If you don’t want to wade through all of this evening’s War&Peace-length IAMGOLD (IMG.to) (IAG) earnings NR and just want the bit that will move the share price tomorrow morning, it’s about the Coté capex. Here you go:
The Company’s previous estimate of its share of remaining costs to completion, net of leases, from January 1, 2022 onwards was approximately $710 to $760 million (estimated at a USDCAD exchange rate of 1.30). In the first quarter 2022, the Company expended $82 million.
Based on the ongoing analysis, assessment and preliminary information available to date, including provisions for certain commodities escalation, contingencies and other risk (“contingencies”), the Company currently estimates that its share of the remaining project costs to completion as of April 1, 2022 could be between approximately $1,200 to $1,300 million, net of leases (previous project costs estimate at USDCAD 1.30 and estimated increase at USDCAD 1.25). This range includes between approximately $100 million to $150 million in contingencies. Accordingly, the Company is withdrawing its 2022 and 2023 Côté Gold project costs guidance and cautions that this is a preliminary estimate.
Heavens to Murgatroyd! What’s half a billion dollars between friends, even? The full NR is here and if you’re going to read it, make yourself a coffee first. A refill on-hand might help the cause, as well. As for longs tomorrow morning, Exit Stage Left.