Proactiveinvestors USA & Canada Yamana Gold https://www.proactiveinvestors.com Proactiveinvestors USA & Canada Yamana Gold RSS feed en Tue, 23 Apr 2019 13:03:46 -0400 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[News - Yamana Gold agrees to sell Brazilian mine to Lundin Mining in US$1 billion deal ]]> https://www.proactiveinvestors.com/companies/news/218601/yamana-gold-agrees-to-sell-brazilian-mine-to-lundin-mining-in-us1-billion-deal-218601.html Yamana Gold Inc (TSE:YRI) (NYSE:AUY) announced Monday morning that it agreed to sell its Brazilian mine to Lundin Mining Corporation (TSE:LUN) (OTCMKTS:LUNMF) for US$1 billion.

The Chapada mine, located in the state of Goiás, is a copper-gold operation that began production in 2007.

READ: Newmont's $10B deal to buy rival Goldcorp undercut by major shareholder's opposition

Under the terms of the agreement, Yamana will receive $800 million upon closing of the sale, with an additional consideration of up to $125 million contingent on the gold price, $100 million based on the development of a pyrite circuit to optimize the operation, and a royalty on the adjacent Suruca gold project.

The Suruca project lies seven kilometres northeast of Chapada and has an estimated annual production profile of around 150,000 ounces.

“While Chapada has been a valued asset for Yamana, the sale transaction delivers a significant gain, delivers a high after-tax return and financially repositions the company with a significant and immediate improvement to overall financial flexibility,” said Peter Marrone, Yamana’s CEO, in a statement.

Near-term value

According to Marrone, the sale allows the gold miner to pursue near-term value maximizing portfolio opportunities and increase shareholder returns, initially by way of a 100% increase in the annual dividend.

Yamana’s Canadian shares slipped around 3% to C$3.32 by Monday afternoon, while its US-listed shares were down 2% to US$2.50 on Monday afternoon.

Lundin’s shares gained around 8% to C$7.35 in Canada and 8% in the US, to US$5.52.

--Updates with share price--

Contact Angela at angela@proactiveinvestors.com

Follow her on Twitter @AHarmantas

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Mon, 15 Apr 2019 08:55:00 -0400 https://www.proactiveinvestors.com/companies/news/218601/yamana-gold-agrees-to-sell-brazilian-mine-to-lundin-mining-in-us1-billion-deal-218601.html
<![CDATA[News - Yamana Gold loses lustre with Q3 earnings; reports net loss of $81 million ]]> https://www.proactiveinvestors.com/companies/news/207894/yamana-gold-loses-lustre-with-q3-earnings-reports-net-loss-of-81-million-207894.html South America-focused Yamana Gold (NYSE:AUY)(TSE:YRI) swung to a net loss in the third quarter as metals prices suffered.

For the three months to September 30, the Toronto-based gold miner, which has operations in Brazil, Argentina, Chile and Mexico, reported a net loss of US$81.3 million, which translated to a net loss of US$0.09 cents per share, compared with a net profit of US$45.7 million, or US$0.05 cents per share, a year earlier.

According to Zacks Investment Research, the consensus earnings per share (EPS) forecast for the quarter was $0.01. The reported EPS for the same quarter last year was $0.04.

The company also announced Thursday that it has entered into a definitive purchase agreement to sell 100% of its interest in the Gualcamayo mine, located in San Juan province, Argentina, to Mineros SA. 

Gold equivalent ounce production from Yamana Mines for the third quarter was 279,464, including 246,788 ounces of gold and 2.55 million ounces of silver.

Total Yamana gold production was 268,842 ounces. The company also produced 28.6 million pounds of copper.

The company said it is increasing its guidance for production to 920,000 ounces of gold, from the initial 900,000 ounces. 

Shares of Yamana Gold were down 6.2% at C$2.44 in Toronto and down 6.33% at US$2.44 in New York on Thursday. 

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Thu, 25 Oct 2018 19:58:00 -0400 https://www.proactiveinvestors.com/companies/news/207894/yamana-gold-loses-lustre-with-q3-earnings-reports-net-loss-of-81-million-207894.html
<![CDATA[News - Yamana Gold shares shine as miner says it's on track to beat production guidance for full year ]]> https://www.proactiveinvestors.com/companies/news/201757/yamana-gold-shares-shine-as-miner-says-it-s-on-track-to-beat-production-guidance-for-full-year-201757.html Improved operational performance at South America-focused gold miner Yamana Gold Inc (TSX: YRI, NYSE: AUY) is starting to take hold as the group posted solid second quarter results and revealed it was on track to beat previous production guidance for the year.

Shares in the precious metals producer were up 2.72% to US$2.82 in New York in pre-market deals. In the regular session, they surged over 11% to US$3.08.

Net earnings were put at US$18mln for the three months to end June, marking a sharp turnaround from a net loss of US$39.9mln in the same period of 2017. Revenue was US$431.5mln compared to US$428.1mln in the same period last year.

