Agnico Eagle Mines Limited · TSX:AEM
Agnico Eagle Mines — Gold Forum Americas 2024
42 slides from Agnico Eagle Mines's conference presentation, Sep 17, 2024
Slide 1: Gold Forum Americas
Gold Forum Americas September 2024 NTD: Photo to be updated
Slide 2: Notes to Investors
Notes to Investors Forward-Looking Statements The information in this presentation has been prepared as at September 13, 2024. Certain statements contained in this presentation constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of
Slide 3: Agnico Eagle: A High-Quality, Low-Risk Senior Gold Producer
Agnico Eagle: A High-Quality, Low-Risk Senior Gold Producer Third Largest Gold Producer Proven Geological Potential in Premier Jurisdictions Low-Risk Mining Highest Quality Senior Jurisdictions Gold Producer Established competitive Disciplined capital advantage in regions with investments based on m
Slide 4: Track Record of Value Creation
Track Record of Value Creation Building a Portfolio of High-Quality Assets in Premier Mining Jurisdictions that Offer Superior Geological Potential Systematically built a low risk, manageable business Focused on growing profitable gold production and building per share value Long history of de
Slide 5: Strong Performance Continues to Demonstrate Strength of Business
Strong Performance Continues to Demonstrate Strength of Business Pinos Altos shaft Barnat open pit at the Canadian Malartic complex Detour Lake mill Kittila headframe 2024E H1 2024 Guidance1 Actual Well Positioned to Achieve Consistently demonstrating strong 2024 Gold Production and Cost Guidance
Slide 6: Financial Highlights
Financial Highlights Margin Expansion Drives Strong Financial Results Operational performance and industry leading costs are key drivers of strong financial results over last few quarters Focus on cost control in a rising gold price environment has resulted in growing AISC margin1, leading the p
Slide 7: Balance Sheet Strength and Financial Flexibility
Balance Sheet Strength and Financial Flexibility Strong Cash Flow Generation Enhances Investment Grade Balance Sheet Cash and Net Debt1 Position Strengthening the Balance Sheet $1,587 $1,504 $1,316 Strong liquidity – $922M cash and $2B undrawn credit facility (excluding $1B accordion) as at June 3
Slide 8: Disciplined Capital Allocation Strategy
Disciplined Capital Allocation Strategy Continued Focus on Returns to Shareholders and Strengthening the Balance Sheet Dividend Distribution Strengthening Balance Sheet • Dividends paid since 1983 • Continue to build strong cash balance • Over $3B cumulative dividends paid to date • $540M debt due i
Slide 9: Creating Value Through Asset Optimization and Exploration
Creating Value Through Asset Optimization and Exploration Robust Pipeline to Support Profitable Production in the Regions in Which We Operate Odyssey shaft at the Canadian Malartic Complex Upper Beaver project Drill rig at Detour Lake Short-term Medium-term Long-term Canadian Malartic transitionin
Slide 10: Abitibi Ontario – A Long-term Operating Platform with Room to Grow
Abitibi Ontario – A Long-term Operating Platform with Room to Grow 2024 Guidance1 Mineral Reserve Base3 1 Gold production – 965 koz P&P: 25.1 Moz Total cash costs2 – $769/oz M&I: 24.1 Moz Inferred: 12.6 Moz Over 50 years in Abitibi region – strong technical expertise and an established network wit
Slide 11: Detour Lake – Pathway to Million Ounce Producer
Detour Lake – Pathway to 1 Million Ounce Producer Largest gold producing open pit mine in Canada with 19.7M oz of mineral reserves and mine life until 20541 Potential underground project starting in 2030 provides strong risk-adjusted return on capital1 at an NPV of $886M and an IRR of 18%2 Lev
Slide 12: Detour Lake – Potential to Expand Underground Mineralization
Detour Lake – Potential to Expand Underground Mineralization Highlight Intercepts: Detour Lake Underground: ➤ 4.0 g/t gold over 22.3m at 413m depth Infill drilling into the high-grade corridor at underground depths in the West Pit zone ➤ 4.4 g/t gold over 30.1m at 550m depth and West Pit Extension c
Slide 13: Abitibi Quebec – Surfacing New Potential in Prolific Camp
Abitibi Quebec – Surfacing New Potential in Prolific Camp 2024 Guidance1 Mineral Reserve Base3 Gold production – 1,055 koz P&P: 11.8 Moz Total cash costs2 – $927/oz M&I: 6.4 Moz Inferred: 12.6 Moz Over 50 years operating in the region – Strong technical expertise and an established network with em
Slide 14: Canadian Malartic Complex – One of the Top Largest Gold Mines Globally
