Stock Symbol: AEM (NYSE and TSX)
(All amounts expressed in
Fourth quarter and full year 2022 highlights – Solid Operational Performance, Important Strategic Consolidations
In the fourth quarter of 2022 and throughout 2022, Agnico Eagle delivered solid operating performance in a challenging cost and workforce environment. The Company had strong production and cost control, increased mineral reserves and mineral resources, progressed expansion projects and delivered the best safety performance in the Company's 66-year history. The year also saw important strategic acquisitions aimed at furthering Agnico Eagle's core strategy of consolidating positions in premier mining jurisdictions, with the integration of Kirkland Lake Gold, and the announced acquisition of Yamana Gold's Canadian assets (including the other half of the world-class Canadian Malartic mine).
- Operations delivered in the fourth quarter despite challenging cost environment – Payable gold production1 in the fourth quarter of 2022 was 799,438 ounces at production costs per ounce of
$834 , total cash costs per ounce2 of$863 and all-in sustaining costs ("AISC") per ounce3 of$1,231 . Quarterly unit costs were affected by the impact of inflationary pressures at theNunavut and Kittila operations and lower production at LaRonde, Kittila andPinos Altos
- Solid quarterly financial results – The Company reported quarterly net income of
$0.45 per share in the fourth quarter of 2022, with adjusted net income4 of$0.41 per share. Operating cash flow was$0.84 per share
- Record annual gold production and operating cash flow resulting from solid operational performance across the recently integrated asset portfolio – Payable gold production in 2022 was 3,135,007 ounces at production costs per ounce of
$843 , total cash costs per ounce of$793 and AISC per ounce of$1,109 . Including the full year of production from the legacy Kirkland Lake Gold mines, which were acquired onFebruary 8, 2022 , total payable gold production in 2022 was 3,280,731 ounces at production costs per ounce of$821 , total cash costs per ounce of$780 and AISC per ounce of$1,090 , in line with the mid-point of 2022 production guidance and slightly above the top end of the cost guidance announced inFebruary 2022
- Gold mineral reserves increased to a record level – Year-end 2022 gold mineral reserves increased by 9% to 48.7 million ounces of gold (1,186 million tonnes grading 1.28 grams per tonne ("g/t") gold). The year-over-year increase in mineral reserves is largely due to significant additions at
Detour Lake as well as successful conversion of mineral resources at several other operations. At year-end 2022, measured and indicated mineral resources were 44.2 million ounces (1,178 million tonnes grading 1.17 g/t gold) and inferred mineral resources were 26.3 million ounces (311 million tonnes grading 2.63 g/t gold)
- Acquisition of Yamana's Canadian assets expected to close in
March 2023 , leading to continued consolidation of the Abitibi gold belt – The pending acquisition of Yamana Gold's Canadian assets ("Yamana Transaction") is expected to close inMarch 2023 , subject to regulatory approvals. Following closing, the Company will own 100% of the Canadian Malartic mine, 100% of the Wasamac project located in the Abitibi region ofQuebec and several other exploration properties located inOntario and Manitoba. The Yamana Transaction further solidifies the Company's presence in the Abitibi gold belt, a region of low political risk and high geological potential, where the Company has a strong competitive advantage from having operated there for over 50 years. With the acquisition, the Company's production in the Abitibi gold belt is forecast to be approximately 1.9 million ounces to 2.1 million ounces of gold per year through 2025
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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 the financial reporting framework used to prepare the Company's financial statements and, unless otherwise specified, is reported on a by-product basis in this news release. For the detailed calculation of production costs per ounce, the reconciliation of total cash costs to production costs and information about total cash costs per once on a co-product basis, see "Reconciliation of Non-GAAP Financial Performance Measures" below. See also "Note Regarding Certain Measures of Performance". |
3 | AISC per ounce is a non-GAAP ratio that is not a standardized financial measure under the financial reporting framework used to prepare the Company's financial statements and, unless otherwise specified, is reported on a by-product basis in this news release. For a reconciliation to production costs and for all-in sustaining costs on a co-product basis, see "Reconciliation of Non-GAAP Financial Performance Measures" below. See also "Note Regarding Certain Measures of Performance". |
4 | Adjusted net income and adjusted net income per share are non-GAAP measures that are not standardized financial measures under the financial reporting framework used to prepare the Company's financial statements. For a reconciliation to net income and net income per share see "Reconciliation of Non-GAAP Financial Performance Measures" below. See also "Note Regarding Certain Measures of Performance". |
2023 and Expected Future Highlights –
In 2023, Agnico Eagle will focus on optimizing its expanded strategic positions in the Abitibi region of
Detour Lake Mine – Mill expansion activities progressed as planned in 2022. These activities, combined with strong operational performance, resulted in record annual gold production of 732,572 ounces for the full year 2022, which the Company believes makesDetour Lake the largest gold mine in Canada. In 2023, the focus remains on optimizing mill processes and improving runtime to achieve, and potentially surpass, 28.0 million tonnes per year ("Mtpa") throughput. Continued exploration success in 2022 resulted in the addition of 5.6 million ounces of gold in mineral reserves to 20.7 million ounces of gold (850.4. million tonnes grading 0.76 g/t gold) and 3.2 million ounces in measured and indicated mineral resources to 18.5 million ounces of gold (731.5 million tonnes grading 0.79 g/t gold) compared toDecember 31, 2021 . In 2023, exploration is expected to focus on extending mineralization to the west and establishing an initial underground mineral resource in order to support potential underground mining operations. Later in 2023, the Company expects to provide an update on the pathway to potentially increase production to one million ounces of gold per year
Odyssey Project – Underground development remains on schedule with initial production and start of shaft sinking expected inMarch 2023 . Delineation drilling of the internal zones at Odyssey South in 2022 showed potential to add production in 2024 to 2026. Exploration in 2023 is expected to focus on further testing of the internal zones, expanding theEast Gouldie Zone to the east and west and mineral resource conversion. Drilling will also be carried out to test other near surface and underground opportunities to leverage excess mill capacity and infrastructure
- Optimization of assets and capital infrastructure, including excess mill capacity in the Abitibi region of
Quebec – At Canadian Malartic, the Company expects to have up to 40,000 tonnes per day ("tpd") of excess mill capacity starting in 2028. At theLaRonde Complex , the Company could have up to 2,000 tpd of excess mill capacity at theLaRonde Zone 5 ("LZ5") mill circuit starting in the second quarter of 2023. By maximizing the mill throughput in the region, the Company believes there is potential to increase future gold production at lower capital costs and a reduced environmental footprint, which could also be beneficial to facilitating the permitting process. Additional production could begin at approximately 20,000 ounces in 2024 which will use this excess capacity and has the potential to increase up to approximately 500,000 ounces of gold per year by 2030. Potential future sources of ore could include:
- Macassa near surface deposits and the Amalgamated Kirkland ("AK") deposit
- Upper Beaver and other Kirkland Lake satellite deposits
- Wasamac project
- Gold production guidance shows 7% estimated growth through 2025 when compared to 2022 gold production – Annual payable gold production is forecast to grow from 3.28 million ounces in 2022 (full-year basis) to an expected range of approximately 3.40 to 3.60 million ounces in 2025. Payable gold production for 2023 is forecast to be approximately 3.24 to 3.44 million ounces (substantially unchanged from prior three-year guidance issued on
February 23, 2022 ("Previous Guidance")). The Company's 2023 production and costs guidance assumes 50% ownership of Canadian Malartic for the first three months of 2023 and 100% ownership for the last nine months of the year. The addition of nine months of 100% production from Canadian Malartic and improvements in Amaruq's production profile compared to Previous Guidance are offset by revisions to the mine plans at LaRonde,Fosterville , Kittila and Pinos Altos. Payable gold production is expected to increase to approximately 3.35 to 3.55 million ounces in 2024 and 3.40 to 3.60 million ounces in 2025. There is potential to add between 30,000 to 80,000 ounces of annual gold production starting in 2023, subject to the resolution of permits and noise restrictions at Kittila andFosterville , respectively
- Unit cost forecasts reflect the expectation of inflationary cost pressures in 2023 and lower costs in 2024 and 2025 – Total cash costs per ounce and AISC per ounce in 2023 are forecast to be
$840 to$890 and$1,140 to$1,190 , respectively. This compares to the Previous Guidance range of$725 to$775 and$1,000 to$1,050 , respectively. The expected cost increases in 2023 are mostly related to inflationary pressures on labour, electricity, fuel and consumables. The Company expects some easing on input costs to occur later in 2023 and, combined with increased gold production, unit costs are expected to be lower in 2024 and 2025
- 2023 capital expenditures are forecast to be in line with 2022 – Capital expenditures in 2023 (excluding capitalized exploration) are forecast to be approximately
$1.42 billion , which is in line with Previous Guidance of$1.41 billion . Development capital expenditures5 are forecast to decrease to approximately$616.0 million in 2023, as a result of the substantial completion of several major development projects in 2022. Sustaining capital expenditures5 are forecast to increase to$799.6 million in 2023, as a result of additional capital expenditures at Canadian Malartic (which includes 100% ownership for the last 9 months of 2023), higher deferred stripping costs atDetour Lake and Amaruq and overall inflationary cost pressures
- Pipeline projects continue to advance – The Company has a number of advanced stage projects in the pipeline and the current focus is on how to advance these projects to production in a cost efficient and environmentally friendly manner. Highlights include:
- AK and Near Surface Deposits at Macassa – These deposits are accessible from an existing surface ramp at Macassa. Production from the Near Surface deposits are expected to begin in 2023. Production from the AK deposit could potentially begin in 2024. Alternatives to process these ores at the
LaRonde Complex , which is approximately 130 kilometres away, and avoid capital costs associated with a mill expansion at Macassa are under review. Average annual production from these two deposits could potentially be 20,000 to 40,000 ounces of gold, commencing in 2024
Upper Beaver Project – Upper Beaver has the potential to be a low-cost mine with the Company modelling scenarios with annual production of 150,000 to 200,000 ounces of gold with moderate capital outlays. The Company believes initial production could potentially commence in 2029. Processing scenarios with the potential to reduce initial capital costs are being evaluated, including transporting the ore to the Canadian Malartic mill for processing. An updated technical evaluation of the project is expected to be completed in late 2023
Wasamac Project – The Wasamac property will be acquired as part of the Yamana Transaction and contains historical mineral reserves of 2.2 million ounces of gold. The Company believes this has the potential to be an underground bulk mining operation with production of up to 200,000 ounces of gold per year. The Company is reviewing technical aspects of the project with a focus on ore processing at the Canadian Malartic mill, which is expected to reduce the project footprint and capital cost. An internal evaluation of the project is expected in the fourth quarter of 2023
Hope Bay Project – Drilling in 2022 confirmed the potential to upgrade and expand mineral resources at Doris. Exploration in 2023 will primarily shift to theMadrid deposit to further expand the mineral resources with a focus on defining areas of higher-grade mineralization. Work continues on evaluating larger production scenarios (targeting 350,000 to 400,000 ounces of gold per year)
- A quarterly dividend of
$0.40 per share has been declared
"From a safety and operational standpoint, 2022 was another strong year as we had our best safety performance in our 66 year history, we met production forecasts and managed our costs in a highly inflationary environment," said
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5 | Sustaining capital expenditures and development capital expenditures are non-GAAP measures that are not standardized financial measures under the financial reporting framework used to prepare the Company's financial statements. See "Note Regarding Certain Measures of Performance" and "Reconciliation of Non-GAAP Performance Measures – Reconciliation of Sustaining Capital Expenditures to Consolidated Statements of Cash Flow." |
This release contains:
- Fourth Quarter 2022 Financial and Production Results
- Dividend Record and Payment Dates for the First Quarter of 2023
- Updated Three-Year Guidance Plan
- Update on Key Value Drivers
- Mineral Reserves and Mineral Resources as at
December 31, 2022
- An Update on Pending Transactions
- A Discussion on Operational Results
- Appendix with Detailed Mineral Reserve and Mineral Resource Tables
Fourth Quarter 2022 Results Conference Call and Webcast Tomorrow
Agnico Eagle's senior management will host a conference call on
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://bit.ly/3jHI5k7 to receive an instant automated call back.
You can also dial direct to be entered to the call by an Operator (see "Via Telephone" below).
Via Telephone:
For those preferring to listen by telephone, please dial 1-416-764-8659 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 1-416-764-8677 or toll-free 1-888-390-0541, access code 091417#. The conference call replay will expire on
The webcast, along with presentation slides, will be archived for 180 days on the Company's website.
Fourth Quarter 2022 Financial and Production Results
In the fourth quarter of 2022, net income was
Excluding the above items would result in adjusted net income6 of
Included in the fourth quarter of 2022 net income, and not adjusted above are a non-cash stock option expense of
The impairment at the Company's La India mine is primarily due to the depletion of the mineral resource as production winds down over the next two years as the project nears the end of its life, combined with rising input costs due to inflationary pressures. The Company is also assigning less value to the adjacent La Chipriona project as a result of higher estimated costs to build and operate the project.
In the full year 2022, the Company reported net income of
For financial reporting purposes, the merger between
Upon closing of the Merger, under the Purchase Price Allocation, any gold inventory held by Kirkland Lake Gold on
The increase in net income in the fourth quarter of 2022 compared to the prior-year period is primarily due to higher mine operating margins7 (from higher sales volumes following the Merger) and gains from derivative financial instruments, partially offset by higher amortization, exploration and general and administrative expenses from the inclusion of the
The increase in net income in the full year 2022 compared to the prior-year period is primarily due to higher mine operating margins (from higher sales volumes following the Merger). The overall increase in net income was partially offset by higher exploration and amortization costs due to the inclusion of the
In the fourth quarter of 2022, cash provided by operating activities was
The increase in cash provided by operating activities (before changes in non-cash components of working capital) in the fourth quarter of 2022, compared to the prior-year period, is primarily due to higher sales volumes following the Merger, partially offset by lower realized metal prices.
In the full year 2022, cash provided by operating activities was
The increase in cash provided by operating activities in the full year 2022, compared to the prior-year period, is primarily due to higher net income driven by higher sales volumes following the Merger. This included non-recurring costs related to the Merger of
In the fourth quarter of 2022, the Company's payable gold production was 799,438 ounces. This compares to quarterly payable gold production of 501,932 ounces in the prior-year period. In the full year 2022, the Company's gold production was a record 3,135,007 ounces. Including the entire full year's production from the pre-Merger Kirkland Lake Gold mines, total gold production in the full year 2022 was 3,280,731 ounces. This compares to payable gold production of 2,086,405 ounces in the full year 2021, which included 24,057 ounces and 1,956 ounces of pre-commercial production of gold at the Tiriganiaq open pit at Meliadine and Amaruq underground project, respectively.
Gold production in the fourth quarter of 2022 and the full year 2022, when compared to the prior-year periods, was higher primarily due to the inclusion of the production from the
Production costs per ounce in the fourth quarter of 2022 were
Production costs per ounce in the full year 2022 were
In the fourth quarter and full year 2022, production costs per ounce decreased when compared to the prior-year period primarily as a result of the combination of operations following the Merger. A detailed description of the minesite costs per tonne at each mine is set out below. In the fourth quarter and full year 2022, total cash costs per ounce increased when compared to the prior year period primarily due to realized losses on foreign exchange hedges in 2022 and lower by-product revenues from the LaRonde mine and
AISC per ounce in the fourth quarter of 2022 were
AISC per ounce in the fourth quarter of 2022 and full year 2022 increased when compared to the prior-year periods primarily due to higher sustaining capital expenditures and lower by-product metal revenues from lower production volumes.
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6 | Adjusted net income and adjusted net income per share are non-GAAP measures that are not standardized financial measures under the financial reporting framework used to prepare the Company's financial statements. For a reconciliation to net income and net income per share see "Reconciliation of Non-GAAP Financial Performance Measures" below. See also "Note Regarding Certain Measures of Performance". |
7 | Operating margin is a non-GAAP measure that is not a standardized measure under the financial reporting framework used to prepare the Company's financial statements. For a reconciliation to net income see "Reconciliation of Non-GAAP Financial Performance Measures" below. See also "Note Regarding Certain Measures of Performance". |
Emphasis on Capital Management and Returns to Shareholders
Cash and cash equivalents decreased to
In
In addition to the quarterly dividend, the Company contributed to shareholder returns through its normal course issuer bid ("NCIB"). In the fourth quarter of 2022, under the NCIB, the Company repurchased 117,300 common shares for
Approximately 52% of the Company's 2023 estimated Canadian dollar exposure is hedged at an average floor price above
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 2023 and future guidance.
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8 | Net debt is a non-GAAP measure that is not a standardized measure under the financial reporting framework used to prepare the Company's financial statements. For a reconciliation to long-term debt see "Reconciliation of Non-GAAP Financial Performance Measures" below. See also "Note Regarding Certain Measures of Performance". |
Dividend Record and Payment Dates for the First Quarter of 2023
Agnico Eagle's Board of Directors has declared a quarterly cash dividend of
Expected Dividend Record and Payment Dates for the 2023 Fiscal Year
Record Date | Payment Date |
*Declared |
Dividend Reinvestment Plan
See the following link for information on the Company's dividend reinvestment plan: Dividend Reinvestment Plan
Capital Expenditures
In the fourth quarter of 2022, capital expenditures (including sustaining capital expenditures) were
The following table sets out capital expenditures (including sustaining capital expenditures) and capitalized exploration in the fourth quarter of 2022 and the full year 2022.
Capital Expenditures | |||||
(In thousands of | |||||
Capital Expenditures* | Capitalized Exploration | ||||
Three Months Ended | For the Year Ended | Three Months Ended | For the Year Ended | ||
Sustaining Capital Expenditures | |||||
28,232 | 100,111 | 287 | 2,068 | ||
Canadian Malartic mine | 18,858 | 69,137 | — | — | |
Goldex mine | 6,900 | 23,480 | 225 | 1,645 | |
58,546 | 214,060 | — | — | ||
Macassa mine | 9,532 | 29,393 | 26 | 905 | |
Meliadine mine | 18,688 | 58,485 | 704 | 3,601 | |
40,872 | 86,435 | — | — | ||
Hope Bay project | 15 | 3,291 | — | 328 | |
19,526 | 56,131 | — | 213 | ||
Kittila mine | 13,403 | 43,803 | 1,100 | 4,996 | |
8,133 | 25,664 | 200 | 837 | ||
La India mine | 1,793 | 8,955 | — | 8 | |
$ 224,498 | $ 718,945 | $ 2,542 | $ 14,601 | ||
Development Capital Expenditures | |||||
18,657 | 72,020 | — | — | ||
Canadian Malartic mine | 40,239 | 115,997 | 2,410 | 12,554 | |
Goldex mine | 16,433 | 35,136 | 1,276 | 3,944 | |
57,200 | 148,672 | 6,624 | 31,400 | ||
Macassa mine | 18,802 | 70,468 | 9,196 | 21,707 | |
Meliadine mine | 25,949 | 90,859 | (4,926) | 2,949 | |
(1,379) | 8 | — | — | ||
Amaruq underground project | 4,753 | 53,385 | (1,760) | — | |
Hope Bay project | 4,034 | 13,497 | — | (328) | |
1,618 | 9,876 | 5,780 | 28,492 | ||
Kittila mine | 15,237 | 50,315 | 681 | 2,449 | |
6,682 | 26,749 | — | — | ||
La India mine | 338 | 6,129 | — | — | |
Other | 1,339 | 2,792 | 951 | 4,284 | |
$ 209,902 | $ 695,903 | $ 20,232 | $ 107,451 | ||
Total Capital Expenditures | $ 434,400 | $ 1,414,848 | $ 22,774 | $ 122,052 |
* Excludes capitalized exploration |
Maintaining Strong Environmental, Social and Governance ("ESG") Performance in 2022
The Company is committed to providing a safe place to work and to maintaining the high health and safety standards for its employees and contractors. The Company is proud to have achieved in 2022 its best global safety performance in its 66 year history.
Dedication to safety extends beyond the mine and into supporting our communities in times of need. In the fourth quarter of 2022, the
In the fourth quarter of 2022, the Company published its first dedicated Climate Action Report, summarizing the Company's climate action strategy which is integrated with its business strategy and revolves around three strategic pillars: performance; pipeline; and people (for additional details with respect to the Company's Climate Action Report, please see the Company's news release dated
The Company is committed to contributing to our communities. Fourth quarter 2022 highlights include:
Fosterville – The Company pledgedA$750,000 in funding to support the repairs to restore the Rochester Recreation Reserve
- Goldex – In collaboration with Meglab, a pink electric sub-station was installed as part of the #minerose initiative to support the
Quebec Breast Cancer Foundation
Nunavut – The Company sponsored a career day for high school students inBaker Lake, Nunavut , and invitedMining Matters . The day included educational and career awareness sessions focused on the mining industry, followed by an evening social event for all community members
Quebec andOntario – The Company donated more thanC$8.2 million in the fourth quarter of 2022 to localNorthern Ontario community organizations as well as First Nations to support their development priorities, includingC$4.0 million toBlanche River Health (previously announced by Kirkland Lake Gold inNovember 2021 ) for a number of projects, including the redevelopment of the Kirkland Lake site'sEmergency Department ,C$2.0 million to Matachewan First Nation to support the building of a new Health Centre,C$667,500 to Taykwa Tagamou Nation to support the building of a new Youth Centre, more thanC$225,000 to support house league hockey inNorthern Ontario and more thanC$125,000 to Northern Ontario Food Banks
The Company's ESG practices and contributions to the local communities continued to be recognized by several organizations in the fourth quarter of 2022. The following awards were received by the Company's operations:
The Mining Association of Canada awarded Meadowbank Silver Level recognition, and both LaRonde and Kittila Bronze Level recognition, with Towards Sustainable Mining (TSM) Leadership Awards
- Creston Mascota was awarded the Silver Helmet in the category of Open Pit Mining (up to 500 workers) by the Mexico
Mining Chamber for the second time, bringing Agnico Eagle Mexico's totalSilver Helmet award count to eight
The Fosterville Emergency Response Team excelled at theVictorian Mine Rescue Competition and were awarded the Mates in Mining Award
- Macassa was awarded the 2022 Best in Business Award by the
Kirkland Lake Chamber of Commerce for their commitment to the community and contributing to the economic development of Kirkland Lake
- The Pinos Altos Mine Rescue Team Águilas Doradas (the "Golden Eagles") competed with distinction at the 16th Annual
National Competition for Underground Mine Rescue, having placed second in the Benchman BG-4 Test and third in the HAZMAT Test
2023 to 2025 Guidance Estimates 7% Growth Over 2022 Gold Production; Unit Costs for 2023 Affected by Inflation but Expected to Decline in 2024 and 2025
The Company is announcing its detailed production and cost guidance for 2023 and mine by mine production forecasts for 2023 through 2025. Gold production for 2023 is now forecast to be approximately 3.24 to 3.44 million ounces, in line with Previous Guidance. The 2023 gold production forecast assumes 50% ownership Canadian Malartic for the first three months of 2023 and of 100% ownership for the last nine months of the year (an update on the Yamana Transaction is provided below). The additional production from Canadian Malartic, combined with improvements in Amaruq's production profile, are offset by revisions to the mine plans at LaRonde,
Gold production is forecast to increase by approximately 7% through 2025 based on mid-point estimates when compared to 2022 gold production of 3,280,731 ounces. Gold production is forecast to be approximately 3.35 to 3.55 million ounces of gold in 2024 and 3.40 to 3.60 million ounces of gold in 2025.
The current production guidance reflects lower throughput at Kittila and
Total cash costs per ounce in 2023 are expected to be between
AISC per ounce in 2023 are expected to be between
Updated Three-Year Guidance Plan
Mine by mine production and cost guidance for 2023, and mine by mine gold production forecasts for 2024 and 2025 are set out below. Opportunities to further optimize and improve gold production and unit cost forecasts from 2023 through 2025 continue to be evaluated.
Estimated Payable Gold Production (ounces) | ||||||||||
2022 | 2023 | 2024 | 2025 | |||||||
Actual | ||||||||||
356,337 | 265,000 | 285,000 | 270,000 | 290,000 | 300,000 | 320,000 | ||||
Canadian | 329,396 | 575,000 | 595,000 | 645,000 | 675,000 | 595,000 | 625,000 | |||
Goldex | 141,502 | 130,000 | 140,000 | 125,000 | 135,000 | 120,000 | 130,000 | |||
Detour Lake** | 651,182 | 675,000 | 705,000 | 685,000 | 715,000 | 725,000 | 755,000 | |||
Macassa** | 180,833 | 205,000 | 225,000 | 255,000 | 275,000 | 295,000 | 315,000 | |||
1,659,250 | 1,850,000 | 1,950,000 | 1,980,000 | 2,090,000 | 2,035,000 | 2,145,000 | ||||
Meliadine | 372,874 | 355,000 | 375,000 | 360,000 | 380,000 | 370,000 | 390,000 | |||
373,785 | 410,000 | 430,000 | 470,000 | 490,000 | 485,000 | 505,000 | ||||
746,659 | 765,000 | 805,000 | 830,000 | 870,000 | 855,000 | 895,000 | ||||
338,327 | 295,000 | 315,000 | 230,000 | 250,000 | 200,000 | 220,000 | ||||
Kittila | 216,947 | 190,000 | 210,000 | 200,000 | 220,000 | 200,000 | 220,000 | |||
99,152 | 80,000 | 90,000 | 95,000 | 100,000 | 110,000 | 120,000 | ||||
La India | 74,672 | 60,000 | 70,000 | 15,000 | 20,000 | — | — | |||
Total Gold Production | 3,135,007 | 3,240,000 | 3,440,000 | 3,350,000 | 3,550,000 | 3,400,000 | 3,600,000 | |||
* Forecast for Canadian Malartic assumes 50% ownership of Canadian Malartic for the first three months of 2023 and of 100% ownership for the last nine months of the year. | ||||||||||
** 2022 production at |
Total cash costs per ounce on a by-product basis of gold produced ($ per ounce): | ||||
2022 | 2023* | |||
Actual | Forecast | |||
$ 703 | $ 923 | |||
787 | 873 | |||
Goldex | 765 | 786 | ||
657 | 707 | |||
Macassa | 683 | 761 | ||
705 | 801 | |||
Meliadine | 863 | 850 | ||
1,210 | 1,315 | |||
1,037 | 1,099 | |||
378 | 457 | |||
Kittila | 980 | 950 | ||
1,249 | 1,168 | |||
La India | 1,056 | 1,147 | ||
Weighted Average Total | $ 793 | $ 865 |
*Forecast total cash costs per ounce are based on the mid-point of 2023 production guidance as set out in the table above. |
Currency and commodity price assumptions used for 2023 cost estimates and sensitivities are set out in the table below:
Currency and commodity price assumptions used for 2023 cost estimates and sensitivities | ||||||
Commodity and currency price assumptions | Approximate impact on total cash costs per ounce basis | |||||
C$/US$ | 1.32 | 10% change in C$/US$ | $ 50.0 | |||
US$/EUR | 1.10 | 10% change in US$/EUR | $ 6.0 | |||
MXP/US$ | 20.00 | 10% change in MXP/US$ | $ 2.0 | |||
A$/US$ | 1.40 | 10% change in A$/US$ | $ 4.0 | |||
Diesel ($/ltr) | $ 0.93 | 10% change in diesel price | $ 9.0 | |||
Silver ($/oz) | $ 22.00 | 10% change in silver price | $ <1 | |||
Copper ($/lb) | $ 4.00 | 10% change in copper price | $ <1 | |||
Zinc ($/lb) | $ 1.40 | 10% change in zinc price | $ <1 |
Depreciation Guidance
Agnico Eagle expects 2023 depreciation and amortization expense to be between
The estimated 2023 depreciation and amortization expense has considered preliminary fair value allocation to the assets expected to be acquired as part of the Yamana Transaction, however, the estimate is subject to change based on the finalization of the Purchase Price Allocation, which will take place within the twelve months following the acquisition date.
General & Administrative Cost Guidance
Agnico Eagle expects 2023 general and administrative expenses to be between
Other Cost Guidance
In 2023, Agnico Eagle expects additional expenses of between
Tax Guidance
For 2023, the Company expects its effective tax rates to be:
The Company's overall effective tax rate is expected to be approximately 35 - 40% for the full year 2023.
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 are set out below.
ABITIBI REGION,
LaRonde Complex Forecast | 2022 | 2023 | 2024 | 2025 | |
Previous Guidance (mid-point) (oz) | 380,000 | 382,500 | 382,500 | n.a. | |
Current Guidance (mid-point) (oz) | 356,337 (actual) | 275,000 | 280,000 | 310,000 | |
LaRonde Complex Forecast 2023 | Ore Milled ('000 tonnes) | Gold (g/t) | Recovery (%) | Silver (g/t) | Recovery (%) |
2,547 | 3.59 | 93.6 % | 9.92 | 72.3 % | |
Production and Minesite Costs per Tonne (C$)9 | Zinc (%) | Recovery (%) | Copper (%) | Recovery (%) | |
0.47 % | 71.4 % | 0.13 % | 76.5 % |
At the
__________ | |
9 | Minesite costs per tonne is a non-GAAP measure that does not have a standardized meaning under the financial reporting framework used to prepare the Company's financial statements. For a reconciliation to production costs see "Reconciliation of Non-GAAP Performance Measures" below. See also "Note Regarding Certain Measures of Performance" |
New Mining Plan Adopted at the
The LaRonde mine consists of the East and West mines. The mining at both mines extends below three kilometres from surface where the in-situ stress contributes to influence the ground conditions surrounding the excavations. Seismicity is a significant aspect of the operation and it requires a team of rock mechanics experts to manage the seismic related challenges. Site-specific expertise in mitigating seismic risk has been developed by the Company over several years of operations at LaRonde. Their objective remains to address the seismic risk by continuously improving mitigation measures to keep a safe work environment while maintaining reasonable production rates. These mitigation measures include non-entry protocols, dynamic ground support and, increasingly, remote operation from surface.
The mining sequence is also a key mitigation factor to attempt to push the stress away from the orebody to reduce the seismic risk. For the lower levels at the LaRonde mine, the transverse open stoping method, combined with a primary-secondary stope mining sequence, is almost exclusively used to address the deep and high stress conditions. In the primary-secondary stope mining sequence, primary stopes are mined out first and backfilled with pastefill, leaving secondary stopes as temporary pillars. Secondary stopes are mined once the pastefill in the primary stopes has cured. Secondary stopes are backfilled with waste rock or pastefill.
