TORONTO, April 2, 2020 /CNW/ - Agnico Eagle Mines
Limited (NYSE: AEM, TSX: AEM) ("Agnico Eagle" or the
"Company") is providing an update following the Government of
Mexico's decree relating to the
COVID-19 pandemic that all non-essential businesses suspend
operations until April 30, 2020 (the
"Decree"). The Government of Mexico has defined mining operations as a
non-essential business. Pursuant to the Decree, mining operations
at the Company's Mexico operations
(Pinos Altos, Creston Mascota and
La India) are ramping down activities in an orderly fashion while
ensuring the safety of employees, the sustainability of the
infrastructure and compliance with government regulations and
environmental standards. Each of these operations will be
placed on care and maintenance until April
30, 2020. Exploration activities in Mexico will also be suspended during this
period.
The Company expects that the actions it is taking should allow
for the timely and safe re-start of normal operations once the
Decree is lifted. Employees from the Mexico operations will continue to receive
their base remuneration through April
30, 2020. The Company will continue to communicate with
the Government of Mexico to ensure
compliance with the Decree and will continue to discuss procedures
to potentially increase activities at the Company's operations
while having regard to the health and safety of our employees and
communities.
COVID-19 Update
At the present time there are no confirmed cases of COVID-19 at
the Company's Mexico, Abitibi and
Nunavut operations. The
Company is working to ensure the continued health of its employees
and residents in the communities in which it operates.
At this time, Agnico Eagle's Kittila mine in Finland is expected to continue to operate at
normal levels. On March 28,
2020, an employee who works underground at the Kittila mine
in Finland tested positive for
COVID-19. The individual had experienced symptoms on March 15, 2020 and immediately followed protocol
to self-quarantine at home where the individual remains and is
recovering.
As part of the response protocols, the Company immediately
suspended all underground operations at Kittila for 72 hours in
order to identify other employees who may have been in close
contact with the employee who had tested positive. As well,
all common areas in the workplace were thoroughly cleaned and
disinfected. Underground operations resumed on March 31, 2020. There was no interruption to
surface or mill operations as mill production was maintained with
surface stockpiles.
All of Agnico Eagle's operations and projects have put in place
extensive measures in order to minimize the potential spread of
COVID-19. The Company's pandemic response protocols have been
updated to ensure that if an employee has tested positive while
still working or was recently in the workplace before testing
positive, clear procedures on sanitizing the workplace and common
areas are outlined along with how to inform and monitor others that
the employee has been in close contact with. If the employee is at
one of Agnico Eagle's remote locations, procedures are in place to
isolate the individual and transport them safely for testing and
treatment.
In Nunavut, the Company has
modified its staffing levels to allow operations to continue at
reduced levels. The operations at Agnico Eagle's Abitibi mines
remain on care and maintenance until April
13, 2020 as ordered by the Government of Quebec.
The Company continues to closely monitor the situation in
cooperation with local health authorities. The COVID-19
pandemic is a rapidly evolving situation and the Company will
continue to assess its mining operations in each of its regions on
an ongoing basis.
More information on Agnico Eagle's proactive efforts to protect
its people, neighbouring communities and business may be found
at:
https://www.agnicoeagle.com/English/sustainability/Our-COVID-19-Response/
About Agnico Eagle
Agnico Eagle is a senior Canadian gold mining company that has
produced precious metals since 1957. Its operating 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. Agnico
Eagle 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
April 2, 2020. Certain
statements in this news release, referred to herein as
"forward-looking statements", 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. When used in this news release, the words "expect",
"may", "plan", "will" and similar expressions are intended to
identify forward-looking statements.
Such statements include, without limitation: statements
regarding the Company's plans to ramp down mining activities at its
operations in Mexico and place
such operations on care and maintenance, including the expected
duration of such actions; statements regarding the Company's plans
to suspend exploration activities in Mexico; statements regarding mining activities
at the Kittila mine; statements regarding the timeline for resuming
normal operating levels at each of the Company's operations; and
other statements regarding the impact of the COVID-19 pandemic and
measures taken to reduce the spread of COVID-19, on the Company's
operations and overall business.
Such statements reflect the Company's views as at the date of
this news release and are subject to certain risks, uncertainties
and assumptions, and undue reliance should not be placed on such
statements. Forward-looking statements are necessarily based
upon a number of factors and assumptions that, while considered
reasonable by Agnico Eagle as of the date of such statements, are
inherently subject to significant business, economic and
competitive uncertainties and contingencies. 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, 2019 filed with Canadian
securities regulators and that are included in its Annual Report on
Form 40-F for the year ended December 31,
2019 ("Form 40-F") filed with the U.S. Securities and
Exchange Commission (the "SEC") as well as: that the duration or
scope of the Decree is not extended or modified; and that
governments, the Company or others do not take other measures in
response to the COVID-19 pandemic or otherwise that, individually
or in the aggregate, materially affect the Company's ability to
operate its business. 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 risks and uncertainties with
respect to: the extent and manner to which COVID-19, and measures
taken by governments, the Company or others to attempt to reduce
the spread of COVID-19, may affect the Company, which could have an
adverse impact on many aspects of the Company's business including,
employee health, workforce productivity and availability (including
the ability to transport personnel to the Meadowbank Complex and
Meliadine mine which operate as fly-in/fly-out camps), travel
restrictions, contractor availability, supply availability, ability
to sell or deliver gold dore bars or concentrate, availability of
insurance and the cost thereof, and the ability to procure inputs
required for the Company's operations and projects; and
uncertainties with respect to the effect on the global economy
associated with the COVID-19 pandemic and measures taken to reduce
the spread of COVID-19, any of which could continue to negatively
affect financial markets, including the trading price of the
Company's shares and the price of gold, and could adversely affect
the Company's ability to raise capital.
For a more detailed discussion of these and other risks and
factors that may affect the Company's ability to achieve the
expectations set forth in the forward-looking statements contained
in this news release, see the AIF and MD&A filed on SEDAR at
www.sedar.com and included in the Form 40-F filed on EDGAR at
www.sec.gov, as well as the Company's other filings with the
Canadian securities regulators and the SEC. Readers are
cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date made. Other than
as required by law, the Company does not intend, and does not
assume any obligation, to update these forward-looking
statements.
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SOURCE Agnico Eagle Mines Limited