YAMANA GOLD INC. 
By Highlights from the 2009 exploration program included:
- New gold mineralized zone, Suruca, discovered at Chapada, traced
along strike by at least 500 metres and average thickness of 70
metres. The discovery hole SU-11 returned 81.0 metres of 1.2 g/t Au.
- New mineralized zone discovered at Fazenda Brasileiro, Lagoa do Gato,
traced along strike for 1,200 metres and open in all directions with
three separate gold mineralized zones. Lagoa do Gato exhibits
substantially higher grade than the current mineral reserve grade at
Fazenda Brasileiro. Drilling indicated economic grades and widths:
- FLG-010: 12.4 metres of 3.33 g/t Au
- FLG-016: 22.0 metres of 3.62 g/t Au
- FLG-017: 37.0 metres of 2.34 g/t Au
- FLG-022: 22.0 metres of 5.50 g/t Au
- FLG-026: 14.8 metres of 7.04 g/t Au
- New mineralized zone discovered at Jacobina, Lagartixa, which is the
displaced northern continuation of the Canavieiras deposit. Lagartixa
exhibits substantially higher grade than the current mineral reserve
grade at Jacobina. Drilling has tested the gold mineralized reefs for
600 metres of strike length. The discovery hole LGX-02 returned 3
metres of 6.03 g/t Au.
- Positive drill results confirmed and extended the Jordino deposit at
Pilar. Drill holes have extended the Pilar deposit down dip. Selected
deep holes include:
- JD123: 4.0 metres of 6.67 g/t Au
- JD125: 0.7 metres of 6.56 g/t Au
- JD129: 1.0 metres of 16.35 g/t Au
- New gold mineralized zone, Salamanca, discovered within 10 kilometres
of Gualcamayo. Drilling has delineated mineralization along a strike
length of at least 250 metres which is still open along strike. The
best results received from latest drilling include:
- 09S-01: 30.0 metres of 1.72 g/t Au
- 09S-03: 52.75 metres of 2.9 g/t Au
- 09S-14: 63.7 metres of 1.1 g/t Au
- Two new vein deposits, Centenario and Polvorin, discovered at Minera
Florida. Both deposits are located near current mine infrastructure.
Selected results include:
- ALH0075: Centenario: 5.15 metres of 11.39 g/t Au, 17 g/t Ag and
2.21% Zn
- ALH0686: Centenario: 13.65 metres of 9.02 g/t Au, 18 g/t Ag and
0.76% Zn
- ALH0739: Centenario: 6.72 metres of 11.14 g/t Au, 179 g/t Ag and
1.05% Zn
- ALH0006: Polvorin: 7.39 metres of 5.50 g/t Au, 9 g/t Ag and
1.66% Zn
- ALH0674: Polvorin: 2.25 metres of 11.60 g/t Au, 49 g/t Ag and
1.94% Zn
- ALH0810: Polvorin: 2.05 metres of 12.79 g/t Au, 9 g/t Ag and
1.55% Zn
Yamana's 2010 exploration budget is expected to be approximately US$75 -
$80 million with the goal of increasing mineral reserves and mineral
resources.
Main areas of focus in 2010 include:
- Define size potential of new mineralized zone, Suruca, at Chapada
- Focus Jacobina exploration towards discovery and extension of higher
grades at Canavieiras and new mineralized zones
- Extend Pilar's mineral resource
- Complete resource estimate at Caiamar in Brazil by mid-2010 with
further update by end of year
- Expand the resource at QDD Lower West in Argentina and continue
exploration efforts at Salamanca
- Extend known deposits at El Penon and upgrade inferred resource
- Expand footprint of Minera Florida with successful exploration at
Chancon-Membrillo
Yamana continues with its near-mine exploration program and its efforts to look for new opportunities and on the ground purchases elsewhere in the Americas. The Company is focused on developing its future based on its exploration successes and organic growth.
Suruca - Chapada,
Yamana has intersected a new mineralized zone at Suruca, located approximately 6 kilometres northeast of Yamana's Chapada Mine in central
Drilling intersections show two mineralized levels, the upper level has an average thickness of 70 metres and the lower level has an average thickness of approximately 20 metres. Exploration drilling to date has defined significant mineral intercepts with continuity along a 500 metre strike length. This mineral trend is wholly within a much larger soil geochemical gold anomaly that extends for over five kilometres on the surface.
