6-K - AEM - Equibles

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TORULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of July, 2024

Commission File Number 001-13422

AGNICO EAGLE MINES LIMITED

(Translation of registrant’s name into English)

145 King Street East, Suite 400, Toronto, Ontario M5C 2Y7

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F. Form 20-F ¨ Form 40-F x

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101 (b)( 1): ¨

Note: Regulation S-T Rule 101 (b)( 1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101 (b)(7): ¨

Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant’s “home country”), or under the rules of the home country exchange on which the registrant’s securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant’s security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934. Yes ¨ No x

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-____________.

EXHIBITS

Exhibit No.	Exhibit Description
99.1	Second Quarter Report

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	AGNICO EAGLE MINES LIMITED
	(Registrant)
Date: 07/31/2024	By:	/s/ Chris Vollmershausen
		Chris Vollmershausen
		Executive Vice-President, Legal, General
		Counsel & Corporate Secretary

Exhibit Number 99.1 submitted with this Form 6-K is hereby incorporated by reference into Agnico Eagle Mines Limited's Registration Statements on Form F-10 (Reg. No. 333-280114), Form F-3D (Reg. No. 333-280180) and Form S-8 (Reg. Nos. 333-130339 and 333-152004)

2

tm2416946-2\_nonfiling - none - 31.1407073s

Exhibit 99.1

[MISSING IMAGE: lg_agnicoeagle-bw.jpg]

Second Quarter Report 2024

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

This Management’s Discussion and Analysis (“MD&A”) dated July 31, 2024 of Agnico Eagle Mines Limited (“Agnico Eagle” or the “Company”) should be read in conjunction with the Company’s condensed interim consolidated financial statements for the three and six months ended June 30, 2024 (the “Second Quarter Financial Statements”) that were prepared in accordance with International Financial Reporting Standards (“IFRS”), International Accounting Standard 34 Interim Financial Reporting as issued by the International Accounting Standards Board (“IASB”). This MD&A should also be read in conjunction with the Company’s annual Management’s Discussion and Analysis (“Annual MD&A”) and annual consolidated financial statements prepared in accordance with IFRS (“Annual Financial Statements”). The condensed interim consolidated financial statements and this MD&A are presented in United States dollars (“US dollars”, “$” or “US$”) and all units of measurement are expressed using the metric system, unless otherwise specified. Certain information in this MD&A is presented in Canadian dollars (“C$”), Australian dollars (“A$”), or European Union euros (“Euros” or “€”). Additional information relating to the Company is included in the Company’s Annual Information Form for the year ended December 31, 2023 (the “AIF”). The AIF, Annual MD&A and Annual Financial Statements are available on the Canadian Securities Administrators’ (the “CSA”) SEDAR website at www.sedarplus.ca and included in the Company’s Annual Report on Form 40-F for the year ended December 31, 2023 (the “Form 40-F”) filed with the Securities and Exchange Commission (“SEC”) and available at www.sec.gov/edgar.

Certain statements contained in this MD&A, referred to herein as “forward-looking statements”, constitute “forward-looking information” under the provisions of Canadian provincial securities laws and constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995. See Forward-Looking Statements in this MD&A.

This MD&A discloses certain financial performance measures, including “total cash costs per ounce”, “all-in sustaining costs per ounce” (also referred to as “AISC per ounce”), “minesite costs per tonne”, “adjusted net income”, “adjusted net income per share”, “earnings before interest, taxes, depreciation and amortization” (also referred to as “EBITDA”), “adjusted earnings before interest, taxes, depreciation and amortization” (also referred to as “adjusted EBITDA”), “free cash flow”, “free cash flow before changes in non-cash components of working capital”, “sustaining capital expenditures”, “development capital expenditures”, and “operating margin” that are not standardized measures under IFRS. These measures may not be comparable to similar measures reported by other gold producers. Each of “total cash costs per ounce” and “all-in sustaining costs per ounce” are reported on a per ounce of gold produced basis and, unless otherwise indicated, are reported on a by-product basis (deducting by-product metals revenues from production costs). Minesite costs per tonne is reported on a per tonne of ore milled basis. For a discussion of the composition and usefulness of these measures and reconciliation of each of them to the most directly comparable financial information presented in the condensed interim consolidated financial statements prepared in accordance with IFRS, see Non-GAAP Financial Performance Measures in this MD&A.

This MD&A also contains information as to estimated future total cash costs per ounce, AISC per ounce and minesite costs per tonne. The estimates are based upon the total cash costs per ounce, AISC per ounce and minesite costs per tonne that the Company expects to incur to mine gold at its mines and projects and, consistent with the reconciliation of these actual costs referred to below under Non-GAAP Financial Performance Measures, do not include production costs attributable to accretion expense and other asset retirement costs, which will vary over time as each project is developed and mined. It is therefore not practicable to reconcile these forward-looking non-GAAP financial measures to the most comparable IFRS measure.

Payable production (a non-GAAP non-financial performance measure) is the quantity of mineral produced during a period contained in products that have been or will be sold by the Company, whether such products are sold during the period or held as inventories at the end of the period.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

operations at the LaRonde mine and the LaRonde Zone 5 mine. The Canadian Malartic complex consists of the mill and processing operations at the Canadian Malartic mine and the Odyssey mine. The Meadowbank complex consists of the mill and processing operations at the Meadowbank mine and the Amaruq open pit and underground mines. The Goldex complex consists of the mill and processing operations at the Goldex mine and the Akasaba West open pit mine. References to other operations are to the relevant mines, projects or properties, as applicable.

Meaning of “include” “including” and “such as”: When used in this MD&A the terms “include’, “including” and “such as” mean including and such as, without limitation, as applicable.

Business Overview

Agnico Eagle is a senior Canadian gold mining company that has produced precious metals since its formation in 1972. The Company’s mines are located in Canada, Australia, Mexico and Finland, with exploration and development activities in Canada, Australia, Europe, Latin America and the United States. The Company and its shareholders have full exposure to gold prices due to its long-standing policy of no forward gold sales. Agnico Eagle has declared a cash dividend every year since 1983.

Agnico Eagle earns a significant proportion of its revenue and cash flow from the production and sale of gold in both dore bar and concentrate form. The remainder of revenue and cash flow is generated by the production and sale of by-product metals, primarily silver, zinc and copper.

Agnico Eagle’s operating mines and development projects are located in what the Company believes to be politically stable countries that are supportive of the mining industry. The political stability of the regions in which Agnico Eagle operates helps to provide confidence in its current and future prospects and profitability. This is important for Agnico Eagle as it believes that many of its current mines and projects have long-term mining potential.

Recent Developments

Repayment of Long-term Debt

On July 24, 2024, Agnico Eagle repaid $100.0 million of its 2012 senior structured notes on maturity. On July 31, 2024, Agnico Eagle repaid $150.0 million of the $600.0 million outstanding on its Term Loan Facility. The remaining indebtedness under the Term Loan Facility is due and payable by April 21, 2025.

Reconciliation Action Plan and 2023 Climate Action Report

On July 10, 2024, the Company released its first Reconciliation Action Plan, reinforcing its commitment to reconciliation with Indigenous Peoples and communities. In addition, on July 31, 2024, the Company released its 2023 Climate Action Report. In line with the recommendations of the Task Force on Climate-related Financial Disclosures and Towards Sustainable Mining Climate Change protocol, the 2023 Climate Action Report outlines how the Company is addressing climate change risks and opportunities.

Normal Course Issuer Bid

On May 1, 2024, the Company received approval from the Toronto Stock Exchange (“TSX”), to renew its normal course issuer bid (the “NCIB”) pursuant to which the Company may purchase up to $500.0 million of its common shares subject to a maximum of 5% of its issued and outstanding common shares. Under the NCIB, the Company may purchase such common shares for cancellation, on the open market at its discretion, during the period commencing May 4, 2024 and ending on May 3, 2025. Purchases under the NCIB will be made through the facilities of the TSX, the New York Stock Exchange or other designated exchanges and alternative trading systems in Canada and the United States in accordance with applicable regulatory requirements. All common shares purchased under the NCIB will be cancelled. Under the Company’s prior

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

NCIB which commenced on May 4, 2023 and ended on May 3, 2024, the Company obtained approval to purchase up to a total of 24,718,919 common shares of which 375,000 were purchased through the facilities of the TSX and NYSE at a weighted average price of approximately $52.99 (excluding commissions) per common share.

Additional Investments at Detour Lake Underground and Upper Beaver

The Company has approved investments of $200.0 million and $100.0 million at its Upper Beaver and Detour Lake Underground projects, respectively, to further study and de-risk the projects over approximately three years. At Detour Lake, a 2.0-kilometre exploration ramp will be developed at depth to collect a bulk sample and to facilitate infill and expansion drilling of the current underground mineral resource. At Upper Beaver, an exploration ramp and an exploration shaft will be developed at depth to establish underground drilling platforms and collect bulk samples.

Credit Facility

On February 12, 2024, the Company entered into a credit agreement with a group of financial institutions that provides a $2.0 billion unsecured revolving credit facility (the “New Credit Facility”). On the same day, the Company drew $200.0 million on the New Credit Facility and used the proceeds of such draw to repay the Company’s previous $1.2 billion unsecured revolving credit facility (the “Old Credit Facility”) and the Old Credit Facility was terminated. The New Credit Facility matures and all indebtedness thereunder is due and payable on February 12, 2029. Concurrently, the Company’s $600.0 million unsecured term credit facility (the “Term Loan Facility”) was amended to, among other things, align the covenants, including the net debt to EBITDA ratio covenant, and the events of default with those of the New Credit Facility. See “Liquidity and Capital Resources — Financing Activities”.

Financial and Operating Results

On March 31, 2023, Agnico Eagle closed the transaction (the “Yamana Transaction”) with Pan American Silver Corp and Yamana Gold Inc. (“Yamana”) pursuant to which, among other things, Agnico Eagle acquired all of Yamana’s Canadian assets including the 50% of the Canadian Malartic complex that Agnico Eagle did not then hold. Accordingly, contributions from the 100% interest in Canadian Malartic have been included in the condensed interim consolidated statements of income for the three and six months ended June 30, 2024 while the comparative period reflects the previously held 50% interest in Canadian Malartic up to March 30, 2023.

Operating Results

Agnico Eagle reported net income of $472.0 million, or $0.95 per share, in the second quarter of 2024, compared with net income of $323.7 million, or $0.66 per share, in the second quarter of 2023. The key drivers of the changes in net income are set out in the table below.

