Q1 2025 Agnico Eagle Mines Ltd Earnings Call

All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question and answer session. If you would like to ask a question. During this time keep you press the star followed by the number one on your telephone keypad and if you would like to withdraw. Your question you May Press Star followed by the number two thank you Mr. <unk>.

Hello everyone.

Ludi: Okay, good morning. My name is Claudia and I will be your conference operator today. At this time, I would like to welcome everyone to have Niko Eaglemind's limited 21 2025 conference call. All lines have been placed on mutual prevent any background noise.

May begin your conference.

Speaker Change: Thank you operator.

Speaker Change: Hello, everyone and thank you for joining our first quarter conference call. This morning.

Ludi: After the speaker's remarks, there will be a question and answer session.

Speaker Change: We're pleased to be sharing with you another strong quarter with solid results across the board strong production.

Ludi: If you would like to ask a question during this time, simply press a star, followed by the number one on your telephone keypad. And if you would like to withdraw your question, you may press a star, followed by the number two. Thank you. Mr. Ammar, Al Jendi, you may begin your conference.

Speaker Change: Excellent cost control record financial results excellent progress on our growth projects, including our five key value drivers and some really great exploration results at a number of our mines.

Dominique: Marban was successfully added to our portfolio through the acquisition of O3 and could potentially contribute to another 130,000 ounces per year, which brings us to the 900,000. And the last one is Wazamak. Wazamak is a 3,000 ton per day underground operation to be trucked at Mall Arctic. It is about 100 kilometers from Mall Arctic. Wazamak can potentially contribute to another 100,000 ounces per year. With all of the four building blocks together, we are reaching the one-in-a-million-ounce vision. Over the next five to six years, our focus will be on the studies, permitting, and construction aiming to integrate these new ORF feeds into the Malartic Mill in 2030.

Ammar Al-Jundi: Thank you operator. Hello everyone and thank you for joining our first quarter conference call this morning.

Speaker Change: Before we jump into the call I'd like to remind everyone that we will be making a number of forward looking statements. So please keep that in mind.

We're pleased to be sharing with you another strong porter.

with solid results across the board.

Ammar Al-Jundi: Strong production, excellent cost control, record financial results, excellent progress on our growth projects including our five key value drivers and some really great exploration results at a number of our minds.

Speaker Change: As we go through the results of the quarter. There are three key messages, we want to emphasize one we continued to deliver strong overall performance and we are well positioned to continue to deliver that performance for the rest of the year.

Ammar Al-Jundi: Before we jump into the call, I'd like to remind everyone that we'll be making a number of forward-looking statements so please keep that in mind.

Speaker Change: Two we continue to strengthen all areas of our business and three we're making great progress on building the foundations of our future growth.

Ammar Al-Jundi: As we go through the results of the quarter, there are three key messages we want to emphasize, one we continue to deliver strong overall performance and we're well positioned to continue to deliver that performance for the rest of the year.

Speaker Change: In future value creation for our owners.

Starting with our first quarter operating and financial performance.

Dominique: We should be in good position to green light the second shaft, Morban and Wazamac, in early 2027.

Speaker Change: In a year, where gold prices have increased by over $1000, an ounce our gold production of 874000 ounces and our cash cost of $903 per ounce were almost identical to our production and cost numbers in the first quarter of last year.

Natasha: Now, I would like to hand it over to Natasha. Thanks, Dom, and good morning, everyone. So, I'll cover the operational highlights for Ontario, Australia, and Mexico. All the regions delivered good safety, operating, and cost performance to start off the year. Detour poured their 7th millionth ounce in March and had the highest Q1 mil throughput with the lowest turnover seen since the mine began open pit operation. Weather, however, was challenging this quarter. We do factor in weather delays into our plans, particularly in the winter, but this was a very abnormal winter for us at Detour. So this quarter, we ended up mining less of the higher-grade open-pit material and instead fed lower-grade stockpile, which was planned to be processed later in the year.

Speaker Change: This means we are delivering the full benefit of these rising gold prices to our owners.

Starting with our first quarter operating in financial performance.

Ammar Al-Jundi: In a year where gold prices have increased by over $1,000 an ounce, our gold production of 874,000 ounces and our cash costs of $903 per ounce were almost identical to our production and cost numbers in the first quarter of last year.

Speaker Change: That's why our owners invest in us and Thats, our job to deliver we do this by delivering solid production and controlling costs safely responsibly.

Speaker Change: And reliably.

Speaker Change: Not surprising with gold with good operational performance and record gold prices, we continued to deliver record financial results record operating margins record adjusted net income and not just.

Ammar Al-Jundi: This means we are delivering the full benefit of these rising gold prices to our owners.

Ammar Al-Jundi: That's why our owners invest in us and that's our job to deliver. We do this by delivering solid production and controlling costs, safely, responsibly and reliably.

Natasha: Now at MACASA, we hit a few records in safety, in lateral development, and in ounces produced, but I think the highlight is that, similar to Detour, even in a highly competitive labor market, we hit a record with the lowest turnover in its history. And in terms of the production, Macasa had a pretty strong quarter two on the back of two stopes that overperformed. Fosterville, too, had a good quarter. Here, we're working on progressive improvements to the ventilation system, and production is progressing at all three mining fronts. And of course, operational improvement efforts with a focus on cost control initiatives are continuing at all of our sites.

Speaker Change: On an absolute basis, but also record adjusted net income on a per share basis.

Speaker Change: It's the per share metrics that matter and its the per share metrics that we will always focus on.

Ammar Al-Jundi: Not surprising, with good operational performance and record gold prices, we continue to deliver record financial results.

Speaker Change: The second key takeaway is our progress in strengthening the business.

Ammar Al-Jundi: Record Operating Margins, Record Adjusted Net Income, and not just on an absolute basis, but also Record Adjusted Net Income on a per share basis.

Speaker Change: This quarter, we have returned a quarter of a $1 billion to our owners through dividends and share buybacks.

Speaker Change: At the same time, we've invested in moving forward the best pipeline in the business. We've made record investments in promising exploration and we've largely eliminated our net debt. We continue to generate record cash flows and we are well positioned to further increase returns to shareholders.

Ammar Al-Jundi: It's the per share metrics that matter and it's the per share metrics that we will always focus on.

Ammar Al-Jundi: The second key takeaway is our progress in strengthening the business.

Natasha: Now, if we look ahead, we're seeing a few exciting things on the go. I'll start with MACASA. We're focused in on mill optimization here. So we'll continue to work on initiatives to debong leg parts of that circuit, reduce downtime, and further improve the mill throughput incrementally. At Fosterville, we'll continue to conduct further technical evaluations and drill to confirm the feasibility of increasing the annual throughput to an average of approximately 175,000 ounces. And at San Nicolas, through the JV, we will continue to work on the feasibility study. Project approval is expected to follow, of course, dependent on the receipt of the permits and the results of the study.

Ammar Al-Jundi: This quarter, we've returned a quarter of a billion dollars to our owners through dividends and share buybacks.

Speaker Change: Jamie will be going through our financial performance shortly.

Speaker Change: The third key takeaway building the foundations of our future growth.

Ammar Al-Jundi: At the same time, we've invested in moving forward the best pipeline in the business, we've made record investments in promising exploration, and we've largely eliminated our net debt. We continue to generate record cash flows, and we're well positioned to further increase returns to shareholders.

Speaker Change: Is really the most important and the most exciting takeaway from today's call.

Speaker Change: An essential element of any quality business assistant is sustainability. This is especially true for a company like Agnico Eagle, where our core strategy revolves around building a long term high quality sustainable business in the regions in which we operate.

Jamie will be going through our financial performance shortly. [inaudible]

Speaker Change: We're proud to have just published our 16th annual sustainability report the highlights of which Carol Plummer, our EVP people environment and sustainability will briefly review in a minute.

Ammar Al-Jundi: is really the most important and the most exciting take away from today's call.

Ammar Al-Jundi: An essential element of any quality business is sustainability. This is especially true for a company like Agnico Eagle where our core strategy revolves around building a long-term, high-quality, sustainable business in the regions in which we operate. Thank you very much.

Natasha: We anticipate all of this coming together towards the end of this year.

Natasha: And finally, on the next slide, I'll give you a quick update on the two projects that will give us the opportunity to grow low-risk and profitable production in a very mining-friendly jurisdiction like Ontario. And I'll start with Detour. This is a world class asset. Last year, we outlined a pathway for Detour to be a 1 million ounce producer annually for over a 14 year period. It's still early days. But this quarter, the overburden excavation was completed, the surface preparation was completed. As well, we received the permit to take water. So we're expecting to commence a ramp development in Q2.

Speaker Change: A little later in the presentation, Dominic and Natasha will speak about the steady progress we continue to make on our five key value drivers number one our ongoing work to get you to worked over 1 million ounces a year.

Ammar Al-Jundi: We're proud to have just published our 16th Annual Sustainability Report, the highlights of which Carol Plummer, our EVP people, environment and sustainability, will briefly review in a minute.

Speaker Change: Number two our vision to get melodic to over 1 million ounces a year.

Speaker Change: Number three excellent construction progress at upper Beaver, our brand New mine in a great region as that could add over 200000 ounces a year.

Ammar Al-Jundi: A little later in the presentation, Dominique and Natasha will speak about the steady progress we continue to make on our five key value drivers.

Speaker Change: Number four continued great drill results and accelerating onsite activity at hope Bay with a target of over 400000 ounces a year and finally five continued good progress at San Nicolas Our high grade High return copper project and the best mining jurisdiction in Mexico and finally.

Natasha: For more information visit www.FEMA.gov As for Upper Beaver, again, this is another low-risk opportunity to grow the production profile in Ontario. This quarter, we continue to advance on both fronts the surface setup needed for shaft sinking and the site preparation for the ramp. You can see in the picture that we've started advancing on the steel installation of the headframe and the hoist room. We're expecting both of them to be completed or commissioned in early Q4 this year and shaft thinking to commence soon after. As for the Exploration Ramp, we've completed the box cut. We're expecting to commence the ramp development in Q4 this year, if not a bit sooner.

Speaker Change: Number 2, our vision to get melodic to over a million ounces a year.

Ammar Al-Jundi: Number three, excellent construction progress at Upper Beaver, a brand new mine in a great region as I could add over 200,000 ounces a year.

Speaker Change: <unk> will spend a few minutes highlighting some of the really.

Ammar Al-Jundi: Number four, continued great drill results and accelerating onsite activity at Hope Bay with a target of over 400,000 ounces a year.

Speaker Change: Excellent and exciting exploration results our team is delivering at some of the most promising ore bodies in the world with that I'll turn over the presentation to Carol.

Ammar Al-Jundi: and finally five continued good progress at San Nicholas, a high grade, high return copper project in the best mining jurisdiction in Mexico.

Carol Plummer: Thank you Tamara and good morning, everyone. Our 2020 for sustainability report highlight our global approach and regional forecast.

Ammar Al-Jundi: And finally, Guy Gosselin will spend a few minutes highlighting some of the really excellent and exciting exploration results our team is delivering at some of the most promising more bodies in the world. With that, I'll turn over the presentation to Carol.

Carol Plummer: Starting with safety, we continued our journey towards zero accident, focusing on visible felt leadership in the field and identifying and mitigating risk.

Natasha: Both Detour Underground and Upper Beaver, they're really solid projects with strong risk-adjusted returns and are going to be drivers of future growth at our Ontario platform. And we look forward to continuing to advance on these projects throughout 2025.

Carol Plummer: 2023 was the best year for safety in the company's history and in 2024, we did not do quite as well.

Carol Plummer: Thank you, Ammar, and good morning everyone. Our 2024 Sustainability Report highlights our global approach and regional focus

Carol Plummer: However, all of our sites are focused on reducing harm and we will continue to focus on safe work and every job every day.

Guy Gosselin: And with that, I'll pass it over to Keith. Thank you, Natasha, and good morning, everyone. First, on slide 12, I would like to take the opportunity to highlight the various exploration team at each mine and project site for our great health and safety performance, cost control, and productivity improvement initiative. When we look at the landscape in these photos coming from Oak Bay, we realize that it is a tough environment, and our people are doing an amazing job at working safely while implementing cost control and productivity initiatives. Overall, we had an excellent first quarter with 300 kilometers of drilling completed on all sites, with a focus on advancing our key value driver project.

Carol Plummer: Starting with safety, we continue to our journey towards zero accidents focusing on visible felt leadership in the field and identifying and mitigating risks.

Carol Plummer: Our approach to climate change continued to focus on energy efficiency technology transition and increased use of renewable energy and we remain amongst.

Carol Plummer: 2023 was the best year for safety in the company's history and in 2024 we did not do quite as well.

Carol Plummer: Industry leaders with ghd intensity of <unk> 38 tonnes of Cotwo Evelyn per ounce.

Carol Plummer: Well below the industry average of <unk> 79.

Carol Plummer: We are working to meet our commitments to reconciliation for the seven pillars of our reconciliation action plan and we are focused on training and developing our employees listening in resolving concerns and engaging frequently preparing our employees and our site to succeed.

Carol Plummer: Our approach to climate change continued to focus on energy efficiency, technology transition, and increased use of renewable energy and we remain among industry leaders with a GHG intensity of 0.38 tons of CO2 equivalent per ounce.

Carol Plummer: We're very happy to see improved engagement through our employee survey and importantly, low turnover rates.

Well below the industry average of 0.79.

Jay: And with that I will pass over to Jay.

Guy Gosselin: Here at Oak Bay, we delivered better than budgeted drilling, with almost 30 kilometers of drilling completed in the first quarter from high-speed drilling and from the exploration gravel track that has greatly enhanced our site performance in Q4 and Q1. Globally, we have a total of 112 drill rigs working on all sites of the company. I would also like to thank our drilling excellence team that continues to work closely with all of our drilling entrepreneurs to integrate new technology that will make drilling safer, more productive, and therefore more cost efficient. From a result standpoint, I will briefly comment on three projects, OBE, Canada-Morocco, and Detour.

Carol Plummer: We're working to meet our commitments to reconciliation through the seven pillars of a reconciliation action plan, and we're focused on training and developing our employees, listening and resolving concerns, and engaging frequently, preparing our employees and our sites to succeed.

Jay: Thank you Carol and good morning, everyone. We.

Jay: We had a great start to the year with another quarter of strong operating results and excellent cost performance pairing with higher gold prices to drive record financial results, including record revenue of $2 5 billion.

Carol Plummer: We're very happy to see improved engagement through our employee survey and importantly, low turnover rates [inaudible]

Jay: Record adjusted earnings of $770 million or $1 53 per share and record adjusted EBITDA of $1 6 billion.

and with that I will pass over to you.

James: Thank you, Carol, and good morning everyone. We had a great start to the year with another quarter of strong operating results, an excellent cost performance, pairing with higher gold prices to drive record financial results, including a record revenue of 2.5 billion.

Jay: Gold production in the first quarter was approximately 874000 ounces at total cash cost of 903 per ounce and all in sustaining costs of $1183 per ounce.

