Iamgold Corporation said Friday that its second-quarter profit soared to a record US$29.8 million, from a year-earlier of US$2.4 million, on higher gold production bolstered by Mupane mine.
Toronto-based Iamgold said its earnings for the quarter ended June 30 amounted to 17 cents a share, up from two cents per share a year ago.
Operating cash flow jumped to US$24.3 million from $5.7 million; the firm reports in U.S. dollars.
Attributable gold production was 158,000 ounces at a cash cost of $290 an ounce, compared with 114,000 ounces and $275 an ounce, respectively, for the second quarter of 2005.
On March 22, the company acquired Gallery Gold Ltd., so the financial results for GGL have been incorporated into Iamgold’s statements, including the results from the Mupane mine in Botswana.
On April 25, Iamgold sold most of its gold royalty interests for consideration of $21.9 million.
Gold production at the firm’s five operating mines was 39 per cent ahead of production from the second quarter of 2005, resulting from the addition of the Mupane mine and excellent performance at the Sadiola and Yatela mines. (CP).