GOLD: Iamgold, Sumitomo team up for Cote development

ONTARIO – Iamgold Corp. of Toronto and Sumitomo Metal Mining of Tokyo have created a joint venture to develop the Cote gold project near Gogama, halfway between Timmins and Sudbury. The Japanese company has agreed to pay a total of $195 million for a 30% undivided equity interest in the project. [caption id="attachment_1003718658" align="alignleft" width="300"] Ontario’s next open pit gold mine will be the Cote project near Gogama. Credit: Timmins Press.[/caption] Iamgold will be the operator of the project during both development and operation. It will retain a 70% interest in the property. The Cote project will be overseen by a six-person team, four from Iamgold and two from Sumitomo. Iamgold plans an open pit, 60,000-t/d mine and processing plant. The deposit was discovered in 2010, and it is estimated to contain over 9.0 million oz. of gold in 289.2 million indicated tonnes grading 0.9 g/t gold and 66.9 million inferred tonnes at 0.6 g/t. The project was part of the Trelawney Mining and Exploration acquisition in 2012. The initial capital cost will be US$1.03 billion. A full feasibility study is due in the first half of 2018. Complete information about Cote is available at www.Iamgold.com.