AGNICO EAGLE REPORTS FOURTH QUARTER AND FULL YEAR 2023 RESULTS - RECORD QUARTERLY AND ANNUAL GOLD PRODUCTION AND FREE CASH FLOW; RECORD MINERAL RESERVES INCREASED 10.5%; UPDATED THREE-YEAR GUIDANCE
- Record gold production in Q4 2023 at 903,208 ounces with production costs per ounce of $861 and AISC per ounce of $1,227.
- Quarterly net loss of $381.0 million or $0.77 per share, adjusted net income of $282.3 million or $0.57 per share.
- Annual gold production in 2023 at 3,439,654 ounces with production costs per ounce of $853 and AISC per ounce of $1,179.
- Year-end 2023 gold mineral reserves increased by 10.5% to 53.8 million ounces, driven by East Gouldie and Canadian Malartic acquisitions.
- Stable three-year production outlook with forecasted gold production of 3.35 to 3.55 million ounces in 2024 and 3.40 to 3.60 million ounces in 2025.
- Total cash costs per ounce and AISC per ounce in 2024 forecasted to be $875 to $925 and $1,200 to $1,250, reflecting a slight increase from 2023.
- Capital expenditures expected to be approximately $1.65 billion in 2024, mainly due to Canadian Malartic ownership and inflation.
- Strategic optimization initiatives in the Abitibi region and progress at Odyssey mine and Detour Lake reported.
- Amaruq mine life extended to 2028, adding 500,000 ounces of gold, and positive exploration results at Hope Bay.
- Conference call scheduled for February 16, 2024, to discuss Q4 and full year 2023 results.
- Quarterly dividend of $0.40 per share declared.
- Quarterly net loss of $381.0 million due to impairment charges related to Macassa and Pinos Altos mines.
- Higher production costs and total cash costs per ounce in 2024 due to inflationary pressures and increased operating costs.
- Expected cost increases in 2024 mostly related to labor, spare parts, and maintenance.
- Capital expenditures in 2024 expected to increase relative to Previous Guidance, impacting cash flow.
- Potential cost implications from ongoing optimization initiatives and exploration activities.
Insights
The reported financials by Agnico Eagle Mines Limited indicate a significant year-over-year increase in gold production, which is a strong performance metric for mining companies. The fact that they have achieved the upper end of their production guidance and managed costs effectively, despite inflationary pressures, suggests operational efficiency and effective cost management strategies. This could be viewed positively by investors as it demonstrates resilience in a challenging economic environment. The impairment charges on the Macassa and Pinos Altos mines, however, resulted in a net loss for the quarter, which could raise concerns about asset valuation and the company's approach to managing its portfolio of mining assets.
Implications for stakeholders include the potential for increased investor confidence due to the company's operational performance and its ability to generate free cash flow. However, the impairment charges may lead to scrutiny regarding the company's future profitability and asset quality. In the long term, the company's stable production outlook and increased mineral reserves could bode well for sustained growth and may provide a buffer against market volatility.
It is important to note that non-GAAP measures such as AISC and total cash costs per ounce are commonly used in the mining industry to provide a more comprehensive view of the operational efficiency and profitability of mining operations. However, these metrics should be analyzed in conjunction with GAAP measures for a complete financial assessment.
The guidance provided by Agnico Eagle Mines for future production and costs reflects a relatively stable outlook with a modest expected increase in costs, which could be attributed to the easing rate of inflation. From a market perspective, stability in production forecasts and controlled cost increases are indicators of a company's ability to manage external pressures, such as inflation, which is a positive signal to the market.
Capital expenditure forecasts are also a critical factor for investors as they indicate the company's investment in growth and maintenance. The increase in capital expenditures for 2024, primarily due to the full ownership of Canadian Malartic and inflation, suggests a strategic investment to enhance future production capabilities. However, this also implies a higher cash outflow, which could impact short-term liquidity but may be offset by the company's strong free cash flow generation.
The declaration of initial mineral reserves at East Gouldie and the positive exploration results at Hope Bay could be of particular interest to investors focused on long-term growth and resource expansion. These developments could lead to future production increases and potentially lower unit costs through economies of scale.
Agnico Eagle's reported record safety performance and increased mineral reserves are significant indicators of the company's commitment to sustainable operations and its potential for long-term resource development. The safety record is particularly relevant as it reflects the company's operational excellence and risk management, which are critical in the mining sector.
The declaration of commercial production at Canadian Malartic's Odyssey South deposit and the throughput increase at Detour Lake demonstrate the company's ability to execute on its operational plans and optimize its assets. These achievements, along with the strategic optimization initiatives in the Abitibi region, highlight the company's proactive approach to enhancing its production base and reducing costs.
For stakeholders, the strategic developments and exploration successes provide a clear roadmap for the company's future growth prospects. However, the impairment charges raise questions about the company's valuation of its assets and whether there may be further adjustments in the future. It will be important to monitor the company's ongoing exploration and development activities, as these will be crucial in maintaining its production profile and managing costs amid the dynamic economic environment of the mining sector.
(All amounts expressed in
Stock Symbol: AEM (NYSE and TSX)
"We had a very strong close to 2023, with our fourth quarter results driving a record year in terms of safety, operating and financial performance. We achieved the top end of our gold production guidance range and the mid-point of our cost guidance ranges despite inflationary pressures throughout the year," said Ammar Al-Joundi, Agnico Eagle's President and Chief Executive Officer. "We are extremely pleased with the results that our teams have accomplished with their hard work this year and we have much to look forward to. We are reporting record mineral reserves and a stable production profile at industry leading costs, anchored by the two largest gold operations in
Fourth quarter and full year 2023 highlights:
- Record quarterly gold production – Payable gold production1 in the fourth quarter of 2023 was 903,208 ounces at production costs per ounce of
$861 $888 $1,227 Fosterville mine - Record quarterly cash provided by operating activities and free cash flow – The Company reported a quarterly net loss of
$381.0 million $0.77 $282.3 million $0.57 $667 million $1.35 Pinos Altos mines. Cash provided by operating activities was$1.47 $1.57 $0.61 $0.71 - Record annual safety performance, annual gold production and free cash flow driven by solid operational performance – Payable gold production in 2023 was 3,439,654 ounces at production costs per ounce of
$853 $865 $1,179 $947.4 million $1,093.8 million - Record gold mineral reserves driven by declaration of initial mineral reserves at East Gouldie – Year-end 2023 gold mineral reserves increased by
10.5% to 53.8 million ounces of gold (1,287 million tonnes grading 1.30 grams per tonne ("g/t") gold). The year-over-year increase in mineral reserves is largely due to the declaration of initial mineral reserves at East Gouldie, the acquisition of the remaining50% interest in the Canadian Malartic complex and net mineral reserve additions at Macassa. At year-end 2023, measured and indicated mineral resources were 44.0 million ounces (1,189 million tonnes grading 1.15 g/t gold) and inferred mineral resources were 33.1 million ounces (411 million tonnes grading 2.50 g/t gold), including initial underground inferred mineral resources at Detour Lake. For further details, see the Company's exploration news release dated February 15, 2024 - Stable three-year production outlook – Payable gold production is forecast to be approximately 3.35 to 3.55 million ounces in 2024 and approximately 3.40 to 3.60 million ounces in 2025 (unchanged from prior three-year guidance issued on February 16, 2023 ("Previous Guidance")). Payable gold production is forecast to remain stable in 2026 at an expected range of approximately 3.40 to 3.60 million ounces
- Unit costs reflect easing rate of inflation – Total cash costs per ounce and AISC per ounce in 2024 are forecast to be
$875 $925 $1,200 $1,250 4% increase when compared to the full year 2023 total cash costs per ounce of$865 $1,179 - Capital expenditures forecast to be approximately
$1.65 billion $1.40 100% ownership of Canadian Malartic for the full year, inflation and additional capital expenditures at Detour Lake - Strategic optimization initiatives improve Canadian production base, with further clarity on the medium term potential to be provided through 2024 – Key developments in 2023 included the declaration of commercial production at Canadian Malartic's Odyssey South deposit, a
12% increase in mill throughput at Detour Lake year-over-year and development of the Near Surface ("NSUR") and Amalgamated Kirkland ("AK") deposits at Macassa. The Company expects to provide updates on additional opportunities that are being evaluated in the Abitibi region in the first half of 2024- Odyssey mine at the Canadian Malartic complex – The planned mining rate of 3,500 tonnes per day ("tpd") at Odyssey South was reached earlier than anticipated and sustained through the fourth quarter of 2023. Ramp development has also exceeded target, reaching a depth of 715 metres as at December 31, 2023. The Company is evaluating the potential to accelerate initial production from East Gouldie to 2026 from 2027. Surface construction is progressing as planned, with approximately
65% completed at year-end, and shaft sinking activities continued to ramp up through the quarter. Infill and expansion drilling in 2023 resulted in the declaration of an initial mineral reserve in the central portion of the East Gouldie deposit of 5.17 million ounces of gold (47.0 million tonnes grading 3.42 g/t gold) and the extension of the East Gouldie mineral resource laterally by 870 metres - Detour Lake – The mill delivered a strong performance in the fourth quarter of 2023, operating at a throughput rate of 71,826 tpd (equivalent to an annualized rate of approximately 26.2 million tonnes per annum ("Mtpa"). With sustained improvements year-over-year, the Company now expects the mill to reach a throughput rate of approximately 76,700 tpd (equivalent to an annualized rate of approximately 28 Mtpa) late in the second half of 2024, previously expected in 2025. At year-end 2023, the Company reported an initial underground inferred mineral resource below and to the west of the existing pit, totaling 1.56 million ounces of gold (21.8 million tonnes grading 2.23 g/t gold) and continues to evaluate the potential for underground mining. Exploration in 2024 is expected to continue to test the west plunge extension of the main deposit. An exploration ramp is also being considered to facilitate drilling that would increase confidence in the continuity of the inferred mineral resource and, potentially, to collect a bulk sample. The Company expects to provide an update on mill optimization efforts, the Detour underground project and ongoing exploration results in the first half of 2024
- Abitibi region of
Quebec andOntario – Macassa's NSUR and AK deposits have now been incorporated in the Company's production guidance. At Upper Beaver, the Company is conducting a trade-off analysis comparing transporting and processing ore at the LaRonde mill to a standalone central mill for Upper Beaver and satellite deposits. An exploration ramp and shaft are being considered at Upper Beaver in order to upgrade and further explore the deeper portions of the deposit. At Wasamac, the Company is assessing hauling alternatives and the optimal mining rate for transporting and processing ore at the Canadian Malartic mill. The Company expects to complete internal technical evaluations for Upper Beaver and Wasamac in the first half of 2024 - Amaruq mine at the Meadowbank complex – The Company extended Amaruq's mine life to 2028 (previous mine life was to 2026), adding approximately 500,000 ounces of gold to the expected mining profile, as a result of continuous improvement and cost optimization efforts, positive infill drilling and positive reconciliation to the geological model
- Hope Bay – At the
Madrid deposit, the target area in the gap between the Suluk and Patch 7 zones delivered strong drill results in the quarter, including 16.3 g/t gold over 28.6 metres at 385 metres depth and 12.7 g/t gold over 4.6 metres at 677 metres depth. Results confirm the potential to expand gold mineralization in theMadrid deposit at depth and along strike to the south. Based on recent exploration success, the Company is evaluating a larger potential production scenario for Hope Bay. The Company expects to report results from this internal technical evaluation in 2025
- Odyssey mine at the Canadian Malartic complex – The planned mining rate of 3,500 tonnes per day ("tpd") at Odyssey South was reached earlier than anticipated and sustained through the fourth quarter of 2023. Ramp development has also exceeded target, reaching a depth of 715 metres as at December 31, 2023. The Company is evaluating the potential to accelerate initial production from East Gouldie to 2026 from 2027. Surface construction is progressing as planned, with approximately
- A quarterly dividend of
$0.40
___________________________ |
1 Payable production of a mineral means the quantity of a mineral produced during a period contained in products that have been or will be sold by the Company whether such products are shipped during the period or held as inventory at the end of the period. |
2 Total cash costs per ounce is a non-GAAP ratio that is not a standardized financial measure under IFRS and in this news release, unless otherwise specified, is reported on (i) a per ounce of gold produced basis, and (ii) a by-product basis. For a description of the composition and usefulness of this non-GAAP measure and a reconciliation of total cash costs to production costs on both a by-product and a co-product basis, see "Reconciliation of Non-GAAP Financial Performance Measures" and "Note Regarding Certain Measures of Performance", respectively, below. |
3 AISC per ounce is a non-GAAP ratio that is not a standardized financial measure under the IFRS and in this news release, unless otherwise specified, is reported on (i) a per ounce of gold produced basis, and (ii) a by-product basis. For a description of the composition and usefulness of this non-GAAP measure and a reconciliation to production costs and for all-in sustaining costs on both a by-product and co-product basis, see "Reconciliation of Non-GAAP Financial Performance Measures" and "Note Regarding Certain Measures of Performance", respectively, below. |
4 Adjusted net income and adjusted net income per share are non-GAAP measures or ratios that are not standardized financial measures under IFRS. For a description of the composition and usefulness of these non-GAAP measures and a reconciliation to net income see "Reconciliation of Non-GAAP Financial Performance Measures" and "Note Regarding Certain Measures of Performance", respectively, below. |
5 Cash provided by operating activities before working capital adjustments, free cash flow and free cash flow before changes in non-cash components of working capital are non-GAAP measures or ratios that are not standardized financial measures under IFRS. For a description of the composition and usefulness of these non-GAAP measures and a reconciliation to cash provided by operating activities see "Reconciliation of Non-GAAP Financial Performance Measures" and "Note Regarding Certain Measures of Performance", respectively, below. |
Fourth Quarter and Full Year 2023 Results Conference Call and Webcast Tomorrow
Agnico Eagle's senior management will host a conference call on Friday, February 16, 2024 at 11:00 AM (E.S.T.) to discuss the Company's fourth quarter and full year 2023 financial and operating results.
Via Webcast:
A live audio webcast of the conference call will be available on the Company's website www.agnicoeagle.com.
Via URL Entry:
To join the conference call without operator assistance, you may register and enter your phone number at https://emportal.ink/3vf5XBm to receive an instant automated call back.
You can also dial direct to be entered to the call by an Operator (see "Via Telephone" details below).
Via Telephone:
For those preferring to listen by telephone, please dial 416-764-8659 or toll-free 1-888-664-6392. To ensure your participation, please call approximately five minutes prior to the scheduled start of the call.
Replay Archive:
Please dial 416-764-8677 or toll-free 1-888-390-0541, access code 178426#. The conference call replay will expire on March 16, 2024.
The webcast, along with presentation slides, will be archived for 180 days on the Company's website.
Fourth Quarter 2023 Production and Cost Results
Production and Cost Results Summary* | ||||||
Three Months Ended | Year Ended | |||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022 | |||
Gold production (ounces) | 903,208 | 799,438 | 3,439,654 | 3,135,007 | ||
Gold sales (ounces) | 874,629 | 788,902 | 3,364,132 | 3,148,593 | ||
Production costs per ounce | $ 861 | $ 834 | $ 853 | $ 843 | ||
Total cash costs per ounce | $ 888 | $ 863 | $ 865 | $ 793 | ||
AISC per ounce | $ 1,227 | $ 1,231 | $ 1,179 | $ 1,109 | ||
* Production and Cost Results Summary reflect: (i) Agnico Eagle's |
Gold Production
- Fourth Quarter of 2023 – Gold production increased when compared to the prior year primarily due to additional production from the acquisition of the remaining
50% of the Canadian Malartic complex following the closing of the transaction with Yamana Gold Inc. (the "Yamana Transaction") and higher production from the Macassa and Kittila mines, partially offset by lower production at theFosterville mine - Full Year 2023 – Gold production increased when compared to the prior year as a result of the additional production from the acquisition of the remaining
50% of the Canadian Malartic complex, a full year of contribution in 2023 from the Detour Lake, Macassa andFosterville mines (as compared to 326 days during the year-ended 2022 following the closing of the merger (the "Merger") with Kirkland Lake Gold Ltd. on February 8, 2022) and increased production from the Meadowbank complex, partially offset by lower production at theFosterville mine and LaRonde complex
Production Costs per Ounce
- Fourth Quarter of 2023 and Full Year 2023 – Production costs per ounce increased when compared to the prior-year period primarily due to higher production costs at most mine sites resulting from inflation, particularly at the Meliadine mine, where there was also higher consumption of ore stockpiles combined with lower gold production, and at the Canadian Malartic complex, where there were higher open pit mining costs combined with lower gold production
Total Cash Costs per Ounce
- Fourth Quarter of 2023 and Full Year 2023 – Total cash costs per ounce increased when compared to the prior-year period primarily due to higher operating costs at most mine sites resulting from inflation and higher royalties arising from higher gold prices and the acquisition of the remaining
50% of the Canadian Malartic complex, partially offset by higher production
AISC per Ounce
- Fourth Quarter of 2023 – AISC per ounce decreased when compared to the prior-year period due to higher production during the period and lower sustaining capital expenditures during the period, partially offset by higher total cash costs per ounce
- Full Year 2023 – AISC per ounce increased when compared to the prior year due to the same reasons affecting the higher total cash costs per ounce in the period and higher sustaining capital expenditures, partially offset by higher production during the period
Fourth Quarter 2023 Financial Results
Financial Results Summary | ||||||
Three Months Ended | Year Ended | |||||
Dec 31, 2023 | Dec 31, 2022** | Dec 31, 2023 | Dec 31, 2022** | |||
Realized gold price ($/ounce)6 | $ 1,982 | $ 1,728 | $ 1,946 | $ 1,797 | ||
Net (loss) income ($ millions) | $ (381.0) | $ 194.1 | $ 1,941.3 | $ 670.2 | ||
Adjusted net income ($ millions) | $ 282.3 | $ 174.5 | $ 1,095.9 | $ 1,003.6 | ||
EBITDA ($ millions)7 | $ 102.6 | $ 568.6 | $ 3,980.9 | $ 2,293.0 | ||
Adjusted EBITDA ($ millions)7 | $ 842.5 | $ 580.6 | $ 3,236.5 | $ 2,706.1 | ||
Cash provided by operating activities ($ millions) | $ 727.9 | $ 380.5 | $ 2,601.6 | $ 2,096.6 | ||
Cash provided by operating activities before working capital adjustments ($ millions) | $ 777.5 | $ 485.5 | $ 2,748.0 | $ 2,115.9 | ||
Capital expenditures* | $ 436.7 | $ 457.2 | $ 1,600.9 | $ 1,536.9 | ||
Free cash flow ($ millions) | $ 302.1 | $ (20.3) | $ 947.4 | $ 558.4 | ||
Free cash flow before changes in non-cash components of working capital ($ millions) | $ 351.7 | $ 84.7 | $ 1,093.8 | $ 577.6 | ||
Net (loss) income per share (basic) | $ (0.77) | $ 0.43 | $ 3.97 | $ 1.53 | ||
Adjusted net income per share (basic) | $ 0.57 | $ 0.38 | $ 2.24 | $ 2.29 | ||
Cash provided by operating activities per share (basic) | $ 1.47 | $ 0.84 | $ 5.32 | $ 4.79 | ||
Cash provided by operating activities before working capital adjustments per share (basic) | $ 1.57 | $ 1.07 | $ 5.62 | $ 4.83 | ||
Free cash flow per share (basic) | $ 0.61 | $ (0.04) | $ 1.94 | $ 1.28 | ||
Free cash flow before working capital adjustments per share (basic) | $ 0.71 | $ 0.19 | $ 2.24 | $ 1.32 | ||
*Includes capitalized exploration |
** Certain previously reported line items have been restated to reflect the final purchase price allocation of the Merger. |
Net Income
- Fourth Quarter of 2023
- Net loss was
$381.0 million $0.77 $667.4 million $1.35 $50.7 million $0.10 $26.4 million $0.05 $16.2 million $0.03 $4.0 million $0.01 - Excluding the above items results in adjusted net income of
$282.3 million $0.57 - Included in the fourth quarter of 2023 net loss, and not adjusted above, is a non-cash stock option expense of
$2.4 million $0.01 - Net loss of
$381.0 million $194.1 million 50% of the Canadian Malartic complex, partially offset by stronger mine operating margins8 from higher realized gold prices and higher sales volumes resulting from the acquisition of the remaining50% of the Canadian Malartic complex, and lower exploration and corporate development costs
- Net loss was
- Full Year 2023 – Net income increased compared to the prior year primarily due to a remeasurement gain at the Canadian Malartic complex resulting from the application of purchase accounting relating to a business combination attained in stages, which requires the remeasurement of the Company's previously held
50% interest in the Canadian Malartic complex to fair value, higher realized gold prices and higher sales volumes, partially offset by impairment losses and higher amortization
___________________________
6 Realized gold price is calculated as gold revenues from mining operations divided by the volume of gold ounces sold.
7 "EBITDA" means earnings before interest, taxes, depreciation, and amortization. EBITDA and adjusted EBITDA are non-GAAP measures or ratios that are not standardized financial measures under IFRS. For a description of the composition and usefulness of these non-GAAP measures and a reconciliation to net income see "Reconciliation of Non-GAAP Financial Performance Measures" and "Note Regarding Certain Measures of Performance", respectively, below.
8 Operating margin is a non-GAAP measure that is not a standardized measure under IFRS. For a description of the composition and usefulness of this non-GAAP measure and a reconciliation to net income see "Summary of Operations Key Performance Indicators" and "Note Regarding Certain Measures of Performance", respectively, below.
Impairments
In the fourth quarter of 2023, an impairment loss (net of tax) of
Goodwill relating to the Macassa mine was recognized at the date of the Merger as part of the purchase price allocation. Goodwill is not an amortizable asset under IFRS and as such, once recognized is susceptible to future impairment. Continued work on the mineral resource model has resulted in more ore tonnes but at lower grades which, coupled with inflationary pressures on costs and capital expenditures, resulted in a fair value that was lower than Macassa's carrying value as at December 31, 2023. The Macassa mine has produced over 6 million ounces of gold since 1933, and the Company continues to see geological potential at Macassa as demonstrated by the mineral reserves replacement of
The
Adjusted EBITDA
- Fourth Quarter of 2023 – Adjusted EBITDA increased when compared to the prior-year period primarily due to stronger mine operating margins from higher realized gold prices and higher sales volumes resulting from the acquisition of the remaining
50% of the Canadian Malartic complex and lower exploration and corporate development costs - Full Year 2023 – Adjusted EBITDA increased when compared to the prior year primarily due to the reasons set out above, and as a result of a full year of contribution in 2023 from the Detour Lake, Macassa and
Fosterville mines (as compared to 326 days during the year-ended 2022 following the closing of the Merger)
Cash Provided by Operating Activities
- Fourth Quarter of 2023 – Cash provided by operating activities and cash provided by operating activities before working capital adjustments increased when compared to the prior-year period primarily due to higher revenues from higher sales volumes from the acquisition of the remaining
50% of the Canadian Malartic complex and higher realized gold prices, partially offset by higher production costs - Full Year 2023 – Cash provided by operating activities and cash provided by operating activities before working capital adjustments increased when compared to the prior year primarily due to higher revenues from the acquisition of the remaining
50% of the Canadian Malartic complex, higher sales volumes from a full year of contribution in 2023 from the Detour Lake, Macassa andFosterville mines (as compared to 326 days during the year-ended December 31, 2022 following the closing of the Merger) and from higher realized gold prices
Free Cash Flow Before Changes in Non-Cash Components of Working Capital
- Fourth Quarter of 2023 and Full Year 2023 – Free cash flow before changes in non-cash components of working capital was a record and increased when compared to the prior-year period due to the reasons described above relating to cash provided by operating activities, partially offset by higher additions to property, plant and mine development
Capital Expenditures
The following table sets out a summary of capital expenditures (including sustaining capital expenditures9 and development capital expenditures9) and capitalized exploration in the fourth quarter of 2023 and the full year 2023.
Summary of Capital Expenditures | |||||
(In thousands of | |||||
Capital Expenditures* | Capitalized Exploration | ||||
Three Months | Year Ended | Three Months | Year Ended | ||
Dec 31, 2023 | Dec 31, 2023 | Dec 31, 2023 | Dec 31, 2023 | ||
Sustaining Capital Expenditures | |||||
LaRonde complex | 24,829 | 81,043 | 429 | 2,038 | |
Canadian | 18,809 | 91,028 | — | — | |
Goldex mine | 11,530 | 25,908 | 737 | 1,295 | |
Detour Lake mine | 67,123 | 249,765 | — | — | |
Macassa mine | 15,334 | 43,333 | 554 | 1,696 | |
Meliadine mine | 19,034 | 67,947 | 2,210 | 7,328 | |
Meadowbank complex | 21,297 | 121,653 | — | — | |
Hope Bay project | — | 147 | — | — | |
8,978 | 33,751 | 344 | 895 | ||
Kittila mine | 15,789 | 47,355 | 725 | 2,184 | |
6,612 | 28,449 | 429 | 1,692 | ||
La | — | 100 | (6) | — | |
Total Sustaining Capital Expenditures | 209,335 | $ 790,479 | $ 5,422 | $ 17,128 | |
Development Capital Expenditures | |||||
LaRonde complex | 17,637 | 68,930 | — | — | |
Canadian | 47,607 | 160,513 | 2,902 | 9,447 | |
Goldex mine | 2,808 | 22,032 | 42 | 2,459 | |
Akasaba West project | 7,880 | 34,945 | — | — | |
Detour Lake mine | 59,100 | 140,388 | 7,571 | 32,515 | |
Macassa mine | 21,322 | 75,125 | 4,798 | 26,105 | |
Meliadine mine | 22,571 | 106,953 | 3,419 | 11,927 | |
Meadowbank complex | (277) | 80 | — | — | |
Hope Bay project | 128 | 4,426 | — | — | |
11,873 | 33,575 | 4,718 | 19,218 | ||
Kittila mine | 3,026 | 26,410 | 2,151 | 5,053 | |
213 | 4,196 | (848) | 1,101 | ||
Other | 2,423 | 7,023 | 840 | 840 | |
Total Development Capital Expenditures | $ 196,311 | $ 684,596 | $ 25,593 | $ 108,665 | |
Total Capital Expenditures | $ 405,646 | $ 1,475,075 | $ 31,015 | $ 125,793 | |
* Excludes capitalized exploration |
**The information set out in this table reflects the Company's |
___________________________ |
9 Sustaining capital expenditures and development capital expenditures are non-GAAP measures that are not standardized financial measures under IFRS. For a discussion of the composition and usefulness of these non-GAAP measures and a reconciliation to additions to property, plant and mine development per the consolidated statements of cash flows, see "Reconciliation of Non-GAAP Financial Performance Measures" and "Note Regarding Certain Measures of Performance", respectively, below. |
Investment Grade Balance Sheet Remains Strong
As at December 31, 2023, the Company's long-term debt was
Cash and cash equivalents decreased slightly when compared to the prior quarter primarily due to higher cash used in financing activities related to the repayment of the Company's unsecured revolving bank credit facility.