Total gold production in the period  came in at 248,177 ounces from its producing mines.

The group also produced 31.1mln pounds of copper, higher than expected, while silver production climbed to 1.31mln ounces from 1.18mln, which was lower than expected but Yamana thinks it will improve in the second half.

"Higher than expected gold production at Chapada, Canadian Malartic, Jacobina, and El Peñón together with the favourable ramp-up at Cerro Moro has the Company well positioned to exceed previously provided guidance of 900,000 ounces of gold for Yamana Mines,"  it said in a regulatory statement last night.

"While the production plan for Gualcamayo this year is lower than previously indicated, total Yamana Gold production including Gualcamayo is expected to also exceed previously provided guidance."

The group has cash and cash equivalents of US$114.4 million and available credit of $765mln as at June 30.

The company also declared a third quarter 2018 dividend of US$0.005 per share.

--UPDATES FOR SHARE PRICE RISE--

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Fri, 27 Jul 2018 09:29:00 -0400 https://www.proactiveinvestors.com/companies/news/201757/yamana-gold-shares-shine-as-miner-says-it-s-on-track-to-beat-production-guidance-for-full-year-201757.html
<![CDATA[News - Yamana Gold opts to build Cerro Moro despite surprising Q4 loss ]]> https://www.proactiveinvestors.com/companies/news/105480/yamana-gold-opts-to-build-cerro-moro-despite-surprising-q4-loss-59841.html Yamana Gold (TSE:YRI) said it has decided to build its precious metal Cerro Moro mine in Argentina amid the backdrop of weak commodity prices, as rivals Kinross Gold (TSE:K) and Barrick Gold (TSE:ABX) have postponed projects to conserve cash.

Toronto-based Yamana said it will spend $398 million to construct the Cerro Moro gold silver mine, which is higher than its previous estimate of $300 million. The increase is due to the fact that the mine will now be bigger than its original plan.

The asset is expected to produce some 102,000 ounces per year at life-of-mine cash costs of $380 to $400 an ounce, returning a healthy IRR of 23 to 26 percent at a price of $1,265 an ounce of gold. Construction is anticipated to begin later this year, with initial production expected in the second half of 2017.

Yamana last year said it would create a wholly owned subsidairy to house its non-core mines in Brazil after failing to selling them, as the gold industry faces a slump in gold prices, which has pressured miners to cut costs and restructure their portfolios. The company recently raised $300 million to pay down debt. 

The news of the Cerro Moro decision comes as Yamana also reported fourth quarter results, with an adjusted loss of 2 cents per share, below consensus estimates for a profit of 3 cents per share. 

Its net loss from continuing operations in the quarter was $299.5 million, or 35 cents a diluted share, after taking impairment charges against the carrying values of its Jacobina mine in Brazil and its Minera Florida mine in Chile.

Dundee Capital Markets said its first impression of the results was neutral, as fourth quarter production came in at 406,000 gold equivalent ounces, 1 percent higher than its estimate and up from 303,768 ounces the year before. Total cash costs of $608 an ounce were in line with Dundee's estimate.

Yamana also produced some 1.4 million gold equivalent ounces in 2014, achieving the lower end of its reduced guidance.

Dundee said 2015 guidance is mixed, with gold, silver and copper production of 1.30 million ounces, 9.6 million ounces and 120 million pounds, respectively, generally weaker than the broker's estimates. Total cash cost estimates were 16 percent higher than Dundee's, offset by a lower capital spending forecast of $465 million.

"In our view, operating asset capital spending represents an aggressive reduction relative to historical reported figures," Dundee wrote in its research note released earlier Thursday.

Shares of Yamana fell 1.4 percent to C$4.95 in Toronto as of 11:20am ET. Over the last year, the stock has declined over 54 percent.

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Thu, 12 Feb 2015 11:37:00 -0500 https://www.proactiveinvestors.com/companies/news/105480/yamana-gold-opts-to-build-cerro-moro-despite-surprising-q4-loss-59841.html
<![CDATA[News - Yamana to create spin-off to hold non-core Brazilian assets; impact “mixed”, Dundee says ]]> https://www.proactiveinvestors.com/companies/news/104628/yamana-to-create-spin-off-to-hold-non-core-brazilian-assets-impact-mixed-dundee-says-58720.html Yamana Gold (TSE:YRI), a Canadian producer of the metal, said it plans to carve out a new company comprising its less favoured mines in Brazil next year and will explore options for the unit in 2015. Shares advanced in TSX trading.

The new company, Brio Gold Inc., will initially be a fully owned subsidiary, the Toronto-based company said in a statement today.

Gil Clausen, the former chief executive officer of Augusta Resource Corp., which was recently acquired by HudBay Minerals (TSE:HBM), will lead Brio Gold.

Brio is expected to initially produce more than 130,000 ounces of gold annually from Fazenda Brasileiro and Pilar and could add about 100,000 ounces of annual gold production from C1 Santa Luz, which is being evaluated for development potential.