Agnico Eagle reported adjusted net income1 of $535.3 million, or $1.07 per share1, in the second quarter of 2024, compared with adjusted net income of $319.3 million, or $0.65 per share, in the second quarter of 2023. Agnico Eagle reported EBITDA1 of $1,123.1 million in the second quarter of 2024 compared with $883.4 million in the second quarter of 2023. Adjusted EBITDA1 increased in the second quarter of 2024 to $1,176.2 million compared to $885.2 million in the second quarter of 2023.

Agnico Eagle reported net income of $819.2 million, or $1.64 per share, in the first six months of 2024, compared with net income of $2,140.6 million, or $4.45 per share, in the first six months of 2023. Included in

Adjusted net income, adjusted net income per share, EBITDA, adjusted EBITDA, operating margin, free cash flow and free cash flow before changes in non-cash components of working capital are non-GAAP measures or ratios that are not standardized financial measures under IFRS. For reconciliation of these measures to the most directly comparable financial measure under IFRS, and a discussion of its composition and usefulness, see Non-GAAP Financial Performance Measures.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

net income of the comparative period is a re-measurement gain of $1,543.4 million recognized in the first six months of 2023, arising from the Yamana Transaction and the corresponding application of purchase accounting relating to a business combination achieved in stages, which requires the re-measurement on acquisition of the Company’s previously held 50% interest in Canadian Malartic to the fair value implied by the subsequent transaction.

Agnico Eagle reported adjusted net income of $912.7 million, or $1.83 per share, in the first six months of 2024, compared with adjusted net income of $590.5 million, or $1.23 per share, in the first six months of 2023 primarily due to higher operating margin in the current period. Agnico Eagle reported EBITDA of $2,005.6 million in the first six months of 2024 compared with $3,156.3 million in the first six months of 2023, primarily due to the revaluation gain on the Yamana Transaction in the comparative period, partially offset by higher operating margin in the current period. Adjusted EBITDA increased in the first six months of 2024 to $2,105.5 million compared to $1,625.6 million in the first six months of 2023, primarily due to higher operating margin in the current period.

In the second quarter of 2024, operating margin1 increased by 33.8% to $1,304.6 million, compared with $974.9 million in the second quarter of 2023, primarily due to a 20.9% increase in revenues from mining operations resulting from an 18.6% higher realized price of gold and higher gold sales volume from Meadowbank and Meliadine, partially offset by lower gold sales volume from Fosterville, LaRonde and La India.

In the first six months of 2024, operating margin increased by 28.4% to $2,350.9 million, compared with $1,831.5 million in the first six months of 2023, primarily due to a 21.0% increase in revenues from mining operations as a result of a 13.8% higher average realized price of gold between periods and higher gold sales volume from Canadian Malartic following the Yamana Transaction, Meadowbank and Meliadine, partially offset by lower gold sales volume from Fosterville and La India.

Gold production increased to 895,838 ounces in the second quarter of 2024 compared with 873,204 ounces in the second quarter of 2023, primarily due to increased production at Meadowbank and Macassa, partially offset by decreased production at Fosterville.

Gold production increased to 1,774,490 ounces in the first six months of 2024, compared with 1,686,017 ounces in the first six months of 2023, primarily due to the additional contribution of gold production from Canadian Malartic following the Yamana Transaction and higher production at Meadowbank, partially offset by lower gold production at Fosterville.

Cash provided by operating activities increased to $961.3 million in the second quarter of 2024 compared with $722.0 million in the second quarter of 2023, primarily due to higher operating margin, partially offset by less favourable working capital movements between periods.

Cash provided by operating activities increased to $1,744.5 million in the first six months of 2024 compared with $1,371.6 million in the first six months of 2023, primarily due to higher operating margin, partially offset by less favourable working capital movements between periods.

Free cash flow1 increased to $557.2 million in the second quarter of 2024 compared with $298.4 million in the second quarter of 2023, primarily due to higher operating margin, partially offset by less favourable working capital movements between periods. Free cash flow before changes in non-cash components of working capital1 increased to $582.2 million in the second quarter of 2024 compared with $269.4 million in the second quarter of 2023, due to higher operating margin in the current period.

Free cash flow increased to $952.8 million in the first six months of 2024 compared with $563.1 million in the first six months of 2023, primarily due to higher operating margin, partially offset by less favourable working capital movements between periods. Free cash flow before changes in non-cash components of working capital

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

increased to $971.6 million in the first six months of 2024 compared with $493.3 million in the first six months of 2023, due to higher operating margin in the current period.

The table below sets out variances in the key drivers of net income for the three and six months ended June 30, 2024, compared with the three and six months ended June 30, 2023:

(millions of United States dollars)
Increase in revenues from mining operations	$	358.4	$	678.6
Decrease (Increase) in production costs due to effects of foreign currencies		5.2		(0.2)
Increase in production costs		(33.9)		(159.0)
(Increase) Decrease in exploration and corporate development expenses		(0.8)		1.7
Decrease (Increase) in amortization of property, plant and mine development		7.9		(45.3)
Increase in general and administrative expenses		(1.5)		(1.4)
Decrease (Increase) in finance costs		1.3		(11.5)
Change in derivative financial instruments		(46.0)		(98.5)
Change in non-cash foreign currency translation		3.7		8.4
Increase in care and maintenance		(0.8)		(0.6)
Change in revaluation gain		—		(1,543.4)
Increase in other expenses		(44.5)		(36.4)
Increase in income and mining taxes		(100.6)		(113.8)
Total net income variance	$	148.4	$	(1,321.4)

Three Months Ended June 30, 2024 vs. Three Months Ended June 30, 2023

Revenues from mining operations increased to $2,076.6 million in the second quarter of 2024, compared with $1,718.2 million in the second quarter of 2023, primarily due to an 18.6% increase in realized gold prices and higher gold sales volumes at Meadowbank and Meliadine, partially offset by lower gold sales volumes at Fosterville, LaRonde and La India.

Production costs were $772.0 million in the second quarter of 2024, a 3.9% increase compared with $743.3 million in the second quarter of 2023, primarily due to higher production costs at Kittila and Macassa, partially offset by lower production costs at LaRonde and La India.

Total cash costs per ounce2 increased to $870 on a by-product basis and $911 on a co-product basis in the second quarter of 2024, compared with $840 on a by-product basis and $870 on a co-product basis in the second quarter of 2023, primarily due to increased costs at the Detour Lake, Macassa, Meliadine and Canadian Malartic.

Amortization of property, plant and mine development decreased by $7.9 million to $378.4 million between the second quarter of 2023 and the second quarter of 2024 as lower amortization at Detour Lake and La India was partially offset by increased amortization from Kittila and LaRonde.

Loss on derivative financial instruments amounted to $19.6 million during the second quarter of 2024, compared with a gain of $26.4 million during the second quarter of 2023 due to unfavourable movements in foreign exchange rates between periods.

Total cash cost per ounce is a non-GAAP measure that is not a standardized financial measure under IFRS. For a reconciliation of this measure on a by-product and co-product basis to production costs and a discussion of the composition and usefulness of these measures, see Non-GAAP Financial Performance Measures.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

Other expenses increased to $47.3 million during the second quarter of 2024, compared with $2.8 million during the second quarter of 2023, primarily due to increased disposals of property, plant and mine equipment.

In the second quarter of 2024, the Company recorded income and mining taxes expense of $238.2 million on income before income and mining taxes of $710.2 million, resulting in an effective tax rate of 33.5%. In the second quarter of 2023, the Company recorded income and mining taxes expense of $137.6 million on income before income and mining taxes of $461.3 million, resulting in an effective tax rate of 29.8%. The increase in the effective tax rate between the second quarter of 2024 and the second quarter of 2023 is primarily due to foreign exchange rate movements.

There are several factors that can significantly affect the Company’s effective tax rate including varying rates in different jurisdictions, the non-recognition of certain tax assets, mining allowances, foreign currency exchange rate movements, changes in tax laws, the impact of specific transactions and assessments and the relative distribution of income in the Company’s operating jurisdictions. As a result of these factors, the Company’s effective tax rate is expected to fluctuate significantly in future periods.

Six Months Ended June 30, 2024 vs. Six Months Ended June 30, 2023

Revenues from mining operations increased to $3,906.4 million during the six months ended June 30, 2024, compared with $3,227.9 million in the six months ended June 30, 2023, primarily due to a 13.8% increase in realized gold prices, increased gold sales volume at Canadian Malartic following the Yamana Transaction and higher gold sales volumes at Meadowbank and Meliadine, partially offset by lower gold sales volumes at Fosterville and La India.

Production costs were $1,555.6 million in the six months ended June 30, 2024, an 11.4% increase compared with $1,396.4 million in the six months ended June 30, 2023, primarily due to the increased contribution from Canadian Malartic due to the Yamana Transaction and higher production costs at Detour Lake, Macassa, Kittila and Meliadine partially offset by lower production costs at La India and Meadowbank.

Total cash costs per ounce increased to $885 on a by-product basis and $920 on a co-product basis in the six months ended June 30, 2024, compared with $836 on a by-product basis and $866 on a co-product basis in the six months ended June 30, 2023, primarily due to increased costs at Detour Lake, Canadian Malartic and Macassa, partially offset by lower costs at Meadowbank and Meliadine.

Amortization of property, plant and mine development increased by $45.3 million to $735.6 million between the six months ended June 30, 2023 and the six months ended June 30, 2024, primarily due to the additional contribution from Canadian Malartic following the Yamana Transaction combined with increased amortization at Macassa, Kittila and Meliadine, partially offset by decreased contribution from Detour Lake and La India.

Finance costs increased to $70.7 million during the six months ended June 30, 2024, compared with $59.3 million during the six months ended June 30, 2023 primarily due to the interest incurred on the Company’s $600.0 million Term Loan Facility.

Loss on derivative financial instruments amounted to $65.5 million during the six months ended June 30, 2024, compared with a gain of $33.0 million during the six months ended June 30, 2023, due to unfavourable movements in foreign exchange rates and commodity prices between periods.

Other expenses increased to $59.3 million during the six months ended June 30, 2024, compared with $22.9 million during the six months ended June 30, 2023, primarily due to increased disposals of property, plant and mine equipment and other costs.

The revaluation gain in the first quarter of 2023 was due to the re-measurement of the Company’s previously held 50% interest in Canadian Malartic to fair value at the close of the Yamana Transaction. The acquisition

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

date fair value of the previously held 50% interest was determined to be $2,697.6 million, resulting in the recognition of a re-measurement gain through net earnings of $1,543.4 million. The fair value of $2,697.6 million reflects the part of the total consideration attributable to Canadian Malartic transferred under the Yamana Transaction.

