NUNAVUT – Agnico-Eagle Mines of Toronto has filed a 43-101 report confirming new reserves and resources at its Meadowbank gold mine near Baker Lake. The report was based on data collected through Dec. 3, 2011.
The Meadowbank mine has proven and probable open pit reserves totalling 24.5 million tonnes averaging 2.79 g/t Au or 2.2 million contained oz of gold. The open pit indicated resource is 14.9 million tonnes grading 1.99 g/t Au, and the underground indicated resource is 2.3 million tonnes at 4.85 g/t Au. The property also has a combined pit and underground inferred resource of 3.75 million tonnes at 3.81 g/t Au.
Agnico was forced to lower the value of the Meadowbank mine to US$762.0 million at the end of last year. Consequently, a new mining plan with a shorter project life was implemented. The company expects returns from the mine to be similar to what they were with the previous plan, but risk is alleviated because 73.0 million fewer tonnes will be mined.
The Meadowbank mine produced 270,801 oz of gold in 2011, and it is expected to recover 280,000 to 310,000 oz in 2012. Additional information is available at Agnico-Eagle.com.