Iamgold's Cote Gold Hits Steady-State as Super Pit Study Looms

Iamgold Corp said its Cote Gold mine in Ontario achieved steady-state production during 2024. The ramp-up to full capacity adds roughly 300,000 ounces of annual output to the company's portfolio, more than doubling its previous production base from the Essakane and Westwood mines.

Steady-state means the mill is now running at its design throughput of 80,000 tonnes per day. Costs are expected to settle into the lower half of the $1,000–$1,100 per ounce all-in sustaining range the company guided for 2024. That makes Cote one of the lower-cost open-pit gold mines in North America.

The next catalyst is the Super Pit Study – a long-term expansion plan that could extend the mine life beyond the current 18-year reserve base and push output toward 500,000 ounces a year. Iamgold has been working on the study for two years. Management has said it will incorporate the higher throughput rates proven during the ramp-up phase.

Iamgold's share count has also been shrinking. The company bought back roughly 4% of its outstanding stock in 2024, funded by Cote's early cash flow. A lower float with rising production creates a natural leverage to higher gold prices.

The study's outcome will determine whether the market gives Iamgold a valuation multiple in line with peers like Agnico Eagle or Kinross. For now, the stock trades at about 0.9 times consensus 2025 cash flow – a discount that could narrow if the super pit study confirms a longer, lower-cost production trajectory.

Iamgold reports fourth-quarter results on Feb. 20. The company is expected to provide an update on the study timeline alongside the earnings release.