In the six months ended June 30, 2024, the Company recorded income and mining taxes expense of $380.0 million on income before income and mining taxes of $1,199.3 million, resulting in an effective tax rate of 31.7%. During the six months ended June 30, 2023, the Company recorded income and mining taxes expense of $266.2 million on income before income and mining taxes of $2,406.8 million, resulting in an effective tax rate of 11.1%. The increase in the effective tax rate between the six months ended June 30, 2024 and the six months ended June 30, 2023, is primarily due to the increase in income before income and mining taxes during the first six months of 2023 as a result of the non-taxable revaluation gain recorded on the acquisition of Yamana’s interests in its Canadian assets.

LaRonde mine

	Three Months Ended						Six Months Ended
LaRonde mine — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			381			347			794			736
Tonnes of ore milled per day			4,187			3,813			4,363			4,066
Gold grade (g/t)			5.47			5.57			4.84			5.29
Gold production (ounces)			62,260			58,635			114,075			118,168
Production costs per tonne (C$)		$	156		$	247		$	203		$	189
Minesite costs per tonne (C$)		$	208		$	206		$	202		$	206
Production costs per ounce		$	702		$	1,091		$	1,045		$	877
Total cash costs per ounce		$	747		$	787		$	874		$	840

Gold production

Second Quarter of 2024 — At the LaRonde mine, gold production increased by 6.2% to 62,260 ounces in the second quarter of 2024, compared with 58,635 ounces in the second quarter of 2023, primarily due to higher throughput levels partially offset by lower gold grades and recovery.

First Six Months of 2024 — Gold production decreased by 3.5% to 114,075 ounces in the first six months of 2024, compared with 118,168 ounces in the first six months of 2023 at the LaRonde mine primarily due to lower gold grades and recovery, partially offset by higher throughput levels.

Production costs

Second Quarter of 2024 — Production costs at the LaRonde mine were $43.7 million in the second quarter of 2024, a decrease of 31.7% compared with production costs of $64.0 million in the second quarter of 2023, primarily due to the timing of inventory sales partially offset by the consumption of stockpiles and higher royalty costs.

Production costs per tonne decreased when compared to the prior-year period due to the same reasons outlined above for production costs and the higher volume of ore milled in the current period. Production costs per ounce decreased when compared to the prior-year period due to the same reasons outlined above for production costs and more gold ounces produced in the current period.

First Six Months of 2024 — Production costs at the LaRonde mine were $119.2 million in the first six months of 2024, an increase of 15.0% compared with production costs of $103.7 million in the first six months of 2023, primarily due to timing of inventory sales and higher milling and royalty costs.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

Production costs per tonne increased when compared to the prior-year period due to the reasons outlined above, partially offset by higher volume of ore milled in the current period. Production costs per ounce increased when compared to the prior-year period due to the reasons outlined above and fewer ounces of gold produced in the current period.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Minesite costs per tonne increased when compared to the prior-year period primarily due to the consumption of stockpiles and higher royalty costs, partially offset by lower underground maintenance costs and the higher volume of ore milled. Total cash costs per ounce decreased for the same reasons described above for production costs per ounce.

First Six Months of 2024 — Minesite costs per tonne decreased when compared to the prior-year period primarily due to higher volume of ore milled and lower mining costs, partially offset by higher milling and royalty costs. Total cash costs per ounce increased when compared to the prior-year period primarily due to lower grades and lower by-product revenues and higher milling and royalty costs.

LaRonde Zone 5 mine

	Three Months Ended						Six Months Ended
LaRonde Zone 5 mine — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			299			313			566			632
Tonnes of ore milled per day			3,286			3,440			3,110			3,492
Gold grade (g/t)			2.25			1.89			2.18			1.99
Gold production (ounces)			20,074			18,145			36,623			38,219
Production costs per tonne (C$)		$	93		$	94		$	94		$	94
Minesite costs per tonne (C$)		$	92		$	90		$	94		$	93
Production costs per ounce		$	1,002		$	1,199		$	1,069		$	1,151
Total cash costs per ounce		$	1,030		$	1,198		$	1,098		$	1,175

Gold production

Second Quarter of 2024 — At the LaRonde Zone 5 mine, gold production increased by 10.6% to 20,074 ounces in the second quarter of 2024 compared with 18,145 ounces in the second quarter of 2023, primarily due to higher gold grades, partially offset by lower throughput levels and recovery.

First Six Months of 2024 — Gold production decreased by 4.2% to 36,623 ounces in the first six months of 2024 from 38,219 ounces in the first six months of 2023 at the LaRonde Zone 5 mine primarily due to lower throughput levels and recovery, partially offset by higher gold grades.

Production costs

Second Quarter of 2024 — Production costs at the LaRonde Zone 5 mine were $20.1 million in the second quarter of 2024, a decrease of 7.5% compared with production costs of $21.8 million in the second quarter of 2023, primarily due to lower milling costs and the build-up of stockpiles, partially offset by higher underground maintenance and royalty costs.

Production costs per tonne decreased when compared to the prior-year period for the same reasons outlined above for production costs, partially offset by lower volume of ore milled in the current period. Production costs per ounce decreased when compared to the prior-year period for the same reasons outlined above for production costs and more ounces of gold produced in the current period.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

First Six Months of 2024 — Production costs at the LaRonde Zone 5 mine were $39.1 million in the first six months of 2024, a decrease of 11.0% compared with production costs of $44.0 million in the first six months of 2023, primarily due to the build up of stockpiles and lower milling costs, partially offset by higher underground mining and maintenance costs.

Production costs per tonne remained unchanged when compared to the prior-year period. Production costs per ounce decreased when compared to the prior-year period due to the same reasons outlined above for production costs, partially offset by fewer ounces of gold produced in the current period.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Minesite costs per tonne increased when compared to the prior-year period due to lower volume of ore tonnes milled. Total cash costs per ounce decreased when compared to the prior-year period due to the same reasons outlined above for production costs per ounce.

First Six Months of 2024 — Minesite costs per tonne increased when compared to the prior-year period due to lower volume of ore tonnes milled. Total cash costs per ounce decreased when compared to the prior-year period due to the same reasons outlined above for production costs per ounce.

LaRonde complex

	Three Months Ended						Six Months Ended
LaRonde complex — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			680			660			1,360			1,368
Tonnes of ore milled per day			7,473			7,253			7,473			7,558
Gold grade (g/t)			4.05			3.82			3.73			3.77
Gold production (ounces)			82,334			76,780			150,698			156,387
Production costs per tonne (C$)		$	128		$	174		$	158		$	145
Minesite costs per tonne (C$)		$	157		$	151		$	157		$	154
Production costs per ounce		$	775		$	1,117		$	1,051		$	944
Total cash costs per ounce		$	816		$	884		$	929		$	922

Gold production

Second Quarter of 2024 — Gold production at LaRonde increased when compared to the prior-year period primarily due to higher higher volumes of ore mined and milled at the LaRonde Zone 5 mine and higher gold grades as per the mining sequence, partially offset by lower recovery.

First Six Months of 2024 — Gold production at LaRonde decreased when compared to the prior-year period due to lower gold grades and lower recovery, partially offset by higher volume of ore milled.

Production costs

Second Quarter of 2024 — Production costs at LaRonde decreased by 25.6% in the second quarter of 2024 when compared with the second quarter of 2023, primarily due to the timing of inventory sales, partially offset by higher royalty costs at the LaRonde mine.

Production costs per tonne decreased when compared to the prior-year period primarily due to the higher volume of ore milled in the current period and lower production costs. Production costs per ounce decreased when compared to the prior-year period primarily due to increased gold production and lower production costs.

First Six Months of 2024 — Production costs at LaRonde increased by 7.3% in the first six months of 2024 compared with the first six months of 2023 primarily due to the timing of inventory sales and higher milling and royalty costs at the LaRonde mine.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

Production costs per tonne increased when compared to the prior-year period primarily due to the lower volume of ore milled in the current period and higher production costs. Production costs per ounce increased when compared to the prior-year period primarily due to fewer ounces of gold produced and higher production costs.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Minesite costs per tonne increased when compared to the prior-year period primarily due to higher milling and royalty costs at the LaRonde mine, partially offset by higher volume of ore milled. Total cash costs per ounce decreased when compared to the prior-year period primarily for the same reasons as the decrease in production costs per ounce.

First Six Months of 2024 — Minesite costs per tonne increased when compared to the prior-year period primarily due to the reasons outlined above regarding the increase in production costs per tonne. Total cash costs per ounce increased when compared to the prior-year period primarily for the same reasons as the decrease in production costs per ounce.

Canadian Malartic

	Three Months Ended						Six Months Ended
Canadian Malartic — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes) (100%)			5,182			4,882			10,355			9,406
Tonnes of ore milled per day (100%)			56,945			53,648			56,896			51,967
Gold grade (g/t)			1.17			1.22			1.19			1.21
Gold production (ounces)(1)			180,871			177,755			367,777			258,440
Production costs per tonne (C$)		$	38		$	40		$	35		$	38
Minesite costs per tonne (C$)		$	42		$	39		$	42		$	39
Production costs per ounce		$	798		$	811		$	737		$	780
Total cash costs per ounce		$	871		$	772		$	860		$	779

Note:

(i)

Reflects Agnico Eagle’s 50% interest in Canadian Malartic up to and including March 30, 2023 and 100% thereafter.

Gold production

Second Quarter of 2024 — At Canadian Malartic, gold production increased by 1.8% to 180,871 ounces in the second quarter of 2024 compared with gold production of 177,755 ounces in the second quarter of 2023, due to higher throughput from the Barnat pit and Odyssey mine, partially offset by lower gold grades and recovery.

First Six Months of 2024 — At Canadian Malartic, gold production increased by 64.0% to 367,777 ounces in the first six months of 2024 compared with attributable gold production of 258,440 ounces in the first six months of 2023, due to the increase in the Company’s ownership percentage between periods from 50% to 100% as a result of the Yamana Transaction.

Production costs

Second Quarter of 2024 — Production costs at Canadian Malartic were $144.3 million in the second quarter of 2024, a slight increase of 0.1% compared with production costs of $144.2 million in the second quarter of 2023, primarily due to higher underground production costs with the ramp-up of operations at the Odyssey mine and the timing of inventory sales which were partly offset by stockpile build-up.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

Production costs per tonne decreased when compared to the prior-year period primarily due to higher volume of ore milled. Production costs per ounce decreased when compared to the prior-year period due to more ounces of gold produced in the current period.

