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AGNICO-EAGLE
AGNICO EAGLE MINES LIMITED



Corporate Update
   p       p
September 2012
Forward Looking Statements

The information in this document has been prepared as at September 5, 2012. Certain statements contained in this document constitute
“forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and forward looking
information under the provisions of Canadian provincial securities laws. When used in this document, the words “anticipate”, “expect”,
“estimate”, “forecast”, “will”, “planned”, and similar expressions are intended to identify forward looking statements or information
 estimate forecast will planned                                                             forward-looking               information.
Such statements include without limitation: statements regarding timing and amounts of capital expenditures and other assumptions;
estimates of future reserves, resources, mineral production, optimization efforts and sales; estimates of mine life; estimates of future
internal rates of return, mining costs, cash costs, minesite costs and other expenses; estimates of future capital expenditures and other
cash needs, and expectations as to the funding thereof; statements and information as to the projected development of certain ore deposits,
including estimates of exploration, development and production and other capital costs, and estimates of the timing of such exploration,
development and production or decisions with respect to such exploration development and production; estimates of reserves and
                                                                     exploration,
resources, and statements and information regarding anticipated future exploration; the anticipated timing of events with respect to the
Company's mine sites and statements and information regarding the sufficiency of the Company's cash resources. Such statements and
information reflect the Company's views as at the date of this document and are subject to certain risks, uncertainties and assumptions, and
undue reliance should not be placed on such statements and information. Many factors, known and unknown could cause the actual results
to be materially different from those expressed or implied by such forward looking statements and information. Such risks include, but are
not limited to: the volatility of prices of gold and other metals; uncertainty of mineral reserves, mineral resources, mineral grades and
                             y    p         g                    ;           y                     ,                    ,        g
mineral recovery estimates; uncertainty of future production, capital expenditures, and other costs; currency fluctuations; financing of
additional capital requirements; cost of exploration and development programs; mining risks; community protests; risks associated with
foreign operations; governmental and environmental regulation; the volatility of the Company's stock price; and risks associated with the
Company's byproduct metal derivative strategies. For a more detailed discussion of such risks and other factors that may affect the
Company’s ability to achieve the expectations set forth in the forward-looking statements contained in this document, see the Company's
Annual Report on Form 20-F for the year ended December 31, 2011, as well as the Company's other filings with the Canadian Securities
Administrators and th U S S
Ad i i t t         d the U.S. Securities and E h
                                      iti   d Exchange CCommission. Th C
                                                              i i    The Company d  does not i t d and d
                                                                                            t intend, d does not assume any obligation, t
                                                                                                                  t              bli ti    to
update these forward-looking statements and information. Marc Legault, a Qualified Person and the Company’s Senior Vice-President,
Project Evaluations, reviewed the technical information disclosed herein. For a detailed breakdown of the Company’s reserve and resource
position see the February 15, 2012 press release on the Company’s website. That press release also lists the Qualified Persons for each
project.




                                                                                                                                                2
Notes To Investors

Note Regarding The Use Of Non-GAAP Financial Measures

This document presents estimates of future "total cash cost per ounce" and "minesite cost per tonne" that are not recognized measures
under United States generally accepted accounting principles ("US GAAP") This data may not be comparable to data presented by other
                                                                ( US GAAP ).
gold producers. These future estimates are based upon the total cash costs per ounce and minesite costs per tonne that the Company
expects to incur to mine gold at the applicable projects and 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 GAAP measure. A reconciliation of the Company's total cash cost
per ounce and minesite cost per tonne to the most comparable financial measures calculated and presented in accordance with US GAAP
for the Company's historical results of operations is set forth in the notes to the financial statements included in the Company's Annual
             p y                          p                                                                                   p y
Information Form and Annual Report on Form 20-F, for the year ended December 31, 2011, as well as the Company's other filings with the
Canadian Securities Administrators and the SEC.

Note Regarding Production Guidance

The gold production guidance is based on the Company’s mineral reserves but includes contingencies and assumes metal prices and
foreign
f i exchange rates th t are diff
          h        t that       different f
                                        t from th
                                               those used i th reserve estimates. Th
                                                        d in the            ti t    These f t
                                                                                          factors and others mean th t th gold production
                                                                                                    d th           that the ld      d ti
guidance presented in this disclosure does not reconcile exactly with the production models used to support these mineral reserves.




                                                                                                                                               3
AEM Today


 Million ounce gold producer with 55 years of operating
  history

 Focused on delivering total shareholder return

 Lower risk:
    Mature operations
    Low political risk jurisdictions
    Measured production growth
    Free cash flow generator

 Committed to dividends - 30 consecutive years



                                                           4
AEM Strategy
Deliver meaningful per share growth i operating and fi
D li        i f l       h        th in     ti     d financial metrics
                                                          i l   ti

 Grow gold reserves and production in mining friendly
  regions

 Be a low-cost leader
   G l is t move b k i t th i d t ’ l
    Goal i to     back into the industry’s lowest cost quartile
                                                t    t     til

 Acquire small, think big
   Buy early, add value through exploration and mine building

 Maintain a solid financial position
   $1.2 B of available bank lines
   Only 171 M shares outstanding after 55 years of operating history



                                                                        5
Financial Results

 Strong earnings and cash flow continue to strengthen balance sheet

 Investment grade credit rating

 New long-term bond adds to financial flexibility
    Average tenure: 11 years @ 4 94%
                                4.94%


                             YTD 2012    YTD 2012 Total Operating Margin - $498M
Gold                              520                            Lapa
(ounces in thousands)                                            11%
                                                 Laronde
Revenues from                                      19%
mining operations                $932
(millions)                                                                 Kittila
                                                                            16%
Net income                       $122
(millions)

Net income per share             $0.71
(basic)

Cash provided by operating                 Meadowbank
activities                       $391         24%
                                                                        Pinos Altos
(millions)
                                                                           30%


                                                                                      6
Generating Net Free Cash Flow
         Cash flow t fund dividend and growth plans
         C h fl    to f d di id d d        th l

         Capital Expenditures (USD $000's)

           $1,200,000
                                                                                                                                         Approximate Average EBITDA*


           $1,000,000



              $800,000

                                                                                                                                                          Illustrative Ongoing
              $600,000                                                                                                                                        Re-Investment



              $400,000



              $200,000



                       $0
                                   2007A               2008A               2009A               2010A               2011A               2012E                2013                2014


                                                                         Actual                                                                           Estimate