The following table sets out the calculation of net debt10, which decreased by
Net Debt Summary | |||
(in millions of | |||
As at | As at | ||
Dec 31, 2023 | Sep 30, 2023 | ||
Current portion of long-term debt | $ 100.0 | $ 100.0 | |
Non-current portion of long-term debt | 1,743.1 | 1,842.6 | |
Long-term debt | $ 1,843.1 | $ 1,942.6 | |
Less: cash and cash equivalents | (338.6) | (355.5) | |
Net debt | $ 1,504.5 | $ 1,587.1 | |
In addition to the quarterly dividend, the Company believes that its normal course issuer bid ("NCIB") provides a flexible tool as part the Company's overall capital allocation program and objectives and generates value for shareholders. In the fourth quarter of 2023, no purchases were made under the NCIB. In the full year 2023, the Company repurchased 100,000 common shares for an aggregate of
____________________________
10 Net debt is a non-GAAP measure that is not a standardized financial measure under IFRS. For a description of the composition and usefulness of this non-GAAP measure and a reconciliation to long-term debt, see "Reconciliation of non-GAAP Financial Performance Measures" and "Note Regarding Certain Measures of Performance", respectively, below.
Credit Facility
As at December 31, 2023, available liquidity under the Company's unsecured revolving bank credit facility was approximately
On February 12, 2024, the Company replaced its
Hedges
The Company continues to benefit from a stronger
Including the diesel purchased for the Company's
The Company will continue to monitor market conditions and anticipates continuing to opportunistically add to its operating currency and diesel hedges to strategically support its key input costs. Current hedging positions are not factored into 2024 and future guidance.
Dividend Record and Payment Dates for the First Quarter of 2024
Agnico Eagle's Board of Directors has declared a quarterly cash dividend of
Expected Dividend Record and Payment Dates for the 2024 Fiscal Year
Record Date | Payment Date |
March 1, 2024* | March 15, 2024* |
May 31, 2024 | June 14, 2024 |
August 30, 2024 | September 16, 2024 |
November 29, 2024 | December 16, 2024 |
*Declared |
Dividend Reinvestment Plan
See the following link for information on the Company's dividend reinvestment plan: Dividend Reinvestment Plan
International Dividend Currency Exchange
For information on the Company's international dividend currency exchange program, please contact Computershare Trust Company of
Environment, Social and Governance Highlights
Record quarterly and annual safety performance
- The Company is committed to maintaining consistently high health and safety standards. In 2020, the Company launched the "Towards Zero Accidents initiative" to reduce workplace injuries and reach its goal of zero accidents. This program has helped the Company to improve its safety performance year over year and to register in 2023 its best quarterly and annual safety performance in its 66-year history, with a Global Injury Frequency11 (employees and contractors) at 1.8 and 2.15, respectively. This represents a
35% improvement to the Company's 2022 safety performance
Community Relations, Governance and People
- Reconciliation Action Plan with Indigenous Peoples – The Company expects to publish its first Reconciliation Action Plan and begin implementation in the second half of 2024. This plan aims at responding to, among other things, the United Nations Declaration on the Rights of Indigenous People, builds upon the Company's various Indigenous programs and initiatives, and weaves these activities into a comprehensive strategy. Significant progress was made in 2023 on developing the Reconciliation Action Plan, with more than 200 employees, stakeholders and rights holders being consulted during the year. In addition, employees at the Company's Canadian operations completed over 3,200 hours of cultural awareness training and engaged in over 135 activities aimed at raising awareness of Indigenous Peoples' history and culture
- Employee Engagement – The Company continued to see year-over-year increases in employee satisfaction and solicited their input via the Great Place to Work Survey. The Company believes employee satisfaction and engagement are key drivers of its high employee retention rate across the regions where it operates
- Forbes'
Canada 's Best Employers – Recognized this year on Forbes' list, which is an annual ranking based on employees and other professionals recommending the Company as a desirable employer - Dr. Leanne Baker program – 2023 marked the second year of the Dr. Leanne Baker Scholarship and Development Program to support women working for Agnico Eagle and facilitate their advancement into leadership positions. The first cohort of six women completed the program and the second cohort of eight women completed their first year of the two year program
- Donations
- In the fourth quarter of 2023, the Company committed approximately
C to a multiyear program supporting health and welfare in$5 million Nunavut through initiatives like food security and "on the land" traditional activities - In the fourth quarter of 2023, the Company made a 10-year,
C commitment to the Canadian Cancer Society to improve the lives of people affected by cancer living in rural and remote communities in$3 million Northern Ontario . The commitment will create the 'Canadian Cancer Society Agnico Eagle Cancer Access and Navigation Hub', which provides improved access for Northern Ontario Indigenous populations to receive culturally appropriate and relevant cancer resources and support
- In the fourth quarter of 2023, the Company committed approximately
Towards Sustainable Mining
- The Company's operating sites successfully completed their Towards Sustainable Mining internal audits. Implementation of the Towards Sustainable Mining program is progressing well at Detour Lake, Macassa and
Fosterville
____________________________ |
11 Global Injury Frequency is based on per million hours worked |
Meliadine Extension Permit
- The Company previously submitted an amendment to the existing project certificate for the Meliadine mine which included the extension of the Type A Water license (which expires in 2031), the addition of tailings, water and waste management infrastructure at the Pump, F-Zone, Wesmeg and Discovery deposits, a wind farm project and the potential extension of the mine life at Meliadine by 11 years beyond the current mine life (the "Extension Project")
- In November 2023, the Nunavut Impact Review Board ("NIRB") provided a recommendation against the proposed amendment to the Meliadine mine's permit for the Extension Project. The Company was disappointed by the NIRB's recommendation and has withdrawn the amendment to the Meliadine mine's permit for the Extension Project. As most of the current life of mine components were already approved under the existing project certificate (approved in 2015) and in order to avoid further delays, in January 2024, the Company submitted a proposal to the Nunavut Water Board to amend the current Type A Water license to include tailings, water and waste management infrastructure at the Pump, F-Zone, Wesmeg and Discovery deposits
- The Company has engaged in positive dialogue with the NIRB since the recommendation against the Extension Project. The Company will consider resubmitting a new proposal for the extension of the mine life at Meliadine in the future
Gold Mineral Reserves Increase
At December 31, 2023, the Company's proven and probable mineral reserve estimate totalled 53.8 million ounces of gold (1,287 million tonnes grading 1.30 g/t gold). This represents a
The year-over-year increase in mineral reserves at December 31, 2023 is largely due to a substantial new mineral reserve addition of 5.2 million ounces of gold at the East Gouldie deposit at the Odyssey mine. The acquisition of the remaining
Mineral reserves were calculated using a gold price of
Gold Mineral Resources
At December 31, 2023, the Company's measured and indicated mineral resource estimate totalled 44.0 million ounces of gold (1,189 million tonnes grading 1.15 g/t gold). This represents a
The year-over-year decrease in measured and indicated mineral resources is primarily due to the upgrade of mineral resources at East Gouldie to mineral reserves, largely offset by the successful conversion of inferred mineral resources into measured and indicated mineral resources and the acquisition of the remaining
At December 31, 2023, the Company's inferred mineral resource estimate totalled 33.1 million ounces of gold (411 million tonnes grading 2.50 g/t gold). This represents a
The year-over-year increase in inferred mineral resources is primarily due to the acquisition of the remaining
For detailed mineral reserves and mineral resources data, including the economic parameters used to estimate the mineral reserves and mineral resources, see "Detailed Mineral Reserve and Mineral Resource Data (as at December 31, 2023)" and "Assumptions used for the December 31, 2023 mineral reserve and mineral resource estimates reported by the Company" below, as well as the Company's exploration news release dated February 15, 2024.
Update on Key Value Drivers and Pipeline Projects
Highlights on key value drivers (Odyssey project, Detour Lake mine and optimization of assets and infrastructure in the Abitibi region of
Odyssey Project
Successful infill drilling in 2023 at the Odyssey mine continued to improve the confidence in the mine plan and resulted in the declaration of initial mineral reserves of 5.2 million ounces of gold (47 million tonnes grading 3.42 g/t gold) in the central portion of the East Gouldie deposit as at December 31, 2023. The aggressive exploration program in 2023 also continued to demonstrate geological upside potential, with expansion drilling resulting in the extension of the East Gouldie inferred mineral resource laterally to the west by approximately 870 metres. Recent drilling results demonstrate that the corridor remains open to the east with high potential to categorize a large area as inferred mineral resources by year-end 2024. Highlight intercepts include 6.2 g/t gold over 6.7 metres at 1,300 metres depth to the west and 6.7 g/t gold over 13.5 metres at 1,470 metres depth to the east of the deposit. In 2024, the Company will continue to test the east and west extensions of the East Gouldie deposit, with the objective of potentially adding a new mining front. For further details on the exploration results at Odyssey, see the Company's exploration news release dated February 15, 2024.
At Odyssey South, the planned mining rate of 3,500 tpd was reached in October 2023 and sustained through the fourth quarter of 2023. Gold production from underground was approximately 20,000 ounces in the fourth quarter of 2023, which is the expected quarterly production rate for 2024 to 2026. Stope reconciliation at Odyssey South remains positive, largely from the contribution of the internal zones. At year-end 2023, an additional 150,000 ounces of gold included in the mineral reserve estimate are attributed to the Odyssey South deposit and internal zones as the understanding of these two mineralized areas improves with ongoing drilling and mine development. The Company continues to advance the delineation drilling to help improve the predictability and modeling of these zones.
Underground development was ahead of plan in the fourth quarter of 2023. A record 1,236 metres of development was achieved in October 2023, which is above with the target rate for 2024 of 1,200 metres per month. Scoops, jumbos and cable bolters are now consistently being operated remotely, which drives improvements in development cycle time and overall development productivity. In the first quarter of 2024, the Company expects to test remotely operated trucks and a battery operated scoop.
Advancing the main ramp remains the key development focus. The Company achieved a lateral development rate of 165 metres per month in 2023, exceeding the target rate of 140 metres per month. As at December 31, 2023, the ramp was at a depth of 715 metres and the Company now expects to reach the first level of the top of the East Gouldie deposit at a depth of 750 metres in the first quarter of 2024. As a result, the Company is evaluating the potential to accelerate initial production from East Gouldie to 2026.
Shaft sinking activities continued to ramp-up through the fourth quarter of 2023. Equipment reliability issues were resolved, with the sinking rate improving to 1.5 metres per day in December 2023 and expected to be approximately at the target of 2.0 metres per day in the first quarter of 2024. As at December 31, 2023, the shaft had reached a depth of approximately 233 metres. To help advance the shaft sinking, the Company has completed pre-sinking of the shaft from Levels 26 to 36 and is now advancing pre-sinking between Levels 54 to 64. The Company still expects to complete excavation of the shaft in 2027.
Surface construction progressed as planned and on budget in the fourth quarter of 2023 and approximately
In regional exploration during the fourth quarter of 2023, drilling targeted the adjacent Camflo property to the north and potential mineralization analogous to the Odyssey South and Odyssey North deposits on the Rand Malartic property to the east. The Company believes that a long-term exploration strategy of surface and underground drilling on the recently consolidated lands at the Canadian Malartic complex has the potential to lead to significant discoveries.
Detour Lake Mine
In the fourth quarter of 2023, the mill delivered its second best quarterly mill throughput, operating at a rate of 71,826 tpd (equivalent to an annualized rate of approximately 26.2 Mtpa), despite a lower than anticipated runtime of
In 2023, the exploration program at Detour Lake successfully defined continuity of mineralization below and west of the mineral reserves pit. This resulted in the addition of 1.56 million ounces of gold (21.8 million tonnes grading 2.23 g/t gold) in inferred mineral resources outside the mineral resource pit. Work is ongoing to determine the optimal transition point from open pit to underground mining. This transition point will help determine the mineral resources currently included in the resource pit that could instead be mined from underground. The resulting larger mineable underground mineral resource is expected to form the basis for an underground project at Detour Lake.
The preliminary underground mine concept under evaluation adopts many of the design criteria and parameters of the Company's existing operating mines in the region. The Company is currently evaluating a number of bulk mining scenarios. Mine development and production is envisioned to be done via ramp. Haulage of ore and waste by conveyor is a potential approach given the orebody plunging to the West. The mine could also utilize a combination of conventional and automated production equipment, similar to the equipment currently employed at the Company's Odyssey mine.
In 2024, exploration will continue to test and extend the west plunge of the main deposit. The Company is considering building an exploration ramp to increase confidence in the mineralization's continuity in the inferred resource envelope and to potentially collect a bulk sample. The Company expects to provide an update on mill optimization efforts, the Detour underground project and ongoing exploration results in the first half of 2024.
Optimization of Other Assets and Infrastructure in the Abitibi Region
At Macassa, mining of the NSUR and AK deposits through existing infrastructure was one of the first strategic optimization opportunities identified at the time of the Merger. At year-end 2023, the NSUR and AK deposits contributed approximately 23,000 ounces of gold in mineral reserves (0.12 million tonnes grading 5.93 g/t gold) and approximately 160,000 ounces of gold in mineral reserves (0.74 million tonnes grading 6.69 g/t gold) to the Macassa complex, respectively. Both deposits have now been incorporated into Macassa's production guidance for 2024 to 2026.
The NSUR and AK deposits are accessible from an existing surface ramp at Macassa (the "Portal"). A traditional truck and scoop tram approach has been selected for underground mucking and hauling, similar to the approach at LaRonde Zone 5 ("LZ5"). The deposits will be mined using long-hole open stoping and the stopes will be backfilled using cemented rockfill. At Macassa, the mill is expected to reach its nominal capacity of 1,650 tpd in mid-2024. The LZ5 processing facility at the LaRonde complex, approximately 130 kilometres away, can accommodate the processing of ore from the NSUR and AK deposits starting in the second half of 2024, thus avoiding capital expenditures that would otherwise be required for a mill expansion at Macassa. Production from the NSUR deposit is planned to be processed at the Macassa mill in the first half of 2024 and at the LZ5 processing facility in the second half of 2024. Production from the AK deposit, which is expected to begin in the second half of 2024 with the extraction of a 25,000 tonne bulk sample, is also planned to be processed at the LZ5 processing facility. Ore will be hauled by truck from the NSUR and AK deposits to the LZ5 processing facility. Production from these two deposits is forecast to be approximately 19,000 ounces of gold in 2024 and between 35,000 ounces to 50,000 ounces of gold from 2025 to 2028. The Company believes that the AK area remains prospective for future mineral resource growth.
At Upper Beaver, the Company continued to advance internal studies in the fourth quarter of 2023 to assess potential production opportunities, including comparison of transporting and processing ore at the LaRonde mill to a standalone central mill for Upper Beaver and satellite deposits. The Upper Beaver gold-copper deposit is expected to be mined by conventional underground methods, such as long hole open stoping with stopes to be backfilled with paste and waste rock. The Company is evaluating scenarios with a mining rate of approximately 5,000 tpd and production between 200,000 ounces and 230,000 ounces of gold per year and approximately 9 million to 10 million pounds of copper per year. Under these scenarios, initial production could potentially commence as early as 2030. The Company is also considering the construction of an exploration ramp and shaft in order to be used to upgrade mineral resources and further explore the deeper portions of the deposit. The exploration ramp and shaft would be considered permanent infrastructure and sized accordingly to accommodate the potential production phase in the event the project is approved for development.
At Wasamac, the Company continues to assess various scenarios to define the optimal mining rate and milling strategy for the project. While these evaluations continue, the Company has decided to not include the historical mineral reserve estimate at Wasamac in the Company's mineral reserve estimate. Rather, the Company has classified the Wasamac project entirely as mineral resources. The measured and indicated mineral resource estimate at year-end 2023 for the Wasamac project totalled 2.2 million ounces of gold (27.8 million tonnes grading 2.43 g/t) and inferred mineral resources were 0.8 million ounces of gold (9.2 million tonnes grading 2.66 g/t). Exploration activities in 2024 will focus on testing the eastern extension of the Wasamac deposit in the Wasa shear zone and exploring for Wasamac-style mineralization at Francoeur.
Hope Bay – Step-Out Drilling Continues to Extend Madrid's High-Grade Patch 7 Zone at Depth and Laterally
At Hope Bay, exploration drilling in 2023 totalled more than 125,000 metres with work focused on the
At
Recent exploration results are expected to support a larger production scenario at Hope Bay. The Company continues to advance the internal evaluation and anticipates reporting results from this internal evaluation in 2025.
San Nicolás Copper Project
In the fourth quarter of 2023, Minas de San Nicolás, which is jointly owned by the Company and Teck Resources Limited, continued to advance the San Nicolás project in Zacatecas State,
2024 to 2026 Guidance Estimates Stable Gold Production; Unit Costs for 2024 Remain Industry Leading
The Company is announcing its detailed production and cost guidance for 2024 and mine by mine production forecasts for 2024 through 2026. The 2024 gold production guidance range remains unchanged from the Previous Guidance, while 2024 total cash costs per ounce and AISC per ounce guidance increased approximately
2024 Guidance Summary | ||||
(In millions other than per ounce measures or as otherwise stated) | ||||
2024 | 2024 | |||
Range | Mid-Point | |||
Gold Production (ounces) | 3,350,000 | 3,550,000 | 3,450,000 | |
Total cash costs per ounce12 | ||||
AISC per ounce12 | ||||
Exploration and corporate development | ||||
Depreciation and amortization expense | ||||
General & administrative expense | ||||
Other costs | ||||
Tax rate (%) | 33 % | 38 % | 35 % | |
Cash taxes | ||||
Capital expenditures (excluding capitalized exploration) | ||||
Capitalized exploration | ||||
_______________________________
12 The Company's guidance for total cash costs per ounce and AISC per ounce is forward looking non-GAAP information. For a description of the composition and usefulness of this non-GAAP measure, see "Note Regarding Certain Measures of Performance" below.
Updated Three-Year Guidance Plan
Mine by mine production and cost guidance for 2024 and mine by mine gold production forecasts for 2025 and 2026 are set out in the table below. Opportunities to further optimize and improve gold production and unit cost forecasts from 2024 through 2026 continue to be evaluated.
Estimated Payable Gold Production (ounces) | ||||||||||
2023 | 2024 | 2025 | 2026 | |||||||
Actual | Forecast Range | Forecast Range | Forecast Range | |||||||
LaRonde complex | 306,648 | 285,000 | 305,000 | 300,000 | 320,000 | 330,000 | 350,000 | |||
Canadian | 603,955 | 615,000 | 645,000 | 600,000 | 630,000 | 545,000 | 575,000 | |||
Goldex | 140,983 | 125,000 | 135,000 | 125,000 | 135,000 | 125,000 | 135,000 | |||
Detour Lake | 677,446 | 675,000 | 705,000 | 710,000 | 740,000 | 745,000 | 775,000 | |||
Macassa | 228,535 | 265,000 | 285,000 | 320,000 | 340,000 | 330,000 | 350,000 | |||
Abitibi Gold Belt | 1,957,567 | 1,965,000 | 2,075,000 | 2,055,000 | 2,165,000 | 2,075,000 | 2,185,000 | |||
Meliadine | 364,141 | 360,000 | 380,000 | 375,000 | 395,000 | 400,000 | 420,000 | |||
Meadowbank complex | 431,666 | 480,000 | 500,000 | 485,000 | 505,000 | 440,000 | 460,000 | |||
795,807 | 840,000 | 880,000 | 860,000 | 900,000 | 840,000 | 880,000 | ||||
277,694 | 200,000 | 220,000 | 140,000 | 160,000 | 140,000 | 160,000 | ||||
Kittila | 234,402 | 220,000 | 240,000 | 220,000 | 240,000 | 230,000 | 250,000 | |||
98,280 | 100,000 | 105,000 | 125,000 | 135,000 | 115,000 | 125,000 | ||||
La | 75,904 | 25,000 | 30,000 | — | — | — | — | |||
Total Gold Production | 3,439,654 | 3,350,000 | 3,550,000 | 3,400,000 | 3,600,000 | 3,400,000 | 3,600,000 | |||
*2023 actual production reflects the Company's |
Gold production is forecast to remain stable through 2026 based on mid-point estimates when compared to 2023 gold production of 3.44 million ounces. Gold production is forecast to be approximately 3.40 to 3.60 million ounces of gold in in 2025 and 2026.
Total cash costs per ounce on a by-product basis of gold produced ($ per ounce) | |||||
Production Costs | Total Cash Costs per Ounce on a By- | ||||
2023 | 2023 | 2024* | |||
Actual | Actual | Forecast | |||
LaRonde complex | $ 977 | $ 911 | $ 931 | ||
Canadian | 771 | 824 | 926 | ||
Goldex | 795 | 820 | 871 | ||
Detour Lake | 669 | 735 | 734 | ||
Macassa | 678 | 731 | 856 | ||
Abitibi Gold Belt | 759
| 795 | 848 | ||
Meliadine | 944 | 980 | 960 | ||
Meadowbank complex | 1,214 | 1,176 | 1,029 | ||
| 1,090
| 1,086 | 999 | |||
473 | 488 | 698 | |||
Kittila | 878 | 871 | 954 | ||
1,495 | 1,229 | 1,268 | |||
La | 1,271 | 1,241 | 1,365 | ||
Weighted Average Total | $ 853
| $ 865 | $ 900 | ||
*Forecast total cash costs per ounce are based on the mid-point of 2024 production guidance as set out in the table above. |
Total cash costs per ounce in 2024 are expected to be between
AISC per ounce in 2024 are expected to be between
The Company remains focused on reducing costs through productivity improvements and innovation initiatives at all of its operations and the realization of operational synergies not currently factored into the cost guidance.
Currency and commodity price assumptions used for 2024 cost estimates and sensitivities are set out in the table below:
Currency and commodity price assumptions used for 2024 cost estimates and sensitivities | ||||||
Commodity and currency price | Approximate impact on total cash costs per | |||||
C$/US$ | 1.34 | $ 50 | ||||
US$/EUR | 1.10 | $ 5 | ||||
MXP/US$ | 16.50 | $ 1 | ||||
A$/US$ | 1.45 | $ 3 | ||||
Diesel ($/ltr) | $ 0.80 | $ 8 | ||||
Silver ($/oz) | $ 23.00 | $ 2 | ||||
Copper ($/lb) | $ 3.80 | $ 1 | ||||
Zinc ($/lb) | $ 1.10 | $ <1 | ||||
*Excludes the impact of current hedging positions |
Exploration and Corporate Development
Exploration and corporate development expenses in 2024 are expected to be between
Depreciation Guidance
Depreciation and amortization expense in 2024 is expected to be between
General & Administrative Cost Guidance
General and administrative expenses in 2024 are expected to be between
Other Cost Guidance
Additional other expenses in 2024 are expected to be approximately
Tax Guidance
For 2024, the Company expects its effective tax rates to be:
Canada –35% to40% Mexico –35% to40% Australia –30% Finland –20%
The Company's overall effective tax rate is expected to be approximately
The Company estimates potential consolidated cash taxes of approximately
Capital Expenditures Guidance
In 2024, estimated capital expenditures are expected to be between
The estimated mid-point for capital expenditures (excluding capitalized exploration) for 2024 is approximately
The Company's capital expenditure forecast for 2024 is higher than the full year 2023 capital expenditures of
Estimated 2024 Capital Expenditures | |||||||
(In thousands of US dollars) | |||||||
Capital Expenditures | Capitalized Exploration | ||||||
Sustaining | Development | Sustaining | Non- | Total | |||
LaRonde complex | $ 86,100 | $ 68,200 | $ 2,300 | $ — | $ 156,600 | ||
Canadian | 135,900 | 167,500 | — | 7,100 | 310,500 | ||
Goldex mine | 52,800 | 7,700 | 2,900 | — | 63,400 | ||
Detour Lake mine | 274,800 | 201,100 | — | 20,300 | 496,200 | ||
Macassa mine | 59,400 | 97,800 | 2,100 | 32,900 | 192,200 | ||
Abitibi Gold Belt | 609,000 | 542,300 | 7,300 | 60,300 | 1,218,900 | ||
Meliadine mine | 70,200 | 82,400 | 5,500 | 13,200 | 171,300 | ||
Meadowbank complex | 94,000 | — | — | — | 94,000 | ||
164,200 | 82,400 | 5,500 | 13,200 | 265,300 | |||
35,800 | 41,100 | — | 11,000 | 87,900 | |||
Kittila mine | 87,200 | 2,900 | 1,900 | 5,400 | 97,400 | ||
19,800 | 15,400 | 1,800 | 500 | 37,500 | |||
— | 17,000 | — | — | 17,000 | |||
Other | — | 35,900 | — | 1,700 | 37,600 | ||
Total Capital Expenditures | $ 916,000 | $ 737,000 | $ 16,500 | $ 92,100 | $ 1,761,600 | ||
The Company is working towards maintaining capital expenditures at similar levels (excluding inflation) through 2026.
Updated Three Year Operational Guidance Plan
Since the Previous Guidance, there have been several operating developments resulting in changes to the updated three-year production profile. Descriptions of these changes as well as initial 2026 guidance are set out below.
ABITIBI REGION,
LaRonde Complex Forecast | 2023 | 2024 | 2025 | 2026 | |
Previous Guidance (mid-point) (oz) | 275,000 | 280,000 | 310,000 | n.a. | |
Current Guidance (mid-point) (oz) | 306,648 (actual) | 295,000 | 310,000 | 340,000 | |
LaRonde Complex Forecast 2024 | Ore Milled ('000 tonnes) | Gold (g/t) | Gold Mill Recovery (%) | Silver (g/t) | Silver Mill Recovery (%) |
2,686 | 3.62 | 94.4 % | 10.01 | 72.6 % | |
Production and Minesite | Zinc (%) | Zinc Mill Recovery (%) | Copper (%) | Copper Mill Recovery (%) | |
0.46 % | 71.0 % | 0.12 % | 83.1 % |
At the LaRonde complex, the production forecast is higher in 2024 when compared to Previous Guidance primarily due to higher productivity achieved than initially anticipated during the transition to pillarless mining at the LaRonde mine. Gold production is expected to increase to 310,000 ounces in 2025 and reach an annual run-rate of approximately 340,000 ounces per year in 2026, primarily due to higher gold grades at the LaRonde mine, an increase in the mining rate at the LZ5 mine to 3,800 tpd and the addition of satellite zones. The Company is also evaluating the potential to bring new sources of ore into production, including the LZ5 deep, Ellison and Fringe zones.
The LZ5 processing facility is expected to be in care and maintenance until the second half of 2024 as the Company completes an upgrade to the CIL tanks. The Company expects to restart the LZ5 processing facility in the second half of 2024 to process ore from the LZ5 mine and the AK deposit at Macassa. The Company continues to assess options to leverage the excess mill capacity at LZ5 as set out in the Update on Key Value Drivers and Pipeline Projects section above.
The LaRonde mine has planned a shutdown of 14 days in the third quarter of 2024 in order to rebuild the loading station at level 206 of the Penna shaft.
