According to S&P Global Market Intelligence, Iamgold stock (NYSE:IAG) has risen 31% in the last week. The worldwide mining business made significant progress toward streamlining its asset portfolio and increasing its cash reserves.
So, what’s the deal with lamgold Stock?
Iamgold has agreed to sell its 95% ownership in Rosebel Gold Mines N.V. in Suriname to China-based Zijin Mining Group for $360 million in cash. As part of the agreement, Iamgold will be relieved of about $41 million in equipment leasing obligations.
“This acquisition marks a major step forward in executing Iamgold’s conservative portfolio management approach as we seek to build value for shareholders via a concentration on core assets,” stated CEO Maryse Bélanger in a news statement.
Subject to regulatory clearance, The transaction is anticipated to finalize in the first quarter of 2023. The cash obtained will be used to support the building of Iamgold’s Côté Gold mine in Ontario, Canada. According to Bélanger, the new funding will assist the miner in bringing its prize project online by early 2024.
So, what now?
The upcoming Côté Gold project could add a significant growth component to Iamgold’s portfolio. The open pit mine is expected to produce 495,000 ounces of gold per year for the first six years of operation and an annual average of 365,000 ounces for the rest of the mine’s life. In contrast, Iamgold’s current Essakane mine in West Africa and Westwood mine in Quebec are expected to produce 373,000 and 65,000 ounces in 2022, respectively. This is seen as a great news for lamgold stock (NYSE:IAG).
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Author Okoro Chinedu 