* Approximate average EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization)  estimate  for illustrative purposes using $1700/oz gold, $32/oz silver, $2000/t zinc, C$/US$ 1.00, 1.35USD/€   7
Operations and Projects
LaRonde
Transition to lower mine continues t be challenging
T    iti t l         i      ti     to b h ll    i
 YTD gold production of 83,487
                                      P&P GOLD RESERVES (million oz)                                                     4.7
  oz at total cash costs of $489
  per ounce                           AVERAGE GOLD RESERVE GRADE (g/t)                                                   4.4

 Q2 gold grade 2.4 g/t vs. 1.6 g/t
                                      Indicated resource (million oz)                                                    0.4
  in Q2’11
                                      Inferred resource (million oz)                                                     1.3
 Ramp up slower than expected
  due to heat, congestion and         Estimated LOM (years)                                                                  15
  seismicity
                                      2012 exploration budget
                                                                                                                       $1M
 V l of ore per t
  Value f           tonne             (LaRonde & regional)
  approximately 50% higher over       See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources.

  life of mine versus 2011 at same
  metals prices




                                                                                                                                  9
Lapa
Good t
G d tonnage and cost control
              d    t    t l
 Strong Q2 gold production of
                                    P&P GOLD RESERVES (million oz)                                                     0.5
  28,157 oz at total cash costs
  per ounce of $
               $634                 AVERAGE GOLD RESERVE GRADE (g/t)                                                   6.5

 Anticipated life of mine          Indicated resource (million oz)                                                    0.3
  extended through 2015
                                    Inferred resource (million oz)                                                     0.1
 Underground exploration drift
  to east will provide access to    Est. LOM (years)                                                                       4
  drill targets that could extend
  mine life further                 2012 exploration budget                                                          $5M

                                    See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources.




                                                                                                                               10
Kittila
Large l
L       long-life gold d
             lif    ld deposit continues t grow
                            it    ti     to
 YTD gold production of 81,986oz
                                    P&P GOLD RESERVES (million oz)                                                     5.2
  at total cash costs of $615 per
  ounce                             AVERAGE GOLD RESERVE GRADE (g/t)                                                   4.7

 Initial 25% expansion study       Indicated resource (million oz)                                                    1.0
  expected near year end
                                    Inferred resource (million oz)                                                     1.2
 Good exploration results at
  Rimpi suggest potential for       Estimated LOM (years)                                                                  32
  ongoing phased expansions
                                    2012 exploration budget                                                        $16M

                                    See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources.




                                                                      2006

                                       2007 – 2008
                                                                                                   2012
                                                                                                Focus Area

                                               2009 – 2010                                                          2011




                                                                                                                                11
Kittila – AEM’s Largest Gold Deposit

 Still open for exploration at depth and to the North
 2011 exploration expanded reserves and resources in Roura and Rimpi trends
 $16M in exploration, up to 12 drills in 2012
            exploration




                                                         2012 Focus
                                                            Area




                                                                               12
Mexico – (Pinos Altos & Creston Mascota)
Largest cash fl
L     t    h flow generator and growing production b
                        t     d     i      d ti base
 Record production in Q2 of
                                  P&P GOLD RESERVES (million oz)                                                      3.1
  63,356 oz at total cash costs
  per ounce of $
               $358               AVERAGE GOLD RESERVE GRADE (g/t)                                                    2.1

 H1 mine operating margin -      Indicated resource (million oz)                                                     0.8
  $149 M
                                  Inferred resource (million oz)                                                      0.8
 Drilling program focused
  on satellite deposits           Estimated LOM (years)                                                                   18

                                  2012 exploration budget                                                           $6M

                                   See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources.



                                  $100M                           Cash Operating Profit
                                  $80M

                                  $60M

                                  $40M

                                  $20M

                                    $0M
                                                Q2 11           Q3 11           Q4 11           Q1 12            Q2 12

                                                                                                                               13
La India
Commercial P d ti E
C      i l Production Expected i H2 2014
                           t d in
                                                                P&P GOLD RESERVES (million oz)                                                            0.9
                                                                (45 M tonnes @ 0.7g/t)

                                                                AVERAGE GOLD RESERVE GRADE ( /t)
                                                                                           (g/t)                                                          0.7
                                                                                                                                                          07

                                                                Indicated resource (million oz)                                                           0.4
                                                                (27 M tonnes @ 0.5g/t)

                                                                Inferred resource (million oz)                                                            1.1
                                                                (103 M tonnes @ 0.3g/t)

                                                                Est. LOM (years)                                                                           8
                                                                Note: La India reserves and resource estimate is as of June 30, 2012, disclosed in AEM 
                                                                September 4, 2012 press release.
 Annual gold production of approx. 90
  koz @ average total cash costs of
  approx. $500/oz

 Open pit, heap leach mine, with
  stripping ratio of 1:1
      pp g

 Total construction capital costs of
  $158M

 After tax internal rate of return – 31%*
  After-tax


 * Assumes $1379/oz gold, $26.49/oz silver, 13.00 MXP per USD
                                                                                                                                                                14
Meadowbank
 New l
 N   lower risk mine plan hitti t
            i k i     l hitting targets
                                     t
  Record gold production in Q2 of                      P&P GOLD RESERVES (million oz)                                                         2.2
   98,403 oz at total cash costs per
                                                        AVERAGE GOLD RESERVE GRADE (g/t)
                                                             G GO      S     G                                                                 2.8
   ounce of $804;
                                                        Indicated resource (million oz)                                                        1.3
  H1 operating margin of $121M
                                                        Inferred resource (million oz)                                                         0.5

  Focus has shifted to optimization                    Est. LOM (years)                                                                        6
   and extending mine life
                                                        2012 exploration budget                                                           $7M

                                                        See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources.


