NUNAVUT – Toronto-based AGNICO-EAGLE MINES has announced a 20% increase in gold resources at its Meadowbank project, 70 km north of Baker Lake. The deposit is estimated to contain 3.5 million oz of gold in reserves, and the mine life will be expanded by one year, to nine years.
Construction is underway for startup in early 2010. An all-season, 110-km road to the mine site is nearing completion. The permanent camp and fuel tank farm at Baker Lake are ready to go. Work has begun on the mill foundations. Agnico-Eagle says it has invested $110 million at Meadowbank, and is committed to a further $280 million.
The Meadowbank mine is expected to produce an average of 360,000 oz of gold per year over its life. Total cash costs are expected to average $300/oz. Go to www.Agnico-Eagle.com for more information and a photo gallery of the project.