Yamana is also planning to sell part, or all, of its Agua Rica project in Argentina and has hired Credit Suisse Group AG to advise on the process.

Yamana is the latest gold producer to look at ways to hive off lower-quality mines and focus on its best assets following a slump in the price of the metal. Barrick Gold (TSE:ABX) and Newmont Mining (NYSE:NEM) have sold more than $2.5 billion of assets combined in the past 18 months.

Shares of Yamana were up 2 percent at C$5.01 at 1:29 p.m. in Toronto, paring this year’s slump to 45 percent.

Dundee Capital Markets, which maintains a “sell” recommendation on Yamana, described the impact of the non-core asset subsidiary creation as “mixed”.

“Lower margin Brio assets have limited capacity to carry debt,” analyst Josh Wolfson wrote in a research note to investors today. “In a spin-out situation, a pro-forma Yamana would generate lower EBITDA, while maintaining existing cumbersome net debt levels of $1.9 billion, resulting in weaker credit metrics.

“The ability for Yamana to divest or spin-out assets could also be limited by existing debt covenants.”

However, Worlfson said he believes the initial subsidiary creation is encouraging towards a future improvement at these assets.

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Wed, 10 Dec 2014 14:06:00 -0500 https://www.proactiveinvestors.com/companies/news/104628/yamana-to-create-spin-off-to-hold-non-core-brazilian-assets-impact-mixed-dundee-says-58720.html
<![CDATA[News - Yamana Gold hits new 52-week low on $1bln Q3 loss due to impairment charges, tax ]]> https://www.proactiveinvestors.com/companies/news/103922/yamana-gold-hits-new-52-week-low-on-1bln-q3-loss-due-to-impairment-charges-tax-57777.html Yamana Gold's (TSE:YRI) (NYSE:AUY) shares sunk to a new 52-week low on Thursday, a day after the gold miner swung to a third quarter loss on hefty impairment charges for three Brazilian mines and costs for new Chilean tax changes.

The Canadian gold miner, which has properties in Brazil, Argentina, Chile,  Mexico and Canada, recorded a $668.3 million impairment charge for its C1 Santa Luz, Ernesto/Pau-a-Pique and Pilar mines in Brazil, as well as non-cash charges of $329.5 million tied to newly enacted Chilean tax changes. It also took down a $17.9 million charge tied to reorganization and demobilization costs as a result of suspending C1 Santa Luz operations in the third quarter.

The company also cut production at its Pilar mine in October and had earlier reduced activity at its Ernesto/Pau-a-Pique mine on the back of falling metal prices. Yamana said it remains committed to its focus on value creation, even if that means producing fewer ounces, and continues to review all options to maximize value above current carrying values.

 Net loss for the three months to September 30 was $1.02 billion, or $1.17 per share, compared to net earnings of $43.4 million, or 6 cents per share, in the same period of 2013.

Excluding the one-time charges, adjusted loss was $12.5 million, or 1 cent per share, versus adjusted earnings of $69.5 million, or 9 cents per share, in the year-earlier quarter.

Revenue jumped to $501.2 million from $456.7 million on the back of higher production and sales volumes. It sold more gold and silver ounces than a year earlier, at 287,180 ounces of gold and 2.7 million ounces of silver, and a flat amount of copper at 35.7 million pounds.

Yamana said it produced 391,277 ounces of gold equivalent in the quarter, up from 306,935 ounces in the same period last year. All-in sustaining costs -- an industry-wide metric -- rose, however, to $807 an ounce from $730 an ounce. 

The average realized gold price in the third quarter declined 4 percent to $1,276 an ounce from $1,332 an ounce last year.

Earlier this year the company made its entry into Canada with the acquisition of the Canadian Malartic mine in Quebec, which contributed its first full quarter of production and achieved throughput over 58,000 tonnes per day in September.

Shares tumbled around 18 percent to a new 52-week low of C$5.09 in Toronto on Thursday, with the stock lately trading at C$5.14, down some 14.5 percent.

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Thu, 30 Oct 2014 11:52:00 -0400 https://www.proactiveinvestors.com/companies/news/103922/yamana-gold-hits-new-52-week-low-on-1bln-q3-loss-due-to-impairment-charges-tax-57777.html
<![CDATA[News - Yamana halts activities at C1 Santa Luz in Brazil ]]> https://www.proactiveinvestors.com/companies/news/103186/yamana-halts-activities-at-c1-santa-luz-in-brazil-56713.html Toronto-based Yamana Gold (TSE:YRI)(NYSE:AUY) fell on Wednesday after the company said that ramp up activities at its C1 Santa Luz project in Brazil have been temporarily suspended, and it will be putting the mine on care and maintenance.  

The project has been on a gradual process of ramp-up and evaluation over the past year in order to determine the viability of the asset in light of operational challenges and metal price declines.

