Canadian mining company Agnico Eagle has solidified its presence in the Abitibi gold belt of Quebec, with the company now owning 100% of the major Canadian Malartic mine.

Agnico Eagle on Friday announced that it had completed the previously announced plan of arrangement through which it acquired Yamana Gold’s Canadian assets.

The transaction also brought the Wasamac project, in the Abitibi, under Agnico Eagle’s ownership.

The miner sees the Abitibi gold belt, where it has operated for more than 50 years, as a region of low political risk and high geological potential.

Agnico’s production in the Abitibi gold belt is forecast to be about 1.9-million ounces to 2.1-million ounces a year through 2025. 

In addition, the company has the unique ability to monetise future additional mill capacity at the Canadian Malartic mine, given its extensive operations and strategic land position in the region.

The Canadian Malartic complex should have up to 40 000 t/d of excess mill capacity by 2028, as processing of openpit ore and low-grade stockpiles begin to wind down and processing transitions to the higher grade Odyssey mine, while the LaRonde Complex could have up to 2 000 t/d of excess capacity from the second quarter of this year.

CEO Anmar Al-Joundi said last month that production from mill optimisation efforts would get under way in 2023 and that it had the potential to deliver up to 500 000 oz/y of gold by the end of the decade.

Potential sources of ore for the excess capacity could come from near-surface deposits at Macassa and the Amalgamated Kirkland (AK) deposit, the Upper Beaver and other Kirkland Lake satellite deposits, as well as the Wasamac project.

The AK and near-surface deposits at Macassa have the potential to produce 20 000 oz/y to 40 000 oz/y, starting in 2024. Ore can be processed at the LaRonde Complex, which is about 130 km away and will avoid the capital cost of expanding mill capacity at Macassa. The Upper Beaver project has the potential to produce 150 000 oz to 200 000 oz, starting in 2029. Processing scenarios include transporting the ore to the Canadian Malartic mill for processing.