With the deepening of the mine, the Company has determined that a change in mining sequence in the East mine is required to attempt to reduce the stress levels on the secondary stopes, reduce seismic risk and promote sustainability of the operation in the long run. Rather than a primary-secondary stope sequence, stopes will now be mined sequentially to remove the usage of temporary pillars. This mining sequence is referred to as "pillarless" mining. In addition, the design of the ramp in the East mine has been adjusted to be further away from the geological structures. The pillarless mining, combined with an adjusted development plan, results in a longer cycle time to extract stopes, resulting in a reduced mining rate.
The current guidance reflects the change in the mining rate at LaRonde mine. Overall gold production at the
Further details will be provided in an updated National Instrument 43-101– Standards of Disclosure for Mineral Projects ("NI 43-101") report for the
With the anticipated reduction in throughput from the LaRonde mine, the Company is evaluating options to leverage the excess LaRonde mill capacity as set out in the Update on Key Value Drivers section of this news release below.
The Company is also evaluating the potential to increase the mining rate at the LZ5 mine up to 4,000 tpd and to potentially bring new sources of ore into production, including the LZ5 deep,
Exploration development activities are now focused on extending the exploration drift on level 215 by an additional 1,060 metres to the west, with drilling expected to start approximately mid-year 2023. The focus will be on exploring for new mineralized zones and extensions to areas previously mined on the Bousquet property.
The Company believes the
Canadian Malartic Complex Forecast | 2022 | 2023 | 2024 | 2025 |
Previous Guidance (mid-point) (oz) | 320,000 | 330,000 | 340,000 | n.a. |
Current Guidance (mid-point) (oz) | 329,396 (actual) | 585,000 | 660,000 | 610,000 |
Canadian Forecast 2023 | Ore Milled ('000 tonnes) | Gold (g/t) | Recovery (%) | Production and Minesite Costs per Tonne (C$) |
16,175 | 1.24 | 90.7 % |
Production from the Odyssey mine is expected to commence in
At the
In 2023, production is expected to be sourced from the Canadian Malartic pit, the Barnat pit and the Odyssey mine, complemented by ore from the low grade stockpiles. The Canadian Malartic pit is expected to be completed late in the first half of 2023. The Odyssey mine is forecast to gradually ramp-up production in 2023, with an expected start in
The mill throughput is forecast to remain at approximately 51,500 tpd (100% basis) in 2023. With the depletion of the Canadian Malartic pit in 2023 and the transition to in-pit tailings disposal in the second half of 2024, the Company is evaluating opportunities to further increase the mill throughput up to 60,000 tpd (on a 100% basis).
Goldex Forecast | 2022 | 2023 | 2024 | 2025 |
Previous Guidance (mid-point) (oz) | 135,000 | 135,000 | 125,000 | n.a. |
Current Guidance (mid-point) (oz) | 141,502 (actual) | 135,000 | 130,000 | 125,000 |
Goldex Forecast 2023 | Ore Milled ('000 tonnes) | Gold (g/t) | Recovery (%) | Production and Minesite Costs per Tonne (C$) |
2,802 | 1.68 | 89.2 % |
At Goldex, the production forecast is essentially in line with Previous Guidance. In 2022, the Company commenced development activities at the Akasaba West project and expects to complete construction for production in early 2024. Akasaba West is expected to provide additional production flexibility to Goldex and is forecast to contribute approximately 12,000 ounces of gold per year to Goldex payable production starting in 2024.
ABITIBI REGION,
Detour | 2022 | 2023 | 2024 | 2025 |
Previous Guidance (mid-point) (oz) | 715,000 | 715,000 | 715,000 | n.a. |
Current Guidance (mid-point) (oz) | 732,572 (actual)* | 690,000 | 700,000 | 740,000 |
Detour | Ore Milled ('000 tonnes) | Gold (g/t) | Recovery (%) | Production and Minesite Costs per Tonne (C$) |
27,178 | 0.86 | 91.8 % |
*Actual production reported for the complete twelve months of 2022 including the period prior of the closing of the Merger. |
At
Macassa Forecast | 2022 | 2023 | 2024 | 2025 |
Previous Guidance (mid-point) (oz) | 180,000 | 210,000 | 340,000 | n.a. |
Current Guidance (mid-point) (oz) | 200,833 (actual)* | 215,000 | 265,000 | 305,000 |
Macassa Forecast 2023 | Ore Milled ('000 tonnes) | Gold (g/t) | Recovery (%) | Production and Minesite Costs per Tonne (C$) |
389 | 17.62 | 97.7 % |
*Actual production reported for the complete twelve months of 2022 including the period prior to closing of the Merger. |
At Macassa, the production forecast in 2023 is in line with Previous Guidance. In 2024 and 2025, current guidance reflects a slower ramp-up of mining activities and a lower forecast gold grade, when compared to Previous Guidance. The slower ramp-up in 2024 is partly due to a re-evaluation of the development rate and mining sequence following the completion of Shaft #4 and the new ventilation system. The lower forecast gold grade is largely a result of slight adjustments to the resource model based on additional definition drilling to provide increased confidence for future mining. As the mining front advances from the core of the deposit towards its fringes, the mineralized structures tend to be thinner with more geological complexity, resulting in higher internal dilution and lower average gold grades.
With the updated mineral reserve estimate at year-end 2022 and the current development plan, the Company forecasts production from the deep mine (including the
In 2023, the Company will focus on exploration to the east of current mine infrastructure and along strike and to depth of the
Meliadine Forecast | 2022 | 2023 | 2024 | 2025 |
Previous Guidance (mid-point) (oz) | 370,000 | 380,000 | 380,000 | n.a. |
Current Guidance (mid-point) (oz) | 372,874 (actual) | 365,000 | 370,000 | 380,000 |
Meliadine Forecast 2023 | Ore Milled ('000 tonnes) | Gold (g/t) | Recovery (%) | Production and Minesite Costs per Tonne (C$) |
1,716 | 6.86 | 96.4 % |
At Meliadine, production forecast is slightly lower in 2023 and in 2024 when compared to Previous guidance, primarily due to a revision of the mining sequence, with increased ore being sourced from the lower grade Tiriganiaq open pit. The Phase 2 expansion is progressing as planned and mill throughput is expected to increase from 4,700 tpd to 6,000 tpd in the second half of 2024, resulting in expected higher gold production in 2025.
Meadowbank Complex Forecast | 2022 | 2023 | 2024 | 2025 |
Previous Guidance (mid-point) (oz) | 347,500 | 355,000 | 430,000 | n.a. |
Current Guidance (mid-point) (oz) | 373,785 (actual) | 420,000 | 480,000 | 495,000 |
Meadowbank Complex Forecast 2023 | Ore Milled ('000 tonnes) | Gold (g/t) | Recovery (%) | Production and Minesite Costs per Tonne (C$) |
4,208 | 3.35 | 92.7 % |
At the
Amaruq underground is forecast to contribute approximately 100,000 ounces of gold in 2023, 2024 and 2025.
Each year, the caribou migration is factored into the Company's production plan. This migration can affect the ability to move materials on the road between Amaruq and Meadowbank and between Meadowbank and
Fosterville Forecast | 2022 | 2023 | 2024 | 2025 |
Previous Guidance (mid-point) (oz) | 400,000 | 375,000 | 247,500 | n.a. |
Current Guidance (mid-point) (oz) | 383,327 (actual)* | 305,000 | 240,000 | 210,000 |
Fosterville Forecast 2023 | Ore Milled ('000 tonnes) | Gold (g/t) | Recovery (%) | Production and Minesite Costs per Tonne (A$) |
695 | 14.04 | 97.2 % |
*Actual production reported for the complete twelve months of 2022 including the period prior to the closing of the Merger. |
At
Kittila Forecast | 2022 | 2023 | 2024 | 2025 |
Previous Guidance (mid-point) (oz) | 242,500 | 250,000 | 240,000 | n.a. |
Current Guidance (mid-point) (oz) | 216,947 (actual) | 200,000 | 210,000 | 210,000 |
Kittila Forecast 2023 | Ore Milled ('000 tonnes) | Gold (g/t) | Recovery (%) | Production and Minesite Costs per Tonne (EUR) |
1,611 | 4.45 | 86.8 % | € 102.40 |
At Kittila, the lower production forecast in 2023 and 2024, when compared to Previous Guidance, is primarily due to a reduced mining rate. The current forecast contemplates operating under the 1.6 Mtpa operating permit while awaiting a final decision by the
Pinos Altos Forecast | 2022 | 2023 | 2024 | 2025 |
Previous Guidance (mid-point) (oz) | 127,500 | 127,500 | 127,500 | n.a. |
Current Guidance (mid-point) (oz) | 96,522 (actual) | 85,000 | 97,500 | 115,000 |
Pinos Altos Forecast 2023 | Total Ore ('000 tonnes) | Gold (g/t) | Gold Recovery (%) | |
1,478 | 1.89 | 94.7 % | ||
Production and Minesite Costs per Tonne ($) | Silver (g/t) | Recovery (%) | ||
41.6 | 50.3 % |
At
La India Forecast | 2022 | 2023 | 2024 | 2025 |
Previous Guidance (mid-point) (oz) | 82,500 | 70,000 | 22,500 | n.a. |
Current Guidance (mid-point) (oz) | 74,672 (actual) | 65,000 | 17,500 | nil |
La India Forecast 2023 | Total Ore ('000 tonnes) | Gold (g/t) | Gold Recovery (%) | |
4,489 | 0.66 | 68.2 % | ||
Production and Minesite Costs per Tonne ($) | Silver (g/t) | Silver Recovery (%) | ||
3.74 | 14.9 % |
At La India, the production forecast in 2023 and 2024 is slightly lower than the Previous Guidance, reflecting more conservative assumptions as the open pits near their end of life. The
Focused on Capital Discipline – 2023 Total Capital Expenditures are Forecast to be in line with 2022
Estimated capital expenditures (excluding capitalized exploration) for 2023 total approximately
The Company's total capital expenditure forecast for 2023 is in line with Previous Guidance of
Estimated 2023 Capital Expenditures | |||||||
(In thousands of US dollars) | |||||||
Capital Expenditures | Capitalized Exploration | ||||||
Sustaining | Development | Sustaining | Non-Sustaining | Total | |||
$ 74,400 | $ 54,700 | $ 1,600 | $ — | $ 130,700 | |||
105,000 | 133,400 | — | 11,800 | 250,200 | |||
Goldex | 20,600 | 57,900 | 1,000 | 2,600 | 82,100 | ||
233,800 | 116,500 | — | 29,400 | 379,700 | |||
Macassa | 49,100 | 89,800 | 2,600 | 29,900 | 171,400 | ||
482,900 | 452,300 | 5,200 | 73,700 | 1,014,100 | |||
Meliadine | 62,500 | 113,300 | 5,600 | 9,100 | 190,500 | ||
107,400 | — | — | — | 107,400 | |||
169,900 | 113,300 | 5,600 | 9,100 | 297,900 | |||
53,700 | 17,700 | 1,000 | 19,800 | 92,200 | |||
Kittila | 58,300 | 26,800 | 2,000 | 4,900 | 92,000 | ||
18,300 | 5,900 | 2,100 | — | 26,300 | |||
La India | — | — | — | — | — | ||
Other | 16,500 | — | — | — | 16,500 | ||
Total Capital Expenditures | $ 799,600 | $ 616,000 | $ 15,900 | $ 107,500 | $ 1,539,000 |
The Company is working towards maintaining an overall capital expenditures range of between
For additional detail on capitalized exploration, see the "2023 Exploration Program and Budget" section below.
Impact of Inflation on 2023 Guidance
Included in the 2023 cost guidance figures are several cost increases as a result of the inflation experienced in 2022. These include increases to labour, energy and reagents, including, for example:
- At Kittila, the electricity price per megawatt-hour has increased over 180% year-over-year
- The Company's expectation for the cost of diesel (set out in the "Updated Three-Year Guidance Plan" section above) has increased over 30% year-over-year
Labour costs, including both internal personnel and contractors, have seen a year-over-year increase, with the cost of employees increasing approximately 4.5% across the majority of the Company's operations
- The cost of reagents, such as cyanide, have risen roughly 30% year-over-year
Procurement synergies, related to the Merger, have partially helped to offset some of the impacts of inflation. Procurement efforts have mostly been focused on
2023 Exploration Program and Budget – Continued Focus on Exploration Programs at
The Company has budgeted
The Company's objective is to build on recent exploration success and identify additional mineral resources and convert mineral resources into mineral reserves. This is part of the strategy to develop the full potential of existing operations and key projects in the Company's pipeline.
A top priority of the 2023 exploration program is a major drilling campaign in the deeper, higher-grade portions of the
At the
At Canadian Malartic, the Company expects to spend a total of approximately
Approximately
At the
At the Macassa mine, the Company expects to spend approximately
For regional exploration in
At the Meliadine mine, the Company expects to spend approximately
At the
The Company expects to spend an additional
At the Hope Bay property, the Company expects to complete 72,200 metres of drilling in a
At the
At the Kittila mine, the Company expects to spend approximately
2023 Global Exploration Program and Corporate Development Budget
Expensed Exploration | Capitalized Exploration | |||||
Sustaining | Non-Sustaining | |||||
(000s $) | (000s m) | (000s $) | (000s $) | (000s m) | ||
$ 9,800 | 43.0 | $ 1,600 | $ — | 13.2 | ||
10,000 | 62.0 | — | 11,800 | 102.0 | ||
Goldex | 1,200 | 15.8 | 1,000 | 2,600 | 25.3 | |
10,800 | 24.5 | — | — | — | ||
3,800 | 14.0 | — | 29,400 | 157.0 | ||
Macassa | 1,200 | 9.5 | 2,600 | 29,900 | 145.4 | |
9,400 | 8.0 | — | — | — | ||
Meliadine | 1,900 | 10.1 | 5,600 | 9,100 | 53.1 | |
8,400 | 32.0 | — | — | — | ||
Hope Bay | 30,600 | 72.2 | — | — | — | |
6,700 | 8.0 | — | — | — | ||
5,700 | 11.3 | 1,000 | 19,800 | 105.3 | ||
3,300 | 4.0 | — | — | — | ||
Kittila | 3,700 | 15.5 | 2,000 | 4,900 | 53.0 | |
4,800 | 13.0 | — | — | — | ||
4,400 | 21.5 | 2,100 | — | 11.0 | ||
La India | 1,100 | 4.0 | — | — | — | |
7,300 | 10.0 | — | — | — | ||
8,500 | 3.0 | — | — | — | ||
5,700 | 1.2 | — | — | — | ||
G&A, Joint Ventures, Other | 4,300 | 10.7 | — | — | — | |
Total Exploration | $ 142,600 | 393.3 | $ 15,900 | $ 107,500 | 665.3 | |
Hope Bay Other Expenditures | 7,900 | |||||
Other Project Studies | 17,300 | — | — | |||
37,200 | — | — | ||||
Total Exploration and Project Expenses | $ 205,000 | $ 15,900 | $ 107,500 |
1 For the |
Update on Key Value Drivers
Highlights on the key value drivers (
The Company continues to advance multiple initiatives to increase mill throughput from 23.0 Mtpa in 2020 to 28.0 Mtpa in 2025. The initiatives completed to date include improved fragmentation at the mine, improved primary crusher choke feeding, removal of the daily regulatory mill limit, the completion of the 610 conveyor re-feed and the installation of screens before the secondary crushers. All of these initiatives are expected to bring the mill throughput capacity to approximately 27.5 Mtpa in 2023.
The installation and commissioning of the screens before the secondary crushers on line two and one were completed in the third quarter of 2022 and fourth quarter of 2022, respectively. The initial results following the commissioning of the screens resulted in daily average throughput equivalent to up to 28.0 Mtpa and optimization efforts are ongoing to sustain these rates on a consistent basis. The focus at the mill has now shifted to optimizing the mill processes, analyzing the wear and tear from the higher throughput to optimize maintenance practices and improving the mill runtime. The Company anticipates that a mill throughput of 28.0 Mtpa could be achieved and possibly exceeded before 2025.
An update of the projects that will contribute to the current site expansion is set-out below:
- In 2023, the Company has planned several initiatives to stabilize and optimize the mill circuit processes and maintenance. Leveraging expertise at Canadian Malartic in relation to maintenance and shutdown strategies, the shutdown strategy will transition from five shutdowns a year to four shutdowns a year, while incorporating a higher number of contractors to execute the shutdowns in a shorter time period and accomplish more maintenance work. The Company will also integrate more proactive parts replacement in its maintenance strategy in an effort to reduce unplanned shutdowns
- An upgrade of the 230kV main electrical substation is planned to improve the power quality at the mine. In addition, the upgrade is expected to improve the site readiness for potential future power expansion for projects such as the trolley assist mine haulage system. The upgrade is expected to be completed in 2024 assuming timely equipment deliveries
Strategy and Options to Further Enhance Value
The Company is currently evaluating several projects to further enhance the
- The Company is investigating the potential implementation of an electric trolley assisted haulage system to improve haulage efficiency and support carbon emission reductions. The Company was successful in securing a
$10 million output based private system fund towards the implementation of the system. In 2023, the Company will focus on validating the economic viability of the project
- The Company is evaluating a pathway to increase the mill throughput to up to 30.0 Mtpa with limited capital expenditures by 2025. The initiatives under consideration include:
- Continue to optimize plant throughput based on improved plant maintenance strategies adapted to the higher milling rates
- The implementation of advanced process control, utilizing either artificial intelligence or an expert system
- The screening and sorting of low grade fines.
At Detour Lake , gold particles tend to concentrate in the fines of the low grade ore stockpiled for processing in future years. Through screening and sorting, the resulting fines could be added to the mill feed with limited impact on the grinding circuit as these particles are easily milled and thus contribute to the overall plant throughput
- There appears to be significant underground potential associated with the mineralization outside the planned final pit limits at depth and to the west of the pit. An initial underground mineral resource estimate, expected to be completed in the first half of 2023, would form the basis for potential underground mining scenarios. Underground mining operations would likely be accessed via a ramp and utilize long hole stoping methods with grades potentially ranging from 2.0 g/t to 3.0 g/t gold. The Company expects to complete an initial internal technical evaluation at year end 2023.
Exploration Drilling Totaling 234 kilometres in 2022 Continues to Infill and Extend the
Exploration at
Up to 13 drill rigs were active in the fourth quarter of 2022, completing 13,793 metres of expensed drilling and 38,083 metres of capitalized drilling. Drilling for the full year 2022 met the Company's forecast and totaled 234,049 metres, comprised of 45,783 metres of expensed drilling and 188,266 metres of capitalized drilling.
Drilling in the westerly plunge of the deposit both below and west of the
Expansion drill results received during the fourth quarter immediately west of the
Infill drilling results below and proximal to the
Regional drilling west of the
Selected recent drill intercepts from
[
Work is ongoing to update the geological model with regards to the underground mineralization and to determine the amount of infill drilling required to estimate an initial underground mineral resource.
More details on the 2023 exploration program at
In the fourth quarter of 2022, the Odyssey project continued to advance on schedule. The Odyssey project is now fully permitted with the mine production certificate of authorization received in October and the mining lease granted in November. Updates on the key underground and surface construction activities are set out below:
- In the third quarter of 2022, lateral development fully transitioned from a mining contractor to Partnership employees. For the full year, a total of 1,370 metres of ramp and 8,459 metres of lateral underground development was completed, which was essentially in line with the forecast. At year-end 2022, the main ramp had reached level 46 (a vertical depth of 460 metres), which is almost at the bottom of the Odyssey South orebody
- Equipment availability is essentially in line or exceeding expectations and additional underground equipment is expected to be delivered in the first quarter of 2023. Remote operation and automation activities are progressing well with the first full development round drilled with an automated jumbo in
December 2022 . The next step will be to carry out remote drilling during shift changes
- Production stope design and drilling was initiated in the fourth quarter of 2022, and the first tonnes of development ore were processed at the mill (approximately 59,000 tonnes grading 0.87 g/t gold containing 1,567 ounces of gold). Production from the Odyssey South orebody is expected to begin before the end of
March 2023
- The emphasis in the first quarter of 2023 will be on installation of the underground escapeway and starting work on the installation of the underground paste backfill network to further facilitate the production ramp up. The startup of the paste plant remains on schedule for
May 2023
- Structural steel installation for the headframe reached the seventh floor in the fourth quarter of 2022, with completion to the ninth and final floor expected in
February 2023 . Structural steel installation is sensitive to weather conditions, and the schedule was affected by rain and high winds in the fourth quarter of 2022. As a result, shaft sinking activities are now planned to commence in March compared to the previous estimate of early in the first quarter of 2023. This minor delay is not expected to have an impact on the overall shaft sinking schedule
- The shaft house is now fully functional and the waste silo, which is not required to initiate shaft sinking, will be completed in
March 2023 . Commissioning of the sinking hoists andGalloway winches has begun in preparation for the commencement of shaft sinking activities inMarch 2023
For the full year 2022, capital expenditures on the Odyssey project came in above forecast due to inflationary pressures, project delays and minor scope changes. However, these cost increases were largely offset by lower capital spending at the Canadian Malartic mine.
Conversion Drilling at Odyssey South Results in Declaration of Initial Mineral Reserves at Year-end 2022; Infill Drilling at East Gouldie Continues to Confirm Grade and Width in the Core of the Deposit Resulting in a Significant Increase in Indicated Mineral Resources; Exploration Drilling Continues to Expand East Gouldie to the East and West
Exploration drilling by the Partnership in the fourth quarter of 2022 at the Odyssey project focused on infilling the East Gouldie deposit from surface and the Odyssey South deposit from underground, as well as adding more information on the Odyssey internal zones. Exploration drilling also continued to investigate extensions of the
Thirteen drill rigs are currently active on the property, with five underground drills in the Odyssey South and Internal zones and eight surface drills focused on infilling and expanding the East Gouldie mineralization. The Partnership drilled 177,163 metres (100% basis) on mine site and regional exploration during 2022.
Selected recent exploration drill results from the East Gouldie deposit on the Canadian Malartic property are set out in a table in the Appendix and in the composite longitudinal section below.
[
An initial portion of the indicated mineral resources at the Odyssey South deposit was converted to probable mineral reserves as at
Due to the successful conversion drilling program in 2022, the indicated mineral resource at East Gouldie grew significantly to 5.3 million ounces of gold as at
Infill drilling into the East Gouldie deposit during the fourth quarter of 2022 continued to return large high-grade intercepts, such as hole MEX22-248 intersecting 7.6 g/t gold over 43.0 metres at 1,053 metres depth and hole MEX22-241Z intersecting 4.2 g/t gold over 60.8 metres at 1,372 metres depth. Hole MEX22-251R drilled into lower portion of East Gouldie intersected the widest results encountered so far in the deposit with 2.6 g/t gold over 92.7 metres at 1,596 metres depth in an area where the North and South zones converge.
With continued exploration success at the Odyssey project, the Company is planning to update the internal preliminary economic assessment study during 2023 and future conversion of mineral resources to mineral reserves is expected at the Odyssey project at year-end 2023.
Strategy and Options to Further Enhance Value at the
The Company is currently evaluating a number of near surface and underground opportunities on the Canadian Malartic property to leverage anticipated future excess mill capacity and mining infrastructure. The Canadian Malartic land package contains two properties (Camflo and LTA) that hosted significant past producing gold mines. These properties appear to have considerable exploration potential and are both located within trucking distance of the Canadian Malartic mill.
The Camflo mine property is located approximately six kilometres northeast of the town of Malartic. Historical production at the Camflo mine occurred between 1965 and 1992 and approximately 1.65 million ounces of gold (8.9 Mt grading 5.78 g/t gold) were produced. The property has not been explored since the mid-1980s and the Company has identified porphyry hosted gold mineralization that could potentially be mined via an open pit. In 2023, an exploration drilling program is planned to further evaluate the exploration potential on the property.
In
Other opportunities on the Canadian Malartic property that could potentially provide additional mill feed include:
- Odyssey South Internal zones and the
Jupiter Zone
- The East Gouldie Corridor from surface to a depth of 600 metres
- The
East Malartic mine area below 600 metres depth
- Rand Malartic
- East Amphi
- Midway
[Canadian Malartic – Properties Map]
Optimizing Assets and Infrastructure, including Excess Mill Capacity in the
The Yamana Transaction (expected to close in
Five of the Company's operating mines (
With the current mine plan at Canadian Malartic and the new mine plan for the
At the
By optimizing the mill capacity in the region, the Company believes there is potential to significantly increase future gold production at lower capital costs and with a reduced environmental footprint, which could also be beneficial to future permitting activities.
The Company expects that production resulting from this mill optimization will begin at a moderate rate in 2024 and has the potential to increase up to approximately 500,000 ounces of gold per year by 2030.
Potential future sources of ore may include:
- Macassa near surface deposits and the AK deposit
- Upper Beaver
- Other Kirkland Lake satellite deposits (
Upper Canada and Anoki-McBean)
- Wasamac project
[
Macassa Near Surface Deposits and the AK Deposit
At the Macassa mine, the near-term focus is on optimizing the mill with high-grade ore from the
Further details on the AK deposit are presented in the Pipeline section below.
Upper Beaver and Other Kirkland Lake Satellite Deposits
In 2022, the Company carried out approximately 15,600 metres of drilling at Upper Beaver in order to infill and upgrade the existing mineral resource base.
With the potential excess mill capacity at Canadian Malartic, the Company is now evaluating the potential to transport ore from Upper Beaver to Canadian Malartic (approximately 5,000 tpd) starting in 2030. Various scenarios are being evaluated by the Company to potentially truck ore to the main rail line (a distance of approximately 7.0 kilometres) and then transport it by train to the Canadian Malartic mill for processing (a distance of approximately 130 kilometres). The Canadian Malartic mill is located less than 5.0 kilometres south of the main rail line.
The current proposed mining plan at Upper Beaver uses paste backfill to fill underground stopes. Studies are underway to evaluate using existing tailings deposits in the region (i.e. from the
A new technical evaluation is being carried out at Upper Beaver to incorporate recent exploration results and assess various processing options. This is expected to be completed by year-end 2023.
The Company is also evaluating the potential to utilize the excess mill capacity to process ore from other properties in the Kirkland Lake region, including
Further details on the
Acquired as part of the Yamana Transaction, the Wasamac property contains probable mineral reserves of 2.2 million ounces of gold (26.8 million tonnes grading 2.52 g/t gold) as reported by Yamana at year-end 2022. The project appears to have the potential to be an underground bulk mining operation. A technical study by Yamana envisioned that the deposit would be mined via a ramp system with a conventional mill processing 7,000 tpd starting in 2027. The technical study forecast production was forecast to be approximately 200,000 ounces of gold per year for the first four years of operation, with average production of 169,000 ounces of gold over the life of mine of 10 years.
The consolidated Wasamac land package covers over 15 kilometres along the main ore hosting deformation zone and there appears to be good potential for additional discoveries on the property. In 2023, the Company plans to review all technical work completed to date, further assess the exploration potential and evaluate the concept of processing the ore at the Canadian Malartic mill, thereby significantly reducing the project footprint and capital costs. A new technical evaluation on Wasamac is expected to be completed by year-end 2023.
Further details on the Wasamac project are presented in the Pipeline section below.
Pipeline Projects Continue to Advance While Maintaining Capital Discipline
AK Deposit – Additional Sources of Production Starting in 2024
The Company is evaluating the potential to source additional production from the neighbouring AK to be processed either at the Macassa mill or potential at the
At the AK deposit, 643 metres of ramp development were completed in 2022. Resource conversion drilling was conducted from surface into the AK deposit, with 48 drill holes totaling 12,692 metres completed during the first half of 2022. In addition, underground drilling was carried out from the ramp with 45 drill holes totaling 6,454 metres completed in the fourth quarter of 2022 and a total of 120 holes drill holes totaling 16,438 metres completed in 2022.
Drilling results have shown good continuity within the targeted high-grade areas of the deposit and these results have been incorporated into the updated year end 2022 mineral resource and mineral reserve estimate. Drilling is planned to continue at AK in 2023 from the underground platforms that were developed in 2022, with a focus on continuing to upgrade and increase the indicated mineral resources.
The Company is evaluating the potential to produce between 20,000 to 40,000 ounces of gold per year from the AK deposit commencing in 2024. Given that the priority at Macassa is to prioritize high-grade ore from the
In 2022, thirty-three drill holes totaling 15,599 metres were completed on the Upper Beaver property. The initial focus of the 2022 drilling campaign was to infill mineral resource gaps in the
Grassroots exploration drilling was also carried out on areas peripheral to the main deposit. Exploration was performed below the known gold occurrences in the
Additionally, a pre-existing drill hole with subsequent branches was extended 500 metres southeast of the main zone to test the potential for a separate ore shoot along the same regional geological contact. These holes encountered a few narrow anomalous gold intercepts between 1,350 and 1,600 metres below surface that remain partially open.
The Company believes that Upper Beaver has the potential to be a low-cost mine with annual production in the range of 150,000 ounces to 200,000 ounces of gold with moderate capital outlays. New processing scenarios are being evaluated for the Upper Beaver deposit, including shipping the ore to the Canadian Malartic mill for processing (see discussion on Optimization of Excess Mill Capacity above). A new technical evaluation of the project is expected to be completed by the end of 2023. Construction of the required underground infrastructure (including a shaft) is expected to take approximately five years to complete following a development decision.
Work is also ongoing to evaluate the potential to develop other regional deposits (
As part of the Yamana Transaction the Company will acquire the Wasamac Gold project. A NI 43-101 technical report on the property (with an effective date of
The Wasamac Gold project is comprised of six mining concessions, 281 mineral claims and five mining leases, covering approximately 10,269 hectares, and is located approximately 15 kilometres west-southwest of
The property contains three past producing gold mines: Wasamac, Francoeur and Arntfield. Historical production at the Wasamac mine occurred between 1965 and 1971 and approximately 254,000 ounces of gold (1.9 Mt grading 4.16 g/t gold) were produced. Historical production at the Francoeur mine occurred in three different time periods between 1968 and 2001 and approximately 508,642 ounces of gold (2.60 Mt grading 6.10 g/t gold) were produced. Historical production at the
Gold mineralization on the Wasamac property is predominantly hosted in sheared and altered metavolcanic rocks of the
Gold mineralization at Wasamac is typically associated with finely disseminated pyrite and stockworks of pyrite-rich microveinlets hosted in albite-sericite-ankerite alteration zones confined within the shear zone. The albite-sericite-ankerite alteration related to gold mineralization is typically beige-brown and visually distinguishable from the surrounding sheared rocks. Quartz veins are not common and do not significantly contribute to the gold endowment of the system.
