70 70 Page 70 By Gregory Reynolds T wo new mines will be added to Ag nico Eagle Mines Limited s portfolio of producers by the end of 2019 Both the Meliadine and Amaruq are in the Nunavut T erritory in North ern Canada Agnico Eagle is a global leader in the gold mining business with eight mines located in Canada Nunavut Ontario and Quebec Fin land and Mexico Sean Boyd vicechair and CEO said building on the success of our Mead owbank Mine commissioned 2010 and continuing to leverage our skills at mini ng in the Far North we are pleased to announce that our Melia dine Mine and Amaruq Satellite De posit have been approved for develop ment Part of an incre asingly import ant plat form for us in the Nunavut T erritory these projects solidify Agnico Eagle s commitment to the north They will enable us to continue to build on our long track record of creating value for our shareholders as well making a sustainable and positive diference in the Kivalliq Region including long term employment opportunities for hundreds of Nunavummiut Over the course of 2017 and 2018 our focus will be on extending our con struction activi ties at both sites Both operations are expected to start up in third quarter of 2019 with Meliadine fully ramped up and producing gold about a year ahead of schedule and Amaruq shipping ore to Meadowbank for processing W e have been in Nunavut for 10 years weve had a lot of success added Boyd Our expectations are Agnico Eagle will be in Nunavut for multidecades we see it as a great place to do business and we see it as a region that has tremendous mineral potential As are many mining companies Ag nico faces a shortage of miners Be cause of its widespread operations it ofers a variety of challenges to expe rienced miners For the full year 2016 the company recorded net income of 1588 mil lion or 071 per share In 2015 the company recorded net income of 246 million or 01 1 per share The increase was primarily due to higher realized gold and silver prices up 8 and 1 1 respectively For the full year 2016 cash provided by operating activities was 7786 mil lion 7142 million before changes in noncash components of working capital As it builds two new mines Agnico Eagle seeks miners Page 71 This represents an increase over 2015 when cash provided by oper ating activities totalled 6162 mil lion 6600 million before changes in noncash components of working capital The increase was primarily due to the reason described above For the ffth consecutive year Agnico Eagle reported annual gold produc tion in excess of annual guidance The company s payable production for the full year 2016 was 1662888 ounces of gold compared to guid ance of 1600000 ounces In 2015 full year production was 1671340 ounces In the fourth quarter of 2016 strong operational performance continued at the company s mines Payable pro duction in the fourth quarter of 2016 was 426433 ounces of gold com pared to 422328 ounces in the fourth quarter of 2015 Production costs per ounce for the fourth quarter of 2016 were 598 which was higher than the 544 in the 2015 period T otal cash costs per ounce for the fourth quarter of 2016 were 552 which was essentially un changed from the 547 per ounce for the fourth quarter of 2015 The com pany says everywhere we operate we strive to be an admired member of the community and to be recognized as both a good employer and a good neighbour W e are proud of our reputation as a leader in safety and sustainability as well as the prosperity we bring to our employees their families and the communities in which we operate W e employ over 7500 people ofer ing them new roles new challenges and unique assignments in explora tion development and operations W e have some of the most skille d teams of professionals in the industry and we recognize that our people are the key to our success Agnico Eagle is a senior Canadian gold mining company that has pro duced 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 Unit ed States and Sweden The company and its shareholders have full exposure to gold prices due to its longstanding policy of no for ward gold sales G E OT E CH MIN E R AL E X PLO R ATION SE R VICES S mithers H e ad O ff ic e 27 28 Pa c i f i c S t r e e t PO B o x 26 50 S m i t he r s BC C an ad a V 0J 2N 0 Y uk on O f fic e W hit e ho rse YT M e xi c o O ff ic e Z ac at ec a s MX CO N TRA CT D R IL L IN G F ly S k id Un d e r g r o u nd Me m b e r o f th e C D D A D EC C e r ti fi e d Mi H R w w w dr i f t w o od dr i l l i n g c om i nfo d r i ft w o o d d r i l l i n g co m T e l 2 50 8 7 7 27 1 0 F a x 2 5 0 87 7 62 56 Annual Gold Pr oduction Exceeds Guidance