Stock Symbol: AEM (NYSE and TSX)
TORONTO,
Sept. 21, 2015 /CNW/ - Agnico
Eagle Mines Limited (NYSE:AEM, TSX:AEM) ("Agnico Eagle" or the
"Company") is pleased to provide an update on exploration drilling
results at its El Barqueno gold project in Jalisco State, west-central Mexico, and an update on exploration
activities at the Creston Mascota deposit at Pinos Altos ("Creston Mascota") and the La
India mine in northern Mexico.
The Company last reported drill results from El
Barqueno in its news release dated June 9,
2015. This news release summarizes the results of the
exploration and technical studies at the project to the end of
August 2015.
At Creston Mascota and the La India mine,
ongoing infill drilling and the refinement of geological and
metallurgical models are expected to result in an expansion of the
mineral reserves and mineral resources at both open pit
operations.
Highlights:
- El Barqueno prospects continue to expand
-
- Azteca-Zapoteca prospect extended to 300 metres depth -
In the northeast portion of the deposit, hole BRQ15-174 yielded
8.04 grams per tonne (g/t) gold (uncapped) over 5.0 metres at 227
metres depth. In the southwest portion, hole BRQ15-226
intersected four lenses between 173 and 303 metres depth including
2.25 g/t gold (uncapped) over 3.6 metres at 303 metres below
surface.
- Angostura yields high-grade
gold - Drillhole BRQ15-206 intersected 15.49 g/t gold
(uncapped) over 3.0 metres at 87 metres below surface.
- Peña de Oro strike length
extended to over 800 metres - Drilling has extended the strike
length of the Peña de Oro prospect
to the southwest by approximately 160 metres. Recent results
include hole BRQ15-172, which intersected 10.82 g/t gold (uncapped)
over 4.9 metres at 32 metres below surface, and hole PDO15-086 near
the center of the prospect that intersected 2.69 g/t gold
(uncapped) over 27.5 metres at surface.
- Processing and mine design studies underway -
Preliminary conceptual studies and metallurgical testing have now
commenced at El Barqueno, with an initial focus on the design of an
open pit heap leach operation with similarities to Creston Mascota
and the La India mine.
- Potential for reserve and resource additions at Creston
Mascota and La India
- Infill drilling encounters high-grade gold in pit bottom at
Creston Mascota - Over its mine life, Creston
Mascota has added approximately 50% (179,000 ounces of contained
gold) to its mineral reserves through infill drilling and improved
geological understanding. Recent drilling has encountered
higher grade and wider than expected intercepts within the ultimate
pit outline, which is expected to increase mineral reserves.
- La India potential for
reserve and resource growth - An improved geological model from
infill drilling and mine reconciliation plus metallurgical test
results on sulphide mineralization are expected to result in an
increase in both oxide and sulphide mineral reserves and mineral
resources at year-end 2015.
"Drilling at El Barqueno continues to expand the
known deposits, and we are aiming to declare the first resource by
mid-February 2016. Based on
results to date, we have initiated conceptual design studies with a
view to initially developing an open pit heap leach operation at El
Barqueno," said Sean Boyd, Vice
Chairman and Chief Executive Officer of Agnico Eagle.
"Creston Mascota and La India have been very successful heap leach
operations for Agnico Eagle, and recent work suggests good
potential to further extend the mineral reserves and mineral
resources at both operations. Over time, we believe that El
Barqueno could generate similar value for our shareholders," added
Mr. Boyd.
Summer Drill Program Expands Known Deposits
at El Barqueno
Agnico Eagle has a 100% interest in the El
Barqueno project. The 32,840-hectare property is in the
Guachinango gold-silver mining
district, Jalisco State, Mexico,
approximately 150 kilometres west of the state capital of
Guadalajara. It consists of three
blocks of land: the original El Barqueno package (El Barqueno I, II
and III) acquired from Cayden Resources in November 2014, and two adjacent blocks acquired
from Soltoro Limited in June 2015
(El Rayo and El Tecolote). Three additional
non-contiguous blocks of property totaling 37,195 hectares were
also acquired through the Soltoro acquisition - La Tortuga, Quila and San
Pedro. These blocks are located between 10 and 80
kilometres to the south of the El Barqueno project.
[link to El Barqueno project location]
The El Barqueno project contains a number of
known mineralized zones and several prospects that require further
evaluation. There are currently 10 drill rigs operating on
the project. From January 2015
to the end of August 2015, 148 holes
(35,646 metres) were drilled to define the limits of the
Azteca-Zapoteca, Angostura and
Peña de Oro prospects, and to
explore for additional mineralized structures and extensions.
Drilling has begun to test the Zapote-Mixteca prospect, which has
been shown to be gold-bearing by recent rock sample and trench
results.