The consolidated Wasamac land package covers over 15 kilometres along the main ore hosting deformation zone (the
The 2021 Wasamac Report estimated that the property contained probable mineral reserves of 1.9 million ounces of gold (23.2 million tonnes grading 2.56 g/t gold), indicated mineral resources of 326,000 ounces of gold (5.8 million tonnes grading 1.76 g/t gold) and inferred mineral resources of 258,000 ounces of gold (4.0 million tonnes grading 2.01 g/t gold). At year-end 2022, Yamana reported probable mineral reserves of 2.2 million ounces of gold (26.8 million tonnes grading 2.52 g/t gold). While the Company reviewed this historical estimate as part of its due diligence investigation of Wasamac and believes it to be relevant and reliable, an Agnico Eagle qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves and the Company is not treating the historical estimate as current mineral resources or mineral reserves.
The mining plan in the 2021 Wasamac Report focused below and east of the historical Wasamac mine. To reduce the project's footprint, it was recommended that most of the mining infrastructure (including the primary crusher and paste backfill plant) be installed underground. It was also recommended that the underground mine would be accessed from the north side of
In the Wasamac Report, throughput was estimated at 7,000 tpd at a recovery of 88.7% and peak production was expected to be approximately 200,000 ounces per year for the first four years of operation, with average production of 169,000 ounces over the life of mine of 10 years. Initial production was forecast to begin in 2026 with commercial production expected to begin in 2027. The average cost per tonne milled was estimated at
In 2023, the Company plans to review all technical work completed to date, further assess the exploration potential and evaluate the concept of processing the ore at the Canadian Malartic mill, thereby significantly reducing the project footprint and capital costs. A new technical evaluation on Wasamac is expected to be completed by year-end 2023. The Company is also reviewing the permitting timeline for the project.
Hope Bay – Expansion Studies Continuing; Drilling Activities Accelerate at Doris and
In 2022, exploration drilling at Hope Bay confirmed the potential to upgrade and expand mineral resources at the Doris deposit. Exploration in 2023 will primarily shift to the
Exploration drilling at Hope Bay ramped up further during the fourth quarter of 2022 with six drill rigs operating underground and on surface at the Doris deposit and three surface drill rigs operating at the
As at
Exploration drilling at Doris during 2022 continued to demonstrate the potential to grow the Doris deposit at depth below the dike in the BTD Extension and BTD Connector zones, and in the
During the fourth quarter of 2022, highlight hole HBBCO22-084 intersected 11.6 g/t gold over 4.9 metres at 412 metres depth and 13.6 g/t gold over 5.7 metres at 417 metres depth in a new zone located west of the
Exploration drilling at the
Farther south in the Hope Bay belt at the
Hammond Reef – An Advanced Project With Production Optionality to Higher Gold Prices
The 100% owned Hammond Reef property in northwestern
The Hammond Reef deposit is a high tonnage, low grade gold deposit that has estimated open pitable probable mineral reserves of 3.32 million ounces of gold (123.5 million tonnes grading 0.84 g/t gold). An internal technical study on Hammond Reef was completed by the Company in 2021, which outlined the potential for average annual gold production of 272,000 ounces at average total cash costs per ounce of
Additional details on the project were included in the Company's news release dated
Update on Synergy and Optimization Benefits From the Merger with Kirkland Lake Gold and the pending Yamana Transaction
As a result of the Merger with Kirkland Lake Gold and the pending Yamana Transaction, the Company has the unique opportunity to unlock significant operational and strategic synergies along the
In 2022, the Company forecast that synergies and optimization benefits related to the Merger were estimated to total
In
Expected Corporate G&A Synergies Surpassed
As previously reported, corporate level G&A synergies were realized at a higher rate and faster than anticipated. In 2022, the Company realized approximately
- Streamlining of personnel resulting in cost savings of
$26.4 million in the Corporate Head Office in 2022, expected to grow to$31 million per year by 2024
- Lower finance and insurance costs of approximately
$10 million per year
- Reduction and consolidation of regional office space, resulting in savings of approximately of
$7 million (a combination of one-time)
- Streamlining of service contracts and the elimination of external service providers resulting in IT savings of
$6 million , expected to grow to$7 million per year by 2025
The Company's 2023 guidance includes approximately
Operational Synergies to Ramp-up through 2023
Operational synergies and optimization are expected to result from the pooling of resources and the leveraging of expertise across the Company's operations and regions. In 2022, benefits of approximately
In the fourth quarter of 2022, the Company worked to improve the confidence level on the identified opportunities in 2023 and over the long term. For 2023, the Company included approximately
Other operational synergies under study include energy management initiatives (targeting
The Company maintains its estimate for potential operational synergies in excess of
Strategic Optimization
The Company anticipates that significant value can be created through several strategic opportunities in the
In 2023, the Company will complete several technical evaluations to estimate the potential value to be generated in future years from these initiatives. Further details of these strategic opportunities are set out above in the "Optimizing Assets and Infrastructure, including Excess Mill Capacity in the
Gold Mineral Reserves Increase 9% to Record 48.7 Moz at Year-End 2022 Driven by Drilling Success at
At
The year-over-year increase in global mineral reserves at
Mineral reserves were calculated using a gold price of
The ore extracted from the Company's mines in 2022 contained 3.53 million ounces of gold in-situ (55.9 million tonnes grading 1.97 g/t gold).
Highlights from the
Detour Lake ended 2022 with 20.7 million ounces of gold in proven and probable mineral reserves due to successful drilling and technical evaluation of the open pit
- Meliadine replaced 129% of mining depletion through drilling and studies
- Macassa's satellite AK and Near Surface deposits added 115,330 ounces of new gold mineral reserves, helping to replace mined depletion by 128%
- Initial declaration of mineral reserves in a small portion of the Odyssey South deposit at the Odyssey project of 98,000 ounces of gold (50% basis)
The Company's
Gold Mineral Reserves By Mine / Project | Proven & Probable Gold Mineral Reserve (000s oz.) | Average Mineral Reserve Gold Grade (g/t) | ||||
2022 | 2021 | Change | 2022 | 2021 | Change | |
LaRonde mine | 2,515 | 2,950 | (435) | 6.36 | 6.00 | 0.36 |
710 | 852 | (142) | 2.12 | 2.07 | 0.05 | |
3,225 | 3,802 | (577) | 4.42 | 4.21 | 0.21 | |
Canadian Malartic (50%) | 1,505 | 1,767 | (263) | 0.90 | 1.09 | -0.19 |
Odyssey mine (50%) | 98 | — | 98 | 2.22 | — | 2.22 |
1,603 | 1,767 | (164) | 0.93 | 1.09 | -0.16 | |
Goldex | 962 | 998 | (36) | 1.62 | 1.60 | 0.02 |
Akasaba West | 147 | 147 | — | 0.84 | 0.84 | 0.00 |
17,253 | 13,108 | 4,145 | 0.93 | 0.96 | -0.03 | |
3,431 | 1,926 | 1,504 | 0.39 | 0.41 | -0.02 | |
Detour | 20,683 | 15,034 | 5,649 | 0.76 | 0.82 | -0.06 |
Macassa | 1,797 | 1,856 | (59) | 17.20 | 16.26 | 0.94 |
Macassa Near Surface | 16 | — | 16 | 5.31 | — | 5.31 |
100 | — | 100 | 5.20 | — | 5.20 | |
Macassa | 1,913 | 1,856 | 57 | 15.11 | 16.26 | -1.15 |
Upper Beaver | 1,395 | 1,395 | — | 5.43 | 5.43 | 0.00 |
Hammond Reef | 3,323 | 3,323 | — | 0.84 | 0.84 | 0.00 |
Meadowbank mine | — | 3 | (3) | — | 2.34 | -2.34 |
Amaruq | 2,164 | 2,593 | (429) | 4.05 | 3.92 | 0.13 |
2,164 | 2,595 | (431) | 4.05 | 3.92 | 0.13 | |
Meliadine | 3,766 | 3,653 | 113 | 6.02 | 5.93 | 0.09 |
Hope Bay | 3,409 | 3,334 | 75 | 6.50 | 6.50 | 0.00 |
1,677 | 2,018 | (341) | 7.95 | 9.44 | -1.49 | |
Kittila | 3,683 | 3,794 | (111) | 4.20 | 4.24 | -0.04 |
665 | 757 | (92) | 2.01 | 2.05 | -0.04 | |
La India | 81 | 157 | (76) | 0.76 | 0.67 | 0.09 |
Total Mineral Reserves | 48,697 | 44,632 | 4,064 | 1.28 | 1.51 | -0.23 |
*Ownership of mines and projects is 100% unless otherwise indicated. Where Agnico Eagle's interest is less than 100%, the stated mineral resources reflect the Company's interest. |
The strong growth in mineral reserves at the
In the news release dated
The Canadian Malartic mine saw a decrease of approximately 263,000 ounces of gold in proven and probable mineral reserves (reflecting the Company's 50% interest) as 359,200 ounces of gold were mined in situ (50% interest) and the Canadian Malartic pit enters into its final years of operation.
With initial production from the underground Odyssey mine at Canadian Malartic expected to commence in
At the Macassa mine in 2022, an infill drilling campaign from surface and from newly developed underground access, combined with the integration of the AK and Near Surface satellite deposits into the Macassa mine plan, resulted in mineral reserve additions totaling 115,330 ounces of gold from the two satellite deposits. This realized synergy between Macassa and the AK and Near Surface deposits resulted in Macassa achieving 128% replacement of its depletion of gold mineral reserves. The 2022 exploration campaign also resulted in an improved understanding of the geological setting of the AK deposit and a more reliable mineral resource model.
At the Meliadine mine in 2022, successful conversion drilling followed by the completion of an underground study of the Pump deposit and F-Zone open pit added 430,000 ounces of gold in proven and probable mineral reserves before depletion, and replenished 129% of mine depletion for the year.
At the Goldex mine, positive results from drilling in the Deep 2 and South zones in 2022 have increased the proven and probable mineral reserves by 124,000 ounces of gold before depletion through the conversion of inferred mineral resources, replacing 78% of mine depletion of reserves.
At the
At a gold price 10% higher than the assumed gold price (leaving other assumptions unchanged), the Company estimates there would be an approximate 11% increase in the gold contained in proven and probable mineral reserves. Conversely, at a gold price 10% lower than the assumed gold price (leaving other assumptions unchanged), the Company estimates there would be an approximate 11% decrease in the gold contained in proven and probable mineral reserves.
Total Measured and Indicated Mineral Resources Increase 12% (4.6 Moz) in 2022 to 44.2 Moz of Gold Despite Successful Conversion of 6.0 Moz to Mineral Reserves; Inferred Mineral Resources Decrease by 14% (4.3 Moz) in 2022 to 26.3 Moz of Gold due to Conversion
At
Highlights from the
- Continued conversion drilling success at the Odyssey project's East Gouldie deposit resulted in the addition of 1.9 million ounces of gold in measured and indicated mineral resources (50% basis)
- At
Detour Lake , 3.2 million ounces of gold in measured and indicated mineral resources were added through drilling and revised pit optimization
- Conversion drilling at the
Santa Gertrudis project added 417,000 ounces of gold in open-pit measured and indicated mineral resources
At
Highlights from the
- Exploration drilling at Hope Bay added 272,000 ounces of inferred mineral resources that will be the focus of follow-up drilling in 2023
- At East Gouldie, new inferred mineral resources of 370,000 ounces of gold were added through exploration drilling, offset by the successful conversion of 1.9 million ounces of gold in inferred mineral resources into measured and indicated mineral resources. Inferred mineral resources at East Gouldie total 16 million tonnes grading 2.54 g/t gold, or approximately 1.3 million ounces of gold (50% basis)
The Company's
Operation / Project | Measured & Indicated Gold Mineral Resources | Inferred Gold Mineral Resources | ||
Contained Gold (000 oz.) | Gold Grade (g/t) | Contained Gold (000 oz.) | Gold Grade (g/t) | |
LaRonde | 566 | 2.96 | 464 | 4.91 |
652 | 2.08 | 1,244 | 3.13 | |
1,219 | 2.41 | 1,708 | 3.47 | |
Canadian Malartic (50%) | — | — | — | — |
Odyssey (50%) | 46 | 1.59 | 787 | 2.18 |
385 | 1.96 | 2,510 | 2.01 | |
East Gouldie (50%) | 2,652 | 3.29 | 1,320 | 2.54 |
3,082 | 2.99 | 4,616 | 2.17 | |
Goldex | 1,775 | 1.64 | 1,057 | 1.74 |
Akasaba West | 86 | 0.64 | — | — |
17,955 | 0.77 | 1,156 | 0.62 | |
Detour 58N | 534 | 5.80 | 136 | 4.35 |
Detour | 18,489 | 0.79 | 1,292 | 0.68 |
Macassa | 731 | 9.38 | 1,011 | 16.52 |
Macassa Near Surface | 10 | 10.02 | 69 | 10.12 |
45 | 6.06 | 125 | 5.57 | |
Macassa | 786 | 9.10 | 1,205 | 13.31 |
Anoki-McBean | 349 | 2.77 | 107 | 3.84 |
Upper Beaver | 403 | 3.45 | 1,416 | 5.07 |
722 | 2.15 | 1,863 | 3.11 | |
Hammond Reef | 2,298 | 0.54 | — | — |
Aquarius | 1,106 | 1.49 | 14 | 0.87 |
1,699 | 4.52 | 1,310 | 4.48 | |
Amaruq | 1,526 | 3.60 | 938 | 4.60 |
Meliadine | 1,639 | 4.13 | 2,277 | 6.39 |
Hope Bay | 1,125 | 3.58 | 1,950 | 5.49 |
1,745 | 5.03 | 1,184 | 6.53 | |
1,668 | 2.38 | 1,376 | 2.40 | |
Kittila | 1,881 | 2.75 | 899 | 4.50 |
Barsele (55%) | 176 | 1.27 | 1,005 | 1.98 |
827 | 1.70 | 177 | 1.89 | |
La India | 89 | 0.55 | 1 | 0.50 |
Tarachi | 361 | 0.58 | 4 | 0.52 |
Chipriona | 346 | 0.83 | 20 | 0.63 |
El Barqueno Gold | 331 | 1.16 | 351 | 1.13 |
516.00 | 0.91 | 1,464 | 2.25 | |
Total Mineral Resources | 44,244 | 1.17 | 26,301 | 2.63 |
*Ownership of mines and projects is 100% unless otherwise indicated. Where Agnico Eagle's interest is less than 100%, the stated mineral resources reflect the Company's interest. |
Data set out in the tables above and certain other data in this news release have been rounded to the nearest thousand and discrepancies in total amounts are due to rounding.
Mineral reserves are in-situ, taking into account all mining recoveries and dilutions, before mill or heap-leach recoveries. For detailed mineral reserves and mineral resources data, including by-product silver, copper and zinc at several mines and advanced projects, see "Detailed Mineral Reserve and Mineral Resource Data (as at
The economic parameters used to estimate mineral reserves and mineral resources for all properties are set out in the tables below. The Company's economic parameters follow the method accepted by the
Assumptions used for the
Metal Price for Mineral Reserve Estimation 1 | |||
Gold (US$/oz) | Silver (US$/oz) | Copper (US$/lb) | Zinc (US$/lb) |
1 Exceptions: |
Mines / Projects | Metal Price for Mineral Resource Estimation 5 | |||
Gold (US$/oz) | Silver (US$/oz) | Copper (US$/lb) | Zinc (US$/lb) | |
Operating mines held by Kirkland Lake Gold before the Merger1 | - | - | - | |
Operating mines held by | ||||
Pipeline projects |
1 Detour, Macassa, |
2 LaRonde, |
3 Hope Bay, Anoki-McBean, Hammond Reef, Chipriona, Tarachi, |
4 Chipriona, |
5 Exceptions: |
Exchange rates 1 | |||
C$ per | Mexican peso per | AUD per | US$ per €1.00 |
AUD1.36 |
1 Exceptions: exchange rate of |
The above metal price assumptions are below the three-year historic gold and silver price averages (from
In the first quarter of 2023, the Company expects to close its acquisition of the Canadian assets of Yamana, as detailed earlier in this news release. Yamana's mineral reserves and mineral resources at
Yamana Mine or Project | Proven and Probable Gold Mineral Reserves | ||
Tonnage (000 tonnes) | Gold Grade (g/t) | Contained Gold (000 oz.) | |
Canadian Malartic (50%) | 51,988 | 0.90 | 1,505 |
Odyssey project (50%) | 1,379 | 2.22 | 98 |
Wasamac1 | 26,835 | 2.52 | 2,170 |
Total Mineral Reserves | 80,202 | 1.46 | 3,773 |
1 Estimated at |
Yamana Mine or Project | Measured and Indicated Gold Mineral Resources
| Inferred Gold Mineral Resources
| ||||
Tonnage (000 tonnes) | Gold Grade (g/t) | Contained Gold (000 oz.) | Tonnage (000 tonnes) | Gold Grade (g/t) | Contained Gold (000 oz.) | |
Canadian Malartic (50%) | - | - | - | 2,804 | 0.73 | 66 |
Odyssey Deposits (50%) | 888 | 1.59 | 46 | 11,250 | 2.18 | 787 |
6,107 | 1.96 | 385 | 38,781 | 2.01 | 2,510 | |
East Gouldie (50%) | 25,105 | 3.29 | 2,652 | 16,189 | 2.54 | 1,320 |
Odyssey project (50%) | 32,101 | 2.99 | 3,082 | 66,221 | 2.17 | 4,616 |
Wasamac | 6,034 | 1.75 | 339 | 7,086 | 2.00 | 455 |
36,581 | 1.52 | 1,787 | 41,946 | 1.32 | 1,781 | |
Total Mineral Resources | 74,716 | 2.17 | 5,209 | 118,057 | 1.82 | 6,917 |
Update on Teck and Agnico Eagle Agreement on the San Nicolás
On
Closing of the San Nicolás Transaction is subject to customary conditions, including receipt of necessary regulatory approvals, and is expected to occur in the first half of 2023. Following closing, all project activities will be carried out by the joint venture. In the meantime, Teck is advancing an updated feasibility study and preparing to submit the Environmental Impact Assessment in the first half of 2023. Teck and Agnico Eagle are committed to leveraging their complementary skill sets to advance the timely and prudent development of San Nicolás. Subject to project approval following completion of the feasibility study, which approval is expected in the first half of 2024, and the receipt of necessary permits, first production could potentially come as early as the fourth quarter of 2026. Agnico Eagle's funding in the first two years is expected to be approximately
For additional details with respect to the San Nicolás Transaction, see the Company and Teck's joint news release dated
Update on Yamana Transaction
On
On
For additional details with respect to the Yamana Transaction, see the Company and Pan American's joint news releases dated
ABITIBI REGION,
Agnico Eagle is
The 100% owned LaRonde mine in northwestern
Three Months Ended | Three Months Ended | |||
Tonnes of ore milled (thousands of tonnes) | 658 | 739 | ||
Tonnes of ore milled per day | 7,152 | 8,033 | ||
Gold grade (g/t) | 4.00 | 3.67 | ||
Gold production (ounces) | 80,169 | 82,386 | ||
Production costs per tonne (C$) | $ 143 | $ 131 | ||
Minesite costs per tonne (C$)1 | $ 144 | $ 116 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 871 | $ 934 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 832 | $ 664 |
___________ | |
10 | Minesite costs per tonne is a non-GAAP measure that does not have a standardized meaning under the financial reporting framework used to prepare the Company's financial statements. For a reconciliation to production costs see "Reconciliation of Non-GAAP Performance Measures" below. See also "Note Regarding Certain Measures of Performance". |
Gold production in the fourth quarter of 2022 decreased when compared to the prior-year period primarily due to lower processing volumes related to changes in the mining sequence at the LaRonde mine as explained above (see above under the heading "New Mining Plan Adopted at the
Production costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily as a result of higher unit costs for fuel, materials and reagents combined with lower mill throughput levels, partially offset by the timing of unsold concentrate inventory. Production costs per ounce in the fourth quarter of 2022 decreased when compared to the prior-year period primarily due to higher gold grades and the weakening of the Canadian dollar relative to the
Minesite costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to the same reasons as the production costs per tonne. Total cash costs per ounce in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to higher minesite costs per tonne, partially offset by higher gold grades.
For the Year Ended | For the Year Ended | |||
Tonnes of ore milled (thousands of tonnes) | 2,816 | 2,961 | ||
Tonnes of ore milled per day | 7,715 | 8,112 | ||
Gold grade (g/t) | 4.17 | 4.20 | ||
Gold production (ounces) | 356,337 | 379,734 | ||
Production costs per tonne (C$) | $ 132 | $ 122 | ||
Minesite costs per tonne (C$) | $ 129 | $ 112 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 801 | $ 760 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 703 | $ 535 |
Gold production in the full year 2022 decreased when compared to the prior-year period due to lower mill throughput. The lower mill throughput resulted from lower mine productivity due to slower than expected development and changes to the mine sequence described above, as well as unplanned maintenance to the ore pass in the third quarter of 2022.
Production costs per tonne in the full year 2022 increased when compared to the prior-year period primarily as a result of fixed costs with lower throughput levels and higher unit costs for fuel, materials and reagents, partially offset by inventory adjustments resulting from the timing of unsold inventory. Production costs per ounce in the full year 2022 increased when compared to the prior-year period primarily as a result of higher production costs per tonne and lower gold production, partially offset by the weakening of the Canadian dollar relative to the
Minesite costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to lower throughput levels and higher unit costs for fuel, materials and reagents. Total cash costs per ounce in the full year 2022 increased when compared to the prior-year period primarily due to higher minesite costs per tonne, lower by-product revenues from lower mill throughput and lower gold production, partially offset by the weakening of the Canadian dollar relative to the
Operational Highlights
- In the fourth quarter of 2022, the development rate improved as a result of the action plan put in place during the year. The new East mine ramp infrastructure was completed as planned, which was required to keep advancing the mining sequence in the East mine
- Production was mainly affected by the modified mining sequence at LaRonde mine due to accumulated delays in lateral development in the East mine and revisions to the mining plan (see above under the heading "New Mining Plan Adopted at the
LaRonde Complex to Maintain Operational Flexibility and Ensure Longer-Term Production of 300,000 to 325,000 Ounces of Gold per Year" for a discussion of the new mining plan at theLaRonde Complex )
- The LaRonde mill performance was also affected by a six-day shutdown of the SAG drive for unscheduled maintenance in
December 2022 . The mill restarted in December and is operating at planned throughput levels
Project Highlights
- The dry stack tailings facilities were commissioned in the fourth quarter of 2022. The project was completed on budget. Operations were transitioned from the construction to operations team and it has been operating as expected since commissioning
Exploration Highlights
- In the fourth quarter of 2022, drilling at LZ5 confirmed the extension of mineralization to the west onto the Ellison property at depth. Highlights include hole BZ-2022-025 which intersected 2.1 g/t gold over 12.8 metres at a depth of 884 metres
- At LaRonde, exploration drilling at the East mine indicates that the mineralization could extend to similar depths as seen in the West mine area. This drilling resulted in the addition of new inferred mineral resources in the East mine at year-end 2022. The Company believes that there is good potential to infill and upgrade the inferred mineral resources with additional drilling. Highlights include hole LR-317-011 which intersected 9.5 g/t gold, 22.0 g/t silver, and 0.7% copper over 15.6 metres at 3,409 metres depth
In
Three Months Ended | Three Months Ended | |||
Tonnes of ore milled (thousands of tonnes) (100%) | 4,950 | 5,530 | ||
Tonnes of ore milled per day (100%) | 53,804 | 60,109 | ||
Gold grade (g/t) | 1.18 | 1.12 | ||
Gold production (ounces) | 86,439 | 88,933 | ||
Production costs per tonne (C$) | $ 34 | $ 28 | ||
Minesite costs per tonne (C$) | $ 37 | $ 28 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 739 | $ 689 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 789 | $ 676 |
Gold production in the fourth quarter of 2022 decreased when compared to the prior-year period primarily due to lower mill throughput, partially offset by higher gold grades and higher metallurgical recovery. As planned, starting in
Production costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due higher mining and milling costs associated with lower throughput, higher fuel prices and a lower deferred stripping adjustment. Production costs per ounce in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to higher production costs per tonne, partially offset by higher gold grades and the weakening of the Canadian dollar relative to the
Minesite costs per tonne in the fourth quarter of 2022 increased when compared to the prior year period for the same reasons as the production costs per tonne. Total cash costs per ounce in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to the same reasons as the production costs per ounce.
For the Year Ended | For the Year Ended | |||
Tonnes of ore milled (thousands of tonnes) (100%) | 19,540 | 22,260 | ||
Tonnes of ore milled per day (100%) | 53,534 | 60,986 | ||
Gold grade (g/t) | 1.15 | 1.11 | ||
Gold production (ounces) | 329,396 | 357,392 | ||
Production costs per tonne (C$) | $ 31 | $ 28 | ||
Minesite costs per tonne (C$) | $ 35 | $ 28 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 716 | $ 679 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 787 | $ 663 |
Gold production in the full year 2022 decreased when compared to the prior-year period primarily due to the planned reduction of mill throughput to approximately 51,500 tpd (100% basis) starting in
Production costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to higher mine and mill production costs resulting from lower throughput levels, higher fuel costs and a lower deferred stripping adjustment. Production costs per ounce in the full year 2022 increased when compared to the prior-year period primarily due to higher production costs per tonne, partially offset by higher gold grades and the weakening of the Canadian dollar relative to the
Minesite costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to the same reasons as the higher production costs per tonne. Total cash costs per ounce in the full year 2022 increased when compared to the prior-year period primarily due to the same reasons as the production costs per ounce.
Operational Highlights
- Solid operating performance in the fourth quarter of 2022 contributed to exceeding the forecast gold production levels
- Mining activities in the Canadian Malartic pit continued to advance as planned and the mining of the Canadian Malartic pit is still expected to be completed late in the first half of 2023. Upon depletion of the Canadian Malartic pit, preparation work will be undertaken to prepare for in-pit tailings disposal, which is expected to start in the second half of 2024
Project and Exploration Highlights
- An update on Odyssey project development, construction and exploration highlights is set out in the Update on Key Value Drivers section above
Yamana Transaction
- An update on Yamana Transaction is set out in the Update on Yamana Transaction section above
Goldex – Record Annual Ore Hoisting and Tonnes Milled Sets New Record for Annual Gold Production Since Re-start in 2013
The 100% owned Goldex mine in northwestern
Three Months Ended | Three Months Ended | |||
Tonnes of ore milled (thousands of tonnes) | 748 | 729 | ||
Tonnes of ore milled per day | 8,130 | 7,924 | ||
Gold grade (g/t) | 1.70 | 1.70 | ||
Gold production (ounces) | 36,291 | 35,921 | ||
Production costs per tonne (C$) | $ 45 | $ 44 | ||
Minesite costs per tonne (C$) | $ 46 | $ 44 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 683 | $ 701 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 765 | $ 679 |
Gold production in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to higher throughput levels resulting from higher productivity from the higher grade
Production costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to higher mine development and production costs resulting from increased development and production from the
Minesite costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period due to the same factors causing a higher production cost per tonne. Total cash costs per ounce in the fourth quarter of 2022 increased when compared to the prior-year period due to higher minesite costs per tonne.
For the Year Ended | For the Year Ended | |||
Tonnes of ore milled (thousands of tonnes) | 2,940 | 2,874 | ||
Tonnes of ore milled per day | 8,055 | 7,874 | ||
Gold grade (g/t) | 1.68 | 1.60 | ||
Gold production (ounces) | 141,502 | 134,053 | ||
Production costs per tonne (C$) | $ 46 | $ 42 | ||
Minesite costs per tonne (C$) | $ 47 | $ 42 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 734 | $ 717 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 765 | $ 684 |
Gold production in the full year 2022 increased when compared to the prior-year period primarily due to higher gold grades and higher throughput levels. In 2022, the Goldex mine continued to deliver solid performance in line with the production plan and achieved a record breaking year in terms of gold production since Goldex restarted operations in 2013.
Production costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to higher mine development and production costs resulting from higher ground support costs, increased development and production from the
Minesite costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to the same factors causing higher production costs per tonne. Total cash costs per ounce in the full year 2022 increased when compared to the prior-year period due to higher minesite costs per tonne, partially offset by higher gold grades.
Operational Highlights
- For the full year 2022, Goldex set a record annual gold production since the restart of operations in 2013 at 141,502 ounces of gold at total cash costs per ounce of
$765 , ahead of Previous Guidance of 130,000 to 140,000 ounces at total cash costs per ounce of$776
- Strong operational performance in the
South Zone in the fourth quarter of 2022 and full year 2022 was the key driver to exceed the minesite production targets
- In the fourth quarter of 2022, Goldex achieved above forecast lateral development which supports the development of new production areas in the
South Zone and Deep 2 Zone planned for 2023
- In 2022, Goldex achieved several milestones, including record annual tonnes hauled by the Rail-Veyor system, record ore tonnes hoisted and record ore tonnes milled
- Work commenced at the Akasaba West project in
September 2022 and continued in the fourth quarter of 2022. The main activities included the removal of overburden and the installation of surface infrastructure (offices, water treatment installation)
Exploration Highlights
- Conversion drilling at Goldex in 2022 succeeded in adding 124,000 ounces of gold to mineral reserves to partly replace mine production depletion of 159,000 ounces of gold in situ, with mineral reserves now standing at 962,000 ounces of gold (18.4 million tonnes grading 1.62 g/t gold)
- Exploration drilling in the fourth quarter in South Zone Sector 3 continued to return significant results, including hole GD138-011 that intersected 21.5 g/t gold over 3.6 metres at 1,461 metres depth
ABITIBI REGION,
Agnico Eagle acquired the
In 1987,
Three Months Ended | For the Year Ended | |||
Tonnes of ore milled (thousands of tonnes) | 6,488 | 22,781 | ||
Tonnes of ore milled per day | 70,522 | 69,667 | ||
Gold grade (g/t) | 0.94 | 0.97 | ||
Gold production (ounces) | 179,737 | 651,182 | ||
Production costs per tonne (C$) | $ 25 | $ 28 | ||
Minesite costs per tonne (C$) | $ 25 | $ 25 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 660 | $ 752 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 674 | $ 657 |
*For the full year 2022, the operating statistics are reported for the period from |
In the fourth quarter of 2022, gold production at the
For the period from
In the full year of 2022, the difference between production costs per tonne and minesite costs per tonne and the difference between production costs per ounce and total cash costs per ounce are primarily due to the inventory re-valuation at the forecast gold price in the period the inventory was expected to be sold, which was done as part of the Purchase Price Allocation following the completion of the Merger.
