FOR:  YAMANA GOLD INC.
      AIM SYMBOL - YAU

TSX SYMBOL:  YRI

December 8, 2003

Yamana Gold Announces C$20 Million "Bought Deal" Financing

TORONTO, ONTARIO--

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

Yamana Gold Inc. (TSX: YRI; AIM: YAU) is pleased to announce that it has entered into an agreement with an
underwriting syndicate led by Canaccord Capital Corporation and BMO Nesbitt Burns Inc., which have agreed to
purchase, on a bought deal basis, 6,250,000 common shares of the Company at a price of C$3.20 per share, for
aggregate gross proceeds of C$20 million. The underwriters will also have the option to purchase up to an
additional 3,125,000 common shares at the issue price until 48 hours prior to closing of the offering. The
Company plans to use the net proceeds of this financing for the advancement of its mineral properties,
potential acquisitions and for general corporate purposes.

The common shares be issued under this offering will be offered by way of a short form prospectus in all of the
provinces in Canada and in the United States on a private placement basis pursuant to an exemption from the
registration requirements of the United States Securities act of 1933, as amended.

The offering is scheduled to close on or about December 30, 2003 and is subject to certain conditions
including, but not limited to, the receipt of all necessary approvals including the approval of the Toronto
Stock Exchange and securities regulatory authorities.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there
be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful. The
securities have not been registered under the United States Securities Act of 1933, as amended, and may not be
offered or sold in the United States absent registration or an applicable exemption from the registration
requirements.

Yamana is a Canadian gold producer with significant gold production, gold and copper-gold development stage
properties and exploration properties and land positions in all major mineral areas in Brazil. Yamana also
holds gold exploration properties in Argentina subject to earn-in by Peruvian gold producers Buenaventura and
Hochshild. Company management plans to build on this base by targeting other gold consolidation opportunities
in Brazil and elsewhere in Latin America.

FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements" within the meaning
of Section 21E of the United States Securities Exchange Act of 1934, as amended. Except for statements of
historical fact relating to the company, certain information contained herein constitutes forward-looking
statements. Forward-looking statements are frequently characterized by words such as "plan," "expect,"
"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 and estimates
of management at the date the statements are made, and are subject to a variety of risks and uncertainties and
other factors that could cause actual events or results to differ materially from those projected in the
forward-looking statements. These factors include the inherent risks involved in the exploration and
development of mineral properties, the uncertainties involved in interpreting drilling results and other
ecological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and
expenses, uncertainties relating to the availability and costs of financing needed in the future and other
factors. The Company undertakes no obligation to update forward-looking statements if circumstances or
management's estimates or opinions should change. The reader is cautioned not to place undue reliance on
forward-looking statements.

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FOR FURTHER INFORMATION PLEASE CONTACT:

Yamana Gold Inc.
Peter Marrone
President & Chief Executive Officer
(416) 815-0220
Email: investor@yamana.com

                                                                
Yamana Gold Inc