Yamana has completed 15 holes totaling 2,866 metres to date. The significant drill intersections are summarized below. (See Map A)
-------------------------------------------------------------------------
Gold grade
HOLE From (m) To (m) Interval (m) (g/t)
-------------------------------------------------------------------------
7.0 24.7 17.7 0.22
SU-04 ---------------------------------------------------------
17.1 23.0 5.9 0.35
-------------------------------------------------------------------------
SU-08 255.5 256.3 0.8 0.42
-------------------------------------------------------------------------
112.0 193.0 81.0 1.20
---------------------------------------------------------
147.0 148.0 1.0 48.90
---------------------------------------------------------
158.0 159.0 1.0 9.21
---------------------------------------------------------
186.0 187.4 1.3 3.98
SU-11 ---------------------------------------------------------
190.0 191.0 1.0 3.17
---------------------------------------------------------
203.0 231.0 28.0 1.26
---------------------------------------------------------
210.0 211.0 1.0 21.30
---------------------------------------------------------
225.0 225.6 0.6 5.00
-------------------------------------------------------------------------
7.0 13.0 6.0 1.35
---------------------------------------------------------
7.0 8.0 1.0 7.32
SU-13 ---------------------------------------------------------
83.6 139.0 55.4 0.44
---------------------------------------------------------
84.3 86.0 1.7 6.46
-------------------------------------------------------------------------
52.5 127.2 74.7 0.89
---------------------------------------------------------
59.0 60.0 1.0 9.36
---------------------------------------------------------
72.0 73.0 1.0 3.05
---------------------------------------------------------
76.0 77.0 1.0 3.67
---------------------------------------------------------
87.3 88.7 1.3 4.50
SU-15 ---------------------------------------------------------
116.3 117.1 0.8 16.40
---------------------------------------------------------
140.3 188.0 39.7 0.37
---------------------------------------------------------
176.0 177.0 1.0 8.18
---------------------------------------------------------
203.0 233.0 30.0 0.54
---------------------------------------------------------
218.0 219.0 1.0 9.56
---------------------------------------------------------
248.0 268.0 20.0 0.35
-------------------------------------------------------------------------
These drilling results demonstrate the potential to add ounces from the areas surrounding the mine further extending Chapada's already long mine life of 17 years. Chapada has historically shown the ability to increase its mineral reserve base as demonstrated in 2008 when mineral reserves increased a full 50% from the previous year. The Company's efforts have not only been to increase mineral reserves and resources at Chapada, but to use it as a launching point for a regional exploration program. Suruca represents real potential and is a result of these efforts. Objectives for Chapada in 2010 include defining a mineral resource in the Suruca target by 2011.
Fazenda Brasileiro,
At Yamana's Fazenda Brasileiro mine, the Company continues to outline significant exploration potential. The mine was originally acquired in 2003 with 2.5 years of mine life remaining based on known mineral reserves. Yamana has since been mining at Fazenda Brasileiro for 6 years. Recently two new areas have been discovered, CLX(2) and Lagoa do Gato, which give Yamana high confidence that significant potential remains at Fazenda Brasileiro. Historical efforts have been to consistently increase the mine life. Current efforts and recent discoveries are intended to redefine Fazenda Brasileiro with the possibility, relating to CLX(2) and Lagoa do Gato, of discovering a new mine. Yamana's exploration focus has been the replacement of mineral reserves and resources at Fazenda Brasileiro. The objective in 2010 will continue these efforts, focusing on meaningfully increasing mineral reserves and resources in these new areas.
Lagoa do Gato
-------------
Geophysical interpretation suggests that the Weber structure, which hosts Yamana's Fazenda Brasileiro mine, may continue to the northeast through the Rio Itapicuru Greenstone Belt in a zone called Lagoa do Gato, which is located 4 kilometres northeast from Fazenda Brasileiro. This zone consisted of a series of small open pits mined earlier in the 1980s during Fazenda Brasileiro's heap leach operation. Deeper exploration drilling beneath those pits has intersected mafic lenses with significant high grade mineralization.
