Stock Symbol: AEM (NYSE and
TSX)
TORONTO, July 30, 2014 /CNW/ - Agnico Eagle Mines
Limited (NYSE:AEM, TSX:AEM) ("Agnico Eagle" or the "Company")
is pleased to provide an update on its 2014 exploration
activities. Highlights include:
- Expansion of IVR discovery in Nunavut - Exploration drilling has
expanded the scope of the mineralization at the IVR property,
located 50 kilometres northwest of the Meadowbank mine. A total of
48 drill holes (7,423 metres) have been completed since the program
began in 2013. The best intercepts to date include 26.1 grams per
tonne ("g/t") gold (capped) over 4.8 metres, and 27.6 g/t gold
(capped) over 3.0 metres estimated true width. A second phase
of drilling (anticipated 20,000 metres) has recently commenced.
- Recent drilling at Meliadine expected to further expand the
resource base - In the first half of 2014, 118 exploration and
conversion drill holes totaling 30,900 metres were completed.
The exploration ramp has been extended by 527 metres. Recent
results are expected to expand gold resources at the Pump,
Wesmeg/Normeg and Wolf deposits. Meliadine has the Company's
largest and fastest-growing high-grade complement of reserves plus
resources. An updated technical study is expected in late 2014 or
early 2015.
- Resource conversion drilling completed at Akasaba West -
Year to date, 28 drill holes totaling 5,327 metres have been
completed. Significant results include 1.14 g/t gold and 0.56%
copper (capped) over 91 metres. A technical study is
evaluating the economics of mining the deposit (which is located
less than 30 km from Goldex) and milling the ore at Agnico Eagle's
Abitibi processing facilities.
- Kittila drilling extends Suuri zone at depth - A drill
hole grading 6.8 g/t gold (uncapped) over 6.4 metres estimated true
width indicates that the Suuri zone remains open at depth below
1,340 metres. Current reserves extend to approximately 1,100
metres depth. This deeper mineralization will be considered
in future expansion studies.
"Although it is still early days, the new IVR discovery and the
deep drill hole at Kittila could represent exciting new
developments for our northern business platform" said Sean Boyd, President and Chief Executive
Officer. "We are highly encouraged by the results at both projects,
and we will be working hard to evaluate the upside potential of
these discoveries and determine what potential impact they may have
on our current operations", added Mr. Boyd.
IVR Project - 2014 Drilling Expands New Mineralized
Zones
Exploration drilling in 2013 and 2014 on the IVR
property, which is located approximately 50 kilometres northwest of
the Meadowbank mine in Nunavut,
has resulted in the discovery of a number of mineralized zones.
The 408-square-kilometre IVR property is located
within Inuit Owned Land and 100% interest was acquired in
April 2013 subject to a mineral
exploration agreement with Nunavut Tunngavik Inc. The Company
ran a program to evaluate the property's gold potential from July
to October 2013 that included ground
geophysics (Mag-EM), prospecting, mapping and two campaigns of
diamond drilling. Fourteen drill holes were completed in 2013 and
another 34 drill holes were drilled in the first half of
2014. These two campaigns represent a total of 7,423 metres
of drilling.
Agnico Eagle's work has revealed multiple
northeast-trending structures with gold-bearing sulphide-rich
lenses of mineralization within volcano-sedimentary rocks. Three
mineralized corridors were recognized over 400 metres of strike
length in 2013. A first phase of shallow drilling (to 100 metres
depth) in 2014 has extended the known mineralized corridors and
added a fourth one to the south (see the I, V, R and Whale Tail
zones on the IVR project map below). Based on the current
information, all structures are open in all directions including at
depth.
[IVR Project]
The highest grade results to date at IVR are
from two holes at the R zone: IVR14-031 with 26.1 g/t gold over 4.8
metres at 89 metres depth, and hole IVR14-028 with 27.6 g/t gold
over 3.0 metres at 58 metres depth. Along the same R zone structure
to the southwest are two more intersections: hole IVR13-004 with
6.2 g/t gold over 5.7 metres at 28 metres depth, and hole IVR13-008
with 6.6 g/t gold over 7.2 metres at 72 metres depth and 9.8 g/t
gold over 3.5 metres at 92 metres depth.