During this time, Yamana has been working to improve recovery rates, which to date have been lower than initially set out, and has been dealing with significant carbon content in the ore that has suppressed gold recovery. But the Canadian gold miner has had no successful resolution as of yet, and as a result, activities have been suspended while it evaluates alternative metallurgical processes.

The company said its decision is in keeping with its priority to maximize cash flow, and protects the significant inventory of mineral resources that would otherwise be lost to tailings at the current recovery levels.

Yamana is working with staff, unions, contractors and levels of government to minimize the impact on local communities, according to the company's statement, and said it remains confident that C1 Santa Luz will eventually become a sustainable operation. It is aiming to complete its evaluation of other metallurgy options before the end of next year.

In the case of its Pilar project in Brazil, which was also put on review, the company has made improvements to reduce dilution and improve grades. Plant recoveries are at design levels, Yamana said, and gold output has increased month-over-month this year, with expectations this growth will continue. The project remains on track for commercial production before the end of 2014, with planned output of approximately 58,000 ounces for the full year. 

Also Wednesday, the company posted record monthly production in August of 137,000 gold equivalent ounces, saying its other operations, its cornerstone mines in particular, continue to meet or exceed expectations.

It said it will continue to assess its production forecast for the year given its C1 Santa Luz decision, which should "modestly affect" its output, if at all. Currently, its guidance for the year is for more than 1.42 million gold equivalent ounces, at all-in sustaining cash costs between $825 and $875 per ounce.

The company, which has properties in Brazil, Chile, Argentina, Mexico and Colombia, said its Cerro Moro project is expected to begin production in 2016.

Yamana shares fell to as low as $7.95 today, after closing at $8.04 on Tuesday. 

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Wed, 10 Sep 2014 13:31:00 -0400 https://www.proactiveinvestors.com/companies/news/103186/yamana-halts-activities-at-c1-santa-luz-in-brazil-56713.html
<![CDATA[News - Yamana Gold Q4 results miss; cuts dividend by 42% ]]> https://www.proactiveinvestors.com/companies/news/99954/yamana-gold-q4-results-miss-cuts-dividend-by-42-52168.html Yamana Gold (TSE:YRI) (NYSE:AUY) shares were hovering around flat on Wednesday, a day after the company announced it swung to a net loss in the fourth quarter as metal prices suffered, while also saying it has decided to cut its dividend by 42%. Gold production was also lower in the latest period.

For the three months to December 31, the Toronto-based gold miner, which has operations in Brazil, Argentina, Chile and Mexico, reported a net loss of $583.9 million, or 78 cents per share, compared with a net profit of $169.2 million, or 22 cents per share, a year earlier. 

The latest quarter included an impairment charge of $535.8 million, net of taxes. Adjusted earnings were $36.7 million, or 5 cents per share, down markedly from $197.4 million, or 26 cents per share, in the same period of 2012, missing analyst estimates. 

The company said the lower earnings were a result of reduced realized metal prices, lower volume of metal sales, as well as higher cash costs and an equity loss from its 12.5% interest in Alumbrera in Argentina. 

Revenues were down to $420.7 million from $629.5 million as the average realized price of gold in the fourth quarter fell to $1,277 an ounce, compared to $1,692 per ounce in the same quarter of 2012. The average realized price of copper, the miner's other chief commodity, declined 5% to $3.37 per pound, while the silver price dropped 33% to $20.63 an ounce.

Lower metal prices lowered total revenues for the fourth quarter by 58%, Yamana said.

Total production for the fourth quarter of 2013 was 303,768 gold equivalent ounces, a decrease of 6% from the fourth quarter of 2012, due to lower output from its Chapada, Jacobina, El Peñón, Minera Florida and Mercedes mines.

All-in sustaining costs for the period were $935 per gold equivalent ounce, on a co-product basis, slightly higher than the company's own guidance of $925 an ounce. 

For the year, Yamana produced 1.2 million gold equivalent ounces, a very slight drop from 2012, caused by 600,000 less of silver output. Total revenue for 2013 shed 21%, while cost of sales increased by nearly 10%. 

The Toronto-based company declared a first quarter 2014 dividend of 3.75 cents per share, representing an annualized dividend of 15 cents per share, down from the previous annual dividend of 26 cents per share. The decline comes as rapid changes in metal prices the past year have "significantly compressed margins", notwithstanding efforts to reduce costs. 

"Gold mining companies are in the business of monetizing gold production," said CEO Peter Marrone. 

"The payout to shareholders through dividends can be represented by ounces of gold sold and the margins at the time. If you look at the compression of margins that has occurred with the rapid decline in metal prices over the past year, the dividend payout of equivalent ounces from previous years would decline significantly. 

"When looking at current metal prices and margins, one can see that the same number of gold ounces providing a higher cash distribution before would have a lower cash value today. In setting our dividend, we took these issues into account."

Shares of Yamana were down by one penny on Wednesday afternoon, trading at C$11.51 in Toronto. So far this year, the stock has climbed over 25%. 