Approximately 32,000 metres of additional
drilling is expected to be completed by the end of 2015,
principally at the Azteca-Zapoteca, Angostura, Peña de Oro and Zapote-Mixteca prospects.
Exploration expenditures at El Barqueno in 2015 are currently
expected to total approximately $22
million.
[El Barqueno project geology map]
Gold, silver and copper grades of recent
intercepts from the Azteca-Zapoteca, Angostura and Peña de Oro prospects are set out in the table below
and the drill collars are located in the accompanying table as well
as on the local project geology maps. All intercepts reported
for the El Barqueno project show uncapped grades over estimated
true widths, based on a preliminary geological interpretation that
will be updated as new information becomes available with further
drilling.
Selected recent exploration drill results
from the El Barqueno project
Drill Hole |
Prospect |
From
(metres) |
To
(metres) |
Depth of
midpoint
below
surface
(metres) |
Estimated
true width
(metres) |
Gold grade
(g/t)
(uncapped)* |
Silver
grade (g/t)
(uncapped) |
Copper
grade (%)
(uncapped) |
BRQ15-154 |
Peña de Oro |
129.0 |
143.0 |
101 |
11.8 |
2.75 |
11.9 |
1.75 |
including |
|
131.0 |
141.0 |
101 |
8.4 |
3.63 |
13.6 |
1.90 |
BRQ15-160 |
Peña de Oro |
96.0 |
106.0 |
84 |
9.8 |
1.91 |
11.1 |
0.67 |
including |
|
96.0 |
101.0 |
82 |
4.9 |
2.34 |
15.8 |
0.86 |
BRQ15-166 |
Azteca-Zapoteca |
154.0 |
163.0 |
145 |
7.6 |
1.29 |
9.7 |
0.64 |
including |
|
159.0 |
163.0 |
146 |
3.4 |
2.22 |
11.6 |
0.62 |
BRQ15-172 |
Peña de Oro |
54.0 |
59.0 |
32 |
4.9 |
10.82 |
2.5 |
0.02 |
BRQ15-174 |
Azteca-Zapoteca |
253.0 |
260.0 |
227 |
5.0 |
8.04 |
41.9 |
3.83 |
BRQ15-180 |
Azteca-Zapoteca |
4.0 |
30.0 |
13 |
11.0 |
4.51 |
5.9 |
0.14 |
BRQ15-181 |
Azteca-Zapoteca |
161.0 |
170.0 |
109 |
3.6 |
1.10 |
18.6 |
0.55 |
BRQ15-182 |
Azteca-Zapoteca |
78.0 |
92.0 |
89 |
12.1 |
2.79 |
10.5 |
0.24 |
BRQ15-185 |
Azteca-Zapoteca |
53.0 |
63.0 |
33 |
9.8 |
4.84 |
5.1 |
0.03 |
BRQ15-187 |
Azteca-Zapoteca |
7.0 |
12.0 |
8 |
4.9 |
5.82 |
5.0 |
0.01 |
BRQ15-188 |
Peña de Oro |
173.0 |
179.0 |
132 |
5.9 |
3.22 |
4.5 |
0.04 |
BRQ15-193 |
Azteca-Zapoteca |
52.0 |
57.0 |
47 |
4.2 |
1.86 |
4.1 |
0.01 |
BRQ15-199 |
Azteca-Zapoteca |
94.0 |
104.0 |
95 |
8.4 |
0.8 |
16.7 |
0.64 |
including |
|
94.0 |
97.0 |
93 |
2.5 |
1.29 |
20.7 |
0.70 |
BRQ15-203 |
Azteca-Zapoteca |
127.0 |
142.0 |
128 |
6.4 |
2.18 |
16.1 |
0.79 |
including |
|
131.0 |
138.0 |
128 |
3.0 |
3.98 |
21.9 |
1.27 |
BRQ15-206 |
Angostura |
118.0 |
121.0 |
87 |
3.0 |
15.49 |
11.8 |
0.03 |
BRQ15-210 |
Peña de Oro |
277.0 |
282.0 |
167 |
4.9 |
1.83 |
1.2 |
0.05 |
BRQ15-214 |
Angostura |
175.0 |
182.0 |
133 |
7.0 |
0.81 |
4.7 |
0.07 |
BRQ15-217 |
Peña de Oro |
8.0 |
11.0 |
8 |
3.0 |
1.14 |
2.3 |
0.11 |
and |
|
33.0 |
37.0 |
31 |
3.9 |
7.26 |
17.3 |
1.60 |
BRQ15-220 |
Peña de Oro |
124.0 |
129.0 |
110 |
4.9 |
2.50 |
3.8 |
0.40 |
BRQ15-221 |
Angostura |
270.0 |
274.0 |
213 |
4.0 |
0.83 |
8.0 |
0.30 |
BRQ15-222 |
Peña de Oro |
85.0 |
91.0 |
55 |
5.8 |
1.16 |
3.4 |
0.49 |
BRQ15-223 |
Azteca-Zapoteca |
287.0 |
296.0 |
192 |
5.2 |
1.00 |
11.7 |
0.53 |
