TORONTO, Jan. 7 /PRNewswire-FirstCall/ -- YAMANA GOLD INC. (TSX:
YRI; NYSE: AUY; LSE: YAU) today announced an exploration update and
provided its exploration objectives for 2010. 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. BRAZIL Suruca -
Chapada, Brazil Yamana has intersected a new mineralized zone at
Suruca, located approximately 6 kilometres northeast of Yamana's
Chapada Mine in central Brazil. 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, Brazil 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, Brazil 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, Brazil In
April 2009, Yamana delivered an update to Pilar's inferred mineral
resource estimate of 12.6 million tonnes grading 3.61 g/t gold
containing 1.4 million gold ounces, which was a substantial
increase in inferred mineral resource of 51% and a grade increase
of 48% year over year. 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 June 2009 news release, continue to show positive
drill intercepts between 100 and 300 metres down dip from the
mineral resource update provided in April 2009 (See Map E). A total
of 12,000 metres of extension drilling has been completed since the
last mineral resource and best intersections since the June 2009
news release are summarized below:
-------------------------------------------------------------------------
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, Brazil Since its
purchase in July 2009, Yamana has completed 28 holes totaling
14,000 metres of exploration drilling at the Caiamar target.
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 US$3.4
million has been budgeted for regional exploration and 25,000
metres of drilling at Caiamar. The objective of the drill program
for the first year will be to assess the potential of the deposit
and evaluate the regional potential inside the Caiamar concessions,
in addition to defining the ore bodies. 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 Argentina. 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 September 30, 2009 include (See Map G and H):
-------------------------------------------------------------------------
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 CHILE El Penon, Chile
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
US$18.4 million, US$5.8 million higher than the original budgeted
amount for 2009. 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, Chile 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
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ALH0760 80.02 82.36 2.34 9.52 18 1.09 10.01
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ALH0763 76.34 79.82 3.48 1.04 2 0.94 1.28
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ALH0766 58.69 61.48 2.79 1.15 6 2.42 1.77
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ALH0796 103.8 105.71 1.91 3.19 10 0.66 3.47
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ALH0802 110.3 113.41 3.11 2.12 5 0.55 2.32
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ALH0809 166.54 166.92 0.38 3.03 361 0.46 8.11
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Au Eq = Au + (Ag/72.6) + (Zn/4.4)
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POLVORIN VEIN
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HOLE From(m) To(m) Length(m) Au(g/t) Ag(g/t) Zn(%) AuEq(g/t)
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ALH0006 217.56 224.95 7.39 5.50 9 1.66 6.00
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ALH0008 386.95 390.78 3.83 3.43 7 1.61 3.90
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ALH0210 26.71 31.50 4.79 5.71 17 1.69 6.33
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ALH0672 198.18 199.58 1.31 7.95 8 2.76 8.68
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ALH0674 201.51 203.76 2.25 11.60 49 1.94 12.71
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ALH0676 189.27 190.90 1.63 9.08 12 1.59 9.60
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ALH0678 199.88 202.57 2.69 5.91 12 2.50 6.64
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ALH0681 199.17 202.81 3.64 7.53 17 0.73 7.93
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ALH0689 132.74 133.92 1.18 7.33 1293 1.15 25.40
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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, Colombia 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 Colombia. 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 US$1.0 million for exploration in 2010
for 5,000 metres of drilling. The exploration program at Solferino
will be focused on defining mineral resource potential. Colombia
remains within Yamana's geographical focus on stable jurisdictions
in the Americas. Yamana believes Colombia has significant
exploration potential. 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 Walter Soechting,
P. Geo., Senior Geologist for Yamana Gold Inc. has reviewed and
confirmed the data contained within this press release relating to
Gualcamayo and Salamanca and serves as the Qualified Person as
defined in National Instrument 43-101. Greg Walker, P. Geo., Senior
Geologist for Yamana Gold Inc. has reviewed and confirmed the data
contained within this press release relating to Minera Florida and
serves as the Qualified Person as defined in National Instrument
43-101. Sergio Brandao, P. Geo., Senior Geologist for Yamana Gold
Inc. has reviewed and confirmed the data contained within this
press release relating to Suruca (Chapada), Jacobina, Fazenda
Brasileiro, Pilar and Caiamar and serves as the Qualified Person as
defined in National Instrument 43-101. About Yamana Yamana is a
Canadian-based gold producer with significant gold production, gold
development stage properties, exploration properties, and land
positions in Brazil, Argentina, Chile, Mexico and Colombia. The
Company plans to continue to build on this base through existing
operating mine expansions and throughput increases, the advancement
of its exploration properties and by targeting other gold
consolidation opportunities in the Americas. 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 December
31, 2008 filed with the securities regulatory authorities in all
provinces of Canada and available at http://www.sedar.com/, and the
Company's Annual Report on Form 40-F filed with the United States
Securities and Exchange Commission. Although the Company has
attempted to identify important factors that could cause actual
actions, events or results to differ materially from those
described in forward-looking statements, there may be other factors
that cause actions, events or results not to be anticipated,
estimated or intended. There can be no assurance that
forward-looking statements will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. The Company undertakes no
obligation to update forward-looking statements if circumstances or
management's estimates, assumptions or opinions should change,
except as required by applicable law. The reader is cautioned not
to place undue reliance on forward-looking statements. The
forward-looking information contained herein is presented for the
purpose of assisting investors in understanding the Company's
expected financial and operational performance and results as at
and for the periods referenced and may not be appropriate for other
purposes. 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. United States investors are advised that while
such terms are recognized and required by Canadian regulations, the
United States Securities and Exchange Commission does not recognize
them. "Inferred Mineral Resources" have a great amount of
uncertainty as to their existence, and as to their economic and
legal feasibility. It cannot be assumed that all or any part of an
Inferred Mineral Resource will ever be upgraded to a higher
category. Under Canadian rules, estimates of Inferred Mineral
Resources may not form the basis of feasibility or other economic
studies. United States investors are cautioned not to assume that
all or any part of Measured or Indicated Mineral Resources will
ever be converted into Mineral Reserves. United States investors
are also cautioned not to assume that all or any part of an
Inferred Mineral Resource exists, or is economically or legally
mineable. To see maps attached to this press release, please go to:
http://files.newswire.ca/797/Yamana_Jan._Maps.pdf DATASOURCE:
Yamana Gold Inc. CONTACT: Letitia Wong, Director, Investor
Relations, (416) 815-0220, Email: ; MEDIA INQUIRIES: Mansfield
Communications Inc., Hugh Mansfield, (416) 599-0024
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