Operational Highlights
- For the complete twelve months of 2022 (including the period before the Merger), total gold production at the
Detour Lake mine set a new production record at 732,572 ounces, slightly above the upper end of the range of 730,000 ounces set out in the Previous Guidance. Full year 2022 total cash costs per ounce were$647 and on target compared to the Previous Guidance of$645
- In the fourth quarter of 2022, tonnage milled was lower than forecast as a result of the five week long secondary crusher screen installation on the first line of the mill circuit which was originally planned earlier in the year. The lower tonnage from the shutdown was partially offset by better than planned performance from the recently commissioned re-feed system
- In the fourth quarter of 2022, total cash costs per ounce at the
Detour Lake mine were slightly above expectations as a result of the lower than anticipated mill throughput
- Two Cat 798 haul trucks began commissioning late in the fourth quarter of 2022. Once commissioned these haul trucks are expected to help minimize the impact from longer haul distances as they have an increased capacity of 15% to 20% (50,000 tonnes) compared to the haul trucks currently in use
Project and Exploration Highlights
- An update on the multiple initiatives to increase mill throughput to 28.0 Mtpa by 2025, potential expansion scenarios and exploration highlights is set out in the Update on Key Value Drivers section above
Macassa – Strong Operational and Cost Performance from Continued Productivity Improvements; Ventilation Upgrade on Schedule and Commissioning Underway on Shaft #4 Project
The Macassa mine, located in northeastern
Three Months Ended | For the Year Ended | |||
Tonnes of ore milled (thousands of tonnes) | 70 | 280 | ||
Tonnes of ore milled per day | 761 | 856 | ||
Gold grade (g/t) | 19.58 | 20.47 | ||
Gold production (ounces) | 43,308 | 180,833 | ||
Production costs per tonne (C$) | $ 594 | $ 602 | ||
Minesite costs per tonne (C$) | $ 632 | $ 577 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 714 | $ 718 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 758 | $ 683 |
*For the full year 2022, the operating statistics are reported for the period from |
In the fourth quarter of 2022, gold production at the Macassa mine was 43,308 ounces, with production costs per tonne of
For the period from
In the full year of 2022, the difference between production costs per tonne and minesite costs per tonne and the difference between production costs per ounce and total cash costs per ounce are primarily due to the inventory re-valuation at the forecast gold price in the period the inventory was expected to be sold, which was done as part of the Purchase Price Allocation following the completion of the Merger.
Operational Highlights
- For the complete twelve months of 2022 (including the period before the Merger), total gold production at the Macassa mine was 200,288 ounces, slightly above the upper end of the range of 190,000 ounces set out in the Previous Guidance
- The higher mine production than forecast in 2022 was largely driven by productivity gains achieved throughout 2022, resulting from improved ventilation, a better adherence to the mining plan and improved maintenance processes
- For the full year 2022, the higher than forecast production helped drive a lower total cash cost per ounce of
$681 than the total cash costs per ounce of$718 set out in the Previous Guidance
Project Highlights
- Development work to connect the new shaft infrastructure to the existing mining areas continued to advance during the fourth quarter of 2022. Construction of the conveyor loadout station is underway and is expected to be completed in first quarter of 2023. The Shaft #4 production hoist commissioning commenced in
December 2022 , with final commissioning of the full material handling system expected to be completed in the first quarter of 2023
- The upgrade of the ventilation system progressed as planned. In the fourth quarter of 2022, the civil construction for the installation of the two 3,000 HP fans was completed and work on the mechanical and electrical installation is underway. The commissioning of the fans is expected to commence in the first quarter of 2023
Agnico Eagle considers
In
Located near
Three Months Ended | Three Months Ended | |||
Tonnes of ore milled (thousands of tonnes) | 475 | 462 | ||
Tonnes of ore milled per day | 5,163 | 5,022 | ||
Gold grade (g/t) | 7.00 | 7.07 | ||
Gold production (ounces) | 103,397 | 101,843 | ||
Production costs per tonne (C$) | $ 226 | $ 188 | ||
Minesite costs per tonne (C$) | $ 233 | $ 190 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 786 | $ 680 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 855 | $ 656 |
Gold production in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to higher mill throughput levels, partially offset by lower gold grades resulting from an increase in tonnage sourced from the lower grade open pit.
Production costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period due a higher mining rate resulting in a positive stockpile adjustment and higher services costs related to inflationary pressures on fuel and transportation, partially offset by the timing of unsold inventory. Production costs per ounce in the fourth quarter of 2022 increased when compared to the prior-year period as a result of higher production costs per tonne partially offset by the weakening of the Canadian dollar relative to the
Minesite costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to the same reasons that resulted in higher production costs per tonne. Total cash costs per ounce in the fourth quarter of 2022 increased when compared to the prior-year period due to higher minesite costs per tonne, partially offset by the weakening of the Canadian dollar relative to the
For the Year Ended | For the Year Ended | |||
Tonnes of ore milled (thousands of tonnes)* | 1,757 | 1,501 | ||
Tonnes of ore milled per day* | 4,814 | 4,698 | ||
Gold grade (g/t) | 6.83 | 7.37 | ||
Gold production (ounces)* | 372,874 | 367,630 | ||
Production costs per tonne (C$) | $ 232 | $ 210 | ||
Minesite costs per tonne (C$)* | $ 234 | $ 206 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 853 | $ 682 | ||
Total cash costs per ounce of gold produced ($ per ounce)* | $ 863 | $ 634 |
*This metric exclude pre-commercial production tonnes and ounces. In the full year 2021, the Tiriganiaq open pit had 24,057 ounces of pre-commercial gold production. The mill operated for an equivalent of 318 days in the full year 2021 impacting the tonnes of ore milled per day metric |
Gold production in the full year 2022 increased when compared to the prior-year period (excluding pre-commercial production). Gold production in the full year 2022 decreased when compared to prior year period (including pre-commercial), primarily due to lower gold grades resulting from increased ore tonnes sourced from the open pit and the lower grade stockpiles, partially offset by higher throughput levels resulting from the planned expansion of the mill to 4,800 tpd. The COVID-19 pandemic affected the underground mine activities, particularly in
Production costs per tonne in the full year 2022 increased when compared to the prior-year period due to inventory adjustments resulting from the consumption of the low-grade stockpile and the timing of unsold inventory, partially offset by higher throughput levels and a higher deferred stripping adjustment. Production costs per ounce in the full year 2022 increased when compared to the prior-year period due to lower gold grades, higher production costs per tonne and the timing of unsold inventory.
Minesite costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to inventory adjustments resulting from the consumption of the low-grade stockpile and higher open pit mining costs as a result of higher fuel costs, partially offset by higher throughput levels and a higher deferred stripping adjustment. Total cash costs per ounce in the full year 2022 increased when compared to the prior-year period due to lower gold grades and higher minesite costs per tonne, partially offset by the weakening of the Canadian dollar relative to the
Operational Highlights
- In the fourth quarter of 2022, the underground mine continued to deliver solid operational performance resulting in higher than forecast ore tonnes hauled to surface. Development activities were lower than forecast primarily due to unplanned maintenance on mobile equipment and workforce availability. The delay in underground development is not expected to affect the mining sequence in the upcoming quarters
- In the open pit, ore production was above forecast mostly related to increased ore available for mucking and good overall productivity
- In 2022, the mill set records for quarterly (fourth quarter) and annual throughput
- Meliadine continued consistent and productive automated mucking and haulage activities between shifts with automation used on 84% of days in the fourth quarter of 2022. In 2023, the Company expects to increase automated activities, as well as complete the deployment of a new fleet management system
Projects Highlights
- The Phase 2 mill expansion is expected to be completed in mid-2024 when the processing rate is forecast to increase to 6,000 tpd. Engineering work is progressing on schedule with some procurement arriving later than planned in the fourth quarter of 2022. The construction of the carbon-in-leach circuit, filter-press and power plant facilities have commenced and the architectural work is ongoing on the west wall of the CIL and filter-press expansion
- Regulatory processes to amend the permit were initiated in 2022 with both the
Nunavut Impact Review Board and the Nunavut Water Board to include future underground mining and associated saline water management infrastructures at the Pump,F Zone and Discovery deposits. Construction and operation of a wind-farm are also part of the application
Exploration Update – Successful Conversion Drilling and Studies Increase Gold Mineral Reserves by 3% to 3.8Moz; First Underground Mineral Reserve of 277Koz Declared at Pump
The Meliadine property includes seven gold deposits, six of which are part of the current mine-plan. Tiriganiaq is the largest of the deposits with a strike length of approximately 3.0 kilometres and it remains open at depth below 800 metres.
Exploration at Meliadine in 2022 included 50,500 metres of capitalized drilling and 17,500 metres of expensed drilling for a total of 213 holes. Work in 2022 focused on: deep exploration and conversion drilling during the first half of the year at the Pump deposit; infill drilling of inferred mineral resources at depth in the Wesmeg and Tiriganiaq deposits; and exploration drilling at the F-Zone deposit.
At Pump, a newly completed study of the underground portion of the deposit resulted in the declaration at year-end 2022 of an initial probable mineral reserve at underground depths at Pump of 277,000 ounces of gold (1.3 million tonnes grading 6.52 g/t gold).
Overall, gold mineral reserves at Meliadine grew 3% to 3.8 million ounces of gold with the addition of 499,000 ounces of gold from successful conversion drilling and studies more than offsetting the 396,000 ounces of gold mined in situ (see the Mineral Reserves and Mineral Resources section of this news release for details).
Drilling during the fourth quarter of 2022, the Company continued to confirm and extend high-grade mineralization in the Wesmeg-Normeg deposits adjacent to Tiriganiaq, with a highlight intercept of 15.6 g/t gold over 5.8 metres at 509 metres depth in hole ML450-9290-D12.
At F-Zone, located 1.2 kilometres east of Tiriganiaq, drilling was mainly focused on the western and deeper portion of the deposit and was highlighted by hole M22-3445 intersecting 6.1 g/t gold over 8.6 metres at 241 metres depth and hole M22-3479 intersecting 10.9 g/t gold over 4.7 metres at 394 metres depth. Both intercepts contributed to growth in the inferred mineral resource estimate at year-end 2022. The F-Zone deposit, which remains open at depth, is currently classified as mineral resources and presents good potential for a substantial conversion to mineral reserves as drilling continues in 2023.
Selected recent exploration drill intercepts from the Wesmeg, Normeg and F-Zone deposits at the Meliadine property are set out in a table in the Appendix and in the plan map and composite longitudinal section below.
[
The Meliadine property hosts an 80 kilometre long, gold-rich greenstone belt with several high potential targets in areas beyond the main deposits where exploration to date has been limited to surface to shallow depth investigations. The exploration plans for Meliadine in 2023 are detailed in the Exploration Budget section of this news release.
The 100% owned
The Amaruq mining operation uses the infrastructure at the Meadowbank minesite. Additional infrastructure has also been built at the Amaruq site. Amaruq ore is transported using long haul off-road type trucks to the mill at the Meadowbank site for processing. The Amaruq satellite deposit achieved commercial production on
Three Months Ended | Three Months Ended | |||
Tonnes of ore milled (thousands of tonnes)* | 923 | 782 | ||
Tonnes of ore milled per day* | 10,033 | 8,635 | ||
Gold grade (g/t) | 3.48 | 2.93 | ||
Gold production (ounces)* | 94,328 | 67,630 | ||
Production costs per tonne (C$) | $ 191 | $ 184 | ||
Minesite costs per tonne (C$)* | $ 186 | $ 164 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 1,364 | $ 1,682 | ||
Total cash costs per ounce of gold produced ($ per ounce)* | $ 1,418 | $ 1,434 |
*This metric exclude pre-commercial production tonnes and ounces. In the fourth quarter of 2021, Meadowbank had 1,608 ounces of pre-commercial production from the Amaruq underground project |
In the fourth quarter of 2022, gold production increased when compared to the prior-year period primarily due to higher throughput resulting from increased production from the underground project, solid operational performance and higher gold grades from the Whale Tail and IVR open pits.
Production costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to the consumption of the stockpile resulting in a unfavourable stockpile adjustment and higher services costs related to inflationary pressures on fuel and transportation, partially offset by an increase in deferred stripping and the timing of unsold inventory. Production costs per ounce in the fourth quarter of 2022 decreased when compared to the prior-year period due to higher gold grades and the timing of unsold inventory, partially offset by higher production costs per tonne.
Minesite costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to the consumption of stockpiles and higher site services costs related to inflationary pressures on fuel and transportation, partially offset by a lower deferred stripping adjustment. Total cash costs per ounce in the fourth quarter of 2022 decreased when compared to the prior-year period primarily due to higher gold grades partially offset by higher minesite costs per tonne.
For the Year Ended | For the Year Ended | |||
Tonnes of ore milled (thousands of tonnes)* | 3,739 | 3,556 | ||
Tonnes of ore milled per day* | 10,244 | 9,782 | ||
Gold grade (g/t) | 3.40 | 3.07 | ||
Gold production (ounces)* | 373,785 | 322,852 | ||
Production costs per tonne (C$) | $ 154 | $ 145 | ||
Minesite costs per tonne (C$)* | $ 157 | $ 143 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 1,184 | $ 1,266 | ||
Total cash costs per ounce of gold produced ($ per ounce)* | $ 1,210 | $ 1,201 |
*This metric exclude pre-commercial production tonnes and ounces. In the full year 2021, Meadowbank had 1,956 ounces of pre-commercial production from the Amaruq underground project |
In the full year 2022, gold production increased when compared to the prior-year period primarily due to higher gold grades and higher tonnage resulting from a strong operating performance, including a full year of underground production and a higher than anticipated grade sequence in the Whale Tail and IVR open pits in the third quarter of 2022.
Production costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to higher site services costs related to inflationary pressures on fuel and transportation, partially offset by the timing of unsold inventory and a higher deferred stripping adjustment. Production costs per ounce in the full year 2022 decreased when compared to the prior-year period due to higher gold grades, partially offset by higher production costs per tonne.
Minesite costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to the factors described above. Total cash costs per ounce in the full year 2022 increased when compared to the prior-year period as higher gold grades were offset by higher minesite costs per tonne.
Operational Highlights
- Amaruq achieved its record annual production in 2022, eclipsing prior year production by approximately 50,000 ounces of gold and increasing annual mill throughput by over 300,000 tonnes (including pre-commercial production), while achieving commercial production at the Amaruq underground deposit on August 1, 2022
- In the fourth quarter of 2022, the open pit entered into a lower gold grade area at Whale Tail and IVR and a higher waste stripping period that is expected to last through 2023
- In the fourth quarter of 2022, mill throughput was affected by high sulphur content ore and the ongoing ramp-up of the high pressure grinding roll system while gold recovery was affected by a leach tank that was down during the month of October. The Company continues to ramp up the use of the high pressure grinding rolls following the commissioning of the project in the second quarter of 2022
- The underground mine continued to ramp up through the fourth quarter of 2022 experiencing some challenges with equipment availability as new equipment were being commissioned
- The Company experienced below target results from the newly commissioned cemented rockfill plant and has been using a temporary mobile system during the ramp-up phase. An action plan to address the performance of the cemented rockfill plant is currently being prepared
Exploration Highlights
- A deep drilling campaign into extensions of known deposits at Amaruq in 2022 resulted in several high-grade intersections over substantial widths that demonstrate the potential to extend underground mine life. Highlights from the fourth quarter of 2022 include hole AMQ22-2877A which intersected 10.3 g/t gold over 11.0 metres at 778 metres depth in the V2 Zone of the IVR deposit and hole AMQ22-2876A which intersected 7.4 g/t gold over 9.1 metres at 1,000 metres depth in the QZ03 Zone of the Whale Tail deposit
Hope Bay Project – Drilling Activities Continued in the Fourth Quarter of 2022; Larger Production Scenarios Continue to be Evaluated
Located in the Kitikmeot District of
On February 18, 2022, the Company announced that it decided to maintain the suspension of production activities at the Doris mine in order to dedicate the infrastructure of the Hope Bay site to exploration activities. In conjunction with the exploration activities, the Company continues to evaluate the potential for a larger production scenario (targeting 350,000 to 400,000 ounces of gold per year) with a potential start up in 2028.
An update on exploration carried out in the fourth quarter of 2022 is presented in the Update on Key Value Drivers section above.
Agnico Eagle acquired the
Gold production at the
Fosterville Mine – Operating Statistics* | ||||
Three Months Ended | For the Year Ended | |||
December 31, 2022 | December 31, 2022 | |||
Tonnes of ore milled (thousands of tonnes) | 139 | 524 | ||
Tonnes of ore milled per day | 1,511 | 1,602 | ||
Gold grade (g/t) | 20.29 | 20.41 | ||
Gold production (ounces) | 88,634 | 338,327 | ||
Production costs per tonne (A$) | $ 370 | $ 561 | ||
Minesite costs per tonne (A$) | $ 399 | $ 356 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 385 | $ 605 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 414 | $ 378 |
*For the full year 2022, the operating statistics are reported for the period from February 8, 2022 to December 31, 2022. |
In the fourth quarter of 2022, gold production at the
For the period from February 8, 2022 to December 31, 2022, gold production at the
In the full year 2022, the difference between production costs per tonne and minesite costs per tonne and the difference between production costs per ounce and total cash costs per ounce are primarily due to the inventory re-valuation at the forecasted gold price in the period the inventory was expected to be sold, which was done as part of the Purchase Price Allocation following the completion of the Merger.
Operational Highlights
- In the fourth quarter of 2022, mine production was affected by lower than target grade reconciliation in an ultra-high-grade stope
- For the complete twelve months of 2022 (including the period before the Merger), total gold production at the
Fosterville mine was 383,206 ounces, slightly below the lower end of the range of 390,000 to 410,000 ounces set out in the Previous Guidance. The lower production than forecast was primarily due to operating restrictions related to low frequency noise and lower gold grades than anticipated in the fourth quarter of 2022
- Significant rainfall and flooding in October 2022 stressed the mine water management system and resulted in a pause in development at the Robbins Hill area as development crews were redeployed to the Harrier area
- Mine production continues to be affected by primary ventilation operating restrictions related to low frequency noise constraints. In the fourth quarter and the full year 2022, the Company continued to adjust the mining sequence to partially offset production impacts
- The Company remains focused on reducing the regenerative noise from the existing main ventilation fans' silencers. In the fourth quarter of 2022, a structural and air borne noise investigation was completed. Additional surface attenuation engineering design was completed in the quarter and testing is expected to commence in the first quarter of 2023. The Company will continue to work towards a resolution into 2023, while also evaluating the potential installation of the primary fans underground in the longer term
- In the fourth quarter of 2022, total cash costs per ounce were higher than forecast due to lower production volumes, partially offset by a weaker Australian dollar compared to the US dollar
Project Highlights
- Four underground ventilation raises are planned to be excavated at Lower Phoenix and Harrier to upgrade the ventilation system and extend the service of the primary fans. The excavation of the ventilation raises commenced in the fourth quarter of 2022. Completion of the full ventilation upgrade project is expected in the first half of 2024
- In the fourth quarter of 2022, work continued on the seventh raise of the flotation tailings storage facility, however, construction activities were challenged by heavy spring rains. The wall raise is expected to provide an additional 17 months of tailings storage capacity and be completed in the first half of 2023
Exploration Highlights
- Exploration drilling on the
Fosterville mining lease and exploration licenses totaled 154,917 metres during 2022. Drilling in the Lower Phoenix and Cardinal zones was paused early in the fourth quarter of 2022 to extend the P3912 drill drive development, which advanced 137 metres during the quarter. Drilling will resume from the drill drive in the second quarter of 2023 to test the extensions of high-grade mineralization identified in the Lower Phoenix and Cardinal zones
- Infill and extension drilling progressed from the Robbins Hill exploration decline during the fourth quarter of 2022 with a new splay structure named Wu identified in the hanging wall of the Curie Fault
Agnico Eagle's Kittila mine in
Kittila – Underground Mine Activities Affected by Permit Limitation and Electricity Price Volatility; Nitrogen Removal Plant Commissioning Started and Performing Ahead of Expectations
The 100% owned Kittila mine in northern
Kittila Mine – Operating Statistics | ||||
Three Months Ended | Three Months Ended | |||
December 31, 2022 | December 31, 2021 | |||
Tonnes of ore milled (thousands of tonnes) | 421 | 526 | ||
Tonnes of ore milled per day | 4,576 | 5,717 | ||
Gold grade (g/t) | 3.93 | 4.39 | ||
Gold production (ounces) | 44,724 | 63,172 | ||
Production costs per tonne (EUR) | € 129 | € 74 | ||
Minesite costs per tonne (EUR) | € 132 | € 84 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 1,258 | $ 712 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 1,330 | $ 812 |
Gold production in the fourth quarter of 2022 decreased when compared to the prior-year period as a result of lower mill throughput and processing low grade ore stockpiles in November and December 2022. The lower mill throughput was primarily due to lower underground mine production and a planned 11-day shutdown in October 2022 related to the de-scaling of the autoclave and other regular maintenance work. The underground mine production was lower primarily due to the permit limitation and to electricity price volatility, each discussed below.
Production costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to stockpile consumption in December of 2022, higher mill costs resulting from higher unit costs for electricity, reagents and lower throughput levels and the timing of unsold inventory. Production costs per ounce in the fourth quarter of 2022 increased when compared to the prior-year period due to higher production costs per tonne and lower gold grades.
Minesite costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to stockpile consumption and higher mill production costs as described above. Total cash costs per ounce in the fourth quarter of 2022 increased when compared to the prior-year period due to higher minesite costs per tonne and lower gold grades, partially offset by the weakening of the Euro against the
Kittila Mine – Operating Statistics | ||||
For the Year Ended | For the Year Ended | |||
December 31, 2022 | December 31, 2021 | |||
Tonnes of ore milled (thousands of tonnes) | 1,925 | 2,052 | ||
Tonnes of ore milled per day | 5,274 | 5,622 | ||
Gold grade (g/t) | 4.13 | 4.19 | ||
Gold production (ounces) | 216,947 | 239,240 | ||
Production costs per tonne (EUR) | € 103 | € 80 | ||
Minesite costs per tonne (EUR) | € 101 | € 82 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 971 | $ 806 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 980 | $ 835 |
Gold production in the full year 2022 decreased when compared to the prior-year period primarily due to lower throughput levels realized largely in the fourth quarter of 2022, lower metallurgical recoveries resulting from high sulphur content in the feed and scale build-up in the autoclave, and slightly lower average gold grades. The gold grades were lower than anticipated in 2022 due to a delay in reaching the higher grade stopes in the Roura Zone in the first quarter of 2022 and to the processing of low grade stockpiles in the fourth quarter of 2022.
Production costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to higher mine and mill production costs resulting from higher unit costs for electricity, fuel, power, ground support and reagents, lower throughput levels, the timing of unsold inventory and from inventory adjustments from the consumption of stockpile. Production costs per ounce in the full year 2022 increased when compared to the prior-year period due to higher production costs per tonne and lower gold grades, partially offset by the weakening of the Euro against the
Minesite costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to higher mine and mill production costs and consumption of stockpile as described above. Total cash costs per ounce in the full year 2022 increased when compared to the prior-year period due to higher minesite costs per tonne, partially offset by the weakening of the Euro against the
Operational Highlights
- In November and December 2022, electricity spot prices were extremely volatile due to a demand-supply imbalance related to the delay in commissioning of a nuclear power plant in Finland. Electricity prices regularly reached peaks of 300 to 500 Euro per mega Watt hour ("MWHr") on a daily basis, compared to typical electricity price of approximately 50 Euro/MWhr paid by the Company. The Company limited its power intake from the grid by voluntarily reducing its electricity consumption from ventilation at the underground mine and supported the domestic grid by operating its diesel generators
- As a result of the permit limitation (described below) and the electricity price volatility in the fourth quarter of 2022, the underground mine's production was reduced to approximately 183,000 tonnes and the underground mine activities were largely focused on lateral development
- In the fourth quarter of 2022, low grade stockpiles were utilized to partially offset the lower production from the underground mine and support the mill production. The processing of lower grade stockpiles resulted in lower average grade than forecast for the quarter
- Electricity prices stabilized towards the end of December 2022, with the commissioning of the Olkiluoto 3 nuclear power plant now expected to be completed in the first quarter of 2023. As a result, the underground mine activities have resumed in January 2023. The Company continues to monitor closely the stability of the grid and electricity pricing
Project Highlights
- In the fourth quarter of 2022, the shaft construction project progressed as planned. The service hoist rope-up was completed and the production hoist rope-up is underway. The final conveyor at the S1000 production level was also completed. The commissioning of the production hoist is expected to start in the first quarter of 2023 and ramp up of activities in the second quarter of 2023
- In the fourth quarter of 2022, the commissioning of a nitrogen removal plant commenced and the Company focused on ramping-up and stabilizing the process. Nitrogen removal of 70% to 80% was achieved, which is ahead of expectations
Exploration Highlights
- During the fourth quarter of 2022, drilling continued to extend the Sisar Zone at depth in the Rimpi area by approximately 130 metres down-plunge from the Suuri area. Highlights include hole RIE22-701F which intersected 10.3 g/t gold over 10.2 metres at 1,908 metres depth
- Conversion drilling in the fourth quarter of 2022 returned good results in the Roura area at depths of around 1,000 to 1,100 metres below surface. Highlights include hole RUG22-501 which intersected 6.5 g/t gold over 11.9 metres at 979 metres depth in the Main Zone and 5.8 g/t gold over 9.6 metres at 958 metres depth in the Sizar Zone
Permitting
- In 2020, the Regional State Administrative Agency of
Northern Finland grantedAgnico Eagle Finland Oy ("Agnico Finland") environmental and water permits that would allow Agnico Finland to enlarge the CIL2 tailings storage facility, expand the operations of the Kittila mine to 2.0 Mtpa and build a new discharge waterline. The permits were subsequently appealed to the Vaasa Administrative Court in Finland. The appeals were granted, in part, in July 2022 with the result that the permits were returned for reconsideration by the Regional State Administrative Agency ofNorthern Finland
- In August 2022, the Company appealed the decisions of the Vaasa Administrative Court to the
Supreme Administrative Court ofFinland ("SAC") and requested that the SAC restore the permits through an interim decision pending the ultimate result of Agnico Finland's appeal
- On November 1, 2022, the SAC issued an interim decision upholding the initial CIL2 tailings storage facility permit and restoring nitrogen emission levels for 2022, ensuring the Company's environmental compliance with regards to nitrogen emissions. However, the SAC interim decision didn't uphold the expansion of the mine to 2.0 Mtpa and the Vaasa Administrative Court decision is valid until a final decision is issued by the SAC
- In the fourth quarter of 2022, the Company reduced its underground production levels to respect the mining volume requirements of the current permit
- The Company expects a final decision from the SAC during the second half of 2023. Until then, the Company will rely on the current mining permit of 1.6 Mtpa while maintaining operational flexibility to reach the 2.0 Mtpa volume in the event of a positive decision by the SAC
- If the SAC does not reinstate Agnico Finland's right to operate at, or close to, 2.0 Mtpa, the Company intends to submit an updated permit application for 2.0 Mtpa output level or higher
Agnico Eagle's Mexican operations have been a solid source of precious metals production (gold and silver) with solid free cash flow generation since 2009.
The 100% owned
Pinos Altos Mine – Operating Statistics | ||||
Three Months Ended | Three Months Ended | |||
December 31, 2022 | December 31, 2021 | |||
Tonnes of ore processed (thousands of tonnes) | 382 | 441 | ||
Tonnes of ore processed per day | 4,152 | 4,793 | ||
Gold grade (g/t) | 2.14 | 2.43 | ||
Gold production (ounces) | 25,291 | 32,741 | ||
Production costs per tonne | $ 98 | $ 74 | ||
Minesite costs per tonne | $ 97 | $ 82 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 1,485 | $ 999 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 1,255 | $ 888 |
Gold production in the fourth quarter of 2022 decreased when compared to the prior-year period primarily due to lower throughput levels resulting from lower underground productivity related to lower stope availability at the Santo Niño and
Production costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to lower throughput levels, partially offset by the timing of unsold inventory. Production costs per ounce in the fourth quarter of 2022 increased when compared to the prior-year period due the production costs per tonne as described above.
Minesite costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to lower throughput levels. Total cash costs per ounce in the fourth quarter of 2022 increased when compared to the prior-year period due to higher minesite costs per tonne, lower gold grades, an appreciating peso relative to the
Pinos Altos Mine – Operating Statistics | ||||
For the Year Ended | For the Year Ended | |||
December 31, 2022 | December 31, 2021 | |||
Tonnes of ore processed (thousands of tonnes) | 1,510 | 1,899 | ||
Tonnes of ore processed per day | 4,137 | 5,203 | ||
Gold grade (g/t) | 2.07 | 2.20 | ||
Gold production (ounces) | 96,522 | 126,932 | ||
Production costs per tonne | $ 96 | $ 75 | ||
Minesite costs per tonne | $ 94 | $ 75 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 1,497 | $ 1,115 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 1,249 | $ 858 |
Gold production in the full year 2022 decreased when compared to the prior-year period primarily due to lower throughput levels resulting from lower underground productivity related to the higher rehabilitation requirements at the Santo Niño and
Production costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to lower throughput levels, higher mining costs resulting from higher ground support requirements and higher processing costs related to higher unit prices for reagents and grinding media. Production costs per ounce in the full year 2022 increased when compared to the prior-year period due to higher production costs per tonne, an appreciating peso relative to the
Minesite costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to reasons described above. Total cash costs per ounce in the full year 2022 increased when compared to the prior-year period due to higher minesite costs per tonne, lower gold grades, an appreciating peso relative to the
Operational Highlights
- The backlog in underground development at the Santo Niño and
Cerro Colorado areas, resulting from the higher than anticipated rehabilitation work in the first six months of 2022, continued to affect the stope availability and ore delivery to the mill in the fourth quarter of 2022
- In the third quarter of 2022, the Company adjusted the mining sequence and mining rate according to the current mining conditions and established a plan to improve the mining recovery and reduce dilution. With these initiatives in place, the Company saw improvements in the development and production rates in the fourth quarter of 2022 aligned with the modified mining plan
- At
Reyna de Plata , open pit pre-stripping activities at Pit 1 were completed in the fourth quarter of 2022 as planned. Ore production fromReyna de Plata was above target in the fourth quarter of 2022
Project Highlights
- In the fourth quarter of 2022, pre-construction activities at the Cubiro deposit were paused. Additional exploration and definition drilling is planned for 2023 to better define the high grade ore shoot for future production and optimize the mine design and sequence. Initial production is now expected in the second half of 2024. Once production commences, Cubiro is expected to provide additional production flexibility to the
Pinos Altos operations
Exploration Highlights
- In addition to the planned drilling at Cubiro, the exploration program at
Pinos Altos is focused on testing the depth potential of theCerro Colorado ,Santo Nino andReyna East zones and other targets on the property
La India – Higher Strip Ratio During Ramp Up of Production at El Realito Results in Lower Tonnes Placed on Heap Leach and Lower Gold Production in the Fourth Quarter of 2022
The 100% owned La India mine in
La | ||||
Three Months Ended | Three Months Ended | |||
December 31, 2022 | December 31, 2021 | |||
Tonnes of ore processed (thousands of tonnes) | 1,138 | 1,398 | ||
Tonnes of ore processed per day | 12,370 | 15,196 | ||
Gold grade (g/t) | 0.57 | 0.76 | ||
Gold production (ounces) | 16,669 | 24,660 | ||
Production costs per tonne | $ 18 | $ 16 | ||
Minesite costs per tonne | $ 20 | $ 15 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 1,245 | $ 885 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 1,369 | $ 840 |
Gold production in the fourth quarter of 2022 decreased when compared to the prior-year period as a result of lower grade ore and fewer tonnes placed on the heap leach, partially offset by higher recovery.