First Six Months of 2024 — Production costs at Canadian Malartic were $270.9 million in the first six months of 2024, an increase of 34.5% compared with production costs of $201.5 million in the first six months of 2023, due to the impact of the change in ownership percentage between periods and the recognition of fair value adjustments to inventory due to the Yamana Transaction.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Minesite costs per tonne increased when compared to the prior-year period due to higher royalty costs during the quarter, partially offset by higher volume of ore milled. Total cash costs per ounce increased when compared to the prior-year period primarily due to the timing of inventory adjustments during the comparative quarter.

First Six Months of 2024 — Minesite costs per tonne increased when compared to the prior-year period due to higher royalty costs in the current period partially offset by higher volume of ore milled. Total cash costs per ounce increased when compared to the prior-year period primarily due to the timing of inventory adjustments during the comparative quarter.

Goldex

	Three Months Ended						Six Months Ended
Goldex — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			765			761			1,525			1,459
Tonnes of ore milled per day			8,407			8,363			8,379			8,061
Gold grade (g/t)			1.62			1.74			1.63			1.74
Gold production (ounces)			33,750			37,716			68,138			71,739
Production costs per tonne (C$)		$	59		$	50		$	59		$	52
Minesite costs per tonne (C$)		$	60		$	51		$	60		$	51
Production costs per ounce		$	980		$	747		$	973		$	781
Total cash costs per ounce		$	864		$	776		$	906		$	792

Gold production

Commercial production was achieved at the Akasaba project in February 2024.

Second Quarter of 2024 — Gold production at Goldex decreased by 10.5% to 33,750 ounces in the second quarter of 2024, compared with 37,716 ounces in the second quarter of 2023, primarily due to lower gold grades from increased ore sourced from Akasaba West and lower recovery.

First Six Months of 2024 — Gold production decreased by 5.0% to 68,138 ounces in the first six months of 2024, compared with 71,739 ounces in the first six months of 2023 at Goldex due to lower gold grades from increased ore sourced from Akasaba West and lower recovery, partially offset by a higher volume of ore processed.

Production costs

Second Quarter of 2024 — Production costs at Goldex were $33.1 million in the second quarter of 2024, an increase of 17.5% compared with production costs of $28.2 million in the second quarter of 2023, primarily

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

due to higher underground production costs, higher open pit mining costs, higher milling costs and a lower deferred stripping adjustment associated with Akasaba West.

Production costs per tonne increased when compared to the prior-year period for the same reasons described above for production costs, partially offset by higher volume of ore milled in the current period. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for production costs and fewer ounces of gold produced in the current period.

First Six Months of 2024 — Production costs at Goldex were $66.3 million in the first six months of 2024, an increase of 18.3% compared with production costs of $56.0 million in the first six months of 2023, primarily due to higher underground production costs, higher open pit mining costs, higher milling costs and a lower deferred stripping adjustment associated with Akasaba West.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Minesite costs per tonne increased when compared to the prior-year period due to the same reasons outlined above for the higher production costs per tonne. Total cash costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for the higher production costs per ounce.

First Six Months of 2024 — Minesite costs per tonne increased when compared to the prior-year period primarily due to the same reasons outlined above for the higher production costs per tonne. Total cash costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for the higher production costs per ounce.

Detour Lake

	Three Months Ended						Six Months Ended
Detour Lake — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			6,792			6,800			13,294			13,197
Tonnes of ore milled per day			74,637			74,725			73,044			72,912
Gold grade (g/t)			0.86			0.85			0.84			0.85
Gold production (ounces)			168,247			169,352			318,998			331,209
Production costs per tonne (C$)		$	24		$	22		$	26		$	23
Minesite costs per tonne (C$)		$	26		$	26		$	27		$	26
Production costs per ounce		$	715		$	666		$	791		$	685
Total cash costs per ounce		$	791		$	731		$	829		$	750

Gold production

Second Quarter of 2024 — At Detour Lake, gold production decreased by 0.7% to 168,247 ounces in the second quarter of 2024 compared with 169,352 ounces in the second quarter of 2023, primarily due to lower recovery as a result of solution losses, carbon breakage and grinding media spalling experienced during the quarter, partially offset by higher gold grades.

First Six Months of 2024 — Gold production at Detour Lake decreased by 3.7% to 318,998 ounces in the first six months of 2024 compared with 331,209 ounces in the first six months of 2023, primarily due to lower

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

recovery and gold grades, mainly due to abnormal chipping of grinding media affecting grinding efficiency, partially offset by higher throughput.

Production costs

Second Quarter of 2024 — Production costs at Detour Lake were $120.3 million in the second quarter of 2024, an increase of 6.7% compared with production costs of $112.8 million in the first quarter of 2023, primarily due to higher milling costs as a result of lower grinding media efficiency in the SAG mill and higher mining costs, partially offset by stockpile build-up in the current period.

Production costs per tonne increased when compared to the prior-year period due to the same reasons outlined above for production costs and a lower volume of ore milled in the current period. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for production costs and fewer ounces of gold produced in the current period.

First Six Months of 2024 — Production costs at Detour Lake were $252.2 million in the first six months of 2024, an increase of 11.2% compared to production costs of $226.8 million during the first six months of 2023, primarily due to higher milling costs as a result of grinding media efficiency in the SAG mill and higher mining costs, partially offset by stockpile build-up in the current period.

Production costs per tonne increased when compared to the prior-year period due to the same reasons outlined above for production costs partially offset by higher volume of ore milled in the current period. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for production costs and fewer ounces of gold produced in the current period.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Minesite costs per tonne remained unchanged when compared to the prior period. Total cash costs per ounce increased when compared to the prior-year period due to the same reasons as the higher production costs per ounce.

First Six Months of 2024 — Minesite costs per tonne increased when compared to the prior year period due to the same reasons outlined above for production costs per tonne. Total cash cost per ounce increased when compared to the prior year period due to the same reasons as the higher production costs per ounce.

Additional Information Regarding Detour Lake

At Detour lake, the Company estimates that a $130 increase or decrease in the gold price assumption would result in an approximate 30% increase or 20% decrease, respectively, in mineral reserves. Additional information regarding the Company’s other material properties is available in the AIF.

Macassa

	Three Months Ended						Six Months Ended
Macassa — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			152			112			286			199
Tonnes of ore milled per day			1,670			1,231			1,571			1,099
Gold grade (g/t)			13.44			16.16			14.77			19.29
Gold production (ounces)			64,062			57,044			132,321			121,159
Production costs per tonne (C$)		$	459		$	464		$	470		$	519
Minesite costs per tonne (C$)		$	476		$	503		$	484		$	539
Production costs per ounce		$	797		$	676		$	746		$	631
Total cash costs per ounce		$	833		$	747		$	770		$	672

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

Gold production

Second Quarter of 2024 — At Macassa, gold production increased by 12.3% to 64,062 ounces in the second quarter of 2024 compared with 57,044 ounces in the second quarter of 2023, primarily due to higher throughput, as a result of increased productivity from a larger workforce, new ventilation infrastructure, and improved equipment availability and the addition of ore sourced from the Near Surface deposit, partially offset by lower gold grades.

First Six Months of 2024 — Gold production at Macassa increased by 9.2% to 132,321 ounces in the first six months of 2024 compared to 121,159 ounces in the first six months of 2023, primarily due to higher throughput, as a result of increased productivity from a larger workforce, new ventilation infrastructure and improved equipment availability and the addition of ore sourced from the Near Surface deposit, partially offset by lower gold grades.

Production costs

Second Quarter of 2024 — Production costs were $51.0 million in the second quarter of 2024, an increase of 32.4% compared with production costs of $38.5 million in the second quarter of 2023, primarily due to higher mining costs resulting from increased mining activities in the period when compared to the prior period.

Production costs per tonne decreased when compared to the prior-year period due to the higher volume of ore milled in the current period, partially offset by higher underground development and mining costs. Production costs per ounce increased when compared to the prior-year period due to higher underground development and mining costs, partially offset by increased gold production in the current period.

First Six Months of 2024 — Production costs were $98.7 million in the first six months of 2024, an increase of 29.0% compared to production costs of $76.5 million during the first six months of 2023, primarily due to higher mining costs as a result of increased mining activities when compared to prior period.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Minesite costs per tonne decreased when compared to the prior-year period due to the same reasons as for the lower production costs per tonne. Total cash costs per ounce increased when compared to the prior-year period due to the same reasons as for the higher production costs per ounce.

First Six Months of 2024 — Minesite costs per tonne decreased when compared to the prior-year period due to the same reasons as for the lower production costs per tonne. Total cash costs per ounce increased when compared to the prior-year period due to the same reasons as for the higher production costs per ounce.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

Meliadine

	Three Months Ended						Six Months Ended
Meliadine — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			421			461			917			937
Tonnes of ore milled per day			4,626			5,066			5,038			5,177
Gold grade (g/t)			6.79			6.14			6.49			6.13
Gold production (ounces)			88,675			87,682			184,400			178,149
Production costs per tonne (C$)		$	278		$	230		$	265		$	229
Minesite costs per tonne (C$)		$	254		$	261		$	249		$	250
Production costs per ounce		$	969		$	899		$	973		$	898
Total cash costs per ounce		$	892		$	1,019		$	918		$	978

Gold production

Second Quarter of 2024 — At Meliadine, gold production increased by 1.1% to 88,675 ounces in the second quarter of 2024 compared with 87,682 ounces in the second quarter of 2023, primarily due to higher gold grades as expected under the mining sequence, partially offset by lower throughput.

First Six Months of 2024 — Gold production increased by 3.5% to 184,400 ounces in the first six months of 2024 compared with 178,149 ounces in the first six months of 2023, primarily due to higher gold grades as expected under the mining sequence, partially offset by lower throughput.

Production costs

Second Quarter of 2024 — Production costs at Meliadine were $85.9 million in the second quarter of 2024, an increase of 9.0% compared with production costs of $78.8 million in the second quarter of 2023, primarily due to the timing of inventory sales and higher underground services and royalty costs, partially offset by the build-up of stockpiles in the current period.

Production costs per tonne increased when compared to the prior-year period for the same reasons described above for production costs and a lower volume of ore milled in the current period. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for production costs, partially offset by increased gold production in the current period.

