12:58 PM EST, 01/28/2019 (MT Newswires) -- Iamgold (IAG) shares were 10% higher Monday morning after the gold miner said it has decided not to proceed with the construction of the Cote Gold Project in Ontario.

The company said it plans to update its guidance in line with the decision.

"We are focused on creating superior shareholder value by allocating our capital to our best near- and long-term opportunities in a manner that is consistent with shareholder expectations, and with our goal of maintaining a strong balance sheet," said CEO Steve Letwin.

"We have substantially de-risked the Cote Gold Project, from both a technical and financial perspective, and believe in its potential to positively transform the Company. However, we have decided to wait for improved, and sustainable, market conditions in order to proceed with construction."

Price: 3.41, Change: +0.32, Percent Change: +10.36