Jay: Gold production was very similar as Omar mentioned to the first quarter of last year I'm pleased to report that costs were below the low end of our guidance ranges and actually right around where we were in the first quarter of <unk>.

James: Record-adjusted earnings of $770 million or $1.53 per share, and Record-adjusted EBITDA of $1.6 billion.

Guy Gosselin: So on slide 13, at OB, we continue to see strong results in two very interesting areas. First of all, close to surface in patch 7, which results up to 20 g over 4.2 m at only 240 m below surface. That could potentially be accessible early in our project development scenario. And secondly, in the gap between Suluk and Pach, close to the proposed ramp, with results up to 24 gram over 9.5 meters. We anticipate these results will have a positive impact on the mineral resources at the next update. Now on slide 13, in Mardik at Odyssey, some very exciting results in three areas.

Jay: 2024.

James: Gold production in the first quarter was approximately 874,000 ounces, a total cash cost of 903 per ounce, and all in sustaining costs of $1,183 per ounce.

Jay: The lower than expected cash costs were primarily due to higher than expected grades driving higher gold production at several of our mines as well as the cost benefit from the weaker Canadian dollar relative to the U S dollar when compared to our budgeted assumption of $1 38.

Ammar Al-Jundi: Gold production was very similar, as Ammar mentioned, to the first quarter of last year, and pleased to report that costs were below the low end of our guidance ranges and actually right around where we were in the first quarter of 2024. [inaudible]

Jay: These cost benefits were partially offset by higher royalty costs related to higher gold prices and in a rising gold price environment. We do expect the burden of royalty costs to continue to increase every $100 increase in the gold price increases our royalty cost by approximately $5 an ounce.

Jay: For the full year, we are maintaining our cost guidance and expect cash cost to be within the guided range of 915 to $965 per ounce.

Guy Gosselin: First of all, the upper east portion of the East Goldie that we anticipate will get to mineral reserves at year-end this year. Secondly, the Lower Eastern Extension of East Gobi, with some pretty good results, up to 5.3 g over 27 m, 6.6 g over 17 m, a couple of hundred meters to the eastern limit of the current resources, and all of that between 18 and 1,900 meters below surface. And third, in the Eclipse Parallel Zone, which results up to 3.7 g over 59.7 m. These strong results in the Lower East and Eclipse continue to enhance our scenarios for the location of a second chef at Auditorium.

Ammar Al-Jundi: These cost benefits were partially offset by higher royalty costs related to higher gold prices, and in a rising gold price environment we do expect the burden of royalty cost to continue to increase. Every $100 increase in the gold price increases our royalty cost by approximately $5 an ounce.

Jay: All in sustaining cost per ounce were lower than the guided range, primarily due to the timing of sustaining capital spend we are expecting higher all in sustaining costs in subsequent quarters and expect to be within our guidance for the full year at $12 50 to 300 per ounce.

Ammar Al-Jundi: For the full year, we are maintaining our cost guidance and expect cash cost to be within the guided range of 915 to $965 per ounce.

Jay: We're very proud of the work our teams have done in their continued efforts on controlling costs and our continuous improvement as our all in sustaining cost continued to be one hundreds of dollars per ounce below those of our peers.

Ammar Al-Jundi: All in sustaining costs per ounce were lower than the guided range primarily due to the timing of sustaining capital spend. We are expecting higher all in sustaining costs and subsequent quarters and expect to be within our guidance for the full year at 1250-1300 per ounce.

Jay: If we move on to the next slide.

Jay: The report that the strong free cash flow, we generated this quarter allowed us to continue to strengthen our balance sheet and increase our financial flexibility. We ended the quarter with close to zero net debt.

Ammar Al-Jundi: We're very proud of the work our teams have done and their continued efforts at controlling costs and a continuous improvement as our all in sustaining cost continued to be hundreds of dollars per ounce below those of our peers.

Jay: As a reminder, we started 2024 with approximately $1 5 billion and net debt, we have significantly deleveraged the balance sheet over the past 15 months and intend to continue to strengthen the balance sheet and improve our financial flexibility, while increasing returns to shareholders.

Guy Gosselin: And last but not least, a detour, drilling continued to infill the deposit in areas that are targeted for the underground mine project, both below the pit, in the saddle, in the central portion of the deposit, with some local very spectacular results up to 8 grams over 78 meters. And to the west. closed next to the planned exploration ramp, which results up to 3 grams over 44.5 meters. So we are, we had a very good start of the year in terms of draw results on our key value driver project, and we are in a very good position to deliver updates on studies as discussed in our previous press release in February and mentioned by Natasha and Dominique.

Ammar Al-Jundi: We move on to the next slide. Please report that the strong free cash flow we generated this quarter allowed us to continue to strengthen our balance sheet and increase our financial flexibility. We ended the quarter with close to zero net depth.

Jay: We were also pleased that Moody's revised its rating outlook for the company during the quarter from stable to positive, which reflects our improving credit profile and strong financial position.

Ammar Al-Jundi: As a reminder, we've started 2024 with approximately 1.5 billion in net debt. We have significantly the de-leveraged the balance sheet over the past 15 months and intend to continue to strengthen the balance sheet and improve our financial flexibility while increasing returns to shareholders.

We generated $594 million of free cash flow in the quarter, which was net of significant working capital outflows, including tax installments in payments of over 500 million at current gold prices, we would expect significantly higher free cash flow in subsequent quarters.

Ammar Al-Jundi: We were also pleased that Moody's revised its rating outlook for the company during the quarter from stable to positive, which reflects our improving credit profile and strong financial position.

Ammar Al-Jandee: So on that, I would like to return the microphone to Ammar for some closing remarks. Thank you, Guy, and thank you to the full team. The gold price performance over the past year has been remarkable. Our owners invested in gold because they had the correct view that gold prices would increase. and our owners invested in us because they had the correct view that Agnico Eagle is well positioned to deliver the full benefit of gold price increases to them.

Jay: If we move on to the next slide looking back at 2024, we clearly prioritize returns to shareholders through dividends share repurchases and the reduction of net debt shareholders benefited directly and indirectly by approximately $2 2 billion.

Ammar Al-Jundi: We generated 594 million of free cash flow in the quarter, which was net of significant working capital outflows, including tax installments and payments of over 500 million. At current gold prices, we would expect significantly higher free cash flow in subsequent quarters.

Jay: In 2024, we returned approximately 43% of our free cash flow directly to shareholders through dividends and share repurchases. This quarter, we returned approximately 42% of our free cash flow.

Ammar Al-Jundi: If we move on to the next slide, looking back at 2024, we clearly prioritize returns to shareholders. Through dividend, share repurchases and the reduction of net debt, shareholders benefited directly and indirectly by approximately 2.2 billion.

Jay: Our capital allocation plan is designed to benefit shareholders in a rising gold price environment in several ways. We will continue to strengthen the balance sheet increase our financial flexibility. So we believe that a strong balance sheet as a competitive advantage in this industry.

Ammar Al-Jandee: To deliver that full benefit, we focused on three things and we've delivered three. One is production. We need to deliver the production we promised and we need to be able to grow production per share over time. And we're doing both. Two, we need to control cost. We're delivering not only solid cost control, but we remain disciplined with capital spend. The projects we're investing in are all expected to generate good returns, and they're the same projects that made sense at gold prices more than $1,000 below where they are now. This is our owner's money and we're not going to spend our owner's money just because the price of gold went up.

Jay: We will also continue our program of strong shareholder returns through the quarterly dividend and share repurchases at these gold prices, we see the potential to further increase shareholder returns and expect to be much more active on the share buyback.

Ammar Al-Jundi: This quarter, we return to approximately 42% of our free cash flow.

Ammar Al-Jundi: Our capital allocation plan is designed to benefit shareholders in a rising gold price environment in several ways. We will continue to strengthen the balance sheet, increase our financial flexibility, as we believe that a strong balance sheet is a competitive advantage in this industry.

Jay: We will also continue to reinvest in the business by allocating capital to high return internal growth projects and high potential exploration opportunities.

At current gold prices, we're generating a lot of cash, but we will remain disciplined and continue to take a measured approach to capital allocation with a focus on increasing returns to our shareholders.

Ammar Al-Jandee: and third. This is important. We need to deliver this production and we need to deliver these costs reliably, steadily, and with as little risk as possible. Operational risk. Financial Risk Political risk.

Jay: With that I'll turn the call over to Dominique who will provide an overview of our Quebec, Nunavut in Finland operations. Thanks.

Ammar Al-Jundi: We will also continue to reinvest in the business by allocating capital to high return internal growth projects and high potential exploration opportunities.

Jimmy: Jimmy Good morning, everyone.

Jimmy: We finished the quarter strong out of the gate driven by operation meeting their target safely and <unk>.

Ammar Al-Jundi: At current gold prices, we're generating a lot of cash but we will remain disciplined to continue to take a measured approach to capital allocation with a focus on increasing return to our shareholders.

Ammar Al-Jandee: We are going to stay with the same strategy that we've used now for almost 70 years. It works for us. It's not for everyone, but it works for us.

Jimmy: Geology got upside of that loan and at monarch pit, where additional answers where discover our own the old workings.

Ammar Al-Jandee: We're going to focus on regions with multi-decade geologic potential and with the political stability that allows us to fine-tune our strengths over multiple decades.

Ammar Al-Jundi: With that, I'll turn the call over to Dominique who will provide an overview of our Quebec Nine of it and Finland operations.

Jimmy: In Q1, <unk> achieved a new tonnage required following that year made expansion, averaging 6200 tonnes per day on the cost side as I mentioned.

Thank you Jimmy, good morning everyone. [inaudible]

Dominique: We finished the quarter strong out of the gate, driven by operation, meeting their target safely, and help with just geological upside that LaRone and at Mara Tech Pit, where additional onces were discovered around the old workings.

Jimmy: Mentioned.

Jimmy: Charter was excellent with stable to slightly better than expected.

Ammar Al-Jandee: If we take a look at just some of the discussion today. The team that's building the shaft at Mallardic is going to be the team that builds the shaft at Upper Beaver, the team that's building Upper Beaver is the same team that just finished construction projects elsewhere in the company. Dominic made the point that the team building Hope Bay is the same team that built Mallardic.

Jimmy: Thanks to the team's continued efforts to improve productivity.

Jimmy: This quarter I would like to highlight Kittila progress focus on the shop utilization and systematic productivity and cost efficiently.

Dominique: In Q1, Miladine achieved a new tonnage record following last year mid-expension, averaging 6,200 tons per day

Jimmy: Improvement.

Ammar Al-Jundi: On the cut side, as Ammar mentioned, the quarter was excellent, with stable to slightly better cut than expected, thanks to the team's continued effort to improve productivity.

Jimmy: We are starting to see positive results from this initiative with cost per ton coming in 5% below target in Q1 <unk>.

Ammar Al-Jandee: And something that's really important that Natasha mentioned, which I think really sort of emphasizes this, We have the lowest turnover rates ever in the history of Detour and Macasa. This is how you build a competitive advantage. You not only leverage off your capital assets, but you keep the best people and you use them to their full extent.

Jimmy: Looking ahead.

There are three key project that I would like to highlight today. These project are closely tied to a mark's comment about leveraging our assets to create value first one is the middle bank potential expansion.

Ammar Al-Jundi: This quarter, I would like to highlight Kite Laos progress focused on the shaft utilization and systematic productivity and cost efficiently improvement.

Ammar Al-Jundi: We are starting to see positive results from this initiative with cost per ton coming in 5% below target in Q1.

Jimmy: We continue working to extend Meadowbank life of mine beyond 2028, our objective is to transition Meadowbank mine into an underground mine only after that the beat the pits are depleted aiming to add five to six years of production at around 150 to 200 <unk> per year.

Ammar Al-Jundi: Looking ahead, there are three key projects that I would like to highlight today. These projects are closely tied to Ammar's comment about leveraging our assets to create value.

Ammar Al-Jandee: So with that, I'd like to turn it over to questions. Thank you.

Operator: And ladies and gentlemen, we will now begin the question and answer session to ask a question, you may press a star followed by the number one on your cell phone keypad. If you're using a speaker phone, please speak up your handset before pressing any. To withdraw your question, please press star followed by the number two.

Jimmy: Given its location in Nunavut.

Ammar Al-Jundi: We continue working to extend middle bank life of mine beyond 2028. Our objective is to transition middle bank mine into another mine only after the fifths are depleted.

Jimmy: <unk> will not be the Lewis <unk> answers, but in today's gold price environment and the low risk associated with this we are evaluating different scenario and expecting premium finding by the end of this year on top of that the team is also working on a new scenario of doing a small pushback at the IV Arctic to conditionally.

Ralph Profiti: And with that, our first question comes from the line of Ralph Profiti with People. Please go ahead. Thanks, operator and good morning Ammar. Thanks for taking my questions. You know, it's very encouraging to see some of these internal zones start to bear fruit at Canadian Malartic and, you know, the number 2 point on the fill the mill strategy slide, you know, sort of talked about this second shaft. I'm just wondering how the medium term mine planning and the shaft positioning might be impacted by eclipse. It does seem like eclipse may be closer in proximity to existing ramp infrastructure and just wondering where this potential, you know, if exploration proves out how that might fit into the medium term mine plan.

Ammar Al-Jundi: Aiming to add five to six years of production at around 150 to 200,000 ounces per year.

Ammar Al-Jundi: Given it its location in Nunavut, this will not be the lowest cash cost ounces, but in today's gold price environment and the low risk associated with this, we are evaluating different scenario and expecting primary finding by the end of this year.

Jimmy: Additional answers in 'twenty eight 'twenty nine recognizing this potential our site team actively actively.

Being a plan to maximize meadowbank potential, creating a seamless bridge to future production at <unk>, which is my next project to display Colby is one of the largest biggest.

Ammar Al-Jundi: On top of that, the team is also working on a new scenario of doing a small pushback at the IV Arctic, to conditionally on knock additional answers in 28.29.

Jimmy: Opportunity, we have into our portfolio that could add 400000 ounces per year into 'twenty dirty.

Ammar Al-Jundi: Reconizing this potential, our side team actively developing a plan to maximize middle-bank potential, creating a seamless bridge to future production at OBE, which is my next project to discuss.

Jimmy: <unk> path to success is clear we are applying the same proven formula that led <unk> to success with the same experience team that conduct the study and the project construction. This quarter, we successfully finalized all of the contracts with the engineering firm and we believe we've assembled a team the goal is to it.

Dominique: I'm Dominique speaking. It's going to be more, let's say, in the more mid-long-term thing because it's more deep. But this is really a zone which is going to help for the second shaft. But there's also some upside that we're not talking or maybe can briefly talk at the upper east of East Gozi and also some internal zone at Odissi South, Odissi North that we're still working on. That could bring potential answers in 2027, 2028. Okay, that's encouraging. Thanks.

Ammar Al-Jundi: Opportunity we have into our portfolio that could add 400,000 ounces per year in the 2030.

