Iamgold sells Peru La Arena property to Rio Alto

(In U.S. dollars unless noted)

TORONTO, May 8 (Reuters) - Iamgold (IMG.TO: Quote, Profile, Research) said on Thursday it has agreed to sell its La Arena copper and gold property in Peru to Rio Alto Mining for $47.6 million and a 5.5 percent interest in the smaller company.

Toronto-based Iamgold said the sale was part of move to sell off noncore assets.

"The 5.5 percent ownership interest acquired as part of this transaction will provide Iamgold the opportunity to participate in the future succes of La Arena,' Iamgold Chief Executive Joseph Conway said in a statement.

The property contains measured and indicated resources of 1.1 billion pounds of copper and 2.0 million ounces of gold.

Iamgold's shares were up a sharp 40 Canadian cents, or 6.9 percent, at C$6.23 on the Toronto Stock Exchange on Thursday.

($1=$1.02 Canadian) (Reporting by Cameron French; Editing by Peter Galloway)