BRQ15-226 |
Azteca-Zapoteca |
190.0 |
209.0 |
173 |
6.4 |
0.41 |
7.8 |
0.50 |
and |
|
236.0 |
259.0 |
212 |
7.6 |
1.14 |
8.3 |
0.58 |
including |
|
240.0 |
254.0 |
212 |
4.6 |
1.73 |
8.3 |
0.62 |
and |
|
298.0 |
310.0 |
256 |
4.1 |
0.43 |
12.8 |
0.79 |
and |
|
362.0 |
372.0 |
303 |
3.6 |
2.25 |
15.7 |
0.75 |
BRQ15-227 |
Angostura |
183.0 |
187.0 |
131 |
3.9 |
0.54 |
1.1 |
0.00 |
BRQ15-232 |
Angostura |
97.0 |
100.0 |
114 |
3.0 |
0.97 |
21.5 |
0.44 |
BRQ15-234 |
Azteca-Zapoteca |
63.0 |
71.0 |
46 |
6.9 |
0.61 |
11.7 |
0.71 |
PDO15-083 |
Peña de Oro |
133.0 |
151.0 |
91 |
18.0 |
0.91 |
6.7 |
0.93 |
PDO15-086 |
Peña de Oro |
1.0 |
29.0 |
13 |
27.5 |
2.69 |
1.5 |
0.04 |
* Cut-off grade of 0.4 g/t
gold; only intervals longer than 2.8 metres estimated true width
were included
El Barqueno project exploration drill hole collar
coordinates
|
Drill Hole Collar
Coordinates* |
Drill Hole ID |
UTM North |
UTM East |
Elevation
(metres
above sea
level) |
Azimuth
(degrees) |
Dip
(degrees) |
Length
(metres) |
BRQ15-154 |
2282023 |
560050 |
1,304 |
335 |
-50 |
201 |
BRQ15-160 |
2282189 |
560403 |
1,341 |
335 |
-50 |
125 |
BRQ15-166 |
2279740 |
554923 |
1,273 |
335 |
-50 |
265 |
BRQ15-172 |
2281978 |
559891 |
1,322 |
335 |
-50 |
172 |
BRQ15-174 |
2279719 |
555014 |
1,275 |
335 |
-50 |
331 |
BRQ15-180 |
2279794 |
554978 |
1,256 |
335 |
-50 |
226 |
BRQ15-181 |
2279634 |
554435 |
1,211 |
335 |
-50 |
242 |
BRQ15-182 |
2279833 |
554959 |
1,274 |
335 |
-50 |
185 |
BRQ15-185 |
2279888 |
554934 |
1,296 |
335 |
-50 |
122 |
BRQ15-187 |
2279916 |
554834 |
1,273 |
335 |
-50 |
49 |
BRQ15-188 |
2281806 |
559795 |
1,358 |
335 |
-50 |
327 |
BRQ15-193 |
2279897 |
555018 |
1,283 |
335 |
-50 |
140 |
BRQ15-199 |
2279682 |
554335 |
1,200 |
335 |
-50 |
250 |
BRQ15-203 |
2279623 |
554352 |
1,202 |
335 |
-50 |
345 |
BRQ15-206 |
2280222 |
553597 |
1,298 |
335 |
-50 |
149 |
BRQ15-210 |
2281735 |
559917 |
1,376 |
335 |
-50 |
354 |
BRQ15-214 |
2280162 |
553536 |
1,298 |
335 |
-50 |
265 |
BRQ15-217 |
2282202 |
560275 |
1,347 |
335 |
-50 |
110 |
BRQ15-220 |
2282127 |
560217 |
1,344 |
335 |
-50 |
300 |
BRQ15-221 |
2280058 |
553587 |
1,289 |
335 |
-50 |
342 |
BRQ15-222 |
2282018 |
560002 |
1,312 |
335 |
-50 |
258 |
BRQ15-223 |
2279531 |
554395 |
1,250 |
335 |
-50 |
436 |
BRQ15-226 |
2279566 |
554200 |
1,259 |
335 |
-50 |
511 |
BRQ15-227 |
2280178 |
553314 |
1,308 |
335 |
-50 |
307 |
BRQ15-232 |
2280256 |
554014 |
1,170 |
335 |
-50 |
204 |
BRQ15-234 |
2279957 |
555078 |
1,294 |
335 |
-50 |
120 |
PDO15-083 |
2281973 |
560027 |
1,317 |
335 |
-50 |
255 |
PDO15-086 |
2282195 |
560141 |
1,353 |
335 |
-50 |
88 |
* Coordinate System UTM WGS84 13N Zone
Azteca-Zapoteca prospect
To date, the Azteca-Zapoteca prospect has been
defined over more than 1.2 kilometres of strike length along a
northeastern direction and has been intersected as deep as 300
metres, which is 100 metres deeper than previously reported. The
prospect remains open at depth and along strike. Much of the
planned exploration drilling for this year is done, and infill
drilling has commenced and is expected to be completed in the early
part of 2016.
