Questions and Answers

As this is a rapidly evolving situation, we have compiled a list of some of the most frequently asked questions, as well as their answers, as a way of providing quick access to key information. If you have other concerns that are not addressed here, we invite you to send us your questions at covid-19questions@agnicoeagle.com.

What measures is Agnico Eagle taking to protect employees and surrounding communities against the spread of the Coronavirus?

We are taking this matter seriously. We are complying with recommendations from the Public Health Authorities and Governments in each region where we operate. All of our global operations have implemented numerous preventive measures that were quickly put in place to maintain a safe working environment and prevent the virus from spreading to surrounding communities.

These measures include enhanced hygiene, cleaning and disinfecting efforts, changes to some operational processes to facilitate physical distancing, new boarding and loading processes for aircraft and buses, employee screening for symptoms and travel history, restrictions on domestic and international business travelling, protocols to limit or completely avoid contact with residents of some remote communities, and more.

We will continue to rigorously enforce, update as needed and communicate these measures.


What protocols do you have in place to avoid possible transmission to remote communities?

Our Nunavut-based employees have been returned home for a period of four weeks to avoid further contact with southern employees and risk of transmission to the communities.

Additionally, protocols for transportation, travelling to and from the mine sites, boarding and loading protocols for aircraft and buses have been modified to avoid contact with residents of some remote communities during this crisis.

We are taking this matter seriously. We will continue to rigorously enforce, update as needed and communicate these measures. To that end, we have published the list of measures on our Facebook pages and websites.

What measures is Agnico Eagle taking to ensure physical distancing at its sites?

Some examples include staggering shift start and ending as well as lunch hours and break times to better manage traffic in the change rooms or dry, lunch rooms and shelters; in the lunch rooms, seats are spaced out – leaving an empty chair between each person; reducing the number of employees in the cage (elevator) to reach underground levels; reducing team meetings to small groups of people; distancing workers when instructions are given by supervisors at the beginning and end of shifts; discouraging carpooling, increasing the number of buses for transporting the employees or reducing the number of employees per bus transport.


What will you do if someone at one of your sites is tested and confirmed positive?

All of Agnico Eagle’s operations and projects have put in place extensive measures in order to minimize the potential spread of COVID-19.

The Company's pandemic response protocols have been updated to ensure that if an employee has tested positive while still working or was recently in the workplace before testing positive, clear procedures on sanitizing the workplace and common areas are outlined along with how to inform and monitor others that the employee has been in close contact with.  If the employee is at one of Agnico Eagle's remote locations, procedures are in place to isolate the individual and transport them safely for testing and treatment.

Will Agnico Eagle place all of its operations in care and maintenance?

The health, safety and well-being of all our employees and the communities that we operate in continue to remain our priority. As directed by the Quebec government on March 23, 2020, our Quebec mines were placed on care and maintenance until at least April 13th. At the same time, our Nunavut mines began operating at reduced levels and exploration activities in Canada were suspended. Additionally, pursuant to the recent decree by the Government of Mexico relating to the COVID-19 pandemic that all non-essential businesses suspend operations until April 30th, 2020, including mining operations, the Company is ramping down activities and suspending exploration at all its Mexico operations and projects. During this reduction in mining activities, we plan to maintain a state of operational readiness in order to resume normal operations in a timely and safe manner once conditions allow. 

At this time, our Kittila mine, in Finland, continues to operate at normal capacity. The COVID-19 pandemic is a rapidly evolving situation and the Company will continue to assess its mining operations in each of its regions on an ongoing basis.

See our March 24th, 2020  and April 2nd, 2020 press releases for more details

Do you consider gold to be more important than lives? Why not send all your employees home to protect them and their families?

The health, safety and well-being of all our employees and the communities that we operate in is our priority. 

All of our projects have put in place extensive measures in order to minimize the potential spread of COVID-19. We have been complying and will continue to comply with recommendations from the Public Health Authorities and Governments in all regions where we operate. As such, as directed by the Quebec government on March 23, 2020, our Quebec mines were placed on care and maintenance until at least April 13. At the same time, our Nunavut mines are operating at reduced levels and exploration activities in Canada will be suspended. Additionally, pursuant to the recent decree by the Government of Mexico relating to the COVID-19 pandemic that all non-essential businesses suspend operations until April 30th, 2020, including mining operations, the Company is ramping down activities and suspending exploration at all its Mexico operations and projects. Our Mexican mines are in care and maintenance until the end of April, as instructed by the Mexican government.  At this time, our Finnish mine continues to operate at normal capacity. See our March 24, 2020  and April 2, 2020 press release for more details.

The COVID-19 pandemic is a rapidly evolving situation and the Company will continue to assess its mining operations in each of its regions on an ongoing basis to respond promptly to changing conditions and recommendations.

If Agnico Eagle closes down its sites, how will you monitor critical infrastructure?

Essential work continues to take place at operations placed on care and maintenance to maintain surface and underground infrastructure and to comply with environmental and safety requirements. In each case, minimal staffing levels remain in place to complete this work.

Is Agnico Eagle able to sustain a prolonged stoppage of production?

