Suriname's Rosebel Gold Mine says profit up 7.6 pct in 2012

Sat Jul 6, 2013 12:03pm EDT
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By Louis Alfaisie

PARAMARIBO, Suriname, July 6 (Reuters) - Rosebel Gold Mine N.V., the joint venture between Suriname's government and Canada's Iamgold Corp, says its net profit rose 7.6 percent last year to $210.9 million.

The mine in the South American country is one of the biggest operated by Iamgold. Last month, the Toronto-listed company and the government agreed to expand the project and extended their partnership until 2042.

After an annual shareholders' meeting in the capital Paramaribo on Friday, Rosebel Gold Mine executives said gross income had risen 7.8 percent to $655.7 million in 2012, compared with the previous year.

Production rose to 402,000 ounces in 2012, they said, from 385,000 ounces the year before.

Sixty percent of the company's gross income remained in the Suriname economy, they added, in the form of salaries, local spending, donations and infrastructure.

The Suriname government earned $167 million in 2012, up from $156.5 million the previous year, through taxes, dividend payments and 5 percent royalty fees, they said.

"The company makes all efforts to contribute as much as possible to the Suriname economy by doing business with locals," Rosebel Gold Mines' Legal and Corporate Affairs Manager Sharmila Jadnanansing told reporters. "If we need something and we can get it in Suriname, we won't import it."

The Rosebel project covers about 66 square miles (170 square kilometers) of the country's Brokopondo district, 50 miles (80 kilometers) south of Paramaribo.   Continued...