First Six Months of 2024 — Production costs at Meliadine were $179.4 million during the first six months of 2024, an increase of 12.1% compared to production costs of $160.0 million during the first six months of 2023, primarily due to the timing of inventory sales and higher underground services and royalty costs, partially offset by the build-up of stockpiles in the current period.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Minesite costs per tonne decreased when compared to the prior-year period primarily due to the build up in stockpiles, partially offset by the lower volume of ore milled. Total cash costs per ounce decreased when compared to the prior-year period primarily due to the build up of stockpiles and increased gold production in the current period.

First Six Months of 2024 — Minesite costs per tonne decreased when compared to the prior-year period primarily due to the build up in stockpiles, partially offset by the lower volume of ore milled. Total cash costs

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

per ounce decreased when compared to the prior-year period primarily due to the build up of stockpiles and increased gold production in the current period.

Meadowbank

	Three Months Ended						Six Months Ended
Meadowbank — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			990			845			2,061			1,828
Tonnes of ore milled per day			10,879			9,286			11,324			10,099
Gold grade (g/t)			4.36			3.79			4.22			3.85
Gold production (ounces)			126,419			94,775			254,193			205,885
Production costs per tonne (C$)		$	169		$	186		$	156		$	181
Minesite costs per tonne (C$)		$	160		$	178		$	155		$	176
Production costs per ounce		$	973		$	1,240		$	933		$	1,202
Total cash costs per ounce		$	922		$	1,156		$	930		$	1,144

Gold production

Second Quarter of 2024 — At Meadowbank, gold production increased by 33.4% to 126,419 ounces in the second quarter of 2024, compared with 94,775 ounces in the second quarter of 2023, primarily due to higher throughput as operations in the prior period were affected by unplanned mill shutdowns due to caribou migration patterns, and higher gold grades as expected under the mine plan.

First Six Months of 2024 — Gold production increased by 23.5% to 254,193 ounces in the first six months of 2024 compared with 205,885 ounces in the first six months of 2023, primarily due to higher throughput, as the comparative period was affected by unplanned downtime at the SAG mill and unplanned shutdowns due to caribou migration patterns, and higher gold grades as expected under the mine plan.

Production costs

Second Quarter of 2024 — Production costs at Meadowbank were $123.0 million in the second quarter of 2024, an increase of 4.7% compared with production costs of $117.5 million in the second quarter of 2023, primarily due to a lower deferred stripping adjustment at the open pit and higher royalty costs, partially offset by a build-up of stockpiles.

Production costs per tonne decreased when compared to the prior-year period due to a higher volume of ore milled. Production costs per ounce decreased when compared to the prior-year period due to more ounces of gold being produced in the current period.

First Six Months of 2024 — Production costs at Meadowbank were $237.2 million in the first six months of 2024, a decrease of 4.2% compared with production costs of $247.5 million in the first six months of 2023, primarily due to a build-up in stockpiles and lower open pit mining costs, partially offset by a lower deferred stripping adjustment and higher royalty costs.

Production costs per tonne decreased when compared to the prior-year period primarily due to a higher volume of ore milled in the current period. Production costs per ounce decreased when compared to the prior-year period primarily due to more ounces of gold produced in the current period.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Minesite costs per tonne decreased when compared to the prior-year period due to the same reasons as for the lower production costs per tonne. Total cash costs per ounce decreased when compared to the prior-year period due to the same reasons outlined above for the lower production costs per ounce.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

First Six Months of 2024 — Minesite costs per tonne decreased when compared to the prior-year period due to the same reasons as for the lower production costs per tonne. Total cash costs per ounce decreased when compared to the prior-year period due to the same reasons outlined above for the lower production costs per ounce.

Fosterville

	Three Months Ended						Six Months Ended
Fosterville — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			234			176			406			324
Tonnes of ore milled per day			2,571			1,934			2,231			1,790
Gold grade (g/t)			9.06			14.77			9.68			16.49
Gold production (ounces)			65,963			81,813			122,532			168,371
Production costs per tonne (A$)		$	237		$	308		$	264		$	335
Minesite costs per tonne (A$)		$	259		$	304		$	265		$	321
Production costs per ounce		$	558		$	438		$	575		$	430
Total cash costs per ounce		$	608		$	436		$	575		$	416

Gold production

Second Quarter of 2024 — At Fosterville, gold production decreased by 19.4% to 65,963 ounces in the second quarter of 2024 compared with 81,813 ounces in the second quarter of 2023, primarily due to the lower gold grades from mine sequencing, partially offset by higher throughput.

First Six Months of 2024 — Gold production at Fosterville decreased by 27.2% to 122,532 ounces in the first six months of 2024, compared with 168,371 ounces in the first six months of 2023, primarily due to lower grades from mine sequencing, partially offset by the higher throughput.

Production costs

Second Quarter of 2024 — Production costs were $36.8 million in the second quarter of 2024, an increase of 2.8% compared with production costs of $35.8 million in the second quarter of 2023, primarily due to higher mining costs as a result increased volume mined, higher royalty costs, partially offset by the timing of inventory sales, the build-up of stockpiles and the weaker Australian dollar relative to the U.S. dollar.

Production costs per tonne decreased when compared to the prior-year period due to a higher volume of ore tonnes milled, partially offset by the cost increases outlined above. Production costs per ounce increased when compared to the prior-year period due to lower gold production in the period partially offset by the weaker Australian dollar relative to the U.S. dollar.

First Six Months of 2024 — Production costs were $70.5 million in the first six months of 2024, a decrease of 2.7% compared to production costs of $72.4 million during the first six months of 2023, primarily due to the timing of inventory sales and the weaker Australian dollar relative to the U.S. dollar.

Production costs per tonne decreased when compared to the prior-year period due to the same reasons above for production costs and the higher volume of ore milled. Production costs per ounce increased when compared to the prior-year period due to fewer ounces produced in the period partially offset by the weaker Australian dollar relative to the U.S. dollar.

On May 29, 2023 the Victorian Environment Protection Authority lifted the prohibition notice related to excess noise levels on Fosterville that was imposed in late 2021, allowing Fosterville to resume normal activities throughout the month of June 2023.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

Minesite cost per tonne and total cash costs per ounce

Kittila

	Three Months Ended						Six Months Ended
Kittila — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			524			417			1,006			913
Tonnes of ore milled per day			5,758			4,582			5,527			5,044
Gold grade (g/t)			4.07			4.42			4.19			4.59
Gold production (ounces)			55,671			50,130			110,252			113,822
Production costs per tonne (EUR)		€	102		€	101		€	107		€	100
Minesite costs per tonne (EUR)		€	101		€	104		€	106		€	101
Production costs per ounce		$	1,033		$	864		$	1,057		$	849
Total cash costs per ounce		$	1,020		$	899		$	1,044		$	847

Gold production

Second Quarter of 2024 — At Kittila, gold production increased by 11.1% to 55,671 ounces in the second quarter of 2024, compared with 50,130 ounces in the second quarter of 2023, due to higher throughput as the mill operated through the current period compared to a planned 10-day autoclave shutdown in the prior year period, partially offset by lower grades and recovery.

First Six Months of 2024 — Gold production decreased by 3.1% to 110,252 ounces in the first six months of 2024, compared with 113,822 ounces in the first six months of 2023 due to lower grades and recovery, partially offset by higher throughput.

Production costs

Second Quarter of 2024 — Production costs at Kittila were $57.5 million in the second quarter of 2024, an increase of 32.8% compared with production costs of $43.3 million in the second quarter of 2023, primarily due to the consumption of stockpiles in the current year compared to a build up of stockpiles in the prior year period, the timing of inventory sales and higher underground mining and royalty costs, partially offset by lower mill maintenance costs in the current period.

Production costs per tonne increased when compared to the prior-year period primarily due to the consumption of stockpiles and higher royalty costs, partially offset by lower mill maintenance costs and a higher volume of ore milled in the current period. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for production costs and the timing of inventory sales, partially offset by more ounces of gold being produced in the current period.

First Six Months of 2024 — Production costs at Kittila were $116.6 million in the first six months of 2024, an increase of 20.6% compared with production costs of $96.6 million in the first six months of 2023, primarily

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

due to the consumption of stockpiles in the current year compared to a build up of stockpiles in the prior-year period, the timing of inventory sales and higher underground mining and royalty costs.

Production costs per tonne increased when compared to the prior-year period primarily due to the consumption of stockpiles in the current year compared to a build up of stockpiles in the prior year period, higher royalty costs, partially offset by a higher volume of ore milled in the current period. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for production costs and fewer ounces of gold being produced in the current period.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Minesite costs per tonne decreased when compared to the prior-year period mainly due to the higher volume of ore milled in the current period, partially offset by the consumption of stockpiles. Total cash costs per ounce increased when compared to the prior-year period due to the same reasons as the higher production costs per ounce.

First Six Months of 2024 — Minesite costs per tonne increased when compared to the prior year period primarily due to the same reasons outlined above for production costs per tonne. Total cash costs per ounce increased when compared to the prior year period due to the same reasons as the higher production costs per ounce.

Pinos Altos

	Three Months Ended						Six Months Ended
Pinos Altos — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			454			401			880			765
Tonnes of ore milled per day			4,989			4,407			4,835			4,227
Gold grade (g/t)			1.70			1.80			1.79			1.97
Gold production (ounces)			23,754			22,159			48,479			46,293
Production costs per tonne		$	95		$	87		$	87		$	88
Minesite costs per tonne		$	93		$	90		$	94		$	91
Production costs per ounce		$	1,815		$	1,566		$	1,578		$	1,461
Total cash costs per ounce		$	1,414		$	1,282		$	1,380		$	1,196

Gold production

Second Quarter of 2024 — At Pinos Altos, gold production increased by 7.2% to 23,754 ounces in the second quarter of 2024, compared with 22,159 ounces in the second quarter of 2023, primarily due to higher throughput, partially offset by the lower gold grades as expected under the mining sequence.

First Six Months of 2024 — Gold production increased by 4.7% to 48,479 ounces in the first six months of 2024, compared with 46,293 ounces in the first six months of 2023 at Pinos Altos, primarily due to the higher volume of ore milled, partially offset by the lower gold grades as expected under the mining sequence.

Production costs

Second Quarter of 2024 — Production costs at Pinos Altos were $43.1 million in the second quarter of 2024, an increase of 24.2% compared with production costs of $34.7 million in the second quarter of 2023, primarily due to higher underground development costs, higher milling costs, the timing of inventory sales and the strengthening of the Mexican peso relative to the US dollar between periods.