As a cautionary measure, given the current uncertainty with respect to the COVID-19 pandemic, in March 2020, the Company drew down US$1.0 billion on its US$1.2 billion unsecured revolving bank credit facility. The Company will also be reviewing the 2020 sustaining and growth capital budget with a focus on reducing expenditures and increasing free cash flow. We will reassess as the situation continues to evolve.

What impact does this situation have on your guidance?

With the reduced production activity at the Quebec and Nunavut operations, together with the uncertainties with respect to future developments, including the duration, severity and scope of the COVID-19 outbreak and the measures taken to contain the outbreak, Agnico Eagle has withdrawn its full year 2020 production and cash costs guidance. See our March 24, 2020 press release for more details.

Agnico Eagle will provide an update on its guidance for 2020 in its First Quarter 2020 press release.

What will be the loss of revenues for Agnico Eagle because of this crisis?

With the uncertainties with respect to future developments, including the duration, severity and scope of the COVID-19 outbreak and the measures taken to contain the outbreak, as well as many other fluctuating factors, such as the price of gold, foreign exchange rates and the whole state of the global economy, it is difficult to predict at this time the real impact that this crisis will have on the financial health of our business.

Will this jeopardize some of your other mining projects and long-term future of your business?

At this time, we are focusing on limiting the impact on operations and the company.

Does Agnico Eagle have any confirmed cases of COVID-19 at its sites?

So far, only one of our employees tested positive.  On March 28, the Finnish public health office informed us that one of our employees working at the underground mine in Kittilä had tested positive to COVID-19.  The person had been out of the workplace since March 15 and was recovering at home.  Employees in contact with the person were contacted for testing. The underground mine was shut down for 72 hours and areas disinfected.  Additional screening, physical distancing and disinfection measures were implemented. The underground operations resumed on Tuesday, March 31 and there was no interruption to surface or milling operations during this period. Tests for the employees in closest contact with the infected employee came back negative indicating that they had not contracted Covid-19.

Why did Agnico Eagle make the decision to reduce its activities in Mexico?

The health, safety and well-being of our employees and surrounding communities remain our number one priority. As such, we are cooperating with local health authorities and government agencies to minimize the probability of transmission in our workplaces while actively participating in efforts to flatten the curve.

Pursuant to the decree by the Government of Mexico relating to the COVID-19 pandemic that all non-essential businesses suspend operations until April 30th, 2020, including mining operations, the Company’s is ramping down activities at its Mexico operations (Pinos Altos, Creston Mascota and LaInda) in an orderly fashion while ensuring the safety of employees, the sustainability of the infrastructure and compliance with government regulations and environmental standards.  Each of these operations are to be placed on care and maintenance until April 30, 2020. The Company is also suspending it exploration activities in Mexico during this period. We expect that the actions taken should allow for the timely and safe restart of normal operations once the decree is lifted.


Why did Agnico Eagle make the decision to reduce its activities in Abitibi and Nunavut?

The health, safety and well-being of our employees and surrounding communities remain our number one priority. It is our responsibility to ensure that we comply with recommendations from the Public Health Authorities and Governments and work collectively to limit and slowdown the spread of the virus as much as possible.

In response to the Government of Quebec’s March 23rd decision, that all non-essential economic activities in the province are to be suspended, the Company took steps to ramp down its operations in the Abitibi region of Quebec (the LaRonde Complex, the Goldex mine and the Canadian Malartic mine (50%)) in an orderly fashion while ensuring the safety of employees and the sustainability of the infrastructure. Each of these operations was placed on care and maintenance until at least April 13, 2020.

Furthermore, following internal discussions concerning the additional challenges of operating our Nunavut mines without the large number of Inuit workers that were sent home, the Company made the decision to reduce activities at the Meliadine and Meadowbank mining operations.

  • How many workers does this decision impact? How many are staying home and how many will continue working?

    In Abitibi, minimal staffing levels have been put in place to maintain surface and underground infrastructure and to comply with environmental and safety requirements. All other workers have been sent home with pay until April 13.

    In Nunavut, only the workforce essential to the reduced operation levels will remain on duty. All other workers from the South have been sent home with pay until April 17.

  • What activities are maintained at these operations?

    In the Abitibi region, minimal staffing levels have been put in place to maintain surface and underground infrastructure and to comply with environmental requirements.

    These activities should allow for the timely and safe restart of normal operations once the Government of Quebec lifts its protective measures.

    In Nunavut, the Company reduced activities at the Meliadine and Meadowbank operations. At Meliadine, limited underground and milling operations continue.

    At Meadowbank, the focus is on continued ramp-up of maintenance activities and water management as needed for the upcoming freshet (spring melt). These activities at both Nunavut mines are expected to position the Company to achieve a timely ramp up of operations once conditions permit.

  • How will you make sure the sites are safe for the remaining employees?

    We are taking this matter seriously. Preventive measures that were implemented to maintain a safe working environment will remain in place, including enhanced hygiene, cleaning and disinfecting efforts, and changes to some operational processes to facilitate physical distancing. We will continue to rigorously enforce, update as needed and communicate these measures. 

  • Our health and safety teams across our operations internationally meet every week on the subject of COVID-19.  They share best practices and protection measures.  A number of common protocols and procedures were prepared, covering subjects such as screening, isolation and physical distancing.