Slide 1: 2011 3rd Quarter Results
2011 3rd Quarter Results November 9, 2011 TSX: IMG NYSE: IAG
Slide 2: Management Participants
Management Participants STEVE LETWIN President & CEO GORD STOTHART EVP & Chief Operating Officer CAROL BANDUCCI EVP & Chief Financial Officer MIKE DONNELLY SVP, Exploration TIM BRADBURN Associate General Counsel & Corporate Secretary BOB TAIT VP, Investor Relations
Slide 3: 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
Slide 4: Q3 2011 Highlights from Continuing Operations
Q3 2011 Highlights from Continuing Operations Q3 2011 compared to Q3 2010 Adjusted net earnings +182% to $113 M Revenue +84% to $432 M Gold production +14% to 222,000 oz Focus on cash costs +25% to $674 / oz Operating margin +42% to $1,001 / oz Cash flow from operating activities +116% to $211 M
Slide 5: Q3 2011 Highlights
Q3 2011 Highlights Sold a majority ownership position in the Mupane mine for $34 million Began discussions with the government in Suriname for the next expansion at Rosebel Took measures to improve the water supply at Essakane Began an education partnership initiative in Burkina Faso Announced a sub
Slide 6: Q3 2011 Net Earnings from Continuing Operations
Q3 2011 Net Earnings* from Continuing Operations Net earnings and Adj. net earnings $millions Q3‟11 Q3'10 Q3'11 Net earnings from continuing 50.0 operations $millions $113 Foreign exchange loss 11.9 $50 $40 $37 Derivative loss (gain) 23.5 Loss (gain) on sales of marketable Net earnings from continui
Slide 7: Q3 2011 Attributable Gold Production from Continuing Operations
Q3 2011 Attributable Gold Production from Continuing Operations Gold Production Gold Production (Q3‟10 vs Q3‟11) (Q3‟11 compared to previous quarters) 000s ounces 000s ounces 233 222 222 195 188 Q3'10 Q3'11 Q1'11 Q2'11 Q3'11
Slide 8: Q3 2011 Revenues from continuing operations
Q3 2011 Revenues from continuing operations Q3 Revenues* up 84% due to 49% increase in gold sales and 35% increase in average realized gold price Gold Sales (000 oz) +84% Q3’10 Q3’11 155 231 $Millions 431.9 Average Realized 234.7 Gold Price ($/oz) Q3’10 Q3’11 $1,242 $1,675 Q3'10 Q3'11 *Revenues of c
Slide 9: Q3 2011 Gold Margins at Continuing Operations
Q3 2011 Gold Margins at Continuing Operations Gold Margin Gold Q3’10 Q3’11 Operating Results Gold production 195 222 $1,001 (000oz) $703 $/oz Realized price 1,242 1,675 $539 $674 ($/oz) Q3'10 Q3'11 Gold margin 703 1,001 ($/oz) cash cost margin
Slide 10: Q3 2011 Niobium Margins
Q3 2011 Niobium Margins Niobium Margin Niobium Q3’10 Q3’11 Operating Results Niobium production 1.1 1.2 (MKg Nb) $19 $/kg $14 Niobium sold 1.1 1.0 (MKg Nb) Q3'10 Q3'11 Operating margin 19 14 ($/kg) operating margin
Slide 11: Q3 2011 Cash Flow
Q3 2011 Cash Flow Adjusted operating cash flow Adjusted operating cash flow per share $579 $1.55 $millions $/sh $280 $211 $0.75 $0.56 $98 $0.26 „10 „11 „10 „11 „10 „11 „10 „11 Q3 Q3 YTD Q3 Q3 YTD
Slide 12: Q3 2011 Cash Flow
$ Millions 0 1,000 1,200 1,400 200 400 600 800 Cash: Start of Q3 1,047 Adjusted operating 211 cash flow Q3 2011 Cash Flow Capital expenditures 42103 Dividends paid 37 Taxes paid 16 Foreign exchange impact 3 Other Cash + short-term investments: End of Q3 1,057 ( < 90 day ( > 90 day maturities) maturi
Slide 13: Solid Financial Position
Solid Financial Position Financial Position $1,570 Dec. 31, Sept. 30, $1,548 2010 2011 $millions 350 350 Cash & cash equivalents + $270.8 $1,057.5 short-term $971 investments $millions $761 350 Gold bullion $593 $140.6 $162.2 350 1,198 1,220 at market 350 621 411 Unused $350.0 $350.0 243 credit faci
Slide 14: Costs
Costs Focused on cost management and operating efficiency Rosebel: Mining productivity is up following a series of continuous improvement projects Expanded gravity circuits to be completed later this year will improve recovery SAG mill enhancements will be completed in early 2012 and are designed
Slide 15: Rosebel Gold Mine