Jimmy: Vince the detailed engineering phase to approximately 50% completion by Q1 26.

Ammar Al-Jundi: OBEPAP to success is clear, we are applying the same proven formula that led me lead into success, with the same experience team that conduct the study and the project construction.

Jimmy: Given our confidence with the project. We are currently doing some preparation work at site by upgrading the Kent facility, extending the airstrip dismantling the meal and completely.

Ammar Al-Jundi: This quarter will successfully finalize all the contracts with the engineering firm and we believe we've assembled at 18. The goal is to advance the detailed engineering phase to approximately 50% completion by Q126.

Jimmy: Early <unk> work.

Jimmy: We expect to report on <unk> in the first out of 26%.

Jimmy: The last project update on my side about is about our vision of mono take towards 1 million ounces.

Unknown Executive: The drilling at Marban, 24,000 meters.

Ammar Al-Jundi: Given our confidence with the project, we are currently doing some preparation work outside by operating the camp facility, extending the airship, dismantling the mill, and completely early work.

Unknown Executive: Just wondering, are we looking at infill resource expansion?

Jimmy: Gold producer next slide please.

Unknown Executive: And then would it be would it be too soon to expect updated resources in the year in 25 reserve updates?

Jimmy: To achieve our 1 million ounces production at monarch, we identified four key blocks there.

Jimmy: The first building block is.

Unknown Executive: Hey, so I'll take that one.

Ammar Al-Jundi: We expect to report on Hope Bay in the first half of 2026.

Jimmy: The foundation the current OTC phase one project transforming the site from the Canada is the biggest open pit mine to the largest underground mine gold mines in Canada.

Unknown Executive: So good morning. So that our plan for Mariband for this year, we want to provide sort of a first, first snapshot of what it could be, as we took over the project. But that new drilling is dedicated to fully investigate the Eastern extension, because one of the fact over there is the PIP as 03 was looking at it was property boundary constraint with land that Agnico already own in the eastern portion of the deposit. So we see some upside over there. And that first phase of drilling is aiming to make a first kind of test of the shallow portion of that eastern extension on the claim that we we already had.

Ammar Al-Jundi: The last project update on my side is about our vision of Marartick towards 1 million ounces.

Jimmy: Target is about $550000 per year for this part and the project is progressing very well the ramp is on target the shafts sinking as well and we reached a major milestone in Q1, achieving the commissioning of the temporary loading station at levels 64, unlocking efficient transportation of rock and <unk>.

Go producer, next slide please. [inaudible]

Ammar Al-Jundi: To achieve our 1 million on-source production at Marartik, we identify 4 key blocks.

The first building block is...

Ammar Al-Jundi: The Foundation, the current ADC Phase I project transforming the site from the Canada's biggest open pit mine to the largest underground mine, gold mine in Canada.

Jimmy: Personnel via the service hoist. The first shaft is expected to be completed by mid 2007. The second block 45 1 million ounces story.

Ammar Al-Jundi: The target is about $550,000 per year for this part and the project is progressing very well. The ramp is on target, the shaft sinking as well and we reach a major milestone.

Jimmy: Is the second shaft at OTC.

Jimmy: With the <unk> results, we see in exploration, we are evaluating the possibility of a sharing on shaft two mining parallel to the first one the massive is good the ore body. The second shaft could contribute to another 200000 ounces per year, which bring us to 770000 ounces per year for the OTC.

Ammar Al-Jundi: in Q1, achieving the commissioning of the temporary loading station at level 64, unlocking efficient transportation of rock and personal via the service oil.

Unknown Executive: And after that, we'll see. So I think we can anticipate the first update of Mariband reserve and resources at the end of this year. And maybe a second update by the end of 2026, which will be let's say, most likely the scenario will be developing but we want to provide let's say step by step as is and with another first phase of drilling at the end of 2026. Great, yes, excellent.

Ammar Al-Jundi: The first shaft is expected to be completed by mid-27. The second block, for that one million months' story, is the second shaft at ODC. With the promising results...

Jimmy: Project.

Jimmy: There is 200 blocks too that we could we could lock on that first.

Ammar Al-Jundi: We see an exploration. We are evaluating the possibility of a certain shaft to mine in parallel to the first one. The massive is-goody or body.

Jimmy: First one of those or the third one is the <unk> pit located 13 kilometers from demand Arctic.

Unknown Executive: Thank you for those answers.

Jimmy: Neil.

Josh Wolfson: And your next question comes from the line of Josh Wolfson with RBC Capital Markets. Please go ahead. Thanks very much. Along the same lines that some of the questions that Ralph had at Malartic, I mean, I noticed the rig count is probably near a record, at least in terms of what we've seen in the sector.

Jimmy: <unk> bandwidth six fully add to our portfolio through the acquisition of <unk> and could potentially contribute to another 130000 ounces per year, which bring us to the 900000 and the last one is <unk>. Once <unk> is at 302000 ton per day underground operation to be trucked.

Ammar Al-Jundi: The second shaft could contribute to another 220,000 answers per year. The second shaft could contribute to another 220,000 answers per year.

Ammar Al-Jundi: which brings us to 770,000 answers per year for the ODC project.

Ammar Al-Jundi: There's two other blocks that we could lock on that. The first one of those or the third one is the Morban Pith, located 13 kilometers from the Marlartic Mail.

Jimmy: At mid at monarch is about 100 kilometer from monarch.

Unknown Executive: You know, is there any ability to leverage some of the some of the understanding here for what the potential second shafts could be in the current design for the initial shaft and maybe look at reevaluating some scope changes and accelerate a second shaft? And along those lines, just understanding the timeline, you know, today, what you think is reasonable to think about for that second shaft.

Ammar Al-Jundi: Marban was successfully added to our portfolio through the acquisition of O3 and could potentially contribute to another 130,000 two years, which bring us to the 900,000.

Jimmy: <unk> digitally contribute to another 100 <unk> per year.

Jimmy: With all of the four building blocks together, we are reaching the one 8 million ounces vision over the next five to six years, our focus will be on the studies permitting and construction aiming to integrate these new ore feed into the melodic meal.

Ammar Al-Jundi: and the last one is Wesamack. Wesamack is a 300-thousand-ton per day underground operation to be trucked at Marlartic. It is about 100 kilometers from Marlartic. Wesamack can spontaneously contribute to another 100-thousand-uncise per year.

Dominique: Hi, Josh. That's a very good question. In fact, we are evaluating right now, should we go deeper with the first shaft? Because it is extending deeper. And it's also in parallel looking how deep we go with the second shaft or not. We should have an internal concept on that by the end of this year. It is really all to unlock the potential. For the second shaft, we're looking for 2 million ounces in inferred. This is what we're looking for. So far, the drilling is very positive, so it makes sense. But the second shaft target is going to be also to be a production shaft.

Jimmy: The 2000 Thirty's.

Jimmy: We should be in good position to Green light the second shaft <unk> and <unk> in early 2027.

Ammar Al-Jundi: With all of the four building blocks together, we are reaching the one-in-million ounces vision. Over the next five to six years, our focus will be on the studies, permitting and construction aiming to integrate these new ore feed into the malarctic meal in the 2030s.

Speaker Change: Now I would like to hand, it over to net desktop thanks, Tom and good morning, everyone.

Speaker Change: So I'll cover the operational highlights for Ontario, Australia, and Mexico all of the regions delivered good safety operating and cost performance to start off the year detour put the seventh millionth ounce in March and had the highest Q1 mill throughput with the lowest turnover theme since the mine began opening.

Ammar Al-Jundi: We should be in good position to green light the second shaft more ban in Wasamac in early

Now I would like to end it over to Natasha.

Speaker Change: Pit operations.

Thanks, Tom, and good morning, everyone.

Speaker Change: Weather, However was challenging this quarter, we do factor in weather delays into our plans, particularly in the winter, but this was a very abnormal winter for us at detour. So this quarter, we ended up mining less of the higher grade open pit material and instead said lower grade stockpile, which was planned to be processed later in the year.

Natasha: So I'll cover the operational highlights for Ontario, Australia, and Mexico

Ammar Al-Jundi: All the regions delivered good safety, operating and cost performance to start off the year. Detour poured the 7th million ounce in March and had the highest Q1 mill throughput with the lowest turnover seen since the mine began open pit operations.

Unknown Executive: So cheaper and easier to do. That's what we're looking for right now. Got it.

Unknown Executive: And sorry, the time frame that you think would be reasonable to think about the second shaft being in production. We're talking in early 2030s.

Speaker Change: Now macassar, we hit a few record in safety in lateral development and in ounces produced but.

Ammar Al-Jundi: Whether however was challenging this quarter, we do factor in whether delays into our plans particularly in the winter, but this was a very abnormal winter for us at Detour. So this quarter, we ended up mining less of the higher grade open pit material and instead fed lower grade stockpile which was planned to be processed later in the year.

Dominique: And then on some of the metal bank opportunities you mentioned for the IVR pit pushback and potentially the underground expansion, what would be the kind of rough capital numbers you think that would be reasonable to assume there? Thank you. I don't have the numbers, but that's going to be no big number, because it's going to be just some stripping and development, as we already have all the facilities, like the camp, the mill, the roads. But I don't have the numbers.

Speaker Change: Thank the highlight is that similar to <unk>, even in a highly highly competitive labor market, we hit a record with the lowest turnover in its history.

Speaker Change: And in terms of the production Makassar had a pretty strong quarter two on the back of two stopes that over performed.

Ammar Al-Jundi: Now at Macassa, we hit a few records in safety, in lateral development and in ounces produced, but I think the highlight is that similar to detour even in a highly competitive labor market, we hit a record with the lowest turnover in its history.

Speaker Change: <unk> had a good quarter here.

Speaker Change: Here, we are working on progressive improvements to the ventilation system and production is progressing.

Speaker Change: All three mining sites.

Speaker Change: Of course operational improvement efforts with a focus on cost control initiatives are continuing at all of our site.

Ammar Al-Jundi: and in terms of the production, Macassa had a pretty strong quarter to on the back of two stops that over-performed.

Ammar Al-Jandee: But it's, I mean, it's an important point, because, Josh, this will allow us to extend the mine life with relatively very small capital. So Dominic made the point, look, these aren't going to be cheap cash cost ounces, but they're going to be, I think, exceptional return on capital ounces. And that's really what matters.

Speaker Change: Now as we look ahead, we're seeing a few exciting things on the go I'll start with Mcarthur were focused in a mill optimization here. So we'll continue to work on initiatives to debottleneck parts of that circuit reduce downtime and further improve the throughput incrementally.

Ammar Al-Jundi: Fosterville, too, had a good quarter. Here we're working on progressive improvements to the ventilation system, and production is progressing at all three mining funds.

Speaker Change: At Fosterville will continue to conduct further technical evaluations and NGL to confirm the feasibility of increasing the annual throughput.

Dominique: Sorry, Dom? Yeah, just maybe something to add that we didn't talk, but extending the mill, it's also meaning, or the mill, the mine, that Guy's going to keep drilling. So that's also bring an interesting opportunity to eventually find more and to keep that running. So I'm very excited about that. It's very great news, and the team is doing wonderful work. Great. Yeah, thank you very much.

Ammar Al-Jundi: Now, if we look ahead, we're seeing a few exciting things on the go. I'll start with Mikasa. We're focused on mill optimization here, so we'll continue to work on initiatives, the D-Bong leg parts of that circuit, reduce downtime, and further improve the mill throughput incrementally.

Speaker Change: To an average of approximately 175000 ounces at.

Speaker Change: And at San Nicolas through the JV.

Speaker Change: We will continue to work on the feasibility study project approval is expected to follow of course dependent on the receipt of the permits and the results of the study.

Speaker Change: We anticipate all of this is coming together towards the end of this year.

Speaker Change: And finally on the next slide I will give you a quick update on the two projects that will give us the opportunity to grow low risk and profitable production and a very mining friendly jurisdiction like Ontario.

Anita Soni: And your next question comes from the line of Anita Soni with TIBC World Markets. Please go ahead.

Ammar Al-Jundi: And at San Nicholas through the JV, we will continue to work on the feasibility study. Project approval is expected to follow, of course dependent on the receipt of the permits and the results of the study. We anticipate all of this coming together towards the end of this year.

Jamie: Hi, good morning, Ammar and team and congrats on a strong results and congrats to your employees for delivering that result to shareholders. The first question that I have is with respect to the cost. So you came in below the bottom end of the cost guidance range for this quarter, and you're maintaining the production, sorry, the cost guidance for the year. Can you just give us an idea of where you're seeing, you know, the cost evolving over the course of the year to get to that higher amount? Yeah, thanks, Anita.

Speaker Change: And I'll start with Detroit This is a world class asset.

Speaker Change: Last year, we outlined a pathway for <unk> to be a 1 million ounce producer annually for over a 14 year period, it's still early days, but this quarter. The overburden excavation was completed the surface preparation was completed.

Ammar Al-Jundi: And finally, on the next slide, I'll give you a quick update on the two projects that will give us the opportunity to grow low risk and profitable production in a very mining friendly jurisdiction like Ontario.

Speaker Change: As well we received the permit to take water <unk>.

Speaker Change: So we are expecting to commence the ramp development in Q2.

Ammar Al-Jundi: And I'll start with detour. This is a world-class asset. Last year, we outlined a pathway for detour to be a 1 million ounce producer annually for over a 14-year period.

Speaker Change: Rob a beaver again this is another low risk opportunity to grow the production profile in Ontario. This quarter. We continued to advance on both fronts does surface setup needed first shaft thinking and site preparation for the ramp.

Jamie: It's Jamie. Yeah, we came in at $9.03 in the quarter, you know, below the low end of our guidance, which is $9.15 to $9.65. We did benefit from the weakness in the Canadian dollar. I think the average, the Canadian dollar averaged $1.44 in the quarter. We had some hedges in place, so our realized FX rate was $1.42, much better than the $1.38 that we budgeted. So, you know, that was a big contributor. Really, the overperformance in terms of production, obviously, increased the denominator, and that helped as well. So, we'd expect costs to go up and be fairly constant throughout Q2 through Q4.

Ammar Al-Jundi: It's still early days, but this quarter the overburden excavation was completed, the surface preparation was completed, as well we received the primer to take water, so we're expecting to commence the ramp development in Q2.

Speaker Change: You can see in the picture.

Speaker Change: That we have started advancing on the steel installation of the head frame and hoist, Jim we're expecting both of them to be completed all commissioned in early Q4 this year and.

Ammar Al-Jundi: As for our beaver, again, this is another low risk opportunity to grow the production profile in Ontario. This quarter we continue to advance on both fronts, the surface setup needed for shaft syncing and the site preparation for the ramp.

Speaker Change: Shaft thinking to commence to Nasdaq.

Speaker Change: As for the exploration ramp we've completed the box cut.

Speaker Change: We are expecting to commence the ramp development in Q4, this year, if not a bit sooner.

Ammar Al-Jundi: You can see in the picture that we've started advancing on the steel installation of the head frame and the hoist room. We're expecting both of them to be completed or commissioned in early Q4 this year, and shaft thinking to commence to now. Okay.