Drilling to date has identified three mineralized levels and has been traced for 1,200 metres, all still open along strike (See Map B). The Lagoa do Gato trend is at least eight kilometres long, defined by a high magnetic signature. A total of 4,000 metres of diamond drilling have been completed to date. The most significant intersections are summarized as follows:
-------------------------------------------------------------------------
Gold grade
HOLE From (m) To (m) Length (m) (g/t)
-------------------------------------------------------------------------
FLG-003 123.00 125.05 2.05 0.98
-------------------------------------------------------------------------
155.60 168.00 12.40 3.33
---------------------------------------------------------
FLG-010 157.30 159.00 1.70 8.95
---------------------------------------------------------
215.00 227.00 12.00 1.00
-------------------------------------------------------------------------
118.45 120.00 1.55 1.04
---------------------------------------------------------
125.00 129.00 4.00 0.68
FLG-011 ---------------------------------------------------------
132.00 136.00 4.00 0.88
---------------------------------------------------------
138.00 140.00 2.00 0.58
-------------------------------------------------------------------------
FLG-014 105.00 117.00 12.00 1.22
-------------------------------------------------------------------------
FLG-015 84.00 87.00 3.00 1.57
-------------------------------------------------------------------------
77.75 80.35 2.60 2.74
---------------------------------------------------------
87.00 109.00 22.00 3.62
FLG-016 ---------------------------------------------------------
87.00 98.00 11.00 6.48
---------------------------------------------------------
104.00 109.00 5.00 1.32
-------------------------------------------------------------------------
283.00 310.00 27.00 2.34
---------------------------------------------------------
FLG-017 283.00 288.00 5.00 3.63
---------------------------------------------------------
290.00 307.00 17.00 2.28
-------------------------------------------------------------------------
76.00 79.00 3.00 1.75
FLG-018 ---------------------------------------------------------
106.00 108.00 2.00 1.78
-------------------------------------------------------------------------
53.70 55.55 1.85 0.76
---------------------------------------------------------
64.00 67.00 3.00 1.00
FLG-019 ---------------------------------------------------------
76.00 78.00 2.00 0.93
---------------------------------------------------------
97.50 108.00 10.50 1.34
-------------------------------------------------------------------------
47.00 48.00 1.00 2.00
---------------------------------------------------------
93.00 96.00 3.00 0.66
FLG-021 ---------------------------------------------------------
145.00 153.00 8.00 3.99
---------------------------------------------------------
164.00 168.80 4.80 0.64
-------------------------------------------------------------------------
127.00 149.00 22.00 5.50
---------------------------------------------------------
137.35 139.00 1.65 63.82
---------------------------------------------------------
169.00 174.00 5.00 0.54
FLG-022 ---------------------------------------------------------
176.00 181.00 5.00 0.67
---------------------------------------------------------
189.00 191.00 2.00 1.44
---------------------------------------------------------
203.00 206.00 3.00 6.83
-------------------------------------------------------------------------
10.00 26.00 10.00 1.47
---------------------------------------------------------
FLG-024 30.00 32.00 2.00 1.22
---------------------------------------------------------
41.00 42.00 1.00 2.54
-------------------------------------------------------------------------
119.00 122.00 3.00 1.23
FLG-025 ---------------------------------------------------------
137.70 138.85 1.00 1.64
-------------------------------------------------------------------------
105.00 108.00 3.00 3.68
---------------------------------------------------------
FLG-026 156.65 171.45 14.80 7.04
---------------------------------------------------------
166.00 168.00 2.00 20.52
-------------------------------------------------------------------------
116.00 124.00 8.00 1.48
---------------------------------------------------------
142.00 143.00 1.00 10.25
---------------------------------------------------------
FLG-027 150.00 151.00 1.00 5.75
---------------------------------------------------------
179.00 182.20 3.20 1.24
---------------------------------------------------------
199.00 203.00 4.00 1.03
-------------------------------------------------------------------------
104.85 114.10 9.25 1.12
---------------------------------------------------------
161.00 163.00 2.00 1.20
FLG-028 ---------------------------------------------------------
170.00 176.00 6.00 1.28
---------------------------------------------------------
181.00 185.00 4.00 1.48
-------------------------------------------------------------------------
FLG-029 107.00 110.45 3.45 0.96
-------------------------------------------------------------------------
FLG-030 103.60 106.00 2.40 2.05
-------------------------------------------------------------------------
FLG-031 126.00 128.40 2.40 2.68
-------------------------------------------------------------------------
FLG-032 208.00 209.00 1.00 1.19
-------------------------------------------------------------------------
Yamana has 20,000 metres of drilling planned for 2010 to continue efforts
at these two new areas. At CLX(2), 10,000 metres of infill drilling is planned
to focus on upgrading the mineral resource and 10,000 metres of exploration
drilling is planned for extending Lagoa do Gato.
Objectives at Fazenda Brasileiro for 2010:
- Continue to extend the Lagoa do Gato mineral resource
- Further extend the mine life at Fazenda Brasileiro
- Continue defining new near mine targets
- Upgrade mineral resources to support future production
Jacobina,
Exploration at Jacobina in 2009 focused on near mine efforts and has provided a promising new discovery. Although most of the proven and probable mineral reserves at Jacobina are in areas that are comparatively lower grade, exploration upside is in areas with grade higher than the current mine grade. With the discoveries in 2009, exploration efforts in 2010 will be to more aggressively pursue higher grade areas of mineralization for future mining.
