Agnico Eagle to go ahead with Hope Bay gold mine project in Nunavut

Ammar Al-Joundi, president and CEO of Agnico Eagle Mines, joins BNN Bloomberg to discuss the company's outlook for 2026 and upcoming projects.

TORONTO — Agnico Eagle Mines Ltd. is going ahead with a US$2.4-billion redevelopment of its Hope Bay gold mine project in Nunavut where it plans to continue an aggressive exploration program.

Agnico Eagle chief executive Ammar Al-Joundi said Tuesday the construction and redevelopment of Hope Bay will support the long‑term sustainability of its Nunavut operations.

• Latest updates on company news here

“We are also proud that this investment will contribute to the economic development of Northern Canada and enable meaningful, long‑term economic participation for Indigenous organizations and partners, including the Kitikmeot Inuit Association,” Al-Joundi said in a statement.

The company said the initial capital cost of the project includes reconstruction of the processing facility, the addition of a 37-megawatt diesel generator power plant, mobile equipment, upgrades to the tailings facility, and about 33 kilometres of underground development.

Once complete, Agnico Eagle estimates annual gold production from the mine at between 400,000 and 435,000 ounces, with an initial mine life of 11 years and upside potential.

The project is expected to create more than 2,000 direct and indirect jobs and meaningful economic participation for Indigenous organizations and partners, including the Kitikmeot Inuit Association.

The federal government has committed C$25 million for the Hope Bay Wind Project, led by Inuit-owned Kitikmeot Tugliq Ltd. Partnership, which will add four megawatts of wind power and four megawatts of battery storage to the site’s power system.

Federal Natural Resources Minister Tim Hodgson welcomed the project.

“The Arctic is the place where natural resource wealth, Indigenous leadership, national security, and economic growth and prosperity come together,” Hodgson said in statement.

• Latest updates on commodities here

Angico Eagle acquired TMAC Resources Inc., the previous owner and operator of the Hope Bay gold mine, in 2021 and suspended production in 2022 to focus on the property’s exploration potential.

The Hope Bay project is located in the Kitikmeot region of western Nunavut, about 160 kilometres north of the Arctic Circle.

This report by The Canadian Press was first published May 19, 2026.