The mineralization appears to form a shallow to
moderately dipping arc, ranging from a southwest plunge in the
southwest portion, to a northeast plunge in the northeast
portion. Two structures (Azteca and Zapoteca) appear to
coalesce at a depth of 100 metres below surface into an almost
vertical structure with higher grades than the separate zones.
On the northeast side of the prospect, high
grades were encountered both at depth and near surface. The
deepest intercept to date from the 2015 drill program in this area
of the prospect was hole BRQ15-174 that yielded 8.04 g/t gold, 41.9
g/t silver and 3.83% copper over 5.0 metres at 227 metres
depth. Shallow intercepts included hole BRQ15-187 that
yielded 5.82 g/t gold, 5.0 g/t silver and 0.01% copper over 4.9
metres at 8 metres depth, while BRQ15-185 yielded 4.84 g/t gold,
5.1 g/t silver and 0.03% copper over 9.8 metres at 33 metres depth,
and hole BRQ15-180 yielded 4.51 g/t gold, 5.9 g/t silver and 0.14%
copper over 11.0 metres at 13 metres depth. At mid-depth was
hole BRQ15-166 that intersected 1.29 g/t gold, 9.7 g/t silver and
0.64% copper over 7.6 metres at 145 metres depth including 2.22 g/t
gold, 11.6 g/t silver and 0.62% copper over 3.4 metres.
In the southwest portion of the prospect, which
has had little previous drilling, the recent intercepts were
between approximately 100 and 300 metres depth. Hole
BRQ15-226 intersected four lenses between 173 and 303 metres depth
including 2.25 g/t gold, 15.7 g/t silver and 0.75% copper
over 3.6 metres at 303 metres below surface. Nearby, hole BRQ15-203
intersected 2.18 g/t gold, 16.1 g/t silver and 0.79% copper over
6.4 metres at 128 metres below surface including 3.98 g/t gold,
21.9 g/t silver and 1.27% copper over 3.0 metres. The
location of the drill hole collars is shown on the Azteca-Zapoteca
and Angostura local geology map,
below.
Drilling to date suggests this prospect has the
greatest potential for near-term gold resources at the El Barqueno
project. Additional drilling is required along strike to the
northeast and southwest to better define the extent and geometry of
the mineralized zone, to search for other potential moderately
plunging shoots, and to test for higher-grade feeder zones in the
southwest portion of the prospect as part of an underground mine
target. There is excellent potential for parallel mineralized
structures between Azteca-Zapoteca and Angostura.
[Azteca-Zapoteca and Angostura local geology]
Angostura
prospect
The Angostura
prospect lies approximately 800 metres northwest of the
Azteca-Zapoteca prospect. The previously reported extent of
the Angostura prospect was 1,000
metres strike length from surface to a depth of 220 metres.
More than three quarters of this year's budgeted exploration
drilling at El Barqueno has been completed at Angostura. As a result of recent drilling, the
prospect is now defined over a strike length of more than 1,000
metres, and appears to plunge shallowly to the southwest. The
western 300 metres of strike length is covered by a cap of younger
basalt that is up to 50 metres thick. The structure is open along
strike and at depth.
Four recent holes tested the area beneath the
younger basalt cap, including hole BRQ15-206 that intersected 15.49
g/t gold, 11.8 g/t silver and 0.03% copper over 3.0 metres at 87
metres below surface. Another hole that drilled through the
basalt cap, BRQ15-227, is approximately 100 metres farther west
than any other holes in Angostura,
and intersected 0.54 g/t gold, 1.1 g/t silver and no copper over
3.9 metres at 131 metres depth. Hole BRQ15-221 intersected 0.83 g/t
gold, 8.0 g/t silver and 0.30% copper over 4.0 metres at 213 metres
depth, suggesting that the prospect is open at depth. Hole
BRQ15-232 located approximately 260 metres east of the basalt cap
intersected 0.97 g/t gold, 21.5 g/t silver and 0.44% copper over
3.0 metres at 114 metres depth. The location of the drill
hole collars is shown on the Azteca-Zapoteca and Angostura local geology map.
