AGNICO EAGLE MINES, LTD MEXICO. Chihuahua, Chih. Sept 13 rd, 2012.

Transcription

1 AGNICO EAGLE MINES, LTD MEXICO Chihuahua, Chih. Sept 13 rd, 2012.

2 Forward Looking Statements The information in this document has been prepared as at September 18, 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. 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 mine life; estimates of future internal rates of return, mining costs, cash costs, minesite costs and other expenses; estimates of future capital expenditures and other cash needs, and expectations as to the funding thereof; statements and information as to the projected development of certain ore deposits, including estimates of exploration, development and production and other capital costs, and estimates of the timing of such exploration, development and production or decisions with respect to such exploration, development and production; estimates of reserves and resources, and statements and information regarding anticipated future exploration; the anticipated timing of events with respect to the Company's mine sites and statements and information regarding the sufficiency of the Company's cash resources. Such statements and information 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. 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 Annual Report on Form 20-F for the year ended December 31, 2011, as well as the Company's other filings with the Canadian Securities Administrators and the U.S. Securities and Exchange Commission. The Company does not intend, and does not assume any obligation, to update these forward-looking statements and information. Marc Legault, a Qualified Person and the Company s Senior Vice-President, Project Evaluations, reviewed the technical information disclosed herein. For a detailed breakdown of the Company s reserve and resource position see the February 15, 2012 press release on the Company s website. That press release also lists the Qualified Persons for each project. For a detailed breakdown of the La India reserve and resource position see the September 4, 2012 press release on the Company s website.

3 Q2 UPDATE SHAFT PROJECT LA INDIA PROJECT GROWTH OPPORTUNITIES

4 Mexico Au Production ( 000 Oz) Q2, no lost time accidents. The total combined frequency index for Q was 1.62 and YTD was 1.20 Total Q2 payable Au ounces production 63,355 Au oz; YTD was 120,370 Au oz. Cash costs $358 Q2 and $322 YTD Exploration results at Creston Mascota shows an increase of approximately 190k oz in probable reserves, add approx 3 yrs to mine life Actual Q1 Actual Q2 Actual Annual Guidance

5 Mexico Oz Production by Quarter Payable Au Oz 70,000 63,355 60,000 50,000 40,000 30,000 26,229 29,665 35,247 39,954 48,000 51,067 52,740 52,574 57,014 20,000 10, , , , , , ,000-13,932 2,978 Q Q Q Q Q Q Q Q Q Q Q Q Au Oz / Qtr Payable Ag Oz 535, , , , , , , , , , ,308 15,343 Q Q Q Q Q Q Q Q Q Q Q Q Ag Oz / Qtr 5

6 Underground Mine 3,265 tpd ore production average during Q2 vs. 3,000 tpd design Total UG unit cost was $28.67 per tonne. Meters of lateral development YTD was 3,710 vs. 3,695 budget and unit cost $2,480 USD/m tonnes (000) - Ore Production & Cost per tonne performance Q Q Q Q Q Q Q Tonnes Quarter USD$/tonne YTD USD$/tonne USD$/tonne 6

7 Open Pit Mine (SN+OW+Mascota) Total Open pit ore production for Q2 was 844,851 tonnes averaging 1.86 g/t Au. Total Open pit unit cost was $1.34 per tonne. The indicators YTD at the end of June were as follows: Performance indicators Current Quarter YTD Realized Waste production (t) (000 ) 4,911 10,395 Ore production (t) (000 ) 844 1,573 Total Material (t) (000 ) 5,756 11,968 Total blasting (t) (000 ) 5,906 12,783 Total drilling (m) 6,100 13,097 7

8 Pinos Altos Process The mill Avg. availability for Q2 was 93.07% Productivity for Q2 was 5,035 TPD Cost per tonne was US$18.09/tonne YTD. Q2 Mill Au-Oz Production of 40,421 & 79,225 Au-Oz YTD. Q2 Heap Leach Au-Oz Production of 4,887 & 9,373 Au-Oz YTD. 2,000 1,800 1,600 1,400 1,200 1, tonnes Mill Ore Production ( 000 tpqrtr) Q Q Actual 8

9 Mascota Process Q2 ore production in Mascota Pit was 477,013. Q2 Total Heap Leach Au-Oz produced 18,048 Oz and 31,172 Au-Oz YTD. Ore Placed (000 tonnes) Au Ounces Production (Oz) , ,000 16, ,000 12, , ,000 6, ,000 2,000 - Q Q Q Q Q Q Q Q Q Q Q Q tonnes placed Actual