Production costs per tonne increased when compared to the prior-year period primarily due to a lower deferred stripping adjustment, partially offset by a higher volume of ore milled in the current period. Production costs

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

per ounce increased when compared to the prior-year period for the same reasons outlined above for production costs, partially offset by more ounces of gold produced in the current period.

First Six Months of 2024 — Production costs at Pinos Altos were $76.5 million in the first six months of 2024, an increase of 13.1% compared with production costs of $67.6 million in the first six months of 2023, primarily due to higher underground development costs, higher milling costs and the strengthening of the Mexican peso relative to the US dollar between periods, partially offset by timing of inventory sales.

Production costs per tonne decreased when compared to the prior-year period primarily due to a higher volume of ore milled, partially offset by lower deferred stripping adjustment in the current period. Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above for production costs partially offset by more ounces of gold produced in the period.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Minesite costs per tonne increased when compared to the prior-year period due to the same reasons as the higher production costs per tonne. Total cash costs per ounce increased when compared to the prior-year period due to the same reasons as the higher production costs per ounce.

First Six Months of 2024 — Minesite costs per tonne increased when compared to the prior-year period primarily due to higher inventory adjustments in the period, partially offset by higher volume of ore processed. Total cash costs per ounce increased when compared to the prior year period for the same reasons outlined above and the stronger Mexican Peso relative to the US dollar between periods.

La India

	Three Months Ended						Six Months Ended
La India — Operating Statistics	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Tonnes of ore milled (thousands of tonnes)			—			880			—			1,540
Tonnes of ore milled per day			—			9,670			—			8,508
Gold grade (g/t)			—			0.74			—			0.72
Gold production (ounces)			6,079			17,833			16,661			34,154
Production costs per tonne			—		$	27			—		$	28
Minesite costs per tonne			—		$	28			—		$	30
Production costs per ounce		$	2,146		$	1,326		$	1,742		$	1,281
Total cash costs per ounce		$	2,171		$	1,385		$	1,715		$	1,348

Gold production

Second Quarter of 2024 — At La India, gold production decreased by 65.9% to 6,079 ounces in the second quarter of 2024, compared with 17,833 ounces in the second quarter of 2023, due to cessation of mining operations in the fourth quarter of 2023. Gold production in the second quarter of 2024 resulted only from residual leaching.

First Six Months of 2024 — Gold production decreased by 51.2% to 16,661 ounces in the first six months of 2024, compared with 34,154 ounces in the first six months of 2023 for the same reasons outlined above for the second quarter of 2024.

Production costs

Second Quarter of 2024 — Production costs at La India were $13.0 million in the second quarter of 2024, a decrease of 44.8% compared with production costs of $23.6 million in the second quarter of 2023, driven

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

primarily by the cessation of mining activities, partially offset by the strengthening of the Mexican peso relative to the US dollar between periods.

Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above primarily due to fewer ounces of gold produced in the period.

First Six Months of 2024 — Production costs at La India were $29.0 million in the first six months of 2024, a decrease of 33.6% compared with production costs of $43.7 million in the first six months of 2023, driven primarily by the cessation of mining activities, partially offset by the strengthening of the Mexican peso relative to the US dollar between periods.

Production costs per ounce increased when compared to the prior-year period due to the same reasons outlined above primarily due to fewer ounces of gold produced in the period.

Minesite cost per tonne and total cash costs per ounce

Second Quarter of 2024 — Total cash costs per ounce increased when compared to the prior-year period primarily due to fewer ounces of gold produced in the period.

First Six Months of 2024 — Total cash costs per ounce increased when compared to the prior-year period primarily due to fewer ounces of gold produced in the period.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

Balance Sheet Review

(thousands of United States dollars)
Current assets	$	2,712,334	$	2,191,152
Non-current assets		26,578,872		26,493,797
Total assets	$	29,291,206	$	28,684,949
Current liabilities	$	1,791,224	$	1,048,026
Non-current liabilities		7,503,567		8,214,008
Total liabilities	$	9,294,791	$	9,262,034

Total assets of $29.3 billion as at June 30, 2024, increased by $0.6 billion, compared with total assets of $28.7 billion as at December 31, 2023. The Company’s total assets are primarily comprised of non-current assets such as property, plant and mine development and goodwill. The increase in total assets is primarily due to an increase in cash and cash equivalents, non-current stockpiles and investments, partially offset by decreases in property, plant and mine development and derivative financial instruments.

Total liabilities of $9.3 billion at June 30, 2024, were consistent with total liabilities at December 31, 2023. The Company’s total liabilities are primarily comprised of non-current liabilities such as deferred income and mining tax liabilities, long-term debt and reclamation provisions.

While the Company occasionally enters into contracts to limit the risk associated with decreased by-product metal prices, increased foreign currency costs (including where used for capital expenditures) and input costs, the contracts act as economic hedges of underlying exposures and are not held for speculative purposes. Agnico Eagle does not use complex derivative contracts to hedge exposures. During the first six months of 2024, the Company put in place currency hedge positions to support its key input costs used in budgeting and mine planning assumptions. As at June 30, 2024, the Company had outstanding currency derivative contracts related to $3,309.2 million of 2024, 2025 and 2026 expenditures (December 31, 2023 — $3,324.7 million) and diesel fuel derivative contracts related to 5.0 million gallons of heating oil (December 31, 2023 — 15.0 million).

Liquidity and Capital Resources

As at June 30, 2024, the Company’s cash and cash equivalents totaled $922.0 million compared with $338.6 million as at December 31, 2023. The Company’s policy is to invest excess cash in what the Company believes to be highly liquid investments of high credit quality to reduce risks associated with these investments. Investments with remaining maturities of less than three months at the time of purchase are classified as cash equivalents. The Company’s decisions regarding the length of maturities it holds are based on cash flow requirements, rates of return and various other factors.

Working capital (current assets less current liabilities) decreased to $921.1 million as at June 30, 2024, compared with $1,143.1 million as at December 31, 2023, primarily due to a $640.0 million increase in the current portion of long-term debt, a $63.3 million decrease in inventories, a $62.5 million increase in the fair value of derivative financial instrument liabilities (net of derivative financial instrument assets) and a $47.7 million increase in income taxes payable, partially offset by a $583.3 million increase in cash and cash equivalents.

Subject to various risks and uncertainties, including those set in this MD&A and in the Company’s AIF, the Company believes it will generate sufficient cash flow from operations and has adequate cash and debt facilities available to finance its current operations, working capital requirements, contractual obligations, debt maturities, planned capital expenditure and exploration programs. While the Company believes its capital resources will be sufficient to satisfy all its mandatory and discretionary commitments, the Company may choose to decrease certain of its discretionary expenditure commitments, which include certain capital expenditures and exploration and corporate development expenses, should unexpected financial circumstances arise in the future. See “Risk Profile” in this MD&A for further details.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

Operating Activities

Cash provided by operating activities increased to $961.3 million in the second quarter of 2024 compared with $722.0 million in the second quarter of 2023 primarily due to higher gold sales from Meadowbank and Meliadine, and 18.6% higher realized gold prices in the current period partially offset by less favourable working capital movements between periods.

Cash provided by operating activities increased to $1,744.5 million in the first six months of 2024 compared with $1,371.6 million in the first six months of 2023 primarily due to higher gold sales volume from Canadian Malartic following the Yamana Transaction and 13.8% higher realized gold prices in the current period, partially offset by less favourable working capital movements between periods.

Investing Activities

Cash used in investing activities in the second quarter of 2024 of $424.6 million decreased compared to $450.2 million of cash used in the second quarter of 2023, primarily due to less capital expenditures and fewer purchases of equity securities between periods.

In the second quarter of 2024, the Company purchased $17.3 million in equity securities and other investments compared with $29.4 million in the second quarter of 2023. The Company’s equity securities and other investments consist primarily of investments in common shares and share purchase warrants of entities in the mining industry.

Cash used in investing activities in the first six months of 2024 of $837.6 million decreased compared to $1,848.9 million of cash used investing activities in the first six months of 2023, primarily due to $1,000.6 million in net non-recurring cash consideration paid in connection with the Yamana Transaction in the comparative period.

In the first six months of 2024, the Company purchased $41.3 million in equity securities and other investments compared with $44.2 million in the first six months of 2023. The Company’s equity securities and other investments consist primarily of investments in common shares and share purchase warrants of entities in the mining industry.

Financing Activities

Cash used in financing activities decreased to $137.2 million in the second quarter of 2024, compared with $582.4 million cash used in financing activities in the second quarter of 2023 primarily due to a $900.0 million repayment of the Old Credit Facility to finance the Yamana Transaction in the comparative period. The repayment of the Old Credit Facility in the comparative period was partially funded by $599.0 million in net proceeds received from the Term Loan Facility.

The Company issued common shares for net proceeds of $89.7 million in the second quarter of 2024, compared with $20.1 million in the second quarter of 2023, attributable to issuances under the employee stock option plan exercises, the incentive share purchase plan and the dividend reinvestment plan.

During the second quarter of 2024, the Company repurchased 763,043 common shares for $50.0 million at an average price of $65.53 under the NCIB. In the second quarter of 2023, the Company did not repurchase any shares under the NCIB.

Cash used in financing activities was $320.3 million in the first six months of 2024, compared with $254.1 million cash provided by financing activities in the first six months of 2023, primarily due to $599.0 million in net proceeds received from the Term Loan Facility that were used to partially repay the Old Credit Facility following the Yamana Transaction in the comparative period.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

The Company issued common shares for net proceeds of $106.5 million in the first six months of 2024, compared with $37.0 million in the first six months of 2023, attributable to issuances under the employee stock option plan exercises, the incentive share purchase plan and the dividend reinvestment plan.

During the first six months of 2024, the Company repurchased 1,138,043 common shares for $69.9 million at an average price of $61.40 under the NCIB. During the first six months of 2023, the Company repurchased 100,000 common shares for $4.8 million at an average price of $47.74 under the NCIB.

On April 25, 2024, Agnico Eagle declared a quarterly cash dividend of $0.40 per common share paid on June 14, 2024 to holders of record of the common shares of the Company as of May 31, 2024. Agnico Eagle has declared a cash dividend every year since 1983. In the second quarter of 2024, the Company paid dividends of $164.3 million compared to $165.3 million paid in the second quarter of 2023. In the first six months of 2024, the Company paid dividends of $321.5 million compared to $321.4 million paid in the first six months of 2023. Although the Company expects to continue paying dividends, future dividends will be at the discretion of the Board and will be subject to factors such as income, financial condition and capital requirements.

