New York- and Toronto-listed Iamgold has reported a solid third quarter, driven by record output at its Côté gold mine in Ontario and a continued focus on debt reduction and disciplined growth.

Attributable gold production for the quarter was 190 000 oz, bringing the year-to-date total to 524 000 oz, with the company on track to meet full-year guidance. The flagship Côté mine produced a record 106 000 oz.

The Essakane mine, in Burkina Faso, contributed 92 000 oz on an attributable basis, while Westwood, in Quebec, added 23 000 oz.

Revenue for the quarter reached $706.7-million from sales of 203 000 oz at an average realised gold price of $3 492/oz, while year-to-date revenue totalled $1.76-billion. All-in sustaining costs averaged $1 956/oz, with Iamgold expecting to achieve the top end of its yearly cost guidance.

CEO Renaud Adams said the third quarter marked “a pivotal moment” for the company, citing operational excellence and financial discipline as key to Iamgold’s momentum.

“Our trailing 12-month earnings before interest, tax, depreciation now exceeds $1-billion, and we have repaid about $270-million of our second lien notes, further strengthening our balance sheet and financial flexibility,” he said.

Iamgold reported net earnings of $139.4-million for the quarter, or $0.24 a share, and adjusted net earnings of $170.9-million, or $0.30 a share.

Free cash flow hit a record $292.3-million, with Côté alone contributing $135.6-million in mine-site free cash flow. The company ended the quarter with $707-million in liquidity and reduced net debt to $813-million, down $202-million from the prior quarter.

With its balance sheet strengthening, Iamgold's board has approved a share buyback programme for up to 10% of outstanding common shares, to be funded from operating cash flows following debt repayments.

The company’s issuer credit rating was upgraded by S&P Global Ratings from B to BB-, with a stable outlook – reflecting improved financial flexibility and lower leverage.

During the quarter, Iamgold also moved to expand its Canadian portfolio through the proposed acquisitions of Northern Superior Resources and Mines d’Or Orbec, valued at a combined $280-million in cash and shares. The transactions will consolidate the Chibougamau region in Quebec into the Nelligan Mining Complex, a dominant 134 000 ha landholding with combined measured and indicated resources of 3.75-million ounces and inferred resources of 8.65-million ounces.

Adams said the company remained focused on cost control and capital discipline, even amid a strong gold price environment.

“We are advancing expansion plans at Côté gold and positioning Iamgold as a modern, Canada-focused gold producer with a robust growth pipeline,” he said.

Iamgold’s next stage of growth will be defined by the ramp-up at Côté, the integration of new Quebec assets, and continued debt reduction – a combination management believes will secure long-term value for shareholders.