10 AGNICO-EAGLE MINES LIMITED MEXICO SEP 2012 AEM SHAFT I

11 Shaft Highlights Budget investment of US$106 million Approved in Q from BOD. Shaft project under construction actually for an increase UG production from 3,000 tpd to 4,500 tpd, lower cash costs, reduced capex LOM, and higher NAV (shorter mine life). Incremental IRR 23%

12 AGNICO-EAGLE MINES LIMITED MEXICO SEP 2012 LA INDIA AERIAL VIEW

13 AGNICO EAGLE MINES, LTD LA INDIA PROJECT Sonora, Mex. Sept 13 rd, 2012.

14 Location La India Location: Municipality of Sahuaripa at Sonora State, Mexico. 210 km at E-SE from Hermosillo. The La India property is located in the prolific Mulatos Gold Belt, in the Sierra Madre Occidental gold and silver belt PA and Mascota are located 70 Kms to the southeast of LI

15 La India & Tarachi Property: 55,000 has aproximately. Probable reserves: 0.93 million ounces gold (44.6 million tonnes at 0.65 g/t) Indicated gold resources: La India : 0.4 million ounces gold (27.2 million tonnes at 0.5 g/t) Inferred gold resource: La India : 1.1 million ounces gold (103.4 million tonnes at 0.3 g/t)

16 Preliminary Production & Cost Estimates La India 120,000 Au Oz ( 000) vs. USD$/Oz 800 Au Oz 100,000 80,000 60,000 40,000 20, USD$/Oz - PP Au Oz ( 000) La India USD$/ Oz $157.6 million capital expenditure for construction Production of 44.6 Million ore 0.65 gr/ton. Mine operations : 16,000 tpd, Open pit heap leach mine Stripping ratio of 1:1 Metallurgical recoveries : estimate an average of 80% Estimated LOM: 8 9 years

17 Geology and Drilling Drilling campaign 2012: 13,800 m DDH s & 7,500 m RC. Numerous epithermal gold occurrences are exposed in old abandoned mines or works in the area of India. Massive silica bodies are the most common The host rocks include hydrothermal breccias, andesitic, dacitic porphyries and volcaniclastic strata, both high angle and low angle structural stratigraphic which control the mineralization. Additional budget for infill conversion: 5,000 m DDH.

18 General Arrangement

19 Current Status On September 4, 2012 the development and construction of the La India Mine in Sonora Mexico was approved. Site preparation work was initiated in the third quarter of Construction of the project will begin immediately. Regional exploration in progress. Environmental permits MIA and CUS authorized to start construction and operations. Approval of Municipalities of Arivechi and Sahuaripa for project development. Explosives permit request in evaluation by SEDENA (explosives management entity). CONSTRUCTION IN PROGRESS

20 Site Preparation A first phase of preparation activities that includes magazines, construction camp, heap leach and pond areas is in progress.

21 AGNICO EAGLE MINES, LTD LA INDIA PROJECT Sonora, Mex. Sept 13 rd, 2012.

22 AGNICO-EAGLE MINES LIMITED MEXICO SEP 2012 CONCESSIONS

23 AEM Mining Concessions in Mexico PA & LA 54,981 Has 58,339 Has MASCOTA PINOS ALTOS

24 Pinos Altos & Mascota operations & satellite projects

25 La India and Tarachi Projects

26 Resources for Growth Opportunities Indicated Tonnes Au Ag Au Ag (T) (g/t) (g/t) (Oz.) (Oz.) Cubiro UG 2,003, ,000 1,076,000 Bravo PIT Sinter PIT 3,661, ,000 2,046,000 Reina de Plata Tarachi* 21,456, ,000 - Total Indicated 27,120, ,000 3,122,000 Inferred Tonnes Au Ag Au Ag (T) (g/t) (g/t) (Oz.) (Oz.) Cubiro UG 1,237, , ,000 Bravo PIT 5,009, ,000 1,715,000 Sinter PIT 537, , ,000 Reina de Plata 8,722, ,000 6,813,000 Tarachi* 12,395, ,000 - Total Inferred 27,900, ,000 9,420,000 Resources as of December 31,2011 (*) Oxides The assumptions used for the mineral resources estimates reported by the Company on February 15, 2012 were based on three-year average prices for the period ending December 31, 2011 of $1,255 per ounce gold, $23.00 per ounce silver and a MXP/US$ exchange rate of The Qualified Person responsible for the mineral resource estimate at the Pinos Altos property (Cubiro, Bravo, Sinter and Reina de Plata) is Dyane Duquette, P.Geo., Superintendent of geology, Technical Services Group. The Qualified Person responsible for the resource estimate at Tarachi is Gary Giroux, P.Eng., independent consultant.

27 AGNICO EAGLE MINES, LTD MEXICO Chihuahua, Chih. Sept 13 rd, 2012.