Drilling to date suggests Angostura could become part of a multi-pit
operation along with a larger deposit at Azteca-Zapoteca.
Additional drilling is required along strike to the northeast and
southwest searching for other potential shallowly-plunging shoots
as well as testing the potential for parallel mineralized
structures.
Peña de Oro
prospect
The Peña de Oro
prospect lies approximately 6 kilometres east-northeast of the
Azteca-Zapoteca prospect. Previous drilling had delineated
the Peña de Oro prospect along a
strike length of more than 640 metres and locally to a depth of 200
metres. Recent drilling has extended the strike length of the
prospect to the southwest by approximately 160 metres, to a total
of more than 800 metres along a northeast trend, locally to a depth
ranging from 160 to 250 metres. The mineralization appears to
plunge shallowly to moderately to the southwest. The prospect is
open along strike and at depth. The northeast extent has been
tested only at depth.
A large part of this year's planned drill
program at Peña de Oro has been
completed, and an additional exploration program aimed at extending
the prospect to the southwest has begun.
Hole PDO15-086 near the centre of the prospect
intersected 2.69 g/t gold, 1.5 g/t silver and 0.04% copper over
27.5 metres at surface, suggesting that the zone is wide in this
area. The highest grade results in the current drilling were
in hole BRQ15-172 that intersected 10.82 g/t gold, 2.5 g/t silver
and 0.02% copper over 4.9 metres at 32 metres below surface; this
hole is approximately 65 metres southwest of any previous
drilling.
Two other recent intercepts extended the
prospect farther to the south and west. With a collar located 200
metres west-southwest of hole BRQ15-172, hole BRQ15-188 intersected
3.22 g/t gold, 4.5 g/t silver and 0.04% copper over 5.9 metres at
132 metres below surface. Between holes BRQ15-172 and
BRQ15-188, but farther south, hole BRQ15-210 intersected 1.83 g/t
gold, 1.2 g/t silver and 0.05% copper over 4.9 metres at 167 metres
below surface. The location of the drill hole collars is
shown on the Peña de Oro local
geology map, below.
The current drilling is testing an extension to
the southwest and at depth. Additional drilling is required along
strike to the northeast searching for other potential
shallowly-plunging shoots. As well, recent mapping and
sampling suggest that there is excellent potential for parallel
mineralized structures to the north and northeast, such as at Peña
Blanca. Potential mineralization needs to be investigated in
the hanging wall (to the south) and the footwall (to the north) as
well as at depth (potential feeder zones).
[Peña de Oro
local geology]
Zapote-Mixteca prospect
Approximately 1 kilometre east of
Azteca-Zapoteca is the Zapote-Mixteca (formerly "Zapote" and
"Poncho West") prospect consisting of northeast-striking
veins. A small exploration drill program of 13 holes (2,800
metres) is underway in order to confirm the subsurface extents of
the alteration and mineralization noted at surface as well as the
encouraging sampling results. The results from initial
drill-testing in this area are expected in the coming weeks.
Surface Mapping and Sampling Program
Mapping and sampling is being done in select
areas on the El Barqueno property including in the Tarasca, Huichol
(La Luz), Zapote-Mixteca and
Olmeca areas, in order to generate new drill targets. The
field work includes trenching and channel sampling in several
areas.
The results of recent trenching at the Tarasca
(formerly "Falco") area include 5.0 metres grading 0.70 g/t gold,
10.5 g/t silver and 0.14% copper. Another trench 130 metres
to the east yielded 3.0 metres grading 3.81 g/t gold, 63.4 g/t
silver and 0.67% copper. A third trench 1.7 kilometres to the
east-northeast of the first trench yielded 3.0 metres grading 10.40
g/t gold, 28.6 g/t silver and 0.10% copper.
While detailed mapping is being carried out at
Olmeca, trench sampling has yielded encouraging results including
4.0 metres grading 5.72 g/t gold; approximately 600 metres to the
west, a separate trench yielded 3.0 metres grading 3.44 g/t
gold.
Additional Work
A mineralogical study indicates that the gold
and silver at El Barqueno occurs as electrum. Recent analysis
of 79 samples at the KCA laboratory in Reno, Nevada supports previous test work
indicating that the gold and silver are amenable to cyanide
leaching and have heap leach potential. The preliminary
results yielded 80.5% average gold extraction with moderate reagent
consumption. More detailed test work will be done to confirm
these results as the project advances.
Drilling will continue at El Barqueno until the
end of the year. An initial inferred mineral resource
estimate is expected to be completed by the end of the year for the
Azteca-Zapoteca, Angostura and
Peña de Oro areas to open-pit
mineable depths. The resources are expected to be reported in
mid-February 2016.