Daily Throughput & Cash Operating Profit

10,000tpd                                                                                                                                      $80M
                                                                                                                                               $70M
 9,000tpd
                                                                                                                                               $60M
 8,000tpd                                                                                                                                      $50M
 7,000tpd                                                                                                                                      $40M
                                                                                                                                               $30M
 6,000tpd
                                                                                                                                               $20M
 5,000tpd
  ,    p                                                                                                                                       $10M
 4,000tpd                                                                                                                                      $0M
            Q2 11          Q3 11                        Q4 11                          Q1 12                           Q2 12
                               Daily Throughput (t/d)            Cash Operating Profit

                                                                                                                                                      15
Meliadine
Permitting and road construction underway
P    itti    d    d     t ti       d
 Updated feasibility study expected
                                       P&P GOLD RESERVES (million oz)                                                     2.9
  in late 2013
                                       AVERAGE GOLD RESERVE GRADE (g/t)                                                   7.2
 Exploration success at Wesmeg,
  Normeg improving open pit and        Indicated resource (million oz)                                                    1.7
  underground production scenarios
                                       Inferred resource (million oz)                                                     2.4
 Recent exploration results at
  Pump, F Zone and Wesmeg              2012 exploration budget                                                        $30M
  expected to add meaningful
                                       See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources.
  reserve and resource ounces
  at year-end




                                                                                                                                16
Meliadine Project – Local Geology Map
Fastest
F t t growing deposit with multiple hi h
            i d      it ith  lti l high-grade zones
                                           d




     Exploration target areas




                                                      17
Goldex – Commercial Production Expected in Q2 2014
GEZ remains suspended
         i        d d
 M & E satellite zones have been           Measured & Indicated Gold Resource
                                                                                                                               2.1
  approved for construction                 (million oz)
  following extensive review                Average Measured & Indicated Gold
                                                                                                                               1.8
                                            Resource Grade (g/t)
 Preliminary Economic                      Inferred resource (million oz)                                                     1.6
  Assessment parameters for
                                            Est. LOM (years)
                                                     (y    )                                                                       4
  M & E zones:
          ones
                                            2012 exploration budget                                                        $18M
                                            See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources.



Daily Throughput               5,100 tpd


Gold Grade                        1.5 g/t

LOM Gold Prod’n to 2017       300,000 oz

Minesite Cost             C$41 per tonne

Total Cash Costs          $900 per ounce

Life of Mine                     4 years

Net Free Cash Flow            $70 million



                                                                                                                                       18
Sound Business Continues To Deliver
No h
N change in strategy or f
         i t t          focus

 AEM is among industry leaders in p share p
               g        y          per     production, reserves,
                                                     ,         ,
  cash flows and dividends

 Meaningful near-term production growth driven by LaRonde,
  Meadowbank, La India and Goldex, with manageable, fully funded
  capex

 Solid achievable production and cost guidance
  Solid,

 Expecting growth in reserves through exploration of existing assets

 Business generating strong cash flows in regions of low political risk
    Allocated to dividends, exploration and reinvesting in our core
     assets


                                                                           19
Appendix




           20
Operating Metrics
                                                       LaRonde - Ore milled ('000 tonnes)
           LaRonde                                     LaRonde - Minesite costs per tonne (C$)
7,500tpd                                                                                          $140/t

7,000tpd                                                                                          $120/t

6,500tpd                                                                                          $100/t
6,000tpd                                                                                          $80/t

5,500tpd                                                                                          $60/t

5,000tpd                                                                                          $40/t

4,500tpd                                                                                          $20/t

4,000tpd                                                                                          $0/t
              Q3 10   Q4 10   Q1 11   Q2 11   Q3 11   Q4 11            Q1 12              Q2 12


                                                        Lapa - Ore milled ('000 tonnes)
           Lapa
                                                        Lapa - Minesite costs per tonne (C$)
2,000tpd                                                                                          $170/t
1,800tpd
                                                                                                  $150/t
1,600tpd
1,400tpd
                                                                                                  $130/t
1,200tpd
1,000tpd                                                                                          $110/t
 800tpd
                                                                                                  $90/t
 600tpd
 400tpd
                                                                                                  $70/t
 200tpd
    0tpd
      p                                                                                           $50/t
              Q3 10   Q4 10   Q1 11   Q2 11   Q3 11   Q4 11            Q1 12              Q2 12




                                                                                                           21
Operating Metrics
                                                                                                                               Kittila - Ore milled('000 tonnes)
           Kittila                                                                                                             Kittila - Minesite costs per tonne (EUR)
3,500tpd                                                                                                                                                                           €85/t

3,000tpd                                                                                                                                                                           €80/t
                                                                                                                                                                                   €75/t
2,500tpd
                                                                                                                                                                                   €70/t
2,000tpd                                                                                                                                                                           €65/t
1,500tpd                                                                                                                                                                           €60/t
                                                                                                                                                                                   €55/t
1,000tpd
                                                                                                                                                                                   €50/t
 500tpd                                                                                                                                                                            €45/t
    0tpd                                                                                                                                                                           €40/t
                     Q3 10                 Q4 10              Q1 11                   Q2 11           Q3 11                   Q4 11               Q1 12            Q2 12



           Pinos Altos                                                                                      Meadowbank
6,000tpd                                                                                $60/t   12,000tpd                                                                          $140/t


5,000tpd                                                                                $50/t   10,000tpd                                                                          $120/t

                                                                                                                                                                                   $100/t
4,000tpd                                                                                $40/t    8,000tpd
                                                                                                                                                                                   $80/t
3,000tpd                                                                                $30/t    6,000tpd
                                                                                                                                                                                   $60/t
2,000tpd                                                                                $20/t    4,000tpd
                                                                                                                                                                                   $40/t

1,000tpd                                                                                $10/t    2,000tpd                                                                          $20/t

    0tpd                                                                                $0/t         0tpd                                                                          $0/t
                                                                                                              Q3 10


                                                                                                                      Q4 10


                                                                                                                                  Q1 11


                                                                                                                                          Q2 11


                                                                                                                                                   Q3 11


                                                                                                                                                           Q4 11


                                                                                                                                                                   Q1 12


                                                                                                                                                                           Q2 12
             Q3 10


                        Q4 10


                                   Q1 11


                                            Q2 11


                                                    Q3 11


                                                            Q4 11


                                                                      Q1 12


                                                                              Q2 12




                                Pinos Altos - Ore milled ('000 tonnes)                                                        Meadowbank - Ore milled ('000 tonnes)
                                Pinos Altos - Minesite costs per tonne (USD$)                                                 Meadowbank - Minesite costs per tonne (C$)
                                                                                                                                                                                            22
Gold and Silver Reserves and Resources
December 31, 2011

                     Tonnes Gold                         Gold                                 Tonnes Silver                  Silver
Gold                  (000’s) (g/t)                  (ounces)            Silver                (000’s) (g/t)              (ounces)
                                                       (000 s)
                                                       (000’s)                                                              (000 s)
                                                                                                                            (000’s)



Proven                 11,029        2.80                 994           Proven                   7,318       45.35         10,670




Probable             146,057         3.78             17,757            Probable               72,693        45.06        105,319




Total                                                                   Total
                     157,086         3.71             18,750                                   80,011        45.09        115,989
Reserves                                                                Reserves



