Agnico Eagle's Meliadine Mine Attains Commercial Production
Agnico Eagle Mines Limited AEM announced that its Meliadine mine has achieved commercial production on May 14, 2019.
Notably, the Meliadine project is located in Nunavut, Canada. It was acquired by Agnico Eagle in July 2010 and is its largest gold deposit in terms of mineral resources.
Per management, Amaruq is on schedule for achieving commercial production in third-quarter 2019. The company expects Meliadine to produce around 230,000 ounces of gold in 2019 at total cash costs of $612 per ounce. Agnico Eagle is thus well positioned to achieve gold production target of 1.75 million ounces for year.
Moreover, initial ore processing at the Meliadine mine started in February 2019. Pre-commercial payable gold production totaled 47,281 ounces, down from initial guidance of 60,000 ounces. However, pre-production gold sales were 28,855 ounces.
Total construction costs of the project are below the 2017 guidance of $900 million. The company will provide an update on capital costs during second-quarter 2019.
Agnico Eagle’s shares have lost 8.5% in the past year, against the industry’s 0.2% rise.
Zacks Rank & Key Picks
Agnico Eagle currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the basic materials space are Materion Corporation MTRN, Fortescue Metals Group Ltd. FSUGY and AngloGold Ashanti Limited AU, all currently sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Materion has an expected earnings growth rate of 27.1% for 2019. The company’s shares have gained 17% in the past year.
Fortescue Metals has an impressive projected earnings growth rate of 99.3% for the current year. The company’s shares have surged 63.6% in a year’s time.
AngloGold has an estimated earnings growth rate of 85.9% for the current year. Its shares have rallied 34.8% in the past year.
The Could Be the Fastest Way to Grow Wealth in 2019
Research indicates one sector is poised to deliver a crop of the best-performing stocks you'll find anywhere in the market. Breaking news in this space frequently creates quick double- and triple-digit profit opportunities.
These companies are changing the world – and owning their stocks could transform your portfolio in 2019 and beyond. Recent trades from this sector have generated +98%, +119% and +164% gains in as little as 1 month.
Click here to see these breakthrough stocks now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
AngloGold Ashanti Limited (AU) : Free Stock Analysis Report
Agnico Eagle Mines Limited (AEM) : Free Stock Analysis Report
Fortescue Metals Group Ltd. (FSUGY) : Free Stock Analysis Report
Materion Corporation (MTRN) : Free Stock Analysis Report
To read this article on Zacks.com click here.