Speaker Change: Both the detour underground and upper Beaver.

Jamie: And so, just to repeat a point we've made many times. When you have a good operating quarter, you have a good cost quarter and we the team delivered a great operating quarter. You know, let's hope they continue to do it for the rest of the year. But but for now, we're maintaining our cost guide. So that's basically, if you continue to assume an even sort of mid, even divide by four on the midpoint of your original guidance or your guidance range, then that would put you back into the, into your cost guidance range. Yeah, and ended up exchange rate of 138.

Speaker Change: Really solid projects with strong risk adjusted returns.

Speaker Change: <unk> are going to be drivers of future growth at our Ontario platform and we look forward to continuing to advance on these projects throughout 2025.

Ammar Al-Jundi: That's where the exploration ramp, we've completed the box cut, we're expecting to commence the ramp development in Q4 this year, if not a bit sooner.

Speaker Change: And with that I'll pass it over to Keith.

Speaker Change: Thank you <unk> and good morning, everyone first on slide 12, I would like to DG opportunity to highlight the various exploration team at each mine and project site for our great health and safety performance.

Ammar Al-Jundi: Both the detour underground and upper beaver, they're really solid projects with strong, risk-adjusted returns and are going to be drivers of future growth at our Ontario platform. And we look forward to continuing to advance on these projects throughout 2025.

Speaker Change: Cost control and productivity productivity improvement initiative when.

Speaker Change: When we look at the landscape in this photo was coming from Obi, we realize that it is a tough environment and our people are doing an amazing job at working safely while implementing cost control and productivity initiative.

Jamie: And, you know, a bunch of other assumptions. That's why it's a great start to the year. We're delighted, you always want to be off to a good start. But it's still early in the year. So we expect to have a good year. We're very well positioned to have a good year. And we're going to keep working hard.

and with that, I'll pass over to you.

Thank you Natasha and good morning everyone.

Keith: First, on flight 12, I would like to take the opportunity to highlight the various exploration team at each mine and project site for our great health and safety performance.

Speaker Change: Overall, we had an excellent first quarter with 300 kilometers of drilling completed on all site with a focus on advancing our key value driver project here Adobe, we delivered better than budgeted drilling would almost 30 kilometers of drilling completed in the first quarter from highest space drilling and from the exploration gravel.

Cost Control, and Productivity Improvement Initiative.

Jamie: And then my second question, a little bit further on Odyssey, I think Dominique mentioned you were looking for about 2 million ounces in order to develop that next shaft. Can you talk about how much you feel like you've delineated at this point? So, obviously, you know, in order to make a more robust case for the second shaft, we would like to see, like, for the first shaft, you know, an area with above an average grade north of 3 grams that, you know, will be, and we're getting there, and you see those, even those recent step-outs, that dip where we got some better than average grade with good thicknesses and those resulting, all of that is shaping up to define, you know, that 2 million ounces at better than average grade that Dominique is talking about, and when you look at the location to the east, so I think it's a matter of getting the drill spacing, and some of those holes are quite long, so it takes some time to get the right drilling pattern to firm up, sort of, under a study, but I think we're within reach, you know, it's a matter of, you know, maybe a year to get all of that drilling in good shape, and we'll be able to, you know, firm up the scenario where exactly it should go, but it smells good based on the high-grade result we're getting in the east flank.

Speaker Change: That is greatly and ends our site performance in Q4 and Q1.

Keith: Overall, we had an excellent first quarter with 300 kilometer of drilling completed on all site.

Speaker Change: Globally, we have a total of 112 drill rig working on all sides of the company.

with a focus on advancing our key value driver project.

Speaker Change: I will also like to thank our drilling excellence team that continue to work closely with all of our drilling entrepreneur to integrate new technology that will make drilling safer more productive and therefore more cost efficient.

Keith: Here, at OB, we deliver better than budget and drilling, with almost 30 kilometers of drilling completed in the first quarter from high space drilling and from the exploration gravel track. That has greatly an end, our site performance in Q4 and Q1.

Speaker Change: From a result standpoint, I will briefly comment on <unk> project, Obi Candido monarch, <unk> and detour.

Keith: Globally, we have a total of 112 throw rig working on all sides of the company

Speaker Change: So on slide 13, Adobe we continue to see strong result in two very interesting area.

Keith: I would also like to thank our drilling experience team that continue to work closely with all of our drilling entrepreneur to integrate new technology that will make drilling safer, more productive, and therefore more cost efficient.

Speaker Change: First of all close to surface and batch oven, which result up to 20 Gram over four two meters at only 240 meters below surface that could potentially be accessible early and our project development scenarios.

Keith: From a result standpoint, I will briefly comment on three projects, OP, Candidum Morartic, and Detour.

Speaker Change: And secondly in the gap between Silicon patch closer to propose ramp with results up to 24 gram over $9 five meter.

Keith: Sons like 13 at OB, we cut the UTC's strong result in two very interesting areas.

We anticipate these results will have a positive impact on the mineral resources at the next update.

Keith: First of all, quilts to surface and patch-driven, which result up to 20 gram over 4.2 meter at only 240 meter below surface. That could potentially be accessible early in our project development scenarios.

Speaker Change: Now on slide 13, and Mario <expletive> at Odyssey, Some very exciting results and three area.

Unknown Executive: I'll write that down for my notes. All good.

Speaker Change: First of all the upper east portion of the East Colby that we anticipate we will get to mineral reserves at year end this year.

Keith: and secondly, in the gap between Sulok and Patch, close to the proposed ramp, with result up to 24 gram over 9.5 meter. We anticipate these results will have a positive impact on the mid-hour resources at the next update.

Unknown Executive: Thank you.

Daniel Major: And your next question comes from the line of Daniel Major with UBS, please go ahead. Hi, thanks very much, and great quarter. Yeah, first question, just on the cash returns, you've obviously hit the basically zero net debt, and indicated an upscaling to the pace of the buyback. Two parts, I mean, is there any reason we should expect you to move into a meaningful net cash position? Or should we basically assume the majority of cash is returned to shareholders? And how are you feeling around The balance between special dividends and buybacks, is this all buybacks? Or would you consider a special dividend as a part of the distribution mix?

Speaker Change: Secondly, the lower eastern extension of <unk> with some pretty good result up to $5 three gram over 27 meter six six gram over 17 meter.

Keith: Now on flight 13, in Mara <expletive> Adodisie, some very exciting results in three areas. First of all, the upper east portion of the East Goldie, that we anticipate will get to Minerar Reserves at here and this year.

Speaker Change: Couple of 100 meter to the eastern limit of the current resources and all of that between 18, and 1900 meter bubbles or phase.

Speaker Change: And third NDA eclipsed <unk> zone with result up to $3 seven gram over $59 seven meter.

the Lower Eastern Extension of East Gobi.

Keith: with some pretty good result up to 5.3 gram over 27 meter, 6.6 gram over 17 meter, a couple of 100 meter to the eastern limit of the current resources and all of that between 18 and 1900 meter bubbles or phase.

Speaker Change: These strong resolved in the lower east and Eclipse continue to win and our scenarios for the location of our second chef at Odyssey.

Speaker Change: And last but not least a detour drilling continued to infill the deposit in area that are targeted for the underground mine project both below the pit in the saddle and the central portion of the deposit with some local very spectacular result of two eight grams over 78 meter and to the west.

Keith: and third in the A-clips parallel zone with result of 2.3.7 gram over 59.7 meter. These strong results in the lower east and eclipse continue to end our scenarios for the location of the second shaft at Odyssey.

Jamie: Yeah, thanks, Dale, for the question. I think, you know, as I indicated, in my comments on the call, we're focused on certainly increasing returns to shareholders, but also continuing to strengthen our balance sheet and improve our financial flexibility. So, you know, we're comfortable getting to a net cash position and comfortable at the net cash position, you know, north of a billion dollars, we think that's that's a true competitive advantage in this business. In terms of the shareholder returns, I think we're going to do more on the the share buyback. That's a big factor why we increase the limit, why we intend to increase the limit to a billion dollars over a 12 month period.

Speaker Change: Close next to the plan exploration ramp with result up to treat gram over $44 five reader.

And last but not least, I'd be to work.

Keith: Drilling continued to infill the deposit in area that are targeted for the underground mine project, both below the pit in the saddle, in the central portion of the deposit, with some local, very spectacular result of two eight grandlovers 78 meter, and to the west.

Speaker Change: So we are we had a very good start into the year in terms of a drill result on our key value driver project and we are in a very good position to deliver update on studies as discussed in our previous press release in February and mentioned by <unk> and Dominion.

Keith: Closed next to the planned exploration ramp, with result up to 3 gram over 44.5 meter

Omar: So on that I would like to return the microphone to Omar for some closing remarks.

Speaker Change: Thank you <unk> and thank you to the full team.

Speaker Change: So we are, we add a very good start of the year in general draw result on our key value driver project and we are in a very good position to deliver update on studies as discussed in our previous press release in February and mentioned by Natasha and Dominique.

Ammar Al-Jandee: So I'd expect more activity on the share repurchase side. And obviously, we've seen a lot of volatility in the gold price, we'll continue to evaluate Unknown Speaker 1. Unknown Speaker 1. The Dividend Policy Based on that, but certainly an uptick in share repurchases in the quarters to come.

Omar: The gold price performance over the past year has been remarkable.

Omar: Our owners invested in gold because they had the correct view the gold prices would increase.

Omar: And our owners invested in us because they had the correct view that agnico Eagle is well positioned to deliver the full benefit of gold price increases to them.

Ammar Al-Jundi: So on that, I would like to return the microphone to Ammar for some closing remarks

Ammar Al-Jandee: You know, I'll add, it's Ammar here. At these prices, Agnico Eagle, and frankly, a lot of our peers, should be making a lot of money. We should be generating a lot of cash, and that cash belongs to our owners. We will be returning the cash. The most important thing, in my opinion, is don't waste that cash. It's this is why we keep repeating it's your cash. It's not our cash. And we're going to continue to be disciplined. Which means that we're going to build a business, we're going to strengthen the balance sheet. And we are going to increase returns to shareholders and it may be in a dividend, maybe it's a share buybacks, maybe, maybe it's probably a combination of all of those.

Thank you, Guy, and thank you to the full team.

Omar: To deliver that full benefit we focused on three things and we've delivered three things.

Ammar Al-Jundi: The gold price performance over the past year has been remarkable.

Omar: One is production we need to deliver the production we promised.

Ammar Al-Jundi: Our owners invested in gold because they had the correct view that gold prices would increase and our owners invested in us because they had the correct view that Agnico Eagle is well positioned to deliver the full benefit of gold price increases to them.

And we need to be able to grow production per share over time, and we're doing both.

Omar: Two we need to control costs, we're delivering not only solid cost control, but we remain disciplined with capital spend the projects. We're investing in are all expected to generate good returns and they are the same projects that made sense at gold prices more than $1000 below.

Ammar Al-Jundi: One is production. We need to deliver the production we promised, and we need to be able to grow production per share over time. And we're doing both.

Omar: Where they are now.

Omar: This is our owners' money.

Ammar Al-Jandee: But the real important question or the real important point is, stay disciplined, don't, don't waste that money, don't go out and do stupid things with our owners money. And, you know, that again, that's why we emphasize from the beginning, cost control. That's why we emphasize also capital discipline. Great, thanks.

Two, we need to control costs.

Omar: And we're not going to spend our owners' money just because of the price of gold went up.

Speaker Change: And third.

Speaker Change: It is important we need to deliver this production and we need to deliver these costs reliably steadily and with those little risk as possible APA.

Speaker Change: Operational risk <unk>.

Speaker Change: Financial risk political.

Speaker Change: Political risk we.

Ammar Al-Jundi: This is our owner's money and we're not going to spend our owner's money just because the price of gold went up.

Speaker Change: And we're going to stay with the same strategy that we've used now for almost 70 years. It works for US it is not for everyone, but it works for US we're going to focus on regions with multi decade geologic potential and with the political stability that allows us to fine tune our strengths over multiple.

Unknown Executive: And then maybe a follow up on the on the project front. Hope Bay looks some good results there.

Ammar Al-Jundi: This is important. We need to deliver this production and we need to deliver these costs reliably, steadily, and with as little risk as possible.

Unknown Executive: Well, can you give us some more of an indication of timelines, if possible around updated kind of studies, FID, kind of, yeah, trajectory? Which project? Old project? Hope Bay. Sorry, I missed it. Hope Bay we're looking in early 2026 to have a better final picture and potentially green light the project. So in the meantime, we're updating the study, doing detailed engineering, as we did at Miliadene, before giving KPIs and what's going to be the cost, how long it's going to take. We would like to have more engineering done. And it's also when you're doing that engineering that you find solutions and you improve and you de-risk the project.

Operational Risk,

Financial Risk

Speaker Change: Decades.

Political Risk

Speaker Change: If we take a look at just some of the discussion today.

Ammar Al-Jundi: It works for us, it's not for everyone, but it works for us. We're going to focus on regions with multi-decade geologic potential and with the political stability that allows us to fine-tune our strengths over multiple decades.

Speaker Change: The team that's building the shaft.

Speaker Change: At <unk>.

Speaker Change: It's going to be the team that builds the shop at upper Beaver. The team. That's building upper Beaver is the same team that just finished construction projects elsewhere in the company Dominic made the point that the team building hope days the same team that built <unk>.

Ammar Al-Jundi: If we take a look at just some of the discussion today.

Speaker Change: And something that's really important that Natasha mentioned, which I think really sort of emphasizes this.

The team that's building the shaft at Mallardic.

Ammar Al-Jundi: He's going to be the team that builds the shaft at Upper Beaver. The team that's building Upper Beaver is the same team that just finished construction projects elsewhere in the company Dominic made the point.

Speaker Change: We have the lowest turnover rates ever in the history of detour and Macassar. This is how you build a competitive advantage not only leverage off your capital assets, but to keep the best people.

Ammar Al-Jandee: So it is really our goal to be over 50% early 2026. And we're also doing a lot of, as you mentioned, Dom, activity on the ground. We're getting ready, not only with the engineering and the studies, but we're getting ready to get off the starting blocks very quickly. We're increasing camp space, we're upgrading some of the infrastructure, we're clearing out the old mill so that we have, frankly, an empty building to build the new mill in. So it's not just the studies and the engineering, but it's work on the ground.

Ammar Al-Jundi: that the team building hope is the same team that built melodic and something that's really important that Natasha mentioned which I think really sort of emphasizes this.

Speaker Change: And you use them to their full extent.

Speaker Change: So with that.

Speaker Change: I'd like to turn it over to questions.

Ammar Al-Jundi: We have the lowest turnover rates ever in the history of detour in Makassah. This is how you build a competitive advantage. You not only leverage off your capital assets, but you keep the best people and you use them to their full extent. Thank you very much.

Speaker Change: Thank you and ladies and gentlemen, we will now begin the question and answer session to ask a question you May press star followed by the number one I guess telephone keypad.