Measured &                                                              Measured &
                     168,336
                     168 336         1.78
                                     1 78               9,633
                                                        9 633                                  27,801
                                                                                               27 801        27.24
                                                                                                             27 24         24,344
                                                                                                                           24 344
Indicated                                                               Indicated




Inferred             131,216         2.30               9,712           Inferred               34,513        19.00         21,082




See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources. Reserves  are not a subset of resources.
                                                                                                                                      23
Copper, Zinc and Lead Reserves and Resources
 December 31, 2011


                    Tonnes Copper Copper                                               Tonnes           Zinc            Zinc               Tonnes     Lead   Lead
  Copper                                                              Zinc                                                     Lead
                      (
                      (000’s)
                            )            (%) (tonnes)
                                             (      )                                     (
                                                                                          (000’s)
                                                                                                )         (%)      (
                                                                                                                   (tonnes)
                                                                                                                          )                 (
                                                                                                                                            (000’s)
                                                                                                                                                  )    (%) (tonnes)
                                                                                                                                                           (      )




 Proven                5,331           0.28 15,025                   Proven                5,331        2.04 108,626           Proven       5,331     0.23 12,391




 Probable             27,901           0.27 76,160                   Probable            27,901         0.77 215,522           Probable    27,901     0.05 13,441




 Total                                                               Total                                                     Total
                      33,232           0.27 91,184                                       33,232         0.98 324,149                       33,232     0.08 25,832
 Reserves                                                            Reserves                                                  Reserves




 Indicated
 I di t d              7,225
                       7 225           0.12
                                       0 12       8,629
                                                  8 629              Indicated
                                                                     I di t d              7,225
                                                                                           7 225        1.49 107,338
                                                                                                        1 49 107 338           Indicated
                                                                                                                               I di t d     7,225
                                                                                                                                            7 225     0.15 11,127
                                                                                                                                                      0 15 11 127




 Inferred             11,400           0.26 29,664                   Inferred            11,400         0.44        49,745     Inferred    11,400     0.05   5,138




See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources. Reserves  are not a subset of resources                                          24
Notes to Investors Regarding the Use of Resources

Cautionary Note to Investors Concerning Estimates of Measured and Indicated Resources

This document uses the terms "measured resources" and "indicated resources". We advise investors that while those terms are recognized and required
by Canadian regulations, the SEC does not recognize them. Investors are cautioned not to assume that any part or all of mineral deposits in these
 y             g        ,                     g                                                           yp                        p
categories will ever be converted into reserves.

Cautionary Note to Investors Concerning Estimates of Inferred Resources

This document also uses the term "inferred resources". We advise investors that while this term is recognized and required by Canadian regulations, the
SEC does not recognize it. "Inferred resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and
legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules,
estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies, except in rare cases. Investors are cautioned not to
assume that part or all of an inferred resource exists, or is economically or legally mineable.

Scientific and Technical Data

Agnico-Eagle Mines Limited is reporting mineral resource and reserve estimates in accordance with the CIM guidelines for the estimation, classification and
reporting of resources and reserves.

Cautionary Note To U.S. Investors - The SEC permits U.S. mining companies, in their filings with the SEC, to disclose only those mineral deposits that a
company can economically and legally extract or produce. Agnico-Eagle uses certain terms in this press release, such as “measured”, “indicated”, and
“inferred”, and “resources” that the SEC guidelines strictly prohibit U.S. registered companies from including in their filings with the SEC. U.S. investors are
urged to consider closely the disclosure in our Form 20-F, which may be obtained from us, or from the SEC’s website at: http://sec.gov/edgar.shtml. A
“final” or “bankable” feasibility study is required to meet the requirements to designate reserves under Industry Guide 7.

Estimates f all properties were calculated using hi t i th
E ti t      for ll      ti           l l t d    i   historic three-year average metals prices and f i
                                                                                     t l   i       d foreign exchange rates i accordance with th SEC
                                                                                                                 h        t   in      d        ith the
Industry Guide 7. Industry Guide 7 requires the use of prices that reflect current economic conditions at the time of reserve determination, which the Staff
of the SEC has interpreted to mean historic three-year average prices. The assumptions used for the mineral reserves and resources estimates reported
by the Company on February 15, 2012 were based on three-year average prices for the period ending December 31, 2011 of $1,255 per ounce gold,
$23.00 per ounce silver, $0.91 per pound zinc, $3.25 per pound copper, $0.95 per pound lead and C$/US$, US$/Euro and MXP/US$ exchange rates of
1.05, 1.37 and 12.86, respectively. The assumptions used for the La India reserves estimate reported in the Company’s September 4, 2012 press release
were based on three-year average prices for the period ending June 30, 2012 of $1,379 per ounce gold, $26.49 per ounce silver, and MXP/US$ exchange
rate of 13 00
        13.00.

The Canadian Securities Administrators’ National Instrument 43-101 (“NI 43-101”) requires mining companies to disclose reserves and resources using the
subcategories of “proven” reserves, “probable” reserves, “measured” resources, “indicated” resources and “inferred” resources. Mineral resources that are
not mineral reserves do not have demonstrated economic viability.

                                                                                                                                                                   25
Notes to Investors Regarding the Use of Resources

A mineral reserve is the economically mineable part of a measured or indicated mineral resource demonstrated by at least a preliminary feasibility study.
This study must include adequate information on mining, processing, metallurgical, economic and other relevant factors that demonstrate, at the time of
reporting, that economic extraction can be justified. A mineral reserve includes diluting materials and allows for losses that may occur when the material is
mined. A proven mineral reserve is the economically mineable part of a measured mineral resource demonstrated by at least a preliminary feasibility study.
A probable mineral reserve is the economically mineable part of an indicated, and in some circumstances, a measured mineral resource demonstrated by
at least a preliminary feasibility study
                                   study.