On the separate Whale Tail structure to the
southeast is hole IVR14-015 grading 10.5 g/t gold over 3.5 metres
at 43 metres depth. Hole IVR14-044 intersected the I zone structure
to the north, grading 8.7 g/t gold over 5.8 metres at 15 metres
below surface. Hole IVR14-039 includes an intercept in the V zone
of 3.7 g/t gold over 7.4 metres at 23 metres depth. All intercepts
reported for the IVR project show capped grades over estimated true
widths, based on a preliminary geological interpretation.
Additional information about these and other
drill intersections is included in the table below, while the drill
collars are located on the IVR project map. The drill collar
coordinates table can be found in the Appendix section of this news
release.
Results from IVR project exploration drilling
in 2013 and 2014
Drill hole |
Deposit |
From
(metres) |
To
(metres) |
Depth of
midpoint
below
surface
(metres) |
Estimated
true width
(metres) |
Gold grade
(g/t)
(uncapped) |
Gold grade
(g/t)
(capped)** |
IVR13-004* |
R zone |
35.4 |
42.3 |
28 |
5.7 |
6.20 |
6.20 |
and |
|
47.5 |
52.5 |
36 |
4.1 |
6.05 |
6.05 |
IVR13-008* |
R zone |
95.5 |
104.2 |
72 |
7.2 |
6.55 |
6.55 |
and |
|
124.5 |
128.7 |
92 |
3.5 |
9.77 |
9.77 |
IVR14-015 |
Whale Tail |
60.0 |
63.6 |
43 |
3.5 |
22.85 |
10.52 |
IVR14-017 |
Whale Tail |
88.0 |
103.0 |
68 |
14.5 |
1.83 |
1.83 |
including |
|
91.0 |
96.0 |
66 |
4.8 |
2.72 |
2.72 |
IVR14-028 |
R zone |
74.9 |
78.2 |
58 |
3.0 |
34.36 |
27.62 |
IVR14-031 |
R zone |
15.0 |
18.0 |
12 |
2.9 |
10.90 |
10.90 |
and |
|
120.0 |
125.0 |
89 |
4.8 |
54.40 |
26.13 |
IVR14-037 |
R zone |
96.2 |
108.5 |
77 |
10.8 |
2.81 |
2.81 |
including |
|
101.5 |
104.7 |
77 |
2.8 |
5.83 |
5.83 |
IVR14-039 |
R zone |
27.0 |
36.3 |
23 |
7.4 |
3.70 |
3.70 |
IVR14-044 |
I zone |
17.0 |
23.0 |
15 |
5.8 |
8.70 |
8.70 |
* IVR13 denotes a hole drilled in 2013
** Holes at IVR use a capping factor of 60 g/t gold.
A second phase of drilling (approximately 20,000
metres) has recently commenced. Further ground has been
acquired through staking, increasing the land position by another
6,279 hectares.
A recent airborne VTEMplus Time-Domain
electromagnetic survey covering approximately 10,000 hectares
detected a strong magnetic-electromagnetic anomaly stretching over
at least 7 kilometres including the current exploration drilling
area. Prospecting and sampling programs have been initiated
over the entire area, focusing on targets outlined by the
geophysical survey. In the past week, prospecting has defined
a 600-metre-long glacial boulder field, 3.5 kilometres west of the
mineralized zones where drilling is currently taking place. The
boulders, some of which show visible gold, could have been sourced
from the south, within the strong mag-EM anomaly. Drilling is
planned to investigate this new sector using a third drill rig.
Greyhound - An Early Stage Project, Close to Meadowbank
Infrastructure
In June 2014,
Agnico Eagle optioned a new property called Greyhound from Aura
Silver Resources Inc. (AUU:TSXV) straddling the road that connects
the Meadowbank mine in Nunavut
with the community of Baker Lake,
about 35 kilometres south of the mine. Under the terms of the
option agreement, Agnico Eagle can acquire an initial 51% interest
by making cash payments totaling C$250,000 and completing C$1.75 million in exploration expenditures before
May 31, 2017, with an option to
increase its interest to 70% by making additional cash payments
totaling C$250,000 and completing an
additional C$5.0 million in
exploration expenditures.
