Advertisement
Canada markets open in 4 hours 45 minutes
  • S&P/TSX

    22,107.08
    +194.56 (+0.89%)
     
  • S&P 500

    5,248.49
    +44.91 (+0.86%)
     
  • DOW

    39,760.08
    +477.75 (+1.22%)
     
  • CAD/USD

    0.7351
    -0.0022 (-0.30%)
     
  • CRUDE OIL

    81.83
    +0.48 (+0.59%)
     
  • Bitcoin CAD

    96,121.53
    +1,226.92 (+1.29%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • GOLD FUTURES

    2,194.30
    +3.70 (+0.17%)
     
  • RUSSELL 2000

    2,114.35
    +44.19 (+2.13%)
     
  • 10-Yr Bond

    4.1960
    0.0000 (0.00%)
     
  • NASDAQ futures

    18,491.75
    -12.00 (-0.06%)
     
  • VOLATILITY

    12.96
    +0.18 (+1.41%)
     
  • FTSE

    7,954.82
    +22.84 (+0.29%)
     
  • NIKKEI 225

    40,168.07
    -594.66 (-1.46%)
     
  • CAD/EUR

    0.6809
    +0.0004 (+0.06%)
     

IAMGOLD's Preliminary Gold Production Exceeds Expectations

IAMGOLD Corporation IAG announced preliminary gold production of 215,000 ounces and 813,000 ounces for fourth quarter and full-year 2016, respectively. The full year production has exceeded the previously provided guidance range of 770,000–800,000 ounces, with higher production in each quarter of the year, as well as higher than the 806,000 ounces produced in 2015.

IAMGOLD expects total cash costs and all-in sustaining costs (AISC) for the year within the guidance range of $740–$770 and $1,050–$1,100 per ounce, respectively. Capital expenditures for the year were $280 million, just above the projection of $275 million.

For 2017, IAMGOLD expects gold production in the range of 845,000–885,000 ounces, above the 813,000 ounces produced in 2016, supported by the higher commercial production at Westwood. The total costs and AISC are expected to be in the range of $740–$780 and $1,000–$1,080 per ounce in 2017. Capital expenditure for the year is expected to be $250 million (+/- 5%).

IAMGOLD remains focused on an exploration program to increase reserves and resources that are depleting. The company’s joint ventures in South and Central America, West Africa and Canada have undertaken the exploration projects, along with targeting soft rock resources near existing mines. For 2017, the company has increased the exploration budget to $47 million, compared to the $39 million incurred in 2016. The company is also moving ahead with the technical studies at the Boto Gold and Cote Gold projects.

ADVERTISEMENT

IAMGOLD outperformed the Zacks categorized Mining-Gold industry over the last three months. Its shares gained 18.6% in the last three months compared with a 7.3% decline recorded by the industry over the same period. Earnings estimates for the company have also narrowed over the same time frame from an expected loss of 3 cents a share to a loss of a penny a share.

Zacks Rank & Key Picks

IAMGOLD carries a Zacks Rank #3 (Hold).

Some better-ranked companies in the mining space include The BHP Billiton Limited BHP, Taseko Mines Limited TGB and Teck Resources Limited TECK. Each of these stocks sports a Zacks Rank #1 (Strong Buy). You can the complete list of today’s Zacks #1 Rank stocks here.

BHP Billiton has an expected long-term growth of 5.64%.

Taseko delivered a positive earnings surprise of 50% in the last reported quarter.

Teck Resources has an expected long-term growth of 10.65%.

Zacks' Top 10 Stocks for 2017

In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2017?

Who wouldn't? As of early December, the 2016 Top 10 produced 5 double-digit winners including oil and natural gas giant Pioneer Natural Resources which racked up a stellar +50% gain. The new list is painstakingly hand-picked from 4,400 companies covered by the Zacks Rank.Be among the very first to see it>>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Iamgold Corp. (IAG): Free Stock Analysis Report
 
BHP Billiton Ltd. (BHP): Free Stock Analysis Report
 
Taseko Mines Ltd. (TGB): Free Stock Analysis Report
 
Teck Resources Ltd. (TECK): Free Stock Analysis Report
 
To read this article on Zacks.com click here.