A mineral resource is a concentration or occurrence of natural, solid, inorganic material, or natural solid fossilized organic material including base and
precious metals in or on the Earth’s crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction.
The location, quantity, grade, geological characteristics and continuity of a mineral resource are known, estimated or interpreted from specific geological
evidence and knowledge. A measured mineral resource is that part of a mineral resource for which quantity, grade or quality, densities, shape and physical
characteristics are so well established that they can be estimated with confidence sufficient to allow the appropriate application of technical and economic
parameters, to support production planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable
exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill
holes that are spaced closely enough to confirm both geological and grade continuity. An indicated mineral resource is that part of a mineral resource for
which quantity, grade or quality, densities, shape and physical characteristics can be estimated with a level of confidence sufficient to allow the appropriate
application of technical and economic parameters, to support mine planning and evaluation of the economic viability of the deposit. The estimate is based
on detailed and reliable exploration and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits,
workings and drill holes that are spaced closely enough for geological and grade continuity to be reasonably assumed. An inferred mineral resource is that
part of a mineral resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and
reasonably assumed, but not verified, geological and grade continuity. The estimate is based on limited information and sampling gathered through
          y           ,                 , g     g         g              y                                                             p g g                g
appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes. Mineral resources which are not mineral reserves do not
have demonstrated economic viability.

Investors are cautioned not to assume that part or all of an inferred resource exists, or is economically or legally mineable.

A Feasibility Study is a comprehensive technical and economic study of the selected development option for a mineral project that includes appropriately
detailed assessments of realistically assumed mining, processing, metallurgical, economic, marketing, legal, environmental, social and governmental
considerations together with any other relevant operational factors and detailed financial analysis that are necessary to demonstrate at the time of
                                                                                                 analysis,
reporting that extraction is reasonably justified (economically mineable). The results of the study may reasonably serve as the basis for a final decision by a
proponent or financial institution to proceed with, or finance, the development of the project. The confidence level of the study will be higher than that of a
Pre-Feasibility Study.

The effective date for all of the Company’s mineral resource and reserve estimates in this document is December 31, 2011. The effective date for the new
La India reserves and resources estimates in this document is June 30, 2012. Additional information about each of the mineral projects that is required by
NI 43-101, sections 3.2 and 3.3 and paragraphs 3.4 (a), (c) and (d) can be found in Technical Reports, which may be found at www.sedar.com. Other
important operating i f
i    t t        ti information can b f
                              ti     be found i th C
                                            d in the Company’s F
                                                             ’ Form 20 F and it news releases d t d F b
                                                                     20-F d its            l    dated February 15 2012 and S t b 4 2012
                                                                                                               15,        d September 4, 2012.

Marc Legault, a Qualified Person and the Company’s Senior Vice-President, Project Evaluations, reviewed the technical information disclosed herein.
Alain Blackburn, a Qualified Person and the Company’s Senior Vice-President, Exploration, reviewed the technical information regarding the La India mine
project disclosed herein.

                                                                                                                                                                  26
A solid financial position, low-cost structure, well-funded growth projects in regions
of low political risk, and a focused, consistent strategy put Agnico-Eagle in a strong
position to continue creating exceptional per share value.

Sean Boyd                              Executive and Registered Office:
President and                          145 King Street East, Suite 400
Chief Executive Officer                Toronto, Ontario, Canada, M5C 2Y7
David Smith                            Tel: 
                                       Tel:                416 947 1212
                                                           416‐947‐1212
SVP, Strategic Planning &  Investor    Toll‐Free:          888‐822‐6714     
Relations                              Fax:                416‐367‐4681

Trading Symbol: 
AEM on TSX & NYSE
Investor Relations:
I    t R l ti
416‐947‐1212
info@agnico‐eagle.com




agnico-eagle.com

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AEM September 2012 Corporate Update

