Agnico-Eagle executes US$150 million four year credit agreement

Stock Symbol: AEM (NYSE and TSX) 


TORONTO, Nov. 10  /PRNewswire-FirstCall/ -- Agnico-Eagle Mines Limited announced today that it has executed an amendment with its bank syndicate to increase the limit of its revolving credit facility from US$100 million to US$150 million, and to extend its term by two years to December, 2009. There are no dollar amounts currently drawn under the facility.

"We are systematically putting in place a growth plan that could potentially triple our gold production and double our reserves over the next four years" said Sean Boyd, President and Chief Executive Officer. "With strong cash flow from the low cost LaRonde gold mine, our cash balance of US$124 million and this credit facility, we are building the financial capacity necessary to realize our growth objectives".

The facility, which is primarily secured by a first charge on the LaRonde and Goldex mines, is expected to be effective shortly, once the necessary registrations are made in Quebec. The facility is being provided by a syndicate of international banks including Scotia Capital, N M Rothschild and Sons Ltd., Societe Generale, National Bank of Canada, and the Toronto-Dominion Bank.

Forward Looking Statements

The information in this press release has been prepared as at November 10, 2005. Certain statements contained in this press release constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. When used in this document, the words "anticipate", "expect", "estimate," "forecast," "planned" and similar expressions are intended to identify forward-looking statements. Such statements reflect the Company's views at the time with respect to future events and are subject to certain risks, uncertainties and assumptions. Many factors could cause the actual results to be materially different from those expressed or implied by such forward-looking statements, including, among others, those which are discussed under the heading "Risk Factors" in the Company's most recently filed Annual Information Form and Annual Report on Form 20-F. The Company does not intend, and does not assume any obligation, to update these forward-looking statements.

About Agnico-Eagle

Agnico-Eagle is a long established Canadian gold producer with operations located in northwestern Quebec and exploration and development activities in Canada, Finland, the United States and Mexico. Agnico-Eagle's LaRonde Mine in Quebec is Canada's largest gold deposit. The Company has full exposure to higher gold prices consistent with its policy of no forward gold sales. It has paid a cash dividend for 25 consecutive years. 

DATASOURCE: Agnico-Eagle Mines Limited



CONTACT: David Smith, Director, Investor Relations, [phone]

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