A structural and stratigraphic analysis undertaken in 2008 concludes that the Serra da Lagartixa area (Lagartixa Hill), located 2.5 kilometres from the mine site, possibly consists of the north continuity of the Canavieiras Block displaced by a main listric fault (See Map C). Canavieiras is the most significant resource of the Jacobina Mine and the possibility that it continues to the north opens important exploration upside for this mine.
The Lagartixa Block is 1,500 metres long with 300 metres of outcropping mineralized conglomerate reef confirmed by old artisanal mining workings and chip samples. This reef is thought to be the reef called Maneira, which represents the topmost reef of Canavieiras.
Three holes have been completed to date and the positive results to date are confirming the continuity of the Maneira Reef 700 metres down dip and 600 metres along strike (See Map D). More drilling is necessary to confirm if there is a gap along such continuity. Yamana considers these results significant and will concentrate most of 2010 on near mine drilling in this target.
Following are the significant Serra da Lagartixa intersections to date:
-------------------------------------------------------------------------
Gold Grade
HOLE From (m) To (m) Length (m) (g/t)
-------------------------------------------------------------------------
LGX-02 801 804 3 6.03
-------------------------------------------------------------------------
216.5 217 0.5 3.14
LGX-03 ------------------------------------------------------------
234.72 235.2 1 5.17
-------------------------------------------------------------------------
Objectives at Jacobina for 2010:
- Upgrade most of the inferred mineral resource to the measured and
indicated category
- Rapidly accelerate the definition of higher grade areas by 2012
- Continue to focus on Canavieiras to develop Canavieiras North
- Regional development and identification of new ore bodies in a
regional exploration plan between Jacobina and Pindobasu
Pilar,
In
In 2009, Yamana completed 26,000 metres of infill drilling spacing 50x50 metres and 7,000 metres of exploration drilling. The Company also commenced construction of an exploration ramp to determine the continuity of grade.
Drilling in 2009 was focused on extending the main Jordino mineralization down dip and the Company continues to report positive results. The following extension drilling results, plus the results presented in the previous
-------------------------------------------------------------------------
Gold grade
HOLE From (m) To (m) Length (m) (g/t)
-------------------------------------------------------------------------
353 357 4 6.67
------------------------------------------------------------
353 354 1 19.95
JD123 ------------------------------------------------------------
379 380 1 5.65
------------------------------------------------------------
390 391 1 3.23
-------------------------------------------------------------------------
307 309 2 3.02
------------------------------------------------------------
JD125 272.32 275 2.68 2.28
------------------------------------------------------------
272.32 273 0.68 6.56
-------------------------------------------------------------------------
270.66 276 5.34 3.48
JD126 ------------------------------------------------------------
273 274 1 14.25
-------------------------------------------------------------------------
300 300.87 0.87 8
------------------------------------------------------------
JD129 319 320 1 3.1
------------------------------------------------------------
345 346 1 16.35
-------------------------------------------------------------------------
167 168 1 2.09
------------------------------------------------------------
171 172 1 2.81
JD213 ------------------------------------------------------------
203 204 1 4.52
------------------------------------------------------------
215 216 1 4.21
-------------------------------------------------------------------------
251.22 251.93 0.71 3.4
JD216 ------------------------------------------------------------
280 281.23 1.23 24.6
-------------------------------------------------------------------------
57.98 58.75 0.77 263
------------------------------------------------------------
62 63 1 2.97
------------------------------------------------------------
JD222 202.89 205.49 2.6 2.74
------------------------------------------------------------
204.96 205.49 0.53 3.43
------------------------------------------------------------
215.72 217 1.28 4.29
-------------------------------------------------------------------------
The drilling program for 2010 includes 18,000 metres of extension drilling, of which 50% is expected to be completed by the end of the first quarter of 2010. Drilling continues to be at the main high grade Jordino deposit and the area between Jordino and Tres Buracos as it continues to appear open down plunge and along strike.
Objectives for Pilar in 2010:
- Upgrade inferred mineral resource to the indicated category
- Determine continuity of grade
- Increase total overall mineral resource
Caiamar,
Since its purchase in
Caiamar is located approximately 38 kilometres from Yamana's Pilar project and just east of the Crixas Greenstone Belt, in the northern portion of a regional Shear Zone within the Guarinos Greenstone Belt. Mineralization consists of arserno-pyrite rich quartz breccias hosted in metagraywacke layers.