On February 12, 2024, the Company replaced its $1.2 billion unsecured revolving credit facility with the $2.0 billion New Credit Facility, which includes an uncommitted accordion feature of $1.0 billion. The New Credit Facility is available in US dollars through SOFR and base rate advances, or in Canadian dollars through CORRA and prime rate advances, priced at the applicable rate plus a margin that ranges from 0.00% to 2.00%. The New Credit Facility also provides for the issuance of letters of credit, priced at the applicable rate plus a margin that varies from 0.60% to 2.00%. The lenders under the New Credit Facility are each paid a standby fee at a rate that ranges from 0.09% to 0.25% of the undrawn portion of the New Credit Facility. In each case, the applicable margin or standby fees vary depending on the Company’s credit rating. The Company’s subsidiaries are not required to guarantee the payment and performance of its obligations under the New Credit Facility, however the Company must provide guarantees from certain of its subsidiaries if any existing indebtedness of the Company benefits from guarantees and the Company no longer maintains an investment grade credit rating, or if the Company incurs new indebtedness for borrowed money and provides guarantees of such new indebtedness from any of its subsidiaries. The Credit Facility contains customary covenants limiting certain actions of the Company and its material subsidiaries, and customary events of default for a borrower with the Company’s credit profile. The Company is also required to maintain a total net debt to capitalization ratio below a specified maximum value.

In the first six months of 2024, the Company drew down and repaid $600.0 million on its Credit Facility. In the first six months of 2023, the Company drew down $1.0 billion on its Old Credit Facility, which was used to finance the cash consideration portion of the Yamana Transaction and repaid $900.0 million of the amount drawn. As at June 30, 2024, the Company’s outstanding balance under the New Credit Facility was nil. Credit Facility availability is reduced by outstanding letters of credit at that date, which were $24.7 million as at June 30, 2024, resulting in $1,975.3 million available for future drawdown.

The Company has five uncommitted letter of credit facilities with certain Canadian financial institutions (the “LC Facilities”). At June 30, 2024, amounts available under these letter of credit facilities are as follows; C$400.0 million, C$320.0 million, C$200.0 million, C$200.0 million and $75.0 million. As at June 30, 2024, the aggregate undrawn face amount of letters of credit under the LC Facilities was $664.5 million. Additionally, the Company has a standby letter of guarantee facility (the “Guarantee Facility”) with a Canadian financial institution providing for a $25.0 million uncommitted letter of guarantee facility. The aggregate undrawn face amount of guarantees under the guarantee facility at June 30, 2024 was $12.0 million.

As at June 30, 2024, the Company has indemnity agreements with three companies for the issuance of surety bonds of which $336.5 million of such surety bonds have been issued under these agreements.

The Company was in compliance with all covenants contained in the New Credit Facility, Term Loan Facility, the LC Facilities, the Guarantee Facility, and the $1,250.0 million of its guaranteed senior unsecured notes as at June 30, 2024.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

Risk Profile

The Company is subject to significant risks, including fluctuations in commodity prices, foreign exchange rates and other risks due to the inherent nature of the business of exploration, development and mining of properties with precious metals. Changes in economic conditions and volatile financial markets may have a significant impact on Agnico Eagle’s cost and availability of financing and overall liquidity. The volatility in gold prices directly affects Agnico Eagle’s revenues, earnings and cash flow. Volatile energy, commodity and consumables prices and currency exchange rates impact production costs. For a more comprehensive discussion of these and other risks, see “Risk Factors” in the AIF filed on the CSA’s SEDAR website and with the SEC as part of the Form 40-F.

Disclosure Controls and Procedures and Internal Controls over Financial Reporting

The Company’s management is responsible for establishing and maintaining adequate internal control over financial reporting (“ICFR”) and disclosure controls and procedures (“DC&P”).

ICFR is a framework designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with IFRS. Management has used the Internal Control — Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework) in order to assess the effectiveness of the Company’s ICFR.

DC&P form a broader framework designed to provide reasonable assurance that information required to be disclosed by the Company in its annual and interim filings and other reports filed under securities legislation is recorded, processed, summarized and reported within the time frame specified in securities legislation and includes controls and procedures designed to ensure that information required to be disclosed by the Company in its annual and interim filings and other reports submitted under securities legislation is accumulated and communicated to the Company’s management to allow timely decisions regarding required disclosure.

Together, the ICFR and DC&P frameworks provide internal control over financial reporting and disclosure. The Company maintains disclosure controls and procedures that are designed to provide reasonable assurance that information, which is required to be disclosed in the Company’s annual and interim filings and other reports filed under securities legislation, is accumulated and communicated in a timely fashion. Due to their inherent limitations, the Company acknowledges that, no matter how well designed, ICFR and DC&P can provide only reasonable assurance of achieving the desired control objectives and as such may not prevent or detect all misstatements. Further, the effectiveness of ICFR is subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with policies or procedures may change.

There have been no significant changes in our internal controls during the three and six months ended June 30, 2024 that have materially affected, or are reasonably likely to materially affect, internal control over financial reporting.

Non-GAAP Financial Performance Measures

This MD&A presents certain financial performance measures, including adjusted net income, adjusted net income per share, EBITDA, adjusted EBITDA, free cash flow, free cash flow before changes in working capital, total cash costs per ounce (on both a by-product and co-product basis), minesite costs per tonne, all-in sustaining costs per ounce (on both a by-product and co-product basis), operating margin, sustaining capital expenditures and development capital expenditures, that are not recognized measures under IFRS. These measures may not be comparable to similar measures reported by other gold producers. Non-GAAP financial performance measures should be considered together with other data prepared in accordance with IFRS.

Adjusted Net Income and Adjusted Net Income Per Share

Adjusted net income and adjusted net income per share are calculated by adjusting the net income as recorded in the condensed interim consolidated statements of income for the effects of certain items that the Company

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

believes are not reflective of the Company’s underlying performance for the reporting period. Adjusted net income is calculated by adjusting net income for items such as foreign currency translation gains or losses, realized and unrealized gains or losses on derivative financial instruments, revaluation gains, impairment loss charges and reversals, environmental remediation, severance and transaction costs related to acquisitions, purchase price allocations to inventory, gains or losses on the disposal of assets, retroactive payments and income and mining taxes adjustments. Adjusted net income per share is calculated by dividing adjusted net income by the weighted average number of shares outstanding on a basic and diluted basis. The Company believes that these generally accepted industry measures are useful to investors in that they allow for the evaluation of the results of continuing operations and in making comparisons between periods. Adjusted net income and adjusted net income per share are intended to provide investors with information about the Company’s continuing income generating capabilities from its core mining business, excluding the above adjustments, which the Company believes are not reflective of operational performance. Management uses this measure to, and believes it is useful to investors so they can, understand and monitor for the operating performance of the Company in conjunction with other data prepared in accordance with IFRS.

The following table sets out the calculation of adjusted net income and adjusted net income per share for the three and six months ended June 30, 2024 and June 30, 2023.

	Three Months Ended June 30,						Six Months Ended June 30,
(thousands of United States dollars)	2024			2023			2024			2023
				Restated(i)						Restated(i)
Net income for the period — basic		$	472,016		$	323,670		$	819,208		$	2,140,561
Dilutive impact of cash settling Long Term Incentive Plan			—			(1,140)			2,062			(2,916)
Net income for the period — diluted		$	472,016		$	322,530		$	821,270		$	2,137,645
Foreign currency translation loss (gain)			363			4,014			(4,184)			4,234
Realized and unrealized loss (gain) on derivative financial instruments			19,608			(26,433)			65,543			(32,972)
Transaction costs related to acquisitions			—			1,674			—			16,912
Revaluation gain on Yamana Transaction			—			—			—			(1,543,414)
Environmental remediation			3,108			(1,420)			4,907			(1,977)
Net loss on disposal of property, plant and equipment			16,819			1,058			20,366			3,601
Purchase price allocation to inventory			—			22,821			—			22,821
Other(ii)			13,215			—			13,215			—
Income and mining taxes adjustments(iii)			10,139			(6,121)			(6,316)			(19,223)
Adjusted net income for the period — basic		$	535,268		$	319,263		$	912,739		$	590,543
Adjusted net income for the period — diluted		$	535,268		$	318,123		$	914,801		$	587,627
Net income per share — basic		$	0.95		$	0.66		$	1.64		$	4.45
Net income per share — diluted		$	0.94		$	0.65		$	1.64		$	4.43
Adjusted net income per share — basic		$	1.07		$	0.65		$	1.83		$	1.23
Adjusted net income per share — diluted		$	1.07		$	0.64		$	1.83		$	1.22

Notes:

(i)

Certain previously reported line items have been restated to reflect the final purchase price allocation of the Yamana Transaction. For more information please see Note 5 in the Company’s condensed interim consolidated financial statements.

(ii)

Other adjustments relate to retroactive payments that management considers not reflective of the Company’s underlying performance in the current period.

(iii)

Income and mining taxes adjustments reflect items such as foreign currency translation recorded to the income and mining taxes

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

expense, the impact of income and mining taxes on adjusted items, recognition of previously unrecognized capital losses, the result of income and mining taxes audits, impact of tax law changes and adjustments to prior period tax filings.

EBITDA and Adjusted EBITDA

EBITDA is calculated by adjusting net income for finance costs, amortization of property, plant and mine development and income and mining tax expense line items as reported in the condensed interim consolidated statements of income.

Adjusted EBITDA removes the effects of certain items that the Company believes are not reflective of the Company’s underlying performance for the reporting period. Adjusted EBITDA is calculated by adjusting the EBITDA calculation for items such as foreign currency translation gains or losses, realized and unrealized gains or losses on derivative financial instruments, revaluation gains, impairment loss charges and reversals, environmental remediation, severance and transaction costs related to acquisitions, gains or losses on the disposal of assets, retroactive payments and purchase price allocations to inventory.

The Company believes that these generally accepted industry measures are useful in that they allow for the evaluation of the cash generating capability of the Company to fund its working capital, capital expenditure and debt repayments. EBITDA and Adjusted EBITDA are intended to provide investors with information about the Company’s continuing cash generating capability from its core mining business, excluding the above adjustments, which management believes are not reflective of operational performance. Management uses these measures to, and believes it is useful to investors so they can, understand and monitor the cash generating capability of the Company in conjunction with other data prepared in accordance with IFRS.

The following table sets out the calculation of EBITDA and Adjusted EBITDA for the three and six months ended June 30, 2024 and June 30, 2023.

