Zijin is also assuming Iamgold’s equipment lease liabilities amounting to about $41 million.
The Toronto-based miner revealed in January it was evaluating options for Rosebel and said the mine required a material capital investment to address certain challenges.
Iamgold said the proceeds of the sale would be invested in the ongoing construction of the Côté Gold project in Canada, which is $1.9 billion over its original cost estimate of between $879 million and $925 million. The company’s share of the cost overrun is $1.3 billion.
Côté is expected to produce an average of 489,000 ounces of gold a year in its first five years and an annual average of 367,000 ounces over 18 years of its planned mine-life. It would be the company’s fourth mine.
Chairperson and interim president and CEO Maryse Bélanger said that the transaction with Zijin was a significant step forward in pursuing Iamgold’s strategy of disciplined…
