Canadian Mining Journal

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GOLD: Agnico ups Q1 revenue to $578.5M



Testing drill core at the Amaruq gold project 55 km north of the Meadowbank mine. (Image: Agnico Eagle Mines)

TORONTO – Agnico Eagle Mines has reported Q1 2018 revenues from mining of $578.4 million (all figures U.S. dollars), up roughly 5% from $547.5 million during the same period a year earlier. The company was left with a net income of $44.9 million, or $0.19 per share. A quarterly dividend of $0.11 per share was declared.

Agnico had payable gold production of 389,278 oz. at all-in sustaining cost of $889 per oz.  Full year 2018 guidance remains unchanged at 1.53 million oz. at AISC of between $890 and $940 per oz.

During the first quarter, the company acquired Yamana Gold’s exploration assets of Canadian Malartic. The assets include the Kirkland Lake and Hammond Reef projects. Infill drilling at the East Malartic property in Quebec continues to yield favourable results such as 2.5 g/t gold over 37.7 metres, including 3.6 g/t over 10.6 metres. Potential mining scenarios are being examined for both East Malartic and the adjacent Odyssey project. In Nunavut, Agnico expects to receive approval for the Amaruq project in Q2 2018, and the Meliadine construction is progressing.

“Our operations continued to deliver strong cash flow in the first quarter with unit production costs on the lower end of full year guidance and gold production tracking slightly above full year guidance,” said CEO Sean Boyd. “We remain focused on optimizing unit costs and increasing production as we transition through 2018 and begin to see the positive results of our growth phase in 2019.”

A detailed look at the first quarter results are available at www.AgnicoEagle.com.