGHTS1 PROJECT ECONOMICS (100%)1 (100% basis, LOM Average) After-tax IRR (%) Location • Senegal, West Africa Mine Life 11 years After-tax NPV6% (US$M) 55% Ownership • 90% IAMGOLD / 10% Gov’t of Mining Capacit
Slide 35: Bambouk District: Boto – Karita – Diakha-Siribaya
Bambouk District: Boto – Karita – Diakha-Siribaya Yatela Deposit KARITA DISCOVERY (100% INTEREST) Operation • Located in north-eastern Guinea covering an area of 100 km2 Sadiola • Acquired 100% in 2017 as a granted exploration permit • Initial resource estimate expected in 2022 • Reported results fr
Slide 36: Chibougamau: Emerging Prospective District in Québec, Canada
Chibougamau: Emerging Prospective District in Québec, Canada NELLIGAN (75% JV INTEREST) • Located 60 kilometres southwest of Chibougamau, Québec • Exercised option to increase undivided interest to 75% (from 51%), following completion of NI 43-101 Technical Report • Completed initial resource estima
Slide 37: Advancing Exploration Activities in Key Districts
Advancing Exploration Activities in Key Districts IP Survey – Saramacca, Suriname 2021 EXPLORATION BUDGET Q1 2021 (US$ millions) 2021 Guidance Exploration – Greenfield $5.5 $33 Exploration – Brownfield1 $4.9 $23 Total Exploration Expenditures $10.4 $56 7% 5% Drill Barge at Gosselin, Ontario Côté Dis
Slide 38: IAMGOLD – Positioned for Profitable Growth
IAMGOLD – Positioned for Profitable Growth Diversified Operating Culture of I Portfolio II Accountable Mining Robust Pipeline Strong Compelling Value & V of Projects ESG III practices Production Growth Strong Financial IV Position 38
Slide 39: Appendix
Appendix # IAMGOLD 39
Slide 40: 2021 Outlook
2021 Outlook1 PRODUCTION & COST GUIDANCE CAPITAL EXPENDITURE GUIDANCE (000s oz) 2021 GUIDANCE1 ($ millions) Sustaining1 Expansion2 Total3 Essakane (90%) 365 – 390 Essakane $60 $90 $150 Rosebel (95%) 220 – 245 Rosebel $50 $75 $125 Westwood (100%) 45 – 65 Westwood $10 $10 $20 Total Attributable Produc
Slide 41: Reducing Input Exposure Through Hedging
Reducing Input Exposure Through Hedging 2021 2022 2023 2024 Foreign Currency1 Canadian dollar contracts (millions of C$) 234 210 185 – Rate range2 ($/C$) 1.28 – 1.47 1.30 – 1.48 1.30 – 1.46 – Hedge ratio 40% 29% 33% – Commodities1,3,4 Brent oil contracts (barrels) 441 520 428 270 Contract price rang
Slide 42: Historical Mine Operating & Performance Metrics
Historical Mine Operating & Performance Metrics 100% Basis, unless otherwise stated ESSAKANE ROSEBEL WESTWOOD Mine Operating Statistics unit 2018 2019 2020 2018 2019 2020 2018 2019 2020 Ore Mined – Open Pit Mt 13.9 17.7 15.8 16.1 12.3 7.0 -- -- 0.6 Ore Mined – Underground Mt -- -- -- -- -- -- 0.6 0.
Slide 43: COVID-19 Measures Across Operations in 2020
COVID-19 Measures Across Operations in 2020 Essakane, Burkina Faso Rosebel, Suriname Westwood, Canada Left: Bus pick up Left: Successful first point incorporates attempt to bring workers social distancing underground under new and reduced protocol, including numbers in each maintaining personal shut
Slide 44: 2020 Attributable Reserves & Resources
2020 Attributable Reserves & Resources R&R REFLECTS SALE OF SADIOLA, WESTWOOD UPDATE IN MID-2020, AND MINE DEPLETION As at December 31, 2020 (000s ounces) 2020 %▲ 2019 Proven and Probable Mineral Reserves 1 13,937 (17%) 16,706 Measured and Indicated Mineral Resources 2,3 23,910 (12%) 27,164 Inferred
Slide 45: Gold Mineral Reserves – 100% Basis
Gold Mineral Reserves – 100% Basis As at December 31, 2020 PROVEN PROBABLE TOTAL RESERVES Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces DEPOSIT Type* Location (000’s) (g/t) (000’s) (000’s) (g/t) (000’s) (000’s) (g/t) (000’s) Rosebel 1 OP Suriname 25,355 0.6 504 88,439 1.0 2,852 113,794
Slide 46: Gold Mineral Reserves – Attributable
Gold Mineral Reserves – Attributable As at December 31, 2020 PROVEN PROBABLE TOTAL RESERVES Effective Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces DEPOSIT Location Ownership (000’s) (g/t) (000’s) (000’s) (g/t) (000’s) (000’s) (g/t) (000’s) Rosebel 1 95% Suriname 24,087 0.6 479 84,017
Slide 47: Gold Mineral Resources – 100% Basis
Gold Mineral Resources1,2 – 100% Basis (Measured & Indicated Resources are inclusive of Proven & Probable Reserves) As at December 31, 2020 MEASURED INDICATED MEASURED + INDICATED INFERRED Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces DEPOSIT Type* Location (000’s)
Slide 48: Gold Mineral Resources – Attributable
Gold Mineral Resources1,2 – Attributable (Measured & Indicated Resources are inclusive of Proven & Probable Reserves) As at December 31, 2020 MEASURED INDICATED MEASURED + INDICATED INFERRED Effective Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces DEPOSIT Location Ow
Slide 49: Notes to the Gold Mineral Resources Statement
Notes to the Gold Mineral Resources Statement 1 In mining operations, Measured Mineral Resources and Indicated Mineral Resources that are not Mineral Reserves are considered uneconomic at the price used for Mineral Reserve estimations but are deemed to have a reasonable prospect of economic extracti
Slide 50: Investor Relations Contacts
Indi Gopinathan, VP, Investor Relations & Corporate Communications 416-388-6883 Philip Rabenok, Senior Analyst, Investor Relations 647-967-9942