Speaker Change: P J D speaker for your handset before pressing any.

Speaker Change: Let me draw. Your question. Please press star followed by the number Q and with that our first question comes from the line of milk.

Ammar Al-Jundi: So, with that, I'd like to turn it over to questions.

David: David with Stifel. Please go ahead.

Unknown Executive: Great, thanks. Good luck.

Speaker Change: Thank you, and ladies and gentlemen, we will not begin the questioning in your session. To ask a question, you may press a star, followed by the number one on your telephone keypad. If you are using a speaker phone, please speak up your hands, as before pressing any keys.

David: Thanks, operator.

Lawson Winder: And your next question comes from the line of Lawson Winder with Bank of America Securities, please go ahead. Thank you, operator. Good morning, Ammar and team. Very nice to hear from you all. And thank you for today's update. You talked about your cost control, and it's extremely impressive. But you also noted there's a certain cost element royalties that sort of out of your control. In a way, though, I mean, it could be in your control in the sense that you could buy back your royalties. And I'd like to know how you think about that. I mean, in particular, the Canadian Malartic Royalty.

David: And good morning, Omar Thanks for taking my questions.

Speaker Change: It's very encouraging to see some of these internal zones start to bear fruit at Canadian <unk> and <unk>.

Speaker Change: The number two points on the fill the mill strategy slide.

Ammar Al-Jundi: To withdraw your question, please register, followed by the number two. And with that, our first question comes from the line up, Ralph Profiti Woods, people, please go ahead.

Speaker Change: Sort of talked about this is the second shaft I'm just wondering how all that medium term mine planning in the shop positioning might be impacted by eclipse. It does seem like eclipse, maybe closer in proximity to existing ramp infrastructure and just wondering where is this potential.

Ralph Raffitti: Thanks operator, and good morning Ammar, thanks for taking my questions [inaudible]

Ralph Raffitti: You know, it's very encouraging to see some of these internal zones start to bear fruit that Canadian melodic and you know, the number two point on the field of middle strategy slide. You know, sort of talked about this, this second shot and just wondering how. [inaudible] I don't know.

Ammar Al-Jandee: I mean, is there an argument for buying those back in order to actually be proactive on controlling that one cost item you can't control? And then looking at it from another point of view, I mean, is that even still relevant given the extent to which the Canadian malarctic property has expanded beyond the bounds of the current royalty?

Speaker Change: Exploration proves out how that might fit into the medium term mine plan.

Speaker Change: <unk> speaking his lips is going to be more let's say.

Ralph Raffitti: Al the medium term mind planning and the shaft positioning might be impacted by eclipse. It does seem like eclipse, maybe closer.

Speaker Change: In the more mid long term thing because it is more deep.

Speaker Change: But this is really a zone, which going to help for the second half, but theres also some upside that we're not talking or BB briefly talk at the upper east of El <unk> and also some internal zone. At this is out of this is that we're still working on that could bring for them.

Ralph Raffitti: Improximity to existing ramp at the structure and just wondering where this potential, you know, how that might fit into the medium-term mind plan.

Ammar Al-Jandee: Thanks. Well, I mean, that's a, that's a very logical question. And, and, you know, we're well aware of those royalties. And we know there's a lot of speculation around those royalties. And often the answer is, of course, we look at that we look at everything all the time, what makes sense for our shareholders. You know, those royalties are fantastic for I mean, that was a smart thing that that Cisco did. I mean, they found this thing, they set up the royalties good for them, I give them credit. You know, we look at it, if there's an opportunity for us to get it at a level that makes sense for our owners, we would do it if if someone else has a lower cost of capital, and it makes more sense for them.

Ralph Raffitti: Hi, Josh, Dominique speaking. It lips is going to be more, let's say, in the more mid long term thing because it's more deep. But this is really a zone which is going to help for the second shaft.

Speaker Change: <unk> in 2728.

Speaker Change: Okay, that's encouraging thanks.

Speaker Change: <unk>.

Speaker Change: The drilling at <unk> 24000 meter just wondering so are we looking at infill resource expansion and then would it be would it be too soon to expect updated resources and the year end 2005.

Speaker Change: Reserve updates.

Speaker Change: So I'll take that one.

Speaker Change: So good morning.

Speaker Change: So that our plan form our band for this year, we want to provide sort of a first.

Speaker Change: The drilling at Marben, 24,000 meter, just wondering, are we looking at infill resource expansion and would it be too soon to expect updated resources in the year in 25 reserve update?

Ammar Al-Jandee: You know, then then that's what capital discipline is all about. So very good question. Of course, we know about it, of course, we look at it. And if the opportunity arises that it makes sense, great. But we're going to be And then when you think about the current footprints of Canadian Malarctic, I mean, it is starting to expand beyond that current royalty. Is that a fair statement? And like, how does that how does the expanding resource base and the future trajectory of resource growth at that property, you know, factor into this? Well, you're exactly right.

Speaker Change: First snapshot of what it could be as we took over the project, but that new drilling.

Speaker Change: Is dedicated to.

Speaker Change: A fully investigate the eastern extension because one of the fact over there is the.

Speaker Change: Hey, I'll take that one so good morning. So our plan for my event for this year, we want to provide sort of a first.

Speaker Change: As <unk> was looking at it was property boundary constrained with land that agnico already own in the eastern portion of the deposit. So we see some upside over there and at first phase of drilling is aiming to make our first kind of depth of the shallow portion of that eastern extension on that the claim that we already add.

But that new drilling...

is dedicated to fully investigate the Eastern Extension because one of the fact over there is the...

Ammar Al-Jandee: It the the ore body continues to expand and potentially well beyond the boundary of the royalties and I mean, clearly. What I would say is we have probably better insight into that than, well, not probably, we have better insight into that than anybody. So we do have an advantage in knowledge when it comes to capital allocation in that area. Yeah, okay.

Speaker Change: And after that we will see so I think we can anticipate the first update of Marvin.

The PIP as all three was looking at it was...

Speaker Change: property boundary constraint with land that Agnico already own in the eastern portion of the deposit.

Speaker Change: Reserve and resources at the end of this year and maybe a second update by the end of 2026, which will be lets say most likely the scenario will be developing but we want to provide let's say a step by step as is and with the first phase of drilling at the end of 'twenty six.

Speaker Change: And after that we'll see so I think we can anticipate the first update of Marban reserve and resources at the end of this year.

Speaker Change: Great excellent. Thank you for those answers.

Unknown Executive: Well, thanks for that perspective, Ammar. And if I could just ask one follow-up.

Speaker Change: And your next question comes from the line of Josh Wolfson with RBC capital markets. Please go ahead.

Unknown Executive: Thinking about your move back into zinc, sorry to be clear, I mean, you guys historically have mined a significant amount of zinc. So you're moving back into zinc with your partnership with tech. And I mean, it makes a lot of sense. You produce a metal that trades at a significant sort of historical relative premium to a lot of the industrial metals.

Speaker Change: and maybe a second update by the end of 2026, which will be, let's see, most likely, the scenario will be developing, but we want to provide, let's see, step by step, as is, and with another first phase of drawing at the end of 2026.

Josh Wolfson: Yes, thanks, very much along the same lines.

Speaker Change: Some of the questions that Ralph had at <unk>.

<unk> I notice the rig count is probably near a record at least in terms of what we've seen in the sector.

Great, yes, excellent. Thank you for those answers.

Ammar Al-Jandee: Is there an attraction to take some of those very high return profits you're earning on gold and invest it increasingly into base metals, like beyond what you're doing with sand metal? Well, you know, we're we're a gold company, we're more gold centric than anyone else. And we're happy to be in gold. And certainly the last year has demonstrated that gold continues to do what it what it what it's expected to do. I mean, you know us well enough. We're a gold centric company, but we just want to make money for our owners. We want to do it responsibly.

Speaker Change: Is there any ability to leverage some of the some of the understanding here for what the potential second chaps could be in the current design for the for the initial shaft and maybe look at reevaluating some scope changes and accelerate a second chapter and along those lines just understanding the timeline today, what you think.

Speaker Change: And your next question comes from the line of Josh Wolfson with RBC Capitol Markets, please go ahead.

Josh Wolpson: Yes, thanks very much. Along the same lines as some of the questions that Ralph had at Mallardic, I mean, I noticed the rig count is probably near a record, at least in terms of what we've seen in the sector.

Speaker Change: So reasonable to think about for that second shaft. Thank you.

Josh Wolpson: Is there any ability to leverage some of the understanding here for what the potential of second shafts could be in the current design for the initial shaft and maybe look at reevaluating some scope changes and accelerate a second shaft and at along those lines just understanding the timeline today what you think is as reasonable to think about for that second shaft. Thank you.

Josh Wolfson: Hi, Josh and Thats a very good question in fact, we are evaluating right now.

Speaker Change: Should we go deeper with the first half.

Speaker Change: It is extending deeper and it's also in parallel looking our deep we go with the second shaft or not.

Ammar Al-Jandee: And we want to do it safely. But we're always going to focus and try to leverage off the competitive advantages that we have. So you know, if we find a copper mine in a region that we think has the geologic potential, and we have a competitive advantage, we'd be open to that, of course. But we're not, you know, we're a little different than some of our peers, our peers have, you know, they pick one metal copper, they said they'll go anywhere in the world to do it. And they've set targets. For Agnico Eagle, we just want to make money for our owners, which means we're going to play off our strengths.

Speaker Change: We should have a into an internal.

Speaker Change: Concepts on that by the end of this year.

Speaker Change: As we all to unlock the potential.

Speaker Change: For the second Shack, we need we need we're looking for at 2 million ounces in inferred. This is what we're looking for so far the drilling.

Speaker Change: Very positive.

Speaker Change: So it makes sense, but second half is going to target is going to be also to be a product's on chat, so cheaper and easier to do.

Speaker Change: That's what we're looking for right now.

Ammar Al-Jandee: We're open, we're a gold company, but we're open to other metals, if it makes a lot of money, they have to be in places that we're comfortable operating. And probably the most important thing is, the amount that we do is going to be driven by opportunity to make money. It's not going to be driven by setting an arbitrary number of 30 or 40%.

Josh Wolpson: For the second shaft, we need we're looking for two million ounces in inferred. This is what we're looking for. So far the drilling is very positive. So it makes sense, but the second shaft is going to target going to be also to be a product on shaft. So cheaper and easier to do. That's what we're looking for right now. [inaudible]

Speaker Change: Got it and sorry.

Speaker Change: Timeframe that you think would be reasonable to think about the second shaft and production.

Speaker Change: We're talking in the early <unk>.

Speaker Change: Alright, Thanks, and then on some of the.

Speaker Change: Meadowbank opportunities you mentioned.

Unknown Executive: Okay, very well said. Thank you, Ammar.

Speaker Change: For the IPR pit pushback and.

Unknown Executive: And your next question comes from the line, if Tariq would pre-speech, go ahead. Hi, thanks for taking my question. Just looking at MACASA, very good grades in Q1. I think the highest in two years. And you mentioned it was due to two stopes that outperformed. Was that a one-off type of situation? Like, how should we be thinking about grades through the rest of the year at MACASA? So, no, there's a few panels. As you know, MACASA, the grade varies a lot between half and ounces per ton and several ounces per ton. So, it's, again, with the drill spacing pattern, it's very difficult to capture those jewelry box here and there.

Speaker Change: God, I'm sorry, the timeframe that you think would be reasonable to think about the second

Speaker Change: <unk> the underground expansion what would be the kind of rough capital numbers, you think that that would be reasonable to assume there. Thank you.

We're talking in early 2030s. We're talking in early 2030s.

Speaker Change: I don't have the numbers, but thats going to be no big number because it is going to be just some through being in development as we already have all of the facilities like the camp that meal the roads.

Speaker Change: Good, thanks. And then on some of the metal bank opportunities you mentioned for the IVR pit pushback and potentially the underground expansion, what would be the kind of rough capital numbers you think that would be reasonable to assume there? Thank you.

Speaker Change: No.

Speaker Change: But I don't have the number but it's.

Speaker Change: An important point because.

Speaker Change: Josh This will allow us to extend the mine life.

Speaker Change: I don't have the numbers, but that's going to be no big number because it's going to be just some stripping and development as we already have all the facilities like the camp, the meal, the roads, so...

Speaker Change: With relatively very small capital. So Dominic made the point look these arent going to be cheap cash cost ounces, but theyre going to be I think exceptional return on capital allowances and that's really what matters.

Unknown Executive: So, sometime in some panel, you're going to get some outliers like that, and, you know, we may see some more. But they are difficult to predict with the drill spacing we're having. So, we are enjoying it when they pass, but it's not something we can predict. Okay, thank you.

Speaker Change: Yes, just maybe something to add that we we didn't talk about extending the meal, it's all true, meaning or the mind that he's going to keep drilling.

Josh, this will allow us to extend the mine life.

Speaker Change: with relatively very small capitals. So Dominique made the point, look, these aren't going to be cheap cash cost ounces, but they're going to be I think exceptional return on capital ounces. And that's really what matters. Sorry, don't. Yeah, just maybe something to add that we we didn't talk with.

John Tumazos: And your next question comes from the line of John Tumazos with John Tumazos Variant Evented Research. Please go ahead.

Speaker Change: So that also will bring an interesting opportunity to eventually find more and to keep that running so I'm very excited about that it's a very great news and the team is doing wonderful work on that.

Guy Gosselin: Thank you for your service to the company. I'm looking at the slide 7, slide 12, excuse me. I'm interested in the 24-gram intercept between Suluk and patch 7. Is it possible, Guy, that the two zones connect and are one zone? First. Second, at 24 grams, it would be 30 feet or so of $2,500 U.S. rock at today's gold prices. What do you think the cost per ton will be when you have Hope Bay restarted? $250 a ton, $500, I'm wondering if that 24 gram intercept is 80 or 90% gross margin ROC. Well, maybe to answer on the cost, you have to look at it.

Speaker Change: Great. Thank you very much.

Speaker Change: And your next question comes from the line of any discounting with CIBC World markets. Please go ahead.

Speaker Change: that he's going to keep drilling. So, that also brings an interesting opportunity to eventually find more and to keep that running. So, I'm very excited about that. It's a very great news and the teamwork is doing a wonderful work on that.

Speaker Change: Hi, good morning, Omar and team and congrats on the strong results and congrats sure in place for delivering that results to shareholders.

Speaker Change: The first question that I have is with respect to the cost containment.

Speaker Change: Came in below the <unk>.

Thank you very much.

Speaker Change: <unk> ended the cost guidance range for the quarter.

Speaker Change: And your next question comes from the line of Anita Soni with TIBC World Market, please, go ahead.

Speaker Change: Hitting the production sorry, the cost guidance for the year can you just give us an idea of where youre seeing.

Anita Soni: Hi, good morning, Ammar and team and congrats on a good strong results and congrats your employee for delivering that result to shareholders.

Speaker Change: The cost.

Speaker Change: Evolving over the course of the year to get to that Scott.

