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Agnico-Eagle Mines Limited - Inauguration of the largest gold deposit in Canada

08/17/2001


CADILLAC, ABITIBI, QC, Aug 17, 2001 /PRNewswire/ --

Stock Symbols: AEM (NYSE) AGE (TSE) All amounts are expressed in Canadian dollars

Today, Agnico-Eagle Mines Ltd. held in the Abitibi region of northwestern Quebec the inauguration of the Penna shaft on its Laronde property and the expansion of the mill facilities from 2,000 to 5,000 tons per day. Laronde is currently the largest gold deposit in Canada

Speaking in front of more than 800 guests gathered from across Canada, Agnico-Eagle President and Chief Executive Officer, Mr. Sean Boyd, paid tribute to the determination displayed by all the employees who worked on the series of exploration programs that led to putting this deposit into production, making Agnico-Eagle Laronde Division, the mine with the deepest single-lift shaft in North America (7,380 feet).

    Reserves of more than 7.8 million ounces of Gold
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On January 1st 2001, the mineral resource and mineral reserves at the Laronde mine were estimated at more than 53.5 million tons containing economic grades of gold, silver, copper and zinc. This mineral resource of 7.8 million ounces of gold ensures more than fifteen years of production and makes the Laronde mine the largest gold deposit in Canada. In fact, the mine has produced, since its opening in 1988, more than 1.7 million ounces of gold.

    New tendency in mining: Exploration at depth
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For the Mine Manager, Mr. Paul-Henri Girard, all the exploration and development activities brought forward by Agnico-Eagle show the confidence that this company has in the mineral potential of the Abitibi. Mr. Girard also stated that the inauguration of the new Penna shaft, named after the company's founding president, Mr. Paul Penna, confirms the newest tendency that one can observe in the mining sector, to explore at depth and adjacent to mines in production.

Historically, the deposits discovered in the Abitibi region were mined to a depth that varied between 300 to 900 metres. In the last ten years, the major deposits discovered in this region (Louvicourt, Doyon and Laronde, for example) confirm the potential at depth of this region to access to new mineralised zones.

    A jewel for the mining industry
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The Executive Vice-president and Chief Operating officer, Mr. Ebe Scherkus chose for his part to emphasise that the financing of this major project shows clearly the confidence the banks and investors have in the industry when it comes to supporting the development of economically profitable mining projects.

Mr. Scherkus also indicated the company's will to invest an additional 60 million dollars in order to increase the daily mill production rate from 5,000 to 7,000 tons per day.

With the strength of its employees and the importance of its world class deposit, concluded Mr. Scherkus, the Laronde division of Agnico-Eagle has become one the jewels of the Quebec and Canadian mining industry.

Agnico-Eagle is an established Canadian gold producer with operations located principally in Northwestern Quebec and exploration and development activities in Quebec, Ontario and Nevada. This press release contains certain "forward looking statements" (within the meaning of the United States Private Securities Litigation Act of 1995) that involve a number of risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements. Risks and uncertainties are disclosed under the heading "Risk Factors" in the Company's Annual Information Form (AIF) filed with certain Canadian securities regulators (including the Ontario and Quebec Securities Commissions) and with the United States Securities and Exchange Commission (on Form 20-F).

SOURCE Agnico-Eagle Mines Limited

CONTACT:          Sean Boyd, President and CEO, Agnico-Eagle Mines Limited,
                  416-947-1212
                  (AGE. AEM)


		
©2008 Agnico-Eagle Mines Limited