The Eagle Soars

Yesterday Agnico-Eagle Mines Limited reported record second quarter earnings of $37.1 million, or $0.32 per share. For the same period in 2005 it was $0.15 per share.
Earnings for the first six months of 2006 equates to $0.67 per share, three times more than the $0.27 per share, recorded in the first six months of 2005.



These are excellent results make no mistake about it. As we write the stock is trading at $35.64, up from $30.88 our purchase price when we bought about a month ago, as mentioned in the article entitled: Agnico Eagle Mines Limited.

This is a 15% plus rise in a very short time span.

We could be tempted to take a dollar or two off the table as it represents a nice months work. However, we bought it to get into position before the fall rally commences so we are sticking to our strategy and sitting on our stock. I doubt whether we will sell any of this stock before it has doubled, which we believe it will and in a very short time frame.

Something to ponder: A record low cash cost at LaRonde of minus $975 per ounce of gold. The costs being offset by the mining of other minerals.