NEWS
10/08/2015 08:35 EDT | Updated 10/08/2016 01:12 EDT

Iamgold to cut workforce at Rosebel mining operation by 10% to reduce costs

TORONTO — Iamgold Corp. (TSX:IMG) will be reducing the workforce at one of its biggest mines by 10 per cent to reduce costs amid low gold prices.

The cuts are at the Rosebel mining operations, which produced nearly one-third of Iamgold's gold in 2014.

Iamgold didn't announce Thursday how many people will be affected by the cuts but Rosebel employed 2,035 people directly and through contractors at the end of 2014, according to documents filed with regulators.

The Toronto-based company says the job cuts are necessary for the long-term viability of the Rosebel operation, which is owned 95 per cent by Iamgold and five per cent by the government of Suriname.

Iamgold acquired Rosebel when it bought Cambior, which began construction of Rosebel in late 2002 and began production in March 2004.

Iamgold bought Cambior in November 2006, acquiring both Rosebel and the Westwood gold mine east of Rouyn-Noranda, Que.

The Canadian Press

Note to readers: This is a corrected story. An earlier version misspelled Rosebel in headlines.