Production costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to higher heap leach production costs resulting from fewer tonnes placed on the heap leach, higher open pit production costs resulting from a higher strip ratio with the transition from the Main Pit to the
Minesite costs per tonne in the fourth quarter of 2022 increased when compared to the prior-year period primarily due to the reasons described above. Total cash costs per ounce in the fourth quarter of 2022 increased when compared to the prior-year period due to higher mine site costs and lower gold grades.
La | ||||
For the Year Ended | For the Year Ended | |||
December 31, 2022 | December 31, 2021 | |||
Tonnes of ore processed (thousands of tonnes) | 5,102 | 6,018 | ||
Tonnes of ore processed per day | 13,978 | 16,488 | ||
Gold grade (g/t) | 0.59 | 0.56 | ||
Gold production (ounces) | 74,672 | 63,529 | ||
Production costs per tonne | $ 15 | $ 10 | ||
Minesite costs per tonne | $ 16 | $ 10 | ||
Production costs per ounce of gold produced ($ per ounce) | $ 1,021 | $ 950 | ||
Total cash costs per ounce of gold produced ($ per ounce) | $ 1,056 | $ 939 |
Gold production in the full year 2022 increased when compared to the prior-year period primarily due to higher heap leach recovery and higher gold grades, partially offset by fewer tonnes placed on the heap leach due to heavy rains and low mine productivity in the third quarter of 2022. In the full year 2022, the heap leach operated at normal levels, while in the prior-year period, irrigation of the heap leach was significantly reduced from March to June 2021 due to low local water availability, affecting heap leach recovery.
Production costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to higher heap leach and open pit production costs in the second half of 2022. Production costs per ounce in the full year 2022 increased when compared to the prior-year period due to higher production costs per tonne, partially offset by higher gold grades.
Minesite costs per tonne in the full year 2022 increased when compared to the prior-year period primarily due to reasons outlined above. Total cash costs per ounce in the full year 2022 increased when compared to the prior-year period due to the same reasons as the increase in production costs per ounce.
Operational Highlights
- In the fourth quarter of 2022, the La India pit was depleted. At the
El Realito pit, the stripping ratio in the early mining phase was higher than anticipated and resulted in fewer ore tonnes being placed on the heap leach
- Gold production was further affected by slower leach kinetics of the ore placed in October 2022 due to high clay content
Project Highlights
- The
El Realito rock storage facilities were completed in December 2022 as planned
Exploration Highlights
- Investigation for additional sulphide mineralization is continuing with a plan to drill approximately 4,000 metres in 2023 at the Chipriona polymetallic sulphide deposit to test potential lateral extensions and parallel structures at open pit depths
About Agnico Eagle
Agnico Eagle is a senior Canadian gold mining company, producing precious metals from operations in
Further Information
For further information regarding Agnico Eagle, contact Investor Relations at investor.relations@agnicoeagle.com or call (416) 947-1212.
Note Regarding Certain Measures of Performance
This news release discloses certain financial performance measures, including "total cash costs per ounce", "all-in sustaining costs per ounce", "minesite costs per tonne", "net debt", "adjusted net income", "adjusted net income per share", "sustaining capital expenditures", "development capital expenditures" and "operating margin" 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.
The total cash costs per ounce of gold produced 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). The 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 income (loss) for by-product revenues, inventory production costs, the impact of purchase price allocation in connection with the Merger to inventory accounting, realized gains and losses on hedges of production costs, operational care and maintenance costs due to COVID-19, production costs associated with retrospective adjustments from the application of the IAS 16 amendments and other adjustments, which include the costs associated with a 5% in-kind royalty paid in respect of the Canadian Malartic mine, a 2% in-kind royalty paid in respect of the Detour Lake mine, a 1.5% in-kind royalty paid in respect of the Macassa mine, as well as smelting, refining and marketing charges and then dividing by the number of ounces of gold produced excluding production prior to the achievement of commercial production. Certain line items such as operational care and maintenance costs due to COVID-19 and realized gains and losses on hedges of production costs were previously classified as "other adjustments" and are now disclosed separately to provide additional detail on the reconciliation, allowing investors to better understand the impacts of such events on the cash operating costs per ounce and minesite costs per tonne. In addition, given the extraordinary nature of the fair value adjustment on inventory related to the Merger and the use of the total cash costs per ounce measure to reflect the cash generating capabilities of the Company's operations, the calculation of total cash costs per ounce for the Detour, Macassa and
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.
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. Investors should also consider these measures in conjunction with other data prepared in accordance with IFRS.
All-in sustaining costs per ounce of gold produced 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 (excluding production prior to the achievement of commercial production). These additional costs reflect the additional expenditures that are required to be made to maintain current production levels. The AISC per ounce of gold produced on a co-product basis is calculated in the same manner as the AISC per ounce of gold produced 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. AISC per ounce seeks to reflect total sustaining expenditures of producing and selling an ounce of gold while maintaining current operations. 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 of gold produced on a by-product basis, by-product metal prices. Management compensates for these inherent limitations by using these measures in conjunction with minesite costs per tonne as well as other data prepared in accordance with IFRS. 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. This measure also does not include depreciation or amortization.
The
Minesite costs per tonne are calculated by adjusting production costs as recorded in the consolidated statements of income (loss) for inventory production costs, operational care and maintenance costs due to COVID-19, and other adjustments, and then dividing by tonnage of ore processed (excluding the tonnage processed prior to the achievement of commercial production). 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, and investors should note, 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 prepared in accordance with IFRS.
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.
Adjusted net income and adjusted net income per share are calculated by adjusting the net income as recorded in the consolidated statements of income (loss) for the effects of certain items that the Company believes are not reflective of the Company's underlying performance for the reporting period, including foreign currency translation gains or losses, realized and unrealized gains or losses on derivative financial instruments, impairment loss charges and reversals, environmental remediation, income and mining taxes adjustments as well as other non-recurring, unusual items (which includes changes in estimates of asset retirement obligations at closed sites and gains and losses on the disposal of assets). Adjusted net income per share is calculated by dividing adjusted net income by the number of shares outstanding on a basic and diluted basis. The Company believes that these generally accepted industry measures allow for the evaluation of the results of continuing operations and are useful in making comparisons between periods. Adjusted net income and adjusted net income per share are intended to provide investors with information about the Company's continuing income generating capabilities. Management uses these measures 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.
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); foreign currency translation (gain) loss; gain (loss) on derivative financial instruments; finance costs; general and administrative expenses; amortization of property, plant and mine development; exploration and corporate development expenses; and impairment losses (reversals). The Company believes that operating margin is a useful measure that represents 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. This measure is intended to provide investors with additional information about the Company's underlying operating results and should be evaluated in conjunction with other data prepared in accordance with IFRS.
Sustaining capital expenditures are expenditures incurred during the production phase to sustain and maintain the 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 represents the spending at new projects and/or expenditure at existing operations that is 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 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.
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 16, 2023. 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 "anticipate", "could", "estimate", "expect", "forecast", "future", "plan", "possible", "potential", "will", "aim", "target" 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 results, life of mine estimates, total cash costs per ounce, AISC per ounce, minesite costs per tonne, other expenses and cash flows; statements relating to the potential for additional gold production at Kittila,
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")
For
As a result of the adoption of the SEC Modernization Rules, the
Investors are cautioned that while the
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
The scientific and technical information relating to Agnico Eagle's mineral reserves and mineral resources contained herein (other than the Canadian Malartic mine) has been approved by
Detailed Mineral Reserve and Mineral Resource Data (as at December 31, 2022)
MINERAL RESERVES | |||||||||||
As at December 31, 2022 | |||||||||||
OPERATION / PROJECT | PROVEN | PROBABLE | PROVEN & PROBABLE | ||||||||
GOLD | Mining | AEM | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz |
LaRonde¹ | UG | 100 % | 2,809 | 5.23 | 473 | 9,497 | 6.69 | 2,042 | 12,306 | 6.36 | 2,515 |
UG | 100 % | 4,904 | 2.08 | 327 | 5,490 | 2.17 | 383 | 10,394 | 2.12 | 710 | |
LaRonde Complex Total | 7,713 | 3.23 | 800 | 14,987 | 5.03 | 2,425 | 22,699 | 4.42 | 3,225 | ||
Canadian Malartic3 | OP | 50 % | 25,802 | 0.70 | 579 | 26,185 | 1.10 | 926 | 51,988 | 0.90 | 1,505 |
Odyssey | UG | 50 % | — | — | 1,379 | 2.22 | 98 | 1,379 | 2.22 | 98 | |
Canadian Malartic Complex Total | 25,802 | 0.70 | 579 | 27,564 | 1.16 | 1,025 | 53,366 | 0.93 | 1,603 | ||
Goldex4 | UG | 100 % | 607 | 2.89 | 56 | 17,820 | 1.58 | 906 | 18,427 | 1.62 | 962 |
Akasaba West5 | OP | 100 % | — | — | 5,419 | 0.84 | 147 | 5,419 | 0.84 | 147 | |
Quebec Total | 34,122 | 1.31 | 1,435 | 65,790 | 2.13 | 4,503 | 99,912 | 1.85 | 5,937 | ||
Detour (Above 0.5 g/t) | OP | 100 % | 68,681 | 1.18 | 2,595 | 508,869 | 0.90 | 14,657 | 577,550 | 0.93 | 17,253 |
Detour (Below 0.5 g/t) | OP | 100 % | 38,941 | 0.43 | 538 | 233,926 | 0.38 | 2,893 | 272,867 | 0.39 | 3,431 |
Detour Lake Total6 | 107,622 | 0.91 | 3,133 | 742,795 | 0.73 | 17,551 | 850,417 | 0.76 | 20,683 | ||
Macassa7 | UG | 100 % | 135 | 15.33 | 66 | 3,114 | 17.29 | 1,731 | 3,249 | 17.20 | 1,797 |
Macassa Near Surface | UG | 100 % | — | — | 92 | 5.31 | 16 | 92 | 5.31 | 16 | |
AK Project | UG | 100 % | — | — | 596 | 5.20 | 100 | 596 | 5.20 | 100 | |
Macassa Total | 135 | 15.33 | 66 | 3,803 | 15.10 | 1,846 | 3,937 | 15.11 | 1,913 | ||
Upper Beaver8 | UG | 100 % | — | — | 7,992 | 5.43 | 1,395 | 7,992 | 5.43 | 1,395 | |
Hammond Reef9 | OP | 100 % | — | — | 123,473 | 0.84 | 3,323 | 123,473 | 0.84 | 3,323 | |
Ontario Total | 107,757 | 0.92 | 3,199 | 878,063 | 0.85 | 24,115 | 985,820 | 0.86 | 27,314 | ||
Amaruq | OP | 100 % | 1,868 | 2.11 | 126 | 10,499 | 3.82 | 1,289 | 12,366 | 3.56 | 1,416 |
Amaruq | UG | 100 % | 25 | 4.58 | 4 | 4,219 | 5.49 | 745 | 4,243 | 5.49 | 748 |
Amaruq Total10 | 1,892 | 2.14 | 130 | 14,718 | 4.30 | 2,034 | 16,610 | 4.05 | 2,164 | ||
Meadowbank | OP | 100 % | — | — | — | — | — | — | |||
Meadowbank Complex Total | 1,892 | 2.14 | 130 | 14,718 | 4.30 | 2,034 | 16,610 | 4.05 | 2,164 | ||
Meliadine | OP | 100 % | 458 | 3.91 | 58 | 4,791 | 4.59 | 708 | 5,249 | 4.53 | 765 |
Meliadine | UG | 100 % | 557 | 7.29 | 131 | 13,658 | 6.54 | 2,870 | 14,215 | 6.57 | 3,001 |
Meliadine Total11 | 1,015 | 5.77 | 188 | 18,449 | 6.03 | 3,578 | 19,464 | 6.02 | 3,766 | ||
Hope Bay12 | UG | 100 % | 93 | 6.77 | 20 | 16,232 | 6.49 | 3,389 | 16,325 | 6.50 | 3,409 |
Nunavut Total | 3,000 | 3.51 | 338 | 49,398 | 5.67 | 9,001 | 52,399 | 5.54 | 9,339 | ||
UG | 100 % | 608 | 23.19 | 453 | 5,955 | 6.39 | 1,224 | 6,562 | 7.95 | 1,677 | |
Australia Total | 608 | 23.19 | 453 | 5,955 | 6.39 | 1,224 | 6,562 | 7.95 | 1,677 | ||
Kittila14 | UG | 100 % | 1,224 | 4.36 | 171 | 26,029 | 4.20 | 3,512 | 27,253 | 4.20 | 3,683 |
Europe Total | 1,224 | 4.36 | 171 | 26,029 | 4.20 | 3,512 | 27,253 | 4.20 | 3,683 | ||
OP | 100 % | 2 | 0.35 | — | 2,508 | 1.28 | 103 | 2,509 | 1.28 | 103 | |
UG | 100 % | 2,671 | 2.08 | 178 | 5,122 | 2.33 | 383 | 7,793 | 2.24 | 562 | |
Pinos Altos Total15 | 2,673 | 2.08 | 178 | 7,630 | 1.98 | 486 | 10,303 | 2.01 | 665 | ||
La India16 | OP | 100 % | 14 | 0.39 | — | 3,310 | 0.76 | 81 | 3,324 | 0.76 | 81 |
Mexico Total | 2,687 | 2.07 | 179 | 10,939 | 1.61 | 567 | 13,626 | 1.70 | 745 | ||
Total Gold | 149,399 | 1.20 | 5,776 | 1,036,174 | 1.29 | 42,921 | 1,185,573 | 1.28 | 48,697 | ||
SILVER | Mining | AEM | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz |
LaRonde | UG | 100 % | 2,809 | 16.45 | 1,485 | 9,497 | 21.53 | 6,573 | 12,306 | 20.37 | 8,059 |
OP | 100 % | 2 | 7.06 | 0 | 2,508 | 37.53 | 3,026 | 2,509 | 37.51 | 3,026 | |
UG | 100 % | 2,671 | 47.92 | 4,115 | 5,122 | 46.71 | 7,692 | 7,793 | 47.12 | 11,807 | |
Pinos Altos Total | 2,673 | 47.89 | 4,116 | 7,630 | 43.69 | 10,718 | 10,303 | 44.78 | 14,834 | ||
La India | OP | 100 % | 14 | 1.49 | 1 | 3,310 | 4.03 | 428 | 3,324 | 4.01 | 429 |
Total Silver | 5,496 | 31.70 | 5,601 | 20,436 | 26.97 | 17,720 | 25,932 | 27.97 | 23,321 | ||
COPPER | Mining | AEM | 000 | g/t | tonnes | 000 | g/t | tonnes | 000 | g/t | tonnes |
LaRonde | UG | 100 % | 2,809 | 0.22 | 6,241 | 9,497 | 0.29 | 27,421 | 12,306 | 0.27 | 33,662 |
Akasaba West | OP | 100 % | — | — | 5,419 | 0.48 | 25,895 | 5,419 | 0.48 | 25,895 | |
Upper Beaver | UG | 100 % | — | — | 7,992 | 0.25 | 19,980 | 7,992 | 0.25 | 19,980 | |
Total Copper | 2,809 | 0.22 | 6,241 | 22,908 | 0.32 | 73,296 | 25,717 | 0.31 | 79,537 | ||
ZINC | Mining | AEM | 000 | g/t | tonnes | 000 | g/t | tonnes | 000 | g/t | tonnes |
LaRonde | UG | 100 % | 2,809 | 0.76 | 21,398 | 9,497 | 1.12 | 106,097 | 12,306 | 1.04 | 127,495 |
Total Zinc | 2,809 | 0.76 | 21,398 | 9,497 | 1.12 | 106,097 | 12,306 | 1.04 | 127,495 |
1 | |
2 | LaRonde Z5: Gold cut-off grade varies according to mining type and depth, not less than 1.32 g/t. |
3 | Canadian Malartic: Gold cut-off grade not less than 0.36 g/t for Barnat pit and 0.41 g/t for Canadian Malartic pit. |
4 | Goldex: Gold cut-off grade varies according to mining type and depth, not less than 0.90 g/t. |
5 | Akasaba West: Net smelter value cut-off varies according to mining and depth, not less than C$28.40/t. |
6 | Detour Lake: Gold cut-off grade not less than 0.26 g/t. |
7 | Macassa: Gold cut-off grade varies according to mining type, not less than 7.28 g/t (incremental material is 3.37 g/t). |
8 | Upper Beaver: Net smelter value cut-off not less than C$125/t. |
9 | Hammond Reef: Gold cut-off grade not less than 0.41 g/t. |
10 | 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). |
11 | Meliadine: Gold cut-off grade varies according to mining type, not less than 1.83 g/t for open pit mineral reserves and 4.36 g/t for underground mineral reserves (gold cut-off grade for marginal underground mineral reserves from development is 1.82 g/t). |
12 | Hope Bay: Gold cut-off grade not less than 4.00 g/t |
13 | |
14 | Kittila: Gold cut-off grade varies according to haulage distance, not less than 2.60 g/t. |
15 | |
16 | La India: Gold cut-off grade varies with haulage distance, not less than 0.19 g/t for oxide material and 0.93 g/t for sulphide material. |
MINERAL RESOURCES | ||||||||||||||
As at December 31, 2022 | ||||||||||||||
OPERATION / PROJECT | MEASURED | INDICATED | MEASURED & INDICATED | INFERRED | ||||||||||
GOLD | Mining | AEM | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz |
LaRonde | UG | 100 % | — | — | 5,959 | 2.96 | 566 | 5,959 | 2.96 | 566 | 2,942 | 4.91 | 464 | |
UG | 100 % | — | — | 9,774 | 2.08 | 652 | 9,774 | 2.08 | 652 | 12,376 | 3.13 | 1,244 | ||
LaRonde Complex Total | — | — | 15,733 | 2.41 | 1,219 | 15,733 | 2.41 | 1,219 | 15,317 | 3.47 | 1,708 | |||
Canadian Malartic | OP | 50 % | — | — | — | — | — | — | 2,804 | 0.73 | 66 | |||
Odyssey | UG | 50 % | — | — | 888 | 1.59 | 46 | 888 | 1.59 | 46 | 11,250 | 2.18 | 787 | |
UG | 50 % | — | — | 6,107 | 1.96 | 385 | 6,107 | 1.96 | 385 | 38,781 | 2.01 | 2,510 | ||
East Gouldie | UG | 50 % | — | — | 25,105 | 3.29 | 2,652 | 25,105 | 3.29 | 2,652 | 16,189 | 2.54 | 1,320 | |
Odyssey Mine Total | — | — | 32,101 | 2.99 | 3,082 | 32,101 | 2.99 | 3,082 | 66,221 | 2.17 | 4,616 | |||
Canadian Malartic Complex Total | — | — | 32,101 | 2.99 | 3,082 | 32,101 | 2.99 | 3,082 | 69,025 | 2.11 | 4,682 | |||
Goldex | UG | 100 % | 12,360 | 1.86 | 739 | 21,257 | 1.52 | 1,036 | 33,617 | 1.64 | 1,775 | 18,840 | 1.74 | 1,057 |
Akasaba West | OP | 100 % | — | — | 4,209 | 0.64 | 86 | 4,209 | 0.64 | 86 | — | — | ||
Quebec Total | 12,360 | 1.86 | 739 | 73,301 | 2.30 | 5,423 | 85,660 | 2.24 | 6,162 | 103,183 | 2.24 | 7,447 | ||
Detour | OP | 100 % | 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 Zone 58N | UG | 100 % | — | — | 2,868 | 5.80 | 534 | 2,868 | 5.80 | 534 | 973 | 4.35 | 136 | |
Detour Total | 30,861 | 1.45 | 1,434 | 700,688 | 0.76 | 17,055 | 731,549 | 0.79 | 18,489 | 59,290 | 0.68 | 1,292 | ||
Macassa | UG | 100 % | 272 | 10.49 | 92 | 2,153 | 9.24 | 639 | 2,425 | 9.38 | 731 | 1,904 | 16.52 | 1,011 |
Macassa Near Surface | UG | 100 % | — | — | 32 | 10.02 | 10 | 32 | 10.02 | 10 | 212 | 10.12 | 69 | |
AK Project | UG | 100 % | — | — | 230 | 6.06 | 45 | 230 | 6.06 | 45 | 700 | 5.57 | 125 | |
Macassa Total | 272 | 10.49 | 92 | 2,415 | 8.94 | 695 | 2,687 | 9.10 | 786 | 2,816 | 13.31 | 1,205 | ||
Aquarius | OP | 100 % | — | — | 23,112 | 1.49 | 1,106 | 23,112 | 1.49 | 1,106 | 502 | 0.87 | 14 | |
Holt Complex | UG | 100 % | 5,806 | 4.29 | 800 | 5,884 | 4.75 | 898 | 11,690 | 4.52 | 1,699 | 9,097 | 4.48 | 1,310 |
Anoki-McBean | UG | 100 % | — | — | 3,919 | 2.77 | 349 | 3,919 | 2.77 | 349 | 867 | 3.84 | 107 | |
Upper Beaver | UG | 100 % | — | — | 3,636 | 3.45 | 403 | 3,636 | 3.45 | 403 | 8,688 | 5.07 | 1,416 | |
OP | 100 % | — | — | 2,006 | 1.62 | 104 | 2,006 | 1.62 | 104 | 1,020 | 1.44 | 47 | ||
UG | 100 % | — | — | 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 | OP | 100 % | 47,063 | 0.54 | 819 | 86,304 | 0.53 | 1,478 | 133,367 | 0.54 | 2,298 | — | — | |
Ontario Total | 84,002 | 1.16 | 3,146 | 836,396 | 0.84 | 22,706 | 920,398 | 0.87 | 25,852 | 99,867 | 2.24 | 7,207 | ||
Amaruq | OP | 100 % | — | — | 5,806 | 2.49 | 465 | 5,806 | 2.49 | 465 | 61 | 3.20 | 6 | |
Amaruq | UG | 100 % | — | — | 7,398 | 4.46 | 1,061 | 7,398 | 4.46 | 1,061 | 6,280 | 4.62 | 932 | |
Amaruq Total | — | — | 13,203 | 3.60 | 1,526 | 13,203 | 3.60 | 1,526 | 6,341 | 4.60 | 938 | |||
Meadowbank Complex Total | — | — | 13,203 | 3.60 | 1,526 | 13,203 | 3.60 | 1,526 | 6,341 | 4.60 | 938 | |||
Meliadine | OP | 100 % | — | 4.48 | — | 3,590 | 3.44 | 397 | 3,590 | 3.44 | 397 | 441 | 4.26 | 60 |
Meliadine | UG | 100 % | 303 | 4.53 | 44 | 8,457 | 4.41 | 1,198 | 8,759 | 4.41 | 1,242 | 10,646 | 6.48 | 2,217 |
Meliadine Total | 303 | 4.53 | 44 | 12,047 | 4.12 | 1,595 | 12,350 | 4.13 | 1,639 | 11,088 | 6.39 | 2,277 | ||
Hope Bay | UG | 100 % | — | — | 9,784 | 3.58 | 1,125 | 9,784 | 3.58 | 1,125 | 11,044 | 5.49 | 1,950 | |
Nunavut Total | 303 | 4.53 | 44 | 35,034 | 3.77 | 4,246 | 35,337 | 3.78 | 4,290 | 28,473 | 5.64 | 5,166 | ||
OP | 100 % | 715 | 2.86 | 66 | 1,251 | 3.36 | 135 | 1,966 | 3.18 | 201 | 226 | 2.42 | 18 | |
UG | 100 % | 342 | 5.36 | 59 | 8,485 | 5.44 | 1,485 | 8,827 | 5.44 | 1,544 | 5,412 | 6.71 | 1,167 | |
Fosterville Total | 1,057 | 3.67 | 125 | 9,736 | 5.18 | 1,621 | 10,793 | 5.03 | 1,745 | 5,638 | 6.53 | 1,184 | ||
OP | 100 % | 269 | 3.65 | 32 | 16,416 | 1.42 | 749 | 16,685 | 1.46 | 781 | 13,536 | 1.75 | 762 | |
UG | 100 % | — | — | 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 | 1,326 | 3.66 | 156 | 31,267 | 3.24 | 3,257 | 32,593 | 3.26 | 3,413 | 23,458 | 3.39 | 2,560 | ||
Kittilä | OP | 100 % | — | — | — | — | — | — | 373 | 3.89 | 47 | |||
Kittilä | UG | 100 % | 5,089 | 2.76 | 452 | 16,212 | 2.74 | 1,430 | 21,301 | 2.75 | 1,881 | 5,836 | 4.54 | 853 |
Kittilä Total | 5,089 | 2.76 | 452 | 16,212 | 2.74 | 1,430 | 21,301 | 2.75 | 1,881 | 6,209 | 4.50 | 899 | ||
Kuotko | OP | 100 % | — | — | — | — | — | — | — | — | ||||
Barsele | OP | 55 % | — | — | 3,178 | 1.08 | 111 | 3,178 | 1.08 | 111 | 2,260 | 1.25 | 91 | |
Barsele | UG | 55 % | — | — | 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 | 5,089 | 2.76 | 452 | 20,547 | 2.43 | 1,606 | 25,636 | 2.50 | 2,058 | 22,020 | 2.69 | 1,904 | ||
OP | 100 % | — | — | 2,801 | 0.92 | 83 | 2,801 | 0.92 | 83 | 482 | 1.23 | 19 | ||
UG | 100 % | — | — | 12,355 | 1.87 | 744 | 12,355 | 1.87 | 744 | 2,432 | 2.02 | 158 | ||
Pinos Altos Total | — | — | 15,157 | 1.70 | 827 | 15,157 | 1.70 | 827 | 2,914 | 1.89 | 177 | |||
La India | OP | 100 % | 4,487 | 0.50 | 71 | 549 | 0.99 | 17 | 5,036 | 0.55 | 89 | 79 | 0.50 | 1 |
Tarachi | OP | 100 % | — | — | 19,290 | 0.58 | 361 | 19,290 | 0.58 | 361 | 242 | 0.52 | 4 | |
Chipriona | OP | 100 % | — | — | 12,877 | 0.83 | 346 | 12,877 | 0.83 | 346 | 971 | 0.63 | 20 | |
El Barqueño Gold | OP | 100 % | — | — | 8,834 | 1.16 | 331 | 8,834 | 1.16 | 331 | 9,628 | 1.13 | 351 | |
OP | 100 % | — | — | 17,638 | 0.91 | 516 | 17,638 | 0.91 | 516 | 11,187 | 1.28 | 460 | ||
UG | 100 % | — | — | — | — | — | — | 9,079 | 3.44 | 1,004 | ||||
Santa Gertrudis Total | — | — | 17,638 | 0.91 | 516 | 17,638 | 0.91 | 516 | 20,265 | 2.25 | 1,464 | |||
Total | 4,487 | 0.50 | 71 | 74,344 | 1.00 | 2,397 | 78,831 | 0.97 | 2,469 | 34,099 | 1.84 | 2,016 | ||
Total Gold | 107,566 | 1.33 | 4,609 | 1,070,889 | 1.15 | 39,635 | 1,178,455 | 1.17 | 44,244 | 311,100 | 2.63 | 26,301 | ||
SILVER | Mining | AEM | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz | 000 | g/t | 000 Oz |
LaRonde | UG | 100 % | — | — | 5,959 | 7.55 | 1,446 | 5,959 | 7.55 | 1,446 | 2,942 | 21.16 | 2,001 | |
OP | 100 % | — | — | 2,801 | 17.88 | 1,610 | 2,801 | 17.88 | 1,610 | 482 | 26.73 | 414 | ||
UG | 100 % | — | — | 12,355 | 48.35 | 19,204 | 12,355 | 48.35 | 19,204 | 2,432 | 32.45 | 2,537 | ||
Pinos Altos Total | — | — | 15,157 | 42.71 | 20,814 | 15,157 | 42.71 | 20,814 | 2,914 | 31.50 | 2,951 | |||
La India | OP | 100 % | 4,487 | 2.38 | 343 | 549 | 4.91 | 87 | 5,036 | 2.65 | 430 | 79 | 1.73 | 4 |
Chipriona | OP | 100 % | — | — | 12,877 | 89.72 | 37,146 | 12,877 | 89.72 | 37,146 | 971 | 81.78 | 2,552 | |
El Barqueño Silver | OP | 100 % | — | — | — | — | — | — | 4,393 | 124.06 | 17,523 | |||
El Barqueño Gold | OP | 100 % | — | — | 8,834 | 4.73 | 1,343 | 8,834 | 4.73 | 1,343 | 9,628 | 16.86 | 5,218 | |
OP | 100 % | — | — | 17,638 | 3.71 | 2,106 | 17,638 | 3.71 | 2,106 | 11,187 | 2.07 | 745 | ||
UG | 100 % | — | — | — | — | — | — | 9,079 | 23.31 | 6,803 | ||||
Santa Gertrudis Total | — | — | 17,638 | 3.71 | 2,106 | 17,638 | 3.71 | 2,106 | 20,265 | 11.58 | 7,548 | |||
Total Silver | 4,487 | 2.38 | 343 | 61,013 | 32.09 | 62,941 | 65,500 | 30.05 | 63,284 | 41,192 | 28.54 | 37,798 | ||
COPPER | Mining | AEM | 000 | % | Tonnes | 000 | % | Tonnes | 000 | % | Tonnes | 000 | % | Tonnes |
LaRonde | UG | 100 % | — | — | 5,959 | 0.11 | 6,496 | 5,959 | 0.11 | 6,496 | 2,942 | 0.34 | 10,053 | |
Akasaba West | OP | 100 % | — | — | 4,209 | 0.38 | 16,075 | 4,209 | 0.38 | 16,075 | — | — | ||
Upper Beaver | UG | 100 % | — | — | 3,636 | 0.14 | 5,135 | 3,636 | 0.14 | 5,135 | 8,688 | 0.20 | 17,284 | |
Chipriona | OP | 100 % | — | — | 12,877 | 0.14 | 18,382 | 12,877 | 0.14 | 18,382 | 971 | 0.11 | 1,051 | |
El Barqueño Gold | OP | 100 % | — | — | 8,834 | 0.19 | 16,400 | 8,834 | 0.19 | 16,400 | 9,628 | 0.22 | 21,152 | |
El Barqueño Silver | OP | 100 % | — | — | — | — | — | — | 4,393 | 0.04 | 1,854 | |||
Total Copper | — | — | 35,514 | 0.18 | 62,488 | 35,514 | 0.18 | 62,488 | 26,621 | 0.19 | 51,395 | |||
ZINC | AEM | 000 | % | Tonnes | 000 | % | Tonnes | 000 | % | Tonnes | 000 | % | Tonnes | |
LaRonde | UG | 100 % | — | — | 5,959 | 0.50 | 29,866 | 5,959 | 0.5 | 29,866 | 2,942 | 0.98 | 28,726 | |
Chipriona | OP | 100 % | — | — | 12,877 | 0.76 | 98,106 | 12,877 | 0.76 | 98,106 | 971 | 0.72 | 6,982 | |
Total Zinc | — | — | 18,836 | 0.68 | 127,972 | 18,836 | 0.68 | 127,972 | 3,912 | 0.91 | 35,707 |
Assumptions used for the December 31, 2022 mineral reserve and mineral resource estimates reported by the Company
Metal Price for Mineral Reserve Estimation1 | |||
Gold (US$/oz) | Silver (US$/oz) | Copper (US$/lb) | Zinc (US$/lb) |
$1,300 | $18 | $3.00 | $1.00 |
1 Exceptions: US$1,350 per ounce of gold used for Hope Bay and Hammond Reef; US$1,250 per ounce of goldused for Akasaba West; US$1,200 per ounce of gold and US$2.75 per pound of copper used for Upper Beaver |
Mines / Projects | Metal Price for Mineral Resource Estimation5 | |||
Gold (US$/oz) | Silver (US$/oz) | Copper (US$/lb) | Zinc (US$/lb) | |
Operating mines held by Kirkland Lake Gold before the Merger1 | $1,500 | - | - | - |
Operating mines held by | $1,625 | $22.50 | $3.75 | $1.25 |
Pipeline projects | $1,6883 | $25.004 | $3.75 | $1.25 |
1 Detour, Macassa, |
2 LaRonde, |
3 Hope Bay, Anoki-McBean, Hammond Reef, Chipriona, Tarachi, |
4 Chipriona, |
5 Exceptions: US$1,667 per ounce of gold used for Canadian Malartic, Odyssey, Akasaba West, |
Exchange rates1 | |||
C$ per US$1.00 | Mexican peso per | AUD per US$1.00 | US$ per €1.00 |
$1.30 | MXP18.00 | AUD1.36 | EUR1.10 |
1 Exceptions: exchange rate of CAD$1.25 per US$1.00 used for Upper Beaver, |
The above metal price assumptions are below the three-year historic gold and silver price averages (from January 1, 2020 to December 31, 2022) of approximately $1,790 per ounce and $22.48 per ounce, respectively.