Conceptual design studies and additional
metallurgical testing are underway at El Barqueno. The
project may host gold-silver deposits that could potentially be
developed into a series of open pits utilizing heap leach
processing, similar to Creston Mascota and the La India mine.
While it is too early to estimate the extent of
the mineral resources and the number of deposits with economic
potential at El Barqueno, the Company already has the experience of
developing cost-efficient mining operations in Mexico, and increasing their size through
successful exploration as well as metallurgical innovation.
This body of knowledge will be applied as El Barqueno continues to
be explored and studied.
Drilling Confirms Mineralization Below
Creston Mascota Pit
As reported in the Company's July 29, 2015 news release, infill drilling since
April 2015 has encountered higher
grade mineralization at the Creston Mascota pit. Gold and
silver grades of recent intercepts from the Creston Mascota deposit
are set out in the table below and the drill collars are located in
the accompanying table as well as on the mine plan map below.
All intercepts reported for Creston Mascota show capped grades over
estimated true widths.
Selected recent infill drill results from the
Creston Mascota deposit
Drill Hole |
From
(metres) |
To
(metres) |
Depth of
midpoint
below
surface
(metres) |
Estimated
true width
(metres) |
Gold grade
(g/t)
(uncapped) |
Gold grade
(g/t)
(capped)* |
Silver grade
(g/t)
(uncapped) |
Silver
grade (g/t)
(capped)* |
CM15-445 |
96.5 |
102.0 |
71 |
5.5 |
1.06 |
1.06 |
2.8 |
2.8 |
CM15-448 |
80.5 |
85.0 |
83 |
4.5 |
1.20 |
1.20 |
1.7 |
1.7 |
CM15-449 |
71.0 |
80.0 |
52 |
9.0 |
1.76 |
1.76 |
15.6 |
15.6 |
CM15-451 |
12.0 |
21.0 |
15 |
9.0 |
5.05 |
3.00 |
77.0 |
50.5 |
CM15-452 |
25.2 |
60.5 |
42 |
23.0 |
5.70 |
4.15 |
33.1 |
29.6 |
including |
25.2 |
41.0 |
33 |
10.0 |
5.38 |
3.59 |
21.3 |
21.3 |
including |
44.5 |
60.5 |
53 |
10.0 |
7.23 |
5.82 |
51.9 |
44.1 |
CM15-453 |
3.0 |
13.5 |
8 |
10.0 |
8.78 |
4.44 |
81.6 |
47.6 |
CM15-469 |
40.0 |
44.0 |
35 |
4.0 |
1.55 |
1.11 |
11.0 |
11.0 |
CM15-471 |
15.0 |
21.7 |
18 |
6.0 |
2.28 |
2.28 |
20.8 |
20.8 |
* Holes at the Creston Mascota deposit use a capping factor of 9
g/t gold and 88 g/t silver.
Creston Mascota drill hole collar coordinates
|
Drill Hole Collar
Coordinates* |
Drill Hole ID |
UTM North |
UTM East |
Elevation
(metres
above sea
level) |
Azimuth
(degrees) |
Dip
(degrees) |
Length
(metres) |
CM15-445 |
3136490 |
760608 |
1885 |
090 |
-54 |
130 |
CM15-448 |
3136350 |
760656 |
1913 |
000 |
-90 |
111 |
CM15-449 |
3136430 |
760665 |
1892 |
090 |
-56 |
116 |
CM15-451 |
3135781 |
760799 |
1913 |
090 |
-70 |
45 |
CM15-452 |
3136350 |
760756 |
1899 |
000 |
-90 |
78 |
CM15-453 |
3135760 |
760781 |
1913 |
090 |
-75 |
63 |
CM15-469 |
3136474 |
760689 |
1871 |
090 |
-60 |
81 |
CM15-471 |
3136250 |
760685 |
1900 |
000 |
-90 |
69 |
* Coordinate System UTM NAD27 Z12
[Creston Mascota plan map]
[Creston Mascota composite cross section]
The infill drilling has revealed higher grades
and/or longer intercepts than expected, with some intercepts
outside the block model but within the ultimate pit outline. In the
north-central part of the pit, hole CM15-452 intersected 4.15 g/t
gold and 29.6 g/t silver over 23.0 metres at 42 metres below
surface, including 5.82 g/t gold and 44.1 g/t silver over 10.0
metres. This intercept is shown in the Creston Mascota cross
section.