The property is underlain by Archean
supracrustal rocks of the Woodburn
Lake group. Previous exploration has outlined gold,
silver and base metal mineralization in an area known as
Aura Lake. In July, a program
consisting of 1,000 metres of drilling commenced to test three
promising target areas on the property.
Meliadine - 2014 Drilling Converts and Extends Known
Deposits
Underground development, exploration, technical
studies and permitting have continued in the second quarter of 2014
at the 100%-owned Meliadine project near Rankin Inlet, Nunavut. The Meliadine project
has the Company's largest and fastest-growing high-grade complement
of reserves plus resources. Probable reserves total 2.8 million
ounces of gold (12.0 million tonnes at a grade of 7.4 g/t), while
indicated resources are 3.1 million ounces of gold (19.0 million
tonnes at 5.1 g/t) and inferred resources are 2.7 million ounces of
gold (11.7 million tonnes at 7.2 g/t). For additional information
see the Detailed Mineral Reserve and Resource Data in the Company's
February 12, 2014 news release.
Development of the exploration ramp has
continued, adding 301 metres length in the second quarter of 2014,
for a total of 527 metres of ramp constructed in 2014 to a depth of
168 metres below surface. The full-year budget is 1,440
metres of ramp development (to a depth of 225 metres below
surface). Construction of the ventilation raise collar on surface
has been completed; excavation of the Level 135-to-Surface
ventilation raise using the Alimak has started, with 63 metres
completed in the quarter.
Three drill rigs have been active on the surface
drill program, which began in late February. To the end of June,
the rigs completed 118 holes (30,900 metres) of conversion drilling
(Wesmeg/Normeg and Tiriganiaq zones) and exploration drilling
(Pump, Discovery, Wolf zones). The drilling program for this year
is expected to be completed by the end of July. These results will
be incorporated into a new mineral reserve and resource estimate,
which will be used in the updated technical report.
The conversion drilling has confirmed the grade
and width of the near-surface portion of the Wesmeg/Normeg
deposits. Some of the best recent intercepts are shown in the table
below, including hole M14-2226 with 12.5 g/t gold (capped) over 5.3
metres (estimated true width) at 50 metres depth. Also refer to the
Meliadine project geology map for drill collar locations and the
longitudinal section of the Wesmeg/Normeg deposit.
[Meliadine Project - Geology Map]
[Meliadine Project - Wesmeg/Normeg Deposit -
Composite Longitudinal Section]
Results from Meliadine project Wesmeg/Normeg
conversion drilling in 2014
Drill hole |
Deposit |
From
(metres) |
To
(metres) |
Depth of
midpoint
below
surface
(metres) |
Estimated
true width
(metres) |
Gold grade
(g/t)
(uncapped) |
Gold grade
(g/t)
(capped)* |
M14-2226 |
Wesmeg |
65.3 |
70.7 |
50 |
5.3 |
12.51 |
12.51 |
M14-2249 |
Normeg |
67.5 |
70.7 |
55 |
3.1 |
8.69 |
6.16 |
and |
Normeg |
197.8 |
204.8 |
154 |
7.0 |
7.70 |
7.70 |
M14-2269 |
Wesmeg |
236.2 |
242.4 |
179 |
5.8 |
11.10 |
10.07 |
* Capping at Wesmeg and Normeg ranges from 15 g/t to 60
g/t gold.
Significant new gold mineralization was
discovered in the Pump zone, showing its potential to host
additional high-grade resources, including hole M14-2220 that
yielded 19.8 g/t gold (capped) over 5.2 metres (estimated true
width) at 12 metres depth. A resumption of exploration at the Wolf
deposit yielded positive results including an 11.0-metre-long
intercept (estimated true width) grading 8.4 g/t gold (capped) at
228 metres depth (hole M14-2292). The best intercepts from these
two deposits are shown in the table below. Also refer to the
Meliadine project geology map for drill collar locations and the
longitudinal sections of the Pump and Wolf deposits.