Speaker Change: Scott that higher amount.

Anita Soni: The first question that I have is with respect to the cost. So you came in below the bottom end of the cost guys range for this quarter, and you're maintaining the cost guidance for the year. Can you give us an idea of where you're seeing the cost evolving over the course of the year to get to that higher amount?

Speaker Change: Yeah. Thanks, Anita it's Jamie Yes, we came in at 903 in the quarter.

Guy Gosselin: We're looking to replicate something similar to myliadene. So you should look at the cost structure at myliadene, 6,000 tons per day, and we're generally between $230, $250 per ton, if you look at the number. So yeah, you're right, those kind of intercepts are great. They're well above, but you have to look at it, as you know, on average. And to your first question, and as you can, as you see on the long section, at slide 13, there are several horseshoes within that panel. I'm not saying that they're all going to connect, because typically those are kind of, the structure is kind of an anastomal shear zone, where there is some higher grade horseshoes, like as defined in the Pache and Suluk area.

Speaker Change: Below the low end of our guidance, which is $9 15 to 965, we did benefit from the weakness in the Canadian dollar I think the average the Canadian dollar averaged $1 44 in the quarter, we had some hedges in place so our realized FX rate was $1 42.

Speaker Change: Much better than the 138 that we budgeted so.

Anita Soni: Yeah, thanks Anita, it's Jamie. Yeah, we came in at 903 in the quarter below the low end of our guidance, which is 915-965

Speaker Change: That was a big contributor.

Speaker Change: Really the over performance in terms of production, obviously increase the denominator in that helped as well. So we would expect cost to go up and be fairly constant throughout Q2 through Q4.

Anita Soni: We did benefit from the weakness in the Canadian dollar. I think the average Canadian dollar average 144 in the quarter, we had some hedges in place so our realized FX rate was 142, much better than the 138 that we budgeted. So that was a big contributor. Really the overperformance in terms of production obviously increased the denominator and that helped as well. So we'd expect cost to go up.

Speaker Change: And so just just to repeat a point we've made many times.

When you have a good operating quarter, you have a good cost quarter and.

Speaker Change: The team delivered a great operating quarter.

Guy Gosselin: But I think that in between, those recent results just demonstrate that, you know, there could be one or two other pockets in the gap in between the Pache and the Suluk. And this is what we're going to be focusing on, because, you know, that would be very positive on the project. It's close from the plan ramp in between Suluk and Pache, there's one or two other horseshoes. And it's pretty similar to the pattern that was observed back in the day also in Doris. So it's a collection of horseshoes along that trend. And those recent results, you know, confirm our view that, you know, we could add, you know, up to maybe a million ounces between Suluk and Pache.

Speaker Change: Let's hope they continue to do it for the rest of the year, but for now we're maintaining our cost guidance.

Speaker Change: So thats basically if you continue to assume an even sort of mid even divide by far on the midpoint of your original guidance or your guidance range, then that would put you back into that.

Anita Soni: and Be Fairly Constant throughout Q2 through Q4. And so, just to repeat a point we've made many times.

Anita Soni: When you have a good operating quarter, you have a good cost quarter. And the team delivered a great operating quarter. You know, let's hope they continue to do it for the rest of the year, but for now we're maintaining our cost guidance.

Speaker Change: And to your cost guidance range ended the exchange rate of $1 38, and a bunch of other assumptions. That's why it's a great start to the year. We are delighted you always want to be off to a good start.

Anita Soni: So that's basically if you continue to assume an even sort of mid even divide by four on the mid point of your original guidance or your guidance range then that would put you back into the

Speaker Change: But it's still early in the year. So we expect to have a good year, we're very well positioned to have a good year.

Guy Gosselin: That's my forecast.

Speaker Change: And we're going to keep working hard.

Unknown Executive: Merci beaucoup.

Unknown Executive: Bonne chance.

Speaker Change: Okay and then my second question a little bit further on Odyssey.

Unknown Executive: Thank you.

Anita Soni: Yeah, and at an exchange rate of 138 and a bunch of other assumptions. That's why it's a great start to the year. We're delighted. You always want to be off to a good start, but it's still early in the year. So we expect to have a good year. We're very well positioned to have a good year, and we're going to keep working hard. We're going to have a good year.

Tanya Jakusconek: And your last question comes from the line of Tanya Jakusconek with Scotiabank. Please go ahead. Thank you very much for taking my question.

Speaker Change: I think Dominic mentioned you were looking for about 2 million ounces.

Speaker Change: In order to develop that next shot can you can you talk about how much you feel like you've delineated at this point.

Tanya Jakusconek: I have three questions. And first of all, congratulations on a good start. I have a few questions if I could.

Speaker Change: And if that deep.

Tanya Jakusconek: Maybe Ammar, can I start with you just on the tariffs? You had a paragraph in your press release in terms of the impact of sequentials. on your cost structure. Can I just dive a little bit deeper into that in terms of trying to understand? What portion of your cost structure, I'm assuming consumables, would, you know, be impacted? And what within there would you be having the greatest impact? And then just on the labor side, because as you know, if tariffs come through, you would see inflation. So I'm just trying to understand also what labor negotiations you're going through in 2025 with your workforce.

Speaker Change: So obviously in order to make them more robust case for the second shaft, we would like to see like for the first shaft and area with above that average grade north of three.

Speaker Change: Three gram that we know well will be.

Speaker Change: We're getting there and you see those even those recent step out that depth, where we get some better than average grade with good thicknesses and dose resulting in <unk>. All of that is shaping up to define that 2 million ounces at better than average grade that Dominic is talking about then when you look at allocation to the east So I take it.

Anita Soni: Anita, so obviously in order to make a more robust case for the second shaft, we would like to see you like for the first shaft, you know, an area with...

Anita Soni: on the average grade, the north of three gram, that, you know, we'll be, and we're getting there, and you see those, even those reasons, step out that depth where we got some better than average grade with good diagnosis and those results in these goals. All of that is shaping up to define, you know, that two million ounces that better than average grade that Dominique is talking about, and when you look at a location to the east,

Speaker Change: As a matter of getting good at getting the drill spacing in some of those are whole are quite long. So it takes some time to get the right drilling pattern to firm up sort of on their <expletive>.

Tanya Jakusconek: And then lastly, it would come to sustaining and development capital and maybe any important or large sustaining or development capital purchases, new mine fleets, etc, that you could see yourself doing this year. So that's my first question. Thank you.

Speaker Change: Our study, but I think where we're winning reach.

Speaker Change: It's a matter of.

Speaker Change: And I'll, maybe a year to get that all of that drilling in good shape, and we will be able to.

Anita Soni: So I think it's a matter of getting the drill spacing and some of those hole are quite long. So it takes some time to get the right drilling pattern to firm up sort of under a study.

Speaker Change: Firm up the scenario, where exactly it should goes but it smells good based on the high grade result were getting into east flank.

Ammar Al-Jandee: Thanks, Tanya, and I guess you've got a cold, so get better soon. So on the tariff side, I'll just kind of give a big picture and then go into a little bit of detail with some of the questions. First of all, on the revenue side, we don't anticipate any impact. Zero. We have our gold refined outside of the United States, and we don't expect any tariff impact on the revenue side. On the cost side, about 60% of our costs are either labor or energy, and we don't see any tariff impact on any of that. On let's say the 40% of other costs, one of the advantages that we have of mining in regions where mining's been going on for decades and where we've helped build a robust local supply chain is we get a lot of things locally.

Speaker Change: Okay, alright that sounds.

Speaker Change: Sounds good thank you.

Anita Soni: But I think we're winning reach, you know, is it a matter of maybe a year to get all of that drilling and good shape and we'll be able to firm up the scenario where exactly it should go but it smells good based on the high grid result we're getting in the East flank.

Speaker Change: And your next question comes from the line of Daniel Major UBS. Please go ahead.

Daniel Major: Hi, Thanks very much.

Daniel Major: Great quarter.

Daniel Major: First question just on the <unk>.

Daniel Major: Cash returns.

Daniel Major: Basically.

Speaker Change: All right, that's out for my notes, it smells good. Thank you. Thank you.

Daniel Major: Net debt.

Daniel Major: And indicated.

Daniel Major: Scaling to the pace of the buyback.

Speaker Change: and your next question comes from the line of Daniel Major with UBS. Go ahead.

Daniel Major: Is there any reason we should suspect expect you to move into a.

Daniel Major: Hi, thanks very much, and great quarter. Yeah, first question, so the cash returns, you've obviously hit the basically zero net debt.

Daniel Major: A meaningful net cash position or should we basically assume the majority of cash to shareholders and how he's feeling around.

Daniel Major: The balance between special dividends and buybacks is all buybacks or would you consider.

Daniel Major: and indicated an upscaling to the pace of the buyback. Two parts, I mean is there any reason we should expect you to move into a meaningful net cash position, or should we basically assume the majority of cashists return to shareholders? [inaudible]

Daniel Major: A special dividend.

Daniel Major: PA the distribution mix.

Ammar Al-Jandee: and so we will have some impact, it's impossible to say because it's the reciprocal tariffs that would affect us and you know those are in flux and we don't know but to make a long story short, no impact on revenue, no impact on labor, no impact on energy, maybe some impact on consumables but relatively less than I think people would expect because of the local supply chains that we've got and our high-level assessment and take this with a grain of salt because I don't think anybody knows where we're going to end up with tariffs but in general our view is to the extent that the tariffs have an impact, it would be and we're guessing in the sort of maybe three to four percent increase but that would of cost but that would likely be offset by an equivalent or roughly equivalent weakness in the Canadian dollar.

Daniel Major: Sure.

Daniel Major: Yes, Thanks, David for the question.

Daniel Major: I think as I indicated in my comments on the call. We're focused on certainly increasing returns to shareholders, but also continuing to strengthen our balance sheet and improve our financial flexibility. So we are comfortable getting to a net cash position and comfortable at a net cash position.

and how are you feeling around? Um...

Daniel Major: The balance between special dividends and buybacks is all buybacks, so would you consider a special dividend as a part of the distribution mix?

Daniel Major: North of one.

Bye.

Daniel Major: $1 billion, we think that's a true competitive advantage in this business in terms of the shareholder returns I think we're going to do more on the share buyback Thats a big factor why we increased the limit to why we intend to increase the limit to $1 billion over a 12 month period.

Daniel Major: Yeah, thanks, Dale for the question. I think, you know, as I indicated in my comments on the call, we're focused on...

Daniel Major: So I would expect more activity on the share repurchase side and obviously now we've seen a lot of volatility in the gold price will continue to evaluate.

Daniel Major: The dividend policy based on that but certainly an uptick in share repurchases in the quarters to come.

Daniel Major: In terms of the shareholder returns, I think we're going to do more on the share by back, that's...

Ammar Al-Jandee: Again, I'm not an economist, we've done a lot of work on this, that's our assessment. On the labor side of things, I mean we have great relationships with our teams, we've had our usual very constructive negotiations at the start of the year, that's all been set, we'll continue to do things the way we've done them for years which is with respect and with our partners so we don't really see anything on the labor side and on the, finally, on the inflation side. I think that, again, I'm not an economist, it's too early to say. I think, though, that tariffs are going to be, in general...

Daniel Major: Y'all a big factor why we increase the limit, why we intend to increase the limit to a billion dollars over a 12 month period.

Speaker Change: Ill all added some are here.

Speaker Change: At these prices Agnico Eagle and frankly, a lot of our peers should be making a lot of money, we should be generating a lot of cash and that cash belongs to our owners.

Daniel Major: So I'd expect more activity on the share repurchase side and obviously we've seen a lot of volatility in the gold price we'll continue to evaluate. Wait.

Speaker Change: We will be returning to the most important thing in my opinion.

Speaker Change: Don't waste that cash. It's this is why we keep repeating it's your cash it's not our cash and we're going to continue to be disciplined.

Speaker Change: Which means that we're going to build the business, we're going to strengthen the balance sheet.

Speaker Change: And we are going to increase returns to shareholders and it may be in a dividend maybe it's share buybacks, maybe maybe it's probably a combination of all of those but the real important question or the real important point is stay disciplined don't.

Ammar Al-Jandee: difficult for economies. And then you're going to have to weigh the, you know, inflationary pressure of tariffs versus the disinflationary issues associated with a slowdown in an economy. But again, I'm with a mining company. I'm not an economist. No, none of us are economists here, Ammar.

is don't waste that cash.

Daniel Major: This is why we keep repeating. It's your cash. It's not our cash.

and we're going to continue to be disciplined.

Speaker Change: Don't waste that money don't go out and do stupid things with our owners money and.

Daniel Major: which means that we're going to build the business, we're going to strengthen the balance sheet, and we are going to increase returns to shareholders. And it may be in a dividend, maybe it's a share of buybacks, maybe it's probably a combination of all of those.

Speaker Change: Again, that's why we emphasize from the beginning cost control. That's why we emphasize also capital discipline.

Natasha: Maybe just on the sustaining capital side, any new... I'm just trying to understand any big capital within your half-axe that, you know, what you purchase should still have an impact as well. Hi, hi Tanya, it's Natasha. So in terms of equipment, we're always buying equipment, but from what we understand, the equipment is not tariffed, so there's no issue on that end. Thank you for that.

Daniel Major: But the real important question, or the real important point is stay disciplined. Don't-

Speaker Change: Great. Thanks.

Speaker Change: And then maybe.

Speaker Change: A follow up on the on the project from.

Daniel Major: Don't waste that money, don't go out and do stupid things with our owner's money. And you know that again that's why we emphasize from the beginning cost control, that's why we emphasize also capital discipline. Thank you very much.

Speaker Change: It looks good results.

Speaker Change: Can you give us some more of an indication of timelines if possible around updated.

Speaker Change: Studies.

Speaker Change: Kind of.

Speaker Change: Trajectory.

Speaker Change: Great, thanks, and then maybe a follow-up on the project front. I hope they look some good results there. Well, can you give us some more of an indication of timelines if possible around updated kind of studies, FID kind of, yeah, trajectory?

Speaker Change: Which project all the projects.

Tanya Jakusconek: My second question, if I could, I just wanted to ask Ammar on your strategy of your investment portfolio. I mean, this investment portfolio is getting bigger. And I'm kind of wondering how you see this portfolio and sort of your strategy on it. I mean, historically, you have traded it and, you know, taking money off the table, where you see fit. So how should I be thinking about this portfolio and your strategy and in the investment of juniors and, yeah, I'll leave it there. Yeah, Tanya, fair question, because it's gotten big. So there's, I think there's two distinct parts to my answer.

Speaker Change: Sorry, I missed that.

Speaker Change: Jose we're looking in early 'twenty 'twenty six.

Speaker Change: To have a better.

Speaker Change: The final picture potentially green light the project.

Speaker Change: So yeah in the meantime, we're updating the study.

Speaker Change: Which project, all projects? Hope they were looking in early 2026 to have a better final picture and

Speaker Change: We're doing detailed engineering as we did at media Dean before giving.

