Agnico Eagle warns diesel prices could raise its 2027 costs

Diesel is expected to add US$50 to US$60 an ounce to the gold miner's costs in the fourth quarter, up from about US$30 in the prior period, its chief financial officer told analysts. Its shares fell as much as 4.5 per cent in Toronto.

Diesel's share of operating costs

11 %

Diesel accounts for about 11 per cent of Agnico's operating costs. The company is somewhat insulated because many of its mines in northern Ontario and Quebec run on hydroelectric and nuclear power.

Tariffs are adding about US$5 an ounce to the company's cost guidance. Without a trade deal, the impact would grow in 2027, the CFO said.

Background

All-in sustaining costs rose to US$1,648 an ounce in the third quarter. Agnico expects them to finish 2026 near the upper end of its US$1,400-to-US$1,550 guidance range.

Economy · 5 d ago

Agnico Eagle warns diesel prices could raise its 2027 costs

Diesel accounts for about 11 per cent of Agnico's operating costs. The company is somewhat insulated because many of its mines in northern Ontario and Quebec run on hydroelectric and nuclear power.

Tariffs are adding about US$5 an ounce to the company's cost guidance. Without a trade deal, the impact would grow in 2027, the CFO said.

All-in sustaining costs rose to US$1,648 an ounce in the third quarter. Agnico expects them to finish 2026 near the upper end of its US$1,400-to-US$1,550 guidance range.

Agnico Eagle warns diesel prices could raise its 2027 costs

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