AEM Halts Quebec Open-Pit Mining After Rock Mass Shift, Warns of Output Cut
Agnico Eagle Mines (AEM) suspended operations at the Barnat open pit within its Canadian Malartic complex in Quebec following a rock mass shift, warning that annual gold production could drop by up to 150,000 ounces in the next 2 years.
Agnico Eagle Mines announced Thursday it has temporarily ceased mining activities at the Barnat open pit, part of its Canadian Malartic operation in Quebec, after a rock mass displacement was detected along the northern wall.
The gold producer confirmed that no personnel were harmed, no machinery was damaged, and no environmental consequences resulted from the incident. The firm noted that this section of the pit had already been flagged as geotechnically vulnerable and was somehow under increased surveillance. Technical crews are now carrying out a comprehensive evaluation.
Milling and processing at the Canadian Malartic facility will proceed in the short term using previously accumulated ore reserves, the company stated.
The Barnat pit was projected to remain operational until early 2029. Depending on the outcome of the ongoing assessment, Agnico Eagle cautioned that annual gold output could be trimmed by roughly 150K ounces in the next two years.
By Thursday morning (July 2nd), AEM currently trades at around $155, dropping slightly compared to 24 hours ago. Meanwhile, second-quarter 2026 production at Canadian Malartic was unaffected, with output expected to reach approximately 845K ounces, marginally exceeding internal targets. However, the company anticipates second-half production will decline by around 60K to 80K ounces, potentially pushing full-year output toward the lower boundary of its guidance of between 3.3 and 3.5 million ounces.
Agnico Eagle emphasized that this incident does not impact the Odyssey underground mine or the complex's long-term objective of producing one million ounces annually. The miner added it is moving forward with its technical review and preparing for a safe return to operations at Barnat.