Ben Kramer-Miller
Gold & precious metals, macro, research analyst, deep value

IAMGOLD: Do You Want Some Niobium With That Gold? You Should

This article is about IAMGOLD (NYSE:IAG). While IAMGOLD is a self-proclaimed "leading mid-tier gold producer," it has set itself apart from its peers by being just one of two publicly traded companies that owns a niobium mine--Niobec.

Niobec has benefited, and should continue to benefit IAMGOLD shareholders in two ways. First, Niobec has been consistently profitable, and it has offset IAMGOLD's losses from its gold operations in the face of weak gold prices. More generally it provides stability to a company that has otherwise suffered as a gold miner from high production costs. This stability is incredibly valuable in a volatile industry such as mining.

Second, exposure to niobium provides somewhat of a hedge to the gold price...

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