Speaker Change: <unk> and what's going to be the cost how long it's going to take.

Speaker Change: We would like to have more engineering done and it's also when Youre doing that engineering that you find solutions and you improve and you Derisk that project. So it is really our goal.

Ammar Al-Jandee: The first part is, yes, we're going to continue the strategy that we've had for decades, which is, you know, get in early with projects that we think have a lot of potential. And that's really gets to this whole capital allocation. And our strong view that capital allocation has to be based on intelligence. So we make small investments early on in projects that are interesting, and we do it on purpose to learn about those projects and to be able to make a logical decision. And we want to continue to be, by the way, the partner of choice for some of these juniors in the regions we operate.

Speaker Change: To be over 50% early 2020, and we're also doing a lot of as you mentioned <unk> activity on the ground.

Speaker Change: We're getting ready not only with the engineering and the studies, but we're getting ready to get off the starting blocks very quickly.

Speaker Change: Increase in camp space, we're upgrading some of the infrastructure, we're clearing out the old mill, so that we have.

Speaker Change: Frankly, an empty building to build a new mill and so it's not just the studies and the engineering, but its work on the ground.

Speaker Change: and Dr. Percent, early 2022. And we're also doing a lot of, as you mentioned, Dom, activity on the ground. We're getting ready.

Speaker Change: Great. Thanks, Good luck.

Ammar Al-Jandee: It's a strategy that's worked really, really well for us. We're going to continue it. The second part is, it's gotten pretty big, Agnico. What are you going to do about it? And the honest answer to that is. Frankly, gold price went to $3,000 and everything went up in value, which is not a bad thing. And we are reviewing our positions regularly. But I want to emphasize that the increase isn't because we've suddenly decided to double or triple our activity in that space. It's the same pace. It's the same strategy. We've just benefited on the investment side, like hopefully all of you have.

Speaker Change: Okay.

Speaker Change: And your next question comes from the line of LASA and lender with Banc of America Securities. Please go ahead.

Speaker Change: Thank you operator, good morning, Omar and team very nice to hear from you all and thank you for today's update.

Speaker Change: So, it's not just the studies and the engineering but it's work on the ground.

Speaker Change: You talked about your cost control and it's extremely impressive.

Speaker Change: But you also noted there is a certain cost element royalties that sort of out of your control in a way though.

Great, thanks. Good luck.

Speaker Change: And your next question comes from the line of Lawson Winder with Bank of America's

Speaker Change: Could be in your control and it says that you could buy back your royalties and I'd like to know how you think about that I mean in particular, the Canadian mill Arctic.

Lassen Winder: Thank you all for your good morning Amar and team. Very nice to hear from you all and thank you for today's update. You talked about your cost.

Speaker Change: Royalty I mean is there a is there an argument for buying those back in order to actually be proactive on controlling that one cost item you can't control and then looking at it from another point of view.

Lassen Winder: Control, and it's extremely impressive, but you also noted there's a certain cost element royalties that sort of out of your control in a way though. I mean, it could be in your control in the sense that you could buy back your royalties, and I'd like to know how you think about that. I mean, in particular the Canadian Mallartic. [inaudible]

Ammar Al-Jandee: I appreciate that.

Tanya Jakusconek: It's just at a certain point, you know, when you look at your portfolio, does it look like that, you know, what you had invested in now, it's way out of the money? Luckily, it's only in the money, but I hear you.

Speaker Change: Is that even still relevant given the extent to which the Canadian mill Arctic.

Speaker Change: Property has expanded beyond the bounds of the current royalty.

Jamie: and if I could just ask Jamie one final question. And I know, Jamie, you are going to be more active on the share buyback. Yeah, yeah, I think you've touched on it. I think that's, that's exactly right. We're, you know, targeting in the interim, a billion dollars of net cash, and we'd like to see some stability in the gold price. And then we'll obviously reevaluate the dividend policy, I think for Q2, and likely for Q3, you know, the focus will be on higher returns via the share buyback, but we'll be the dividend and obviously having discussions with our, with our board and if the gold price stays where it is, there's a very good chance of an increase at some point in the future.

Speaker Change: Well I mean, that's.

Lassen Winder: Rowlty, is there an argument for buying those back in order to actually be proactive on controlling that one cost item you can't control? And then looking at it from another point of view, I mean, is that even still relevant, given the extent to which the Canadian Marctic...

Speaker Change: That's a very logical question.

Speaker Change: Well aware of those royalties.

Speaker Change: And we know there's a lot of speculation around those royalties and also the answer is of course, we look at we look at everything all the time, what makes sense for our shareholders.

Lassen Winder: Profiti has expanded beyond the bounds of the current royalty. Thanks

Speaker Change: Those royalties.

Speaker Change: Our fantastic four.

Lassen Winder: Well, that's a very logical question and we're well aware of those royalties and we know there's a lot of speculation around those royalties and often the answer is of course we look at that. We look at everything all the time, what makes sense for our shareholders.

Speaker Change: That was the smart thing that.

Speaker Change: Cisco did I mean, they found this thing they set up the royalty is good for them I give them credit.

Speaker Change: We look at it if there is an opportunity for us to get it at a level that makes sense for our owners. We would do it if someone else has a lower cost of capital and it makes more sense for them.

You know, those royalties. Please.

Lassen Winder: I mean, that was the smart thing that Osisco did. I mean, they found this thing. They set up the royalties. Good for them. I give them credit.

Speaker Change: Then that's what capital discipline is all about so very good question of course, we know about it of course, we look at it.

Speaker Change: And if the opportunity arises that it makes sense, great, but we're going to be disciplined.

Speaker Change: And then when you think about the current footprint of Canadian <unk> I mean, it is starting to expand beyond that current royalties is that a fair statement and like how does that how does the expanding resource base in the future trajectory of resource growth at that property in.

Lassen Winder: You know, then that's what capital discipline is all about so very good question of course we know about it of course we look at it and if the opportunity arises that it makes sense great but we're going to be disciplined.

Tanya Jakusconek: Okay, thank you very much for taking my questions and Thank you, and get well soon.

Speaker Change: Factor into this.

Speaker Change: Well youre exactly right.

Speaker Change: At the <unk>.

Speaker Change: <unk> body continues to expand and potentially well beyond.

Ammar Al-Jandee: And that concludes our question and answer session. I would like to turn it back to Mr. Ammar Al-Jundi for closing remarks. Thank you operator and thank you everyone for participating this morning. As a reminder, we're hosting our annual general meeting today at 11 o'clock at Arcadian Court and we hope to see as many of you there as possible. Thank you everyone and have a great day and a great weekend.

Speaker Change: And then when you think about the current footprints of Canadian malactic, I mean it is starting to expand beyond that current royalty. Is that a fair statement and like how does that, how does the expanding resource base and the future trajectory of resource growth at that property, you know, factor into this? [inaudible]

Speaker Change: The boundary of the royalties and.

Speaker Change: I mean clearly.

Speaker Change: What I would say is we have.

Speaker Change: Probably better insights into that then it will not probably we have better insight into that than anybody. So we do have.

Lassen Winder: Well, you're exactly right. The orbody continues to expand and potentially well beyond the boundary of the royalties.

Speaker Change: An advantage in knowledge when it comes to capital allocation in that area.

Operator: Thank you, and this concludes today's conference call. Thank you all for joining.

Speaker Change: Yes, okay, well, thanks for that perspective, I'm wondering if I could just ask one follow up thinking.

Operator: You may now disconnect.

I mean, clearly, um...

Speaker Change: Thinking about your move into.

Lassen Winder: What I would say is we have probably better insights into that than anybody. We have better insight into that than anybody. So we do have an advantage in knowledge when it comes to capital allocation in that area.

Speaker Change: Our back into zinc, sorry, sorry to be clear I mean, you guys historically have mined a significant amount of zinc so youre moving back into zinc with your partnership with Teck.

Speaker Change: I mean, it makes a lot of sense you produce a metal that trades at a significant sort of historical relative premium to a lot of the industrial metals is there an attraction to take some of those.

Lassen Winder: Yeah, okay, well thanks for that perspective, Ammar, and if I could just ask one follow up, thinking about your move into our back into zinc, sorry to be clear, you guys historically have a significant amount of zinc, so you're moving back into zinc with your partnership with tech.

Speaker Change: Very high return profits youre, earning on gold and invested increasingly in the base metals like beyond what youre doing with sandvik.

Speaker Change: Well.

Speaker Change: Were a gold company, we're more gold centric than anyone else and we're happy to be in gold and certainly the last year has demonstrated the gold continues to.

Speaker Change: It makes a lot of sense. You produce a metal that trades at a significant historical relative premium to a lot of the industrial metals. Is there an attraction to take some of those very high return profits you're earning on gold and invest it increasingly into base metals, beyond what you're doing with sand neck?

Speaker Change: Do it it would it would it's expected to do.

Speaker Change: I mean, you know us well enough.

Speaker Change: Our gold centric company, but we just want to make money for our owners, we want to do it responsibly.

Speaker Change: And we want to do it safely.

Speaker Change: But we're always going to focus and try to leverage off the competitive advantages that we have so.

Speaker Change: If we find a copper mine.

Speaker Change: In a region that we think has the geologic potential and we have a competitive advantage would be open to that of course.

Speaker Change: You know us well enough. We're a gold centric company, but we just want to make money for our owners. We want to do it responsibly, and we want to do it safely. But we're always going to focus and try to leverage off the competitive advantages that we have. So...

Speaker Change: But we're not.

Speaker Change: We're a little different than some of our peers are our peers have.

Speaker Change: Pick one metal copper they've said they'll go anywhere in the world to do it and they have set targets for agnico Eagle, we just want to make money for our owners, which means we're going to play off our strengths, where we're a gold company, but we're open to other metals if it makes a lot of money.

Speaker Change: You know, if we find a copper mine in a region that we think has the geologic potential and we have a competitive advantage would be open to that, of course, but we're not.

Speaker Change: They have to be in places that we're comfortable operating and probably the most important thing is the.

Speaker Change: The amount that we do is going to be driven by opportunity to make money, it's not going to be driven by setting an arbitrary number of 30 or 40%.

Speaker Change: Okay, very well said thank you Omar.

Speaker Change: We're going to play off our strengths. We're a gold company but we're open to other metals, if it makes a lot of money, they have to be in places that we're comfortable operating and probably the most important thing is...

Speaker Change: And your next question comes from the line of with.

Speaker Change: Jefferies. Please go ahead.

Speaker Change: Hi, Thanks for taking my question.

Speaker Change: Just looking at Macassar very good grades in Q1, I think the highest in two years.

Speaker Change: The amount that we do is going to be driven by opportunity to make money, it's not going to be driven by setting an arbitrary number of 30 or 40 percent.

Speaker Change: And you mentioned it was due to two stopes that outperformed that.

Speaker Change: That a one off type of situation like how should we be thinking about grades through the rest of the year macassar.

Okay, very well said. Thank you, Amar.

Speaker Change: So no. There's a few panels as you know mckesson the grade varies a lot between app and anticipate done at several loans as per ton. So with again with the with the drill spacing pattern is very difficult to capture those jewelry box here and there. So some time in some bad all youre going to get some outliers like that and we may see some more.

Speaker Change: Then your next question comes from the line if Todd Murray, Gujepri, speak, go ahead.

Speaker Change: Hi, thanks for taking my question. Just looking at Macata, very good grades in Q1, I think the highest in two years. And you mentioned it was due to two stopes that are outperformed. Was that a one-off type of situation? Like how should we be thinking about grades through the rest of the year at Macata? Yeah.

Speaker Change: But they are difficult to predict with the drill spacing or having so we're enjoying yet when they pass, but that's something we can predict.

Speaker Change: So, now there's a few panels, as you know, Makasah, the grade varies a lot between F and Ancestri-Tun and several Ancestri-Tun. So it's again with the drill spacing pattern, it's really difficult to capture those jewelry box here and there. So sometime in some panel, you're going to get some outliers like that, and you know, we may see some more, but they are difficult to predict with the drill spacing we're having. So we are enjoying it when they pass, but it's not something we can predict.

Speaker Change: Okay. Thank you.

Speaker Change: And your next question comes from the line of John Tumazos, John Tumazos very independent.

Speaker Change: Research. Please go ahead.

Speaker Change: Okay.

Thank you for your service to the company.

Speaker Change: I'm looking at the slide seven.

Speaker Change: Slide 12, excuse me I am interested in the 'twenty four gram intercept.

Speaker Change: and many more. Thank you for watching. I hope you enjoyed this video. If you did, please give it a thumbs up and subscribe to my channel. I'll see you in the next video.

Speaker Change: Between <unk> and touch seven.

Okay, thank you.

Speaker Change: This is possible.

Speaker Change: Is that the two zones connect and our one zone.

Speaker Change: First second.

and Ammar Al.

Speaker Change: Thank you for your service to the company. I'm looking at the slide 7, slide 12, excuse me, I'm interested in the 24 gram intercept between Sue Luke and patch 7.

Speaker Change: 24 grams would be certainty sooner so.

Speaker Change: 2500 dollar U S rocket.

Speaker Change: Gold prices.

Speaker Change: What do you think the cost per ton will be when you have hope they restarted.

Speaker Change: $250 a ton 500, I'm wondering is that.

Speaker Change: First, second, at 24 grams, it would be 30 feet or so. [inaudible]

Speaker Change: <unk> four gram intercept of Xavier, 90% gross margin Iraq.

Speaker Change: Well maybe to answer on the costs you have to look at but we're looking to replicate some things hemmelgarn familiarity. So you should look at the cost structure at <unk> 6000 tonne per day and were generally between 230 to $150 per ton. If you look at the at the number so yes, youre right those kind of enter SAP are.

$2500 US rocket today's gold prices. [inaudible]

Speaker Change: What do you think the cost per ton will be when you have hope they restarted?

Speaker Change: Great well above but you have to look at it as you know on average until.

Speaker Change: Well, maybe to answer on the cast, you have to look a bit. We're looking to replicate something similar to Melodydean. So you should look at the cast structure at Melodydean 6,000 ton per day, and we're generally between 230 to 150 dollars per ton if you look at the number.

Speaker Change: And to your first question.

Speaker Change: And as you can as you see on the long section add slide 13.

Speaker Change: There are several overshoot within that panel on the thing that they all are going to connect because typically those are kind of the structure is kind of in that <unk> shear zone, where there is some higher grade ore shoot like as defined it in the past.

Speaker Change: So yeah, you're right, those kind of intercepts are great, they're well above but you have to look at it as you know on average into your first question

Speaker Change: So Luca area, but I think that in between dose recently resolved does demonstrate that there could be one or two an air pocket in.

Speaker Change: and as you can, as you see on the long section at slide 13, there's several overshoot within that panel. I'm the thing that they are all going to connect.

Speaker Change: And the gap in between the Bachelor than <unk> and this is what we're going to be focusing on because.