  • 1. AGNICO-EAGLE AGNICO EAGLE MINES LIMITED Corporate Update p p September 2012
  • 2. Forward Looking Statements The information in this document has been prepared as at September 5, 2012. Certain statements contained in this document constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and forward looking information under the provisions of Canadian provincial securities laws. When used in this document, the words “anticipate”, “expect”, “estimate”, “forecast”, “will”, “planned”, and similar expressions are intended to identify forward looking statements or information estimate forecast will planned forward-looking information. Such statements include without limitation: statements regarding timing and amounts of capital expenditures and other assumptions; estimates of future reserves, resources, mineral production, optimization efforts and sales; estimates of mine life; estimates of future internal rates of return, mining costs, cash costs, minesite costs and other expenses; estimates of future capital expenditures and other cash needs, and expectations as to the funding thereof; statements and information as to the projected development of certain ore deposits, including estimates of exploration, development and production and other capital costs, and estimates of the timing of such exploration, development and production or decisions with respect to such exploration development and production; estimates of reserves and exploration, resources, and statements and information regarding anticipated future exploration; the anticipated timing of events with respect to the Company's mine sites and statements and information regarding the sufficiency of the Company's cash resources. Such statements and information reflect the Company's views as at the date of this document and are subject to certain risks, uncertainties and assumptions, and undue reliance should not be placed on such statements and information. Many factors, known and unknown could cause the actual results to be materially different from those expressed or implied by such forward looking statements and information. Such risks include, but are not limited to: the volatility of prices of gold and other metals; uncertainty of mineral reserves, mineral resources, mineral grades and y p g ; y , , g mineral recovery estimates; uncertainty of future production, capital expenditures, and other costs; currency fluctuations; financing of additional capital requirements; cost of exploration and development programs; mining risks; community protests; risks associated with foreign operations; governmental and environmental regulation; the volatility of the Company's stock price; and risks associated with the Company's byproduct metal derivative strategies. For a more detailed discussion of such risks and other factors that may affect the Company’s ability to achieve the expectations set forth in the forward-looking statements contained in this document, see the Company's Annual Report on Form 20-F for the year ended December 31, 2011, as well as the Company's other filings with the Canadian Securities Administrators and th U S S Ad i i t t d the U.S. Securities and E h iti d Exchange CCommission. Th C i i The Company d does not i t d and d t intend, d does not assume any obligation, t t bli ti to update these forward-looking statements and information. Marc Legault, a Qualified Person and the Company’s Senior Vice-President, Project Evaluations, reviewed the technical information disclosed herein. For a detailed breakdown of the Company’s reserve and resource position see the February 15, 2012 press release on the Company’s website. That press release also lists the Qualified Persons for each project. 2
  • 3. Notes To Investors Note Regarding The Use Of Non-GAAP Financial Measures This document presents estimates of future "total cash cost per ounce" and "minesite cost per tonne" that are not recognized measures under United States generally accepted accounting principles ("US GAAP") This data may not be comparable to data presented by other ( US GAAP ). gold producers. These future estimates are based upon the total cash costs per ounce and minesite costs per tonne that the Company expects to incur to mine gold at the applicable projects and 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 GAAP measure. A reconciliation of the Company's total cash cost per ounce and minesite cost per tonne to the most comparable financial measures calculated and presented in accordance with US GAAP for the Company's historical results of operations is set forth in the notes to the financial statements included in the Company's Annual p y p p y Information Form and Annual Report on Form 20-F, for the year ended December 31, 2011, as well as the Company's other filings with the Canadian Securities Administrators and the SEC. Note Regarding Production Guidance The gold production guidance is based on the Company’s mineral reserves but includes contingencies and assumes metal prices and foreign f i exchange rates th t are diff h t that different f t from th those used i th reserve estimates. Th d in the ti t These f t factors and others mean th t th gold production d th that the ld d ti guidance presented in this disclosure does not reconcile exactly with the production models used to support these mineral reserves. 3
  • 4. AEM Today  Million ounce gold producer with 55 years of operating history  Focused on delivering total shareholder return  Lower risk:  Mature operations  Low political risk jurisdictions  Measured production growth  Free cash flow generator  Committed to dividends - 30 consecutive years 4
  • 5. AEM Strategy Deliver meaningful per share growth i operating and fi D li i f l h th in ti d financial metrics i l ti  Grow gold reserves and production in mining friendly regions  Be a low-cost leader  G l is t move b k i t th i d t ’ l Goal i to back into the industry’s lowest cost quartile t t til  Acquire small, think big  Buy early, add value through exploration and mine building  Maintain a solid financial position  $1.2 B of available bank lines  Only 171 M shares outstanding after 55 years of operating history 5
  • 6. Financial Results  Strong earnings and cash flow continue to strengthen balance sheet  Investment grade credit rating  New long-term bond adds to financial flexibility  Average tenure: 11 years @ 4 94% 4.94% YTD 2012 YTD 2012 Total Operating Margin - $498M Gold 520 Lapa (ounces in thousands) 11% Laronde Revenues from 19% mining operations $932 (millions) Kittila 16% Net income $122 (millions) Net income per share $0.71 (basic) Cash provided by operating Meadowbank activities $391 24% Pinos Altos (millions) 30% 6
  • 7. Generating Net Free Cash Flow Cash flow t fund dividend and growth plans C h fl to f d di id d d th l Capital Expenditures (USD $000's) $1,200,000 Approximate Average EBITDA* $1,000,000 $800,000 Illustrative Ongoing $600,000 Re-Investment $400,000 $200,000 $0 2007A 2008A 2009A 2010A 2011A 2012E 2013 2014 Actual Estimate * Approximate average EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization)  estimate  for illustrative purposes using $1700/oz gold, $32/oz silver, $2000/t zinc, C$/US$ 1.00, 1.35USD/€ 7
  • 9. LaRonde Transition to lower mine continues t be challenging T iti t l i ti to b h ll i  YTD gold production of 83,487 P&P GOLD RESERVES (million oz) 4.7 oz at total cash costs of $489 per ounce AVERAGE GOLD RESERVE GRADE (g/t) 4.4  Q2 gold grade 2.4 g/t vs. 1.6 g/t Indicated resource (million oz) 0.4 in Q2’11 Inferred resource (million oz) 1.3  Ramp up slower than expected due to heat, congestion and Estimated LOM (years) 15 seismicity 2012 exploration budget $1M  V l of ore per t Value f tonne (LaRonde & regional) approximately 50% higher over See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources. life of mine versus 2011 at same metals prices 9
  • 10. Lapa Good t G d tonnage and cost control d t t l  Strong Q2 gold production of P&P GOLD RESERVES (million oz) 0.5 28,157 oz at total cash costs per ounce of $ $634 AVERAGE GOLD RESERVE GRADE (g/t) 6.5  Anticipated life of mine Indicated resource (million oz) 0.3 extended through 2015 Inferred resource (million oz) 0.1  Underground exploration drift to east will provide access to Est. LOM (years) 4 drill targets that could extend mine life further 2012 exploration budget $5M See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources. 10