[Meliadine Project - Pump Deposit - Composite
Longitudinal Section]
[Meliadine Project - Wolf Deposit - Composite
Longitudinal Section]
Results from Meliadine project Pump and Wolf
exploration drilling in 2014
Drill hole |
Deposit |
From
(metres) |
To
(metres) |
Depth of
midpoint
below
surface
(metres) |
Estimated
true width
(metres) |
Gold grade
(g/t)
(uncapped) |
Gold grade
(g/t)
(capped) |
M14-2220 |
Pump |
11.1 |
17.0 |
12 |
5.2 |
22.39 |
19.77* |
and |
Pump |
20.0 |
25.5 |
20 |
5.0 |
8.29 |
8.29 |
M14-2229 |
Pump |
60.0 |
65.7 |
47 |
5.4 |
25.26 |
18.91** |
M14-2244 |
Pump |
476.9 |
480.0 |
427 |
3.1 |
11.51 |
11.51 |
M14-2268 |
Wolf |
351.0 |
355.6 |
277 |
4.0 |
5.90 |
5.90 |
M14-2287 |
Wolf |
215.5 |
220.4 |
174 |
4.2 |
6.12 |
6.12 |
M14-2292 |
Wolf |
278.6 |
298.3 |
229 |
16.6 |
6.99 |
6.52*** |
including |
Wolf |
280.0 |
293.0 |
228 |
11.0 |
9.13 |
8.42*** |
M14-2305 |
Pump |
314.8 |
318.9 |
270 |
3.9 |
9.50 |
9.50 |
* Capped at 30 g/t gold.
** Capped at 40 g/t gold.
*** Capped at 50 g/t gold.
The permitting team has delivered the Final
Environmental Impact Statement (FEIS), and the technical review is
currently in progress. Work continues on the updated technical
report, with completion of the study expected in late 2014 or
early 2015.
Akasaba West - Could Provide Future Mill Feed to Agnico's
Abitibi Facilities
In January 2014,
Agnico Eagle acquired the Akasaba West gold-copper deposit from
Alexandria Minerals (AZX:TSXV) for C$5.0
million and a 2% NSR royalty on any gold production
exceeding 210,000 ounces. Located less than 30 kilometres from
Agnico Eagle's Goldex mine in Val d'Or,
Quebec, the Akasaba West deposit could potentially create
flexibility and synergies for the Company's operations in the
Abitibi region by utilizing extra processing capacity at both the
Goldex and LaRonde mines, while improving the cost profile.
In the first half of 2014, a resource conversion
drill program of 28 holes totaling 5,327 m was completed. Some of
the better results include hole 164-13-001 with 1.14 g/t gold and
0.56% copper over 91 metres at 98 metres depth, and hole 164-14-019
with 1.13 g/t gold and 0.66% copper over 78 metres at almost 200
metres depth (all grades are capped; widths are estimated true
widths). Additional information about these and other drill
intersections is included in the table below, while the intercept
pierce points are located on the Akasaba West project longitudinal
section. The drill collar coordinates table can be found in the
Appendix section of this news release.
[Akasaba West Project - Composite Longitudinal
Section]
These results will be incorporated into a
technical study that is expected to be completed by year end
2014.
Results from Akasaba West project conversion
drilling, January 1 to June 30,
2014
Drill hole |
From
(metres) |
To
(metres) |
Depth of
midpoint
below
surface
(metres) |
Estimated
true width
(metres) |
Gold
grade
(g/t)
uncapped |
Gold grade
(g/t)
capped* |
Copper
grade (%)
uncapped |
Copper
grade
(%)
capped** |
164-13-001 |
74 |
180 |
98 |
91 |
1.14 |
1.14 |
0.56 |
0.56 |
164-14-009 |
21 |
78.8 |
36 |
45 |
1.27 |
1.27 |
0.63 |
0.63 |
164-14-014 |
82 |
187 |
107 |
70 |
0.84 |
0.84 |
0.50 |
0.50 |
164-14-017 |
45 |
129 |
61 |
66 |
1.41 |
1.41 |
0.59 |
0.59 |
164-14-019 |
213 |
311.5 |
198 |
78 |
1.13 |
1.13 |
0.66 |
0.66 |
164-14-022 |
166 |
262 |
157 |
81 |
0.84 |
0.84 |
0.48 |
0.48 |
* All Akasaba West gold grades are capped at 15 g/t
gold.