Canadian Malartic Complex Forecast | 2023 | 2024 | 2025 | 2026 |
Previous Guidance (mid-point) (oz) | 585,000 | 660,000 | 610,000 | n.a. |
Current Guidance (mid-point) (oz) | 603,955 (actual) | 630,000 | 615,000 | 560,000 |
Canadian Malartic Complex | Ore Milled ('000 tonnes) | Gold (g/t) | Gold Mill Recovery (%) | Production |
18,952 | 1.13 | 91.5 % |
___________________________ |
13 Minesite costs per tonne is a non-GAAP measure that is not standardized under IFRS. For a description of the composition and usefulness of this non-GAAP measure and a reconciliation to production costs see "Reconciliation of Non-GAAP Performance Measures" and "Note Regarding Certain Measures of Performance", respectively, below. |
At the Canadian Malartic complex, the production forecast is lower in 2024 when compared to Previous Guidance primarily due to the Company's decision to defer the reintroduction of pre-crushing low grade ore to increase mill throughput to 2025 from 2024. The Company continues to optimize the ore processing plan to enhance the financial metrics and cash flow during the transition to the underground Odyssey project. The mill throughput is now forecast to remain at approximately 52,000 tpd in 2024.
In 2024, production is expected to be sourced from the Barnat pit and the Odyssey mine, complemented by ore from the low grade stockpiles. The Odyssey mine is expected to contribute approximately 80,000 ounces of payable gold to the Canadian Malartic complex in 2024, 2025 and 2026.
Goldex Forecast | 2023 | 2024 | 2025 | 2026 |
Previous Guidance (mid-point) (oz) | 135,000 | 130,000 | 125,000 | n.a. |
Current Guidance (mid-point) (oz) | 140,983 (actual) | 130,000 | 130,000 | 130,000 |
Goldex Forecast 2024 | Ore Milled ('000 tonnes) | Gold (g/t) | Gold Mill Recovery (%) | |
3,016 | 1.58 | 84.9 % | ||
Production | Copper (%) | Copper Mill | ||
0.09 % | 87.5 % |
At Goldex, the production forecast is in line with Previous Guidance. The development at the Akasaba West project is on schedule and on budget to achieve commercial production in early 2024. Akasaba West is expected to provide additional production flexibility to Goldex and is forecast to contribute approximately 12,000 ounces of gold and approximately 2,300 tonnes of copper per year to Goldex starting in 2024.
ABITIBI REGION,
Detour Lake Forecast | 2023 | 2024 | 2025 | 2026 |
Previous Guidance (mid-point) (oz) | 690,000 | 700,000 | 740,000 | n.a. |
Current Guidance (mid-point) (oz) | 677,446 (actual) | 690,000 | 725,000 | 760,000 |
Detour Lake Forecast 2024 | Ore Milled ('000 tonnes) | Gold (g/t) | Gold Mill Recovery (%) | Production |
27,474 | 0.85 | 91.9 % |
At Detour Lake, the slightly lower production forecast when compared to Previous Guidance is primarily due to lower grades from a slight adjustment to the mining sequence. The production profile reflects expected steady progress on the mill optimization projects, with the mill throughput rate expected to reach and sustain 77,000 tpd (equivalent to an annualized rate of approximately 28 Mtpa) in the second half of 2024, and a higher grade profile in 2025 and 2026.
Macassa Forecast | 2023 | 2024 | 2025 | 2026 |
Previous Guidance (mid-point) (oz) | 215,000 | 265,000 | 305,000 | n.a. |
Current Guidance (mid-point) (oz) | 228,535 (actual) | 275,000 | 330,000 | 340,000 |
Macassa Forecast 2024 | Ore Milled ('000 tonnes) | Gold (g/t) | Gold Mill Recovery (%) | Production |
606 | 14.50 | 97.4 % |
At Macassa, the production forecast is higher in 2024 and 2025 when compared to Previous Guidance primarily due to the addition of production from the AK deposit to the mining profile. With sustained productivity gains at Macassa over the recent quarters, the deep mine (including the South Mine complex and Main Break) is now expected to largely fill the mill at its nominal capacity of 1,650 tpd starting in the second half of 2024. Production from the NSUR and AK deposits is planned to be trucked and processed at the LZ5 processing facility. Production from the NSUR and AK deposits is forecast to be approximately 19,000 ounces of gold in 2024 and between 35,000 ounces to 50,000 ounces of gold in 2025 and 2026. The lower forecast gold grade is largely a result of the inclusion of lower grade AK ore, additional lower grade NSUR ore and continued adjustments to the resource model from additional definition drilling.
The Company continues to see geological potential at Macassa as demonstrated by the mineral reserves replacement of
Meliadine Forecast | 2023 | 2024 | 2025 | 2026 |
Previous Guidance (mid-point) (oz) | 365,000 | 370,000 | 380,000 | n.a. |
Current Guidance (mid-point) (oz) | 364,141 (actual) | 370,000 | 385,000 | 410,000 |
Meliadine Forecast 2024 | Ore Milled ('000 tonnes) | Gold (g/t) | Gold Mill Recovery (%) | Production |
1,892 | 6.30 | 96.5 % |
At Meliadine, the production forecast in 2024 is in line with Previous Guidance. The Meliadine Phase 2 expansion is progressing as planned and mill throughput is expected to increase to 6,000 tpd late in 2024 and to 6,250 tpd in 2026, driving the higher gold production forecast in 2025 and 2026.
Meadowbank Complex Forecast | 2023 | 2024 | 2025 | 2026 |
Previous Guidance (mid-point) (oz) | 420,000 | 480,000 | 495,000 | n.a. |
Current Guidance (mid-point) (oz) | 431,666 (actual) | 490,000 | 495,000 | 450,000 |
Meadowbank Complex Forecast 2024 | Ore Milled ('000 tonnes) | Gold (g/t) | Gold Mill Recovery (%) | Production |
4,026 | 4.13 | 91.7 % |
At the Meadowbank complex, the production forecast is higher in 2024 when compared to Previous Guidance primarily due to improved grades from positive grade reconciliation. The Company has approved an extension to the Amaruq life of mine to 2028 (compared to 2026 previously), which includes additional stopes from underground, a push-back from the IVR open pit and additional ounces from positive grade reconciliation. Overall approximately 500,000 ounces of gold have been added to the production profile, including approximately 100,000 ounces of gold in 2026. Amaruq underground is forecast to contribute approximately 100,000 ounces of gold in 2024, 2025 and 2026.
In 2023, Meadowbank experienced its longest lasting caribou migration since operations began. The Company continues to adjust for the caribou migration in its production plan as this migration can affect the ability to move materials on the road between Amaruq and Meadowbank and between Meadowbank and
Fosterville Forecast | 2023 | 2024 | 2025 | 2026 |
Previous Guidance (mid-point) (oz) | 305,000 | 240,000 | 210,000 | n.a. |
Current Guidance (mid-point) (oz) | 277,694 (actual) | 210,000 | 150,000 | 150,000 |
Fosterville Forecast 2024 | Ore Milled ('000 tonnes) | Gold (g/t) | Gold Mill Recovery (%) | Production |
744 | 9.15 | 95.9 % |
At
In 2023, the
Kittila Forecast | 2023 | 2024 | 2025 | 2026 |
Previous Guidance (mid-point) (oz) | 200,000 | 210,000 | 210,000 | n.a. |
Current Guidance (mid-point) (oz) | 234,402 (actual) | 230,000 | 230,000 | 240,000 |
Kittila Forecast 2024 | Ore Milled ('000 tonnes) | Gold (g/t) | Gold Mill Recovery (%) | Production |
2,000 | 4.15 | 86.3 % |
At Kittila, the production forecast is higher in 2024 and 2025 when compared to Previous Guidance primarily due to the reinstatement of the 2.0 Mtpa operating permit on October 27, 2023. Previous Guidance assumed a throughput rate of 1.6 Mtpa in 2024 and 2025.
The mine is expecting a planned shutdown in the first quarter of 2024 for 11 days for regular maintenance on the autoclave.
Pinos Altos Forecast | 2023 | 2024 | 2025 | 2026 |
Previous Guidance (mid-point) (oz) | 85,000 | 97,500 | 115,000 | n.a. |
Current Guidance (mid-point) (oz) | 97,642 (actual) | 102,500 | 130,000 | 120,000 |
Pinos Altos Forecast 2024 | Total Ore ('000 tonnes) | Gold (g/t) | Gold Recovery (%) | |
1,810 | 1.86 | 94.7 % | ||
Production | Silver (g/t) | Silver Mill Recovery (%) | ||
47.25 | 46.9 % |
At
La India Forecast | 2023 | 2024 | 2025 | 2026 |
Previous Guidance (mid-point) (oz) | 65,000 | 17,500 | n.a. | n.a. |
Current Guidance (mid-point) (oz) | 75,904 (actual) | 27,500 | nil | nil |
At La India, the production forecast in 2024 is higher than the Previous Guidance primarily due to higher gold inventory ounces in the heap leach. With the depletion of the open pits in the fourth quarter of 2023, gold production in 2024 is expected to come from the residual leaching of the heap leach pads.
2024 Exploration Program and Budget – Continued Focus on Exploration Programs at Detour Lake and Canadian Malartic which are Expected to be Significant Future Contributors to Mineral Reserve Growth; Large Exploration Programs at LaRonde complex, Macassa, Meliadine, Amaruq,
The Company has budgeted
The Company's exploration focus remains on extending mine life at existing operations, testing near-mine opportunities and advancing key value driver projects. Exploration priorities for 2024 include drilling the western and deep extension of the Detour Lake deposit to assist in the optimization of the open pit operations and to further advance a potential underground mining scenario, growing the underground mineral reserve and mineral resource at the Odyssey mine and continuing large exploration programs at other operating assets and Hope Bay.
The Company's exploration and corporate development budget and plans for individual mines and projects for 2024 are presented in the Company's exploration news release dated February 15, 2024.
ABITIBI REGION,
LaRonde Complex – Transition to Pillarless Mining Yields Higher Productivity than Anticipated
LaRonde Complex – Operating Statistics | Three Months Ended | Year Ended | ||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022 | |||
Tonnes of ore milled (thousands of tonnes) | 663 | 658 | 2,658 | 2,816 | ||
Tonnes of ore milled per day | 7,207 | 7,152 | 7,282 | 7,715 | ||
Gold grade (g/t) | 4.33 | 4.00 | 3.83 | 4.17 | ||
Gold production (ounces) | 85,765 | 80,169 | 306,648 | 356,337 | ||
Production costs per tonne (C$) | $ 137 | $ 143 | $ 152 | $ 132 | ||
Minesite costs per tonne (C$) | $ 157 | $ 144 | $ 153 | $ 129 | ||
Production costs per ounce of gold produced | $ 779 | $ 871 | $ 977 | $ 801 | ||
Total cash costs per ounce of gold produced | $ 845 | $ 832 | $ 911 | $ 703 | ||
Gold Production
- Fourth Quarter of 2023 – Gold production increased when compared to the prior-year period primarily due to higher grades
- Full Year 2023 – Gold production decreased when compared to the prior-year period due to lower grades and lower volumes processed related to changes in the mining sequence at the LaRonde mine
Production Costs
- Fourth Quarter of 2023 – Production costs per tonne decreased when compared to the prior-year period primarily due to the timing of inventory sales and higher volume of ore milled, partially offset by higher underground maintenance costs. Production costs per ounce decreased when compared to the prior-year period primarily due to higher gold grades and the weaker Canadian dollar relative to the
U.S. dollar - Full Year 2023 – Production costs per tonne increased when compared to the prior-year period primarily due to higher underground mining costs attributable to higher labour and materials costs and higher milling costs resulting from the transition to dry tailings disposition at the LaRonde mine and a lower volume of ore milled. Production costs per ounce increased when compared to the prior-year period primarily as a result of higher production costs per tonne and fewer ounces of gold produced, partially offset by the weaker Canadian dollar relative to the
U.S. dollar
Minesite and Total Cash Costs
- Fourth Quarter of 2023 – Minesite costs per tonne increased when compared to the prior-year period primarily due to the reasons outlined above regarding the increase in production costs in the quarter. Total cash costs per ounce increased when compared to the prior-year period primarily for the same reasons as the increase in minesite costs per tonne
- Full Year 2023 – Minesite costs per tonne increased when compared to the prior-year period primarily due to the reasons outlined above for production costs per tonne. Total cash costs per ounce increased when compared to the prior-year period primarily due to the reasons outlined above for production costs per ounce
Highlights
- Production from the 11-3 Zone at LaRonde continued in the fourth quarter of 2023 at a mining rate of approximately 950 tpd, exceeding the planned mining rate for the quarter. The 11-3 Zone is expected to continue to add additional flexibility to the LaRonde mine production plan
- Maintenance of the underground ore handling system continued in the fourth quarter of 2023. The LaRonde mine had partial, planned shutdowns (equivalent in aggregate to approximately a 10-day shutdown) during the fourth quarter of 2023 to update the main underground ore network
- During the fourth quarter of 2023, ore from LZ5 was processed at the LaRonde mill to take advantage of its excess capacity. The LZ5 processing facility was placed on care and maintenance during the third quarter of 2023 and is expected to restart in the second half of 2024. During the downtime, the Company will overhaul the facility's leach tanks
Canadian Malartic Complex – Record Quarterly Safety Performance and Solid Quarterly Gold Production; Odyssey Underground Production Reaches Target Rate of 3,500 tpd
Canadian Malartic Complex – Operating Statistics* | Three Months Ended | Year Ended | ||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022 | |||
Tonnes of ore milled (thousands of tonnes) | 5,278 | 4,950 | 19,595 | 19,540 | ||
Tonnes of ore milled per day | 57,370 | 53,804 | 53,685 | 53,534 | ||
Gold grade (g/t) | 1.08 | 1.18 | 1.17 | 1.15 | ||
Gold production* (ounces) | 168,272 | 86,439 | 603,955 | 329,396 | ||
Production costs per tonne (C$) | $ 36 | $ 34 | $ 36 | $ 31 | ||
Minesite costs per tonne (C$) | $ 40 | $ 37 | $ 39 | $ 35 | ||
Production costs per ounce of gold produced | $ 825 | $ 739 | $ 771 | $ 716 | ||
Total cash costs per ounce of gold produced | $ 913 | $ 789 | $ 824 | $ 787 | ||
* Gold production reflects Agnico Eagle's |
Gold Production
- Fourth Quarter of 2023 – Gold production increased when compared to the prior-year period due to the increase in the Company's ownership percentage of the Canadian Malartic complex between periods from
50% to100% as a result of the closing of the Yamana Transaction on March 30, 2023, higher throughput resulting from softer rock conditions at the Barnat pit and the contribution from Odyssey South, partially offset by lower grades - Full Year 2023 – Gold production increased when compared to the prior-year period primarily due to the increase in the Company's ownership percentage of the Canadian Malartic complex between periods from
50% to100% as a result of the Yamana Transaction
Production Costs
- Fourth Quarter of 2023 – Production costs per tonne increased when compared to the prior-year period primarily due to higher mining and milling costs in the period, partially offset by a higher volume of ore milled. Production costs per ounce increased when compared to the prior-year period due to lower gold grades in the current period and higher mining and milling costs
- Full Year 2023 – Production costs per tonne increased when compared to the prior-year period primarily due to the recognition of fair value adjustments to inventory resulting from the Yamana Transaction. Production costs per ounce increased when compared to the prior-year period due to fewer ounces of gold being produced in the current period and the recognition of fair value adjustments to inventory resulting from the Yamana Transaction
Minesite and Total Cash Costs
- Fourth Quarter of 2023 – Minesite costs per tonne increased when compared to the prior-year period due to higher production costs, partially offset by the higher volume of ore tonnes milled during the quarter. Total cash costs per ounce increased when compared to the prior-year period primarily due to lower gold grades and higher minesite costs per tonne, partially offset by the weaker Canadian dollar relative to the
U.S. dollar - Full Year 2023 – Minesite costs per tonne increased when compared to the prior-year period primarily due to higher open pit mining costs. Total cash costs per ounce increased when compared to the prior-year period primarily due to higher minesite costs per tonne, partially offset by the weaker Canadian dollar relative to the
U.S. dollar
Highlights
- At the Barnat pit, good equipment availability and productivity and softer ultramafic ore drove solid operational performance. At Odyssey South, production via ramp reached and sustained the design rate of 3,500 tpd in the quarter. Gold production from underground was approximately 20,000 ounces in the fourth quarter of 2023
- Mill throughput continued to be above plan from increased contribution from Odyssey South and softer rock conditions
- At the Canadian Malartic pit, the Company continued the construction of the central berm (approximately
60% complete) in preparation for in-pit tailings disposal, which is expected to start in mid-2024 - An update on Odyssey project development, construction and exploration highlights is set out in the Update on Key Value Drivers and Pipeline Projects section above
Goldex – Record Annual Safety Performance; First Ore Processed from Akasaba West Project
Goldex Mine – Operating Statistics | Three Months Ended | Year Ended | ||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022 | |||
Tonnes of ore milled (thousands of tonnes) | 672 | 748 | 2,887 | 2,940 | ||
Tonnes of ore milled per day | 7,304 | 8,130 | 7,910 | 8,055 | ||
Gold grade (g/t) | 1.79 | 1.70 | 1.74 | 1.68 | ||
Gold production (ounces) | 33,364 | 36,291 | 140,983 | 141,502 | ||
Production costs per tonne (C$) | $ 55 | $ 45 | $ 52 | $ 46 | ||
Minesite costs per tonne (C$) | $ 58 | $ 46 | $ 53 | $ 47 | ||
Production costs per ounce of gold produced | $ 816 | $ 683 | $ 795 | $ 734 | ||
Total cash costs per ounce of gold produced | $ 877 | $ 765 | $ 820 | $ 765 | ||
Gold Production
- Fourth Quarter of 2023 – Gold production decreased when compared to the prior-year period primarily due to a lower volume of ore processed, partially offset by higher gold grades
- Full Year 2023 – Gold production decreased when compared to the prior-year period primarily due to a lower volume of ore processed, partially offset by higher gold grades
Production Costs
- Fourth Quarter of 2023 – Production costs per tonne increased when compared to the prior-year period due to higher open pit production costs and lower volume of ore milled in the current period. Production costs per ounce increased when compared to the prior-year period due to higher open pit production costs and fewer ounces of gold being produced, partially offset by the weaker Canadian dollar relative to the
U.S. dollar - Full Year 2023 – Production costs per tonne increased when compared to the prior-year period due to higher open pit mining costs, higher underground maintenance costs and lower volume processed in the current period. Production costs per ounce increased when compared to the prior-year period due to higher production costs and fewer ounces of gold being produced, partially offset by the weaker Canadian dollar relative to the
U.S. dollar
Minesite and Total Cash Costs
- Fourth Quarter of 2023 – Minesite costs per tonne increased when compared to the prior-year period due to the same reasons as the higher production costs per tonne. Total cash costs per ounce increased when compared to the prior-year period due to higher minesite costs per tonne, partially offset by the weaker Canadian dollar relative to the
U.S. dollar - Full Year 2023 – Minesite costs per tonne increased when compared to the prior-year period primarily due to the same reasons outlined above for the higher production costs per tonne. Total cash costs per ounce increased when compared to the prior-year period primarily due to higher minesite costs per tonne, partially offset by the weaker Canadian dollar relative to the
U.S. dollar
Highlights
- Goldex achieved record safety performance in 2023 with zero lost time accidents and restricted work during the fourth quarter and for the full year
- While the mine had lower throughput during the fourth quarter of 2023, Goldex had solid operational performance throughout the year with record annual tonnes hoisted (2.9 million tonnes)
- South Zone Sector 3 completed six stopes in 2023, ahead of schedule, and produced approximately 11,000 ounces of gold. South Zone Sector 3 is expected to provide additional flexibility for the mining operations
- The Akasaba West project remains on schedule and budget with work on upgrading the mill completed in the fourth quarter of 2023. First ore from the project was processed in November 2023 and achievement of commercial production is on schedule to occur in the first quarter of 2024
ABITIBI REGION,
Detour Lake – Higher Grades Drive Strong Quarterly Production; Advancing Mill Optimization Initiatives to Achieve 76,700 tpd Rate in 2024
Detour Lake Mine – Operating Statistics | Three Months Ended | Year Ended | ||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022* | |||
Tonnes of ore milled (thousands of tonnes) | 6,608 | 6,488 | 25,435 | 22,782 | ||
Tonnes of ore milled per day | 71,826 | 70,522 | 69,685 | 69,670 | ||
Gold grade (g/t) | 1.02 | 0.94 | 0.91 | 0.97 | ||
Gold production (ounces) | 193,475 | 179,737 | 677,446 | 651,182 | ||
Production costs per tonne (C$) | $ 25 | $ 25 | $ 24 | $ 28 | ||
Minesite costs per tonne (C$) | $ 27 | $ 25 | $ 26 | $ 25 | ||
Production costs per ounce of gold produced | $ 622 | $ 660 | $ 669 | $ 752 | ||
Total cash costs per ounce of gold produced | $ 691 | $ 674 | $ 735 | $ 657 | ||
*For the Full Year Ended December 31, 2022, the operating statistics are reported for the period from February 8, 2022 (the date of the Merger) to December 31, 2022. |
Gold Production
- Fourth Quarter of 2023 – Gold production increased when compared to the prior-year period primarily due to a higher volume of ore processed resulting from the ongoing mill optimization initiatives and higher gold grades as per the mining sequence
- Full Year 2023 – Gold production increased when compared to the prior-year period primarily due to the timing of the closing of the Merger, partially offset by the impact of the transformer failure that occurred during the third quarter of 2023 and lower gold grades
Production Costs
- Fourth Quarter of 2023 – Production costs per tonne remained unchanged when compared to the prior-year period despite the higher throughput volumes. Production costs per ounce decreased when compared to the prior-year period due to higher gold grades and the weaker Canadian dollar relative to the
U.S. dollar - Full Year 2023 – Production costs per tonne decreased when compared to the prior-year period due to a higher volume of ore milled in the current period and the fair value adjustments to inventory made in the 2022 period, partially offset by the impact of the transformer failure during the third quarter of 2023. Production costs per ounce decreased when compared to the prior-year period due to lower production costs per tonne and the weaker Canadian dollar relative to the
U.S. dollar, partially offset by lower gold grades
Minesite and Total Cash Costs
- Fourth Quarter of 2023 – Minesite costs per tonne increased when compared to the prior-year period primarily due to timing of inventory, partially offset by the higher volume of ore processed. Total cash costs per ounce increased when compared to the prior year period due to the timing of inventory, partially offset by the weaker Canadian dollar relative to the
U.S. dollar - Full Year 2023 – Minesite costs per tonne increased when compared to the prior year period primarily due to higher maintenance costs for mobile equipment and spare parts during the period. Total cash cost per ounce increased when compared to the prior year period primarily due to higher mining, maintenance and milling costs caused by higher fuel and electricity prices and lower gold grades, partially offset by the weaker Canadian dollar relative to the
U.S. dollar
Highlights
- In the fourth quarter of 2023, Detour Lake delivered a strong operating performance, producing 193,475 ounces of gold as a result of higher gold grades as per the mining sequence and its strong mill performance with throughput of 71,826 tpd (an annualized rate of approximately 26.2 Mtpa)
- Mill runtime, at approximately
90% in the fourth quarter of 2023, was affected by a power outage, plugged cyclone feed pump line and an imbalance between the SAG mill and ball mill circuits. The Company continues its efforts to monitor and resolve higher-than-expected wear, tear and failure of equipment and systems related to the higher throughput rate, with the objective to better optimize and stabilize the throughput - The expansion of the mine maintenance shops to support increased mining rates and a larger production fleet is ongoing, with engineering close to completion. The new mining service facility is expected to be completed in 2025
- An upgrade of the 230kV main substation is planned to improve the power quality at the mine. In addition, the upgrade will improve the site readiness for future power expansion for potential projects such as the trolley assist mine haulage system. Approximately
70% of the engineering was completed and all lead items had been ordered as at December 31, 2023. The upgrades related to power quality are expected to be completed in 2024 and those related to improve site readiness for future expansions in 2025 - In the fourth quarter of 2023, the construction of the second cell stage four of the tailings management area was completed on schedule and on budget
Macassa – Record Quarterly and Annual Development Metres, Ore Tonnes Skipped and Mill Throughput; Continued Productivity Gains Result in Lowest Minesite Costs per Tonne Since the Merger
Macassa Mine – Operating Statistics | Three Months Ended | Year Ended | ||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022* | |||
Tonnes of ore milled (thousands of tonnes) | 131 | 70 | 442 | 280 | ||
Tonnes of ore milled per day | 1,424 | 761 | 1,211 | 856 | ||
Gold grade (g/t) | 14.82 | 19.58 | 16.47 | 20.47 | ||
Gold production (ounces) | 60,584 | 43,308 | 228,535 | 180,833 | ||
Production costs per tonne (C$) | $ 445 | $ 594 | $ 475 | $ 602 | ||
Minesite costs per tonne (C$) | $ 473 | $ 632 | $ 503 | $ 577 | ||
Production costs per ounce of gold produced | $ 704 | $ 714 | $ 678 | $ 718 | ||
Total cash costs per ounce of gold produced | $ 763 | $ 758 | $ 731 | $ 683 | ||
*For the Full Year Ended December 31, 2022, the operating statistics are reported for the period from February 8, 2022 (the date of the Merger) to December 31, 2022. |
Gold Production
- Fourth Quarter of 2023 – Gold production increased when compared to the prior-year period primarily due to the higher volume of ore processed, partially offset by lower gold grades
- Full Year 2023 – Gold production increased when compared to the prior-year period primarily due to the timing of the closing of the Merger and higher volume of ore processed, partially offset by lower gold grades
Production Costs
- Fourth Quarter of 2023 – Production costs per tonne decreased when compared to the prior-year period due to the higher volume of ore milled in the current period. Production costs per ounce decreased when compared to the prior-year period due to more ounces of gold produced in the current period, and the weaker Canadian dollar relative to the
U.S. dollar - Full Year 2023 – Production costs per tonne decreased when compared to the prior-year period due to the higher volume of ore milled in the current period and the fair value adjustments to inventory made in 2022. Production costs per ounce decreased when compared to the prior-year period due to more ounces of gold being produced in the current period and the weaker Canadian dollar relative to the
U.S. dollar
Minesite and Total Cash Costs
- Fourth Quarter of 2023 – Minesite costs per tonne decreased when compared to the prior-year period due to the higher volume of ore milled, partially offset by higher mining costs resulting from higher input prices. Total cash costs per ounce increased when compared to the prior-year period primarily due to higher mining costs, partially offset by the weaker Canadian dollar relative to the
U.S. dollar - Full Year 2023 – Minesite costs per tonne decreased when compared to the prior year period primarily due to the higher volume of ore milled, mainly due to the timing of the closing of the Merger. Total cash costs per ounce increased when compared to the prior year period due to higher mining costs, partially offset by more ounces of gold produced in the period and the weaker Canadian dollar relative to the
U.S. dollar
Highlights
- During the fourth quarter of 2023, Macassa continued to demonstrate sustained productivity gains and improved compliance to plan, which resulted in record quarterly and annual development metres, tonnes skipped and mill throughput. The robust operational performance drove the lowest minesite costs per tonne since the Merger
- In the fourth quarter and full year of 2023, realized gold grades were lower than forecast largely due to the addition to the mine plan of lower grade opportunity ounces as a result of the increased mining rate and available mill capacity
- At the Portal (ramp access to the NSUR) production from long hole stopes continued in the fourth quarter of 2023. Gold production from NSUR was approximately 4,800 ounces in the fourth quarter of 2023
- The construction of the enclosure of the surface fans continued according to schedule in the fourth quarter of 2023 and both fans were operating at
60% . The overall ventilation system upgrade is currently on track for completion in the first quarter of 2024, when both fans are anticipated to reach full capacity
Meliadine Mine – Record Annual Safety Performance and Mill Throughput
Meliadine Mine – Operating Statistics | Three Months Ended | For the Year Ended | ||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022 | |||
Tonnes of ore milled (thousands of tonnes) | 511 | 475 | 1,918 | 1,757 | ||
Tonnes of ore milled per day | 5,554 | 5,163 | 5,255 | 4,814 | ||
Gold grade (g/t) | 6.03 | 7.00 | 6.11 | 6.83 | ||
Gold production (ounces) | 96,285 | 103,397 | 364,141 | 372,874 | ||
Production costs per tonne (C$) | $ 251 | $ 226 | $ 241 | $ 232 | ||
Minesite costs per tonne (C$) | $ 249 | $ 233 | $ 249 | $ 234 | ||
Production costs per ounce of gold produced | $ 981 | $ 786 | $ 944 | $ 853 | ||
Total cash costs per ounce of gold produced | $ 992 | $ 855 | $ 980 | $ 863 | ||
Gold Production
- Fourth Quarter of 2023 – Gold production decreased when compared to the prior-year period primarily due to lower gold grades, partially offset by higher volume of ore processed
- Full Year 2023 – Gold production decreased when compared to the prior-year period primarily due to lower gold grades, partially offset by the higher volume of ore processed
Production Costs