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Wed, 19 Feb 2014 13:29:00 -0500 https://www.proactiveinvestors.com/companies/news/99954/yamana-gold-q4-results-miss-cuts-dividend-by-42-52168.html
<![CDATA[News - Yamana Gold misses 2013 output guidance; says issues resolved ]]> https://www.proactiveinvestors.com/companies/news/99804/yamana-gold-misses-2013-output-guidance-says-issues-resolved-51946.html Yamana Gold (TSE:YRI)(NYSE:AUY) shares were higher on Monday, even as the gold producer reported full year production that fell short of forecasts on account of problems at new operations.

The Toronto-based company, with operations in Brazil, Mexico, Chile, and Argentina, announced last October that it could miss its 2013 outlook, but did not offer a revised forecast. 

Yamana said Monday that it had produced 1.2 million gold equivalent ounces in 2013, well below the 1.32 to 1.37 million ounce range the miner forecast last July. 

For 2014, the company has budgeted production of 1.4 million gold equivalent ounces, at all-in sustaining costs below $850 an ounce, on a by-product basis. 

The gold producer told investors that the shortfall in production last year is attributed entirely to challenges and delays at new operations, which it said were resolved by year end. 

"Significant production increases in 2014 will result from these new operations having completed their ramp-up through the end of last year," the company said in its release. 

"Production in January 2014 has met overall goals and specific goals by mine, which positions the company to meet its expectations of increases in production in 2014 over 2013 at contained levels for costs and be able to more reliably estimate its production and costs going forward."

Preliminary all-in sustaining cash costs for the full year 2013 were approximately $814 per gold equivalent ounce, on a by-product basis. The company said it continues to focus on balancing between costs and production, as well as margin preservation and the protection of cash flow amid an uncertain environment for commodities. 

In last year's second quarter, like several of its peers in the industry, Yamana implented a cost savings program after the sharp decline in the price of gold. It said cash flow expectations for the fourth quarter should be above levels in the second quarter, when its cost savings and containment program was initiated.

The company said that as it enters a new phase of growth from projects in its pipeline, it will be recruiting more support in its technical services department.

Yamana is slated to release its fourth quarter and full year results after market close on February 18. Shares of the gold miner were up 3.3% in Toronto on Monday, at C$10.44 as of 9:33am ET, stretching year-to-date gains to over 13%. 

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Mon, 10 Feb 2014 10:03:00 -0500 https://www.proactiveinvestors.com/companies/news/99804/yamana-gold-misses-2013-output-guidance-says-issues-resolved-51946.html
<![CDATA[News - Yamana Gold quarterly figures down; lower metals prices to blame, cost-cutting to come ]]> https://www.proactiveinvestors.com/companies/news/94660/yamana-gold-quarterly-figures-down-lower-metals-prices-to-blame-cost-cutting-to-come-43362.html Yamana Gold (TSE:YRI) (NYSE:AUY) (LON:YAU) is the most recent precious metals producer announcing a program of cost-cutting measures as the gold producer released first quarter results down on the back of lower metals prices.

Adjusted earnings for the three months ending March 31 came in at $117.0 million or 16 cents per share compared to the $184.3 million or 25 cents per share recorded for the same quarter a year ago.

The Toronto-based company reported revenue of $534.9 million, down 4 per cent on the year-ago figure of $559.7 million.

The figures came in lower than analyst expectations, which forecast earnings of 19 cents per share on revenue of $572.35 million.

Earnings from mine operations came in at $208.0 million, compared to the $280.1 million reported for the first quarter of 2012, a drop the company attributes to lower metal prices offset by higher volume of metal sales combined with cost inflation.

While production of 291,312 gold equivalent ounces marked an increase of 4 per cent from the 278,832 ounces recorded for the same period a year ago, lower net earnings were attributed by the company principally to lower realized commodity prices, although inflationary costs and lower equity earnings from the company's 12.5 per cent interest in Alumbrera were also cited.

The company reported the average realized gold price in the first quarter of this year was $1,620 per ounce, compared to the $1,696 per ounce recorded a year earlier. The corresponding figures for copper were $3.58 per pound for the most recent quarter against $3.73 per pound in the year-ago period, while the average realized silver price of $29.81 per ounce was down on the $32.94 per ounce recorded in the first quarter of 2012.

The company also announced a program of cost cutting in the statement released with the quarterly results that would see the price of gold extraction drop by $150 an ounce by year’s end to reclaim some of the lost margin ceded to falling metals prices.

"We were able to deliver increased production compared to the first quarter last year while generating comparable cash flow despite lower metal prices. As in previous years, we expect sequential quarter-over-quarter increases in production and decreases in costs in 2013. This should give us another year in a trend of increasing cash flows," said chairman and chief executive officer, Peter Marrone.

"With the recent decline in metals prices, we are further evaluating our operations with the aim to actively bring down costs, preserve margin and maximize profitability."

Stock in the company was trading down on the news, falling on the TSX to an intra-day low of $11.16, the lowest point in the last 52 weeks.

