IAMGOLD reports final assay results from the recently completed delineation drilling program on the Saramacca Project, Suriname
Monday, Jun 19, 2017
IAMGOLD Corporation ("IAMGOLD" or the "Company") today provided the remaining assay results from its 2017 infill drilling program at the Saramacca project, located 25 kilometres southwest of its Rosebel Gold Mine ("RGM") in Suriname.  Assay results have now been received from the entire  2017 delineation drill program consisting of 113 drill holes totaling 19,689 metres, including 35 drill holes totaling 5,523 metres reported herein. With the receipt of all assays, the geology and deposit models are being updated in support of an initial National Instrument 43-101 resource estimate expected for completion by the third quarter 2017.

The drill hole assay intersections include the following highlights:
(A drill hole plan map is attached to this news release.)

  • SMDD17-154: 6.5 metres grading 10.45 g/t Au

  • SMDD17-159: 10.0 metres grading 7.62 g/t Au

  • SMDD17-166: 34.5 metres grading 2.23 g/t Au

  • SMDD17-168: 41.0 metres grading 5.56 g/t Au
Craig MacDougall, Senior Vice President, Exploration for IAMGOLD, stated: "With the receipt of the final assay results from the recently completed infill drilling program, we are now focused on updating the geology and resource models to support an initial resource estimate anticipated for completion in the third quarter.  It is important to note that we believe significant exploration upside remains with potential to expand existing and discover additional resources with further exploration.  Once again, I congratulate the exploration team for the well-executed and safely-completed drilling program as we advance the project towards the next important milestone."

Added IAMGOLD's President and CEO Steve Letwin, "Our exploration team has done an outstanding job to complete the drilling program as quickly as they have, with a maiden resource estimate only a few months away."

2017 Exploration Program                 

The 2017 50 x 50 metre infill drilling program has confirmed the presence of multiple mineralised structures within an approximately 2-kilometre long and 600-metre wide corridor. Mineralisation occurs in the near surface oxidized weathering profile to depths ranging from 50 to 100 metres, as well as deeper in the primary sulphide zones.  Mineralisation remains open along strike and at depth and will be tested in future drilling programs.  In the deposit area, three mineralisation styles are recognized from the drilling completed to date: breccia hosted mineralisation characterized by jigsaw, crackle and matrix supported breccias; shear hosted mineralisation characterized by well-developed pyritic disseminations and stringers; and irregular pyrite-quartz-carbonate veins which locally carry high gold grades.

Preliminary engineering and permitting studies are underway to support and develop future exploitation scenarios.

About the Saramacca Project

The Saramacca project is strategically located approximately 25 kilometres southwest of the Rosebel Gold Mine milling facility. Mineralisation is hosted in the Paramaka Formation within the lower part of the Marowijne Greenstone Belt, which is dominated by metamorphosed dacite, rhyolite, basalt and andesite lithologies in the project area.  These are traversed by the regional, northwest trending Saramacca shear zone, an important deformation zone for the localization of gold mineralisation.

The Saramacca property has been explored since the 1990's principally by Golden Star Resources Ltd. ("Golden Star") and later as a joint venture between Golden Star and Newmont Mining Corporation. Much of that work focused on the discovery and delineation of Anomaly M, which was the subject of successive auger and diamond drilling programs with over 50 diamond drill holes and over 200 auger holes completed in the anomaly area. Evaluation of this work suggests an exploration target potential of between 8 and 40 million tonnes grading between 1.0 and 1.8 g/t Au for potentially 0.5 to 1.4 million contained ounces of gold. The potential quantity and grade are conceptual in nature and insufficient exploration work has been completed to date to define a mineral resource. The property will require significant future exploration to advance to a resource stage and there can be no certainty that the exploration target will result in a mineral resource being defined.

On August 30, 2016, the Company signed a letter of intent with the Government of Suriname to acquire rights to the Saramacca property, with the intent of defining a National Instrument 43-101 mineral resource within 24 months. The terms of the letter included an initial payment of $0.2 million, which enabled immediate access to the property for Rosebel's exploration team to conduct due diligence, as well as access to the data from previous exploration activity at the Saramacca property. On September 30, 2016, having been satisfied with the results of the due diligence, the Company ratified the letter of intent to acquire the Saramacca property and subsequently paid $10 million in cash and agreed to issue 3.125 million IAMGOLD common shares to the Government of Suriname in three approximately equal annual instalments on each successive anniversary of the date the right of exploration was transferred to Rosebel (December 14, 2016). In addition, the agreement provides for a potential upward adjustment to the purchase price based on the contained gold ounces identified by Rosebel in National Instrument 43-101 measured and indicated resource categories, within a certain Whittle shell within the first 24 months, to a maximum of $10 million.

The Saramacca project falls within the "UJV" area as defined in an Agreement with the Government of Suriname announced on April 15, 2013.  The Agreement establishes a joint venture growth vehicle under which Rosebel would hold a 70% participating interest and the Government will acquire a 30% participating interest on a fully-paid basis.

For more information, please visit: http://www.iamgold.com

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