Speaker Change: because typically those are kind of the structure is kind of an anastomal shear zone, where there is some higher grade or shoot like the as defining in the patch of an in suluk area, but I think that in between those recent results demonstrate that there could be one or two other pocket. Yeah.

Speaker Change: That would be.

Speaker Change: Very positive on the project as those from the plan ramp in between so look and batch theres, one or two other ore shoot and it's pretty similar to the bat during that was observed back into they also an <unk>. So it's a collection of ore shoots along that trend.

Speaker Change: had in the gap in between the Patrick and the Suluk.

Speaker Change: The most recent results confirm our view that we could add.

Speaker Change: and this is what we're going to be focusing on because...

Speaker Change: Up to maybe 1 million ounces between silicon batch, that's Mike, but my forecast.

Speaker Change: You know, that would be a very positive on the project. It's those from the plan ramped in between Solok and Patch, there's one or two other or shoot. And it's pretty similar to the pattern that was observed back in the day also in Doris. So it's a collection of or shoots along that trend. [inaudible]

Speaker Change: Merci Beaucoup bushels.

Speaker Change: Thank you.

Speaker Change: And your last question comes from the line of Douglas <unk> with Scotiabank. Please go ahead.

Thank you very much for taking my question.

Speaker Change: and those recent results, you know, confirm our view that, you know, we could add, you know, when it would up to maybe a million ounces between solo and patch, that's my forecast.

Speaker Change: Three questions and first of all congratulations on that.

Speaker Change: Okay.

Speaker Change: Questions, if I could maybe mark can I start with you just on the tariffs.

Merci beaucoup. Bonne chance.

Thank you.

Speaker Change: Had a paragraph in your press release in terms of the impact.

Speaker Change: and your last question comes from the line of Tanya Jakusconek, which course event please go ahead.

Speaker Change: Sure.

Speaker Change: On your cost structure can I just.

Tanya Jacospone: Thank you very much for taking my question. I have three questions and first of all, congratulations on a good question, if I could maybe Ammar, can I start with you just on the tariff view?

Speaker Change: Deeper into that in terms of trying to understand.

Speaker Change: What portion of your cost structure.

Speaker Change: Consumables.

Speaker Change: Be impacted and what.

Speaker Change: Within what you have.

Speaker Change: Having the greatest impact.

Tanya Jacospone: had a paragraph in your press release in terms of the impact on your cost rupture. Can I just slide a little bit deeper into that?

Speaker Change: And then just on the labor side.

Speaker Change: Tariffs come through.

Speaker Change: Inflation I'm just trying to understand also what.

Speaker Change: Labor negotiations youre going through in 2025, when you work for.

in terms of the China Understandings. [inaudible]

What portion of your cost rupture? I'm assuming consumables.

Speaker Change: And then lastly, it would come through premium.

Speaker Change: <unk> capital or maybe any.

And our lives being economic capital correct.

Tanya Jacospone: And then just on the labor side because you know if tariffs come through, it would be inflation. So I'm just trying to understand also what labor negotiations you're going through in 2025 with your workforce.

Speaker Change: Mine fleet.

Speaker Change: How do you stop doing this year. So that's my first question. Thank you.

Speaker Change: Thanks Danielle.

Speaker Change: I guess, you've got a cold so get better soon.

Tanya Jacospone: And then lastly, it would come through sustaining the development capital and maybe any important or large sustain or development capital purchases, you mind please, etc. that you could be yourself doing this year. So that's my first question. Thank you.

Speaker Change: So so on the tariff side I'll, just kind of give a big picture and then go into a little bit of detail with some of the questions. So far.

Speaker Change: First of all on the revenue side, we don't anticipate any impact zero we are.

Speaker Change: We have our gold refined.

Tanya Jacospone: Thanks, Tanya, and I guess you've got a cold, so get better soon. So on the tariff side, I'll just kind of give a big picture, and then go into a little bit of detail with some of the questions.

Speaker Change: Outside of the United States and.

Speaker Change: We don't know.

Speaker Change: We don't expect any <unk> any tariff impact on the revenue side on the cost side about 60% of our costs are either labor or energy and we don't see any tariff impact on any of that.

Tanya Jacospone: First of all, on the revenue side, we don't anticipate any impact. Zero.

Speaker Change: On let.

Let's say the 40% of other costs one of the advantages that we have.

We have our gold refined

Tanya Jacospone: outside of the United States, and we don't expect any tariff impact on the revenue side. On the cost side, about 60% of our costs are either labor or energy, and we don't see any tariff impact on any of that.

Speaker Change: Of mining in regions, where mining has been going on for decades.

Speaker Change: Where we've helped build a robust local supply chain is we get a lot of things locally.

Speaker Change: And so.

on, let's say, the 40% of other costs.

Speaker Change: We will have some impact.

Tanya Jacospone: One of the advantages that we have of mining in regions where mining's been going on for decades and where we've we've helped build a robust local supply chain is we get a lot of things locally.

Speaker Change: It's impossible to say because it's the reciprocal tariffs that would affect us and those are in flux and we don't know.

Speaker Change: To make a long story short no impact on revenue.

Speaker Change: No impact on labor no impact on energy, maybe some impact on consumables, but relatively less than I think.

and so...

Speaker Change: Would expect because of the local supply chain that we've got.

Speaker Change: And our high level assessment and take this with a grain of salt because I don't think anybody knows where we're going to end up with tariffs, but in general our view is to the extent that the tariffs have an impact it would be and we're guessing and the sort of maybe 3% to 4% increase but that would of <unk>.

Tanya Jacospone: and those are in flux and we don't know. Let's go.

Tanya Jacospone: maybe some impact on consumables but relatively less than I think.

Speaker Change: With that would likely be offset by an equivalent or roughly equivalent weakness in the Canadian dollar again I'm not an economist we've done a lot of work on this that's our assessment on the labor side of things.

Tanya Jacospone: and our high-level assessment and take this with a grain of salt because I don't think anybody knows where we're going to end up with tariffs.

Tanya Jacospone: But in general, our view is to the extent that the tariffs have an impact.

Speaker Change: We have great relationships with our teams we've.

Tanya Jacospone: It would be, and we're guessing in the sort of maybe three to four percent increase, but that would, of course, but that would likely be offset.

Speaker Change: We've had our usual very constructive negotiations at.

Speaker Change: At the start of the year. That's all been set we will continue to do things the way we've done them for years, which is with respect and with our partners. So we don't really see anything on the labor side and on the finally on the inflation side.

Tanya Jacospone: by an equivalent or roughly equivalent weakness in the Canadian dollar. Again, I'm not an economist, we've done a lot of work on this, that's our assessment. On the labor side of things,

Tanya Jacospone: We have great relationships with our teams. We've had, we've had, we've had,

Speaker Change: I think that.

Again, I'm not I'm not an economist it's too early to say.

Speaker Change: I think though that tariffs are going to be in general.

Speaker Change: Difficult for economies.

Speaker Change: And then youre going to have to weigh the inflationary pressure of tariffs versus the disinflationary issues associated with the slowdown in the economy, but again on that.

Tanya Jacospone: So we don't really see anything on the labor side and on the finally on the inflation side

Tanya Jacospone: I think that, again, I'm not an economist, it's too early to say I think though that tariffs are going to be in general.

Speaker Change: With a mining company.

Speaker Change: Economists.

Speaker Change: No no no no sorry.

Speaker Change: Mark maybe just on the sustaining capital side.

Tanya Jacospone: Deficult for economies, and then you're going to have to weigh the inflationary pressure of tariffs versus the disinflationary issues associated with a slowdown in an economy. But again, I'm with a mining company, I'm not a economist.

Speaker Change: Thank you.

Speaker Change: Great.

Speaker Change: I'm, just trying to understand any capital within their capex.

Speaker Change: We currently.

Speaker Change: We have an impact as well.

Speaker Change: Hi, Tanya is Natasha so in terms of equipment, we're always buying equipment, but from.

Speaker Change: From what we understand the equipment is not test so there's no issue on that end.

Ammar Al-Jundi: No, none of us are economists here, Ammar. Maybe just on the Spain and capital side. Any new...

Speaker Change: Okay. Thank you for that.

Omar: My second question, if I could I just wanted to ask Omar.

Ammar Al-Jundi: I'm just trying to understand any big capital within your CapEx that you know would be purchased should still have an impact as well. Hi Tanya, it's Natasha. So in terms of equipment we're always buying equipment but from what we understand the equipment is not tariffed so there's no issue on on that end.

Omar: Your strategy behind that from a portfolio investment portfolio is getting bigger.

Omar: And I.

Omar: I'm wondering how you see that portfolio.

Omar: Strategy on it I mean, historically you have.

Omar: Taking money off the table.

Okay, thank you for that. Thank you.

Omar: So how should I be thinking about.

Speaker Change: My second question, if I could, I just wanted to ask Ammar your strategy of your investment portfolio. A means investment portfolio is getting bigger. And I'm wondering how you see this portfolio and sort of your strategy on it. I mean, historically you have...

Omar: Palio and your strategy in the investment there.

Omar: Right.

Omar: Yes, I'll leave it there.

Yes.

Omar: 10, New fair question, because it's gotten big.

Omar: There is two distinct parts to my answer the first part is.

Speaker Change: Traded it and you know, there's money off the table where you see set so how should I be thinking about the portfolio and your strategy and the investment of juniors. [inaudible] I'm sorry, I'm sorry

Omar: Yes, we're going to continue the.

Omar: Our strategy that we've had for decades, which is.

Omar: Get in early.

Omar: With projects that we think have a lot of potential and thats really gets to this whole capital allocation and our strong view that capital allocation has to be based on intelligence. So we make small investments early on in projects that are interesting and we do it on purpose to learn about those.

And then, yeah, follow you though.

Tanya Jacospone: Yeah, I'd tell you a fair question because it's gotten big. So I think there's two distinct parts to my answer. The first part is, yes, we're going to continue the strategy that we've had for decades, which is

Omar: Projects and to be able to make a logical decision and we want to continue to be by the way the partner of choice for some of these juniors in the regions. We operate it's a strategy that's worked really really well for us we're going to continue with the.

You know, get in early.

Tanya Jacospone: with projects that we think have a lot of potential. And that's really gets to this whole capital location.

Tanya Jacospone: and our strong view that capital allocation has to be based on intelligence. So,

Omar: The second part, though is man your position has gotten pretty big Agnico, what are you going to do about it and the honest answer to that is.

Tanya Jacospone: We make small investments early on in projects that are interesting and we do it on purpose.

Tanya Jacospone: to learn about those projects and to be able to make a...

Omar: Frankly gold price went to $3000 and everything went up in value.

Tanya Jacospone: A logical decision and we want to continue to be by the way the partner of choice. Thanks.

Omar: It is not a bad thing and.

Omar: And we are reviewing our positions regularly but I want to emphasize that the increase isn't because we have suddenly decided to double or triple our activity in that space. It's the same pace. It's the same strategy. We've just benefited on the investment side like hopefully all of you have.

Tanya Jacospone: for some of these juniors in the regions we operate. It's a strategy that's worked really, really well for us. We're going to continue it. The second part, though, is, man, your position's gotten pretty big, Agnico, what are you going to do about it? And the honest answer to that is...

Tanya Jacospone: Frankly, gold price went to $3,000 and everything went up in value, which is not a bad thing, and we are reviewing our positions regularly, but I want to emphasize that the increase [inaudible]

Omar: I appreciate that answer.

Speaker Change: When you look at your portfolio does it look like what you had invested now in lay out of the money.

Tanya Jacospone: Isn't because we've suddenly decided to double or triple our activity in that space. It's the same pace, it's the same strategy. We've just benefited on the investment side, like hopefully all of you have. Thank you.

Omar: Okay.

Omar: So luckily Luckily its way in the money, but I.

Omar: I hear you.

Jamie: And if I could just ask Jamie one final question.

Omar: Okay.

Omar: I know, Jamie you aren't going to be more active on the share buyback.

Omar: And the next 12 months back to you also mentioned that you'd like to go into a net cash.

Speaker Change: Cash Berrien B.

Luckily it's way in the money, but I hear you.

Omar: Competitive.

Omar: Is that how I should be.

Omar: Or on the <unk> side.

Speaker Change: And if I could just have Jamie one final question on the Apple returns and I know Jamie who are going to be more active on the share bye-bye.

Omar: I kind of wanted to get to that net <unk> 1 billion in cash for your.

To review the dividend, what do you need to clean it up.

Omar: Hi stability.

Speaker Change: in the next 12 months. But you also mentioned that you'd like to go to a net cash of a billion dollars to be competitive.

Omar: And net cash of 1 billion before you would review that.

Omar: Yes.

Omar: Excuse me tens, yes, I think you've touched on it I think that's exactly right.

Speaker Change: Is that how I should be thinking on the dividend side? [inaudible]

Omar: We're targeting in.

Omar: In the in term of a $1 billion of net cash and wed like to see some stability in the gold price and then we'll obviously reevaluate the dividend policy I think for Q2 and likely for Q3, the focus will be on higher returns via via the share buyback, but we'll be evaluating the.

Speaker Change: You know, you kind of want to get to that net $1 billion in cash before you would review the distance, or what do you need to see that a bullfights ability, and that net cash of a billion before you would review the distance?

Speaker Change: Yeah, excuse me, yeah, I think you've touched on it. I think that's exactly right. We're, you know targeting

Omar: <unk> and obviously, having discussions with our with our board and if the gold price stays where it is there is.

Speaker Change: in the end term, a billion dollars of net cash, and we'd like to see some stability in the gold price and then we'll obviously reevaluate the dividend policy. I think for Q2 and likely for Q3, the focus will be on higher returns by the share buy back, but we'll be evaluating the dividend and obviously having discussions with our board and if the gold price stays where it is, there's a very good chance of an increase at some point in the future.

Omar: A very good chance of an increase at some point in the future.

Speaker Change: Okay. Thank you very much for taking my questions and congratulations.

Omar: Thank you.

Omar: Get well soon.

Speaker Change: And that concludes our question and answer session I would like to turn it back to Mr. Amaral for closing remarks.

Mr. Amaral: Thank you operator, and thank you everyone for participating this morning as a reminder, we're hosting our annual general meeting today at 11 o'clock at Arcadian Court and we hope to see as many of you there as possible. Thank you everyone and have a great day and a great weekend.

Speaker Change: Okay, thank you very much for taking my questions and congratulations [inaudible]

Thank you, and get well soon.

Speaker Change: And that concludes our question and answer session. I would like to turn it back to Mr. Elmar, Dr. Elzindy for closing remarks.

Mr. Amaral: Thank you and this concludes today's conference call. Thank you all for joining you may now disconnect.

Speaker Change: Thank you operator and thank you everyone for participating this morning. As a reminder, we're hosting our annual general meeting today at 11 o'clock at Arcadian Court and we hope to see as many of you there as possible. Thank you everyone and have a great day in a great weekend.

Speaker Change: Thank you, and this concludes today's conference call. Thank you all for joining. You may now disconnect.

Speaker Change: John Tumazos, John Tumazos, John Tumazos, David Smith, Michael