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 reserves.
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 follow the method accepted by the
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 applying to a probable mineral reserve is lower than that applying 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, 2022, 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
APPENDIX – Recent selected exploration drill results from LaRonde Complex, Canadian Malartic, Goldex, Detour Lake, Meliadine, Amaruq, Hope Bay and Kittila
LaRonde and LZ5 mines at LaRonde Complex
Drill hole | From | To | Depth of | Estimated |
| Gold grade | Silver | Copper |
LR-317-011 | 553.6 | 575.7 | 3,409 | 15.6 | 9.5 | 9.5 | 22.1 | 0.70 |
BZ-2022-025 | 981.8 | 1,002.8 | 884 | 12.8 | 2.1 | 2.1 | 0 | 0 |
**Results from the LaRonde mine's Zone 20N and the LZ5 mine use a capping factor of 30 g/t gold and 1,000 g/t silver. The copper value in this table is uncapped |
East Gouldie deposit at Canadian Malartic's Odyssey Project
Drill hole | Zone | From | To | Depth of | Estimated | Gold grade | Gold grade |
MEX22-238ZA | North of South | 1,698.5 | 1,703.5 | 1,549 | 4.5 | 3.1 | 3.1 |
South | 1,724.7 | 1,760.0 | 1,579 | 31.8 | 3.0 | 3.0 | |
MEX22-241Z | North | 1,625.0 | 1,686.5 | 1,372 | 60.8 | 4.2 | 4.2 |
MEX22-241WZ | North | 1,604.0 | 1,633.8 | 1,303 | 28.8 | 4.3 | 4.3 |
South | 1,672.2 | 1,693.0 | 1,336 | 20.1 | 1.9 | 1.9 | |
MEX22-242ZA | South | 1,722.0 | 1,764.0 | 1,515 | 35.6 | 3.1 | 3.1 |
MEX22-243 | North | 1,503.6 | 1,551.7 | 1,200 | 47.5 | 3.2 | 3.2 |
South | 1,583.0 | 1,619.5 | 1,246 | 36.2 | 1.6 | 1.6 | |
MEX22-245WZA | North of North | 1,728.9 | 1,732.5 | 1,475 | 3.3 | 5.1 | 5.1 |
North | 1,748.5 | 1,763.0 | 1,486 | 13.0 | 2.9 | 2.9 | |
South | 1,775.5 | 1,819.5 | 1,504 | 38.9 | 4.0 | 4.0 | |
MEX22-247 | North | 1,437.1 | 1,453.1 | 971 | 15.7 | 3.9 | 3.9 |
MEX22-247WA | North | 1,419.0 | 1,446.0 | 926 | 26.9 | 4.6 | 4.6 |
MEX22-248 | North | 1,490.8 | 1,534.5 | 1,053 | 43.0 | 7.7 | 7.6 |
South of North | 1,574.0 | 1,584.5 | 1,092 | 10.3 | 3.2 | 3.2 | |
South of North | 1,642.5 | 1,652.0 | 1,130 | 9.4 | 2.8 | 2.8 | |
MEX22-251R | N-S unified | 1,729.7 | 1,829.0 | 1,596 | 92.7 | 2.6 | 2.6 |
* Results from East Gouldie deposit use a capping factor of 20 g/t gold. |
South Zone at Goldex
Drill hole | Location | From | To | Depth of | Estimated | Gold grade | Gold grade |
GD138-011 | South Zone Sector 3 | 230.0 | 234.0 | 1,461 | 3.6 | 31.0 | 21.5 |
*Holes in the South Zone at Goldex use a capping factor of 95 g/t gold. |
West Pit and West Pit Extension zones at Detour Lake
Zone | Drill hole | From | To | Depth of | Estimated | Gold grade |
West Pit | DLM22-512 | 532.0 | 576.0 | 446 | 39.9 | 3.9 |
including | 560.0 | 563.1 | 452 | 2.8 | 37.8 | |
West Pit | DLM22-518 | 265.0 | 281.7 | 233 | 14.3 | 3.6 |
including | 272.0 | 281.7 | 236 | 8.3 | 5.9 | |
and | 404.0 | 439.2 | 356 | 30.6 | 2.6 | |
including | 404.0 | 414.0 | 345 | 8.7 | 6.7 | |
West Pit | DLM22-522A | 441.0 | 464.0 | 385 | 19.9 | 3.8 |
including | 461.0 | 464.0 | 393 | 2.6 | 21.0 | |
West Pit | DLM22-532W | 903.0 | 934.0 | 738 | 28.9 | 10.2 |
including | 921.8 | 927.0 | 743 | 4.8 | 56.6 | |
West Pit | DLM22-540B | 473.0 | 494.0 | 414 | 18.3 | 2.5 |
including | 473.0 | 478.9 | 408 | 5.1 | 7.6 | |
and | 882.0 | 887.0 | 727 | 4.6 | 10.5 | |
West Pit | DLM22-542A | 503.0 | 507.0 | 426 | 3.5 | 48.2 |
and | 609.0 | 627.0 | 515 | 16.1 | 3.1 | |
West Pit | DLM22-550A
| 312.0 | 319.3 | 262 | 6.4 | 8.6 |
and | 499.7 | 517.6 | 415 | 16.0 | 3.9 | |
West Pit | DLM22-555 | 392.0 | 436.0 | 340 | 39.4 | 3.8 |
including | 417.0 | 424.8 | 345 | 7.0 | 15.4 | |
West Pit | DLM22-556 | 572.8 | 594.3 | 463 | 19.8 | 4.7 |
West Pit | DLM22-558A | 734.0 | 760.2 | 623 | 23.8 | 4.2 |
including | 734.0 | 738.0 | 615 | 3.6 | 10.3 | |
including | 749.0 | 752.0 | 626 | 2.7 | 16.8 | |
West Pit | DLM22-559 | 707.0 | 722.9 | 602 | 14.0 | 4.6 |
including | 711.0 | 717.6 | 601 | 5.8 | 10.1 | |
West Pit | DLM22-569A | 458.0 | 497.0 | 411 | 34.3 | 2.7 |
West Pit Extension | DLM22-533 | 838.2 | 880.7 | 744 | 35.3 | 2.6 |
and | 923.2 | 927.0 | 800 | 3.2 | 13.7 | |
West Pit Extension | DLM22-544 | 828.0 | 846.6 | 678 | 17.2 | 2.9 |
including | 828.0 | 831.0 | 672 | 2.8 | 9.2 | |
West Pit Extension | DLM22-547 | 714.8 | 762.0 | 662 | 38.8 | 2.2 |
including | 742.0 | 745.7 | 667 | 3.0 | 19.4 | |
West Pit Extension | DLM22-560 | 813.4 | 817.0 | 791 | 2.5 | 15.2 |
and | 1,289.0 | 1,292.0 | 1,233 | 2.4 | 20.3 |
*Results from Detour Lake are uncapped. |
F-Zone, Wesmeg and Normeg deposits at Meliadine
Drill hole | Deposit / Lode | From
| To
| Depth of midpoint below surface (metres) | Estimated true width (metres)
| Gold grade (g/t) (uncapped)
| Gold grade (g/t) (capped)*
|
M22-3428 | F-Zone | 378.0 | 380.6 | 313 | 2.6 | 10.6 | 10.6 |
M22-3429 | F-Zone | 380.5 | 384.3 | 332 | 3.0 | 7.9 | 7.9 |
M22-3445 | F-Zone | 242.6 | 254.0 | 241 | 8.6 | 6.1 | 6.1 |
including | 242.6 | 248.6 | 241 | 3.3 | 8.8 | 8.8 | |
M22-3448 | F-Zone | 348.2 | 351.6 | 299 | 3.1 | 7.6 | 7.6 |
and | F-Zone | 361.4 | 365.0 | 309 | 3.2 | 8.1 | 8.1 |
M22-3453 | F-Zone | 406.0 | 409.1 | 323 | 2.9 | 12.3 | 9.0 |
M22-3474 | F-Zone | 598.0 | 603.6 | 521 | 4.8 | 6.9 | 6.9 |
M22-3479 | F-Zone | 407.6 | 413.2 | 394 | 4.7 | 10.9 | 10.9 |
ML375-9664-D6B | Wesmeg | 168.4 | 174.7 | 420 | 5.7 | 10.7 | 5.4 |
ML375-9664-D12 | Normeg | 124.2 | 126.9 | 446 | 2.3 | 8.7 | 8.7 |
and | Wesmeg | 179.1 | 182.8 | 490 | 3.3 | 7.6 | 7.6 |
ML425-9736-D22 | Normeg | 256.0 | 260.2 | 610 | 3.6 | 12.2 | 12.2 |
ML450-9290-D12 | Normeg | 73.3 | 81.6 | 509 | 5.8 | 15.6 | 15.6 |
and | Wesmeg | 195.7 | 198.6 | 624 | 2.5 | 9.9 | 9.9 |
ML450-9290-D10 | Wesmeg | 156.6 | 160.4 | 575 | 3.0 | 10.1 | 10.1 |
*Results from Meliadine use the following capping factors: 40 g/t gold for iron formations at Wesmeg; 120 g/t for mafic volcanics at Normeg; and 25 g/t for iron formations at F-Zone |
Whale Tail and IVR deposits at Amaruq
Drill hole | Zone / deposit
| From | To | Depth of | Estimated | Gold grade | Gold grade |
AMQ22-2876A | WT | 1,051.0 | 1,069.2 | 1,000.0 | 9.1 | 7.4 | 7.4 |
AMQ22-2877A | V2 / IVR | 842.7 | 855.9 | 778 | 11.0 | 21.8 | 10.3 |
*The capping factor for holes at Amaruq ranges from 10 g/t to 100 g/t gold depending on the zone. |
Doris and
Drill hole | Deposit / Zone | From (metres) | To (metres) | Depth of | Estimated | Gold grade (g/t) | Gold grade |
HBBCO22-084 | Doris / BTD Ext WL | 102.0 | 107.0 | 412 | 4.9 | 11.6 | 11.6 |
and | Doris / BTD Ext WL | 120.0 | 126.0 | 417 | 5.7 | 13.6 | 13.6 |
HBD22-037** | Doris / Connector | 613.2 | 629.0 | 459 | 15.8 | 7.7 | 7.3 |
HBM22-047 | 872.0 | 878.0 | 599 | 5.2 | 7.2 | 7.2 | |
HBM22-049 | 560.5 | 563.5 | 391 | 2.9 | 13.9 | 13.9 | |
and | 845.7 | 848.7 | 554 | 2.8 | 7.9 | 7.9 |
*Results from the Doris and |
Main and Sisar zones in the Roura and Rimpi areas at Kittila
Drill hole | Zone | From (metres) | To (metres) | Depth of | Estimated | Gold grade |
RIE22-701F | Sisar Deep Rimpi | 1,020.8 | 1,043.0 | 1,908 | 10.2 | 10.3 |
RUG22-501 | Main Roura | 84.3 | 99.0 | 979 | 11.9 | 6.5 |
and | Sisar Roura | 132.0 | 144.0 | 958 | 9.6 | 5.8 |
*Results from the Kittila mine are uncapped. |
EXPLORATION DRILL COLLAR COORDINATES
Drill hole | UTM East* | UTM North* | Elevation | Azimuth | Dip (degrees) | Length |
LaRonde Complex | ||||||
LR-317-011 | 6735 | 2889 | -3,466 | 203 | -31 | 620 |
BZ-2022-025 | 687178 | 5346983 | 310 | 331 | -73 | 1,113 |
Canadian Malartic | ||||||
MEX22-238ZA | 718201 | 5334350 | 310 | 147 | -78 | 1,812 |
MEX22-241Z | 717847 | 5334653 | 309 | 194 | -68 | 1,794 |
MEX22-241WZ | 717847 | 5334653 | 309 | 194 | -68 | 1,765 |
MEX22-242ZA | 718320 | 5334540 | 308 | 207 | -66 | 1,803 |
MEX22-243 | 717571 | 5334672 | 309 | 177 | -60 | 1,758 |
MEX22-245WZA | 717934 | 5334661 | 308 | 184 | -71 | 1,900 |
MEX22-247 | 717570 | 5334672 | 309 | 186 | -50 | 1,602 |
MEX22-247WA | 717570 | 5334672 | 309 | 186 | -50 | 1,620 |
MEX22-248 | 717462 | 5334732 | 309 | 181 | -52 | 1,658 |
MEX22-251R | 717440 | 5334730 | 310 | 180 | -73 | 1,956 |
Goldex | ||||||
GD138011 | 286911 | 5330369 | -1,067 | 14 | -27 | 401 |
Detour Lake | ||||||
DLM22-512 | 587605 | 5541778 | 286 | 172 | -60 | 1,050 |
DLM22-518 | 587762 | 5541807 | 286 | 178 | -59 | 1,192 |
DLM22-522A | 587799 | 5542048 | 287 | 178 | -62 | 1,176 |
DLM22-532W | 587560 | 5541980 | 288 | 179 | -63 | 1,302 |
DLM22-533 | 585319 | 5542281 | 291 | 187 | -59 | 1,126 |
DLM22-540B | 587761 | 5541894 | 287 | 180 | -64 | 1,191 |
DLM22-542A | 587682 | 5541841 | 287 | 176 | -62 | 999 |
DLM22-544 | 586397 | 5542191 | 295 | 190 | -61 | 1,146 |
DLM22-547 | 585759 | 5542130 | 290 | 192 | -66 | 1,041 |
DLM22-550A | 587645 | 5541729 | 286 | 177 | -61 | 981 |
DLM22-555 | 587643 | 5541890 | 287 | 175 | -57 | 591 |
DLM22-556 | 587923 | 5541838 | 286 | 175 | -57 | 1,125 |
DLM22-558A | 587840 | 5541980 | 287 | 176 | -63 | 1,306 |
DLM22-559 | 587441 | 5541927 | 288 | 175 | -62 | 1,200 |
DLM22-560 | 586211 | 5542249 | 296 | 187 | -78 | 1,467 |
DLM22-569A | 587640 | 5542028 | 288 | 179 | -63 | 1,170 |
Meliadine | ||||||
M22-3428 | 542427 | 6986659 | -3 | 205 | -59 | 420 |
M22-3429 | 542427 | 6986659 | -3 | 206 | -65 | 438 |
M22-3445 | 542495 | 6986443 | -3 | 188 | -76 | 273 |
M22-3448 | 542538 | 6986635 | -2 | 204 | -67 | 465 |
M22-3453 | 542477 | 6986681 | -1 | 196 | -61 | 450 |
M22-3474 | 542625 | 6986903 | 2 | 208 | -65 | 672 |
M22-3479 | 542539 | 6986636 | -2 | 211 | -80 | 513 |
ML375-9664-D6B | 539665 | 6988398 | -341 | 169 | -47 | 209 |
ML375-9664-D12 | 539664 | 6988402 | -340 | 202 | -57 | 237 |
ML425-9736-D22 | 539709 | 6988793 | -439 | 220 | -44 | 278 |
ML450-9290-D10 | 539291 | 6988467 | -434 | 206 | -64 | 182 |
ML450-9290-D12 | 539292 | 6988466 | -433 | 155 | -78 | 221 |
Amaruq | ||||||
AMQ22-2876A | 607855 | 7256013 | 169 | 314 | -70 | 999 |
AMQ22-2877A | 606120 | 7255600 | 161 | 129 | -75 | 1,143 |
Hope Bay | ||||||
HBBCO22-084 | 433686 | 7559973 | -351 | 88 | -11 | 222 |
HBD-22-037 | 433365 | 7559593 | 122 | 102 | -66 | 690 |
HBM22-047 | 432645 | 7550957 | 63 | 95 | -54 | 1,022 |
HBM22-049 | 434104 | 7549570 | 51 | 50 | -52 | 1,001 |
Kittila | ||||||
RIE22-701F | 558716 | 7538709 | -789 | 85 | -70 | 1,093 |
RUG22-501 | 2558787 | 7537664 | -800 | 127 | 26 | 169 |
* Coordinate Systems: Mine grid for LaRonde mine; NAD 83 UTM Zone 17N for LZ5 mine and Canadian Malartic; NAD 1983 UTM Zone 17N for Detour Lake; NAD 1983 UTM Zone 14N for Meliadine; NAD 1983 UTM Zone 13N for Hope Bay; Finnish Coordinate System KKJ Zone 2 for Kittila. |
APPENDIX – FINANCIAL INFORMATION
SUMMARY OF OPERATIONS KEY PERFORMANCE INDICATORS | |||||||||||||||||||||||||||
(thousands of United States dollars, except where noted) | |||||||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||||
Operating margin(i): | |||||||||||||||||||||||||||
Revenues from mining operations | $ 1,384,719 | $ 951,531 | $ 5,741,162 | $ 3,869,625 | |||||||||||||||||||||||
Production costs | 666,877 | 467,068 | 2,643,321 | 1,773,121 | |||||||||||||||||||||||
Total operating margin(i) | 717,842 | 484,463 | 3,097,841 | 2,096,504 | |||||||||||||||||||||||
Operating margin(i) by mine: | |||||||||||||||||||||||||||
LaRonde mine | 68,917 | 87,070 | 340,538 | 422,185 | |||||||||||||||||||||||
12,814 | 17,557 | 57,473 | 64,856 | ||||||||||||||||||||||||
Canadian Malartic mine(ii) | 83,535 | 96,252 | 340,203 | 403,018 | |||||||||||||||||||||||
Goldex mine | 35,533 | 39,182 | 146,682 | 145,223 | |||||||||||||||||||||||
Detour Lake mine | 185,305 | — | 699,038 | — | |||||||||||||||||||||||
Macassa mine | 44,027 | — | 197,254 | — | |||||||||||||||||||||||
Meliadine mine | 95,084 | 115,912 | 359,572 | 427,944 | |||||||||||||||||||||||
Meadowbank Complex | 42,402 | 25,872 | 202,340 | 183,972 | |||||||||||||||||||||||
Hope Bay mine | — | (4,938) | 144 | 32,321 | |||||||||||||||||||||||
104,967 | — | 440,722 | — | ||||||||||||||||||||||||
Kittila mine | 24,524 | 54,411 | 197,008 | 221,914 | |||||||||||||||||||||||
13,393 | 27,656 | 55,341 | 117,958 | ||||||||||||||||||||||||
Creston Mascota mine | 227 | 2,628 | 2,533 | 19,619 | |||||||||||||||||||||||
La India mine | 7,114 | 22,861 | 58,993 | 57,494 | |||||||||||||||||||||||
Total operating margin(i) | 717,842 | 484,463 | 3,097,841 | 2,096,504 | |||||||||||||||||||||||
Amortization of property, plant and mine development | 269,700 | 191,619 | 1,094,691 | 738,129 | |||||||||||||||||||||||
Impairment loss | 55,000 | — | 55,000 | — | |||||||||||||||||||||||
Exploration, corporate and other | 114,260 | 103,623 | 832,727 | 425,652 | |||||||||||||||||||||||
Income before income and mining taxes | 278,882 | 189,221 | 1,115,423 | 932,723 | |||||||||||||||||||||||
Income and mining taxes expense | 73,873 | 87,863 | 445,174 | 370,778 | |||||||||||||||||||||||
Net income for the period | $ 205,009 | $ 101,358 | $ 670,249 | $ 561,945 | |||||||||||||||||||||||
Net income per share — basic | $ 0.45 | $ 0.41 | $ 1.53 | $ 2.31 | |||||||||||||||||||||||
Net income per share — diluted | $ 0.45 | $ 0.41 | $ 1.53 | $ 2.30 | |||||||||||||||||||||||
Cash flows: | |||||||||||||||||||||||||||
Cash provided by operating activities | $ 380,500 | $ 262,114 | $ 2,096,636 | $ 1,345,308 | |||||||||||||||||||||||
Cash used in investing activities | $ (412,685) | $ (247,599) | $ (710,458) | $ (1,264,003) | |||||||||||||||||||||||
Cash used in financing activities | $ (134,703) | $ (70,543) | $ (914,853) | $ (297,242) | |||||||||||||||||||||||
Realized prices: | |||||||||||||||||||||||||||
Gold (per ounce) | $ 1,728 | $ 1,795 | $ 1,797 | $ 1,794 | |||||||||||||||||||||||
Silver (per ounce) | $ 21.51 | $ 23.08 | $ 21.63 | $ 25.07 | |||||||||||||||||||||||
Zinc (per tonne) | $ 2,979 | $ 3,258 | $ 3,440 | $ 2,947 | |||||||||||||||||||||||
Copper (per tonne) | $ 8,206 | $ 10,120 | $ 8,381 | $ 9,724 | |||||||||||||||||||||||
SUMMARY OF OPERATIONS KEY PERFORMANCE INDICATORS | |||||||||||||||||||||||||||
(thousands of United States dollars, except where noted) | |||||||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||||
Payable production(iii): | |||||||||||||||||||||||||||
Gold (ounces): | |||||||||||||||||||||||||||
LaRonde mine | 62,922 | 64,081 | 284,780 | 308,946 | |||||||||||||||||||||||
17,247 | 18,305 | 71,557 | 70,788 | ||||||||||||||||||||||||
Canadian Malartic mine(ii) | 86,439 | 88,933 | 329,396 | 357,392 | |||||||||||||||||||||||
Goldex mine | 36,291 | 35,921 | 141,502 | 134,053 | |||||||||||||||||||||||
Detour Lake mine | 179,737 | — | 651,182 | — | |||||||||||||||||||||||
Macassa mine | 43,308 | — | 180,833 | — | |||||||||||||||||||||||
Meliadine mine | 103,397 | 101,843 | 372,874 | 391,687 | |||||||||||||||||||||||
Meadowbank Complex | 94,328 | 69,238 | 373,785 | 324,808 | |||||||||||||||||||||||
Hope Bay mine | — | 705 | — | 56,229 | |||||||||||||||||||||||
88,634 | — | 338,327 | — | ||||||||||||||||||||||||
Kittila mine | 44,724 | 63,172 | 216,947 | 239,240 | |||||||||||||||||||||||
25,291 | 32,741 | 96,522 | 126,932 | ||||||||||||||||||||||||
Creston Mascota mine | 451 | 2,333 | 2,630 | 12,801 | |||||||||||||||||||||||
La India mine | 16,669 | 24,660 | 74,672 | 63,529 | |||||||||||||||||||||||
Total gold (ounces) | 799,438 | 501,932 | 3,135,007 | 2,086,405 | |||||||||||||||||||||||
Silver (thousands of ounces): | |||||||||||||||||||||||||||
LaRonde mine | 142 | 151 | 609 | 724 | |||||||||||||||||||||||
7 | 5 | 13 | 14 | ||||||||||||||||||||||||
Canadian Malartic mine(ii) | 57 | 69 | 245 | 290 | |||||||||||||||||||||||
Goldex mine | — | 1 | 2 | 2 | |||||||||||||||||||||||
Detour Lake mine | 32 | — | 125 | — | |||||||||||||||||||||||
Macassa mine | 5 | — | 17 | — | |||||||||||||||||||||||
Meliadine mine | 8 | 8 | 35 | 30 | |||||||||||||||||||||||
Meadowbank Complex | 28 | 22 | 103 | 94 | |||||||||||||||||||||||
Hope Bay mine | — | 2 | — | 4 | |||||||||||||||||||||||
6 | — | 32 | — | ||||||||||||||||||||||||
Kittila mine | 3 | 3 | 13 | 11 | |||||||||||||||||||||||
242 | 318 | 1,014 | 1,285 | ||||||||||||||||||||||||
Creston Mascota mine | 1 | 15 | 7 | 105 | |||||||||||||||||||||||
La India mine | 11 | 19 | 77 | 48 | |||||||||||||||||||||||
Total silver (thousands of ounces) | 542 | 613 | 2,292 | 2,607 | |||||||||||||||||||||||
Zinc (tonnes) | 2,450 | 1,408 | 8,195 | 8,837 | |||||||||||||||||||||||
Copper (tonnes) | 701 | 599 | 2,901 | 2,955 | |||||||||||||||||||||||
SUMMARY OF OPERATIONS KEY PERFORMANCE INDICATORS | |||||||||||||||||||||||||||
(thousands of United States dollars, except where noted) | |||||||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||||
Payable metal sold(iv): | |||||||||||||||||||||||||||
Gold (ounces): | |||||||||||||||||||||||||||
LaRonde mine | 59,565 | 75,388 | 281,495 | 333,464 | |||||||||||||||||||||||
18,747 | 17,850 | 72,184 | 67,588 | ||||||||||||||||||||||||
Canadian Malartic mine(ii) | 84,697 | 81,977 | 317,192 | 336,416 | |||||||||||||||||||||||
Goldex mine | 34,946 | 35,500 | 139,530 | 134,385 | |||||||||||||||||||||||
Detour Lake mine | 174,803 | — | 659,457 | — | |||||||||||||||||||||||
Macassa mine | 43,197 | — | 181,516 | — | |||||||||||||||||||||||
Meliadine mine | 102,933 | 103,531 | 377,711 | 378,048 | |||||||||||||||||||||||
Meadowbank Complex | 99,434 | 77,611 | 361,457 | 329,281 | |||||||||||||||||||||||
Hope Bay mine | — | 8,019 | 98 | 65,201 | |||||||||||||||||||||||
81,750 | — | 356,335 | — | ||||||||||||||||||||||||
Kittila mine | 46,560 | 55,363 | 226,366 | 230,570 | |||||||||||||||||||||||
26,080 | 29,901 | 99,033 | 127,106 | ||||||||||||||||||||||||
Creston Mascota mine | 240 | 2,385 | 2,344 | 13,684 | |||||||||||||||||||||||
La India mine | 15,950 | 24,640 | 73,875 | 64,888 | |||||||||||||||||||||||
Total gold (ounces) | 788,902 | 512,165 | 3,148,593 | 2,080,631 | |||||||||||||||||||||||
Silver (thousands of ounces): | |||||||||||||||||||||||||||
LaRonde mine | 147 | 153 | 622 | 721 | |||||||||||||||||||||||
5 | 4 | 12 | 12 | ||||||||||||||||||||||||
Canadian Malartic mine(ii) | 59 | 58 | 243 | 259 | |||||||||||||||||||||||
Goldex mine | 1 | 1 | 2 | 2 | |||||||||||||||||||||||
Detour Lake mine | 34 | — | 168 | — | |||||||||||||||||||||||
Macassa mine | 1 | — | 14 | — | |||||||||||||||||||||||
Meliadine mine | 8 | 8 | 34 | 32 | |||||||||||||||||||||||
Meadowbank Complex | 26 | 22 | 100 | 97 | |||||||||||||||||||||||
Hope Bay mine | — | 3 | — | 3 | |||||||||||||||||||||||
5 | — | 23 | — | ||||||||||||||||||||||||
Kittila mine | 3 | 3 | 13 | 10 | |||||||||||||||||||||||
285 | 298 | 1,035 | 1,295 | ||||||||||||||||||||||||
Creston Mascota mine | — | 14 | 10 | 128 | |||||||||||||||||||||||
La India mine | 11 | 16 | 78 | 50 | |||||||||||||||||||||||
Total silver (thousands of ounces): | 585 | 580 | 2,354 | 2,609 | |||||||||||||||||||||||
Zinc (tonnes) | 1,915 | 2,524 | 6,727 | 10,803 | |||||||||||||||||||||||
Copper (tonnes) | 720 | 608 | 2,916 | 2,973 | |||||||||||||||||||||||
SUMMARY OF OPERATIONS KEY PERFORMANCE INDICATORS | |||||||||||||||||||||||||||
(thousands of United States dollars, except where noted) | |||||||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||||
Total cash costs per ounce of gold produced — co-product basis(v): | |||||||||||||||||||||||||||
LaRonde mine | $ 1,009 | $ 874 | $ 850 | $ 717 | |||||||||||||||||||||||
1,170 | 797 | 1,025 | 794 | ||||||||||||||||||||||||
Canadian Malartic mine(ii) | 802 | 694 | 803 | 684 | |||||||||||||||||||||||
Goldex mine | 765 | 679 | 765 | 684 | |||||||||||||||||||||||
Detour Lake mine | 678 | — | 663 | — | |||||||||||||||||||||||
Macassa mine | 758 | — | 684 | — | |||||||||||||||||||||||
Meliadine mine(vi) | 856 | 658 | 865 | 637 | |||||||||||||||||||||||
Meadowbank Complex(vii) | 1,424 | 1,441 | 1,216 | 1,209 | |||||||||||||||||||||||
Hope Bay mine | — | 1,829 | — | 1,064 | |||||||||||||||||||||||
415 | — | 379 | — | ||||||||||||||||||||||||
Kittila mine | 1,331 | 812 | 981 | 836 | |||||||||||||||||||||||
1,471 | 1,114 | 1,477 | 1,110 | ||||||||||||||||||||||||
Creston Mascota mine | 1,098 | 941 | 853 | 636 | |||||||||||||||||||||||
La India mine | 1,387 | 858 | 1,078 | 959 | |||||||||||||||||||||||
Weighted average total cash costs per ounce of gold produced | $ 895 | $ 867 | $ 825 | $ 829 | |||||||||||||||||||||||
Total cash costs per ounce of gold produced — by-product basis(v): | |||||||||||||||||||||||||||
LaRonde mine | $ 741 | $ 627 | $ 623 | $ 476 | |||||||||||||||||||||||
1,164 | 793 | 1,021 | 790 | ||||||||||||||||||||||||
Canadian Malartic mine(ii) | 789 | 676 | 787 | 663 | |||||||||||||||||||||||
Goldex mine | 765 | 679 | 765 | 684 | |||||||||||||||||||||||
Detour Lake mine | 674 | — | 657 | — | |||||||||||||||||||||||
Macassa mine | 758 | — | 683 | — | |||||||||||||||||||||||
Meliadine mine(vi) | 855 | 656 | 863 | 634 | |||||||||||||||||||||||
Meadowbank Complex(vii) | 1,418 | 1,434 | 1,210 | 1,201 | |||||||||||||||||||||||
Hope Bay mine | — | 1,829 | — | 1,063 | |||||||||||||||||||||||
414 | — | 378 | — | ||||||||||||||||||||||||
Kittila mine | 1,330 | 812 | 980 | 835 | |||||||||||||||||||||||
1,255 | 888 | 1,249 | 858 | ||||||||||||||||||||||||
Creston Mascota mine | 1,030 | 796 | 793 | 408 | |||||||||||||||||||||||
La India mine | 1,369 | 840 | 1,056 | 939 | |||||||||||||||||||||||
Weighted average total cash costs per ounce of gold produced | $ 863 | $ 814 | $ 793 | $ 770 |
Notes: | |||||||||||||||||||||||||||
(i) Operating margin is not a recognized measure under IFRS and this data may not be comparable to data reported by other gold producers. See Note Regarding Certain Measures of Performance for more information on the Company's use of operating margin andReconciliation of Non-GAAP Financial Performance Measures - Reconciliation of Operating Margin to Net Income for a reconciliation of this measure to the recent IFRS measure | |||||||||||||||||||||||||||
(ii) The information set out in this table reflects the Company's 50% interest in the Canadian Malartic mine | |||||||||||||||||||||||||||
(iii) 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. Payable production for the twelve months ended December 31, 2021 includes 24,057 ounces of gold from the Tiriganiaq open pit deposit at the Meliadine mine, which were produced prior to the achievement of commercial production at the Tiriganiaq open pit deposit on August 15, 2021. Payable production for the three and twelve months ended December 31, 2021 include 1,608 and 1,956 ounces of gold from the Amaruq Underground project at the Meadowbank Complex, respectively, which were produced prior to the achievement of commercial production at the Amaruq Underground project on August 1, 2022 | |||||||||||||||||||||||||||
(iv) The Canadian Malartic mine's payable metal sold excludes the 5.0% net smelter return royalty held by Osisko Gold Royalties Ltd. The Detour Lake mine's payable metal sold excludes the 2% net smelter royalty held by Franco-Nevada Corporation. The Macassa mine's payable metal sold excludes the 1.5% net smelter royalty held by Franco-Nevada Corporation | |||||||||||||||||||||||||||
(v) 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 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 andReconciliation of Non-GAAP Financial Performance Measures - Reconciliation of Production Costs to Total Cash Cost per Ounce of Gold Produced by Mine and Reconciliation of Production Costs to Minesite Cost per Tonne by Mine for a reconciliation of these measures to the recent IFRS measure | |||||||||||||||||||||||||||
(vi) The Meliadine mine's cost calculations per ounce of gold produced for the year ended December 31, 2021 excludes 24,057 ounces of payable gold production which were produced prior to the achievement of commercial production at the Tiriganiaq open pit deposit on August 15, 2021 | |||||||||||||||||||||||||||
(vii) The Meadowbank Complex's cost calculations per ounce of gold produced for the three months and year ended December 31, 2021 excludes 1,608 and 1,956 ounces of gold from the Amaruq Underground project at the Meadowbank complex, respectively, which were produced prior to the achievement of commercial production at the Amaruq Underground project on August 1, 2022 |
CONSOLIDATED BALANCE SHEETS | |||
(thousands of | |||
(Unaudited) | |||
As at | As at | ||
December 31, 2022 | December 31, 2021 | ||
ASSETS | Restated(i) | ||
Current assets: | |||
