AUGUST 2023- NEWSLETTER

Agnico Eagle Mines is pleased to provide an update on our activities in the Kirkland Lake area and the Upper Beaver Project in our August 2023 newsletter.

Agnico Eagle is a senior Canadian gold mining company with more than 65 years of experience, operating mines in Canada, Australia, Finland, and Mexico and employs more than 16,000 people worldwide.

KIRKLAND LAKE CAMP EXPLORATION AND LEGACY SITES UPDATE

EXPLORATION

Agnico Eagle has conducted a robust field exploration program throughout the spring and summer of 2023 including the collection of approximately 1500 soil samples and nearly 1000 rock samples from a variety of project areas. These mapping and sampling programs will continue into the Fall.

A diamond drill from Wiijjiiwagen Drilling Limited Partnership has arrived in Dobie. The exploration drilling campaign kicked off in the Upper Canada property area in mid-July and will continue until end of August. As we move forward, other exploration activities will take place across a few different areas closer to the Town of Kirkland Lake until the middle of the fall.

Stay tuned for more updates as our plans develop and they become available.

LEGACY SITES

Agnico Eagle takes a responsible and proactive approach in managing and mitigating potential risks at our legacy mine sites. Investigation studies and risk assessments are conducted to support the development of rehabilitation plans.

Throughout the first half of 2023, Agnico Eagle continued the monitoring and investigation of closed sites to ensure infrastructures remain safe, and to support rehabilitation plans:

At the Swastika property, located 7 km west of Kirkland Lake: design for the closure of horizontal openings (adit) is ongoing based on recent investigations completed at site.

At the Bidgood property, located 7 km east of Kirkland Lake, geotechnical drilling has been completed and data analysis for stability assessment is ongoing. This information will serve to confirm if further work is required on the historical mine site.

Safety and environmental responsibility, even at closed sites, remain a top priority for the company.

UPPER BEAVER PROJECT UPDATE

PROJECT OVERVIEW

Upon receiving all required approvals, Agnico Eagle is planning to develop and operate a new underground gold and copper mine with a small open pit and processing facility at the Upper Beaver Project site, located approximately 5km northeast of Dobie, Ontario, in the Gauthier and McVittie townships. Currently, the Project is in the Exploration phase.

Although the base case scenario remains to have a mill on site during production, other alternatives are still under evaluation. An updated internal technical evaluation of the project is expected to be completed in late 2023. Any alternatives retained for the Project will be addressed in the Impact Statement.

FEDERAL IMPACT ASSESSMENT PROCESS 

In April 2022, the Impact Assessment Agency of Canada (IAAC) released the Notice of Commencement of an Impact Assessment and the final Guidelines which outline the specific factors to be considered in the assessment of the Project and provide direction to Agnico Eagle on required information and studies. Agnico Eagle is currently working on the preparation of the Impact Statement.

BASELINE STUDIES

To support the Federal Impact Assessment, baseline studies are ongoing at the site to determine the environmental, socio economic, and human health conditions prior to Project development.

Most of the fieldwork to gather fish, fish habitat, vegetation, wildlife, and wildlife habitat information was done in 2021 and 2022, however supplemental environmental baselines studies are ongoing in 2023 to obtain additional areal and temporal coverage for aquatics studies and terrestrial studies, including for newly designated Species at Risk (SAR).

A spring aquatics survey was completed in May which included spawning and spawning habitat surveys in York Lake and Ava Lake. Currently, another program is ongoing and includes low flow characterization and fish community surveys of few small inland streams in the project area.

A spring terrestrial field program also commenced in May, which took place over 3 x 10-day field excursions and was completed in July. This work focused on Species at Risk, birds, and bats surveys.

Figure 1: Terrestrial Program, Bird Audio Recording Unit deployment

As part of the planning process for potential road upgrades and possible alternative road access for the Advanced Exploration project, Agnico Eagle’s consultant completed archaeological assessments in the project area. First, this assessment included desktop and background studies to identify areas where there could be archaeological potential that would require validation. The second part of the assessment was made through field work to survey these areas using small sub-surface test pits to investigate the soil for evidence of archaeological features. No artifacts or archaeological resources were located during the recent surveys.