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Wed, 01 May 2013 10:32:00 -0400 https://www.proactiveinvestors.com/companies/news/94660/yamana-gold-quarterly-figures-down-lower-metals-prices-to-blame-cost-cutting-to-come-43362.html
<![CDATA[News - Analyst expectations of Yamana Gold are modest heading into Q1 results ]]> https://www.proactiveinvestors.com/companies/news/94648/analyst-expectations-of-yamana-gold-are-modest-heading-into-q1-results--43335.html  

Investors may be looking for hope Yamana Gold (TSE:YRI) can counter disappointing bullion prices when the producer reports first quarter earnings after the bell. 

After a steady climb to a peak in 2012, Yamana's stock has fizzled this year, due in large part to gold's steepest two-day drop in 30 years earlier this month.

The analyst consensus is a net profit of 19 cents per share, which would represent a 24 per cent drop from its profit a year ago. Expectations have grown increasingly modest from three months ago, when analysts predicted earnings of 27 cents per share.

Analysts forecast revenue of $570.8 million, which would be a two per cent drop from last year. 

 

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Tue, 30 Apr 2013 15:13:00 -0400 https://www.proactiveinvestors.com/companies/news/94648/analyst-expectations-of-yamana-gold-are-modest-heading-into-q1-results--43335.html
<![CDATA[News - Yamana Gold salutes record year ]]> https://www.proactiveinvestors.com/companies/news/93176/yamana-gold-salutes-record-year-40848.html Yamana Gold (NYSE: AUY, TSE:YRI, LON:YAU) hailed record revenues and mine operating earnings on the back of increased production in 2012.

Fourth quarter revenue for the American gold, silver and copper producer of US$629.5mln was also a record, and took full year revenue up 11% to US$2.3bn from US$2.2bn.

Adjusted fourth quarter post-tax earnings came in at US$197.4mln, equivalent to 26 cents a share, a slight improvement on the 25 cents a share achieved a year earlier.

The average realised gold price per ounce in the fourth quarter of 2012 was US$1,692, up from $1,670 an ounce in the fourth quarter of 2011.

For the year as a whole, the average realised price was US$1,670 an ounce, up from US$1,567 an ounce in 2011.

The average realised silver price per ounce in the fourth quarter of 2012 was US$31.37, up from $31.29 an ounce in the fourth quarter of 2011.

For all of 2012, the average realised price was US$30.46 an ounce, up from US$35.19 an ounce in 2011.

"For 2012, we achieved record annual production, partially as a result of the first full year of production at Mercedes, expanded our mineral reserves, expanded our mineral resources most notably through the addition of Cerro Moro, and delivered strong financial results on behalf of shareholders," said company CEO, Peter Marrone.

Shares in Yamana were up 2.6% to 957.1p in early trading.

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Thu, 21 Feb 2013 06:47:00 -0500 https://www.proactiveinvestors.com/companies/news/93176/yamana-gold-salutes-record-year-40848.html
<![CDATA[News - Yamana boosts mineral resources at Cerro Moro by 44%, plans 2016 start up ]]> https://www.proactiveinvestors.com/companies/news/93033/yamana-boosts-mineral-resources-at-cerro-moro-by-44-plans-2016-start-up-40568.html  

South America-focused Yamana Gold (NYSE:AUY) (TSE:YRI) on Wednesday announced a 44-per-cent increase in mineral resources at its  Cerro Moro gold project in Santa Cruz, Argentina, and pointed to a potential start up in 2016.

The development stage project, acquired in mid-2012, has an initial indicated mineral resource of 1.95 million gold equivalent ounces and an inferred mineral resource of 490,000 gold equivalent ounces.

The company said this is a 44-per-cent increase from the previous estimate, before it acquired the project.

"Our objective is to produce high quality ounces with comparatively low costs to achieve growth in both production per share and cash flow per share,” said chairman and CEO Peter Marrone.

“With our initial mineral resource at Cerro Moro, along with the initial operation plan and exploration potential, we are confident that this asset will contribute positively to that objective.”

Yamana said it is now starting pre-development work that will lead to a feasibility study, as it works toward a planned construction decision expected in 2014 and a potential start-up in 2016.

Cerro Moro is being evaluated as a combined open pit-underground operation with 1,000 tonnes per day (tpd) throughput – 70 per cent from underground and 30 per cent from open pit – with average annual production of about 200,000 gold equivalent ounces.

Yamana said it has initiated a further exploration plan in 2013, with one drill hole last month intercepting three separate vein zones - two of which occur at mineable widths with the potential for “significant gold equivalent grades”.

The company is expecting to spend $12 million in 2013 on exploration to execute the 25,000 metres of drilling with the goal of expanding the areas of mineralization to the La Negrita block and to add significantly to the mineral resource base.

Initial capital costs at Cerro Moro are expected to be below $400 million and operating costs are expected to be below $450 per ounce, the company said.

Yamana has gold production, gold development stage properties, exploration properties, and land positions in Brazil, Argentina, Chile, Mexico and Colombia. 