Cash and cash equivalents | $ 658,625 | $ 185,786 | |
Trade receivables | 8,579 | 13,545 | |
Inventories | 1,209,075 | 878,944 | |
Income taxes recoverable | 35,054 | 7,674 | |
Fair value of derivative financial instruments | 8,774 | 12,305 | |
Other current assets | 259,952 | 204,134 | |
Total current assets | 2,180,059 | 1,302,388 | |
Non-current assets: | |||
2,044,123 | 407,792 | ||
Property, plant and mine development | 18,459,400 | 7,675,595 | |
Investments | 332,742 | 343,509 | |
Deferred income tax asset | 11,574 | 133,608 | |
Other assets | 466,910 | 353,198 | |
Total assets | $ 23,494,808 | $ 10,216,090 | |
LIABILITIES | |||
Current liabilities: | |||
Accounts payable and accrued liabilities | $ 672,503 | $ 414,673 | |
Share based liabilities | 15,148 | — | |
Interest payable | 16,496 | 12,303 | |
Income taxes payable | 4,187 | 47,213 | |
Current portion of long-term debt | 100,000 | 225,000 | |
Reclamation provision | 23,508 | 7,547 | |
Lease obligations | 36,466 | 32,988 | |
Fair value of derivative financial instruments | 78,114 | 22,089 | |
Total current liabilities | 946,422 | 761,813 | |
Non-current liabilities: | |||
Long-term debt | 1,242,070 | 1,340,223 | |
Reclamation provision | 878,328 | 722,449 | |
Lease obligations | 114,876 | 98,445 | |
Share based liabilities | 17,277 | — | |
Deferred income and mining tax liabilities | 3,981,875 | 1,223,128 | |
Other liabilities | 72,615 | 70,261 | |
Total liabilities | 7,253,463 | 4,216,319 | |
EQUITY | |||
Common shares: | |||
Outstanding — 457,160,104 common shares issued, less 694,808 shares held in trust | 16,251,221 | 5,863,512 | |
Stock options | 197,430 | 191,112 | |
Contributed surplus | 23,280 | 37,254 | |
Deficit | (201,580) | (146,383) | |
Other reserves | (29,006) | 54,276 | |
Total equity | 16,241,345 | 5,999,771 | |
Total liabilities and equity | $ 23,494,808 | $ 10,216,090 | |
Note: |
(i) Certain previously reported line items have been restated to reflect the retrospective application of amendments to IAS 16. |
CONSOLIDATED STATEMENTS OF INCOME | |||||||
(thousands of United States dollars, except per share amounts, IFRS basis) | |||||||
(Unaudited) | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
2022 | 2021 | 2022 | 2021 | ||||
Restated(i) | Restated(i) | ||||||
REVENUES | |||||||
Revenues from mining operations | $ 1,384,719 | $ 951,531 | $ 5,741,162 | $ 3,869,625 | |||
COSTS AND EXPENSES | |||||||
Production(ii) | 666,877 | 467,068 | 2,643,321 | 1,773,121 | |||
Exploration and corporate development | 70,922 | 41,722 | 271,117 | 152,514 | |||
Amortization of property, plant and mine development | 269,700 | 191,619 | 1,094,691 | 738,129 | |||
General and administrative | 54,582 | 34,430 | 220,861 | 142,003 | |||
Finance costs | 20,043 | 23,833 | 82,935 | 92,042 | |||
(Gain) Loss on derivative financial instruments | (83,771) | (24,263) | 90,692 | 11,103 | |||
Impairment loss | 55,000 | — | 55,000 | — | |||
Foreign currency translation loss (gain) | 11,680 | 12,788 | (16,081) | 5,672 | |||
Care and maintenance | 11,644 | — | 41,895 | — | |||
Other expenses | 29,160 | 15,113 | 141,308 | 22,318 | |||
Income before income and mining taxes | 278,882 | 189,221 | 1,115,423 | 932,723 | |||
Income and mining taxes expense | 73,873 | 87,863 | 445,174 | 370,778 | |||
Net income for the period | $ 205,009 | $ 101,358 | $ 670,249 | $ 561,945 | |||
Net income per share - basic | $ 0.45 | $ 0.41 | $ 1.53 | $ 2.31 | |||
Net income per share - diluted | $ 0.45 | $ 0.41 | $ 1.53 | $ 2.30 | |||
Weighted average number of common shares outstanding (in thousands): | |||||||
Basic | 455,558 | 244,567 | 437,678 | 243,708 | |||
Diluted | 456,439 | 245,323 | 438,533 | 244,732 | |||
Notes: | |||||||
(i) Certain previously reported line items have been restated to reflect the retrospective application of amendments to IAS 16. | |||||||
(ii) Exclusive of amortization, which is shown separately. | |||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
(thousands of United States dollars, IFRS basis) | |||||||
(Unaudited) | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
2022 | 2021 | 2022 | 2021 | ||||
Restated(i) | Restated(i) | ||||||
OPERATING ACTIVITIES | |||||||
Net income for the period | $ 205,009 | $ 101,358 | 670,249 | $ 561,945 | |||
Add (deduct) adjusting items: | |||||||
Amortization of property, plant and mine development | 269,700 | 191,619 | 1,094,691 | 738,129 | |||
Deferred income and mining taxes | 38,222 | 25,672 | 168,098 | 188,966 | |||
Unrealized (gain) loss on currency and commodity derivatives | (109,816) | 59 | 59,556 | 44,397 | |||
Unrealized (gain) loss on warrants | (4,674) | (14,704) | 9,820 | 16,736 | |||
Stock-based compensation | 5,558 | 12,771 | 48,570 | 57,799 | |||
Impairment loss | 55,000 | — | 55,000 | — | |||
Foreign currency translation loss (gain) | 11,680 | 12,788 | (16,081) | 5,672 | |||
Other | 14,858 | 7,005 | 25,965 | 12,868 | |||
Changes in non-cash working capital balances: | |||||||
Trade receivables | (2,430) | (647) | 12,110 | (1,678) | |||
Income taxes | (39,513) | 8,327 | (35,010) | (62,424) | |||
Inventories | (54,978) | (9,806) | (46,236) | (185,090) | |||
Other current assets | 33,650 | 49,023 | (10,756) | (31,354) | |||
Accounts payable and accrued liabilities | (38,490) | (108,727) | 59,460 | (75) | |||
Interest payable | (3,276) | (12,624) | 1,200 | (583) | |||
Cash provided by operating activities | 380,500 | 262,114 | 2,096,636 | 1,345,308 | |||
INVESTING ACTIVITIES | |||||||
Additions to property, plant and mine development | (400,831) | (237,289) | (1,538,237) | (896,998) | |||
Cash and cash equivalents acquired in Kirkland acquisition | — | — | 838,732 | — | |||
Acquisition of | — | — | — | (185,898) | |||
Advance to | — | — | — | (105,000) | |||
Payment to repurchase the Hope Bay royalty | — | — | — | (50,000) | |||
Proceeds from sale of property, plant and mine development | 214 | 1,647 | 1,019 | 2,696 | |||
Net purchases of short-term investments | (1,494) | (3,176) | (4,608) | (1,352) | |||
Net proceeds from sale of equity securities | — | 1,188 | — | 5,361 | |||
Purchases of equity securities and other investments | (10,574) | (9,969) | (47,364) | (39,889) | |||
Payments for financial assets at amortized cost | — | — | — | (16,000) | |||
Proceeds from loan repayment | — | — | 40,000 | — | |||
Decrease in restricted cash | — | — | — | 23,077 | |||
Cash used in investing activities | (412,685) | (247,599) | (710,458) | (1,264,003) | |||
FINANCING ACTIVITIES | |||||||
Proceeds from Credit Facility | — | 145,000 | 100,000 | 595,000 | |||
Repayment of Credit Facility | — | (145,000) | (100,000) | (595,000) | |||
Repayment of Senior Notes | — | — | (225,000) | — | |||
Long-term debt financing costs | — | (2,553) | — | (2,553) | |||
Repayment of lease obligations | (8,676) | (7,726) | (33,701) | (25,020) | |||
Dividends paid | (143,603) | (69,564) | (608,307) | (275,158) | |||
Repurchase of common shares | (4,999) | — | (109,955) | (34,606) | |||
Proceeds on exercise of stock options | 17,837 | 4,743 | 41,845 | 21,707 | |||
Common shares issued | 4,738 | 4,557 | 20,265 | 18,388 | |||
Cash used in financing activities | (134,703) | (70,543) | (914,853) | (297,242) | |||
Effect of exchange rate changes on cash and cash equivalents | 3,755 | 302 | 1,514 | (804) | |||
Net (decrease) increase in cash and cash equivalents during the period | (163,133) | (55,726) | 472,839 | (216,741) | |||
Cash and cash equivalents, beginning of period | 821,758 | 241,512 | 185,786 | 402,527 | |||
Cash and cash equivalents, end of period | $ 658,625 | $ 185,786 | $ 658,625 | $ 185,786 | |||
SUPPLEMENTAL CASH FLOW INFORMATION | |||||||
Interest paid | $ 20,051 | $ 35,360 | $ 67,510 | $ 85,109 | |||
Income and mining taxes paid | $ 78,526 | $ 54,760 | $ 316,743 | $ 246,084 | |||
Note: |
(i) Certain previously reported line items have been restated to reflect the retrospective application of amendments to IAS 16. |
RECONCILIATION OF NON-GAAP FINANCIAL PERFORMANCE MEASURES | ||||||||||||
(thousands of United States dollars, except where noted) | ||||||||||||
Refer to Note to Investors Concerning Certain Measures of Performance for details on the composition, usefulness and other information regarding the Company's use of non-GAAP financial performance measures. | ||||||||||||
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 pertonne to production costs, exclusive of amortization, as presented in the consolidated statements of income in accordance withIFRS | ||||||||||||
Total Production Costs by Mine | ||||||||||||
Three Months Ended December 31, | Year Ended December 31, | |||||||||||
(thousands of | 2022 | 2021 | 2022 | 2021 | ||||||||
LaRonde mine | $ 49,692 | $ 62,402 | $ 213,393 | $ 232,392 | ||||||||
20,164 | 14,571 | 72,096 | 56,380 | |||||||||
LaRonde Complex | 69,856 | 76,973 | 285,489 | 288,772 | ||||||||
Canadian Malartic mine(i) | 63,877 | 61,270 | 235,735 | 242,589 | ||||||||
Goldex mine | 24,786 | 25,184 | 103,830 | 96,181 | ||||||||
Detour Lake mine | 118,573 | — | 489,703 | — | ||||||||
Macassa mine | 30,926 | — | 129,774 | — | ||||||||
Meliadine mine | 81,246 | 69,275 | 318,141 | 250,822 | ||||||||
Meadowbank Complex | 128,692 | 113,742 | 442,681 | 408,863 | ||||||||
Hope Bay mine | — | 19,143 | — | 83,118 | ||||||||
34,131 | — | 204,649 | — | |||||||||
Kittila mine | 56,273 | 44,998 | 210,661 | 192,742 | ||||||||
37,567 | 32,698 | 144,489 | 141,488 | |||||||||
Creston Mascota mine | 200 | 1,966 | 1,943 | 8,165 | ||||||||
La India mine | 20,750 | 21,819 | 76,226 | 60,381 | ||||||||
Production costs per the consolidated statements of income | $ 666,877 | $ 467,068 | $ 2,643,321 | $ 1,773,121 | ||||||||
Reconciliation of Production Costs to Total Cash Costs per Ounce of Gold Produced by Mine and Reconciliation of Production Costs to Minesite Costs per Tonne by Mine | ||||||||||||
(thousands of | ||||||||||||
LaRonde mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 62,922 | 64,081 | 284,780 | 308,946 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 49,692 | $ 790 | $ 62,402 | $ 974 | $ 213,393 | $ 749 | $ 232,392 | $ 752 | ||||
Inventory adjustments(ii) | 3,878 | 62 | (8,149) | (127) | 6,569 | 23 | (19,807) | (64) | ||||
Realized gains and losses on hedges of production costs | 5,439 | 86 | (2,122) | (33) | 6,879 | 24 | (9,923) | (32) | ||||
Other adjustments(vi) | 4,504 | 71 | 3,894 | 60 | 15,331 | 54 | 18,905 | 61 | ||||
Cash operating costs (co-product basis) | $ 63,513 | $ 1,009 | $ 56,025 | $ 874 | $ 242,172 | $ 850 | $ 221,567 | $ 717 | ||||
By-product metal revenues | (16,877) | (268) | (15,816) | (247) | (64,654) | (227) | (74,499) | (241) | ||||
Cash operating costs (by-product basis) | $ 46,636 | $ 741 | $ 40,209 | $ 627 | $ 177,518 | $ 623 | $ 147,068 | $ 476 | ||||
LaRonde mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 377 | 463 | 1,670 | 1,837 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 49,692 | $ 132 | $ 62,402 | $ 135 | $ 213,393 | $ 128 | $ 232,392 | $ 127 | ||||
Production costs (C$) | C$ 67,121 | C$ 178 | C$ 78,645 | C$ 170 | C$ 278,014 | C$ 166 | C$ 291,681 | C$ 159 | ||||
Inventory adjustments (C$)(ii) | 4,988 | 13 | (9,171) | (20) | 5,360 | 3 | (21,969) | (12) | ||||
Other adjustments (C$)(vi) | (3,003) | (8) | (2,360) | (5) | (12,208) | (7) | (11,921) | (7) | ||||
Minesite operating costs (C$) | C$ 69,106 | C$ 183 | C$ 67,114 | C$ 145 | C$ 271,166 | C$ 162 | C$ 257,791 | C$ 140 | ||||
Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 17,247 | 18,305 | 71,557 | 70,788 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 20,164 | $ 1,169 | $ 14,571 | $ 796 | $ 72,096 | $ 1,008 | $ 56,380 | $ 796 | ||||
Inventory adjustments(ii) | (1,302) | (75) | 442 | 24 | (503) | (7) | 2,009 | 28 | ||||
Realized gains and losses on hedges of production costs | 1,267 | 73 | (502) | (27) | 1,602 | 22 | (2,346) | (32) | ||||
Other adjustments(vi) | 54 | 3 | 77 | 4 | 136 | 2 | 171 | 2 | ||||
Cash operating costs (co-product basis) | $ 20,183 | $ 1,170 | $ 14,588 | $ 797 | $ 73,331 | $ 1,025 | $ 56,214 | $ 794 | ||||
By-product metal revenues | (105) | (6) | (75) | (4) | (259) | (4) | (288) | (4) | ||||
Cash operating costs (by-product basis) | $ 20,078 | $ 1,164 | $ 14,513 | $ 793 | $ 73,072 | $ 1,021 | $ 55,926 | $ 790 | ||||
LaRonde Zone 5 mine | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 281 | 276 | 1,146 | 1,124 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 20,164 | $ 72 | $ 14,571 | $ 53 | $ 72,096 | $ 63 | $ 56,380 | $ 50 | ||||
Production costs (C$) | C$ 27,123 | C$ 97 | C$ 18,334 | C$ 66 | C$ 93,655 | C$ 82 | C$ 70,770 | C$ 63 | ||||
Inventory adjustments (C$)(ii) | (1,548) | (6) | 590 | 2 | (289) | (1) | 2,447 | 2 | ||||
Minesite operating costs (C$) | C$ 25,575 | C$ 91 | C$ 18,924 | C$ 68 | C$ 93,366 | C$ 81 | C$ 73,217 | C$ 65 | ||||
LaRonde Complex Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 80,169 | 82,386 | 356,337 | 379,734 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 69,856 | $ 871 | $ 76,973 | $ 934 | $ 285,489 | $ 801 | $ 288,772 | $ 760 | ||||
Inventory adjustments(ii) | 2,576 | 32 | (7,707) | (93) | 6,066 | 17 | (17,798) | (47) | ||||
Realized gains and losses on hedges of production costs | 6,706 | 84 | (2,624) | (32) | 8,481 | 24 | (12,269) | (32) | ||||
Other adjustments(vi) | 4,558 | 57 | 3,971 | 48 | 15,467 | 43 | 19,076 | 51 | ||||
Cash operating costs (co-product basis) | $ 83,696 | $ 1,044 | $ 70,613 | $ 857 | $ 315,503 | $ 885 | $ 277,781 | $ 732 | ||||
By-product metal revenues | (16,982) | (212) | (15,891) | (193) | (64,913) | (182) | (74,787) | (197) | ||||
Cash operating costs (by-product basis) | $ 66,714 | $ 832 | $ 54,722 | $ 664 | $ 250,590 | $ 703 | $ 202,994 | $ 535 | ||||
LaRonde Complex Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 658 | 739 | 2,816 | 2,961 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 69,856 | $ 106 | $ 76,973 | $ 104 | $ 285,489 | $ 101 | $ 288,772 | $ 98 | ||||
Production costs (C$) | C$ 94,244 | C$ 143 | C$ 96,979 | C$ 131 | C$ 371,669 | C$ 132 | C$ 362,451 | C$ 122 | ||||
Inventory adjustments (C$)(ii) | 3,440 | 5 | (8,581) | (12) | 5,071 | 1 | (19,522) | (6) | ||||
Other adjustments (C$)(vi) | (3,003) | (4) | (2,360) | (3) | (12,208) | (4) | (11,921) | (4) | ||||
Minesite operating costs (C$) | C$ 94,681 | C$ 144 | C$ 86,038 | C$ 116 | C$ 364,532 | C$ 129 | C$ 331,008 | C$ 112 | ||||
Canadian Malartic mine Per Ounce of Gold Produced(i) | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 86,439 | 88,933 | 329,396 | 357,392 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 63,877 | $ 739 | $ 61,270 | $ 689 | $ 235,735 | $ 716 | $ 242,589 | $ 679 | ||||
Inventory adjustments(ii) | (2,289) | (26) | 449 | 5 | (1,867) | (6) | 1,213 | 3 | ||||
Realized gains and losses on hedges of production costs | — | — | — | — | — | — | (78) | — | ||||
Other adjustments(vi) | 7,717 | 89 | — | — | 30,568 | 93 | 557 | 2 | ||||
Cash operating costs (co-product basis) | $ 69,305 | $ 802 | $ 61,719 | $ 694 | $ 264,436 | $ 803 | $ 244,281 | $ 684 | ||||
By-product metal revenues | (1,115) | (13) | (1,639) | (18) | (5,087) | (16) | (7,233) | (21) | ||||
Cash operating costs (by-product basis) | $ 68,190 | $ 789 | $ 60,080 | $ 676 | $ 259,349 | $ 787 | $ 237,048 | $ 663 | ||||
Canadian Malartic mine Per Tonne(i) | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 2,475 | 2,765 | 9,770 | 11,130 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 63,877 | $ 26 | $ 61,270 | $ 22 | $ 235,735 | $ 24 | $ 242,589 | $ 22 | ||||
Production costs (C$) | C$ 84,510 | C$ 34 | C$ 77,571 | C$ 28 | C$ 302,734 | C$ 31 | C$ 307,005 | C$ 28 | ||||
Inventory adjustments (C$)(ii) | 208 | — | 576 | — | 902 | — | 2,042 | — | ||||
Other adjustments (C$)(vi) | 7,048 | 3 | — | — | 35,981 | 4 | — | — | ||||
Minesite operating costs (C$) | C$ 91,766 | C$ 37 | C$ 78,147 | C$ 28 | C$ 339,617 | C$ 35 | C$ 309,047 | C$ 28 | ||||
Goldex mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 36,291 | 35,921 | 141,502 | 134,053 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 24,786 | $ 683 | $ 25,184 | $ 701 | $ 103,830 | $ 734 | $ 96,181 | $ 717 | ||||
Inventory adjustments(ii) | 533 | 15 | 110 | 3 | 1,227 | 9 | (264) | (2) | ||||
Realized gains and losses on hedges of production costs | 2,410 | 66 | (942) | (26) | 3,048 | 21 | (4,407) | (33) | ||||
Other adjustments(vi) | 44 | 1 | 54 | 1 | 199 | 1 | 206 | 2 | ||||
Cash operating costs (co-product basis) | $ 27,773 | $ 765 | $ 24,406 | $ 679 | $ 108,304 | $ 765 | $ 91,716 | $ 684 | ||||
By-product metal revenues | (17) | — | (13) | — | (48) | — | (42) | — | ||||
Cash operating costs (by-product basis) | $ 27,756 | $ 765 | $ 24,393 | $ 679 | $ 108,256 | $ 765 | $ 91,674 | $ 684 | ||||
Goldex mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 748 | 729 | 2,940 | 2,874 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 24,786 | $ 33 | $ 25,184 | $ 35 | $ 103,830 | $ 35 | $ 96,181 | $ 33 | ||||
Production costs (C$) | C$ 33,532 | C$ 45 | C$ 31,737 | C$ 44 | C$ 135,084 | C$ 46 | C$ 120,667 | C$ 42 | ||||
Inventory adjustments (C$)(ii) | 802 | 1 | 146 | — | 1,818 | 1 | (374) | — | ||||
Minesite operating costs (C$) | C$ 34,334 | C$ 46 | C$ 31,883 | C$ 44 | C$ 136,902 | C$ 47 | C$ 120,293 | C$ 42 | ||||
Detour Lake Mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 179,737 | — | 651,182 | — | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 118,573 | $ 660 | $ — | $ — | $ 489,703 | $ 752 | $ — | $ — | ||||
Inventory adjustments(ii) | (183) | (1) | — | — | (8,195) | (13) | — | — | ||||
Purchase price allocation to inventory(v) | (2,552) | (14) | — | — | (74,509) | (113) | — | — | ||||
Other adjustments(vi) | 6,095 | 33 | — | — | 24,483 | 37 | — | — | ||||
Cash operating costs (co-product basis) | $ 121,933 | $ 678 | $ — | $ — | $ 431,482 | $ 663 | $ — | $ — | ||||
By-product metal revenues | (756) | (4) | — | — | (3,712) | (6) | — | — | ||||
Cash operating costs (by-product basis) | $ 121,177 | $ 674 | $ — | $ — | $ 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) | 6,488 | — | 22,782 | — | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 118,573 | $ 18 | $ — | $ — | $ 489,703 | $ 21 | $ — | $ — | ||||
Production costs (C$) | C$ 161,425 | C$ 25 | C$ — | C$ — | C$ 637,567 | C$ 28 | C$ — | C$ — | ||||
Inventory adjustments (C$)(ii) | 277 | — | — | — | (8,782) | — | — | — | ||||
Purchase price allocation to inventory(C$)(v) | (3,474) | (1) | — | — | (95,791) | (4) | — | — | ||||
Other adjustments (C$)(vi) | 8,230 | 1 | — | — | 31,917 | 1 | — | — | ||||
Minesite operating costs (C$) | C$ 166,458 | C$ 25 | C$ — | C$ — | C$ 564,911 | C$ 25 | C$ — | C$ — | ||||
Macassa Mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 43,308 | — | 180,833 | — | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 30,926 | $ 714 | $ — | $ — | $ 129,774 | $ 718 | $ — | $ — | ||||
Inventory adjustments(ii) | 586 | 14 | — | — | 38 | — | — | — | ||||
Purchase price allocation to inventory(vi) | — | — | — | — | (10,326) | (57) | — | — | ||||
Other adjustments(vi) | 1,315 | 30 | — | — | 4,237 | 23 | — | — | ||||
Cash operating costs (co-product basis) | $ 32,827 | $ 758 | $ — | $ — | $ 123,723 | $ 684 | $ — | $ — | ||||
By-product metal revenues | (22) | — | — | — | (298) | (1) | — | — | ||||
Cash operating costs (by-product basis) | $ 32,805 | $ 758 | $ — | $ — | $ 123,425 | $ 683 | $ — | $ — | ||||
Macassa Mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 70 | — | 280 | — | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 30,926 | $ 442 | $ — | $ — | $ 129,774 | $ 463 | $ — | $ — | ||||
Production costs (C$) | C$ 41,578 | C$ 594 | C$ — | C$ — | C$ 168,400 | C$ 602 | C$ — | C$ — | ||||
Inventory adjustments (C$)(ii) | 852 | 12 | — | — | 533 | 2 | — | — | ||||
Purchase price allocation to inventory(C$)(vi) | — | — | — | — | (13,248) | (47) | — | — | ||||
Other adjustments (C$)(vi) | 1,791 | 26 | — | — | 5,538 | 20 | — | — | ||||
Minesite operating costs (C$) | C$ 44,221 | C$ 632 | C$ — | C$ — | C$ 161,223 | C$ 577 | C$ — | C$ — | ||||
Meliadine mine Per Ounce of Gold Produced(vii) | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 103,397 | 101,843 | 372,874 | 367,630 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 81,246 | $ 786 | $ 69,275 | $ 680 | $ 318,141 | $ 853 | $ 250,822 | $ 682 | ||||
Inventory adjustments(ii) | 2,293 | 22 | 653 | 7 | 653 | 2 | 9,686 | 26 | ||||
Realized gains and losses on hedges of production costs | 4,937 | 48 | (3,018) | (30) | 3,500 | 9 | (12,674) | (34) | ||||
IAS 16 amendments(iv) | — | — | — | — | — | — | (14,059) | (38) | ||||
Other adjustments(vi) | 70 | — | 63 | 1 | 313 | 1 | 252 | 1 | ||||
Cash operating costs (co-product basis) | $ 88,546 | $ 856 | $ 66,973 | $ 658 | $ 322,607 | $ 865 | $ 234,027 | $ 637 | ||||
By-product metal revenues | (181) | (1) | (198) | (2) | (753) | (2) | (808) | (3) | ||||
Cash operating costs (by-product basis) | $ 88,365 | $ 855 | $ 66,775 | $ 656 | $ 321,854 | $ 863 | $ 233,219 | $ 634 | ||||
Meliadine mine Per Tonne(viii) | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 475 | 462 | 1,757 | 1,501 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 81,246 | $ 171 | $ 69,275 | $ 150 | $ 318,141 | $ 181 | $ 250,822 | $ 167 | ||||
Production costs (C$) | C$ 107,318 | C$ 226 | C$ 87,082 | C$ 188 | C$ 407,871 | C$ 232 | C$ 315,720 | C$ 210 | ||||
Inventory adjustments (C$)(ii) | 3,512 | 7 | 810 | 2 | 2,510 | 2 | 11,784 | 7 | ||||
IAS 16 amendments (C$)(iv) | — | — | — | — | — | — | (17,706) | (11) | ||||
Minesite operating costs (C$) | C$ 110,830 | C$ 233 | C$ 87,892 | C$ 190 | C$ 410,381 | C$ 234 | C$ 309,798 | C$ 206 | ||||
Meadowbank Complex Per Ounce of Gold Produced(ix) | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 94,328 | 67,630 | 373,785 | 322,852 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 128,692 | $ 1,364 | $ 113,742 | $ 1,682 | $ 442,681 | $ 1,184 | $ 408,863 | $ 1,266 | ||||
Inventory adjustments(ii) | 2,505 | 27 | (7,872) | (116) | 14,807 | 40 | (548) | (2) | ||||
Realized gains and losses on hedges of production costs | 3,067 | 33 | (3,823) | (57) | (1,691) | (4) | (14,256) | (44) | ||||
Operational care & maintenance due to COVID-19(iii) | — | — | (2,612) | (39) | (1,436) | (4) | (2,612) | (8) | ||||
IAS 16 amendments(iv) | — | — | (2,039) | (30) | — | — | (2,374) | (7) | ||||
Other adjustments(vi) | 21 | — | 73 | 1 | 34 | — | 1,117 | 4 | ||||
Cash operating costs (co-product basis) | $ 134,285 | $ 1,424 | $ 97,469 | $ 1,441 | $ 454,395 | $ 1,216 | $ 390,190 | $ 1,209 | ||||
By-product metal revenues | (558) | (6) | (507) | (7) | (2,127) | (6) | (2,414) | (8) | ||||
Cash operating costs (by-product basis) | $ 133,727 | $ 1,418 | $ 96,962 | $ 1,434 | $ 452,268 | $ 1,210 | $ 387,776 | $ 1,201 | ||||
Meadowbank Complex Per Tonne* | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 923 | 782 | 3,739 | 3,556 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 128,692 | $ 139 | $ 113,742 | $ 145 | $ 442,681 | $ 118 | $ 408,863 | $ 115 | ||||
Production costs (C$) | C$ 176,450 | C$ 191 | C$ 143,939 | C$ 184 | C$ 574,895 | C$ 154 | C$ 515,800 | C$ 145 | ||||
Inventory adjustments (C$)(ii) | (4,493) | (5) | (9,999) | (13) | 12,203 | 3 | (982) | — | ||||
Operational care and maintenance due to COVID-19 (C$)(iii) | — | — | (3,326) | (4) | (1,793) | — | (3,326) | (1) | ||||
IAS 16 amendments (C$)(iv) | — | — | (2,575) | (3) | — | — | (2,995) | (1) | ||||
Minesite operating costs (C$) | C$ 171,957 | C$ 186 | C$ 128,039 | C$ 164 | C$ 585,305 | C$ 157 | C$ 508,497 | C$ 143 | ||||
Hope Bay mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | — | 705 | — | 56,229 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ — | $ — | $ 19,143 | $ 27,153 | $ — | $ — | $ 83,118 | $ 1,478 | ||||
Inventory adjustments(ii) | — | — | (8,051) | (11,420) | — | — | (13,713) | (244) | ||||
Operational care & maintenance due to COVID-19(iii) | — | — | (9,964) | (14,133) | — | — | (9,964) | (177) | ||||
Other adjustments(vii) | — | — | 207 | 294 | — | — | 374 | 7 | ||||
Cash operating costs (co-product basis) | $ — | $ — | $ 1,335 | $ 1,894 | $ — | $ — | $ 59,815 | $ 1,064 | ||||
By-product metal revenues | — | — | (46) | (65) | — | — | (46) | (1) | ||||
