TORONTO, March 4 /CNW/ - Agnico-Eagle Mines Limited ("Agnico-Eagle" or the "Company") is pleased to provide an update on its 2008 exploration program. During 2008, the Company spent approximately $72 million on exploration, including $38 million of exploration capitalized at its development projects.


Exploration during 2008 resulted in a significant increase to the Company's overall reserves and resources. See the following section titled "Detailed Mineral Reserve and Resource Data" for the full details of the Company's 2008 reserve and resource position.

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Highlights of the 2008 Exploration Program Include:

- 8% increase in gold reserves to a record level of 18.1 million ounces
- 13% increase in the indicated gold resource to 3.2 million ounces
- 21% increase in the inferred gold resource to 5.8 million ounces
- At Meadowbank, mineralized zones extended at depth, and along strike,
at Goose South and Vault
- At Pinos Altos, new gold-silver reserves at San Eligio and Creston
Mascota zones total 0.5 million ounces of gold and 8.9 million ounces
of silver
- Kittila adds more than 1.3 million ounces of inferred gold resource
at depth on Suuri and Roura zones
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"In 2008, we moved steadily towards our goal of 20 million ounces of gold reserves from our existing projects with the addition of 1.4 million ounces of reserves and 1.4 million ounces of resources" said Sean Boyd, Vice-Chairman and CEO. "With improving drill access at several of our deposits, we expect to reach 20 million to 21 million ounces of gold reserves by year end 2010. The ongoing growth in our reserves is driving our scoping studies on four internal production growth opportunities" added Mr. Boyd.


The Company's budgeted exploration expenditure in 2009 is approximately $54 million and is expected to result in total drilling of approximately 221 kilometres utilizing 25 drill rigs.