A total of
Drilling to date has confirmed the occurrence of mineralized shoots along an area of 2.5 kilometres length and 700 metres wide. The holes CA-007, CA-004 and CA-014 have already confirmed the continuity of central mineralized shoot 500 metres down dip (Map F). Positive drilling intersections to date are summarized as follows:
-------------------------------------------------------------------------
Gold grade
HOLE From (m) To (m) Length (m) (g/t)
-------------------------------------------------------------------------
391.50 392.00 0.50 1.94
------------------------------------------------------------
CA-001 394.00 394.50 0.50 1.43
------------------------------------------------------------
414.00 414.50 0.50 1.37
-------------------------------------------------------------------------
375.00 376.00 1.00 1.13
------------------------------------------------------------
CA-002 397.00 399.00 2.00 1.64
------------------------------------------------------------
418.84 419.60 0.76 2.09
-------------------------------------------------------------------------
CA-003 679.35 680.36 1.01 1.68
-------------------------------------------------------------------------
CA-004 614.00 614.50 0.50 4.74
-------------------------------------------------------------------------
242.00 243.00 1.00 1.9
CA-006 ------------------------------------------------------------
260.58 262.24 1.66 1.43
-------------------------------------------------------------------------
554.71 555.21 0.50 5.94
CA-007 ------------------------------------------------------------
556.23 556.72 0.49 7.52
-------------------------------------------------------------------------
369.00 370.00 1.00 5.83
CA-011 ------------------------------------------------------------
397.00 399.00 2.00 1.23
-------------------------------------------------------------------------
410.52 411.00 0.48 1.12
------------------------------------------------------------
465.46 466.00 0.54 3.14
CA-013 ------------------------------------------------------------
469.00 469.50 0.50 2.11
------------------------------------------------------------
471.47 471.92 0.45 1.32
-------------------------------------------------------------------------
564.30 565.00 0.70 2.00
CA-014 ------------------------------------------------------------
569.00 570.00 1.00 3.04
-------------------------------------------------------------------------
146.00 147.00 1.00 2.69
CA-022 ------------------------------------------------------------
256.00 257.00 1.00 6.28
-------------------------------------------------------------------------
CA-023 393.00 394.00 1.00 1.50
-------------------------------------------------------------------------
CA-025 487.00 488.00 1.00 0.96
-------------------------------------------------------------------------
573.09 573.59 0.50 3.36
------------------------------------------------------------
573.59 574.09 0.50 2.04
CA-040 ------------------------------------------------------------
575.07 575.55 0.48 2.36
------------------------------------------------------------
575.55 576.00 0.45 2.68
-------------------------------------------------------------------------
161.00 162.00 1.00 1.19
------------------------------------------------------------
CA-082-A 217.09 218.00 0.91 2.54
------------------------------------------------------------
230.00 231.00 1.00 0.98
-------------------------------------------------------------------------
CA-093 220.00 220.50 0.50 7.99
-------------------------------------------------------------------------
93.00 94.00 1.00 1.25
CA-105 ------------------------------------------------------------
151.00 151.50 0.50 9.26
-------------------------------------------------------------------------
156.50 157.00 0.50 7.99
------------------------------------------------------------
215.35 215.84 0.49 1.61
CA-107 ------------------------------------------------------------
223.06 223.85 0.79 1.14
------------------------------------------------------------
242.00 242.50 0.50 13.6
-------------------------------------------------------------------------
244.00 244.50 0.50 2.02
------------------------------------------------------------
277.20 278.00 0.80 3.12
------------------------------------------------------------
CA-120 283.00 283.50 0.50 1.29
------------------------------------------------------------
291.48 292.00 0.52 5.28
------------------------------------------------------------
293.50 294.00 0.50 7.23
-------------------------------------------------------------------------
A total of approximately 15,000 metres of drilling has been completed in 2009 with a total of 15,000 metres planned for 2010.
Objectives for Caiamar in 2010:
- Confirm mineral resource based on historical drilling through infill
drilling
- Provide a mineral resource estimate by mid-2010
- Provide a subsequent update to the mid-year mineral resource estimate
by extension drilling by the end of 2010
ARGENTINA
Salamanca - Gualcamayo, Argentina
Exploration efforts continued at the Salamanca area located approximately 10 kilometres north of Yamana's Gualcamayo gold mine within the Gualcamayo mine area in
Yamana recently completed a core drilling campaign comprised of 17 drill holes for a total of 3,000 metres concentrating on the Salamanca mineralized tensional gash. The high-grade gold values encountered support the interpretation that the main intercepted structure might continue deeper and maintain the robust gold tenor.
