The Canadian Press
November 19, 2008 - 12:22 a.m.

TORONTO - Mining company Agnico-Eagle Mines Ltd. (TSX:AEM) announced Wednesday that it plans to raise US$252 million in an issue of new shares, trading in the collection’s stock halted pending the announcement.

The Toronto-based company with developing metals mines in Canada, Finland, Mexico and the United States said it will issue eight million units at US$31.50 each, consisting of a apportioned lot and half a share-purchase warrant.

Under the private placement, “one of Canada’s largest pension funds” will buy at least four the multitude of the units and will be well received up somewhat remaining not purchased by other buyers.

That agreement is conditional upon the settlement of definitive documentation, Agnico-Eagle related in a statement.

“This financing is a prudent allot to secure our ongoing production growth and strengthen our financial position,” said chief executive Sean Boyd.

“It also puts the company in an excellent position to further new internal expansion opportunities and to continue to aggressively grow our gold reserves not beyond our portfolio of high-quality deposits.”

The company said it plans to use the proceeds concerning the sake of ruin exhibition and related capital expenditures, at the same time that well as for general corporate purposes.

Shares in Agnico-Eagle were up $3.96, or more than 10 per cent $41.51 before the halt and subsequent release.