{"id":1118917,"date":"2019-05-31T19:34:24","date_gmt":"2019-05-31T19:34:24","guid":{"rendered":"http:\/\/www.mining.com\/?p=990816"},"modified":"2019-05-31T19:34:24","modified_gmt":"2019-05-31T19:34:24","slug":"agnicos-meliadine-mine-reaches-commercial-production-stock-jumps","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1118917","title":{"rendered":"Agnico\u2019s Meliadine mine reaches commercial production, stock jumps"},"content":{"rendered":"

Agnico Eagle Mines (TSX: AEM; NYSE: AEM) reported Friday Meliadine mine\u2014its largest gold deposit in terms of resources\u2014 has achieved commercial production ahead of schedule and below the initial capital budget.<\/p>\n

The news of Meliadine sent Agnico\u2019s shares up C$2.54 or 4.5% to C$59.20 in mid-morning trading on the TSX.<\/p>\n

Total project construction costs after crediting pre-commercial gold sales came in at below the 2017 guidance of $900 million. Total project construction costs after crediting pre-commercial gold sales came in at below the 2017 guidance of $900 million<\/q><\/p>\n

The mine, near Rankin Inlet in Nunavut, is expected to produce about 230,000 ounces of gold this year at total cash costs of $612 per oz.<\/p>\n

The company forecasts total 2019 production of 1.75 million ounces\u2014with its Amaruq deposit on schedule to reach commercial production in the third quarter of the year.<\/p>\n

\u201cThe successful delivery of Meliadine into commercial production represents a transition phase for AEM as it begins to exit a period of elevated capital intensity and moves towards a free cash flow inflection in the second half of 2019,\u201d Andrew Kaip of BMO Capital Markets commented in a research note to clients. \u201cIn our view, the announcement marks another positive step for the company as it executes on its strategy. \u2026 Meliadine represents approximately 30% of our project NPV, 5% for AEM at BMO metal price assumptions.\u201d<\/p>\n

Agnico acquired Meliadine in July 2010 and owns 100% of the 111,358-hectare property. The board approved construction of the mine in February 2017.<\/p>\n

Over the last year the gold producer\u2019s shares have traded within a range of $42.35 and $62.80 per share. The company has about 235 million common shares outstanding for a C$13.9 billion market cap.<\/p>\n

\n
<\/i>(This article first appeared in The Northern Miner<\/a>)\u00a0<\/em><\/div>\n<\/div>\n

The post Agnico\u2019s Meliadine mine reaches commercial production, stock jumps<\/a> appeared first on MINING.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

The mine, near Rankin Inlet in Nunavut, is expected to produce about 230,000 ounces of gold this year at total cash costs of $612 per oz.<\/p>\n

The post Agnico’s Meliadine mine reaches commercial production, stock jumps<\/a> appeared first on MINING.com<\/a>.<\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[404,369,1051],"tags":[280,25,48],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1118917"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1118917"}],"version-history":[{"count":4,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1118917\/revisions"}],"predecessor-version":[{"id":1118947,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1118917\/revisions\/1118947"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1118917"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1118917"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1118917"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}