MAY 2023- NEWSLETTER

Agnico Eagle is pleased to provide an update on our activities in the Kirkland Lake area and the Upper Beaver Project in our May 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

While no exploration activities occurred in the 1st quarter of 2023, Agnico Eagle continues to plan and gather information to support a robust mapping program. This mapping program will begin in May and continue into the Fall.

Early-stage exploration activities include, but are not limited to the following:

•    Surface rock outcrop sampling
•    Geological mapping
•    Soil sampling with hand tools

The information gathered from these activities will be used to determine if additional follow-up work is warranted. Where applicable, Exploration Plans or Permit applications may be required as per the Ontario Mining Act and may involve additional public notification and consultation.

Exploration permit applications for other areas of the Kirkland Lake camp have been submitted in anticipation of potential drilling programs to commence later this year.

LEGACY SITES

Agnico Eagle continues to identify and monitor all potential legacy mine site hazards within the Kirkland Lake Camp and surrounding area. To ensure safety, risk assessments are ongoing to manage, mitigate and rehabilitate when necessary. Upcoming work includes investigation drilling at the Bidgood property to update the stability assessment report, as well planning for rehabilitation and additional data collection for bats at our Swastika property.

UPPER BEAVER PROJECT UPDATE

PROJECT REVIEW

In the 1930s, the deposit at Upper Beaver was mined from the surface to a depth of 400 metres, to access narrow, high-grade zones containing gold and copper. Upon 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 and then will rehabilitate the area upon closure. Currently, the Project is in the Exploration phase.

Although the base case scenario remains to have a mill on the 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.

BASELINE STUDIES

Environmental baseline studies are conducted at the outset of most projects to determine the initial environmental conditions of an area prior to development activities and to confirm the potential impact of a project and the required mitigation measures. Ongoing sampling and monitoring of air, water, soil, animals, and plants are key to establishing an environmental baseline and assessing overall impacts throughout the life cycle of a mining project, including post-closure monitoring.

Typically, an impact assessment requires baseline studies of water quality, air quality, noise and light, fish/habitat, vegetation, wildlife and wildlife habitat, archaeology and cultural heritage, socio-economic, traditional knowledge, and land use. These studies can require up to two years of data, depending on the project. Agnico Eagle has conducted these studies and continues to conduct additional baselines studies to fill gaps required for the Federal Impact Assessment.

For more information about baseline studies, you can view the 2022 Baseline Studies Overview here:

•    Consult our 2022 Baseline Studies Overview

FIELD WORK

A spring terrestrial aerial survey was completed the week of March 13, 2023. This survey took a regional scale approach, covering a 30-40 km area around the Upper Beaver Project site. Within the study area, the aerial survey measured the distribution, structure and abundance of Moose, furbearer species such as Marten, Otter, and Beaver, and breeding raptor.

Planning is ongoing for aquatics and terrestrial baseline work to be completed in 2023.  A spring aquatics program is planned for beginning of May, which will include spawning surveys using visual assessments and setting artificial substrate egg collection mats within candidate spawning habitats in York Lake and Ava Lake (targeting the walleye spawning period). Additional habitat assessments will also be conducted in small streams within the Project footprint.

A noise monitoring station was installed at the Project site in March 2023. The purpose of this station is to monitor noise during future Advanced Exploration activities, anticipated to begin in 2024, and it will be used to collect additional baseline data for the Project. A second station will be installed in Spring 2023 at an off-site location for the same purpose.

Further planning for 2023 field programs is on-going.

UPPER BEAVER GOLD PROJECT COMMUNITY UPDATES

Agnico Eagle presented at the Township of Larder Lake Council Meeting on January 26, 2023, and the Town of Kirkland Lake Council Meeting on February 21, 2023, to provide a Project update to the Council, as well as to answer questions from Councils and citizens.

The Agnico Eagle team is also planning to present project updates, with a focus on upcoming engagement opportunities, at the Regular Council meetings of the Townships of Gauthier and Larder Lake, tentatively scheduled as follows: Monday, May 15th at the Township of Gauthier, and Tuesday, May 23rd at the Township of Larder Lake. Confirmation will be through each Townships agendas posted through their respective communication channels.

In addition, the Townships of Gauthier and Larder Lake organized and hosted Public Meetings in February 2023. These meetings were related to the technical zoning by-law amendment applications previously submitted by Agnico Eagle for the Advanced Exploration phase activities. Agnico Eagle is currently gathering additional information requested by the Townships following these meetings.

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 taking the steps to prepare the Impact Statement and will continue to engage with Indigenous Nations and the public to gather information to better understand the land uses, health, social and economic conditions around the Project area, as well as the key issues and concerns.

NEXT STEPS

Agnico Eagle aims to reach as many land users as possible who are interested in providing input towards the Impact Statement. This outreach may occur through various channels such as postal cards, newspaper, and other platforms.

Engagement activity planning is underway and anticipated to begin in June 2023 with a Public Project Update and Baseline Information Session. We are also planning late summer workshops to discuss potential impacts, potential alternatives, and mitigation measures.

There are many ways to stay informed and/or share your views and collaborate with us!

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

You can also register for our email alerts to receive Project updates, newsletters, and information on upcoming engagement events.

Visit the Contact Us section to register!

To become more involved in the Impact Assessment process and to share your input and collaborate with us, we encourage you to 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.