Shares of the company edged 0.13-per-cent lower as at about 1:40 p.m. EDT, trading at $15.94.

 

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Wed, 13 Feb 2013 13:41:00 -0500 https://www.proactiveinvestors.com/companies/news/93033/yamana-boosts-mineral-resources-at-cerro-moro-by-44-plans-2016-start-up-40568.html
<![CDATA[News - Yamana Gold Q2 profits slump 77% ]]> https://www.proactiveinvestors.com/companies/news/88524/yamana-gold-q2-profits-slump-77-33043.html South America-focused Yamana Gold's (NYSE:AUY)(TSE:YRI) second-quarter profit slumped 77 per cent amid lower metal prices and reduced volume for copper concentrate sales.

Shares slipped 1.47 per cent declining to $14.77 each on the New York Stock Exchange.

Net income was $43 million, or six cents per share, compared with the $195 million profit, or 26 cents per share.

Excluding one-time items, the company said adjusted profit was 18 cents per share, versus 25 cents a share.

Revenue came in at $536 million, down from $573 million, as lower metal prices and reduced volume of copper concentrate sales crimped results. The company said the decline was offset by increased sales of gold contributed by the Mercedes mine, which was under construction a year-ago.

Total gold production was 288,700 ounces compared to 278,737 ounces, while total copper production slipped to 40.4 million pounds, down from 70.7 million pounds.

The company sold 268,441 gold equivalent ounces, up from 261,926 ounces a year-prior. Copper sales fell to 37.4 million pounds from 41.6 million pounds.

Average gold prices came in at $1,605 per ounce, up from $1,509 per ounce, while copper prices were down $3.60 per pound from $4.22, a year-ago.

Cash flow amounted to $241 million in the quarter, compared with the year-prior figure of $331 million. The decline stemmed from lower earnings.

During the quarter, the company drilled 7,300 metres in 39 holes at Gualcamayo, Argentina. The drilling focused on extending the Rodado breccias to the north.

Looking ahead, production for fiscal 2012 is slated to be about 1.2 to 1.3 million gold equivalent ounces, most of which will come from Mercedes as production ramps up.  

For fiscal 2013, production is also expected to be around 1.5 to 1.7 million gold equivalent ounces, most of which will come from full-year production from C1 Santa Luz and Ernesto Pau-a-Pique.

The Canadian-based gold producer owns gold mines, gold development stage properties, exploration properties and land positions in Brazil, Argentina, Chile, Mexico and Colombia.

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Thu, 09 Aug 2012 09:36:00 -0400 https://www.proactiveinvestors.com/companies/news/88524/yamana-gold-q2-profits-slump-77-33043.html
<![CDATA[News - Xstrata Copper, Goldcorp and Yamana agree Agua Rica copper-gold project deal ]]> https://www.proactiveinvestors.com/companies/news/79516/xstrata-copper-goldcorp-and-yamana-agree-agua-rica-copper-gold-project-deal-17846.html Xstrata Copper (LON:XTA), Goldcorp (TSE:G) (NYSE:GG) and Yamana Gold (LON:YAU) (TSE:YRI) (NYSE:AUY) announced today they have reached a definitive agreement providing their Minera Alumbrera joint venture with the exclusive option to acquire Yamana's 100% interest in the Agua Rica copper-gold project in Argentina.

Agua Rica is located approximately 35 kilometres from the trio’s copper-gold Alumbrera mine in north-west Argentina's Catamarca province. It is currently at feasibility stage, but preliminary analysis by Minera Alumbrera suggests it has potential to produce around 250,000 tonnes of copper and 140,000 ounces of gold per annum for the first five years; and an annual average of 150,000 tonnes of copper and 130,000 ounces of gold, together with associated molybdenum production, over a 26-year mine life.

Minera Alumbrera is a joint venture operation between Xstrata Copper (manager and 50% owner), Goldcorp (37.5% owner) and Yamana (12.5% owner) that currently operates the Alumbrera mine.

Under the terms of the agreement, Minera Alumbrera now holds an exclusive four-year option to acquire Yamana's interest in the Agua Rica project for cumulative payments made by Goldcorp and Xstrata Copper of US$110 million.

During the option period, Minera Alumbrera will manage the Agua Rica project and fund a feasibility study and all development costs.

As required, Goldcorp and Xstrata Copper have made a payment of $20 million to Yamana on execution of the definitive agreements, in addition to the US$10 million paid previously.

Minera Alumbrera can elect to exercise the option at any time during the four-year period.  If the deal proceeds, Yamana would receive US$150 million and a further US$50 million on commencement of commercial production in addition to the remaining option payments of US$80 million, all as previously disclosed.

Yamana would also retain the right to a deferred payment related to 65% of the payable gold production from Agua Rica to a maximum of 2.3 million ounces.

Subject to a positive feasibility study, the option being exercised, and all necessary corporate and government approvals, a construction decision for Agua Rica is expected to follow, with work potentially starting in 2013.

