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Agnico-Eagle to increase production by 300,000 ounces in 2021

Kitco News

Agnico-Eagle (NYSE:AEM) said today it had net income of $511.6 million, or $2.12 per share in 2020.

The top-ten gold miner announced its Q4 and year-end today.

In the full year 2020, payable gold production was 1,736,568 ounces compared to 1,782,147 ounces in the prior-year period.

Production costs per ounce in the fourth quarter of 2020 were $771, compared to $763 in the prior-year period. Total cash costs per ounce in the fourth quarter of 2020 were $701, compared to $745 in the prior-year period.

CEO Sean Boyd said production will be up in 2021.

"Despite 2020 being very challenging, we ended the year with record quarterly gold production, our largest gold reserve base and our best ever safety performance as a result of the excellent work of our employees. With gold production expected to increase by approximately 300,000 ounces in 2021, combined with an anticipated decline in total cash costs per ounce of 6%, we expect to continue to generate strong net free cash flow in 2021 while we steadily advance our pipeline of growth projects," said Boyd.

"As we move forward, our focus will be on maximizing the full potential of our existing mines through mineral reserve additions and incremental production expansions while also building new projects like the recently approved underground mines at Canadian Malartic and Amaruq. At the same time, we will continue to look to strengthen our business and build additional value by adding projects with excellent potential to grow and become important cash flow generators, like the recently acquired Hope Bay project," added Mr. Boyd.

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