- Fourth Quarter of 2023 – Production costs per tonne increased when compared to the prior-year period due to the consumption of stockpiles and higher logistics costs, partially offset by the higher volume of ore milled in the current period. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for production costs per tonne and fewer ounces of gold being produced in the current period, partially offset by the weaker Canadian dollar relative to the
U.S. dollar - Full Year 2023 – Production costs per tonne increased when compared to the prior-year period due to the consumption of stockpiles, higher underground and open pit mining costs and higher logistics costs, partially offset by higher volume of ore milled in the current period. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for production costs per tonne and fewer ounces of gold produced in the current period, partially offset by the weaker Canadian dollar relative to the
U.S. dollar
Minesite and Total Cash Costs
- Fourth Quarter of 2023 – Minesite costs per tonne increased when compared to the prior-year period due to the same reasons as the higher production cost per tonne. Total cash costs per ounce increased when compared to the prior-year period due to the same reasons outlined above regarding production costs per ounce and fewer ounces of gold being produced, partially offset by the weaker Canadian dollar relative to the
U.S. dollar - Full Year 2023 – Minesite costs per tonne increased when compared to the prior-year period due to the same reasons as the higher production cost per tonne. Total cash costs per ounce increased when compared to the prior-year period due to the same reasons outlined above regarding production costs per ounce and fewer ounces of gold being produced, partially offset by the weaker Canadian dollar relative to the
U.S. dollar
Highlights
- The processing plant continued to demonstrate overall strong performance, with record tonnes processed in the fourth quarter of 2023 and for the full year 2023 at 511,000 tonnes and 1.9 million tonnes, respectively
- The open pit mine performed above plan in the fourth quarter of 2023, partially offsetting lower production from the underground mine which was affected by rehabilitation work on the main haulage ramp
- The Phase 2 mill expansion is expected to be completed in mid-2024 and the processing rate ramp-up is expected to increase throughput to 6,000 tpd by year-end 2024. In the fourth quarter of 2023, work on the Phase 2 mill expansion continued as mechanical piping and electrical work was ongoing at the carbon in leach building, the power plant and secondary grinding building, which is now fully enclosed. Commissioning of the filter press began during the fourth quarter of 2023
- The waterline installation is underway, with the section from kilometre 15 to kilometre 30 completed. The waterline installation is expected to be completed in 2024, allowing for utilization in the summer of 2025
- The Company submitted a proposal to the Nunavut Water Board to amend the current Type A Water license to include tailings, water and waste management infrastructure at the Pump, F-Zone, Wesmeg and Discovery deposits. See "Environment, Social and Governance Highlights – Meliadine Extension Permit" for further details on the Meliadine permit application
Meadowbank Complex – Solid Operational Performance Continued; Record Annual Safety Performance; Extension of Mine Life to 2028 with IVR Pit Pushback Approved
Meadowbank Complex – Operating Statistics | Three Months Ended | Year Ended | ||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022 | |||
Tonnes of ore milled (thousands of tonnes) | 938 | 923 | 3,843 | 3,739 | ||
Tonnes of ore milled per day | 10,196 | 10,033 | 10,529 | 10,244 | ||
Gold grade (g/t) | 3.97 | 3.48 | 3.86 | 3.40 | ||
Gold production (ounces) | 109,226 | 94,328 | 431,666 | 373,785 | ||
Production costs per tonne (C$) | $ 206 | $ 191 | $ 183 | $ 154 | ||
Minesite costs per tonne (C$) | $ 185 | $ 186 | $ 179 | $ 157 | ||
Production costs per ounce of gold produced | $ 1,306 | $ 1,364 | $ 1,214 | $ 1,184 | ||
Total cash costs per ounce of gold produced | $ 1,186 | $ 1,418 | $ 1,176 | $ 1,210 | ||
Gold Production
- Fourth Quarter of 2023 – Gold production increased when compared to the prior-year period primarily due to higher grades and higher volume of ore processed
- Full Year 2023 – Gold production increased when compared to the prior-year period primarily due to higher gold grades and the volume of ore processed
Production Costs
- Fourth Quarter of 2023 – Production costs per tonne increased when compared to the prior-year period due to a lower deferred stripping adjustment at the open pit and higher milling and underground mining costs, partially offset by the higher volume of ore milled in the current period. Production costs per ounce decreased when compared to the prior-year period primarily due to more ounces of gold being produced in the current period and the weaker Canadian dollar relative to the
U.S. dollar, partially offset by the higher production costs per tonne as outlined above - Full Year 2023 – Production costs per tonne increased when compared to the prior-year period due to the consumption of stockpiles, higher milling underground mining costs, partially offset by a higher stripping ratio at the open pit and the higher volume of ore milled in the current period. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for production costs per tonne, partially offset by more ounces of gold being produced in the current period and the weaker Canadian dollar relative to the
U.S. dollar
Minesite and Total Cash Costs
- Fourth Quarter of 2023 – Minesite costs per tonne decreased when compared to the prior-year period due to the same reasons as the higher production costs per tonne. Total cash costs per ounce decreased when compared to the prior-year period due to more ounces of gold produced and the weaker Canadian dollar relative to the
U.S. dollar - Full Year 2023 – Minesite costs per tonne increased when compared to the prior-year period due to the same reasons as the higher production costs per tonne. Total cash costs per ounce decreased when compared to the prior-year period due to more gold ounces produced and the weaker Canadian dollar relative to the
U.S. dollar
Highlights
- The open pit operation continued to deliver solid performance during the fourth quarter of 2023 despite delays related to an extended caribou migration and poor weather conditions. Production at Amaruq also continued to benefit from positive reconciliation on tonnes and grade
- The underground operation continued to build on productivity gains demonstrating sustained improvement through the cycle and increased adherence and compliance to plan. The cemented rock fill and ore haulage set quarterly performance records
- Based on continuous improvement and cost optimization efforts, positive reconciliation to the geological model and infill drilling, the Company has approved an extension to the Amaruq life of mine to 2028 (previous mine life of 2026). The extension consists of a push-back from the IVR pit, at a stripping ratio of 7.2, and additional stopes from the underground, which, combined, contribute approximately 500,000 of additional gold ounces to the production profile
Fosterville Mine – Operating Statistics* | Three Months Ended | Year Ended | ||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022* | |||
Tonnes of ore milled (thousands of tonnes) | 183 | 139 | 651 | 524 | ||
Tonnes of ore milled per day | 1,989 | 1,511 | 1,784 | 1,602 | ||
Gold grade (g/t) | 8.79 | 20.29 | 13.61 | 20.41 | ||
Gold production (ounces) | 49,533 | 88,634 | 277,694 | 338,327 | ||
Production costs per tonne (A$) | $ 259 | $ 370 | $ 304 | $ 561 | ||
Minesite costs per tonne (A$) | $ 261 | $ 399 | $ 301 | $ 356 | ||
Production costs per ounce of gold produced | $ 632 | $ 385 | $ 473 | $ 605 | ||
Total cash costs per ounce of gold produced | $ 723 | $ 414 | $ 488 | $ 378 | ||
*For the Full Year Ended December 31, 2022, the operating statistics are reported for the period from February 8, 2022 (the date of the Merger) to December 31, 2022. |
Gold Production
- Fourth Quarter of 2023 – Gold production decreased when compared to the prior-year period primarily due to lower grade from the mine sequence, partially offset by the higher volume of ore milled
- Full Year 2023 – Gold production decreased when compared to the prior-year period primarily due to lower grades from the mine sequence, partially offset by the higher volume of ore milled and the timing of the closing of the Merger
Production Costs
- Fourth Quarter of 2023 – Production costs per tonne decreased when compared to the prior-year period due to lower mining and milling costs and the higher volume of ore milled. Production costs per ounce increased when compared to the prior-year period due to the lower gold grades, partially offset by the lower mining and milling costs and the weaker Australian dollar relative to the
U.S. dollar - Full Year 2023 – Production costs per tonne decreased when compared to the prior-year period due to fair value adjustments to inventory on the purchase price allocation recognized in 2022 with no comparative recognition occurring in 2023. Production costs per ounce decreased when compared to the prior-year period for the same reasons above as well as the effect of the weaker Australian dollar relative to the
U.S. dollar, partially offset by fewer ounces produced in the period due to lower gold grades
Minesite and Total Cash Costs
- Fourth Quarter of 2023 – Minesite costs per tonne decreased when compared to the prior-year period due to lower mining and milling costs and the higher volume of ore milled in the current period. Total cash costs per ounce increased when compared to the prior-year period due to fewer ounces produced in the period, partially offset by the lower minesite costs per tonne and the weaker Australian dollar relative to the
U.S. dollar - Full Year 2023 – Minesite costs per tonne decreased when compared to the prior year period primarily due to the higher volume of ore milled and lower mining and milling costs. Total cash costs per ounce increased when compared to the prior year period primarily due to fewer ounces of gold produced in the current period, partially offset by the lower minesite costs per tonne and the weaker Australian dollar relative to the
U.S. dollar
Highlights
- The Company is currently advancing an upgrade of the primary ventilation system to sustain the mining rate in the Lower Phoenix zones in future years. In the fourth quarter of 2023, the Company completed the priority development related to the ventilation upgrade on schedule and commenced the reaming of the first ventilation raise. The Company expects the project to be completed by early 2025
- During the fourth quarter of 2023, the Company continued to give priority to the key underground development in Robbins Hill district and the Lower Phoenix exploration drive. Unplanned maintenance on a primary fan transformer in late December affected underground production and resulted in the delayed extraction of a high grade stope from the Swan zone
- At the mill, throughput was solid with run of mine and coarse ore stockpiles being drawn down at quarter end to help counter the delay on a high grade Swan stope. As a result, head grades were slightly lower than planned
Kittila – Operating Permit Restored to 2.0 Mtpa; Production Hoist Ramp Up Completed
Kittila Mine – Operating Statistics | Three Months Ended | Year Ended | ||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022 | |||
Tonnes of ore milled (thousands of tonnes) | 514 | 421 | 1,954 | 1,925 | ||
Tonnes of ore milled per day | 5,587 | 4,576 | 5,353 | 5,274 | ||
Gold grade (g/t) | 4.55 | 3.93 | 4.48 | 4.13 | ||
Gold production (ounces) | 61,172 | 44,724 | 234,402 | 216,947 | ||
Production costs per tonne (EUR) | € 91 | € 129 | € 98 | € 103 | ||
Minesite costs per tonne (EUR) | € 96 | € 132 | € 99 | € 101 | ||
Production costs per ounce of gold produced | $ 828 | $ 1,258 | $ 878 | $ 971 | ||
Total cash costs per ounce of gold produced | $ 858 | $ 1,330 | $ 871 | $ 980 | ||
Gold Production
- Fourth Quarter of 2023 – Gold production increased when compared to the prior-year period primarily due to higher gold grades and the higher volume of ore milled, partially offset by lower metallurgical recovery
- Full Year 2023 – Gold production increased when compared to the prior-year period primarily due to higher gold grades and higher volume of ore milled, partially offset by lower metallurgical recovery
Production Costs
- Fourth Quarter of 2023 – Production costs per tonne decreased when compared to the prior-year period due to the higher volume of ore milled and lower milling costs in the current period. Production costs per ounce decreased when compared to the prior-year period due to more ounces of gold being produced and lower milling costs and the weaker Euro dollar relative to the
U.S. dollar - Full Year 2023 – Production costs per tonne decreased when compared to the prior-year period due to the higher volume of ore milled in the current period and stockpile adjustments between periods. Production costs per ounce decreased when compared to the prior-year period due to more ounces of gold being produced and the weaker Euro dollar relative to the
U.S. dollar
Minesite and Total Cash Costs
- Fourth Quarter of 2023 – Minesite costs per tonne decreased when compared to the prior-year period due to the same reasons as for production costs per tonne. Total cash costs per ounce decreased when compared to the prior-year period due to the same reasons as for production costs per ounce
- Full Year 2023 – Minesite costs per tonne decreased when compared to the prior year period primarily due to the same reasons as for production costs per tonne. Total cash costs per ounce decreased when compared to the prior year period due to the same reasons as for production costs per ounce
Highlights
- On October 27, 2023, the Supreme Administrative Court of
Finland ("SAC") confirmed that the environmental permits granted to Agnico Eagle Finland in 2020 remain valid and production can continue at a rate of 2.0 mtpa in accordance with the permit. The Company operated Kittila at an annualized rate of 2.0 mtpa in the first nine months of 2023 and, following the SAC decision, the Company was able to maintain that production rate uninterrupted for the remainder of the year - During the fourth quarter of 2023, a four day unplanned maintenance shutdown was necessary to clean the autoclave which affected mill throughput
- At the mine, the production hoist ramp up was completed and
100% of ore was hoisted via the shaft in December - A decline in input costs for electricity, contractors and explosives, coupled with the commissioning of the production shaft, has led to a continued decrease in minesite costs per tonne during the fourth quarter of 2023 when compared to previous quarters during 2023
- The successful implementation of several environmental initiatives, including the nitrogen removal plant, has bolstered Kittila's environmental performance and the mine's emissions remained below
75% of the permitted limits for the full year
Pinos Altos Mine – Operating Statistics | Three Months Ended | Year Ended | ||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022 | |||
Tonnes of ore milled (thousands of tonnes) | 441 | 382 | 1,656 | 1,510 | ||
Tonnes of ore milled per day | 4,793 | 4,152 | 4,537 | 4,137 | ||
Gold grade (g/t) | 1.91 | 2.14 | 1.92 | 2.07 | ||
Gold production (ounces) | 25,963 | 25,291 | 97,642 | 96,522 | ||
Production costs per tonne | $ 87 | $ 98 | $ 88 | $ 96 | ||
Minesite costs per tonne | $ 88 | $ 97 | $ 88 | $ 94 | ||
Production costs per ounce of gold produced | $ 1,470 | $ 1,485 | $ 1,495 | $ 1,497 | ||
Total cash costs per ounce of gold produced | $ 1,210 | $ 1,255 | $ 1,229 | $ 1,249 | ||
Gold Production
- Fourth Quarter of 2023 – Gold production increased when compared to the prior-year period primarily due to the higher volume of ore milled, partially offset by lower gold grades
- Full Year 2023 – Gold production increased when compared to the prior-year period primarily due to higher volume of ore milled, partially offset by lower gold grades
Production Costs
- Fourth Quarter of 2023 – Production costs per tonne decreased when compared to the prior-year period due to the higher volume of ore milled in the current period, partially offset by the increase in milling costs due to higher input prices. Production costs per ounce decreased when compared to the prior-year period due to more ounces of gold produced in the current period, partially offset by higher milling costs and the strengthening of the Mexican Peso relative to the
U.S. dollar - Full Year 2023 – Production costs per tonne decreased when compared to the prior-year period due to the higher volume of ore milled in the current period, partially offset by the increase in open pit mining and milling costs due to higher input prices. Production costs per ounce decreased when compared to the prior-year period due to the same reasons outlined above and the strengthening of the Mexican Peso relative to the
U.S. dollar, partially offset by more ounces of gold being produced in the period
Minesite and Total Cash Costs
- Fourth Quarter of 2023 – Minesite costs per tonne decreased when compared to the prior-year period due to higher volume of ore processed, partially offset by higher open pit mining and milling costs from higher input prices. Total cash costs per ounce decreased when compared to the prior-year period due to lower underground mining costs and more ounces of gold being produced in the period, partially offset by higher open pit mining and milling costs and the stronger Mexican Peso relative to the
U.S. dollar - Full Year 2023 – Minesite costs per tonne decreased when compared to the prior year period primarily due to higher volume of ore processed, partially offset by higher open pit mining and milling costs from higher input prices. Total cash costs per ounce decreased when compared to the prior year period for the same reasons outlined above for production costs per tonne and the stronger Mexican Peso relative to the
U.S. dollar, partially offset by more ounces of gold produced in the period
Highlights
- During the fourth quarter of 2023, strong mining performance at the open pit operations offset lower ore tonnes mined from the underground operations due to mining smaller stopes and resulted in stable production quarter-over-quarter
- Production from the San Eligio zone continued to ramp up in the fourth quarter of 2023, with seven stopes mined in the quarter, and provides increased production flexibility to the
Pinos Altos mine
La
La India Mine – Operating Statistics | Three Months Ended | Year Ended | ||||
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2022 | |||
Tonnes of ore milled (thousands of tonnes) | 500 | 1,138 | 3,010 | 5,102 | ||
Tonnes of ore milled per day | 5,435 | 12,370 | 8,247 | 13,978 | ||
Gold grade (g/t) | 0.92 | 0.57 | 0.87 | 0.59 | ||
Gold production (ounces) | 19,481 | 16,669 | 75,904 | 74,672 | ||
Production costs per tonne | $ 49 | $ 18 | $ 32 | $ 15 | ||
Minesite costs per tonne | $ 45 | $ 20 | $ 32 | $ 16 | ||
Production costs per ounce of gold produced | $ 1,254 | $ 1,245 | $ 1,271 | $ 1,021 | ||
Total cash costs per ounce of gold produced | $ 1,149 | $ 1,369 | $ 1,241 | $ 1,056 | ||
Gold Production
- Fourth Quarter of 2023 – Gold production increased when compared to the prior-year period primarily due to higher gold grades, partially offset by fewer tonnes of ore placed on the heap leach after the depletion of the open pit
- Full Year 2023 – Gold production increased when compared to the prior-year period primarily due to higher gold grades, partially offset by fewer tonnes of ore placed on the heap leach after the depletion of the open pit
Production Costs
- Fourth Quarter of 2023 – Production costs per tonne increased when compared to the prior-year period primarily due to the lower volume of ore placed on the heap leach in the current period after the depletion of the open pit. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above and the strengthening of the Mexican Peso relative to the
U.S. dollar, partially offset by more ounces of gold produced in the current period - Full Year 2023 – Production costs per tonne increased when compared to the prior-year period due to the lower volume of ore placed on the heap leach in the current period after the depletion of the open pit, partially offset by lower open pit mining costs. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for production costs per tonne and the strengthening of the Mexican Peso relative to the
U.S. dollar, partially offset by more ounces of gold produced in the current period
Minesite and Total Cash Costs
- Fourth Quarter of 2023 – Minesite costs per tonne increased when compared to the prior-year period primarily due to the lower volume of ore placed on the heap leach in the current period after the depletion of the open pit. Total cash costs per ounce decreased when compared to the prior-year period due to more ounces of gold produced in the period, partially offset by the strengthening of the Mexican Peso relative to the
U.S. dollar between periods - Full Year 2023 – Minesite costs per tonne increased when compared to the prior-year period primarily due to the lower volume of ore placed on the heap leach in the current period. Total cash costs per ounce increased when compared to the prior year period primarily due to the consumption of heap leach stockpiles with the cessation of mining operations and the strengthening of the Mexican Peso relative to the
U.S. dollar, partially offset by more ounces of gold produced in the current period
Highlights
- Mining and crushing activities were completed in the fourth quarter of 2023, with residual leaching to continue into 2024
- Gold production in the fourth quarter of 2023 was better than planned, primarily as a result of higher gold grades than anticipated at the bottom of the open pit
About Agnico Eagle
Agnico Eagle is a Canadian based and led senior gold mining company and the third largest gold producer in the world, producing precious metals from operations in
Note Regarding Certain Measures of Performance
This news release discloses certain financial performance measures and ratios, including "total cash costs per ounce", "all-in sustaining costs per ounce", "adjusted net income", "adjusted net income per share", "cash provided by operating activities before working capital adjustments", "cash provided by operating activities before working capital adjustments per share", "earnings before interest, taxes, depreciation and amortization" (also referred to as EBITDA), "adjusted EBITDA", "free cash flow", "free cash flow before changes in non-cash components of working capital", "operating margin", "sustaining capital expenditures", "development capital expenditures", "net debt" and "minesite costs per tonne" that are not standardized measures under IFRS. These measures may not be comparable to similar measures reported by other gold mining companies. For a reconciliation of these measures to the most directly comparable financial information reported in the consolidated financial statements prepared in accordance with IFRS, other than adjusted net income, see "Reconciliation of Non-GAAP Financial Performance Measures" below.
Total cash costs per ounce of gold produced
Total cash costs per ounce of gold produced (also referred to as "total cash costs per ounce") is reported on both a by-product basis (deducting by-product metal revenues from production costs) and co-product basis (without deducting by-product metal revenues). Total cash costs per ounce of gold produced on a by-product basis is calculated by adjusting production costs as recorded in the consolidated statements of (loss) income for by-product revenues, inventory production costs, the impact of purchase price allocation in connection with mergers and acquisitions on inventory accounting, realized gains and losses on hedges of production costs, operational care and maintenance costs due to COVID-19 and other adjustments, which include the costs associated with a
Total cash costs per ounce of gold produced on a co-product basis is calculated in the same manner as the total cash costs per ounce of gold produced on a by-product basis, except that no adjustment is made for by-product metal revenues. Accordingly, the calculation of total cash costs per ounce of gold produced on a co-product basis does not reflect a reduction in production costs or smelting, refining and marketing charges associated with the production and sale of by-product metals.
Total cash costs per ounce of gold produced is intended to provide investors information about the cash-generating capabilities of the Company's mining operations. Management also uses these measures to, and believes they are helpful to investors so investors can, understand and monitor the performance of the Company's mining operations. The Company believes that total cash costs per ounce is useful to help investors understand the costs associated with producing gold and the economics of gold mining. As market prices for gold are quoted on a per ounce basis, using the total cash costs per ounce of gold produced on a by-product basis measure allows management and investors to assess a mine's cash-generating capabilities at various gold prices. Management is aware, and investors should note, that these per ounce measures of performance can be affected by fluctuations in exchange rates and, in the case of total cash costs per ounce of gold produced on a by-product basis, by-product metal prices. Management compensates for these inherent limitations by using, and investors should also consider using, these measures in conjunction with data prepared in accordance with IFRS and minesite costs per tonne as it is not necessarily indicative of operating costs or cash flow measures prepared in accordance with IFRS. Management also performs sensitivity analyses in order to quantify the effects of fluctuating metal prices and exchange rates.
Agnico Eagle's primary business is gold production and the focus of its current operations and future development is on maximizing returns from gold production, with other metal production being incidental to the gold production process. Accordingly, all metals other than gold are considered by-products.
In this news release, unless otherwise indicated, total cash costs per ounce of gold produced is reported on a by-product basis. Total cash costs per ounce of gold produced is reported on a by-product basis because (i) the majority of the Company's revenues are from gold, (ii) the Company mines ore, which contains gold, silver, zinc, copper and other metals, (iii) it is not possible to specifically assign all costs to revenues from the gold, silver, zinc, copper and other metals the Company produces, (iv) it is a method used by management and the Board of Directors to monitor operations, and (v) many other gold producers disclose similar measures on a by-product rather than a co-product basis.
All-in sustaining costs per ounce of gold produced
All-in sustaining costs per ounce of gold produced (also referred to as "all-in sustaining costs per ounce" or "AISC per ounce") on a by-product basis is calculated as the aggregate of total cash costs on a by-product basis, sustaining capital expenditures (including capitalized exploration), general and administrative expenses (including stock options), lease payments related to sustaining assets and reclamation expenses, and then dividing by the number of ounces of gold produced. These additional costs reflect the additional expenditures that are required to be made to maintain current production levels. The AISC per ounce on a co-product basis is calculated in the same manner as the AISC per ounce on a by-product basis, except that the total cash costs on a co-product basis are used, meaning no adjustment is made for by-product metal revenues. Investors should note that AISC per ounce is not reflective of all cash expenditures as it does not include income tax payments, interest costs or dividend payments, nor does it include noncash expenditures, such as depreciation and amortization. In this news release, unless otherwise indicated, all-in sustaining costs per ounce of gold produced is reported on a byproduct basis (see "—Total cash costs per ounce of gold produced" for a discussion of regarding the Company's use of by-product basis reporting).
Management believes that AISC per ounce is helpful to investors as it reflects total sustaining expenditures of producing and selling an ounce of gold while maintaining current operations and, as such, provides helpful information about operating performance. Management is aware, and investors should note, that these per ounce measures of performance can be affected by fluctuations in foreign exchange rates and, in the case of total cash costs per ounce and AISC per ounce on a by-product basis, by-product metal prices. Management compensates for these inherent limitations by using, and investors should also consider using, these measures in conjunction with data prepared in accordance with IFRS and minesite costs per tonne as it is not necessarily indicative of operating costs or cash flow measures prepared in accordance with IFRS.
The Company follows the guidance on calculation of AISC per ounce released by the World Gold Council ("WGC") in 2018. The WGC is a non-regulatory market development organization for the gold industry that has worked closely with its member companies to develop guidance in respect of relevant non-GAAP measures. Notwithstanding the Company's adoption of the WGC's guidance, AISC per ounce of gold produced reported by the Company may not be comparable to data reported by other gold mining companies.
Adjusted net income and adjusted net income per share
Adjusted net income is calculated by adjusting the net (loss) income as recorded in the consolidated statements of (loss) income for the effects of certain non-recurring, unusual and other items that the Company believes are not reflective of the Company's underlying performance for the reporting period. Adjusted net income is calculated by adjusting net (loss) income for foreign currency translation gains or losses, realized and unrealized gains or losses on derivative financial instruments, revaluation gain, impairment loss charges and reversals, environmental remediation, severance and transaction costs related to acquisitions, integration costs, purchase price allocations to inventory, self-insurance losses, gains and losses on the disposal of assets, income and mining taxes adjustments as well as other items (which include payments that relate to prior years and disposals of supplies inventory at non-operating sites). Adjusted net income per share is calculated by dividing adjusted net income by the weighted average number of shares outstanding at the end of the period on a basic and diluted basis.