Rosebel Gold Mine Suriname 4th expansion in 7 years Large land area still to be explored Further resource growth potential On-going discussions with Government to unlock further value IAMGOLD: 95% Ownership P&P Reserves1 (000 oz) 5,892 Attributable production M&I Resources2 (000 oz) 7,531 395 360-38
Slide 16: Essakane Gold Mine
Essakane Gold Mine Brought into production by IAMGOLD development team Burkina Commenced production July „10 Faso Expansion feasibility study expected Q4‟11 Expansion construction expected to begin Q1‟12 IAMGOLD: 90% Ownership Attributable production 340-360 P&P Reserves1 (000 oz) 4,015 M&I Resource
Slide 17: Sadiola Gold Mine
Sadiola Gold Mine Produced > 7 Moz gold since 1996 Mali Operated as a joint venture with AngloGold Sulphide expansion feasibility study in final stages IAMGOLD: 41% Ownership Attributable production P&P Reserves1 (000 oz) 2,297 145-160 M&I Resources2 (000 oz) 3,481 Inferred Resources (000 oz) 991 11
Slide 18: Westwood Development Project
Westwood Development Project 2011 Expenditures $146M 82,000 m exploration drilling Complete ventilation raise boring Infill and step-out drilling LOM design review Quebec Cash costs IAMGOLD: 100% Ownership Indicated Resources1 269,000 oz Inferred Resources1 3,467,000 oz LOM Average Annual Production
Slide 19: Niobec Niobium Mine
Niobec Niobium Mine Saguenay region has strong industrial base, sound infrastructure PEA study highlighted potential for increase in resources, which remain open ended Quebec Operated by IAMGOLD since 2006 REE potential IAMGOLD: 100% Ownership P&P Reserves1 (Mkg Nb2O5) 243.8 M&I Resources2 (Mkg Nb2O
Slide 20: 2011 Guidance
2011 Guidance 2011 Guidance Rosebel 360-380 Attributable gold production (000s oz) Essakane 340-360 Mouska 25-30 Mines owned and operated by IAMGOLD 725-770 Sadiola and Yatela 145-160 Total from continuing operations 870-930 Discontinued Operations 76 (Mupane, Tarkwa & Damang) Total Gold Production
Slide 21: Active Exploration Areas
Active Exploration Areas 2011 Exploration Budget Greenfields $51.1M $104M Brownfields $53.3M Mali Quebec Senegal Burkina Colombia Suriname Faso Peru Brazil Exploration Office Planned near-mine and greenfields drilling 550,000+ metres
Slide 22: 2011 Q3 Exploration: West Africa
2011 Q3 Exploration: West Africa Drilling program continues at Essakane with a focus on: Priority targets within the mine permit The Gossey-Korizena prospect The Tassari prospect YATELA Kalana interest increased to Senegal SADIOLA ESSAKANE 10.5% and targeting a Boto Mali resource for Q3 2012 Siribay
Slide 23: 2011 Q3 Exploration: South America
2011 Q3 Exploration: South America Suriname At Rosebel: Colombia Over 70,000 m drilled this year ROSEBEL Charmagne resource delineation Quimsacocha drilling complete Good prospects for growth at: Peru Koemboe, Brazil Kraboe Doin and Tapanahony Diamond drilling continues at early stage projects in Br
Slide 24: 2011 Exploration: Canada
2011 Exploration: Canada MINE Focus on greenfields Development Project projects on major gold Exploration Office trends in the Abitibi region Second phase diamond drilling underway at Bousquet-Odyno – 10 km from Westwood Drill program of REE zone Val d’Or NIOBEC complete – program Westwood designed
Slide 25: Near-term Catalysts
Near-term Catalysts Sadiola Sulphides feasibility study approval Essakane expansion feasibility Rosebel expansion agreement with Suriname Government Niobec financing Niobec feasibility study Potential REE resource estimate
Slide 26: Growth Strategy
Growth Strategy Extend and optimize existing mines Increase focus on mine specific cost reduction measures Surface full value of Niobec Pursue exploration plays Evaluate acquisition opportunities
Slide 27: 2011 3rd Quarter Results
2011 3rd Quarter Results November 9, 2011 401 Bay Street, Suite 3200 Toronto, ON M5H 2Y4 Canada 1-888-464-9999 www.iamgold.com INVESTOR RELATIONS Bob Tait, VP Investor Relations T: 416 360 4743 C: 647 403 5520 Laura Young, Director, Investor Relations T: 416 933 4952 C: 416 670 3815 TSX: IMG NYSE: I