Canadian Malartic Complex – One of the Top 10 Largest Gold Mines Globally Second largest producing gold mine in Canada with 7.9M oz of mineral reserves1 Canadian Malartic open pit mine life until 2029 Odyssey underground mine life until 2042 2024E: gold production 630k oz; total cash costs $
Slide 15: Fill the Mill – Expansion of East Gouldie Deposit to the East and West
Fill the Mill – Expansion of East Gouldie Deposit to the East and West Odyssey 1 shaft East Gouldie deposit at the Odyssey mine: Highlight Intercepts: Recent exploration drilling continues to return good results in the eastern and western ➤ 4.5 g/t gold over 6.5m at 1,571m depth and 800m east of c
Slide 16: Fill the Mill – Satellite Potential within the Malartic Camp
Fill the Mill – Satellite Potential within the Malartic Camp Plan View of the Canadian Malartic Property Gold Forum Americas – September Gold Forum Europe2024 2023 16
Slide 17: Fill the Mill – Satellite Potential within the Malartic Camp
Fill the Mill – Satellite Potential within the Malartic Camp Composite Longitudinal Section of the Canadian Malartic Property Satellite potential within the Canadian Malartic property ~15 Moz historical production and ~16 Moz discovered since 2014 Expanding exploration efforts along the 16.5km
Slide 18: Fill the Mill – Regional Potential
Fill the Mill – Regional Potential Agnico Land Package within the Abitibi Region Regional potential: Wasamac project – M&I mineral resources 2.2 Moz at 2.4g/t; potential to haul ore to Canadian Malartic Regional exploration along Abitibi land package Toll Milling: Opportunity to be process
Slide 19: Nunavut – Capitalizing on Our Nunavut Expertise
Nunavut – Capitalizing on Our Nunavut Expertise 2024 Guidance1 Mineral Reserve Base3 Gold production – 860 koz P&P: 8.7 Moz Total cash costs2 – $999/oz M&I: 4.5 Moz Inferred: 5.0 Moz 3 Agnico represents ~25% of total GDP, with mining activities ~47% of total GDP 2 Over 17 years of exploration an
Slide 20: Hope Bay – Continued Exploration Success at Madrid
Hope Bay – Continued Exploration Success at Madrid Highlight Intercepts: Madrid deposit in the Patch 7 zone at Hope Bay Exploration drilling continued to return excellent results, further confirming ➤ 17.0 g/t gold over 25.8m at 419m depth the larger thicknesses and higher gold grades in this area c
Slide 21: High-Quality Business Positioned to Generate Strong Returns
High-Quality Business Positioned to Generate Strong Returns Low-Risk Mining Highest Quality Senior Uniquely Positioned Strong Financial Returns Jurisdictions Gold Producer High-quality project pipeline in Emphasis on per share value Multi-mine, multi-decade High ESG standards with multi- core operat
Slide 22: Financial and Operations Update
FINANCIAL AND OPERATIONS UPDATE
Slide 23: Q2 2024 Operational Highlights
Q2 2024 Operational Highlights Strong Operational Performance through H1 2024 Q2 2024 Q2 2024 YTD Gold Production Total Cash Operating Gold Production Total Cash Operating Production Costs Costs1 Margin1 Production Costs Costs1 Margin1 (koz) ($/oz) ($/oz) ($ millions) (koz) ($/oz) ($/oz) ($ millions
Slide 24: Q2 2024 Financial Highlights
Q2 2024 Financial Highlights Third Consecutive Quarter of Record Free Cash Flow Q2 2024 Q2 2023 Q2 2024 Q2 2023 Per Share Results YTD YTD $2.50 Realized Gold Price1 ($/oz) $ 2,342 $ 1,975 $ 2,202 $ 1,935 $2.00 Gold Sales (koz) 874 859 1,753 1,646 $1.50 $1.07 (in millions) $1.00 $0.76 $0.44 $0.57 Rev
Slide 25: ESG
ESG
Slide 26: Global Approach, Regional Focus
Global Approach, Regional Focus 2023 Sustainability Report Highlights: Record safety performance – 34% improvement year-over-year Addressing climate change and working towards net-zero by 2050 – Decarbonization approach defined, focusing on energy efficiency, technology transition and increased
Slide 27: Continued Focus on ESG and Optimization Initiatives
Continued Focus on ESG and Optimization Initiatives Innovation and Environment People & Safety Communities Electrification LTE-4G & LTE-5 networks Filtered tailings deposition Towards zero accidents Community relations and Mine rescue satisfaction Automated mucking In-pit tailings disp
Slide 28: Making a Positive Impact on the Environment and Society
Making a Positive Impact on the Environment and Society Strengthening Community Resilience and Emergency Community Investment Response Highlights Meliadine mine and the Rankin Inlet Fire Department forge a mutual aid partnership Fosterville’s Bushfire Readiness Grants programs supports local Fir
Slide 29: A History of Transparency and Leadership in ESG