The Company believes that adjusted net income and adjusted net income per share are useful to investors in that they allow for the evaluation of the results of continuing operations and in making comparisons between periods. These generally accepted industry measures are intended to provide investors with information about the Company's continuing income generating capabilities from its core mining business, excluding the above adjustments, which the Company believes are not reflective of operational performance. Management uses this measure to, and believes it is helpful to investors so they can, understand and monitor for the operating performance of the Company in conjunction with other data prepared in accordance with IFRS. Adjusted net income and adjusted net income per share are not standardized measures under IFRS and, as reported by the Company, may not be comparable to similarly labelled measures reported by other companies.
Cash provided by operating activities before working capital adjustments and cash provided by operating activities before working capital adjustments per share
Cash provided by operating activities before working capital adjustments and cash provided by operating activities before working capital adjustments per share are calculated by adjusting the cash provided by operating activities as shown in the consolidated statements of cash flows for the effects of changes in non-cash components of working capital such as trade receivables, income taxes, inventories, other current assets, accounts payable and accrued liabilities and interest payable. The per share amount is calculated by dividing cash provided by operating activities before working capital adjustments by the weighted average number of shares outstanding on a basic basis. The Company believes that changes in working capital can be volatile due to numerous factors, including the timing of payments. Management uses these measures to, and believe they are useful to investors so they can, assess the underlying operating cash flow performance and future operating cash flow generating capabilities of the Company in conjunction with other data prepared in accordance with IFRS.
EBITDA and adjusted EBITDA
EBITDA, or earnings before interest, taxes, depreciation and amortization, is calculated by adjusting the net (loss) income as recorded in the consolidated statements of (loss) income for finance costs, amortization of property, plant and mine development and income and mining tax expense line items as reported in the consolidated statements of (loss) income. EBITDA removes the effects of certain non-recurring, unusual and other items that the Company believes are not reflective of the Company's underlying performance for the reporting period. Adjusted EBITDA is calculated by adjusting the EBITDA calculation for foreign currency translation gains or losses, realized and unrealized gains or losses on derivative financial instruments, revaluation gains and losses, impairment loss charges and reversals, environmental remediation, severance and transaction costs related to acquisitions, integration costs, purchase price allocations to inventory, self-insurance losses, gains and losses on the disposal of assets, as well as other items (which include payments that relate to prior years and disposals of supplies inventory at non-operating sites).
The Company believes EBITDA and adjusted EBITDA are useful to investors in that they allow for the evaluation of the liquidity generating capability of the Company to fund its working capital, capital expenditure and debt repayments. These generally accepted industry measures are intended to provide investors with information about the Company's continuing cash generating capability from its core mining business, excluding the above adjustments, which management believes are not reflective of operational performance. Management uses these measures to, and believes it is helpful to investors so they can, understand and monitor the cash generating capability of the Company in conjunction with other data prepared in accordance with IFRS. EBITDA and adjusted EBITDA are not standardized measures under IFRS and, as reported by the Company, may not be comparable to similarly labelled measures reported by other companies.
Free cash flow and Free cash flow before changes in non-cash components of working capital
Free cash flow is calculated by deducting additions to property, plant and mine development from the cash provided by operating activities line item as recorded in the consolidated statements of cash flows. Free cash flow before changes in non-cash components of working capital is calculated by excluding the effect of changes in non-cash components of working capital from free cash flow such as trade receivables, income taxes, inventory, other current assets, accounts payable and accrued liabilities and interest payable.
The Company believes that free cash flow and free cash flow before changes in non-cash components of working capital are useful in that they allow for the evaluation of the Company's ability to repay creditors and return cash to shareholders without relying on external sources of funding. These generally accepted industry measures also provide investors with information about the Company's financial position and its ability to generate cash to fund operational and capital requirements as well as return cash to shareholders. Management uses these measures in conjunction with other data prepared in accordance with IFRS, and believes it is helpful to investors so they can, understand and monitor the cash generating capability of the Company. Free cash flow and free cash flow before changes in non-cash components of working capital are not standardized measures under IFRS and, as reported by the Company, may not be comparable to similarly labelled measures reported by other companies.
Operating margin
Operating margin is calculated by deducting production costs from revenue from mining operations. In order to reconcile operating margin to net income as recorded in the consolidated financial statements, the Company adds the following items to the operating margin: income and mining taxes expense; other expenses (income); care and maintenance expenses; foreign currency translation (gain) loss; environmental remediation costs; gain (loss) on derivative financial instruments; finance costs; general and administrative expenses; amortization of property, plant and mine development; exploration and corporate development expenses; revaluation gain and impairment losses (reversals). The Company believes that operating margin is a useful measure to investors as it reflects the operating performance of its individual mines associated with the ongoing production and sale of gold and by-product metals without allocating Company-wide overhead, including exploration and corporate development expenses, amortization of property, plant and mine development, general and administrative expenses, finance costs, gain and losses on derivative financial instruments, environmental remediation costs, foreign currency translation gains and losses, other expenses and income and mining tax expenses. Management uses this measure internally to plan and forecast future operating results. Management believes this measure is helpful to investors as it provides them with additional information about the Company's underlying operating results and should be evaluated in conjunction with other data prepared in accordance with IFRS. Operating margin is not a standardized measure under IFRS and, as reported by the Company, may not be comparable to similarly labelled measures reported by other companies.
Sustaining capital expenditures and development capital expenditures
Capital expenditures are classified into sustaining capital expenditures and development capital expenditures. Sustaining capital expenditures are expenditures incurred during the production phase to sustain and maintain existing assets so they can achieve constant expected levels of production from which the Company will derive economic benefits. Sustaining capital expenditures include expenditure for assets to retain their existing productive capacity as well as to enhance performance and reliability of the operations. Development capital expenditures represent the spending at new projects and/or expenditures at existing operations that are undertaken with the intention to increase production levels or mine life above the current plans. Management uses these measures in the capital allocation process and to assess the effectiveness of its investments. Management believes these measures are useful so investors can assess the purpose and effectiveness of the capital expenditures split between sustaining and development in each reporting period. The classification between sustaining and development capital expenditures does not have a standardized definition in accordance with IFRS and other companies may classify expenditures in a different manner.
Net debt
Net debt is calculated by adjusting the total of the current portion of long-term debt and non-current long-term debt as recorded on the consolidated balance sheet for deferred financing costs and cash and cash equivalents. Management believes the measure of net debt is useful to help investors to determine the Company's overall debt position and to evaluate future debt capacity of the Company. Net debt is not a standardized measure under IFRS and, as reported by the Company, may not be comparable to similarly labelled measures reported by other companies.
Minesite costs per tonne
Minesite costs per tonne are calculated by adjusting production costs as recorded in the consolidated statements of (loss) income for inventory production costs, operational care and maintenance costs due to COVID-19 and other adjustments, and then dividing by tonnage of ore processed. As the total cash costs per ounce of gold produced can be affected by fluctuations in by–product metal prices and foreign exchange rates, management believes that minesite costs per tonne is useful to investors in providing additional information regarding the performance of mining operations, eliminating the impact of varying production levels. Management also uses this measure to determine the economic viability of mining blocks. As each mining block is evaluated based on the net realizable value of each tonne mined, in order to be economically viable the estimated revenue on a per tonne basis must be in excess of the minesite costs per tonne. Management is aware, and investors should note, that this per tonne measure of performance can be affected by fluctuations in processing levels. This inherent limitation may be partially mitigated by using this measure in conjunction with production costs and other data prepared in accordance with IFRS. Minesite costs per tonne is not a standardized measure under IFRS and, as reported by the Company, may not be comparable to similarly labelled measures reported by other gold mining companies.
Forward-Looking Non-GAAP Measures
This news release also contains information as to estimated future total cash costs per ounce, AISC per ounce and minesite costs per tonne. The estimates are based upon the total cash costs per ounce, AISC per ounce and minesite costs per tonne that the Company expects to incur to mine gold at its mines and projects and, consistent with the reconciliation of these actual costs referred to above, do not include production costs attributable to accretion expense and other asset retirement costs, which will vary over time as each project is developed and mined. It is therefore not practicable to reconcile these forward-looking non-GAAP financial measures to the most comparable IFRS measure.
Forward-Looking Statements
The information in this news release has been prepared as at February 15, 2024. Certain statements contained in this news release 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 and are referred to herein as "forward-looking statements". All statements, other than statements of historical fact, that address circumstances, events, activities or developments that could, or may or will occur are forward-looking statements. When used in this news release, the words "achieve", "aim", "anticipate", "could", "estimate", "expect", "forecast", "future", "plan", "possible", "potential", "schedule", "target", "tracking", "will", and similar expressions are intended to identify forward-looking statements. Such statements include, without limitation: the Company's forward-looking guidance, including metal production, estimated ore grades, recovery rates, project timelines, drilling targets or results, life of mine estimates, total cash costs per ounce, AISC per ounce, minesite costs per tonne, other expenses and cash flows; the potential for additional gold production at the Upper Beaver project and the Company's other sites; the estimated timing and conclusions of the Company's studies and evaluations; the methods by which ore will be extracted or processed; the Company's expansion plans at Detour Lake, Kittila, Meliadine Phase 2, the Amaruq underground project and the Odyssey project, including the timing, funding, completion and commissioning thereof and the commencement of production therefrom; the potential to optimize mining and milling through improved productivity to ensure
Notes to Investors Regarding the Use of Mineral Resources
The mineral reserve and mineral resource estimates contained in this news release have been prepared in accordance with the Canadian securities administrators' (the "CSA") National Instrument 43-101 – Standards of Disclosure for Mineral Projects ("NI 43-101").
Effective February 25, 2019, the SEC's disclosure requirements and policies for mining properties were amended to more closely align with current industry and global regulatory practices and standards, including NI 43-101. However, Canadian issuers that report in
Investors are cautioned that while the SEC now recognizes "measured mineral resources", "indicated mineral resources" and "inferred mineral resources", investors should not assume that any part or all of the mineral deposits in these categories will ever be converted into a higher category of mineral resources or into mineral reserves. These terms have a great amount of uncertainty as to their economic and legal feasibility. Under Canadian regulations, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies, except in limited circumstances. Investors are cautioned not to assume that any "measured mineral resources", "indicated mineral resources", or "inferred mineral resources" that the Company reports in this news release are or will be economically or legally mineable.
Further, "inferred mineral resources" have a great amount of uncertainty as to their existence and as to their economic and legal feasibility. It cannot be assumed that any part or all of an inferred mineral resource will ever be upgraded to a higher category.
The mineral reserve and mineral resource data set out in this news release are estimates, and no assurance can be given that the anticipated tonnages and grades will be achieved or that the indicated level of recovery will be realized. The Company does not include equivalent gold ounces for by-product metals contained in mineral reserves in its calculation of contained ounces and mineral reserves are not reported as a subset of mineral resources.
Scientific and Technical Information
The scientific and technical information contained in this news release relating to
Detailed Mineral Reserve and Mineral Resource Data
MINERAL RESERVES | |||||||||||
As at December 31, 2023 | |||||||||||
OPERATION / PROJECT | PROVEN | PROBABLE | PROVEN & PROBABLE | ||||||||
GOLD | Mining | 000 Tonnes | g/t | 000 Oz | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz | Recovery |
LaRonde mine1 | U/G | 2,342 | 4.98 | 375 | 8,568 | 6.79 | 1,870 | 10,910 | 6.40 | 2,244 | 94.7 |
LaRonde Zone 52 | U/G | 4,450 | 2.11 | 301 | 4,523 | 2.30 | 334 | 8,972 | 2.20 | 636 | 94.7 |
LaRonde complex Total | 6,791 | 3.10 | 676 | 13,091 | 5.24 | 2,204 | 19,882 | 4.51 | 2,880 | ||
Canadian | O/P | 45,474 | 0.58 | 852 | 45,332 | 1.09 | 1,584 | 90,806 | 0.83 | 2,436 | 89.0 |
East Gouldie4 | U/G | — | — | — | 47,005 | 3.42 | 5,173 | 47,005 | 3.42 | 5,173 | 94.6 |
Odyssey deposits5 | U/G | 17 | 2.25 | 1 | 4,422 | 2.17 | 308 | 4,440 | 2.17 | 310 | 95.3 |
Canadian | 45,491 | 0.58 | 853 | 96,760 | 2.27 | 7,065 | 142,251 | 1.73 | 7,919 | ||
Goldex6 | U/G | 797 | 2.60 | 66 | 16,873 | 1.54 | 834 | 17,669 | 1.59 | 901 | 85.8 |
Akasaba West7 | O/P | 203 | 0.84 | 5 | 4,823 | 0.89 | 138 | 5,025 | 0.89 | 143 | 77.1 |
Quebec Total | 53,282 | 0.93 | 1,601 | 131,546 | 2.42 | 10,242 | 184,828 | 1.99 | 11,843 | ||
Detour Lake (Above 0.5 g/t) | O/P | 70,048 | 1.14 | 2,565 | 484,633 | 0.90 | 14,029 | 554,681 | 0.93 | 16,594 | 91.9 |
Detour Lake (Below 0.5 g/t) | O/P | 48,656 | 0.43 | 666 | 215,712 | 0.38 | 2,669 | 264,368 | 0.39 | 3,335 | 90.0 |
Detour Lake Total8 | 118,703 | 0.85 | 3,230 | 700,346 | 0.74 | 16,698 | 819,049 | 0.76 | 19,928 | ||
Macassa mine9 | U/G | 248 | 16.17 | 129 | 3,959 | 14.34 | 1,825 | 4,207 | 14.45 | 1,954 | 97.4 |
Macassa Near Surface10 | U/G | 2 | 4.23 | — | 117 | 5.96 | 22 | 119 | 5.93 | 23 | 95.0 |
AK deposit11 | U/G | — | — | — | 742 | 6.69 | 160 | 742 | 6.69 | 160 | 95.0 |
Macassa Total | 249 | 16.10 | 129 | 4,818 | 12.96 | 2,007 | 5,067 | 13.11 | 2,136 | ||
Upper Beaver12 | U/G | — | — | — | 7,992 | 5.43 | 1,395 | 7,992 | 5.43 | 1,395 | 95.0 |
Hammond Reef13 | O/P | — | — | — | 123,473 | 0.84 | 3,323 | 123,473 | 0.84 | 3,323 | 89.2 |
Ontario Total | 118,952 | 0.88 | 3,359 | 836,629 | 0.87 | 23,424 | 955,581 | 0.87 | 26,783 | ||
Amaruq | O/P | 3,010 | 1.58 | 153 | 9,469 | 3.76 | 1,146 | 12,479 | 3.24 | 1,299 | 91.7 |
Amaruq | U/G | 49 | 5.96 | 9 | 2,829 | 5.81 | 528 | 2,878 | 5.81 | 538 | 91.7 |
Meadowbank complex Total14 | 3,059 | 1.65 | 162 | 12,298 | 4.23 | 1,674 | 15,357 | 3.72 | 1,837 | ||
Meliadine | O/P | 266 | 4.27 | 37 | 4,632 | 4.46 | 664 | 4,898 | 4.45 | 700 | 94.7 |
Meliadine | U/G | 1,514 | 7.57 | 369 | 11,846 | 6.30 | 2,398 | 13,360 | 6.44 | 2,767 | 96.3 |
Meliadine Total15 | 1,780 | 7.08 | 405 | 16,478 | 5.78 | 3,062 | 18,258 | 5.91 | 3,467 | ||
Hope Bay16 | U/G | 93 | 6.77 | 20 | 16,123 | 6.51 | 3,377 | 16,216 | 6.52 | 3,397 | 87.5 |
Nunavut Total | 4,932 | 3.71 | 588 | 44,899 | 5.62 | 8,113 | 49,831 | 5.43 | 8,701 | ||
U/G | 679 | 12.52 | 273 | 7,897 | 5.55 | 1,409 | 8,576 | 6.10 | 1,682 | 95.0 | |
Australia Total | 679 | 12.52 | 273 | 7,897 | 5.55 | 1,409 | 8,576 | 6.10 | 1,682 | ||
Kittila18 | U/G | 984 | 4.11 | 130 | 25,943 | 4.14 | 3,454 | 26,926 | 4.14 | 3,584 | 86.9 |
Europe Total | 984 | 4.11 | 130 | 25,943 | 4.14 | 3,454 | 26,926 | 4.14 | 3,584 | ||
O/P | 24 | 1.21 | 1 | 2,363 | 1.21 | 92 | 2,387 | 1.21 | 93 | 94.4 | |
U/G | 2,386 | 2.14 | 164 | 4,150 | 2.17 | 290 | 6,536 | 2.16 | 454 | 94.2 | |
Pinos Altos Total19 | 2,410 | 2.13 | 165 | 6,514 | 1.82 | 381 | 8,924 | 1.90 | 546 | ||
San Nicolás ( | O/P | 23,858 | 0.41 | 314 | 28,761 | 0.39 | 358 | 52,619 | 0.40 | 672 | 17.6 |
Mexico Total | 26,268 | 0.57 | 479 | 35,275 | 0.65 | 739 | 61,543 | 0.62 | 1,219 | ||
Total Gold | 205,096 | 0.98 | 6,430 | 1,082,188 | 1.36 | 47,380 | 1,287,284 | 1.30 | 53,811 | ||
SILVER | Mining | 000 Tonnes | g/t | 000 Oz | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz | Recovery |
LaRonde | U/G | 2,342 | 14.32 | 1,078 | 8,568 | 21.60 | 5,950 | 10,910 | 20.04 | 7,028 | 74.9 |
O/P | 24 | 43.30 | 33 | 2,363 | 36.35 | 2,762 | 2,387 | 36.42 | 2,796 | 44.5 | |
U/G | 2,386 | 40.03 | 3,070 | 4,150 | 47.41 | 6,326 | 6,536 | 44.71 | 9,396 | 49.3 | |
Pinos Altos Total | 2,410 | 40.06 | 3,104 | 6,514 | 43.40 | 9,088 | 8,924 | 42.50 | 12,192 | ||
San Nicolás ( | O/P | 23,858 | 23.93 | 18,356 | 28,761 | 20.91 | 19,333 | 52,619 | 22.28 | 37,689 | 38.2 |
Total Silver | 28,609 | 24.50 | 22,538 | 43,843 | 24.38 | 34,371 | 72,453 | 24.43 | 56,909 | ||
COPPER | Mining | 000 Tonnes | % | tonnes | 000 | % | tonnes | 000 | % | tonnes | Recovery |
LaRonde | U/G | 2,342 | 0.19 | 4,558 | 8,568 | 0.30 | 25,341 | 10,910 | 0.27 | 29,899 | 83.6 |
Akasaba West | O/P | 203 | 0.44 | 890 | 4,823 | 0.50 | 24,262 | 5,025 | 0.50 | 25,153 | 83.6 |
Upper Beaver | U/G | — | — | — | 7,992 | 0.25 | 19,980 | 7,992 | 0.25 | 19,980 | 90.0 |
San Nicolás ( | O/P | 23,858 | 1.26 | 299,809 | 28,761 | 1.01 | 291,721 | 52,619 | 1.12 | 591,530 | 75.7 |
Total Copper | 26,402 | 1.16 | 305,258 | 50,144 | 0.72 | 361,305 | 76,546 | 0.87 | 666,562 | ||
ZINC | Mining | 000 Tonnes | % | tonnes | 000 | % | tonnes | 000 | % | tonnes | Recovery |
LaRonde | U/G | 2,342 | 0.62 | 14,424 | 8,568 | 1.08 | 92,164 | 10,910 | 0.98 | 106,588 | 69.2 |
San Nicolás ( | O/P | 23,858 | 1.61 | 383,313 | 28,761 | 1.37 | 394,115 | 52,619 | 1.48 | 777,428 | 65.5 |
Total Zinc | 26,199 | 1.52 | 397,736 | 37,330 | 1.30 | 486,280 | 63,529 | 1.39 | 884,016 | ||
*Underground ("U/G"), Open Pit ("O/P") |
** Represents metallurgical recovery percentage |
1 LaRonde mine: Net smelter value cut-off varies according to mining type and depth, not less than |
2 LaRonde Zone 5: Gold cut-off grade varies according to stope size and depth, not less than 1.56 g/t. |
3 Canadian Malartic: Gold cut-off grade not less than 0.34 g/t for Barnat pit. |
4 East Gouldie: Gold cut-off grade not less than 1.67 g/t. |
5 Odyssey deposits: Gold cut-off grade varies according to mining zone and depth, not less than 1.53 g/t. |
6 Goldex: Gold cut-off grade varies according to mining type and depth, not less than 1.00 g/t. |
7 Akasaba West: Net smelter value cut-off varies, not less than |
8 Detour Lake: Gold cut-off grade not less than 0.30 g/t. |
9 Macassa mine: Gold cut-off grade varies according to mining type, not less than 3.71 g/t for long hole method and 4.41 g/t for cut and fill method. |
10 Macassa Near Surface: Gold cut-off grade not less than 4.33 g/t. |
11 Amalgamated |
12 Upper Beaver: Net smelter value cut-off not less than |
13 Hammond Reef: Gold cut-off grade not less than 0.41 g/t. |
14 Amaruq: Gold cut-off grade varies according to mining type, not less than 1.14 g/t for open pit mineral reserves and 3.42 g/t for underground mineral reserves (gold cut-off grade for marginal underground mineral reserves from development is 1.14 g/t). |
15 Meliadine: Gold cut-off grade varies according to mining type, not less than 1.80 g/t for open pit mineral reserves and 4.40 g/t for underground mineral reserves (gold cut-off grade for marginal underground mineral reserves from development is 1.80 g/t). |
16 Hope Bay: Gold cut-off grade not less than 4.00 g/t. |
17 |
18 Kittila: Gold cut-off grade varies according to haulage distance, not less than 2.59 g/t. |
19 |
20San Nicolás ( |
MINERAL RESOURCES | |||||||||||||
As at December 31, 2023 | |||||||||||||
OPERATION / PROJECT | MEASURED | INDICATED | MEASURED & INDICATED | INFERRED | |||||||||
GOLD | Mining | 000 Tonnes | g/t | 000 Oz Au | 000 | g/t | 000 | 000 | g/t | 000 | 000 | g/t | 000 |
LaRonde | U/G | — | — | — | 6,424 | 3.06 | 632 | 6,424 | 3.06 | 632 | 1,569 | 5.67 | 286 |
LaRonde Zone 5 | U/G | — | — | — | 10,594 | 2.27 | 774 | 10,594 | 2.27 | 774 | 10,437 | 3.38 | 1,134 |
LaRonde complex Total | — | — | — | 17,018 | 2.57 | 1,407 | 17,018 | 2.57 | 1,407 | 12,006 | 3.68 | 1,420 | |
Canadian | O/P | — | — | — | — | — | — | — | — | — | 8,171 | 0.81 | 214 |
Odyssey | U/G | — | — | — | 1,372 | 1.71 | 75 | 1,372 | 1.71 | 75 | 19,700 | 2.29 | 1,453 |
U/G | — | — | — | 11,134 | 2.04 | 731 | 11,134 | 2.04 | 731 | 65,748 | 2.12 | 4,480 | |
East Gouldie | U/G | — | — | — | 4,853 | 1.56 | 244 | 4,853 | 1.56 | 244 | 45,239 | 2.29 | 3,331 |
Odyssey Project Total | — | — | — | 17,358 | 1.88 | 1,050 | 17,358 | 1.88 | 1,050 | 130,687 | 2.20 | 9,263 | |