Cash operating costs (by-product basis) | $ — | $ — | $ 1,289 | $ 1,829 | $ — | $ — | $ 59,769 | $ 1,063 | ||||
Hope Bay mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | — | 7 | — | 228 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ — | $ — | $ 19,143 | $ 2,725 | $ — | $ — | $ 83,118 | $ 365 | ||||
Production costs (C$) | C$ — | C$ — | C$ 24,242 | C$ 3,463 | C$ — | C$ — | C$ 104,291 | C$ 457 | ||||
Inventory adjustments (C$)(ii) | — | — | (10,398) | (1,485) | — | — | (17,801) | (78) | ||||
Operational care and maintenance due to COVID-19 (C$)(iii) | — | — | (12,304) | (1,758) | — | — | (12,304) | (53) | ||||
Minesite operating costs (C$) | C$ — | C$ — | C$ 1,540 | C$ 220 | C$ — | C$ — | C$ 74,186 | C$ 326 | ||||
Fosterville Mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 88,634 | — | 338,327 | — | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 34,131 | $ 385 | $ — | $ — | $ 204,649 | $ 605 | $ — | $ — | ||||
Inventory adjustments(ii) | 2,694 | 30 | — | — | (2,691) | (8) | — | — | ||||
Purchase price allocation to inventory(v) | — | — | — | — | (73,674) | (218) | — | — | ||||
Cash operating costs (co-product basis) | $ 36,825 | $ 415 | $ — | $ — | $ 128,284 | $ 379 | $ — | $ — | ||||
By-product metal revenues | (126) | (1) | — | — | (527) | (1) | — | — | ||||
Cash operating costs (by-product basis) | $ 36,699 | $ 414 | $ — | $ — | $ 127,757 | $ 378 | $ — | $ — | ||||
Fosterville Mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 139 | — | 524 | — | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 34,131 | $ 246 | $ — | $ — | $ 204,649 | $ 391 | $ — | $ — | ||||
Production costs (A$) | A$ 51,995 | A$ 370 | A$ — | A$ — | A$ 293,875 | A$ 561 | A$ — | A$ — | ||||
Inventory adjustments (A$)(ii) | 4,186 | 29 | — | — | (3,045) | (6) | — | — | ||||
Purchase price allocation to inventory(A$)(v) | — | (16) | — | — | (104,507) | (199) | — | — | ||||
Minesite operating costs (A$) | A$ 56,181 | A$ 399 | A$ — | A$ — | A$ 186,323 | A$ 356 | A$ — | A$ — | ||||
Kittila mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 44,724 | 63,172 | 216,947 | 239,240 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 56,273 | $ 1,258 | $ 44,998 | $ 712 | $ 210,661 | $ 971 | $ 192,742 | $ 806 | ||||
Inventory adjustments(ii) | 1,070 | 24 | 5,671 | 90 | (5,349) | (25) | 5,908 | 25 | ||||
Realized gains and losses on hedges of production costs | 2,033 | 45 | 478 | 7 | 7,329 | 34 | 577 | 2 | ||||
Other adjustments(vi) | 163 | 4 | 177 | 3 | 274 | 1 | 705 | 3 | ||||
Cash operating costs (co-product basis) | $ 59,539 | $ 1,331 | $ 51,324 | $ 812 | $ 212,915 | $ 981 | $ 199,932 | $ 836 | ||||
By-product metal revenues | (76) | (1) | (60) | — | (295) | (1) | (249) | (1) | ||||
Cash operating costs (by-product basis) | $ 59,463 | $ 1,330 | $ 51,264 | $ 812 | $ 212,620 | $ 980 | $ 199,683 | $ 835 | ||||
Kittila mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore milled (thousands of tonnes) | 421 | 526 | 1,925 | 2,052 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 56,273 | $ 134 | $ 44,998 | $ 86 | $ 210,661 | $ 109 | $ 192,742 | $ 94 | ||||
Production costs (€) | € 54,500 | € 129 | € 39,079 | € 74 | € 198,484 | € 103 | € 163,165 | € 80 | ||||
Inventory adjustments (€)(ii) | 1,008 | 3 | 5,203 | 10 | (3,853) | (2) | 5,330 | 2 | ||||
Minesite operating costs (€) | € 55,508 | € 132 | € 44,282 | € 84 | € 194,631 | € 101 | € 168,495 | € 82 | ||||
Pinos Altos mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 25,291 | 32,741 | 96,522 | 126,932 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 37,567 | $ 1,485 | $ 32,698 | $ 999 | $ 144,489 | $ 1,497 | $ 141,488 | $ 1,115 | ||||
Inventory adjustments(ii) | (499) | (20) | 3,690 | 113 | (2,295) | (24) | 241 | 2 | ||||
Realized gains and losses on hedges of production costs | (176) | (7) | (365) | (11) | (879) | (9) | (2,515) | (20) | ||||
Other adjustments(vi) | 312 | 13 | 440 | 13 | 1,235 | 13 | 1,627 | 13 | ||||
Cash operating costs (co-product basis) | $ 37,204 | $ 1,471 | $ 36,463 | $ 1,114 | $ 142,550 | $ 1,477 | $ 140,841 | $ 1,110 | ||||
By-product metal revenues | (5,467) | (216) | (7,379) | (226) | (21,983) | (228) | (31,965) | (252) | ||||
Cash operating costs (by-product basis) | $ 31,737 | $ 1,255 | $ 29,084 | $ 888 | $ 120,567 | $ 1,249 | $ 108,876 | $ 858 | ||||
Pinos Altos mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore processed (thousands of tonnes) | 382 | 441 | 1,510 | 1,899 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 37,567 | $ 98 | $ 32,698 | $ 74 | $ 144,489 | $ 96 | $ 141,488 | $ 75 | ||||
Inventory adjustments(ii) | (499) | (1) | 3,690 | 8 | (2,295) | (2) | 241 | — | ||||
Minesite operating costs | $ 37,068 | $ 97 | $ 36,388 | $ 82 | $ 142,194 | $ 94 | $ 141,729 | $ 75 | ||||
Creston Mascota mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 451 | 2,333 | 2,630 | 12,801 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 200 | $ 443 | $ 1,966 | $ 843 | $ 1,943 | $ 739 | $ 8,165 | $ 638 | ||||
Inventory adjustments(ii) | 279 | 622 | 196 | 84 | 222 | 84 | (349) | (27) | ||||
Other adjustments(vi) | 15 | 33 | 35 | 15 | 78 | 30 | 327 | 25 | ||||
Cash operating costs (co-product basis) | $ 494 | $ 1,098 | $ 2,197 | $ 942 | $ 2,243 | $ 853 | $ 8,143 | $ 636 | ||||
By-product metal revenues | (30) | (68) | (339) | (146) | (158) | (60) | (2,914) | (228) | ||||
Cash operating costs (by-product basis) | $ 464 | $ 1,030 | $ 1,858 | $ 796 | $ 2,085 | $ 793 | $ 5,229 | $ 408 | ||||
Creston Mascota mine Per Tonne(xi) | 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 | $ — | $ 1,966 | $ — | $ 1,943 | $ — | $ 8,165 | $ — | ||||
Inventory adjustments(ii) | 279 | — | 196 | — | 222 | — | (349) | — | ||||
Other adjustments(vi) | (479) | — | (2,162) | — | (2,165) | — | (7,816) | — | ||||
Minesite operating costs | $ — | $ — | $ — | $ — | $ — | $ — | $ — | $ — | ||||
La India mine Per Ounce of Gold Produced | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Gold production (ounces) | 16,669 | 24,660 | 74,672 | 63,529 | ||||||||
(thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | (thousands) | ($ per ounce) | |||||
Production costs | $ 20,750 | $ 1,245 | $ 21,819 | $ 885 | $ 76,226 | $ 1,021 | $ 60,381 | $ 950 | ||||
Inventory adjustments(ii) | 2,187 | 131 | (820) | (33) | 3,598 | 48 | 98 | 2 | ||||
Other adjustments(vi) | 176 | 11 | 149 | 6 | 699 | 9 | 458 | 7 | ||||
Cash operating costs (co-product basis) | $ 23,113 | $ 1,387 | $ 21,148 | $ 858 | $ 80,523 | $ 1,078 | $ 60,937 | $ 959 | ||||
By-product metal revenues | (290) | (18) | (434) | (18) | (1,689) | (22) | (1,298) | (20) | ||||
Cash operating costs (by-product basis) | $ 22,823 | $ 1,369 | $ 20,714 | $ 840 | $ 78,834 | $ 1,056 | $ 59,639 | $ 939 | ||||
La India mine Per Tonne | Three Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||
Tonnes of ore processed (thousands of tonnes) | 1,138 | 1,398 | 5,102 | 6,018 | ||||||||
(thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | (thousands) | ($ per tonne) | |||||
Production costs | $ 20,750 | $ 18 | $ 21,819 | $ 16 | $ 76,226 | $ 15 | $ 60,381 | $ 10 | ||||
Inventory adjustments(ii) | 2,187 | 2 | (820) | (1) | 3,598 | 1 | 98 | — | ||||
Minesite operating costs | $ 22,937 | $ 20 | $ 20,999 | $ 15 | $ 79,824 | $ 16 | $ 60,479 | $ 10 |
Notes: | ||||||||||||
(i) The information set out in this table reflects the Company's 50% interest in the Canadian Malartic mine | ||||||||||||
(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. These costs were previously included in "other adjustments" and have now been disclosed separately to provide additional detail on the reconciliation, allowing investors to better understand the impact of such events on the total cash costs per ounce and minesite cost per tonne | ||||||||||||
(iv) Certain previously reported line items have been restated to reflect the retrospective application of IAS 16. The Company considers the disclosure of the total cash cost per ounce of gold produced (by-product and co-product) without the incorporation of the impacts of the retrospective application of IAS 16 amendments is helpful to investors so they can compare current performance to what management considers steady-state operational costs for the comparative period | ||||||||||||
(v) On February 8, 2022 the Company completed the completion of the merger of equals with Kirkland Lake Gold and this adjustment reflects the fair value allocated to inventory on the purchase price allocation | ||||||||||||
(vi) Other adjustments consists of costs associated with a 5% in-kind royalty paid in respect of the Canadian Malartic mine, a 2% in-kind royalty paid in respect of the Detour Lake mine, a 1.5% in-kind royalty paid in respect of the Macassa mine, as well as, smelting, refining, and marketing charges to production costs | ||||||||||||
(vii) The Meliadine mine's cost calculations per ounce of gold produced for the year ended December 31, 2021 exclude 24,057 ounces of payable gold production which were produced prior to the achievement of commercial production at the Tiriganiaq open pit deposit on August 15, 2021 | ||||||||||||
(viii) The Meliadine mine's cost calculations per tonne for the year ended December 31, 2021 exclude 213,867 tonnes of ore, from the Tiriganiaq open pit deposit which were processed prior to the achievement of commercial production at the Tiriganiaq open pit deposit on August 15, 2021 | ||||||||||||
(ix) The Meadowbank Complex's cost calculations per ounce of gold produced for the three months and year ended December 31, 2021 exclude 1,608 and 1,956 ounces of payable gold production, respectively, which were processed prior to the achievement of commercial production at the Amaruq Underground project on August 1, 2022 | ||||||||||||
* The Meadowbank Complex's cost calculations per tonne for the three months and year ended December 31, 2021 exclude 12,386 and 14,299 tonnes of ore from the Amaruq Underground project, respectively, which were processed prior to the achievement of commercial production at the Amaruq Underground project on August 1, 2022 | ||||||||||||
(xi) The Creston Mascota mine's cost calculations per tonne for the three months and year ended December 31, 2022 exclude approximately $0.5 million and $2.2 million of production costs incurred during these periods following the ceasing of mining activities at the Bravo pit during the third quarter of 2020. The Creston Mascota mine's cost calculations per tonne for the three and nine months ended December 31, 2021 exclude approximately $2.2 million and $7.8 million of production costs incurred during these periods, respectively, following the ceasing of mining activities at the Bravo pit during the third quarter of 2020 |
Reconciliation of Production Costs to Total Cash Costs per Ounce Produced(vii) and All-in Sustaining Costs per Ounce of Gold Produced(vii) | |||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||
(United States dollars per ounce of gold produced, except where noted) | 2022 | 2021 | 2022 | 2021 | |||
Production costs per the consolidated statements of income (thousands of United States dollars) | $ 666,877 | $ 467,068 | $ 2,643,321 | $ 1,773,121 | |||
Gold production (ounces)(i)(ii) | 799,436 | 500,324 | 3,135,007 | 2,060,392 | |||
Production costs per ounce of adjusted gold production | $ 834 | $ 934 | $ 843 | $ 861 | |||
Adjustments: | |||||||
Inventory adjustments(iii) | 15 | (27) | 2 | (8) | |||
Purchase price allocation to inventory(iv) | (3) | — | (51) | — | |||
IAS 16 amendments(v) | — | (4) | — | (8) | |||
Realized gains and losses on hedges of production costs | 24 | (21) | 6 | (22) | |||
Operational care and maintenance costs due to COVID-19(vi) | — | (25) | — | (6) | |||
Other(vii) | 25 | 10 | 25 | 12 | |||
Total cash costs per ounce of gold produced (co-product basis)(viii) | $ 895 | $ 867 | $ 825 | $ 829 | |||
By-product metal revenues | (32) | (53) | (32) | (59) | |||
Total cash costs per ounce of gold produced (by-product basis)(viii) | $ 863 | $ 814 | $ 793 | $ 770 | |||
Adjustments: | |||||||
Sustaining capital expenditures (including capitalized exploration) | 284 | 236 | 232 | 207 | |||
General and administrative expenses (including stock option expense) | 68 | 69 | 70 | 69 | |||
Non-cash reclamation provision and sustaining leases | 16 | 17 | 14 | 13 | |||
All-in sustaining costs per ounce of gold produced (by-product basis) | $ 1,231 | $ 1,136 | $ 1,109 | $ 1,059 | |||
By-product metal revenues | 32 | 53 | 32 | 59 | |||
All-in sustaining costs per ounce of gold produced (co-product basis) | $ 1,263 | $ 1,189 | $ 1,141 | $ 1,118 |
Notes: | |||||||
(i) Gold production for the year ended December 31, 2021 excludes 24,057 ounces of payable production of gold at the Meliadine mine which were produced prior to the achievement of commercial production at the Tiriganiaq open pit deposit on August 15, 2021 | |||||||
(ii) Gold production for the three months and year ended December 31, 2021 excludes 1,608 and 1,956 ounces of payable production of gold at the Meadowbank mine, respectively, which were processed prior to the achievement of commercial production at the Amaruq Underground project on August 1, 2022 | |||||||
(iii) 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 | |||||||
(iv) On February 8, 2022 the Company completed the merger of equals with Kirkland and this adjustment reflects the fair value allocated to inventory on the purchase price allocation | |||||||
(v) Certain previously reported line items have been restated to reflect the retrospective application of IAS 16. This adjustment eliminates the effects of the retrospective application of IAS 16 amendments on the total cash costs per ounce of gold produced (by-product and co-product) as well as all-in sustaining costs (by-product and co-product) | |||||||
(vi) 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 which primarily includes 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 costs were previously classified as "other adjustments" and have now been disclosed separately to provide additional detail on the reconciliation, allowing investors to better understand the impacts of such events on the cash operating costs per ounce and minesite cost per tonne | |||||||
(vii) Other adjustments consists of costs associated with a 5% in-kind royalty paid in respect of the Canadian Malartic mine, a 2% in-kind royalty paid in respect of the Detour Lake mine, a 1.5% in-kind royalty paid in respect of the Macassa mine, smelting, refining and marketing charges to production costs | |||||||
(viii) 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 ''Note Regarding Certain Financial Performance Measures" for more information on the Company's use of total cash cost per ounce of gold produced |
Reconciliation of Operating Margin(i) to Net Income | |||||
Three Months Ended December 31, 2022 | |||||
Revenues from | |||||
Mining | Production | Operating | |||
Operations | Costs | Margin | |||
LaRonde mine | $ 118,609 | $ (49,692) | $ 68,917 | ||
LaRonde Zone 5 mine | 32,978 | (20,164) | 12,814 | ||
Canadian Malartic mine(ii) | 147,412 | (63,877) | 83,535 | ||
Goldex mine | 60,319 | (24,786) | 35,533 | ||
Detour Lake mine | 303,878 | (118,573) | 185,305 | ||
Macassa mine | 74,953 | (30,926) | 44,027 | ||
Meliadine mine | 176,330 | (81,246) | 95,084 | ||
Meadowbank Complex | 171,094 | (128,692) | 42,402 | ||
Fosterville mine | 139,098 | (34,131) | 104,967 | ||
Kittila mine | 80,797 | (56,273) | 24,524 | ||
Pinos Altos mine | 50,960 | (37,567) | 13,393 | ||
Creston Mascota mine | 427 | (200) | 227 | ||
La India mine | 27,864 | (20,750) | 7,114 | ||
Segment totals | $ 1,384,719 | $ (666,877) | $ 717,842 | ||
Corporate and other: | |||||
Exploration and corporate development | 70,922 | ||||
Amortization of property, plant, and mine development | 269,700 | ||||
General and administrative | 54,582 | ||||
Finance costs | 20,043 | ||||
Gain on derivative financial instruments | (83,771) | ||||
Impairment loss | 55,000 | ||||
Environmental remediation | 9,634 | ||||
Foreign currency translation loss | 11,680 | ||||
Care and maintenance | 11,644 | ||||
Other expenses | 19,526 | ||||
Income and mining taxes expense | 73,873 | ||||
Net income per consolidated statements of income | $ 205,009 |
Notes: | |||||
(i) Operating margin is not a recognized measure under IFRS and this data may not be comparable to data reported by other gold producers. See "Note Regarding Certain Measures of Performance" for more information on the Company's use of operating margin | |||||
(ii) The information set out in this table reflects the Company's 50% interest in the Canadian Malartic mine |
Reconciliation of Operating Margin(i) to Net Income | |||||
Year Ended December 31, 2022 | |||||
Revenues from | |||||
Mining | Production | Operating | |||
Operations | Costs | Margin | |||
LaRonde mine | $ 553,931 | $ (213,393) | $ 340,538 | ||
LaRonde Zone 5 mine | 129,569 | (72,096) | 57,473 | ||
Canadian Malartic Complex(ii) | 575,938 | (235,735) | 340,203 | ||
Goldex mine | 250,512 | (103,830) | 146,682 | ||
Detour Lake mine | 1,188,741 | (489,703) | 699,038 | ||
Macassa mine | 327,028 | (129,774) | 197,254 | ||
Meliadine mine | 677,713 | (318,141) | 359,572 | ||
Meadowbank Complex | 645,021 | (442,681) | 202,340 | ||
Hope Bay mine | 144 | — | 144 | ||
Fosterville mine | 645,371 | (204,649) | 440,722 | ||
Kittila mine | 407,669 | (210,661) | 197,008 | ||
Pinos Altos mine | 199,830 | (144,489) | 55,341 | ||
Creston Mascota mine | 4,476 | (1,943) | 2,533 | ||
La India mine | 135,219 | (76,226) | 58,993 | ||
Segment totals | $ 5,741,162 | $ (2,643,321) | $ 3,097,841 | ||
Corporate and other: | |||||
Exploration and corporate development | 271,117 | ||||
Amortization of property, plant, and mine development | 1,094,691 | ||||
General and administrative | 220,861 | ||||
Finance costs | 82,935 | ||||
Loss on derivative financial instruments | 90,692 | ||||
Impairment loss | 55,000 | ||||
Environmental remediation | 10,417 | ||||
Foreign currency translation gain | (16,081) | ||||
Care and maintenance | 41,895 | ||||
Other expenses | 130,891 | ||||
Income and mining taxes expense | 445,174 | ||||
Net income per consolidated statements of income | $ 670,249 |
Notes: | |||||
(i) Operating margin is not a recognized measure under IFRS and this data may not be comparable to data reported by other gold producers. See Note Regarding Certain Measures of Performance for more information on the Company's use of operating margin | |||||
(ii) The information set out in this table reflects the Company's 50% interest in the Canadian Malartic mine |
Reconciliation of Operating Margin(i) to Net Income | |||||
Three Months Ended December 31, 2021 | |||||
Revenues from | |||||
Mining | Production | Operating | |||
Operations | Costs | Margin | |||
LaRonde mine | $ 149,472 | $ (62,402) | $ 87,070 | ||
LaRonde Zone 5 mine | 32,128 | (14,571) | 17,557 | ||
Canadian Malartic mine(ii) | 157,522 | (61,270) | 96,252 | ||
Goldex mine | 64,366 | (25,184) | 39,182 | ||
Meliadine mine(iii) | 185,187 | (69,275) | 115,912 | ||
Meadowbank Complex(iii) | 139,614 | (113,742) | 25,872 | ||
Hope Bay mine | 14,205 | (19,143) | (4,938) | ||
Kittila mine | 99,409 | (44,998) | 54,411 | ||
Pinos Altos mine | 60,354 | (32,698) | 27,656 | ||
Creston Mascota mine | 4,594 | (1,966) | 2,628 | ||
La India mine | 44,680 | (21,819) | 22,861 | ||
Segment totals(iii) | $ 951,531 | $ (467,068) | $ 484,463 | ||
Corporate and other: | |||||
Exploration and corporate development | 41,722 | ||||
Amortization of property, plant, and mine development(iii) | 191,619 | ||||
General and administrative | 34,430 | ||||
Finance costs | 23,833 | ||||
Gain on derivative financial instruments | (24,263) | ||||
Environmental remediation | 1,177 | ||||
Foreign currency translation loss | 12,788 | ||||
Other expenses | 13,936 | ||||
Income and mining taxes expense | 87,863 | ||||
Net income per consolidated statements of income(iii) | $ 101,358 |
Notes: | |||||
(i) Operating margin is not a recognized measure under IFRS and this data may not be comparable to data reported by other gold producers. See Note Regarding Certain Measures of Performance for more information on the Company's use of operating margin | |||||
(ii) The information set out in this table reflects the Company's 50% interest in the Canadian Malartic mine | |||||
(iii) Certain previously reported line items have been restated to reflect the retrospective application of IAS 16 |
Reconciliation of Operating Margin(i) to Net Income | |||||
Year Ended December 31, 2021 | |||||
Revenues from | |||||
Mining | Production | Operating | |||
Operations | Costs | Margin | |||
LaRonde mine | $ 654,577 | $ (232,392) | $ 422,185 | ||
LaRonde Zone 5 mine | 121,236 | (56,380) | 64,856 | ||
Canadian Malartic mine(ii) | 645,607 | (242,589) | 403,018 | ||
Goldex mine | 241,404 | (96,181) | 145,223 | ||
Meliadine mine(iii) | 678,766 | (250,822) | 427,944 | ||
Meadowbank Complex(iii) | 592,835 | (408,863) | 183,972 | ||
Hope Bay mine | 115,439 | (83,118) | 32,321 | ||
Kittila mine | 414,656 | (192,742) | 221,914 | ||
Pinos Altos mine | 259,446 | (141,488) | 117,958 | ||
Creston Mascota mine | 27,784 | (8,165) | 19,619 | ||
La India mine | 117,875 | (60,381) | 57,494 | ||
Segment totals(iii) | $ 3,869,625 | $ (1,773,121) | $ 2,096,504 | ||
Corporate and other: | |||||
Exploration and corporate development | 152,514 | ||||
Amortization of property, plant, and mine development(iii) | 738,129 | ||||
General and administrative | 142,003 | ||||
Finance costs | 92,042 | ||||
Loss on derivative financial instruments | 11,103 | ||||
Environmental remediation | 576 | ||||
Foreign currency translation loss | 5,672 | ||||
Other expenses | 21,742 | ||||
Income and mining taxes expense | 370,778 | ||||
Net income per consolidated statements of income(iii) | $ 561,945 |
Notes: | |||||
(i) Operating margin is not a recognized measure under IFRS and this data may not be comparable to data reported by other gold producers. See Note Regarding Certain Measures of Performance for more information on the Company's use of operating margin | |||||
(ii) The information set out in this table reflects the Company's 50% interest in the Canadian Malartic mine | |||||
(iii) Certain previously reported line items have been restated to reflect the retrospective application of IAS 16 |
Reconciliation of Sustaining Capital Expenditures(i) and Development Capital Expenditures(i) to the Consolidated Statements of Cash Flows
Three Months Ended December 31, | Year Ended December 31, | ||||||
2022 | 2021 | 2022 | 2021 | ||||
Sustaining capital expenditures(i)(ii)(iii) | $ 227,040 | $ 123,925 | $ 733,546 | $ 432,543 | |||
Development capital expenditures(i)(iii) | 230,134 | 121,864 | 803,354 | 471,870 | |||
Total Capital Expenditures(iii) | $ 457,174 | $ 245,789 | $ 1,536,900 | $ 904,413 | |||
Working capital adjustments(iii) | (56,343) | (8,500) | 1,337 | (7,415) | |||
Additions to property, plant and mine development per the consolidated statements of cash flows | $ 400,831 | $ 237,289 | $ 1,538,237 | $ 896,998 |
Note: | |||||||
(i) Sustaining capital expenditures and development capital expenditures are not recognized measures underIFRS and this data may not be comparable to other gold producers. SeeNote on Certain Measures of Performance for more information on the Company's use of the measures sustaining capital expenditures and development capital expenditures | |||||||
(ii) Certain previously reported line items have been restated to reflect the retrospective application of IAS 16 | |||||||
(iii) Sustaining capital expenditures and development capital expenditures include capitalized exploration |
Reconciliation of Long-Term Debt to Net Debt
As at | As at | ||
December 31, 2022 | December 31, 2021 | ||
Current portion of long-term debt per the consolidated balance sheets | $ 100,000 | $ 225,000 | |
Non-current portion of long-term debt | 1,242,070 | 1,340,223 | |
Long-term debt | $ 1,342,070 | $ 1,565,223 | |
Adjustments: | |||
Cash and cash equivalents | $ (658,625) | $ (185,786) | |
Net Debt | $ 683,445 | $ 1,379,437 |
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SOURCE Agnico Eagle Mines Limited
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