** All Akasaba West copper grades are capped at 10%
copper.
Kittila - Drilling Extends Suuri Mineralized
Trend at Depth
Mine-site exploration drilling at Agnico Eagle's
Kittila mine, located in Finland,
in the first half of 2014 has totalled 3,000 metres of a total-year
budget of 7,000 metres. The target is levels 1000 to 1500 where the
Suuri Trend plunges northward beneath the Roura pit, below the
current reserves.
During the second quarter, hole ROD14-002C
(drilled from the exploration ramp) returned one of the deepest
intersections to date, encountering 6.8 g/t gold (uncapped) over
6.4 metres (estimated true width) including 12.0 g/t gold over 2.2
metres at 1,340 metres depth. This intersection is approximately
250 metres below the bottom of the current reserves, demonstrating
a continuation of the Suuri mineralization trend to depth.
Additional information about this drill intersection is included in
the table below, while the intercept pierce point is located on the
Kittila Mine longitudinal section. The drill collar coordinates
table can be found in the Appendix section of this news
release.
[Kittila Mine - Composite Longitudinal
Section]
The deep drilling program will be accelerated
with the aim of completing several additional holes before the end
of 2014. The objective is to increase the resource below the 1100m
level. The two other deposits (Roura and Rimpi) will be
drilled from the ramp once access is available next year.
Roura and Rimpi are open at depth, and drilling from the ramp is
expected to further extend these zones.
Recent result from Kittila project deep
exploration drilling
Drill hole |
From
(metres) |
To
(metres) |
Depth of
midpoint
below
surface
(metres) |
Estimated
true width
(metres) |
Gold grade
(g/t)
uncapped* |
ROU14-002C |
684.6 |
697.5 |
1,343 |
6.4 |
6.81 |
including |
684.6 |
689.0 |
1,340 |
2.2 |
12.01 |
* All grades are uncapped at Kittila.
About Agnico Eagle
Agnico Eagle is a senior Canadian gold mining company that has
produced precious metals since 1957. Its nine mines are located in
Canada, Finland and Mexico, with exploration and development
activities in each of these regions as well as in the United States. The Company and its
shareholders have full exposure to gold prices due to its
long-standing policy of no forward gold sales. Agnico Eagle has
declared a cash dividend every year since 1983.
Forward-Looking Statements
The information in this news release has been
prepared as at July 30, 2014. Certain
statements contained in this document constitute "forward-looking
statements" within the meaning of the
United States Private Securities Litigation Reform Act of
1995 and forward-looking information under the provisions of
Canadian provincial securities laws and are referred to herein as
forward-looking statements. When used in this document, the words
"anticipate", "expect", "estimate", "forecast", "will", "planned",
and similar expressions are intended to identify forward-looking
statements or information.