  • 11. Kittila Large l L long-life gold d lif ld deposit continues t grow it ti to  YTD gold production of 81,986oz P&P GOLD RESERVES (million oz) 5.2 at total cash costs of $615 per ounce AVERAGE GOLD RESERVE GRADE (g/t) 4.7  Initial 25% expansion study Indicated resource (million oz) 1.0 expected near year end Inferred resource (million oz) 1.2  Good exploration results at Rimpi suggest potential for Estimated LOM (years) 32 ongoing phased expansions 2012 exploration budget $16M See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources. 2006 2007 – 2008 2012 Focus Area 2009 – 2010 2011 11
  • 12. Kittila – AEM’s Largest Gold Deposit  Still open for exploration at depth and to the North  2011 exploration expanded reserves and resources in Roura and Rimpi trends  $16M in exploration, up to 12 drills in 2012 exploration 2012 Focus Area 12
  • 13. Mexico – (Pinos Altos & Creston Mascota) Largest cash fl L t h flow generator and growing production b t d i d ti base  Record production in Q2 of P&P GOLD RESERVES (million oz) 3.1 63,356 oz at total cash costs per ounce of $ $358 AVERAGE GOLD RESERVE GRADE (g/t) 2.1  H1 mine operating margin - Indicated resource (million oz) 0.8 $149 M Inferred resource (million oz) 0.8  Drilling program focused on satellite deposits Estimated LOM (years) 18 2012 exploration budget $6M See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources. $100M Cash Operating Profit $80M $60M $40M $20M $0M Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 13
  • 14. La India Commercial P d ti E C i l Production Expected i H2 2014 t d in P&P GOLD RESERVES (million oz) 0.9 (45 M tonnes @ 0.7g/t) AVERAGE GOLD RESERVE GRADE ( /t) (g/t) 0.7 07 Indicated resource (million oz) 0.4 (27 M tonnes @ 0.5g/t) Inferred resource (million oz) 1.1 (103 M tonnes @ 0.3g/t) Est. LOM (years) 8 Note: La India reserves and resource estimate is as of June 30, 2012, disclosed in AEM  September 4, 2012 press release.  Annual gold production of approx. 90 koz @ average total cash costs of approx. $500/oz  Open pit, heap leach mine, with stripping ratio of 1:1 pp g  Total construction capital costs of $158M  After tax internal rate of return – 31%* After-tax * Assumes $1379/oz gold, $26.49/oz silver, 13.00 MXP per USD 14
  • 15. Meadowbank New l N lower risk mine plan hitti t i k i l hitting targets t  Record gold production in Q2 of P&P GOLD RESERVES (million oz) 2.2 98,403 oz at total cash costs per AVERAGE GOLD RESERVE GRADE (g/t) G GO S G 2.8 ounce of $804; Indicated resource (million oz) 1.3  H1 operating margin of $121M Inferred resource (million oz) 0.5  Focus has shifted to optimization Est. LOM (years) 6 and extending mine life 2012 exploration budget $7M See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources. Daily Throughput & Cash Operating Profit 10,000tpd $80M $70M 9,000tpd $60M 8,000tpd $50M 7,000tpd $40M $30M 6,000tpd $20M 5,000tpd , p $10M 4,000tpd $0M Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Daily Throughput (t/d) Cash Operating Profit 15
  • 16. Meliadine Permitting and road construction underway P itti d d t ti d  Updated feasibility study expected P&P GOLD RESERVES (million oz) 2.9 in late 2013 AVERAGE GOLD RESERVE GRADE (g/t) 7.2  Exploration success at Wesmeg, Normeg improving open pit and Indicated resource (million oz) 1.7 underground production scenarios Inferred resource (million oz) 2.4  Recent exploration results at Pump, F Zone and Wesmeg 2012 exploration budget $30M expected to add meaningful See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources. reserve and resource ounces at year-end 16
  • 17. Meliadine Project – Local Geology Map Fastest F t t growing deposit with multiple hi h i d it ith lti l high-grade zones d Exploration target areas 17
  • 18. Goldex – Commercial Production Expected in Q2 2014 GEZ remains suspended i d d  M & E satellite zones have been Measured & Indicated Gold Resource 2.1 approved for construction (million oz) following extensive review Average Measured & Indicated Gold 1.8 Resource Grade (g/t)  Preliminary Economic Inferred resource (million oz) 1.6 Assessment parameters for Est. LOM (years) (y ) 4 M & E zones: ones 2012 exploration budget $18M See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources. Daily Throughput 5,100 tpd Gold Grade 1.5 g/t LOM Gold Prod’n to 2017 300,000 oz Minesite Cost C$41 per tonne Total Cash Costs $900 per ounce Life of Mine 4 years Net Free Cash Flow $70 million 18
  • 19. Sound Business Continues To Deliver No h N change in strategy or f i t t focus  AEM is among industry leaders in p share p g y per production, reserves, , , cash flows and dividends  Meaningful near-term production growth driven by LaRonde, Meadowbank, La India and Goldex, with manageable, fully funded capex  Solid achievable production and cost guidance Solid,  Expecting growth in reserves through exploration of existing assets  Business generating strong cash flows in regions of low political risk  Allocated to dividends, exploration and reinvesting in our core assets 19
  • 20. Appendix 20
  • 21. Operating Metrics LaRonde - Ore milled ('000 tonnes) LaRonde LaRonde - Minesite costs per tonne (C$) 7,500tpd $140/t 7,000tpd $120/t 6,500tpd $100/t 6,000tpd $80/t 5,500tpd $60/t 5,000tpd $40/t 4,500tpd $20/t 4,000tpd $0/t Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Lapa - Ore milled ('000 tonnes) Lapa Lapa - Minesite costs per tonne (C$) 2,000tpd $170/t 1,800tpd $150/t 1,600tpd 1,400tpd $130/t 1,200tpd 1,000tpd $110/t 800tpd $90/t 600tpd 400tpd $70/t 200tpd 0tpd p $50/t Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 21
  • 22. Operating Metrics Kittila - Ore milled('000 tonnes) Kittila Kittila - Minesite costs per tonne (EUR) 3,500tpd €85/t 3,000tpd €80/t €75/t 2,500tpd €70/t 2,000tpd €65/t 1,500tpd €60/t €55/t 1,000tpd €50/t 500tpd €45/t 0tpd €40/t Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Pinos Altos Meadowbank 6,000tpd $60/t 12,000tpd $140/t 5,000tpd $50/t 10,000tpd $120/t $100/t 4,000tpd $40/t 8,000tpd $80/t 3,000tpd $30/t 6,000tpd $60/t 2,000tpd $20/t 4,000tpd $40/t 1,000tpd $10/t 2,000tpd $20/t 0tpd $0/t 0tpd $0/t Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Pinos Altos - Ore milled ('000 tonnes) Meadowbank - Ore milled ('000 tonnes) Pinos Altos - Minesite costs per tonne (USD$) Meadowbank - Minesite costs per tonne (C$) 22
  • 23. Gold and Silver Reserves and Resources December 31, 2011 Tonnes Gold Gold Tonnes Silver Silver Gold (000’s) (g/t) (ounces) Silver (000’s) (g/t) (ounces) (000 s) (000’s) (000 s) (000’s) Proven 11,029 2.80 994 Proven 7,318 45.35 10,670 Probable 146,057 3.78 17,757 Probable 72,693 45.06 105,319 Total Total 157,086 3.71 18,750 80,011 45.09 115,989 Reserves Reserves Measured & Measured & 168,336 168 336 1.78 1 78 9,633 9 633 27,801 27 801 27.24 27 24 24,344 24 344 Indicated Indicated Inferred 131,216 2.30 9,712 Inferred 34,513 19.00 21,082 See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources. Reserves  are not a subset of resources. 23
  • 24. Copper, Zinc and Lead Reserves and Resources December 31, 2011 Tonnes Copper Copper Tonnes Zinc Zinc Tonnes Lead Lead Copper Zinc Lead ( (000’s) ) (%) (tonnes) ( ) ( (000’s) ) (%) ( (tonnes) ) ( (000’s) ) (%) (tonnes) ( ) Proven 5,331 0.28 15,025 Proven 5,331 2.04 108,626 Proven 5,331 0.23 12,391 Probable 27,901 0.27 76,160 Probable 27,901 0.77 215,522 Probable 27,901 0.05 13,441 Total Total Total 33,232 0.27 91,184 33,232 0.98 324,149 33,232 0.08 25,832 Reserves Reserves Reserves Indicated I di t d 7,225 7 225 0.12 0 12 8,629 8 629 Indicated I di t d 7,225 7 225 1.49 107,338 1 49 107 338 Indicated I di t d 7,225 7 225 0.15 11,127 0 15 11 127 Inferred 11,400 0.26 29,664 Inferred 11,400 0.44 49,745 Inferred 11,400 0.05 5,138 See AEM Feb 15, 2012 press release for detailed breakdown of reserves and resources. Reserves  are not a subset of resources 24