Results to date continue to compare favourably to results from the three known mineral deposits at Gualcamayo, which have mineral resource grades of 1.08 g/t gold at QDD, and 2.6 g/t gold at both QDD Lower West and AIM. The sediment hosted mineralization at Salamanca is consistent with the other known mineral deposits at Gualcamayo. New results, in addition to those released on
-------------------------------------------------------------------------
Gold grade
HOLE From (m) To (m) Interval (m) (g/t)
-------------------------------------------------------------------------
42 72 30 1.72
------------------------------------------------------------
09S-01 80 108 28 1.03
------------------------------------------------------------
80 96 16 1.4
-------------------------------------------------------------------------
41 92 51 1.1
------------------------------------------------------------
09S-02 41 54 13 2.22
------------------------------------------------------------
85 92 7 1.61
-------------------------------------------------------------------------
80 132.75 52.75 2.9
09S-03 ------------------------------------------------------------
98 130 32 4.07
-------------------------------------------------------------------------
43.3 62 18.7 1.01
09S-10 ------------------------------------------------------------
137 148 11 1.08
-------------------------------------------------------------------------
24.3 88 63.7 1.1
------------------------------------------------------------
09S-14 34 42 8 2.14
------------------------------------------------------------
50 62 12 1.24
-------------------------------------------------------------------------
A subsequent 2,000 metre drill program is scheduled to commence in early 2010 and will continue to explore the deeper levels as well as to test the strike continuation of the mineralized dilational bend at Salamanca.
These drilling results continue to confirm Yamana's view that Salamanca represents an important source of further gold ounces for Gualcamayo with the potential to extend the mine life. These results will be used to support a mineral resource estimate in the first half of 2010.
Objectives for Gualcamayo in 2010:
- Drill program of 2,000 metres of drilling at Salamanca
- Provide a mineral resource estimate for Salamanca in the first half
of 2010
- Extend the QDD Lower West high grade deposit along strike and down
plunge
- Expand the resource at QDD Lower West through upgrading inferred
mineral resource ounces to the measured and indicated category and
adding new ounces
El Penon,
Exploration efforts in 2009 were principally focused on replacing ounces at El Penon and focusing on new areas of mineralization for exploration. With that objective completed, 2010 exploration will focus on extending the known deposits, infill drilling to upgrade certain inferred mineral resources to the indicated resource category and a broader regional exploration program. The 2010 exploration program is to include 69,500 metres of exploration drilling and 24,550 metres of infill drilling with a budget of
Objectives for El Penon in 2010:
- Upgrade 500,000 gold equivalent ounces to the indicated mineral
resource category
- Identify 500,000 ounces of new mineral resource
- Identify new vein zones that can sustain a longer mine life
Minera Florida,
In 2009, two new zones of mineralization were discovered, Centenario and Polvorin.
At Centenario, 49 diamond drill holes totaling 7,594 metres were completed and outlined mineralization along a strike length of 250 metres and a dip length of 100 metres. The mineralization consists of quartz veins, veinlets and stockworks in andesite flows with widths varying from 0.25 to 8 metres but averaging between 1 and 3 metres.
At Polvorin, 43 diamond drill holes totaling 8,090 metres have outlined mineralization along 400 metres of strike length and up to 200 metres of dip length with an average width of approximately 2.0 metres. The mineralization is typified by zones of hydrothermal breccia with zones of massive quartz veins. Sulphide mineralization consists of disseminations of pyrite, sphalerite and magnetite with traces of galena.
The results from the drill program include (See Map I, J and K):
-------------------------------------------------------------------------
CENTENARIO VEIN
-------------------------------------------------------------------------
HOLE From(m) To(m) Length(m) Au(g/t) Ag(g/t) Zn(%) AuEq(g/t)
-------------------------------------------------------------------------
ALH0075 293.2 298.35 5.15 11.39 17 2.21 12.13
-------------------------------------------------------------------------
ALH0664 123.95 128.00 4.05 2.54 17 1.50 3.11
-------------------------------------------------------------------------
ALH0666 44.23 45.89 1.66 1.51 2 0.09 1.56
-------------------------------------------------------------------------
ALH0667 48.44 53.11 4.67 2.26 9 0.17 2.42
-------------------------------------------------------------------------
ALH0669 126.9 136.20 9.30 9.53 13 0.67 9.86
-------------------------------------------------------------------------
ALH0670 40.83 43.16 2.33 15.91 12 0.35 16.14
-------------------------------------------------------------------------
ALH0675 79.45 88.84 9.39 6.94 12 1.21 7.38
-------------------------------------------------------------------------
ALH0677 71.36 77.09 5.73 5.07 13 1.06 5.49
-------------------------------------------------------------------------
ALH0686 150.74 164.39 13.65 9.02 18 0.76 9.45
-------------------------------------------------------------------------
ALH0691 109.68 113.78 4.10 9.66 10 0.59 9.93
-------------------------------------------------------------------------
ALH0695 99.64 101.78 2.14 4.91 11 0.92 5.27