Canadian Malartic Total | — | — | — | 17,358 | 1.88 | 1,050 | 17,358 | 1.88 | 1,050 | 138,858 | 2.12 | 9,477 | |
Goldex | U/G | 12,360 | 1.86 | 739 | 18,837 | 1.50 | 907 | 31,197 | 1.64 | 1,646 | 16,154 | 1.68 | 871 |
Akasaba West | O/P | — | — | — | 4,044 | 0.70 | 91 | 4,044 | 0.70 | 91 | — | — | — |
Wasamac | U/G | — | — | — | 27,850 | 2.43 | 2,173 | 27,850 | 2.43 | 2,173 | 9,232 | 2.66 | 789 |
Quebec Total | 12,360 | 1.86 | 739 | 85,109 | 2.06 | 5,628 | 97,468 | 2.03 | 6,367 | 176,249 | 2.22 | 12,558 | |
Detour Lake | O/P | 30,861 | 1.45 | 1,434 | 697,821 | 0.74 | 16,520 | 728,681 | 0.77 | 17,955 | 58,317 | 0.62 | 1,156 |
Detour Lake | U/G | — | — | — | — | — | — | — | — | — | 21,811 | 2.23 | 1,561 |
Detour Lake Zone 58N | U/G | — | — | — | 2,868 | 5.80 | 534 | 2,868 | 5.80 | 534 | 973 | 4.35 | 136 |
Detour Lake Total | 30,861 | 1.45 | 1,434 | 700,688 | 0.76 | 17,055 | 731,549 | 0.79 | 18,489 | 81,101 | 1.09 | 2,853 | |
Macassa | U/G | 258 | 10.32 | 86 | 1,910 | 8.35 | 512 | 2,168 | 8.58 | 598 | 3,692 | 9.21 | 1,094 |
Macassa Near Surface | U/G | — | — | — | 65 | 6.14 | 13 | 65 | 6.14 | 13 | 133 | 6.62 | 28 |
AK Project | U/G | — | — | — | 163 | 6.95 | 37 | 163 | 6.95 | 37 | 282 | 5.69 | 52 |
Macassa Total | 258 | 10.32 | 86 | 2,138 | 8.17 | 562 | 2,396 | 8.40 | 647 | 4,106 | 8.89 | 1,173 | |
Aquarius | O/P | — | — | — | 23,112 | 1.49 | 1,106 | 23,112 | 1.49 | 1,106 | 502 | 0.87 | 14 |
Holt complex | U/G | 5,806 | 4.29 | 800 | 5,884 | 4.75 | 898 | 11,690 | 4.52 | 1,699 | 9,097 | 4.48 | 1,310 |
Anoki-McBean | U/G | — | — | — | 3,919 | 2.77 | 349 | 3,919 | 2.77 | 349 | 867 | 3.84 | 107 |
Upper Beaver | U/G | — | — | — | 3,636 | 3.45 | 403 | 3,636 | 3.45 | 403 | 8,688 | 5.07 | 1,416 |
O/P | — | — | — | 2,006 | 1.62 | 104 | 2,006 | 1.62 | 104 | 1,020 | 1.44 | 47 | |
U/G | — | — | — | 8,433 | 2.28 | 618 | 8,433 | 2.28 | 618 | 17,588 | 3.21 | 1,816 | |
Upper Canada Total | — | — | — | 10,439 | 2.15 | 722 | 10,439 | 2.15 | 722 | 18,608 | 3.11 | 1,863 | |
Hammond Reef | O/P | 47,063 | 0.54 | 819 | 86,304 | 0.53 | 1,478 | 133,367 | 0.54 | 2,298 | — | — | — |
Ontario Total | 83,988 | 1.16 | 3,140 | 836,119 | 0.84 | 22,574 | 920,107 | 0.87 | 25,713 | 122,968 | 2.21 | 8,736 | |
Amaruq | O/P | — | — | — | 4,758 | 2.62 | 401 | 4,758 | 2.62 | 401 | 236 | 2.87 | 22 |
Amaruq | U/G | — | — | — | 8,544 | 4.37 | 1,199 | 8,544 | 4.37 | 1,199 | 3,938 | 4.75 | 602 |
Amaruq Total | — | — | — | 13,302 | 3.74 | 1,600 | 13,302 | 3.74 | 1,600 | 4,173 | 4.65 | 623 | |
Meadowbank complex Total | — | — | — | 13,302 | 3.74 | 1,600 | 13,302 | 3.74 | 1,600 | 4,173 | 4.65 | 623 | |
Meliadine | O/P | 3 | 3.17 | — | 4,613 | 3.14 | 466 | 4,615 | 3.14 | 466 | 1,135 | 4.45 | 162 |
Meliadine | U/G | 422 | 4.64 | 63 | 7,626 | 4.49 | 1,100 | 8,047 | 4.49 | 1,163 | 9,986 | 6.42 | 2,060 |
Meliadine Total | 424 | 4.63 | 63 | 12,238 | 3.98 | 1,566 | 12,663 | 4.00 | 1,629 | 11,120 | 6.22 | 2,222 | |
Hope Bay | U/G | — | — | — | 10,734 | 3.64 | 1,255 | 10,734 | 3.64 | 1,255 | 12,110 | 5.41 | 2,108 |
Nunavut Total | 424 | 4.63 | 63 | 36,274 | 3.79 | 4,421 | 36,699 | 3.80 | 4,485 | 27,404 | 5.62 | 4,953 | |
O/P | 820 | 2.81 | 74 | 1,771 | 3.87 | 220 | 2,591 | 3.53 | 294 | 326 | 2.72 | 29 | |
U/G | 262 | 3.99 | 34 | 8,758 | 4.20 | 1,184 | 9,019 | 4.20 | 1,218 | 9,693 | 4.60 | 1,433 | |
Fosterville Total | 1,082 | 3.10 | 108 | 10,528 | 4.15 | 1,404 | 11,610 | 4.05 | 1,512 | 10,019 | 4.54 | 1,461 | |
O/P | 269 | 3.65 | 32 | 16,416 | 1.42 | 749 | 16,685 | 1.46 | 781 | 13,536 | 1.75 | 762 | |
U/G | — | — | — | 5,115 | 5.39 | 887 | 5,115 | 5.39 | 887 | 4,284 | 4.45 | 613 | |
Northern Territory Total | 269 | 3.65 | 32 | 21,531 | 2.36 | 1,636 | 21,800 | 2.38 | 1,668 | 17,820 | 2.40 | 1,376 | |
Australia Total | 1,351 | 3.21 | 139 | 32,059 | 2.95 | 3,040 | 33,410 | 2.96 | 3,180 | 27,839 | 3.17 | 2,837 | |
Kittilä | O/P | — | — | — | — | — | — | — | — | — | 373 | 3.89 | 47 |
Kittilä | U/G | 4,299 | 2.91 | 402 | 13,632 | 2.93 | 1,285 | 17,931 | 2.93 | 1,687 | 6,192 | 5.13 | 1,020 |
Kittilä Total | 4,299 | 2.91 | 402 | 13,632 | 2.93 | 1,285 | 17,931 | 2.93 | 1,687 | 6,565 | 5.06 | 1,067 | |
Barsele | O/P | — | — | — | 3,178 | 1.08 | 111 | 3,178 | 1.08 | 111 | 2,260 | 1.25 | 91 |
Barsele | U/G | — | — | — | 1,158 | 1.77 | 66 | 1,158 | 1.77 | 66 | 13,552 | 2.10 | 914 |
Barsele Total | — | — | — | 4,335 | 1.27 | 176 | 4,335 | 1.27 | 176 | 15,811 | 1.98 | 1,005 | |
Europe Total | 4,299 | 2.91 | 402 | 17,967 | 2.53 | 1,461 | 22,266 | 2.60 | 1,863 | 22,376 | 2.88 | 2,072 | |
O/P | — | — | — | 1,266 | 1.03 | 42 | 1,266 | 1.03 | 42 | 445 | 1.27 | 18 | |
U/G | — | — | — | 10,394 | 1.92 | 643 | 10,394 | 1.92 | 643 | 1,431 | 1.87 | 86 | |
Pinos Altos Total | — | — | — | 11,659 | 1.83 | 685 | 11,659 | 1.83 | 685 | 1,876 | 1.73 | 104 | |
La | O/P | 4,478 | 0.52 | 74 | 814 | 0.54 | 14 | 5,292 | 0.52 | 88 | 66 | 0.40 | 1 |
San Nicolás ( | O/P | 261 | 0.08 | 1 | 3,037 | 0.20 | 19 | 3,297 | 0.19 | 20 | 2,468 | 0.13 | 10 |
Tarachi | O/P | — | — | — | 19,290 | 0.58 | 361 | 19,290 | 0.58 | 361 | 242 | 0.52 | 4 |
Chipriona | O/P | — | — | — | 10,983 | 0.92 | 326 | 10,983 | 0.92 | 326 | 976 | 0.66 | 21 |
El Barqueño Gold | O/P | — | — | — | 8,834 | 1.16 | 331 | 8,834 | 1.16 | 331 | 9,628 | 1.13 | 351 |
O/P | — | — | — | 19,267 | 0.91 | 563 | 19,267 | 0.91 | 563 | 9,819 | 1.36 | 429 | |
U/G | — | — | — | — | — | — | — | — | — | 9,079 | 3.44 | 1,004 | |
Santa Gertrudis Total | — | — | — | 19,267 | 0.91 | 563 | 19,267 | 0.91 | 563 | 18,898 | 2.36 | 1,433 | |
Total | 4,739 | 0.49 | 75 | 73,884 | 0.97 | 2,299 | 78,623 | 0.94 | 2,373 | 34,154 | 1.75 | 1,923 | |
Total Gold | 107,161 | 1.32 | 4,558 | 1,081,412 | 1.13 | 39,423 | 1,188,573 | 1.15 | 43,981 | 410,990 | 2.50 | 33,080 | |
OPERATION / PROJECT | MEASURED | INDICATED | MEASURED & INDICATED | INFERRED | |||||||||
SILVER | Mining | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz |
LaRonde | U/G | — | — | — | 6,424 | 11.98 | 2,474 | 6,424 | 11.98 | 2,474 | 1,569 | 12.25 | 618 |
O/P | — | — | — | 1,266 | 21.60 | 879 | 1,266 | 21.6 | 879 | 445 | 31.74 | 454 | |
U/G | — | — | — | 10,394 | 50.99 | 17,040 | 10,394 | 50.99 | 17,040 | 1,431 | 36.19 | 1,665 | |
Pinos Altos Total | — | — | — | 11,659 | 47.80 | 17,919 | 11,659 | 47.8 | 17,919 | 1,876 | 35.13 | 2,120 | |
La | O/P | 4,478 | 2.72 | 391 | 814 | 2.61 | 68 | 5,292 | 2.7 | 460 | 66 | 2.18 | 5 |
San Nicolás ( | O/P | 261 | 6.40 | 54 | 3,037 | 11.86 | 1,158 | 3,297 | 11.43 | 1,211 | 2,468 | 9.26 | 735 |
Chipriona | O/P | — | — | — | 10,983 | 100.72 | 35,566 | 10,983 | 100.72 | 35,566 | 976 | 86.77 | 2,722 |
El Barqueño Silver | O/P | — | — | — | — | — | — | — | — | — | 4,393 | 124.06 | 17,523 |
El Barqueño Gold | O/P | — | — | — | 8,834 | 4.73 | 1,343 | 8,834 | 4.73 | 1,343 | 9,628 | 16.86 | 5,218 |
O/P | — | — | — | 19,267 | 3.66 | 2,269 | 19,267 | 3.66 | 2,269 | 9,819 | 1.85 | 585 | |
U/G | — | — | — | — | — | — | — | — | — | 9,079 | 23.31 | 6,803 | |
Santa Gertrudis Total | — | — | — | 19,267 | 3.66 | 2,269 | 19,267 | 3.66 | 2,269 | 18,898 | 12.16 | 7,389 | |
Total Silver | 4,739 | 2.92 | 445 | 61,018 | 30.99 | 60,796 | 65,757 | 28.97 | 61,240 | 39,874 | 28.34 | 36,328 | |
COPPER | Mining | 000 | % | Tonnes | 000 | % | Tonnes | 000 | % | Tonnes | 000 | % | Tonnes |
LaRonde | U/G | — | — | — | 6,424 | 0.13 | 8,613 | 6,424 | 0.13 | 8,613 | 1,569 | 0.28 | 4,371 |
Akasaba West | O/P | — | — | — | 4,044 | 0.43 | 17,270 | 4,044 | 0.43 | 17,270 | — | — | — |
Upper Beaver | U/G | — | — | — | 3,636 | 0.14 | 5,135 | 3,636 | 0.14 | 5,135 | 8,688 | 0.20 | 17,284 |
San Nicolás ( | O/P | 261 | 1.35 | 3,526 | 3,037 | 1.17 | 35,489 | 3,297 | 1.18 | 39,015 | 2,468 | 0.94 | 23,144 |
Chipriona | O/P | — | — | — | 10,983 | 0.16 | 17,291 | 10,983 | 0.16 | 17,291 | 976 | 0.12 | 1,174 |
El Barqueño Gold | O/P | — | — | — | 8,834 | 0.19 | 16,400 | 8,834 | 0.19 | 16,400 | 9,628 | 0.22 | 21,152 |
El Barqueño Silver | O/P | — | — | — | — | — | — | — | — | — | 4,393 | 0.04 | 1,854 |
Total Copper | 261 | 1.35 | 3,526 | 36,958 | 0.27 | 100,198 | 37,218 | 0.28 | 103,724 | 27,721 | 0.25 | 68,980 | |
ZINC | Mining | 000 | % | Tonnes | 000 | % | Tonnes | 000 | % | Tonnes | 000 | % | Tonnes |
LaRonde | U/G | — | — | — | 6,424 | 0.74 | 47,404 | 6,424 | 0.74 | 47,404 | 1,569 | 0.36 | 5,600 |
San Nicolás ( | O/P | 261 | 0.39 | 1,012 | 3,037 | 0.71 | 21,618 | 3,297 | 0.69 | 22,630 | 2,468 | 0.62 | 15,355 |
Chipriona | O/P | — | — | — | 10,983 | 0.83 | 91,637 | 10,983 | 0.83 | 91,637 | 976 | 0.73 | 7,073 |
Total Zinc | 261 | 0.39 | 1,012 | 20,444 | 0.79 | 160,659 | 20,704 | 0.78 | 161,671 | 5,012 | 0.56 | 28,029 | |
*Underground ("U/G"), Open Pit ("O/P") |
Assumptions used for the December 31, 2023 mineral reserve and mineral resource estimates reported by the Company
Metal Price for Mineral Reserve Estimation* | |||
Gold (US$/oz) | Silver (US$/oz) | Copper (US$/lb) | Zinc (US$/lb) |
* Exceptions: US |
Mines / Projects | Metal Price for Mineral Resource Estimation* | |||
Gold (US$/oz) | Silver (US$/oz) | Copper (US$/lb) | Zinc (US$/lb) | |
Operating mines and pipeline projects | ||||
* Exceptions: US |
Exchange rates* | |||
C$ per US | Mexican peso per US | AUD per US | US$ per |
MXP18.00 | AUD1.36 | EUR1.10 | |
* Exceptions: exchange rate of CAD |
The above metal price assumptions are below the three-year historic average (from January 1, 2021 to December 31, 2023) of approximately
Mineral reserves are reported exclusive of mineral resources. Tonnage amounts and contained metal amounts set out in this table have been rounded to the nearest thousand, so may not aggregate to equal column totals. Mineral reserves are in-situ, taking into account all mining recoveries, before mill or heap leach recoveries. Underground mineral reserves and measured and indicated mineral resources are reported within mineable shapes and include internal and external dilution. Inferred mineral resources are reported within mineable shapes and include internal dilution. Mineable shape optimization parameters may differ for mineral reserves and mineral resources.
The mineral reserves and mineral resources tonnages reported for silver, copper and zinc are a subset of the mineral reserves and mineral resources tonnages for gold. The Company's economic parameters set the maximum price allowed to be no more than the lesser of the three–year moving average and current spot price, which is a common industry standard. Given the current commodity price environment, Agnico Eagle continues to use more conservative gold and silver prices.
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" and "inferred mineral resources". Mineral resources that are not mineral reserves do not have demonstrated economic viability.
A mineral reserve is the economically mineable part of a measured and/or indicated mineral resource. It includes diluting materials and allowances for losses, which may occur when the material is mined or extracted and is defined by studies at pre-feasibility or feasibility level as appropriate that include application of modifying factors. Such studies demonstrate that, at the time of reporting, extraction could reasonably be justified. The mineral reserves presented in this news release are separate from and not a portion of the mineral resources.
Modifying factors are considerations used to convert mineral resources to mineral reserves. These include, but are not restricted to, mining, processing, metallurgical, infrastructure, economic, marketing, legal, environmental, social and governmental factors.
A proven mineral reserve is the economically mineable part of a measured mineral resource. A proven mineral reserve implies a high degree of confidence in the modifying factors. A probable mineral reserve is the economically mineable part of an indicated and, in some circumstances, a measured mineral resource. The confidence in the modifying factors applied to a probable mineral reserve is lower than that applied to a proven mineral reserve.
A mineral resource is a concentration or occurrence of solid material of economic interest in or on the Earth's crust in such form, grade or quality and quantity that there are reasonable prospects for eventual economic extraction. The location, quantity, grade or quality, continuity and other geological characteristics of a mineral resource are known, estimated or interpreted from specific geological evidence and knowledge, including sampling.
A measured mineral resource is that part of a mineral resource for which quantity, grade or quality, densities, shape and physical characteristics are estimated with confidence sufficient to allow the application of modifying factors to support detailed mine planning and final evaluation of the economic viability of the deposit. Geological evidence is derived from detailed and reliable exploration, sampling and testing and is sufficient to confirm geological and grade or quality continuity between points of observation. An indicated mineral resource is that part of a mineral resource for which quantity, grade or quality, densities, shape and physical characteristics are estimated with sufficient confidence to allow the application of modifying factors in sufficient detail to support mine planning and evaluation of the economic viability of the deposit. Geological evidence is derived from adequately detailed and reliable exploration, sampling and testing and is sufficient to assume geological and grade or quality continuity between points of observation. An inferred mineral resource is that part of a mineral resource for which quantity and grade or quality are estimated on the basis of limited geological evidence and sampling. Geological evidence is sufficient to imply but not verify geological and grade or quality continuity.
Investors are cautioned not to assume that part or all of an inferred mineral resource exists, or is economically or legally mineable.
A feasibility study is a comprehensive technical and economic study of the selected development option for a mineral project that includes appropriately detailed assessments of applicable modifying factors, together with any other relevant operational factors and detailed financial analysis that are necessary to demonstrate, at the time of reporting, that extraction is reasonably justified (economically mineable). The results of the study may reasonably serve as the basis for a final decision by a proponent or financial institution to proceed with, or finance, the development of the project. The confidence level of the study will be higher than that of a pre-feasibility study.
Additional Information
Additional information about each of the Company's material mineral projects as at December 31, 2023, including information regarding data verification, key assumptions, parameters and methods used to estimate mineral reserves and mineral resources and the risks that could materially affect the development of the mineral reserves and mineral resources required by sections 3.2 and 3.3 and paragraphs 3.4(a), (c) and (d) of NI 43-101 can be found in the Company's AIF and MD&A filed on SEDAR each of which forms a part of the Company's Form 40-F filed with the SEC on EDGAR and in the following technical reports filed on SEDAR in respect of the Company's material mineral properties: NI 43-101 Technical Report of the LaRonde complex in
APPENDIX – FINANCIAL INFORMATION
AGNICO EAGLE MINES LIMITED | |||||||
SUMMARY OF OPERATIONS KEY PERFORMANCE INDICATORS | |||||||
(thousands of United States dollars, except where noted) | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
2023 | 2022(i) | 2023 | 2022 | ||||
Net income - key line items: | |||||||
Revenue from mine operations: | |||||||
LaRonde mine | 120,081 | 118,609 | 483,065 | 553,931 | |||
LaRonde Zone 5 mine | 31,341 | 32,978 | 130,711 | 129,569 | |||
Canadian | 330,491 | 147,412 | 1,124,480 | 575,938 | |||
Goldex mine | 62,999 | 60,319 | 272,801 | 250,512 | |||
Detour Lake mine | 351,020 | 303,878 | 1,262,839 | 1,188,741 | |||
Macassa mine | 115,682 | 74,953 | 431,827 | 327,028 | |||
Meliadine mine | 190,374 | 176,330 | 697,431 | 677,713 | |||
Meadowbank complex | 241,697 | 171,094 | 858,209 | 645,021 | |||
Hope Bay project | — | — | — | 144 | |||
98,177 | 139,098 | 552,468 | 645,371 | ||||
Kittila mine | 116,103 | 80,797 | 448,719 | 407,669 | |||
56,649 | 50,960 | 212,876 | 199,830 | ||||
Creston Mascota mine | — | 427 | — | 4,476 | |||
La | 42,026 | 27,864 | 151,483 | 135,219 | |||
Revenues from mining operations | $ 1,756,640 | $ 1,384,719 | $ 6,626,909 | $ 5,741,162 | |||
Production costs | 777,455 | 666,877 | 2,933,263 | 2,643,321 | |||
Total operating margin(ii) | 979,185 | 717,842 | 3,693,646 | 3,097,841 | |||
Amortization of property, plant and mine development | 391,556 | 285,670 | 1,491,771 | 1,094,691 | |||
Impairment loss | 787,000 | 55,000 | 787,000 | 55,000 | |||
Revaluation gain(iv) | — | — | (1,543,414) | — | |||
Exploration, corporate and other | 124,711 | 114,260 | 599,220 | 832,727 | |||
(Loss) Income before income and mining taxes | (324,082) | 262,912 | 2,359,069 | 1,115,423 | |||
Income and mining taxes expense | 56,929 | 68,807 | 417,762 | 445,174 | |||
Net (loss) income for the period | $ (381,011) | $ 194,105 | $ 1,941,307 | $ 670,249 | |||
Net (loss) income per share — basic | $ (0.77) | $ 0.43 | $ 3.97 | $ 1.53 | |||
Net (loss) income per share — diluted | $ (0.77) | $ 0.43 | $ 3.95 | $ 1.53 | |||
Cash flows: | |||||||
Cash provided by operating activities | $ 727,861 | $ 380,500 | $ 2,601,562 | $ 2,096,636 | |||
Cash used in investing activities | $ (476,170) | $ (412,685) | $ (2,760,783) | $ (710,458) | |||
Cash used in financing activities | $ (273,801) | $ (134,703) | $ (163,958) | $ (914,853) | |||
Realized prices: | |||||||
Gold (per ounce) | $ 1,982 | $ 1,728 | $ 1,946 | $ 1,797 | |||
Silver (per ounce) | $ 23.88 | $ 21.51 | $ 23.72 | $ 21.63 | |||
Zinc (per tonne) | $ 2,503 | $ 2,979 | $ 2,702 | $ 3,440 | |||
Copper (per tonne) | $ 7,998 | $ 8,206 | $ 8,544 | $ 8,381 | |||
AGNICO EAGLE MINES LIMITED | |||||||
SUMMARY OF OPERATIONS KEY PERFORMANCE INDICATORS | |||||||
(thousands of United States dollars, except where noted) | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
2023 | 2022 | 2023 | 2022 | ||||
Payable production(v): | |||||||
Gold (ounces): | |||||||
LaRonde mine | 68,520 | 62,922 | 235,991 | 284,780 | |||
LaRonde Zone 5 mine | 17,245 | 17,247 | 70,657 | 71,557 | |||
Canadian | 168,272 | 86,439 | 603,955 | 329,396 | |||
Goldex mine | 33,364 | 36,291 | 140,983 | 141,502 | |||
Detour Lake mine | 193,475 | 179,737 | 677,446 | 651,182 | |||
Macassa mine | 60,584 | 43,308 | 228,535 | 180,833 | |||
Meliadine mine | 96,285 | 103,397 | 364,141 | 372,874 | |||
Meadowbank complex | 109,226 | 94,328 | 431,666 | 373,785 | |||
49,533 | 88,634 | 277,694 | 338,327 | ||||
Kittila mine | 61,172 | 44,724 | 234,402 | 216,947 | |||
25,963 | 25,291 | 97,642 | 96,522 | ||||
Creston Mascota mine | 88 | 451 | 638 | 2,630 | |||
La | 19,481 | 16,669 | 75,904 | 74,672 | |||
Total gold (ounces): | 903,208 | 799,438 | 3,439,654 | 3,135,007 | |||
Silver (thousands of ounces) | 655 | 542 | 2,408 | 2,292 | |||
Zinc (tonnes) | 1,384 | 2,450 | 7,702 | 8,195 | |||
Copper (tonnes) | 682 | 701 | 2,617 | 2,901 | |||
AGNICO EAGLE MINES LIMITED | |||||||
SUMMARY OF OPERATIONS KEY PERFORMANCE INDICATORS | |||||||
(thousands of United States dollars, except where noted) | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
2023 | 2022 | 2023 | 2022 | ||||
Payable metal sold(vi): | |||||||
Gold (ounces): | |||||||
LaRonde mine | 54,043 | 59,565 | 226,538 | 281,495 | |||
LaRonde Zone 5 mine | 16,042 | 18,747 | 68,174 | 72,184 | |||
Canadian | 165,518 | 84,697 | 570,558 | 317,192 | |||
Goldex mine | 31,692 | 34,946 | 140,240 | 139,530 | |||
Detour Lake mine | 177,083 | 174,803 | 650,405 | 659,457 | |||
Macassa mine | 58,100 | 43,197 | 222,530 | 181,516 | |||
Meliadine mine | 96,320 | 102,933 | 358,485 | 377,711 | |||
Meadowbank complex | 121,831 | 99,434 | 439,415 | 361,457 | |||
Hope Bay mine | — | — | — | 98 | |||
49,000 | 81,750 | 284,250 | 356,335 | ||||
Kittila mine | 59,000 | 46,560 | 230,060 | 226,366 | |||
25,000 | 26,080 | 96,134 | 99,033 | ||||
Creston Mascota mine | — | 240 | — | 2,344 | |||
La | 21,000 | 15,950 | 77,343 | 73,875 | |||
Total gold (ounces): | 874,629 | 788,902 | 3,364,132 | 3,148,593 | |||
Silver (thousands of ounces) | 634 | 585 | 2,354 | 2,354 | |||
Zinc (tonnes) | 1,544 | 1,915 | 8,526 | 6,727 | |||
Copper (tonnes) | 692 | 720 | 2,630 | 2,916 | |||
AGNICO EAGLE MINES LIMITED | |||||||
SUMMARY OF OPERATIONS KEY PERFORMANCE INDICATORS | |||||||
(thousands of United States dollars, except where noted) | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
2023 | 2022 | 2023 | 2022 | ||||
Total cash costs per ounce of gold produced — co-product basis(vii): | |||||||
LaRonde mine | $ 995 | $ 1,009 | $ 1,067 | $ 850 | |||
LaRonde Zone 5 mine | 966 | 1,170 | 1,158 | 1,025 | |||
Canadian | 925 | 802 | 835 | 803 | |||
Goldex mine | 887 | 765 | 822 | 765 | |||
Detour Lake mine | 695 | 678 | 738 | 663 | |||
Macassa mine | 766 | 758 | 733 | 684 | |||
Meliadine mine | 993 | 856 | 981 | 865 | |||
Meadowbank complex | 1,193 | 1,424 | 1,183 | 1,216 | |||
723 | 415 | 489 | 379 | ||||
Kittila mine | 860 | 1,331 | 872 | 981 | |||
1,502 | 1,471 | 1,509 | 1,477 | ||||
Creston Mascota mine | — | 1,098 | — | 853 | |||
La | 1,172 | 1,387 | 1,261 | 1,078 | |||
Weighted average total cash costs per ounce of gold produced | $ 916 | $ 895 | $ 893 | $ 825 | |||
Total cash costs per ounce of gold produced — by-product basis(vii): | |||||||
LaRonde mine | $ 814 | $ 741 | $ 840 | $ 623 | |||
LaRonde Zone 5 mine | 965 | 1,164 | 1,148 | 1,021 | |||
Canadian | 913 | 789 | 824 | 787 | |||
Goldex mine | 877 | 765 | 820 | 765 | |||
Detour Lake mine | 691 | 674 | 735 | 657 | |||
Macassa mine | 763 | 758 | 731 | 683 | |||
Meliadine mine | 992 | 855 | 980 | 863 | |||
Meadowbank complex | 1,186 | 1,418 | 1,176 | 1,210 | |||
723 | 414 | 488 | 378 | ||||
Kittila mine | 858 | 1,330 | 871 | 980 | |||
1,210 | 1,255 | 1,229 | 1,249 | ||||
Creston Mascota mine | — | 1,030 | — | 793 | |||
La | 1,149 | 1,369 | 1,241 | 1,056 | |||
Weighted average total cash costs per ounce of gold produced | $ 888 | $ 863 | $ 865 | $ 793 | |||
Notes: | |||||||
(i) Certain previously reported line items have been restated to reflect the final purchase price allocation of the Merger. | |||||||
(ii) Operating margin is not a recognized measure under IFRS and this data may not be comparable to data reported by other gold producers. See Reconciliation of non-GAAP Financial Performance Measures - Operating Margin and Note Regarding Certain Measures of Performance for more information on the Company's calculation and use of operating margin. | |||||||
(iii) The information set out in this table reflects the Company's | |||||||
(iv) Revaluation gain on the | |||||||
(v) Payable production (a non-GAAP non-financial performance measure) is the quantity of mineral produced during a period contained in products that are or will be sold by the Company, whether such products are sold during the period or held as inventories at the end of the period. | |||||||
(vi) The Canadian Malartic complex's payable metal sold excludes the | |||||||
(vii) The total cash costs per ounce of gold produced is not a recognized measure under IFRS and this data may not be comparable to data reported by other gold producers. See Reconciliation of Non-GAAP Financial Performance Measures — Total Cash Costs per Ounce of Gold Produced and Minesite Costs per Tonne and Note Regarding Certain Measures of Performance for more information on the Company's calculation and use of total cash cost per ounce of gold produced. | |||||||
AGNICO EAGLE MINES LIMITED | |||
CONSOLIDATED BALANCE SHEETS | |||
(thousands of | |||
(Unaudited) | |||
As at | As at | ||
December 31, 2023 | December 31, 2022 | ||
