IAMGOLD Rosebel Progress Report and Exploration Objectives

Market Wire, September, 2008

IAMGOLD Corporation ("IAMGOLD" or "the Company")(TSX: IMG)(NYSE: IAG)(BOTSWANA: IAMGOLD) is pleased to provide an interim update on exploration activity in and around its 95%-owned flagship Rosebel Gold Mine in Suriname, South America.

To September 1st, approximately 2/3 of the 2008 planned drilling program of 63,000 meters has been completed at Rosebel, representing the largest single drilling program within the Company. Infill drilling completed on six known deposits within the Rosebel concession will allow for conversion of resources to reserves and results to date are generally in line with expectations. Exploration drilling continues to identify ore-grade extensions to the existing zones as well as targeting mineralized zones between the known deposits. Additionally, a regional exploration effort to generate and assess new prospects within the concession has included 35 km of Induced Polarization (IP) geophysical surveying on the Mamakreek zone, with a plan to commence drilling on identified targets immediately.

Spending to date is on target to meet the total US$13.8M planned expenditure for the year. An accelerated exploration program is planned for 2009 to examine opportunities for additional production growth at the Rosebel operation.

Background

The Rosebel concession lies within the Lower Proterozoic Guiana Shield. The geology of the property and the style of the gold mineralization vary between the north, central and south structural trends, and also between the various deposits (see Figure 1). In the Northern trend, a mineralized structure extending for twelve kilometers along strike, hosts the Pay Caro - East Pay Caro, Koolhoven and J-Zone deposits, as well as the Spin and Mamakreek anomalies. The Central trend traverses eleven kilometers of strike, with the Rosebel deposit at its eastern extremity. The Southern mineralized trend covers ten kilometers on strike and hosts the Mayo and Royal Hill deposits, as well as the Roma, Monsanto Hill, Eriaan Hill and Blauwe Tent exploration targets. Most deposits in the project area show evidence of historical mining, either by manual or mechanical methods; however, there are significant alluvial and laterite-hosted superficial gold resources remaining to this day. Saprolite, saprock (transition), and hard-rock resources underlie many of the superficial occurrences.

The Pay Caro, Royal Hill, and Koolhoven deposits are currently in production, whereas East Pay Caro was mined for short periods during 2005 and 2007. Reserves at the Mayo, J-Zone, and Rosebel deposits are slated for production in the coming years. Proven and Probable Reserves at the end of 2007 were 84.6 million tonnes at an average grade of 1.3 g/t Au, with 3.4 million ounces of contained gold (100% basis). Measured and Indicated Resources (including reserves) were estimated to be 257.5 million tonnes at a grade of 1.0 g/t Au containing 8.7 million ounces (100% basis), with Inferred Resources estimated at 1.8 million tonnes at a grade of 1.5 g/t Au providing an added 0.1 million ounces (100% basis).

The objectives of the 2008 near mine exploration drilling program are to convert resources to reserves (infill drilling), define lateral and depth extensions to known deposits (exploration drilling) and to condemn areas that will be used for planned infrastructure (Table 1). The economic potential of the Roma area, located between Mayo and Royal Hill, is also being assessed (Table 1). A total of 63,000 meters on estimated 340 holes were planned for the 2008 mine exploration drilling program, including infill (26,500 m, 42%), exploration (35,100 m, 56%) and condemnation (1,400 m, 2%). The expenses for this work year-to-date to September 1st, 2008 are $6.3M from a 2008 plan of $9.9M.

The outstanding drilling program for 2008 will consist of 11,000 m of infill (36%), exploration (45%) and condemnation (9%) drilling at Mayo and 7,000 m of exploration drilling at Roma.

 Table 1: 2008 mine exploration drilling program as at September 1st, 2008
----------------------------------------------------------------------------
                            Total
                    #    Drilling
Location        Holes          (m) Infill Drilling Exploration Condemnation
----------------------------------------------------------------------------
Koolhoven          54     7,915.3            676.5     4,600.3      2,638.5
----------------------------------------------------------------------------
Roma               27     4,011.0              0.0     4,011.0          0.0
----------------------------------------------------------------------------
Royal Hill         10     2,916.0              0.0     2,916.0          0.0
----------------------------------------------------------------------------
Mayo               26     4,173.5          2,488.5     1,685.0          0.0
----------------------------------------------------------------------------
J-Zone             40     5,712.0          2,855.5     2,856.5          0.0
----------------------------------------------------------------------------
Rosebel            66     9,694.5          9,337.5       357.0          0.0
----------------------------------------------------------------------------
West Pay Caro      43     7,340.5          7,126.0       214.5          0.0
               -------------------------------------------------------------
----------------------------------------------------------------------------
Total             266    41,762.8         22,484.0    16,640.3      2,638.5
----------------------------------------------------------------------------
               -------------------------------------------------------------