Such statements include without limitation:
statements regarding timing and amounts of capital expenditures and
other assumptions; estimates of future reserves, resources, mineral
production, optimization efforts and sales; estimates of reserves
and resources, the estimated timing for the completion of technical
studies and reports, statements regarding anticipated future
exploration; and whether results thereof will expand gold reserves
or resources, the anticipated timing of events with respect to the
Company's mine sites, development projects and exploration
properties and the potential of the Akasaba West deposit to create
flexibility and synergies at the Company's operations. Such
forward-looking statements reflect the Company's views as at the
date of this document and are subject to certain risks,
uncertainties and assumptions, and undue reliance should not be
placed on such statements and information. Many factors, known and
unknown could cause the actual results to be materially different
from those expressed or implied by such forward-looking statements
and information. Such risks include, but are not limited to: the
volatility of prices of gold and other metals; uncertainty of
mineral reserves, mineral resources, mineral grades and mineral
recovery estimates; uncertainty of future production, capital
expenditures, and other costs; currency fluctuations; financing of
additional capital requirements; cost of exploration and
development programs; mining risks; community protests; risks
associated with foreign operations; governmental and environmental
regulation; the volatility of the Company's stock price; and risks
associated with the Company's byproduct metal derivative
strategies. The material factors and assumptions used in the
preparation of the forward-looking statements and information
contained herein, which may prove to be incorrect, include, but are
not limited to, the assumptions set forth herein and in
management's discussion and analysis ("MD&A") and the Company's
Annual Information Form ("AIF") for the year ended December 31, 2013 filed with Canadian securities
regulators and that are included in its Annual Report on Form 40-F
for the year ended December 31, 2013
("Form 40-F") filed with the U.S. Securities and Exchange
Commission (the "SEC") as well as: that there are no significant
disruptions affecting operations; that production, permitting and
expansion at each of Agnico Eagle's properties proceeds on a basis
consistent with current expectations and plans; that the relevant
metals prices, exchange rates and prices for key mining and
construction supplies will be consistent with Agnico Eagle's
expectations; that Agnico Eagle's current estimates of mineral
reserves, mineral resources, mineral grades and metal recovery are
accurate; that there are no material delays in the timing for
completion of ongoing growth projects; that the Company's current
plans to optimize production are successful; and that there are no
material variations in the current tax and regulatory
environment.
For a more detailed discussion of such risks
and other factors that may affect the Company's ability to achieve
the expectations set forth in the forward-looking statements
contained in this document, see the Company's AIF, MD&A and
Form 40-F, as well as the Company's other filings with the Canadian
securities regulators and the SEC. The Company does not intend, and
does not assume any obligation, to update these forward-looking
statements and information. For a detailed breakdown of the
Company's reserve and resource position see the Company's Annual
Information Form or Form 40-F.
Notes to Investors Regarding the Use of
Resources
Cautionary Note to Investors Concerning
Estimates of Measured and Indicated Resources
This news release uses the terms "measured
resources" and "indicated resources". Investors are advised that
while those terms are recognized and required by Canadian
regulations, the SEC does not recognize them. Investors are
cautioned not to assume that any part or all of mineral deposits in
these categories will ever be converted into reserves.
Cautionary Note to Investors Concerning
Estimates of Inferred Resources
This news release also uses the term
"inferred resources". Investors are advised that while this term is
recognized and required by Canadian regulations, the SEC does not
recognize it. "Inferred resources" have a great amount of
uncertainty as to their existence, and great uncertainty as to
their economic and legal feasibility. It cannot be assumed that all
or any part of an inferred mineral resource will ever be upgraded
to a higher category. Under Canadian rules, estimates of inferred
mineral resources may not form the basis of feasibility or
pre-feasibility studies, except in rare cases. Investors are
cautioned not to assume that part or all of an inferred resource
exists, or is economically or legally mineable.
Scientific and Technical Data
Cautionary Note To U.S. Investors - The SEC
permits U.S. mining companies, in their filings with the SEC, to
disclose only those mineral deposits that a company can
economically and legally extract or produce. Agnico Eagle
Mines Limited reports mineral resource and reserve estimates in
accordance with the CIM guidelines for the estimation,
classification and reporting of resources and reserves in
accordance with the Canadian securities regulatory authorities'
(the "CSA") National Instrument 43-101 Standards of Disclosure for
Mineral Projects ("NI 43-101"). These standards are similar to
those used by the SEC's Industry Guide No. 7, as interpreted by
Staff at the SEC ("Guide 7"). However, the definitions in NI 43-101
differ in certain respects from those under Guide 7. Accordingly,
mineral reserve information contained herein may not be comparable
to similar information disclosed by U.S. companies. Under the
requirements of the SEC, mineralization may not be classified as a
"reserve" unless the determination has been made that the
mineralization could be economically and legally produced or
extracted at the time the reserve determination is made. A "final"
or "bankable" feasibility study is required to meet the
requirements to designate reserves under Industry Guide 7.