ASSETS | |||
Current assets: | |||
Cash and cash equivalents | $ 338,648 | $ 658,625 | |
Trade receivables | 8,148 | 8,579 | |
Inventories | 1,418,941 | 1,209,075 | |
Income taxes recoverable | 27,602 | 35,054 | |
Fair value of derivative financial instruments | 50,786 | 8,774 | |
Other current assets | 347,027 | 259,952 | |
Total current assets | 2,191,152 | 2,180,059 | |
Non-current assets: | |||
Goodwill | 4,157,672 | 2,044,123 | |
Property, plant and mine development | 21,221,905 | 18,459,400 | |
Investments | 345,257 | 332,742 | |
Deferred income and mining tax asset | 53,796 | 11,574 | |
Other assets | 715,167 | 466,910 | |
Total assets | $ 28,684,949 | $ 23,494,808 | |
LIABILITIES | |||
Current liabilities: | |||
Accounts payable and accrued liabilities | $ 750,380 | $ 672,503 | |
Share based liabilities | 24,316 | 15,148 | |
Interest payable | 14,226 | 16,496 | |
Income taxes payable | 81,222 | 4,187 | |
Current portion of long-term debt | 100,000 | 100,000 | |
Reclamation provision | 24,266 | 23,508 | |
Lease obligations | 46,394 | 36,466 | |
Fair value of derivative financial instruments | 7,222 | 78,114 | |
Total current liabilities | 1,048,026 | 946,422 | |
Non-current liabilities: | |||
Long-term debt | 1,743,086 | 1,242,070 | |
Reclamation provision | 1,049,238 | 878,328 | |
Lease obligations | 115,154 | 114,876 | |
Share based liabilities | 11,153 | 17,277 | |
Deferred income and mining tax liabilities | 4,973,271 | 3,981,875 | |
Other liabilities | 322,106 | 72,615 | |
Total liabilities | 9,262,034 | 7,253,463 | |
EQUITY | |||
Common shares: | |||
Outstanding — 497,970,524 common shares issued, less 671,083 shares held in trust | 18,334,869 | 16,251,221 | |
Stock options | 201,755 | 197,430 | |
Contributed surplus | 22,074 | 23,280 | |
Retained earnings (deficit) | 963,172 | (201,580) | |
Other reserves | (98,955) | (29,006) | |
Total equity | 19,422,915 | 16,241,345 | |
Total liabilities and equity | $ 28,684,949 | $ 23,494,808 | |
AGNICO EAGLE MINES LIMITED | |||||||
CONSOLIDATED STATEMENTS OF (LOSS) INCOME | |||||||
(thousands of United States dollars, except per share amounts, IFRS basis) | |||||||
(Unaudited) | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
2023 | 2022 | 2023 | 2022 | ||||
(Restated)(i) | |||||||
REVENUES | |||||||
Revenues from mining operations | $ 1,756,640 | $ 1,384,719 | $ 6,626,909 | $ 5,741,162 | |||
COSTS, INCOME AND EXPENSES | |||||||
Production(ii) | 777,455 | 666,877 | 2,933,263 | 2,643,321 | |||
Exploration and corporate development | 45,997 | 70,922 | 215,781 | 271,117 | |||
Amortization of property, plant and mine development | 391,556 | 285,670 | 1,491,771 | 1,094,691 | |||
General and administrative | 74,001 | 54,582 | 208,451 | 220,861 | |||
Finance costs | 35,098 | 20,043 | 130,087 | 82,935 | |||
(Gain) loss on derivative financial instruments | (69,470) | (83,771) | (68,432) | 90,692 | |||
Impairment loss | 787,000 | 55,000 | 787,000 | 55,000 | |||
Foreign currency translation loss (gain) | 1,930 | 11,680 | (328) | (16,081) | |||
Care and maintenance | 14,375 | 11,644 | 47,392 | 41,895 | |||
Revaluation gain(iii) | — | — | (1,543,414) | — | |||
Other expenses | 22,780 | 29,160 | 66,269 | 141,308 | |||
(Loss) income before income and mining taxes | (324,082) | 262,912 | 2,359,069 | 1,115,423 | |||
Income and mining taxes expense | 56,929 | 68,807 | 417,762 | 445,174 | |||
Net (loss) income for the period | $ (381,011) | $ 194,105 | $ 1,941,307 | $ 670,249 | |||
Net (loss) income per share - basic | $ (0.77) | $ 0.43 | $ 3.97 | $ 1.53 | |||
Net (loss) income per share - diluted | $ (0.77) | $ 0.43 | $ 3.95 | $ 1.53 | |||
Adjusted net income per share - basic(iv) | $ 0.57 | $ 0.38 | $ 2.24 | $ 2.29 | |||
Adjusted net income per share - diluted(iv) | $ 0.57 | $ 0.38 | $ 2.23 | $ 2.28 | |||
Weighted average number of common shares outstanding (in thousands): | |||||||
Basic | 496,499 | 455,558 | 488,723 | 437,678 | |||
Diluted | 497,076 | 456,439 | 489,913 | 438,533 | |||
Notes: | |||||||
(i) Certain previously reported line items have been restated to reflect the final purchase price allocation of the Merger. | |||||||
(ii) Exclusive of amortization, which is shown separately. | |||||||
(iii) Revaluation gain on the | |||||||
(iv) Adjusted net income is not a recognized measure under IFRS and this data may not be comparable to data reported by other companies. See Note Regarding Certain Measures of Performance and Reconciliation of Non-GAAP Financial Performance Measures in this News Release for a discussion of the composition and usefulness of this measure and a reconciliation to the nearest IFRS measure. | |||||||
AGNICO EAGLE MINES LIMITED | |||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
(thousands of United States dollars, IFRS basis) | |||||||
(Unaudited) | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
2023 | 2022 | 2023 | 2022 | ||||
(Restated)(i) | |||||||
OPERATING ACTIVITIES | |||||||
Net (loss) income for the period | $ (381,011) | $ 194,105 | $ 1,941,307 | $ 670,249 | |||
Add (deduct) adjusting items: | |||||||
Amortization of property, plant and mine development | 391,556 | 285,670 | 1,491,771 | 1,094,691 | |||
Revaluation gain(ii) | — | — | (1,543,414) | — | |||
Deferred income and mining taxes | (18,948) | 33,156 | 52,041 | 168,098 | |||
Unrealized (gain) loss on currency and commodity derivatives | (78,016) | (109,816) | (112,904) | 59,556 | |||
Unrealized loss (gain) on warrants | 2,100 | (4,674) | 11,198 | 9,820 | |||
Stock-based compensation | 33,087 | 5,558 | 71,553 | 48,570 | |||
Impairment loss | 787,000 | 55,000 | 787,000 | 55,000 | |||
Foreign currency translation loss (gain) | 1,930 | 11,680 | (328) | (16,081) | |||
Other | 41,315 | 23,518 | 61,345 | 40,276 | |||
Adjustment for settlement of reclamation provision | (1,534) | (8,660) | (11,611) | (14,311) | |||
Changes in non-cash working capital balances: | |||||||
Trade receivables | (579) | (2,430) | 7,458 | 12,110 | |||
Income taxes | 21,870 | (39,513) | 103,850 | (35,010) | |||
Inventories | (24,170) | (54,978) | (169,168) | (46,236) | |||
Other current assets | 6,595 | 33,650 | (88,389) | (10,756) | |||
Accounts payable and accrued liabilities | (48,649) | (38,490) | 2,778 | 59,460 | |||
Interest payable | (4,685) | (3,276) | (2,925) | 1,200 | |||
Cash provided by operating activities | 727,861 | 380,500 | 2,601,562 | 2,096,636 | |||
INVESTING ACTIVITIES | |||||||
Additions to property, plant and mine development | (425,742) | (400,831) | (1,654,129) | (1,538,237) | |||
Yamana transaction, net of cash and cash equivalents | — | — | (1,000,617) | — | |||
Contributions for acquisition of mineral assets | — | — | (10,950) | — | |||
Cash and cash equivalents acquired in | — | — | — | 838,732 | |||
Purchases of equity securities and other investments | (52,612) | (10,574) | (104,738) | (47,364) | |||
Proceeds from loan repayment | — | — | — | 40,000 | |||
Other investing activities | 2,184 | (1,280) | 9,651 | (3,589) | |||
Cash used in investing activities | (476,170) | (412,685) | (2,760,783) | (710,458) | |||
FINANCING ACTIVITIES | |||||||
Proceeds from Credit Facility | 200,000 | — | 1,300,000 | 100,000 | |||
Repayment of Credit Facility | (300,000) | — | (1,300,000) | (100,000) | |||
Proceeds from Term Loan Facility, net of financing costs | — | — | 598,958 | — | |||
Repayment of Senior Notes | — | — | (100,000) | (225,000) | |||
Repayment of lease obligations | (11,956) | (8,676) | (47,589) | (33,701) | |||
Dividends paid | (155,962) | (143,603) | (638,642) | (608,307) | |||
Repurchase of common shares | (30,653) | (4,999) | (47,003) | (109,955) | |||
Proceeds on exercise of stock options | 16,854 | 17,837 | 40,377 | 41,845 | |||
Common shares issued | 7,916 | 4,738 | 29,941 | 20,265 | |||
Cash used in financing activities | (273,801) | (134,703) | (163,958) | (914,853) | |||
Effect of exchange rate changes on cash and cash equivalents | 5,267 | 3,755 | 3,202 | 1,514 | |||
Net (decrease) increase in cash and cash equivalents during the period | (16,843) | (163,133) | (319,977) | 472,839 | |||
Cash and cash equivalents, beginning of period | 355,491 | 821,758 | 658,625 | 185,786 | |||
Cash and cash equivalents, end of period | $ 338,648 | $ 658,625 | $ 338,648 | $ 658,625 | |||
SUPPLEMENTAL CASH FLOW INFORMATION | |||||||
Interest paid | $ 31,736 | $ 20,051 | $ 104,845 | $ 67,510 | |||
Income and mining taxes paid | $ 82,856 | $ 78,526 | $ 290,525 | $ 316,743 | |||
Note: | |
(i) | Certain previously reported line items have been restated to reflect the final purchase price allocation of the Merger. |
(ii) | Revaluation gain on the |
AGNICO EAGLE MINES LIMITED | ||||||||||||
RECONCILIATION OF NON-GAAP FINANCIAL PERFORMANCE MEASURES | ||||||||||||
(thousands of United States dollars, except where noted) | ||||||||||||
Refer to Note Regarding Certain Measures of Performance in this news release for details on the composition, usefulness and other information regarding the Company's use of the non-GAAP measures total cash costs per ounce of gold produced and minesite costs per tonne. | ||||||||||||
The following tables set out a reconciliation of total cash costs per ounce of gold produced (on both a by-product basis and co-product basis) and minesite costs per tonne to production costs, exclusive of amortization, as presented in the consolidated statements of (loss) income in accordance with IFRS. | ||||||||||||
Total Production Costs by Mine | ||||||||||||
Three Months Ended December 31, | Year Ended December 31, | |||||||||||
(thousands of | 2023 | 2022 | 2023 | 2022 | ||||||||
LaRonde mine | $ 47,867 | $ 49,692 | $ 218,020 | $ 213,393 | ||||||||
LaRonde Zone 5 mine | 18,922 | 20,164 | 81,624 | 72,096 | ||||||||
LaRonde complex | 66,789 | 69,856 | 299,644 | 285,489 | ||||||||
Canadian | 138,878 | 63,877 | 465,814 | 235,735 | ||||||||
Goldex mine | 27,222 | 24,786 | 112,022 | 103,830 | ||||||||
Detour Lake mine | 120,284 | 118,573 | 453,498 | 489,703 | ||||||||
Macassa mine | 42,678 | 30,926 | 155,046 | 129,774 | ||||||||
Meliadine mine | 94,429 | 81,246 | 343,650 | 318,141 | ||||||||
Meadowbank complex | 142,597 | 128,692 | 524,008 | 442,681 | ||||||||
31,329 | 34,131 | 131,298 | 204,649 | |||||||||
Kittila mine | 50,657 | 56,273 | 205,857 | 210,661 | ||||||||
38,158 | 37,567 | 145,936 | 144,489 | |||||||||
Creston Mascota mine | — | 200 | — | 1,943 | ||||||||
La | 24,434 | 20,750 | 96,490 | 76,226 | ||||||||
Production costs per the consolidated statements of (loss) income | $ 777,455 | $ 666,877 | $ 2,933,263 | $ 2,643,321 | ||||||||
Reconciliation of Production Costs to Total Cash Costs per Ounce of Gold Produced by Mine and Reconciliation of Production Costs to Minesite Costs perTonne by Mine | ||||||||||||
(thousands of | ||||||||||||
LaRonde mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 68,520 | 62,922 | 235,991 | 284,780 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 47,867 | $ 699 | $ 49,692 | $ 790 | $ 218,020 | $ 924 | $ 213,393 | $ 749 | ||||
Inventory adjustments(ii) | 16,114 | 235 | 3,878 | 62 | 13,448 | 57 | 6,569 | 23 | ||||
Realized gains and losses on hedges of production costs | 801 | 12 | 5,439 | 86 | 2,966 | 13 | 6,879 | 24 | ||||
Other adjustments(v) | 3,397 | 49 | 4,504 | 71 | 17,478 | 73 | 15,331 | 54 | ||||
Cash operating costs (co-product basis) | $ 68,179 | $ 995 | $ 63,513 | $ 1,009 | $ 251,912 | $ 1,067 | $ 242,172 | $ 850 | ||||
By-product metal revenues | (12,378) | (181) | (16,877) | (268) | (53,694) | (227) | (64,654) | (227) | ||||
Cash operating costs (by-product basis) | $ 55,801 | $ 814 | $ 46,636 | $ 741 | $ 198,218 | $ 840 | $ 177,518 | $ 623 | ||||
LaRonde mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 400 | 377 | 1,501 | 1,670 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 47,867 | $ 120 | $ 49,692 | $ 132 | $ 218,020 | $ 145 | $ 213,393 | $ 128 | ||||
Production costs (C$) | C$ 64,965 | C$ 162 | C$ 67,121 | C$ 178 | C$ 293,627 | C$ 196 | C$ 278,014 | C$ 166 | ||||
Inventory adjustments (C$)(ii) | 21,956 | 55 | 4,988 | 13 | 20,501 | 14 | 5,360 | 3 | ||||
Other adjustments (C$)(v) | (3,795) | (9) | (3,003) | (8) | (12,990) | (9) | (12,208) | (7) | ||||
Minesite operating costs (C$) | C$ 83,126 | C$ 208 | C$ 69,106 | C$ 183 | C$ 301,138 | C$ 201 | C$ 271,166 | C$ 162 | ||||
LaRonde Zone 5 mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 17,245 | 17,247 | 70,657 | 71,557 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 18,922 | $ 1,097 | $ 20,164 | $ 1,169 | $ 81,624 | $ 1,155 | $ 72,096 | $ 1,008 | ||||
Inventory adjustments(ii) | (3,367) | (195) | (1,302) | (75) | (3,494) | (49) | (503) | (7) | ||||
Realized gains and losses on hedges of production costs | 266 | 15 | 1,267 | 73 | 988 | 14 | 1,602 | 22 | ||||
Other adjustments(v) | 841 | 49 | 54 | 3 | 2,705 | 38 | 136 | 2 | ||||
Cash operating costs (co-product basis) | $ 16,662 | $ 966 | $ 20,183 | $ 1,170 | $ 81,823 | $ 1,158 | $ 73,331 | $ 1,025 | ||||
By-product metal revenues | (13) | (1) | (105) | (6) | (711) | (10) | (259) | (4) | ||||
Cash operating costs (by-product basis) | $ 16,649 | $ 965 | $ 20,078 | $ 1,164 | $ 81,112 | $ 1,148 | $ 73,072 | $ 1,021 | ||||
LaRonde Zone 5 mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 263 | 281 | 1,157 | 1,146 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 18,922 | $ 72 | $ 20,164 | $ 72 | $ 81,624 | $ 71 | $ 72,096 | $ 63 | ||||
Production costs (C$) | C$ 25,644 | C$ 98 | C$ 27,123 | C$ 97 | C$ 109,991 | C$ 95 | C$ 93,655 | C$ 82 | ||||
Inventory adjustments (C$)(ii) | (4,542) | (18) | (1,548) | (6) | (4,717) | (4) | (289) | (1) | ||||
Minesite operating costs (C$) | C$ 21,102 | C$ 80 | C$ 25,575 | C$ 91 | C$ 105,274 | C$ 91 | C$ 93,366 | C$ 81 | ||||
LaRonde complex Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 85,765 | 80,169 | 306,648 | 356,337 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 66,789 | $ 779 | $ 69,856 | $ 871 | $ 299,644 | $ 977 | $ 285,489 | $ 801 | ||||
Inventory adjustments(ii) | 12,747 | 149 | 2,576 | 32 | 9,954 | 32 | 6,066 | 17 | ||||
Realized gains and losses on hedges of production costs | 1,067 | 12 | 6,706 | 84 | 3,954 | 13 | 8,481 | 24 | ||||
Other adjustments(v) | 4,238 | 49 | 4,558 | 57 | 20,183 | 66 | 15,467 | 43 | ||||
Cash operating costs (co-product basis) | $ 84,841 | $ 989 | $ 83,696 | $ 1,044 | $ 333,735 | $ 1,088 | $ 315,503 | $ 885 | ||||
By-product metal revenues | (12,391) | (144) | (16,982) | (212) | (54,405) | (177) | (64,913) | (182) | ||||
Cash operating costs (by-product basis) | $ 72,450 | $ 845 | $ 66,714 | $ 832 | $ 279,330 | $ 911 | $ 250,590 | $ 703 | ||||
LaRonde complex Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 663 | 658 | 2,658 | 2,816 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 66,789 | $ 101 | $ 69,856 | $ 106 | $ 299,644 | $ 113 | $ 285,489 | $ 101 | ||||
Production costs (C$) | C$ 90,609 | C$ 137 | C$ 94,244 | C$ 143 | C$ 403,618 | C$ 152 | C$ 371,669 | C$ 132 | ||||
Inventory adjustments (C$)(ii) | 17,414 | 26 | 3,440 | 5 | 15,784 | 6 | 5,071 | 1 | ||||
Other adjustments (C$)(v) | (3,795) | (6) | (3,003) | (4) | (12,990) | (5) | (12,208) | (4) | ||||
Minesite operating costs (C$) | C$ 104,228 | C$ 157 | C$ 94,681 | C$ 144 | C$ 406,412 | C$ 153 | C$ 364,532 | C$ 129 | ||||
Canadian Per Ounce of Gold Produced(i) | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 168,272 | 86,439 | 603,955 | 329,396 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 138,878 | $ 825 | $ 63,877 | $ 739 | $ 465,814 | $ 771 | $ 235,735 | $ 716 | ||||
Inventory adjustments(ii) | (2,794) | (17) | (2,289) | (26) | 4,738 | 8 | (1,867) | (6) | ||||
Purchase price allocation to inventory(iv) | — | — | — | — | (26,447) | (44) | — | — | ||||
Other adjustments(v) | 19,518 | 117 | 7,717 | 89 | 60,149 | 100 | 30,568 | 93 | ||||
Cash operating costs (co-product basis) | $ 155,602 | $ 925 | $ 69,305 | $ 802 | $ 504,254 | $ 835 | $ 264,436 | $ 803 | ||||
By-product metal revenues | (1,974) | (12) | (1,115) | (13) | (6,732) | (11) | (5,087) | (16) | ||||
Cash operating costs (by-product basis) | $ 153,628 | $ 913 | $ 68,190 | $ 789 | $ 497,522 | $ 824 | $ 259,349 | $ 787 | ||||
Canadian Per Tonne(i) | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 5,278 | 2,475 | 17,333 | 9,770 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 138,878 | $ 26 | $ 63,877 | $ 26 | $ 465,814 | $ 27 | $ 235,735 | $ 24 | ||||
Production costs (C$) | C$ 187,945 | C$ 36 | C$ 84,510 | C$ 34 | C$ 627,946 | C$ 36 | C$ 302,734 | C$ 31 | ||||
Inventory adjustments (C$)(ii) | (3,901) | (1) | 208 | — | 6,919 | — | 902 | — | ||||
Purchase price allocation to inventory (C$)(iv) | — | — | — | — | (34,555) | (2) | — | — | ||||
Other adjustments (C$)(v) | 26,457 | 5 | 7,048 | 3 | 79,962 | 5 | 35,981 | 4 | ||||
Minesite operating costs (C$) | C$ 210,501 | C$ 40 | C$ 91,766 | C$ 37 | C$ 680,272 | C$ 39 | C$ 339,617 | C$ 35 | ||||
Goldex mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 33,364 | 36,291 | 140,983 | 141,502 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 27,222 | $ 816 | $ 24,786 | $ 683 | $ 112,022 | $ 795 | $ 103,830 | $ 734 | ||||
Inventory adjustments(ii) | 1,666 | 50 | 533 | 15 | 1,650 | 11 | 1,227 | 9 | ||||
Realized gains and losses on hedges of production costs | 525 | 16 | 2,410 | 66 | 1,944 | 14 | 3,048 | 21 | ||||
Other adjustments(v) | 187 | 5 | 44 | 1 | 336 | 2 | 199 | 1 | ||||
Cash operating costs (co-product basis) | $ 29,600 | $ 887 | $ 27,773 | $ 765 | $ 115,952 | $ 822 | $ 108,304 | $ 765 | ||||
By-product metal revenues | (340) | (10) | (17) | — | (378) | (2) | (48) | — | ||||
Cash operating costs (by-product basis) | $ 29,260 | $ 877 | $ 27,756 | $ 765 | $ 115,574 | $ 820 | $ 108,256 | $ 765 | ||||
Goldex mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 672 | 748 | 2,887 | 2,940 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 27,222 | $ 40 | $ 24,786 | $ 33 | $ 112,022 | $ 39 | $ 103,830 | $ 35 | ||||
Production costs (C$) | C$ 37,043 | C$ 55 | C$ 33,532 | C$ 45 | C$ 151,185 | C$ 52 | C$ 135,084 | C$ 46 | ||||
Inventory adjustments (C$)(ii) | 2,224 | 3 | 802 | 1 | 2,189 | 1 | 1,818 | 1 | ||||
Minesite operating costs (C$) | C$ 39,267 | C$ 58 | C$ 34,334 | C$ 46 | C$ 153,374 | C$ 53 | C$ 136,902 | C$ 47 | ||||
Detour Lake mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 193,475 | 179,737 | 677,446 | 651,182 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 120,284 | $ 622 | $ 118,573 | $ 660 | $ 453,498 | $ 669 | $ 489,703 | $ 752 | ||||
Inventory adjustments(ii) | 4,695 | 24 | (183) | (1) | 8,232 | 12 | (8,195) | (13) | ||||
Realized gains and losses on hedges of production costs | 302 | 2 | — | — | 4,867 | 8 | — | — | ||||
Purchase price allocation to inventory(iv) | — | — | (2,552) | (14) | — | — | (74,509) | (113) | ||||
Other adjustments(v) | 9,101 | 47 | 6,095 | 33 | 33,149 | 49 | 24,483 | 37 | ||||
Cash operating costs (co-product basis) | $ 134,382 | $ 695 | $ 121,933 | $ 678 | $ 499,746 | $ 738 | $ 431,482 | $ 663 | ||||
By-product metal revenues | (598) | (4) | (756) | (4) | (2,073) | (3) | (3,712) | (6) | ||||
Cash operating costs (by-product basis) | $ 133,784 | $ 691 | $ 121,177 | $ 674 | $ 497,673 | $ 735 | $ 427,770 | $ 657 | ||||
Detour Lake mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 6,608 | 6,488 | 25,435 | 22,782 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 120,284 | $ 18 | $ 118,573 | $ 18 | $ 453,498 | $ 18 | $ 489,703 | $ 21 | ||||
Production costs (C$) | C$ 163,230 | C$ 25 | C$ 161,425 | C$ 25 | C$ 611,244 | C$ 24 | C$ 637,567 | C$ 28 | ||||
Inventory adjustments (C$)(ii) | 6,291 | 1 | 277 | — | 11,038 | — | (8,782) | — | ||||
Purchase price allocation to inventory(C$)(iv) | — | — | (3,474) | (1) | — | — | (95,791) | (4) | ||||
Other adjustments (C$)(v) | 10,838 | 1 | 8,230 | 1 | 39,323 | 2 | 31,917 | 1 | ||||
Minesite operating costs (C$) | C$ 180,359 | C$ 27 | C$ 166,458 | C$ 25 | C$ 661,605 | C$ 26 | C$ 564,911 | C$ 25 | ||||
Macassa mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 60,584 | 43,308 | 228,535 | 180,833 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 42,678 | $ 704 | $ 30,926 | $ 714 | $ 155,046 | $ 678 | $ 129,774 | $ 718 | ||||
Inventory adjustments(ii) | 985 | 16 | 586 | 14 | 1,382 | 6 | 38 | — | ||||
Realized gains and losses on hedges of production costs | 844 | 14 | — | — | 3,127 | 14 | — | — | ||||
Purchase price allocation to inventory(iv) | — | — | — | — | — | — | (10,326) | (57) | ||||
Other adjustments(v) | 1,908 | 32 | 1,315 | 30 | 8,041 | 35 | 4,237 | 23 | ||||
Cash operating costs (co-product basis) | $ 46,415 | $ 766 | $ 32,827 | $ 758 | $ 167,596 | $ 733 | $ 123,723 | $ 684 | ||||
By-product metal revenues | (166) | (3) | (22) | — | (649) | (2) | (298) | (1) | ||||
Cash operating costs (by-product basis) | $ 46,249 | $ 763 | $ 32,805 | $ 758 | $ 166,947 | $ 731 | $ 123,425 | $ 683 | ||||
Macassa mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 131 | 70 | 442 | 280 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 42,678 | $ 327 | $ 30,926 | $ 442 | $ 155,046 | $ 351 | $ 129,774 | $ 463 | ||||
Production costs (C$) | C$ 58,184 | C$ 445 | C$ 41,578 | C$ 594 | C$ 209,928 | C$ 475 | C$ 168,400 | C$ 602 | ||||
Inventory adjustments (C$)(ii) | 1,078 | 9 | 852 | 12 | 1,836 | 4 | 533 | 2 | ||||
Purchase price allocation to inventory(C$)(iv) | — | — | — | — | — | — | (13,248) | (47) | ||||
Other adjustments (C$)(v) | 2,472 | 19 | 1,791 | 26 | 10,517 | 24 | 5,538 | 20 | ||||
Minesite operating costs (C$) | C$ 61,734 | C$ 473 | C$ 44,221 | C$ 632 | C$ 222,281 | C$ 503 | C$ 161,223 | C$ 577 | ||||
Meliadine mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 96,285 | 103,397 | 364,141 | 372,874 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 94,429 | $ 981 | $ 81,246 | $ 786 | $ 343,650 | $ 944 | $ 318,141 | $ 853 | ||||
Inventory adjustments(ii) | (619) | (6) | 2,293 | 22 | 11,898 | 33 | 653 | 2 | ||||
Realized gains and losses on hedges of production costs | 1,745 | 17 | 4,937 | 48 | 1,682 | 4 | 3,500 | 9 | ||||
Other adjustments(v) | 82 | 1 | 70 | — | 128 | — | 313 | 1 | ||||
Cash operating costs (co-product basis) | $ 95,637 | $ 993 | $ 88,546 | $ 856 | $ 357,358 | $ 981 | $ 322,607 | $ 865 | ||||
By-product metal revenues | (154) | (1) | (181) | (1) | (630) | (1) | (753) | (2) | ||||
Cash operating costs (by-product basis) | $ 95,483 | $ 992 | $ 88,365 | $ 855 | $ 356,728 | $ 980 | $ 321,854 | $ 863 | ||||
Meliadine mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 511 | 475 | 1,918 | 1,757 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 94,429 | $ 185 | $ 81,246 | $ 171 | $ 343,650 | $ 179 | $ 318,141 | $ 181 | ||||
Production costs (C$) | C$ 128,156 | C$ 251 | C$ 107,318 | C$ 226 | C$ 462,052 | C$ 241 | C$ 407,871 | C$ 232 | ||||
Inventory adjustments (C$)(ii) | (863) | (2) | 3,512 | 7 | 16,188 | 8 | 2,510 | 2 | ||||
Minesite operating costs (C$) | C$ 127,293 | C$ 249 | C$ 110,830 | C$ 233 | C$ 478,240 | C$ 249 | C$ 410,381 | C$ 234 | ||||
Meadowbank complex Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 109,226 | 94,328 | 431,666 | 373,785 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 142,597 | $ 1,306 | $ 128,692 | $ 1,364 | $ 524,008 | $ 1,214 | $ 442,681 | $ 1,184 | ||||
Inventory adjustments(ii) | (14,484) | (133) | 2,505 | 27 | (12,021) | (28) | 14,807 | 40 | ||||
Realized gains and losses on hedges of production costs | 2,297 | 21 | 3,067 | 33 | (1,205) | (3) | (1,691) | (4) | ||||
Operational care & maintenance due to COVID-19(iii) | — | — | — | — | — | — | (1,436) | (4) | ||||
Other adjustments(v) | (69) | (1) | 21 | — | (19) | — | 34 | — | ||||
Cash operating costs (co-product basis) | $ 130,341 | $ 1,193 | $ 134,285 | $ 1,424 | $ 510,763 | $ 1,183 | $ 454,395 | $ 1,216 | ||||
By-product metal revenues | (837) | (7) | (558) | (6) | (2,958) | (7) | (2,127) | (6) | ||||
