120502-11YN044-2011 Annual Report

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NON-TECHNICAL PROJECT PROGRESS REPORT FOR 2011

NRI Research License No.: 03 067 11N-M

Project Title:

Geoscientific project to study gold mineralization at the Meadowbank mine and Meliadine deposit.

 Researcher’s Name and Affiliation

Sébastien Castonguay Research Scientist, Geological Survey of Canada

Project Location:

1. Meadowbank mine and on surrounding Agnico-Eagle mining leases and exploration concessions.

2. Agnico-Eagle Mines ltd. exploration concessions at the Meliadine deposit and surrounding areas.

Timeframe

Reporting for 2011 activities (project scheduled to end in March 2015)

Project Description

Purpose:

Study of gold mineralization/deposits associated with banded iron formations

 goals & objectives:

Study the geology, structure (the way rock is deformed), geochemistry (composition of the rock) and the detailed geological controls on ore formation (Mineralogical hydrothermal footprints and gold mineralization) of the Meadowbank and Meliadine deposits.

Knowledge gained from this study will improve our ability to predict the locations of mineralization and thus reduce the economic risks of exploration in Canada’s North by helping determine why some formations are barren while others are fertile (gold bearing). Nunavut deposits give us the opportunity to study this important scientific question by looking simultaneously at various gold deposits in an integrated study.

 method of transportation:

Agnico-Eagle Mines ltd planes/helicopters, trucks, bus shuttles and possibly boats.

 any structures that will be erected (permanent / temporary):

NO

 restoration / abandonment plans:

NO

Progress report

After receiving all the required licenses and permits in September 2011, a fieldwork trip was organized to the Meadowbank Mine in October 2011. Doctorate student (Vivien Janvier) spent two weeks on site, the first week of which he underwent all the mandatory training requirements of Agnico Eagle

Mines ltd., Meadowbank Division. During the second week, the student and research scientists

Sébastien Castonguay and Patrick Mercier-Langevin (Geological Survey of Canada) studied and carefully described five diamond drill holes made in 2003 by the company in the deposit area, totalizing 480 meters of rock sequence across the deposit. A total of 154 samples (~20 cm long core,

~0.5 kg each) were taken from drill core for microscope and chemical analyses. The samples were shipped to the Quebec City lab, where they were cut and photographed to be sent for analyses in a private chemical lab in January. This series of samples constitutes the first of many sections across the deposits that will enable us to have a tri-dimensional picture of the Meadowbank deposit in terms of its geometry, chemistry, ore distribution, and overall geologic footprint.

Data of the 2011 fieldwork will be integrated after receiving the first chemical analyses at the end of

March 2012. These preliminary results will serve as guidelines for the 2012 fieldwork. Planning and logistics for the 2012 summer field season is underway and will be finalized early in 2012.

Reporting

In September 2011, a letter was send to the mayors of Baker Lake and Rankin Inlet, and to the

Kivalliq Inuit Association to present our project.

Due to early stage of project conduction and the limited amount of data collected thus far, no formal report/publication is planned until 2013.

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