About 570 metres farther south, in the south end
of the pit, hole CM15-453 intersected 4.44 g/t gold and 47.6 g/t
silver over 10.0 metres almost at surface, while nearby hole
CM15-451 intersected 3.00 g/t gold and 50.5 g/t silver over 9.0
metres at 15 metres below surface. These results are expected
to increase both the tonnage and the grade of the deposit's mineral
reserves.
Over its mine life, Creston Mascota has
succeeded in adding approximately 50% (179,000 ounces of contained
gold) to its mineral reserves through infill drilling and improved
geological understanding. When the project was given the
development go-ahead in mid-2009, it was estimated to have mineral
reserves of 6.7 million tonnes grading 1.65 g/t gold (containing
357,000 ounces gold). By year-end 2014, Creston Mascota had
mineral reserves of 5.8 million tonnes grading 1.25 g/t gold
(containing 235,800 ounces of gold), as described in the Company's
news release dated April 30,
2015. Over that period (2010 through 2014), the
operation had mined 300,423 ounces of in-situ gold (171,932 ounces
of gold production).
The results of recent infill drilling in the pit
and the potential of nearby satellite deposits could extend the
life of the Creston Mascota operations beyond 2018.
La India Resource Growth Potential - Oxides
and Sulphides
The La India mine commenced commercial
production in February 2014 and
achieved production of 75,095 ounces of gold to the end of that
year. Infill drilling and favourable reconciliation data from
the first full year of mining have led to an improved geological
model for the Main Zone oxides. In addition, ongoing
metallurgical investigations and field-proven production experience
with the North Zone sulphides have shown that some of the
transition and sulphide material in the Main Zone and La India Zone
may also be amenable to heap leaching. Inclusion of sulphide
material into the pit designs at the La India mine has the
potential to develop further oxides as well as sulphides into the
next mineral reserve and mineral resource estimate, potentially
extending the mine life beyond 2020.
About Agnico Eagle
Agnico Eagle is a senior Canadian gold mining
company that has produced precious metals since 1957. Its
eight mines are located in Canada,
Finland and Mexico, with exploration and development
activities in each of these countries as well as in the United States and Sweden. The Company and its shareholders
have full exposure to gold prices due to its long-standing policy
of no forward gold sales. Agnico Eagle has declared a cash
dividend every year since 1983.
Forward-Looking Statements
The information in this news release has been
prepared as at September 21, 2015.
Certain statements contained in this document 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. When used in this
document, the words "anticipate", "could", "estimate", "expect",
"forecast", "planned", "should", "will" and similar expressions are
intended to identify forward-looking statements.
Such statements include without limitation:
estimates of mineral grades, the estimated extent and timing of
anticipated future exploration activity; the results of future
interpretation of geological information; whether results thereof
will lead to estimated mineral reserves or mineral resources and
the timing of such estimates; and the nature and timing of
permitting work for the El Barqueno project and whether the project
will ever be developed into a mine. Such
forward-looking statements reflect the Company's views as at the
date of this document and are subject to certain risks,
uncertainties and assumptions, and undue reliance should not be
placed on such statements and information. Many factors, known and
unknown could cause the actual results to be materially different
from those expressed or implied by such forward-looking statements.
Such risks include, but are not limited to: the volatility of
prices of gold and other metals; uncertainty of mineral grades;
cost of exploration and development programs; governmental and
environmental regulation; and the volatility of the Company's stock
price. The material factors and assumptions used in the
preparation of the forward-looking statements contained herein,
which may prove to be incorrect, include, but are not limited to,
the assumptions set forth herein and in management's discussion and
analysis ("MD&A") and the Company's Annual Information Form
("AIF") for the year ended December 31,
2014 filed with Canadian securities regulators and that are
included in its Annual Report on Form 40-F for the year ended
December 31, 2014 ("Form 40-F") filed
with the U.S. Securities and Exchange Commission (the "SEC") as
well as: that there are no significant disruptions affecting
exploration; that permitting and exploration at El Barqueno
proceeds on a basis consistent with current expectations and plans;
that Agnico Eagle's current estimates of mineral grades are
accurate; and that there are no material delays in the timing for
completion of the El Barqueno exploration program.
For a more detailed discussion of such risks and
other factors that may affect the Company's ability to achieve the
expectations set forth in the forward-looking statements contained
in this document, see the Company's AIF, MD&A and Form 40-F, as
well as the Company's other filings with the Canadian securities
regulators and the SEC. The Company does not intend, and does not
assume any obligation, to update these forward-looking statements
and information other than as required by law. For a detailed
breakdown of the Company's reserve and resource position see the
Company's Annual Information Form or Form 40-F.
Notes to Investors Regarding the Use of
Resources
Cautionary Note to Investors Concerning
Estimates of Measured and Indicated Resources
This document uses the terms "measured
resources" and "indicated resources". Investors are advised that
while those terms are recognized and required by Canadian
regulations, the SEC does not recognize them. Investors are
cautioned not to assume that any part or all of mineral deposits in
these categories will ever be converted into reserves.