Agnico Eagle uses certain terms in this news release, such as
"measured", "indicated", and "inferred", and "resources" that the
SEC guidelines strictly prohibit U.S. registered companies from
including in their filings with the SEC.
NI 43-101 requires mining companies to
disclose reserves and resources using the subcategories of "proven"
reserves, "probable" reserves, "measured" resources, "indicated"
resources and "inferred" resources. Mineral resources that are not
mineral reserves do not have demonstrated economic
viability.
A mineral reserve is the economically
mineable part of a measured and/or indicated mineral resource. It
includes diluting materials and allowances for losses, which may
occur when the material is mined or extracted and is defined by
studies at pre-feasibility or feasibility level as appropriate that
include application of modifying factors. Such studies demonstrate
that, at the time of reporting, extraction could reasonably be
justified.
Modifying factors are considerations used to
convert mineral resources to mineral reserves. These include, but
are not restricted to, mining, processing, metallurgical,
infrastructure, economic, marketing, legal, environmental, social
and governmental factors.
A proven mineral reserve is the economically
mineable part of a measured mineral resource. A proven mineral
reserve implies a high degree of confidence in the modifying
factors. A probable mineral reserve is the economically mineable
part of an indicated and, in some circumstances, a measured mineral
resource. The confidence in the modifying factors applying to a
probable mineral reserve is lower than that applying to a proven
mineral reserve.
A mineral resource is a concentration or
occurrence of solid material of economic interest in or on the
Earth's crust in such form, grade or quality and quantity that
there are reasonable prospects for eventual economic extraction.
The location, quantity, grade or quality, continuity and other
geological characteristics of a mineral resource are known,
estimated or interpreted from specific geological evidence and
knowledge, including sampling.
A measured mineral resource is that part of a
mineral resource for which quantity, grade or quality, densities,
shape and physical characteristics are estimated with confidence
sufficient to allow the application of modifying factors to support
detailed mine planning and final evaluation of the economic
viability of the deposit. Geological evidence is derived from
detailed and reliable exploration, sampling and testing and is
sufficient to confirm geological and grade or quality continuity
between points of observation. An indicated mineral resource is
that part of a mineral resource for which quantity, grade or
quality, densities, shape and physical characteristics are
estimated with sufficient confidence to allow the application of
modifying factors in sufficient detail to support mine planning and
evaluation of the economic viability of the deposit. Geological
evidence is derived from adequately detailed and reliable
exploration, sampling and testing and is sufficient to assume
geological and grade or quality continuity between points of
observation. An inferred mineral resource is that part of a mineral
resource for which quantity and grade or quality are estimated on
the basis of limited geological evidence and sampling. Geological
evidence is sufficient to imply but not verify geological and grade
or quality continuity.
A feasibility study is a comprehensive
technical and economic study of the selected development option for
a mineral project that includes appropriately detailed assessments
of applicable modifying factors together with any other relevant
operational factors and detailed financial analysis that are
necessary to demonstrate, at the time of reporting, that extraction
is reasonably justified (economically mineable). The results of the
study may reasonably serve as the basis for a final decision by a
proponent or financial institution to proceed with, or finance, the
development of the project. The confidence level of the study will
be higher than that of a Pre-Feasibility Study.
In prior periods, reserves for all properties
were typically estimated using historic three-year average metals
prices and foreign exchange rates in accordance with the SEC
guidelines. These guidelines require the use of prices that reflect
current economic conditions at the time of reserve determination,
which the Staff of the SEC has interpreted to mean historic
three-year average prices. Given the current lower commodity price
environment, Agnico Eagle has decided to use price assumptions that
are below the three-year averages. The assumptions used for the
mineral reserves estimates at all mines and advanced projects as of
December 31, 2013 are $1,200 per ounce gold, $18.00 per ounce silver, $0.82 per pound zinc, $3.00 per pound copper, $0.91 per pound lead and C$/US$, US$/Euro and
MXP/US$ exchange rates of 1.03, 1.32 and 12.75,
respectively.
