The discovery made by Iamgold is expected to
provide 12,5000 kilograms of gold ore each year till 2026. Iamgold is
expected to release details on the find in early 2013.
KINGSTON(BullionStreet): Tiny South American nation Suriname hopes to boost it's economy with the discovery of more profitable gold reserves in Brokopondo district.
The discovery made by Iamgold is expected to provide 12,5000 kilograms of gold ore each year till 2026. Iamgold is expected to release details on the find in early 2013.
Iamgold is expected to sign a new gold deal with the government to invest $700 million in its new operations.
The company has mined 93,000 kilos of the precious ore through its subsidiary Rosebel Goldmines in the past seven years the company has been operational in Suriname.
Most striking is that when RGM was still owned by former owner Cambior, it was expected that operations would have a limited lifespan.
Iamgold took over Cambior in 2006 and made use of new technology to prospect for the ore. Within the original 17,000 hectares, three times as much gold (280,000 kilograms) were discovered.
This find assures the company a stay of another 14 years in Suriname with a year production of 12,500 kilograms.
Iamgold has permission from the government to prospect outside its original concession in a 80,000 hectares large area.
Gold mining remained a small industry in Suriname for most of the twentieth century but came alive in the last decade, analytsts said.
The country’s gold industry produces roughly 16.5 metric tons of gold per year.
BullionStreet