Page 14 Contd on pg 16 By Gregory Reynolds As the LaRonde Gold Mine goes deeper the ore gets richer All of which has mine owner Agnico Eagle Mines Limited predicting that after 2013 LaRonde is expected to ramp up production to an average life of mine production of more than 300000 ounces of gold per year re fecting the higher gold grades ex pected at depth As a result of the higher grades the value of the ore expected to be pro cessed over LaRonde s remaining 14year life is approximately 50 higher than the value of the ore mined in 2012 assuming the same metals prices The under ground mine located be tween RouynNoranda and V al dOr in Quebec also produces silver lead copper and zinc In the second quarter of 2013 ap proximately 60 of the ore milled came from the deeper portion of the LaRonde The proportion of production from Rich gold down deep at LaRonde means Agnico Eagle to soar soon the deeper mine ore is expected to increase over the course of the year the mined grade is expected to con tinue to increase towards the average reserve grade over the next several years Production and costs are expected to improve in the second half of 2013 due to increas ed tonnage and higher grades from the lower mine and bet ter budgeted recoveries from the in stallation of the new carboninpulp circuit in the second quarter of 2013 The 2013 exploration program is fo cused on converting resources to re serves and systematically exploring at depth to the east and west along the LaRonde horizon part of a fve year plan There has been near surface explora tion at Bousquet s Zone 5 three ki lometres west of LaRonde s Penna shaft and optimization of the 2012 Bousquet internal feasibility study to assess the environmental benefts the project could provide to the LaRonde operation Agnico Eagle operates fve gold mines LaRonde and Lapa in Quebec Meadowbank in Nunavut T erritory Canada Pino Altos in Mexico and Kittila in Finland On July 24 the company reported a quarterly net loss of 244 million or 014 per share for the second quarter of 2013 This result includes a noncash for eign currency translation gain of 1 11 million 006 per share non cash stock option expense of 43 million 002 per share noncash impairment loss on available for sale securities and marktomarket loss on warrants of 205 million 012 per share and other nonrecurring expense of 61 million003 per share mostly relating to the Kittila maintenance shutdown Excluding these items would result in an adjusted net loss of 46 million or 003 per share In the second quarter of 2012 the company reported net in come of 433 million or 025 per share The fnancial results in the current quarter were negatively impacted by the much lower production from the Kittila Mine due to a previously announced extended maintenance shutdown during the quarter Conse quently the costs incurred by Kittila exceeded revenues during this peri od The company s quarterly perfor mance was also impacted by negative settlement adjustments for byproduct metals at LaRonde and Pinos Altos mainly due to silver prices that were 35 lower during the second quarter than in the preceding quarter Outside of the shutdown at Kittila the company s operating performance was in line with its expectations 2013 producti on guidance remains