48 www. bus- ex. com JANUARY 10 middle of this year, new discoveries at Cubiro were being highlighted as one of the most impressive finds of the year, though other zones have subsequently also revealed deposits much larger than initially anticipated. For example, the drill program at Sinter, a parallel zone approximately two kilometers to the north of the Santo Niño pit, has also achieved highly promising early results, demonstrating a better average grade and thickness than anticipated. " The ongoing extension of known gold zones at several deposits and the discovery of the new gold zone at Cubiro on the Pinos Altos property continue to demonstrate our ability to expand our reserve base through exploration," stated Sean Boyd, vice chairman and CEO at a recent press conference. " We expect this large and growing reserve base to be the foundation for continued expansion in gold production beyond 2010, as we complete several expansion studies at our recently constructed gold mines," he added. Initial production is already under way, beginning with ore from the open pit in the area identified as Creston Mascota- this deposit alone contains an estimated 0.4 million ounces of gold reserves. Meanwhile, underground mining will be phased in over the next four years. At present it is anticipated that gold will be processed by conventional milling, though a heap leach option is under consideration at Creston Mascota, as is the development of another similar satellite open pit at Sinter. Meanwhile, ongoing exploration is leading to ever-improved upward revisions of the mine's potential. News on predicted grades and forecast reserves has got better all the time. The latest reports on Pinos Altos place probable gold reserves of 3.6 million ounces as well as a huge silver reserve estimated at 100 million ounces. When fully operational, it is expected that the mine's annual production will be approximately 175,000 ounces of gold and 2.6 million ounces of silver. Metallurgical testing indicates that the ore is non- refractory, yielding an excellent gold recovery rate in excess of 95 percent; silver recoveries are expected to average approximately 50 percent. A conventional milling operation will handle 4,000 metric tons of ore daily, while a heap leach operation will be able to process a further 2,500 metric tons. Current studies envision an estimated 11- year mine life, but it is considered very probable that further deposits await

the lowest- cost producers in the gold industry. Low-cost production is seen to be a particularly important competitive advantage that enables the company to deliver maximum value and consistent returns to shareholders. Moreover, Agnico- Eagle estimates that the project will be entirely funded by existing cash and cash flows. Previous successes on the American continent and in Finland have endowed the company with deep pockets and created a solid foundation from which to fund future growth. David Garofalo, who has been with Agnico- Eagle since 1998, was named recently as Canada's Chief Financial Officer of the Year for 2009 in a tribute to his ability to deliver innovative business strategies. He believes there has never been a better time for shareholders to buy into the company. " This is the prime time to invest in Agnico- Eagle. We have structured our company to generate above- average returns to shareholders at every stage of the gold cycle," he stated at a recent conference. Agnico- Eagle Mines Ltd. JANUARY 10 www. bus- ex. com 49 MAQSA is the Caterpillar dealer for the states of Chihuahua and Durango in the northern part of Mexico that provides the most complete range of services for world class mining projects such as Agnico Eagle's Pinos Altos Mine. MAQSA not only makes sure you get the right machines; it also helps you to keep them running at peak performance. MAQSA identification, which will extend this estimate. By industry standards, the promised rewards of Pinos Altos have been delivered at a very low cost. Overall site operating costs are expected to average just $ 39 per meter with capital construction in the region of $ 190 million. This means that Agnico- Eagle is one of