The mineral reserve figures presented herein
are estimates, and no assurance can be given that the anticipated
tonnages and grades will be achieved or that the anticipated level
of recovery will be realized. The mineral reserves presented in
this disclosure are separate from and not a portion of the mineral
resources.
|
|
|
|
|
|
|
Property/Project name
and location |
|
|
|
|
|
Date of most recent
Technical
Report (NI 43-101) filed on SEDAR |
Kittila, Finland |
|
|
|
|
|
March 4, 2010 |
Meadowbank, Nunavut, Canada |
|
|
|
|
|
February 15, 2012 |
Meliadine, Nunavut, Canada |
|
|
|
|
|
March 8, 2011 |
|
|
|
|
|
|
|
The effective date for all of the Company's
mineral resource and reserve estimates in this news release is
December 31, 2013. Additional
information about each of the mineral projects that is required by
NI 43-101, sections 3.2 and 3.3 and paragraphs 3.4 (a), (c) and (d)
can be found in the Technical Reports referred to above, which may
be found at www.sedar.com. Other important operating
information can be found in the Company's AIF and Form
40-F.
Guy Gosselin,
Vice-President Exploration for Agnico Eagle Mines Limited, approved
the scientific and technical information in this news release. Mr.
Gosselin verified the data disclosed in this news release,
including the sampling, analytical and testing data underlying the
information. Verification included a review and validation of the
applicable assay databases and reviews of assay certificates. Mr.
Gosselin is a P.Eng. with the Ordre ingenieurs du Quebec, and is a
qualified person as defined by NI 43-101.
Appendix: Selected drill collar
coordinates
IVR Project exploration drill collar coordinates
|
Drill collar coordinates* |
Drill hole ID |
UTM North |
UTM East |
Elevation
(metres
above sea
level) |
Azimuth |
Dip
(degrees) |
Length
(metres) |
IVR13-004 |
7255993 |
606653 |
160 |
315 |
-45 |
150 |
IVR13-008 |
7255950 |
606564 |
160 |
323 |
-45 |
180 |
IVR14-015 |
7255671 |
606976 |
160 |
323 |
-45 |
129 |
IVR14-017 |
7255408 |
606672 |
160 |
323 |
-45 |
159 |
IVR14-028 |
7256213 |
606857 |
160 |
323 |
-45 |
183 |
IVR14-031 |
7256243 |
606920 |
160 |
143 |
-47 |
147 |
IVR14-037 |
7256296 |
606972 |
160 |
323 |
-48 |
171 |
IVR14-039 |
7256344 |
606759 |
160 |
323 |
-47 |
128 |
IVR14-044 |
7256748 |
606909 |
160 |
323 |
-47 |
177 |
* Coordinate System UTM Nad 83 zone 14
Akasaba West Project exploration drill collar
coordinates
|
Drill collar coordinates* |
Drill hole ID |
UTM North |
UTM East |
Elevation
(metres above
sea
level) |
Azimuth |
Dip (degrees) |
Length
(metres) |
164-13-001 |
5324221 |
307675 |
328 |
350 |
-51 |
201 |
164-14-009 |
5324295 |
307765 |
329 |
352 |
-50 |
126 |
164-14-014 |
5324222 |
307624 |
328 |
349 |
-55 |
249 |
164-14-017 |
5324268 |
307668 |
328 |
351 |
-47 |
166 |
164-14-019 |
5324129 |
307689 |
328 |
352 |
-54 |
360 |
164-14-022 |
5324161 |
307735 |
328 |
354 |
-51 |
318 |
* Coordinate System UTM Nad 83 zone 18
Kittila Mine deep exploration drill collar
coordinates
|
Drill collar coordinates* |
Drill hole ID |
UTM North |
UTM East |
Elevation
(metres above
sea level) |
Azimuth |
Dip (degrees) |
Length
(metres) |
ROU14-002C |
7535059 |
432600 |
-485 |
90 |
-61 |
715 |
* Coordinate System Finnish KKJ Zone 2
SOURCE Agnico Eagle Mines Limited