TORONTO, July 31 /PRNewswire/ - Agnico-Eagle Mines Limited ("Agnico- Eagle") announced today that it has executed a commitment letter with Scotia Capital (the "Bank") pursuant to which the Bank has agreed to underwrite a $125 million, 7 1/2-year credit facility (the "Facility"). The Facility is intended partly to refinance the existing credit facility of $100 million, of which $75 million is currently drawn, and partly for general corporate purposes. The Bank has concluded technical due diligence on the LaRonde Mine and, subject to terms and conditions of the commitment letter and the satisfaction of standard conditions for availability, the Facility is expected to be syndicated and closed this fall.

Under the terms of the Facility, which will be primarily secured by a first charge on the LaRonde Mine, an initial tranche of $100 million will be made available upon closing and a second tranche of $25 million will also be made available when LaRonde's expansion to 7,000 tons of ore per day achieves completion, which is anticipated to occur by the fourth quarter of 2003. The Facility will be fully revolving until the end of 2004 at which time the drawn portion will begin to amortize at annual rates of 25%, 32.5%, 20%, 12.5% and 10% in the years 2004 to 2008, respectively.

"We are pleased to have increased the size of our bank facility on terms that improve our financial flexibility without the need for additional metals hedging", said Sean Boyd, President and Chief Executive Officer. "This further strengthens our financial position at a time when there are more good growth opportunities available in the gold sector", added Mr. Boyd.

This press release contains certain "forward-looking statements" (within the meaning of the United States Private Securities Litigation Reform 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 (as Form 20-F).

Agnico-Eagle Mines Limited is an established Canadian gold producer with operations located principally in Northwestern Quebec and exploration and development activities in Quebec, Ontario and Nevada. Agnico-Eagle's operating history includes almost three decades of continuous gold production primarily from underground mining operations. Current proven and probable reserves stand at 3.3 million contained ounces, with an additional 4.5 million ounces in the mineral resource category at its LaRonde Mine. SOURCE Agnico-Eagle Mines Limited

CONTACT: Sean Boyd, President and CEO or David Garofalo,