-------------------------------------------------------------------------
ALH0698 99.98 102.50 2.52 6.65 4 0.88 6.91
-------------------------------------------------------------------------
ALH0700 133.08 133.33 0.25 1.08 1 0.39 1.18
-------------------------------------------------------------------------
ALH0704 170.36 181.01 10.65 5.18 14 0.83 5.56
-------------------------------------------------------------------------
ALH0708 153.4 154.36 0.96 2.12 4 0.30 2.24
-------------------------------------------------------------------------
ALH0711 50.41 52.60 2.19 2.41 2 0.06 2.45
-------------------------------------------------------------------------
ALH0714 40.18 41.24 1.06 4.96 30 0.25 5.43
-------------------------------------------------------------------------
ALH0716 83.23 92.55 9.32 5.14 13 0.68 5.47
-------------------------------------------------------------------------
ALH0717 90.44 107.66 17.22 1.29 10 0.95 1.64
-------------------------------------------------------------------------
ALH0719 165.86 167.84 1.98 15.99 21 2.03 16.75
-------------------------------------------------------------------------
ALH0722 94.84 95.22 0.38 2.59 5 0.19 2.71
-------------------------------------------------------------------------
ALH0726 173.72 174.15 0.43 1.96 1 0.03 1.98
-------------------------------------------------------------------------
ALH0729 119.56 123.80 4.24 5.54 9 0.49 5.77
-------------------------------------------------------------------------
ALH0732 139.87 144.50 4.63 1.00 5 0.21 1.13
-------------------------------------------------------------------------
ALH0736 96.76 98.62 1.86 2.16 5 0.73 2.40
-------------------------------------------------------------------------
ALH0739 159.78 166.50 6.72 11.14 179 1.05 13.84
-------------------------------------------------------------------------
ALH0751 104.87 105.85 0.98 11.84 14 0.72 12.20
-------------------------------------------------------------------------
ALH0754 108.78 114.64 5.86 2.96 7 1.39 3.37
-------------------------------------------------------------------------
ALH0758 94.15 95.51 1.36 1.26 6 0.40 1.42
-------------------------------------------------------------------------
ALH0760 80.02 82.36 2.34 9.52 18 1.09 10.01
-------------------------------------------------------------------------
ALH0763 76.34 79.82 3.48 1.04 2 0.94 1.28
-------------------------------------------------------------------------
ALH0766 58.69 61.48 2.79 1.15 6 2.42 1.77
-------------------------------------------------------------------------
ALH0796 103.8 105.71 1.91 3.19 10 0.66 3.47
-------------------------------------------------------------------------
ALH0802 110.3 113.41 3.11 2.12 5 0.55 2.32
-------------------------------------------------------------------------
ALH0809 166.54 166.92 0.38 3.03 361 0.46 8.11
-------------------------------------------------------------------------
Au Eq = Au + (Ag/72.6) + (Zn/4.4)
-------------------------------------------------------------------------
POLVORIN VEIN
-------------------------------------------------------------------------
HOLE From(m) To(m) Length(m) Au(g/t) Ag(g/t) Zn(%) AuEq(g/t)
-------------------------------------------------------------------------
ALH0006 217.56 224.95 7.39 5.50 9 1.66 6.00
-------------------------------------------------------------------------
ALH0008 386.95 390.78 3.83 3.43 7 1.61 3.90
-------------------------------------------------------------------------
ALH0210 26.71 31.50 4.79 5.71 17 1.69 6.33
-------------------------------------------------------------------------
ALH0672 198.18 199.58 1.31 7.95 8 2.76 8.68
-------------------------------------------------------------------------
ALH0674 201.51 203.76 2.25 11.60 49 1.94 12.71
-------------------------------------------------------------------------
ALH0676 189.27 190.90 1.63 9.08 12 1.59 9.60
-------------------------------------------------------------------------
ALH0678 199.88 202.57 2.69 5.91 12 2.50 6.64
-------------------------------------------------------------------------
ALH0681 199.17 202.81 3.64 7.53 17 0.73 7.93
-------------------------------------------------------------------------
ALH0689 132.74 133.92 1.18 7.33 1293 1.15 25.40
-------------------------------------------------------------------------
ALH0707 187.93 188.63 0.70 1.73 14 0.12 1.95
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ALH0712 100.32 101.61 1.29 2.13 11 1.25 2.57
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ALH0715 207.89 210.09 2.20 4.55 24 3.21 5.61
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ALH0720 195.93 198.00 2.07 5.94 6 0.33 6.10
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ALH0723 232.17 232.92 0.75 2.13 5 0.40 2.29
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ALH0788 229.47 230.40 0.93 2.86 7 4.08 3.87
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ALH0794 205.77 206.25 0.48 5.80 7 1.03 6.13
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ALH0800 197.55 198.51 0.96 6.85 34 5.20 8.50
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ALH0807 96.41 98.20 1.79 4.27 6 0.15 4.40
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ALH0810 91.01 93.06 2.05 12.79 9 1.55 13.27
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ALH0811 133.01 135.05 2.04 4.33 6 0.43 4.50
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Au Eq = Au + (Ag/72.6) + (Zn/4.4)
The exploration program for Minera Florida in 2010 includes 12,900 metres of exploration drilling for near mine targets and 18,000 metres of infill drilling to re-categorize inferred mineral resources to the indicated category. Multiple veins are to be explored with two new regional targets. Exploration also continues in the areas surrounding Minera Florida with the objective to identify new ounces.