Figure 2: Stage 2 Archaeology Assessment, Test pit

UPPER BEAVER GOLD PROJECT COMMUNITY UPDATES

We are excited to share the success of Agnico Eagle’s Public Project Update and Baseline Information Session held on June 17th, 2023, in Larder Lake. This session provided an invaluable opportunity for surrounding communities to engage directly with the Upper Beaver Gold Project, participate in project planning, and have their voices heard. The event featured a brief presentation on the project’s current status and recent activities. Agnico Eagle provided updates, offering participants a look at the project’s progress, milestones achieved, and upcoming initiatives. Following the presentation there was an open session where participants could speak directly with the project team and subject matter experts.

Significant efforts were made to reach as many people as possible that may be interested in the project. Invitations were shared via various communication channels including radio, email, website, social media and via postal cards mailed to approximately 4500 residents in local and surrounding communities.

Empowering Community Engagement: This session was designed to foster open dialogue and active participation, enabling community members to gain a comprehensive understanding of the Upper Beaver Gold Project. Attendees were encouraged to share their insights, concerns, and suggestions, contributing to a more inclusive and informed project planning process.

Baseline Information: As responsible stewards of the environment, Agnico Eagle showcased their commitment to sustainability by having subject matter experts present and sharing baseline information collected. This data is essential in supporting regulatory permits and approvals, ensuring that the project adheres to stringent environmental standards while mitigating potential impacts. Agnico Eagle’s team was eager to address each query, engage in discussions and gather the valuable feedback of participants.

Interactive Workshop on Land Use: The workshop served as a powerful platform for participants to actively contribute their knowledge and insights on land use and proposed alternate road access to Beaverhouse Lake related to potential Advanced Exploration and Production phases. The workshop provided an avenue for creative brainstorming, where participants had the opportunity to suggest environmentally responsible options and innovative strategies for minimizing impacts. In parallel to this workshop, the online Community Survey is also available for those that could not attend or participate in the workshop. The online survey is open until August 31, 2023, and can be found on the Project’s dedicated website, under the news and events section here: 2023 Community Survey – Upper Beaver Project – Agnico Eagle Mines Ltd. The online survey results will be shared in a separate report.

Overall, the session was met with positive feedback from 29 participants which included local Municipal Council members, Residents of Dobie, Larder Lake, Kirkland Lake and Virginiatown, Members of Indigenous Nations, as well as landowners close to the Upper Beaver site. According to the event evaluation results, 90% of respondents were satisfied with the format of the session, and 100% were satisfied with the discussion tables (good to excellent). On average, respondents to the evaluation form gave a score of 8/10 on how the session met their expectations.

The full summary report of the session can be found on the Project’s website, under the Documents tab, Information Sessions section here: Documents Downloads – Upper Beaver Project – Agnico Eagle Mines Ltd.

Agnico Eagle extends its heartfelt appreciation to all who contributed to the success of the session, as your input plays a vital role in building a mutually beneficial partnership between Agnico Eagle and the communities it serves. All information collected has been documented to be considered in the preparation of the Impact Statement.

NEXT STEPS

As we move forward, Agnico Eagle remains committed to fostering open communication channels, providing regular updates, and actively engaging with the community. Project updates to Municipal Councils, as well as further engagement activities are being planned for the fall. These engagement activities will include workshops on impacts, mitigation measures, and more. Stay tuned to our various communication channels for further information on upcoming events. If you are not already receiving emails from us, you can sign up for our email alerts here: Contact Us – Upper Beaver Project – Agnico Eagle Mines Ltd.

For information on the Upper Beaver Gold Project, you can visit the Upper Beaver website at www.upperbeaver.agnicoeagle.com.

To share your input and collaborate with us, you can also reach out to our Community Relations Coordinator, Amy Danchuk, who is available to meet with you virtually or in-person at our Dobie Exploration office. Please contact her to set up an appointment by:

Email at Relations.upperbeaver@agnicoeagle.com

Phone at 705.567.4377, extension 4131242

TALK TO US – WE’RE HERE TO HELP YOU STAY INFORMED

It is by talking with each other that we can learn about your concerns or observations and provide the best information to inform the Upper Beaver Gold Project. Your feedback can help us improve our planning and contribute to the development of the best possible Project for everyone.