A History of Transparency and Leadership in ESG 2009-2011 2015-2016 2019-2020 2023 Began reporting in accordance with SASB standards Provide additional nature and First Sustainability Report published Developed Indigenous biodiversity related disclosures Peoples Engagement Early adopters of the Res
Slide 30: ESG: A Core Building Block of Agnico Eagle's Strategy
ESG: A Core Building Block of Agnico Eagle’s Strategy Deliver on our Vision to Build a Growing, High-Quality, Low Risk, Sustainable Business Recognized for our leading industry practices in ESG by independent research agencies Rating Agency Ranking Scale 2024/2023 2022 2021 MSCI Rating Leader (AAA,
Slide 31: Mineral Reserves and Mineral Resources
Mineral Reserves and Mineral Resources
Slide 32: Upper Beaver – June 30, 2024 Gold Mineral Reserves and Mineral Resources
Upper Beaver – June 30, 2024 Gold Mineral Reserves and Mineral Resources1 Mineral Mineral Resources Reserves Proven & As at June 30, 2024 Indicated Inferred Probable Mining 000 000 oz 000 t 000 000 oz 000 t Mineralized Zone 000 oz Au g/t Cu % g/t Cu % Method2 Tonnes Au Cu Tonnes Au Cu Upper Beaver O
Slide 33: Detour Lake – March 31, 2024 Gold Mineral Reserves and Mineral Resources
Detour Lake – March 31, 2024 Gold Mineral Reserves and Mineral Resources1 Mineral Reserves as at March 31, 2024 Mineralized Zone Proven Probable Proven & Probable Mining 000 000 oz 000 000 oz 000 000 oz Recovery Gold g/t g/t g/t Method2 Tonnes Au Tonnes Au Tonnes Au %3 Detour Lake (above 0.5 g/t) O/
Slide 34: Detour Lake – Notes to Investors Regarding the Use of Mineral Resources
Detour Lake – Notes to Investors Regarding the Use of Mineral Resources Mineral reserves were estimated using a gold price of US$1,400/oz and a CAD/USD exchange rate of 1.30. The mineral reserves for Detour Lake are based on a high cut-off grade of 0.50 g/t gold and a low cut-off grade of 0.30 g/t g
Slide 35: 2023 Mineral Reserves and Mineral Resources
2023 Mineral Reserves and Mineral Resources* Mineral Reserves as at December 31, 2023 Operation / Project Proven Probable Proven & Probable Metallurgical Gold Mining Method AEM Share 000 Tonnes g/t 000 Oz Au 000 Tonnes g/t 000 Oz Au 000 Tonnes g/t 000 Oz Au Recovery (%) LaRonde mine1 U/G 100% 2,342
Slide 36: 2023 Mineral Reserves and Mineral Resources
2023 Mineral Reserves and Mineral Resources Mineral Reserves as at December 31, 2023 Operation / Project Proven Probable Proven & Probable Silver Mining Method* AEM Share 000 Tonnes g/t 000 Oz Ag 000 Tonnes g/t 000 Oz Ag 000 Tonnes g/t 000 Oz Ag Metallurgical Recovery (%) LaRonde U/G 100% 2,342 14.3
Slide 37: 2023 Mineral Reserves and Mineral Resources
2023 Mineral Reserves and Mineral Resources Mineral Resources as at December 31, 2023 Operation / Project Measured Indicated Measured & Indicated Inferred Gold Mining Method AEM 000 g/t 000 Oz Au 000 g/t 000 000 g/t 000 000 g/t 000 Share Tonnes Tonnes Oz Au Tonnes Oz Au Tonnes Oz Au LaRonde U/G 100%
Slide 38: 2023 Mineral Reserves and Mineral Resources
2023 Mineral Reserves and Mineral Resources Mineral Resources as at December 31, 2023 Operation / Project Measured Indicated Measured & Indicated Inferred Gold Mining Method* AEM Share 000 Tonnes g/t 000 Oz Au 000 Tonnes g/t 000 Oz Au 000 Tonnes g/t 000 Oz Au 000 Tonnes g/t 000 Oz Au Pinos Altos O/P
Slide 39: Notes to Investors Regarding the Use of Mineral Resources
Notes to Investors Regarding the Use of Mineral Resources The mineral reserve and mineral resource estimates contained in this presentation have been prepared in accordance with the Canadian securities administrators' (the "CSA") National Instrument 43-101 – Standards of Disclosure for Mineral Proje
Slide 40: Notes to Investors Regarding the Use of Mineral Resources (continued)
Notes to Investors Regarding the Use of Mineral Resources (continued) NI 43-101 requires mining companies to disclose mineral reserves and mineral resources using the subcategories of "proven mineral reserves", "probable mineral reserves", "measured mineral resources", "indicated mineral resources"
Slide 41: Notes to Investors Regarding Certain Measures of Performance
Notes to Investors Regarding Certain Measures of Performance This presentation discloses certain financial performance measures and ratios, including "total cash costs per ounce", "all-in sustaining costs per ounce", "adjusted net income", "EBITDA" which means earnings before interest, taxes, deprec
Slide 42: agnicoeagle.com
Trading Symbol: AEM on TSX & NYSE Investor Relations: 416-947-1212 info@agnicoeagle.com agnicoeagle.com