Slide 1: 2012 1st Quarter Results
2012 1st Quarter Results May 14, 2012 TSX: IMG NYSE: IAG
Slide 2: Management Participants
Management Participants STEVE LETWIN President & CEO CAROL BANDUCCI EVP & Chief Financial Officer GORD STOTHART EVP & Chief Operating Officer MIKE DONNELLY SVP, Exploration TIM BRADBURN Associate General Counsel & Corporate Secretary BOB TAIT VP, Investor Relations 2
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: Introduction
Introduction 2012 Production guidance & cash cost on-track Expansion and optimization projects underway Proposed Trelawney acquisition aligned with strategic direction 4
Slide 5: Q1'12 Performance
Q1’12 Performance Net Earnings1 $119M ($0.32/sh) Operating Cash Flow2 $186M ($0.49/sh) Gold Margins $1,023/oz (+20% YOY) Attributable Gold Production 207,000 ozs 1From continuing operations attributable to equity shareholders 2From continuing operations before changes in working capital 5
Slide 6: Update on Key Initiatives
Update on Key Initiatives ESSAKANE › Resolution on fiscal terms expected shortly ROSEBEL › Good progress towards definitive agreement › Concept study to follow SADIOLA › Military unrest has not had significant impact on production › Targeting end of 2014 for completion of construction for the sulphi
Slide 7: Revenues
Revenues Q1 revenues* down slightly due to: Lower gold sales: › 13,000 ozs produced in Q1’12 sold in start of Q2’12 › 17,000 ozs sold in Q1’11 was produced in Q4’10 Lower production Partially offset by higher gold prices & higher niobium revenue Gold Q1’11 Change Q1’12 $millions 414.0 404.2 Pr
Slide 8: Q1'12 Net Earnings
Q1’12 Net Earnings* (in $millions, except for number Q1’11 Q1’12 of shares) Net earnings from continuing operations attributable to equity 133.2 119.2 $0.36 shareholders per share Foreign exchange loss (gain) 5.3 (10.3) $0.32 per share Unrealized gain on derivative 8% instruments (2.9) (9.6) Gain on
Slide 9: Operating Cash Flow from Continuing Operations
Operating Cash Flow* from Continuing Operations $0.57 per share 64% $0.49 per share $ Millions 214.5 185.7 Q1'11 Q1'12 *Before changes in working capital 9
Slide 10: Attributable Gold Production
Attributable Gold Production* Development projects at Essakane & Rosebel designed to increase throughput of harder rock 8% Strong production in March at 000s ozs Essakane and Rosebel 233 207 Q1'11 Q1'12 *From continuing operations Maintaining production guidance 10
Slide 11: Gold Margins up 20%
Gold Margins up 20% Gold Operating Q1’11 Q1’12 Results* Gold production 233 207 (000oz) 1,023 854 Realized price $/oz 1,398 1,702 ($/oz) gold margin cash costs Cash cost 544 679 ($/oz) 679 544 Gold margin 854 1,023 ($/oz) Q1'11 Q1'12 *from continuing operations 11
Slide 12: Total Cash Costs
Total Cash Costs* $/oz Q1’11 Q1’12 Variance Total Cash Costs 544 679 25% (All producing gold mines) Total Cash Costs (excluding non-IMG 487 596 22% operated mines: Sadiola & Yatela) Total Cash Costs (excluding end-of-life 519 654 26% mines: Yatela & Mouska) *Includes royalties 12
Slide 13: Niobium Revenue
Niobium Revenue Q1’11 Q1’12 22% Niobium production 1,087 1,109 (‘000 kg Nb) $ Millions 48.4 Niobium 39.6 1,018 1,183 sold (‘000 kg Nb) Operating Q1'11 Q1'12 margin 16 16 ($/kg) 13
Slide 14: Strong Balance Sheet