Objectives for Minera Florida in 2010:
- Upgrade 150,000 gold equivalent ounces from the inferred mineral
resource category to the indicated resource category
- Identify a minimum of 100,000 ounces of new mineral resource
- Identify new vein zones that can sustain a longer mine life
OTHER AREAS
Solferino,
Yamana has recently acquired an exploration concession and project called Solferino located in the district of Anori, in the province of Antioquia in the central part of
Solferino is a mesothermal vein system of quartz veins and veinlets, which form a stockwork with a width of more than 20 metres. Previous and more recent underground workings have defined a system with a length of 200 metres and a minimum vertical expression of 70 metres. Yamana has identified and sampled two main high-grade quartz veins.
Yamana has budgeted approximately
Upcoming Events:
This press release which is one of a series of announcements to come, will be followed initially by Yamana's 2010 and 2011 operational outlook and update, results from the Ernesto/Pau-a-pique feasibility study and an update on Agua Rica. The following summarizes the upcoming events:
- Operational outlook and update: January 2010
- Ernesto/Pau-a-pique feasibility study: January 2010
- Update on Agua Rica: January 2010
- Update to Yamana's mineral reserves and resources: February 2010
- Pilar feasibility study: mid-2010
- Caiamar mineral resource estimate: mid-2010
- Salamanca mineral resource estimate: H1-2010
Quality Assurance and Quality Control
Yamana incorporates a rigorous Quality Assurance and Quality Control program for all of its mines and exploration projects which conforms to industry Best Practices as outlined by the CSE and National Instrument 43-101. This includes the use of independent third party laboratories and the use of professionally prepared standards and blanks and analysis of sample duplicates with a second independent laboratory.
Qualified Persons
About Yamana
Yamana is a Canadian-based gold producer with significant gold production, gold development stage properties, exploration properties, and land positions in
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: This news release contains or incorporates by reference "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Except for statements of historical fact relating to the Company, information contained herein constitutes forward-looking statements, including any information as to the Company's strategy, plans or future financial or operating performance. Forward-looking statements are characterized by words such as "plan," "expect", "budget", "target", "project", "intend," "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made, and are inherently subject to a variety of risks and uncertainties and other known and unknown factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the Company's expectations in connection with the projects and exploration programs discussed herein being met, the impact of general business and economic conditions, global liquidity and credit availability on the timing of cash flows and the values of assets and liabilities based on projected future conditions, fluctuating metal prices (such as gold, copper, silver and zinc), currency exchange rates (such as the Brazilian Real and the Chilean Peso versus the United States Dollar), possible variations in ore grade or recovery rates, changes in the Company's hedging program, changes in accounting policies, changes in the Company's corporate resources, risk related to non-core mine dispositions, changes in project parametres as plans continue to be refined, changes in project development, construction, production and commissioning time frames, risk related to joint venture operations, the possibility of project cost overruns or unanticipated costs and expenses, higher prices for fuel, steel, power, labour and other consumables contributing to higher costs and general risks of the mining industry, failure of plant, equipment or processes to operate as anticipated, unexpected changes in mine life, final pricing for concentrate sales, unanticipated results of future studies, seasonality and unanticipated weather changes, costs and timing of the development of new deposits, success of exploration activities, permitting time lines, government regulation of mining operations, environmental risks, unanticipated reclamation expenses, title disputes or claims, limitations on insurance coverage and timing and possible outcome of pending litigation and labour disputes, as well as those risk factors discussed or referred to in the Company's annual Management's Discussion and Analysis and Annual Information Form for the year ended
CAUTIONARY NOTE TO U.S. INVESTORS CONCERNING ESTIMATES OF MEASURED, INDICATED AND INFERRED MINERAL RESOURCES
This news release uses the terms "Measured", "Indicated" and "Inferred" Mineral Resources.
To see maps attached to this press release, please go to:
http://files.newswire.ca/797/Yamana_Jan._Maps.pdf
SOURCE Yamana Gold Inc.
