Agnico Eagle Mines Ltd. Q1 FY2025 earnings call

• Strong overall performance with solid operating and financial results, including record revenue, adjusted earnings, and adjusted EBITDA. - Returned $0.25 billion to owners through dividends and share buybacks, and made record investments in exploration while largely eliminating net debt. - Published sixteenth annual sustainability report, focusing on safety, climate change, and reconciliation. - Highlighted progress on key value drivers: Detour to over a million ounces, Malartic to over a million ounces, Upper Beaver as new mine, Hope Bay target over 400,000 ounces, and San Nicolas copper project progress. - Excellent exploration results at various mines.

In the first quarter, gold production was approximately 874,000 ounces, with total cash costs of $903 per ounce. Revenue reached a record $2.5 billion, adjusted earnings were $770 million or $1.53 per share, and adjusted EBITDA was $1.6 billion. Gold production was similar to the first quarter of the previous year. Detour is advancing its underground mine project with overburden excavation and surface preparation completed, and ramp development expected in Q2. Upper Beaver is making progress with surface setup and site preparation for ramp, with steel installation of headframe and hoist room expected to be completed in early Q4 and shaft sinking to commence soon after. Hope Bay is progressing with finalizing contracts, advancing detailed engineering to ~50% completion by Q1 2026, and preparation work at site. Malartic is working towards one million ounces production with various blocks and projects in progress.

• Maintaining cost guidance for the full year, expecting cash costs to be within $915 to $965 per ounce. - Hope Bay expected to report in the first half of 2026. - Detour to commence ramp development in Q2. - Upper Beaver expected to complete some construction in early Q4 and commence ramp development in Q4 or sooner.

• Operational risk, financial risk, and political risk. - Uncertainty regarding the impact of tariffs on costs, which may have a limited impact but could be offset by Canadian dollar weakness.

Q: Regarding the timeline of the second shaft at Malartic?

A: We are talking in early 2030s.

Q: What are the rough capital numbers for the Meadowbank IVR pit pushback and underground expansion?

A: No specific numbers, but it will be small capital as it involves stripping and development with existing facilities.

Q: On cash returns and share buybacks?

A: Focused on increasing returns to shareholders, with more activity on share repurchase expected, targeting net cash position north of a billion dollars and evaluating dividend policy.

Q: Thoughts on royalties like the Canadian Malartic royalty?

A: Will evaluate if it makes sense for shareholders, maintaining capital discipline.

Q: Details on Hope Bay exploration results?

A: There are positive results in areas like Patch Seven and the gap between Solok and Patch, which may positively impact mineral resources.

Q: Impact of tariffs?

A: Anticipated limited impact, likely offset by Canadian dollar weakness, with no impact on revenue, labor, or energy costs for the most part.