Cautionary Note to Investors Concerning
Estimates of Inferred Resources
This document also uses the term "inferred
resources". Investors are advised that while this term is
recognized and required by Canadian regulations, the SEC does not
recognize it. "Inferred resources" have a great amount of
uncertainty as to their existence, and great uncertainty as to
their economic and legal feasibility. It cannot be assumed that all
or any part of an inferred mineral resource will ever be upgraded
to a higher category. Under Canadian rules, estimates of inferred
mineral resources may not form the basis of feasibility or
pre-feasibility studies, except in rare cases. Investors are
cautioned not to assume that part or all of an inferred resource
exists, or is economically or legally mineable.
Scientific and Technical Disclosure
Cautionary Note To U.S. Investors - The SEC
permits U.S. mining companies, in their filings with the SEC, to
disclose only those mineral deposits that a company can
economically and legally extract or produce. Agnico Eagle
reports mineral resource and reserve estimates in accordance with
the CIM guidelines for the estimation, classification and reporting
of resources and reserves in accordance with the Canadian
securities regulatory authorities' (the "CSA") National Instrument
43-101 Standards of Disclosure for Mineral Projects ("NI 43-101").
These standards are similar to those used by the SEC's Industry
Guide No. 7, as interpreted by Staff at the SEC ("Guide 7").
However, the definitions in NI 43-101 differ in certain respects
from those under Guide 7. Accordingly, mineral reserve information
contained herein may not be comparable to similar information
disclosed by U.S. companies. Under the requirements of the SEC,
mineralization may not be classified as a "reserve" unless the
determination has been made that the mineralization could be
economically and legally produced or extracted at the time the
reserve determination is made. A "final" or "bankable"
feasibility study is required to meet the requirements to designate
reserves under Industry Guide 7. Agnico Eagle uses certain
terms in this news release, such as "measured", "indicated", and
"inferred", and "resources" that the SEC guidelines strictly
prohibit U.S. registered companies from including in their filings
with the SEC.
Prior to 2013, mineral reserves and mineral
resources for all properties were typically estimated using
historic three-year average metals prices and foreign exchange
rates in accordance with the SEC guidelines. These guidelines
require the use of prices that reflect current economic conditions
at the time of reserve determination, which the Staff of the SEC
has interpreted to mean historic three-year average prices.
Given the current lower commodity price environment, Agnico Eagle
has decided to use price assumptions that are below the three-year
averages. The assumptions used for the mineral reserves and mineral
resources reported by the Company on April
30, 2015, are $1,150 per ounce
gold, $18.00 per ounce silver,
$1.00 per pound zinc, $3.00 per pound copper, $0.91 per pound lead and C$/US$, US$/Euro and
MXP/US$ exchange rates of 1.08, 1.30 and 13.00, respectively.
NI 43-101 requires mining companies to disclose
reserves and resources using the subcategories of "proven"
reserves, "probable" reserves, "measured" resources, "indicated"
resources and "inferred" 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.
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 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.
Guy Gosselin,
Vice-President Exploration for Agnico Eagle Mines Limited, approved
the scientific and technical information related to exploration at
the El Barqueno project in this news release. Mr. Gosselin verified
the data disclosed in this news release, including the sampling,
analytical and testing data underlying the information.
Verification included a review and validation of the applicable
assay databases and reviews of assay certificates. Mr. Gosselin is
a P.Eng. with the Ordre ingenieurs du Quebec, and is a qualified
person as defined by NI 43-101.
The scientific and technical information related
to the geology and mineral reserves at the Creston Mascota and La
India mines contained herein has been approved by Daniel Doucet, Senior Corporate Director,
Reserve Development. Mr. Doucet is a designated Ing. with the
Ordre des ingénieurs du Québec and a qualified person as defined by
NI 43-101.
The scientific and technical information related
to metallurgical work at the La India mine contained herein has
been approved by Tim Haldane, Senior
Vice-President, Operations - USA
& Latin America. Mr.
Haldane is a designated PEng. with the Professional Engineers of
Arizona and a qualified person as
defined by NI 43-101.
Additional information about the Creston Mascota
deposit and the La India mine that
is required by NI 43-101, section 3.2 and 3.3 and paragraphs 3.4
(a), (c) and (d) can be found in the most recent technical reports
in respect of the Pinos Altos
project filed on www.sedar.com on March 25,
2009 and the La India mine filed on www.sedar.com on
August 31, 2012. Other
important operating information can be found in the Company's AIF
and Form 40-F.
SOURCE Agnico Eagle Mines Limited