  • 25. Notes to Investors Regarding the Use of Resources Cautionary Note to Investors Concerning Estimates of Measured and Indicated Resources This document uses the terms "measured resources" and "indicated resources". We advise investors that while those terms are recognized and required by Canadian regulations, the SEC does not recognize them. Investors are cautioned not to assume that any part or all of mineral deposits in these y g , g yp p categories will ever be converted into reserves. Cautionary Note to Investors Concerning Estimates of Inferred Resources This document also uses the term "inferred resources". We advise investors that while this term is recognized and required by Canadian regulations, the SEC does not recognize it. "Inferred resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies, except in rare cases. Investors are cautioned not to assume that part or all of an inferred resource exists, or is economically or legally mineable. Scientific and Technical Data Agnico-Eagle Mines Limited is reporting mineral resource and reserve estimates in accordance with the CIM guidelines for the estimation, classification and reporting of resources and reserves. Cautionary Note To U.S. Investors - The SEC permits U.S. mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. Agnico-Eagle uses certain terms in this press release, such as “measured”, “indicated”, and “inferred”, and “resources” that the SEC guidelines strictly prohibit U.S. registered companies from including in their filings with the SEC. U.S. investors are urged to consider closely the disclosure in our Form 20-F, which may be obtained from us, or from the SEC’s website at: http://sec.gov/edgar.shtml. A “final” or “bankable” feasibility study is required to meet the requirements to designate reserves under Industry Guide 7. Estimates f all properties were calculated using hi t i th E ti t for ll ti l l t d i historic three-year average metals prices and f i t l i d foreign exchange rates i accordance with th SEC h t in d ith the Industry Guide 7. Industry Guide 7 requires the use of prices that reflect current economic conditions at the time of reserve determination, which the Staff of the SEC has interpreted to mean historic three-year average prices. The assumptions used for the mineral reserves and resources estimates reported by the Company on February 15, 2012 were based on three-year average prices for the period ending December 31, 2011 of $1,255 per ounce gold, $23.00 per ounce silver, $0.91 per pound zinc, $3.25 per pound copper, $0.95 per pound lead and C$/US$, US$/Euro and MXP/US$ exchange rates of 1.05, 1.37 and 12.86, respectively. The assumptions used for the La India reserves estimate reported in the Company’s September 4, 2012 press release were based on three-year average prices for the period ending June 30, 2012 of $1,379 per ounce gold, $26.49 per ounce silver, and MXP/US$ exchange rate of 13 00 13.00. The Canadian Securities Administrators’ National Instrument 43-101 (“NI 43-101”) requires mining companies to disclose reserves and resources using the subcategories of “proven” reserves, “probable” reserves, “measured” resources, “indicated” resources and “inferred” resources. Mineral resources that are not mineral reserves do not have demonstrated economic viability. 25
  • 26. Notes to Investors Regarding the Use of Resources A mineral reserve is the economically mineable part of a measured or indicated mineral resource demonstrated by at least a preliminary feasibility study. This study must include adequate information on mining, processing, metallurgical, economic and other relevant factors that demonstrate, at the time of reporting, that economic extraction can be justified. A mineral reserve includes diluting materials and allows for losses that may occur when the material is mined. A proven mineral reserve is the economically mineable part of a measured mineral resource demonstrated by at least a preliminary feasibility study. A probable mineral reserve is the economically mineable part of an indicated, and in some circumstances, a measured mineral resource demonstrated by at least a preliminary feasibility study study. A mineral resource is a concentration or occurrence of natural, solid, inorganic material, or natural solid fossilized organic material including base and precious metals in or on the Earth’s crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction. The location, quantity, grade, geological characteristics and continuity of a mineral resource are known, estimated or interpreted from specific geological evidence and knowledge. A measured mineral resource is that part of a mineral resource for which quantity, grade or quality, densities, shape and physical characteristics are so well established that they can be estimated with confidence sufficient to allow the appropriate application of technical and economic parameters, to support production planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough to confirm both geological and grade continuity. An indicated mineral resource is that part of a mineral resource for which quantity, grade or quality, densities, shape and physical characteristics can be estimated with a level of confidence sufficient to allow the appropriate application of technical and economic parameters, to support mine planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough for geological and grade continuity to be reasonably assumed. An inferred mineral resource is that part of a mineral resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity. The estimate is based on limited information and sampling gathered through y , , g g g y p g g g appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes. Mineral resources which are not mineral reserves do not have demonstrated economic viability. Investors are cautioned not to assume that part or all of an inferred resource exists, or is economically or legally mineable. A Feasibility Study is a comprehensive technical and economic study of the selected development option for a mineral project that includes appropriately detailed assessments of realistically assumed mining, processing, metallurgical, economic, marketing, legal, environmental, social and governmental considerations together with any other relevant operational factors and detailed financial analysis that are necessary to demonstrate at the time of analysis, reporting that extraction is reasonably justified (economically mineable). The results of the study may reasonably serve as the basis for a final decision by a proponent or financial institution to proceed with, or finance, the development of the project. The confidence level of the study will be higher than that of a Pre-Feasibility Study. The effective date for all of the Company’s mineral resource and reserve estimates in this document is December 31, 2011. The effective date for the new La India reserves and resources estimates in this document is June 30, 2012. Additional information about each of the mineral projects that is required by NI 43-101, sections 3.2 and 3.3 and paragraphs 3.4 (a), (c) and (d) can be found in Technical Reports, which may be found at www.sedar.com. Other important operating i f i t t ti information can b f ti be found i th C d in the Company’s F ’ Form 20 F and it news releases d t d F b 20-F d its l dated February 15 2012 and S t b 4 2012 15, d September 4, 2012. Marc Legault, a Qualified Person and the Company’s Senior Vice-President, Project Evaluations, reviewed the technical information disclosed herein. Alain Blackburn, a Qualified Person and the Company’s Senior Vice-President, Exploration, reviewed the technical information regarding the La India mine project disclosed herein. 26
  • 27. A solid financial position, low-cost structure, well-funded growth projects in regions of low political risk, and a focused, consistent strategy put Agnico-Eagle in a strong position to continue creating exceptional per share value. Sean Boyd Executive and Registered Office: President and  145 King Street East, Suite 400 Chief Executive Officer  Toronto, Ontario, Canada, M5C 2Y7 David Smith Tel:  Tel: 416 947 1212 416‐947‐1212 SVP, Strategic Planning &  Investor  Toll‐Free:  888‐822‐6714      Relations Fax:  416‐367‐4681 Trading Symbol:  AEM on TSX & NYSE Investor Relations: I t R l ti 416‐947‐1212 info@agnico‐eagle.com agnico-eagle.com