Strong Balance Sheet Dec. 31, Mar. 31, 2011 2012 2,007 $millions 2 250 Cash & cash 1,613 $1,052 $1,033 1,548 1,569 equivalents 500 350 $millions 350 350 Gold bullion $211 $224 211 224 at market 151 162 972 350 Unused $350 $500 credit facility 144 1,047 1,057 1,052 1,033 Unused Niobec - $250 478 faci
Slide 15: Rosebel
Rosebel Q1 Attributable production: 93,000 ozs Attributable Tonnes Grade Contained March production: 32,000+ ozs As at December 31, 2011 (millions) (g/t) ounces (000s oz) H2’12 Proven Reserves 102.4 1.0 3,155 Expect higher throughput with installation of third ball mill, temporary pre-crusher, a lar
Slide 16: Essakane
Essakane Grade Contained Q1 Attributable production: 80,000 ozs As at December 31, 2011 Tonnes (g/t Au Au (millions) undiluted) (000s oz) March production: 30,000+ ozs Probable Reserves 109.2 1.1 3,472 Measured Mineral Resource1 - - - H2’12 Indicated Mineral Resource1 139.6 1.1 4,262 Expect final ag
Slide 17: Sadiola
Sadiola Attributable Q1 Attributable production: 25,000 ozs Tonnes Grade Contained As at December 31, 2011 (millions) (g/t) ounces (000s oz) Military unrest in Mali had no significant impact on production Proven Reserves 10.4 2.1 280 Probable Reserves 96.7 1.6 2,018 2012 Outlook Measured Mineral Res
Slide 18: Niobec
Niobec Key Metrics of the Niobec Expansion Pre-Feasibility Study under the Block Cave Scenario Tonnes Grade Contained Nb2O5 Classification (millions) (%Nb2O5) (million kgs) Probable Reserves 419.2 0.42% 1,746 Measured Mineral Resource1 235.3 0.44% 1,028 Indicated Mineral Resource1 250.2 0.39% 986 In
Slide 19: Westwood Development
Westwood Development Grade Contained Tonnes Classification (g/t Au Au (millions) undiluted) (000s oz) Indicated Mineral Resource1 0.2 8.5 60 (Warrenmac) Indicated Mineral Resource1 0.6 13.8 248 (Zone 2 Westwood) Inferred Mineral Resource 9.4 11.3 3,407 Total Recovered Gold 3,480,070 oz Q1 Mine Life
Slide 20: 2012 Exploration Program
2012 Exploration Program Q1: $28.4M › $10.3M: Near-mine exploration & resource development Budget: $131M › $18.1M: Drilling: 670 km Greenfield exploration expenditures at 18 projects Most ambitious exploration plan in IAMGOLD history 20
Slide 21: The Transformation of IAMGOLD – Operations
The Transformation of IAMGOLD – Operations Focus on core assets we own Sold Tarkwa & and operate to Rosebel Sadiola Damang interests improve Essakane Yatela Rosebel Sadiola and Mupane in 2011 Essakane productivity and Mouska Tarkwa Yatela capital Mupane Damang Mouska/Westwood deployment Pre-feas
Slide 22: The Transformation of IAMGOLD – Financials
The Transformation of IAMGOLD – Financials Cash & Cash Cash & Cash Strengthen Cash balances balance sheet to Equivalents: $271M Equivalents: $1,033M enhanced through maximize sale of non- financial flexibility Gold Bullion (at market): strategic assets Gold Bullion (at market): $141M $224M Explo
Slide 23: Estimated Future Production Profile
Estimated Future Production Profile In Million ozs 1.4-1.6 1.1-1.2 1.1-1.2 1.0-1.1 1.0-1.1 0.8-0.9 2012 2013 2014 2015 2016 2017 Bars represent mid-points of upper & lower limits of ranges 23
Slide 24: 2012 First Quarter Results
2012 First Quarter Results May 14, 2012 Investor Relations Bob Tait Laura Young VP, Investor Relations Director, Investor Relations T: 416-360-4743 T: 416-933-4952 E: info@iamgold.com E: info@iamgold.com TSX: IMG NYSE: IAG