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Be the first with the news that moves the market- IAMGOLD Corporation (TSX:IMG) has restarted production at its Westwood Gold Mine in Quebec, after the province recognised mining as an essential service
- The mine was initially placed on care and maintenance on March 25, as a result of the provincial government’s COVID-19 restrictions
- IAMGOLD stated that ramping back up to production should take around one week and staff are currently being trained in new pandemic safety measures
- Despite restarting operations, IAMGOLD has not reinstated its previous guidance but will announce a further update with its first quarter results on May 4
- IAMGOLD (IMG) is up 2.8 per cent, with shares trading for C$4.41 and a market cap of $2.07 billion
IAMGOLD Corporation (TSX:IMG) has restarted production at its Westwood Gold Mine in Quebec, after the province recognised mining as an essential service.
The mine was initially placed on care and maintenance on March 25, when the provincial government brought in sweeping operational bans, to slow the spread of COVID-19.
However, since then the government has relaxed its mining restrictions and is allowing companies to recommence production.
IAMGOLD stated that ramping back up to production should take around one week. During that period, staff will be trained in new sterilisation and safety measures related to working amid the COVID-19 pandemic.
Furthermore, all non-essential personnel are still being encouraged to work from home.
Despite restarting operations, IAMGOLD has not reinstated its previous guidance. Instead the company is continuing to re-work the outlook and will release an update with its first quarter figures on May 4.
To quell concerns, the company did state that has C$1.15 billion in cash and cash equivalents and a further $695.7 million undrawn from its credit facility.
Quebec currently has the highest number of confirmed COVID-19 cases in the country at 13,557. This is nearly double the next highest state of Alberta, which has around 7,000.
New cases across the country are still rolling in, but are not growing as quickly as earlier in the year
In the company’s annual report, released this week, President and CEO of IAMGOLD, P. Gordon Stothart believes the company’s focus should remain on the pandemic.
“In 2020, our challenge is the global challenge of reducing the spread of the coronavirus.
“We are weathering this storm together, and together we will emerge even stronger,” he said.
IAMGOLD (IMG) is up 2.8 per cent, with shares trading for $4.41 at 11:30am EST.