	Three Months Ended June 30,						Six Months Ended June 30,
(thousands of United States dollars)	2024			2023			2024			2023
				Restated(i)						Restated(i)
Net income for the period		$	472,016		$	323,670		$	819,208		$	2,140,561
Finance costs			34,473			35,837			70,738			59,285
Amortization of property, plant and mine development			378,389			386,314			735,614			690,273
Income and mining tax expense			238,190			137,618			380,046			266,226
EBITDA			1,123,068			883,439			2,005,606			3,156,345
Foreign currency translation loss (gain)			363			4,014			(4,184)			4,234
Realized and unrealized loss (gain) on derivative financial instruments			19,608			(26,433)			65,543			(32,972)
Transaction costs related to acquisitions			—			1,674			—			16,912
Revaluation gain on Yamana Transaction			—			—			—			(1,543,414)
Environmental remediation			3,108			(1,420)			4,907			(1,977)
Net loss on disposal of property. plant and equipment			16,819			1,058			20,366			3,601
Purchase price allocation to inventory			—			22,821			—			22,821
Other(ii)			13,215			—			13,215			—
Adjusted EBITDA		$	1,176,181		$	885,153		$	2,105,453		$	1,625,550

Notes:

(i)

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

(ii)

Other adjustments relate to retroactive payments that management considers not reflective of the Company’s underlying performance in the current period.

Free Cash Flow and Free Cash Flow before Changes in Non-Cash Components of Working Capital

Free cash flow is calculated by deducting additions to property, plant and mine development from the cash provided by operating activities line item as recorded in the condensed interim consolidated statements of cash flows.

Free cash flow before changes in non-cash components of working capital is calculated by excluding items such as the effect of changes in non-cash components of working capital from free cash flow, which includes income taxes, inventory, other current assets, accounts payable and accrued liabilities and interest payable.

The Company believes that these generally accepted industry measures are useful in that they allow for the evaluation of the Company’s ability to repay creditors and return cash to shareholders without relying on external sources of funding. Free cash flow and free cash flow before changes in non-cash components of working capital also provide investors with information about the Company’s financial position and its ability to generate cash to fund operational and capital requirements as well as return cash to shareholders. Management uses these measures in conjunction with other data prepared in accordance with IFRS to, and believes it is useful to investors so they can, understand and monitor the cash generating ability of the Company.

The following table sets out the calculation of free cash flow and free cash flow before changes in non-cash components of working capital for the three and six months ended June 30, 2024 and June 30, 2023.

	Three Months Ended June 30,						Six Months Ended June 30,
(thousands of United States dollars)	2024			2023			2024			2023
				Restated(i)						Restated(i)
Cash provided by operating activities		$	961,336		$	722,000		$	1,744,511		$	1,371,613
Additions to property, plant and mine development			(404,098)			(423,621)			(791,685)			(808,555)
Free cash flow			557,238			298,379			952,826			563,058
Changes in income taxes			(46,426)			(65,428)			(46,802)			(89,405)
Changes in inventory			37,028			28,815			8,856			26,747
Changes in other current assets			84,118			102,810			57,500			83,420
Changes in accounts payable and accrued liabilities			(47,908)			(108,128)			6,082			(100,859)
Changes in interest payable			(1,900)			12,955			(6,831)			10,307
Free cash flow before changes in non-cash components of <br> <br><br> working capital		$	582,150		$	269,403		$	971,631		$	493,268

Note:

(i)

Total Cash Costs per Ounce and Minesite Costs per Tonne

Total cash costs per ounce is calculated on a per ounce of gold produced basis and is reported on both a by-product basis (deducting by-product metal revenues from production costs) and co-product basis (without deducting by-product metal revenues). Total cash costs per ounce on a by-product basis is calculated by adjusting production costs as recorded in the condensed interim consolidated statements of income for by-product revenues, inventory production costs, the impact of purchase price allocation in connection with mergers and acquisitions on inventory accounting, realized gains and losses on hedges of production costs, operational care and maintenance costs due to COVID-19 and other adjustments, which include the costs

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

associated with a 5% in-kind royalty paid in respect of certain portions of Canadian Malartic, a 2% in-kind royalty paid in respect of Detour Lake , a 1.5% in-kind royalty paid in respect of Macassa, as well as smelting, refining and marketing charges and then dividing by the number of ounces of gold produced. Given the nature of the fair value adjustment on inventory related to mergers and acquisitions and the use of the total cash costs per ounce measures to reflect the cash generating capabilities of the Company’s operations, the calculations of total cash costs per ounce for Canadian Malartic has been adjusted for this purchase price allocation in the comparative period data. Investors should note that total cash costs per ounce are not reflective of all cash expenditures, as they do not include income tax payments, interest costs or dividend payments. Total cash costs per ounce on a co-product basis is calculated in the same manner as the total cash costs per ounce on a by-product basis, except that no adjustment is made for by-product metal revenues. Accordingly, the calculation of total cash costs per ounce on a co-product basis does not reflect a reduction in production costs or smelting, refining and marketing charges associated with the production and sale of by-product metals.

Total cash costs per ounce is intended to provide investors information about the cash-generating capabilities of the Company’s mining operations. Management also uses these measures to, and believes they are useful to investors so investors can, understand and monitor the performance of the Company’s mining operations. The Company believes that total cash costs per ounce is useful to help investors understand the costs associated with producing gold and the economics of gold mining. As market prices for gold are quoted on a per ounce basis, using the total cash costs per ounce on a by-product basis measure allows management and investors to assess a mine’s cash-generating capabilities at various gold prices. Management is aware, and investors should note, that these per ounce measures of performance can be affected by fluctuations in exchange rates and, in the case of total cash costs per ounce on a by-product basis, by-product metal prices. Management compensates for these inherent limitations by using, and investors should also consider using, these measures in conjunction with data prepared in accordance with IFRS and minesite costs per tonne as these measures are not necessarily indicative of operating costs or cash flow measures prepared in accordance with IFRS. Management also performs sensitivity analyses in order to quantify the effects of fluctuating metal prices and exchange rates.

Agnico Eagle’s primary business is gold production and the focus of its current operations and future development is on maximizing returns from gold production, with other metal production being incidental to the gold production process. Accordingly, all metals other than gold are considered by-products.

In this MD&A, unless otherwise indicated, total cash costs per ounce is reported on a by-product basis. Total cash costs per ounce is reported on a by-product basis because (i) the majority of the Company’s revenues are from gold, (ii) the Company mines ore, which contains gold, silver, zinc, copper and other metals, (iii) it is not possible to specifically assign all costs to revenues from the gold, silver, zinc, copper and other metals the Company produces, (iv) it is a method used by management and the Board to monitor operations, and (v) many other gold producers disclose similar measures on a by-product rather than a co-product basis.

Minesite costs per tonne are calculated by adjusting production costs as recorded in the condensed interim consolidated statements of income for inventory production costs, operational care and maintenance costs due to COVID-19 and other adjustments, and then dividing by tonnage of ore processed. As the total cash costs per ounce can be affected by fluctuations in by-product metal prices and foreign exchange rates, management believes that minesite costs per tonne is useful to investors in providing additional information regarding the performance of mining operations, eliminating the impact of varying production levels. Management also uses this measure to determine the economic viability of mining blocks. As each mining block is evaluated based on the net realizable value of each tonne mined, in order to be economically viable the estimated revenue on a per tonne basis must be in excess of the minesite costs per tonne. Management is aware, and investors should note, that this per tonne measure of performance can be affected by fluctuations in processing levels. This inherent limitation may be partially mitigated by using this measure in conjunction with production costs and other data prepared in accordance with IFRS.

AGNICO EAGLE MINES LIMITED

      MANAGEMENT’S DISCUSSION AND ANALYSIS 

      \(Prepared in accordance with International Financial Reporting Standards\) 

      For the Three and Six Months Ended June 30, 2024

The following tables set out a reconciliation of total cash costs per ounce (on both a by-product basis and co-product basis) and minesite costs per tonne to production costs, exclusive of amortization, as presented in the condensed interim consolidated statements of income in accordance with IFRS.

Total Production Costs by Mine

	Three Months Ended<br> <br><br> June 30,						Six Months Ended<br> <br><br> June 30,
(thousands of United States dollars)	2024			2023			2024			2023
LaRonde mine		$	43,682		$	63,969		$	119,238		$	103,676
LaRonde Zone 5 mine			20,121			21,763			39,143			43,987
LaRonde complex			63,803			85,732			158,381			147,663
Canadian Malartic(i)			144,333			144,190			270,909			201,481
Goldex			33,084			28,160			66,266			55,995
Meliadine			85,913			78,817			179,364			160,011
Meadowbank			123,014			117,488			237,176			247,492
Kittila			57,529			43,336			116,567			96,631
Detour Lake			120,302			112,796			252,207			226,818
Macassa			51,029			38,545			98,677			76,504
Fosterville			36,824			35,831			70,478			72,430
Pinos Altos			43,109			34,709			76,516			67,631
La India			13,044			23,649			29,028			43,741
Production costs per the condensed interim consolidated <br> <br><br> statements of income		$	771,984		$	743,253		$	1,555,569		$	1,396,397

Reconciliation of Production Costs to Total Cash Costs per Ounce by Mine and Reconciliation of Production Costs to Minesite Costs per Tonne by Mine

(thousands of United States dollars, except as noted)

LaRonde mine<br> <br><br> (per ounce)	Three Months Ended <br> <br><br> June 30, 2024					Three Months Ended <br> <br><br> June 30, 2023					Six Months Ended <br> <br><br> June 30, 2024					Six Months Ended <br> <br><br> June 30, 2023
Gold production (ounces)	62,260					58,635					114,075					118,168
	(thousands)			( per ounce)		(thousands)			( per ounce)		(thousands)			( per ounce)		(thousands)			( per ounce)
Production costs		$	43,682		702		$	63,969		1,091		$	119,238		1,045		$	103,676		877
Inventory adjustments(ii)			16,244		261			(8,971)		(153)			1,533		14			13,534		115
Realized gains and losses on hedges of production costs			351		5			770		13			370		3			1,848		16
Other adjustments(v)			3,227		52			5,555		95			8,220		72			9,903		83
Total cash costs (co-product basis)		$	63,504		1,020		$	61,323		1,046		$	129,361		1,134		$	128,961		1,091
By-product metal revenues			(17,016)		(273)			(15,157)		(259)			(29,606)		(260)			(29,689)		(251)
Total cash costs (by-product basis)		$	46,488		747		$	46,166		787		$	99,755		874		$	99,272		840