Agnico Eagle Mines (AEM) has approved an investment decision for the Hope Bay gold project in Nunavut, Canada, the mining company said Tuesday.

The re-development plan is expected to produce more than 400,000 ounces of gold annually and support an initial mine life of 11 years, with potential for further expansion through exploration along the surrounding 80-kilometre greenstone belt, the company said.

Agnico has already carried out engineering work, infrastructure upgrades, and exploration activity at the site ahead of the approval, it added.