Cash operating costs (by-product basis) | $ 129,504 | $ 1,186 | $ 133,727 | $ 1,418 | $ 507,805 | $ 1,176 | $ 452,268 | $ 1,210 | ||||
Meadowbank complex Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 938 | 923 | 3,843 | 3,739 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 142,597 | $ 152 | $ 128,692 | $ 139 | $ 524,008 | $ 136 | $ 442,681 | $ 118 | ||||
Production costs (C$) | C$ 192,897 | C$ 206 | C$ 176,450 | C$ 191 | C$ 702,879 | C$ 183 | C$ 574,895 | C$ 154 | ||||
Inventory adjustments (C$)(ii) | (19,533) | (21) | (4,493) | (5) | (15,934) | (4) | 12,203 | 3 | ||||
Operational care and maintenance due to COVID-19 (C$)(iii) | — | — | — | — | — | — | (1,793) | — | ||||
Minesite operating costs (C$) | C$ 173,364 | C$ 185 | C$ 171,957 | C$ 186 | C$ 686,945 | C$ 179 | C$ 585,305 | C$ 157 | ||||
Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 49,533 | 88,634 | 277,694 | 338,327 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 31,329 | $ 632 | $ 34,131 | $ 385 | $ 131,298 | $ 473 | $ 204,649 | $ 605 | ||||
Inventory adjustments(ii) | 3,137 | 64 | 2,694 | 30 | 1,345 | 5 | (2,691) | (8) | ||||
Realized gains and losses on hedges of production costs | 1,319 | 27 | — | — | 3,097 | 11 | — | — | ||||
Purchase price allocation to inventory(iv) | — | — | — | — | — | — | (73,674) | (218) | ||||
Other adjustments(v) | 6 | — | — | — | 52 | — | — | — | ||||
Cash operating costs (co-product basis) | $ 35,791 | $ 723 | $ 36,825 | $ 415 | $ 135,792 | $ 489 | $ 128,284 | $ 379 | ||||
By-product metal revenues | — | — | (126) | (1) | (397) | (1) | (527) | (1) | ||||
Cash operating costs (by-product basis) | $ 35,791 | $ 723 | $ 36,699 | $ 414 | $ 135,395 | $ 488 | $ 127,757 | $ 378 | ||||
Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 183 | 139 | 651 | 524 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 31,329 | $ 171 | $ 34,131 | $ 246 | $ 131,298 | $ 202 | $ 204,649 | $ 391 | ||||
Production costs (A$) | A$ 47,265 | A$ 259 | A$ 51,995 | A$ 370 | A$ 197,921 | A$ 304 | A$ 293,875 | A$ 561 | ||||
Inventory adjustments (A$)(ii) | 384 | 2 | 4,186 | 29 | (2,155) | (3) | (3,045) | (6) | ||||
Purchase price allocation to inventory(A$)(iv) | — | — | — | — | — | — | (104,507) | (199) | ||||
Minesite operating costs (A$) | A$ 47,649 | A$ 261 | A$ 56,181 | A$ 399 | A$ 195,766 | A$ 301 | A$ 186,323 | A$ 356 | ||||
Kittila mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 61,172 | 44,724 | 234,402 | 216,947 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 50,657 | $ 828 | $ 56,273 | $ 1,258 | $ 205,857 | $ 878 | $ 210,661 | $ 971 | ||||
Inventory adjustments(ii) | 2,653 | 43 | 1,070 | 24 | 2,958 | 13 | (5,349) | (25) | ||||
Realized gains and losses on hedges of production costs | (653) | (11) | 2,033 | 45 | (2,999) | (13) | 7,329 | 34 | ||||
Other adjustments(v) | (45) | — | 163 | 4 | (1,338) | (6) | 274 | 1 | ||||
Cash operating costs (co-product basis) | $ 52,612 | $ 860 | $ 59,539 | $ 1,331 | $ 204,478 | $ 872 | $ 212,915 | $ 981 | ||||
By-product metal revenues | (145) | (2) | (76) | (1) | (358) | (1) | (295) | (1) | ||||
Cash operating costs (by-product basis) | $ 52,467 | $ 858 | $ 59,463 | $ 1,330 | $ 204,120 | $ 871 | $ 212,620 | $ 980 | ||||
Kittila mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 514 | 421 | 1,954 | 1,925 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 50,657 | $ 99 | $ 56,273 | $ 134 | $ 205,857 | $ 105 | $ 210,661 | $ 109 | ||||
Production costs (€) | € 46,950 | € 91 | € 54,500 | € 129 | € 191,023 | € 98 | € 198,484 | € 103 | ||||
Inventory adjustments (€)(ii) | 2,240 | 5 | 1,008 | 3 | 2,112 | 1 | (3,853) | (2) | ||||
Minesite operating costs (€) | € 49,190 | € 96 | € 55,508 | € 132 | € 193,135 | € 99 | € 194,631 | € 101 | ||||
Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 25,963 | 25,291 | 97,642 | 96,522 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 38,158 | $ 1,470 | $ 37,567 | $ 1,485 | $ 145,936 | $ 1,495 | $ 144,489 | $ 1,497 | ||||
Inventory adjustments(ii) | 1,241 | 48 | (499) | (20) | 2,979 | 31 | (2,295) | (24) | ||||
Realized gains and losses on hedges of production costs | (754) | (29) | (176) | (7) | (2,819) | (29) | (879) | (9) | ||||
Other adjustments(v) | 346 | 13 | 312 | 13 | 1,248 | 12 | 1,235 | 13 | ||||
Cash operating costs (co-product basis) | $ 38,991 | $ 1,502 | $ 37,204 | $ 1,471 | $ 147,344 | $ 1,509 | $ 142,550 | $ 1,477 | ||||
By-product metal revenues | (7,585) | (292) | (5,467) | (216) | (27,339) | (280) | (21,983) | (228) | ||||
Cash operating costs (by-product basis) | $ 31,406 | $ 1,210 | $ 31,737 | $ 1,255 | $ 120,005 | $ 1,229 | $ 120,567 | $ 1,249 | ||||
Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore processed (thousands of tonnes) | 441 | 382 | 1,656 | 1,510 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 38,158 | $ 87 | $ 37,567 | $ 98 | $ 145,936 | $ 88 | $ 144,489 | $ 96 | ||||
Inventory adjustments(ii) | 487 | 1 | (499) | (1) | 160 | — | (2,295) | (2) | ||||
Minesite operating costs | $ 38,645 | $ 88 | $ 37,068 | $ 97 | $ 146,096 | $ 88 | $ 142,194 | $ 94 | ||||
Creston Mascota mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 88 | 451 | 638 | 2,630 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ — | $ — | $ 200 | $ 443 | $ — | $ — | $ 1,943 | $ 739 | ||||
Inventory adjustments(ii) | — | — | 279 | 622 | — | — | 222 | 84 | ||||
Other adjustments(v) | — | — | 15 | 33 | — | — | 78 | 30 | ||||
Cash operating costs (co-product basis) | $ — | $ — | $ 494 | $ 1,098 | $ — | $ — | $ 2,243 | $ 853 | ||||
By-product metal revenues | — | — | (30) | (68) | — | — | (158) | (60) | ||||
Cash operating costs (by-product basis) | $ — | $ — | $ 464 | $ 1,030 | $ — | $ — | $ 2,085 | $ 793 | ||||
Creston Mascota mine Per Tonne(vi) | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore processed (thousands of tonnes) | — | — | — | — | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ — | $ — | $ 200 | $ — | $ — | $ — | $ 1,943 | $ — | ||||
Inventory adjustments(ii) | — | — | 279 | — | — | — | 222 | — | ||||
Other adjustments(v) | — | — | (479) | — | — | — | (2,165) | — | ||||
Minesite operating costs | $ — | $ — | $ — | $ — | $ — | $ — | $ — | $ — | ||||
La Per Ounce of Gold Produced | Three Months Ended December 31, 2023 | Three Months Ended December 31, 2022 | Year Ended December 31, 2023 | Year Ended December 31, 2022 | ||||||||
Gold production (ounces) | 19,481 | 16,669 | 75,904 | 74,672 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 24,434 | $ 1,254 | $ 20,750 | $ 1,245 | $ 96,490 | $ 1,271 | $ 76,226 | $ 1,021 | ||||
Inventory adjustments(ii) | (1,782) | (91) | 2,187 | 131 | (1,335) | (18) | 3,598 | 48 | ||||
Other adjustments(v) | 182 | 9 | 176 | 11 | 584 | 8 | 699 | 9 | ||||
Cash operating costs (co-product basis) | $ 22,834 | $ 1,172 | $ 23,113 | $ 1,387 | $ 95,739 | $ 1,261 | $ 80,523 | $ 1,078 | ||||
By-product metal revenues | (449) | (23) | (290) | (18) | (1,566) | (20) | (1,689) | (22) | ||||
Cash operating costs (by-product basis) | $ 22,385 | $ 1,149 | $ 22,823 | $ 1,369 | $ 94,173 | $ 1,241 | $ 78,834 | $ 1,056 | ||||
La Per Tonne | Three Months Ended December 31, 2023 | Three Months Ended December 31, 2022 | Year Ended December 31, 2023 | Year Ended December 31, 2022 | ||||||||
Tonnes of ore processed (thousands of tonnes) | 500 | 1,138 | 3,010 | 5,102 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 24,434 | $ 49 | $ 20,750 | $ 18 | $ 96,490 | $ 32 | $ 76,226 | $ 15 | ||||
Inventory adjustments(ii) | (1,782) | (4) | 2,187 | 2 | (1,335) | — | 3,598 | 1 | ||||
Minesite operating costs | $ 22,652 | $ 45 | $ 22,937 | $ 20 | $ 95,155 | $ 32 | $ 79,824 | $ 16 | ||||
Notes: | ||||||||||||
(i) The information set out in this table reflects the Company's | ||||||||||||
(ii) Under the Company's revenue recognition policy, revenue from contracts with customers is recognized upon the transfer of control over metals sold to the customer. As the total cash costs per ounce of gold produced are calculated on a production basis, an inventory adjustment is made to reflect the portion of production not yet recognized as revenue. | ||||||||||||
(iii) This adjustment reflects the costs associated with the temporary suspension of mining activities at the Company's mine sites in response to the COVID-19 pandemic and includes primarily payroll and other incidental costs associated with maintaining the sites and properties, and payroll costs associated with employees who were not working during the period of reduced or suspended operations. These expenses also include payroll costs of employees who could not work following the period of temporary suspension or reduced operations due to the Company's effort to prevent or curtail community transmission of COVID-19. | ||||||||||||
(iv) On February 8, 2022, the Company completed the Merger and this adjustment reflects the fair value allocated to inventory at the Detour Lake, Macassa, and | ||||||||||||
(v) Other adjustments consists of costs associated with a | ||||||||||||
(vi) The Creston Mascota mine's cost calculations per tonne for the year ended December 31, 2022 and December 31, 2021 excludes approximately | ||||||||||||
Reconciliation of Production Costs to Total Cash Costs per Ounce Produced(iv) and All-in Sustaining Costs per Ounce of Gold Produced(iv) | |||||||
Refer to Note Regarding Certain Measures of Performance in this news release for details on the composition, usefulness and other information regarding the | |||||||
The following tables set out a reconciliation of production costs to the Company's use of the non-GAAP measure all-in sustaining costs per ounce of gold produced | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
(United States dollars per ounce of gold produced, except where noted) | 2023 | 2022 | 2023 | 2022 | |||
Production costs per the consolidated statements of (loss) income (thousands of United States dollars) | $ 777,455 | $ 666,877 | $ 2,933,263 | $ 2,643,321 | |||
Gold production (ounces) | 903,208 | 799,436 | 3,439,654 | 3,135,007 | |||
Production costs per ounce of adjusted gold production | $ 861 | $ 834 | $ 853 | $ 843 | |||
Adjustments: | |||||||
Inventory adjustments(i) | 8 | 15 | 9 | 2 | |||
Purchase price allocation to inventory(ii) | — | (3) | (8) | (51) | |||
Realized gains and losses on hedges of production costs | 7 | 24 | 3 | 6 | |||
Other(iii) | 40 | 25 | 36 | 25 | |||
Total cash costs per ounce of gold produced (co-product basis)(iv) | $ 916 | $ 895 | $ 893 | $ 825 | |||
By-product metal revenues | (28) | (32) | (28) | (32) | |||
Total cash costs per ounce of gold produced (by-product basis)(iv) | $ 888 | $ 863 | $ 865 | $ 793 | |||
Adjustments: | |||||||
Sustaining capital expenditures (including capitalized exploration) | 239 | 284 | 235 | 232 | |||
General and administrative expenses (including stock option expense) | 82 | 68 | 61 | 70 | |||
Non-cash reclamation provision and sustaining leases(v) | 18 | 16 | 18 | 14 | |||
All-in sustaining costs per ounce of gold produced (by-product basis) | $ 1,227 | $ 1,231 | $ 1,179 | $ 1,109 | |||
By-product metal revenues | 28 | 32 | 28 | 32 | |||
All-in sustaining costs per ounce of gold produced (co-product basis) | $ 1,255 | $ 1,263 | $ 1,207 | $ 1,141 | |||
Notes: | |||||||
(i) Under the Company's revenue recognition policy, revenue from contracts with customers is recognized upon the transfer of control over metals sold to the customer. As the total cash costs per ounce of gold produced are calculated on a production basis, an inventory adjustment is made to reflect the portion of production not yet recognized as revenue. | |||||||
(ii) On February 8, 2022, the Company completed the Merger and this adjustment reflects the fair value allocated to inventory at the Detour Lake, Macassa and | |||||||
(iii) Other adjustments consists of costs associated with a | |||||||
(iv) The total cash costs per ounce of gold produced is not a recognized measure under IFRS and this data may not be comparable to data reported by other gold producers. Note Regarding Certain Measures of Performance for more information on the Company's use of total cash cost per ounce of gold produced. | |||||||
(v) Sustaining leases are lease payments related to sustaining assets. | |||||||
Reconciliation of Sustaining Capital Expenditures(i) and Development Capital Expenditures(i) to the Consolidated Statements of Cash Flows | |||||||
Refer to Note Regarding Certain Measures of Performance in this news release for details on the composition, usefulness and other information regarding the | |||||||
The following tables set out a reconciliation of sustaining capital expenditures and development capital expenditures to the additions to property, plant and mine | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
2023 | 2022 | 2023 | 2022 | ||||
Sustaining capital expenditures(i)(ii) | $ 214,757 | $ 227,040 | $ 807,607 | $ 733,546 | |||
Development capital expenditures(i)(ii) | 221,904 | 230,134 | 793,261 | 803,354 | |||
Total Capital Expenditures | $ 436,661 | $ 457,174 | $ 1,600,868 | $ 1,536,900 | |||
Working capital adjustments | (10,919) | (56,343) | 53,261 | 1,337 | |||
Additions to property, plant and mine development per the consolidated | $ 425,742 | $ 400,831 | $ 1,654,129 | $ 1,538,237 | |||
Notes: | |||||||
(i) Sustaining capital expenditures and development capital expenditures are not recognized measures under IFRS and this data may not be comparable to other gold producers. See Note Regarding Certain Measures of Performance for more information on the Company's use of the measures sustaining capital expenditures and development capital expenditures. | |||||||
(ii) Sustaining capital expenditures and development capital expenditures include capitalized exploration. | |||||||
Reconciliation of Long-Term Debt to Net Debt(i) | |||||||
Refer to Note Regarding Certain Measures of Performance in this news release for details on the composition, usefulness and other information regarding the | |||||||
The following tables set out a reconciliation of long-term debt per the consolidated balance sheets to net debt as at December 31, 2023 and December 31, 2022. | |||||||
As at | As at | ||||||
December 31, 2023 | December 31, 2022 | ||||||
Current portion of long-term debt per the consolidated balance sheets | $ 100,000 | $ 100,000 | |||||
Non-current portion of long-term debt | 1,743,086 | 1,242,070 | |||||
Long-term debt | $ 1,843,086 | $ 1,342,070 | |||||
Adjustment: | |||||||
Cash and cash equivalents | $ (338,648) | $ (658,625) | |||||
Net Debt(i) | $ 1,504,438 | $ 683,445 | |||||
Note: | |||||||
(i) Net debt is not a recognized measure under IFRS and this data may not be comparable to other gold producers. See Note Regarding Certain Measures of Performance for more information on the Company's use of net debt. | |||||||
Reconciliation of Adjusted Net Income(i) to Net Income | |||||||
Refer to Note Regarding Certain Measures of Performance in this news release for details on the composition, usefulness and other information regarding the Company's use of the non-GAAP measure adjusted net income. | |||||||
The following tables set out a reconciliation of net (loss) income per the consolidated statements of (loss) income to adjusted net income for the three and twelve months ended December 31, 2023 and December 31, 2022. | |||||||
(thousands of | Three Months Ended December 31, | Year Ended December 31, | |||||
2023 | 2022(ii) | 2023 | 2022 | ||||
Net (loss) income for the period - basic | $ (381,011) | $ 194,105 | $ 1,941,307 | $ 670,249 | |||
Dilutive impact of cash settling LTIP | — | — | (4,736) | — | |||
Net (loss) income for the period - diluted | $ (381,011) | $ 194,105 | $ 1,936,571 | $ 670,249 | |||
Foreign currency translation loss (gain) | 1,930 | 11,680 | (328) | (16,081) | |||
(Gain) loss on derivative financial instruments | (69,470) | (83,771) | (68,432) | 90,692 | |||
Impairment loss | 787,000 | 55,000 | 787,000 | 55,000 | |||
Environmental remediation | 2,799 | 9,634 | 2,712 | 10,417 | |||
Transaction costs and severance related to acquisitions | — | 2,713 | 21,503 | 95,035 | |||
Integration costs | — | 115 | — | 956 | |||
Purchase price allocation to inventory(iii) | — | 2,554 | 26,477 | 158,510 | |||
Revaluation gain on Yamana Transaction | — | — | (1,543,414) | — | |||
Penna self-insurance for Meadowbank fire | — | 6,500 | — | 6,500 | |||
Net loss on disposal of property, plant and equipment | 17,667 | 4,331 | 26,759 | 8,754 | |||
Other(iv) | — | 3,258 | 3,262 | 3,258 | |||
Income and mining taxes adjustments | (76,617) | (31,641) | (100,910) | (79,737) | |||
Adjusted net income(i) for the period - basic | $ 282,298 | $ 174,478 | $ 1,095,936 | $ 1,003,553 | |||
Adjusted net income(i) for the period - diluted | $ 282,298 | $ 174,478 | $ 1,091,200 | $ 1,003,553 | |||
Notes: | |||||||
(i) Adjusted net income is not a recognized measure under IFRS and this data may not be comparable to other gold producers. See Note Regarding Certain Measures of Performance for more information on the Company's use of adjusted net income. | |||||||
(ii) Certain previously reported line items have been restated to reflect the final purchase price allocation of the Merger. | |||||||
(iii) As part of the purchase price allocation in a business combination, the Company is required to determine the fair value of net assets acquired. These non-cash fair value adjustments which increased the cost of inventory sold during the period and are not representative of ongoing operations, were normalized from net (loss) income. | |||||||
(iv) Other includes payments that relate to prior years and disposals of supplies inventory at non-operating sites. | |||||||
EBITDA(i) and Adjusted EBITDA(i)
Refer to Note Regarding Certain Measures of Performance in this news release for details on the composition, usefulness and other information regarding the Company's use of the non-GAAP measures EBITDA and adjusted EBITDA. | |||||||
The following tables set out a reconciliation of net (loss) income per the consolidated statements of (loss) income to EBITDA and adjusted EBITDA for the three and twelve months ended December 31, 2023 and December 31, 2022. | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
(thousands of United States dollars) | 2023 | 2022(ii) | 2023 | 2022 | |||
Net (loss) income for the period | $ (381,011) | $ 194,105 | $ 1,941,307 | $ 670,249 | |||
Finance costs | 35,098 | 20,043 | 130,087 | 82,935 | |||
Amortization of property, plant and mine development | 391,556 | 285,670 | 1,491,771 | 1,094,691 | |||
Income and mining tax expense | 56,929 | 68,807 | 417,762 | 445,174 | |||
EBITDA(i) | 102,572 | 568,625 | 3,980,927 | 2,293,049 | |||
Foreign currency translation loss (gain) | 1,930 | 11,680 | (328) | (16,081) | |||
(Gain) loss on derivative financial instruments | (69,470) | (83,771) | (68,432) | 90,692 | |||
Impairment loss | 787,000 | 55,000 | 787,000 | 55,000 | |||
Environmental remediation | 2,799 | 9,634 | 2,712 | 10,417 | |||
Transaction costs and severance related to acquisitions | — | 2,713 | 21,503 | 95,035 | |||
Integration costs | — | 114 | — | 956 | |||
Purchase price allocation to inventory(iii) | — | 2,554 | 26,477 | 158,510 | |||
Revaluation gain on Yamana Transaction | — | — | (1,543,414) | — | |||
Penna self-insurance for Meadowbank fire | — | 6,500 | — | 6,500 | |||
Net loss on disposal of property, plant and equipment | 17,667 | 4,331 | 26,759 | 8,754 | |||
Other(iv) | — | 3,258 | 3,262 | 3,258 | |||
Adjusted EBITDA(i) | $ 842,498 | $ 580,639 | $ 3,236,466 | $ 2,706,090 | |||
Notes: | |||||||
(i) EBITDA and adjusted EBITDA are not recognized measures under IFRS and this data may not be comparable to other gold producers. See Note Regarding Certain Measures of Performance for more information on the Company's use of EBITDA and adjusted EBITDA. | |||||||
(ii) Certain previously reported line items have been restated to reflect the final purchase price allocation of the Merger. | |||||||
(iii) As part of the purchase price allocation in a business combination, the Company is required to determine the fair value of net assets acquired. These non-cash fair value adjustments which increased the cost of inventory sold during the period and are not representative of ongoing operations, were normalized from net (loss) income. | |||||||
(iv) Other includes payments that relate to prior years and disposals of supplies inventory at non-operating sites.. | |||||||
Free Cash Flow(i) and Free Cash Flow Before Changes in Non-Cash Components of Working Capital(i)
Refer to Note Regarding Certain Measures of Performance in this news release for details on the composition, usefulness and other information regarding the | |||||||
The following tables set out a reconciliation of cash provided by operating activities per the consolidated statements of cash flows to free cash flow and free cash | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
(thousands of United States dollars) | 2023 | 2022(ii) | 2023 | 2022 | |||
Cash provided by operating activities | $ 727,861 | $ 380,500 | $ 2,601,562 | $ 2,096,636 | |||
Additions to property, plant and mine development | (425,742) | (400,831) | (1,654,129) | (1,538,237) | |||
Free Cash Flow(i) | 302,119 | (20,331) | 947,433 | 558,399 | |||
Changes in trade receivables | $ 579 | $ 2,430 | $ (7,458) | $ (12,110) | |||
Changes in income taxes | (21,870) | 39,513 | (103,850) | 35,010 | |||
Changes in inventory | 24,170 | 54,978 | 169,168 | 46,236 | |||
Changes in other current assets | (6,595) | (33,650) | 88,389 | 10,756 | |||
Changes in accounts payable and accrued liabilities | 48,649 | 38,490 | (2,778) | (59,460) | |||
Changes in interest payable | 4,685 | 3,276 | 2,925 | (1,200) | |||
Free Cash Flow Before Changes in Non-Cash Components of Working Capital(i) | $ 351,737 | $ 84,706 | $ 1,093,829 | $ 577,631 | |||
Additions to property, plant and mine development | 425,742 | 400,831 | 1,654,129 | 1,538,237 | |||
Cash provided by operating activities before working capital adjustments(iii) | $ 777,479 | $ 485,537 | $ 2,747,958 | $ 2,115,868 | |||
Cash provided by operating activities per share - basic | $ 1.47 | $ 0.84 | $ 5.32 | $ 4.79 | |||
Cash provided by operating activities before working capital adjustments per share - basic(iii) | $ 1.57 | $ 1.07 | $ 5.62 | $ 4.83 | |||
Free cash flow per share - basic(i) | $ 0.61 | $ (0.04) | $ 1.94 | $ 1.28 | |||
Free cash flow before changes in non-cash components of working capital - basic(i) | $ 0.71 | $ 0.19 | $ 2.24 | $ 1.32 | |||
Notes: | |||||||
(i) Free cash flow and free cash flow before changes in non-cash components of working capital are not recognized measures under IFRS and this data may not be comparable to other gold producers. See Note Regarding Certain Measures of Performance for more information on the Company's use of free cash flow and free cash flow before changes in non-cash components of working capital. | |||||||
(ii) Certain previously reported line items have been restated to reflect the final purchase price allocation of the Merger. | |||||||
(iii) Cash provided by operating activities before working capital adjustments is not a recognized measure under IFRS and this data may not be comparable to other gold producers. See Note Regarding Certain Measures of Performance for more information on the Company's use of cash provided by operating activities before working capital adjustments. | |||||||
View original content:SOURCE Agnico Eagle Mines Limited
FAQ
What was Agnico Eagle Mines Limited's (AEM) record gold production in Q4 2023?
What were the production costs per ounce and AISC per ounce for Agnico Eagle in Q4 2023?
What was the quarterly net loss reported by Agnico Eagle in Q4 2023?
What was the annual gold production for Agnico Eagle in 2023?
What was the total cash costs per ounce and AISC per ounce for Agnico Eagle in 2024?