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Thu, 01 Sep 2011 11:22:00 -0400 https://www.proactiveinvestors.com/companies/news/79516/xstrata-copper-goldcorp-and-yamana-agree-agua-rica-copper-gold-project-deal-17846.html
<![CDATA[News - Goldcorp, Xstrata, Yamana Gold enters agreement for Agua Rica project ]]> https://www.proactiveinvestors.com/companies/news/76581/goldcorp-xstrata-yamana-gold-enters-agreement-for-agua-rica-project-12814.html Goldcorp (TSE:G, NYSE:GG) said Tuesday that it has entered into a letter of intent with Xstrata (LON:XTA) and Yamana Gold (TSE:YRI) under which their joint venture operation, Minera Alumbrera Limited Sucursal (MAA), will have an option to acquire Yamana's Agua Rica project.


MAA is a 50% owned by Xstrata, 37.5% owned by Goldcorp, with the rest is owned by Yamana. The joint venture currently operates the Alumbrera mine in Argentina. Yamana's Agua Rica project is located 35 km southeast of the Alumbrera mine.


Under the letter of intent, MAA will be granted an exclusive four-year option to acquire Yamana's interest in the Agua Rica project for up to $110 million of option payments from Goldcorp and Xstrata. 


Goldcorp will finance 42.86% of the option payments while Xstrata will finance the rest. 


If Goldcorp and Xstrata exercises the option and construction of the Agua Rica project receives approval, Yamana would receive $150 million and on commissioning, an additional $50 million.  Yamana also has the right to a payment for 65% of the payable gold production from Agua Rica up to a maximum of 2.3 million ounces.


During the option period, MAA will manage the Agua Rica project as well as fund all the development costs and a feasibility study. 


The ownership interests in MAA would remain unchanged and apply to the Agua Rica project.


The deal remains subject to a binding agreement.

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Tue, 08 Mar 2011 14:22:00 -0500 https://www.proactiveinvestors.com/companies/news/76581/goldcorp-xstrata-yamana-gold-enters-agreement-for-agua-rica-project-12814.html
<![CDATA[News - Yamana Gold reports 78% increase in net income of $170 million in first half ]]> https://www.proactiveinvestors.com/companies/news/73630/yamana-gold-reports-78-increase-in-net-income-of-170-million-in-first-half-7409.html By Dorothy Kosich, Mineweb.com

Yamana Gold announced Wednesday it has made construction decisions to develop the underground orebody at its Gualcamayo mine in Argentina and to develop the Pilar project in Goias, Brazil into a gold mine.

In a statement, Yamana CEO Peter Marrone said the supplement production at Gualcamayo, along with the development of Pilar "provides us with our next stage of growth into 2013 which will be beyond our initial production target of 1.5 million gold equivalent ounces."

Total proven and probable reserves at Gualcamayo are 2,479,498 gold ounces with total measured and indicated resources inclusive of mineral reserves of 3,510,418 ounces.

Current mineral reserves and minerals resources for the Jordino deposit at Pilar increased 32% since the end of last year. Proven and probable mineral reserves are 1,144,894 ounces of gold while measured and indicated resources are believed to be 1,215,846 ounces.

Meanwhile, Yamana also reported total production of 253,264 gold equivalent ounces (gold and silver production  of 208,399 ozs and 2.5mn ozs respectively)  for the second quarter of this year and 493,100 GEO ( gold production of 399,062 ozs and silver production of 5.2mn ozs) for the first six months of this year. Production for the first half of the year increased 6% over the same period of 2009.

Chapada copper production was 37 million pounds during the second quarter and 66.7 million pounds for the first half of this year.

Yamana said annual production this year is expected to be in line with guidance. The company had previously provided production guidance in the range of 1.03 million GEO to 1.145 million GEO this year.

FINANCIALS

Yamana reported net earnings of $90.79 million or 12-cents per share for the second-quarter 2010, up from $9.64 million or one-cent per share during the second quarter of 2009.

Adjusted net earnings were reported at $85.82 million or 12-cents per share during the second quarter, down from $95.81 million and one-cent per share in adjusted net earnings for the second-quarter 2009.

For the first six months of this year, Yamana reported net earnings of $170.3 million or 23-cents per share, up 78% from $95.63 million or 13-cents/sh for the first half of 2009.

Adjusted net earnings for the first half of the year were reported at $159.02 million or 22-cents per share, down slightly from $160.07 million or 13-cents per share in adjusted net earnings reported for the first half of 2009.

Capital expenditures for this year are expected to be $550 million, due to the accelerated development of the Mercedes project in Mexico and increasing exploration expenditures mostly for Mercedes and Gualcamayo.

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Fri, 06 Aug 2010 01:29:00 -0400 https://www.proactiveinvestors.com/companies/news/73630/yamana-gold-reports-78-increase-in-net-income-of-170-million-in-first-half-7409.html
<![CDATA[News - Yamana Gold maintains guidance, boosts dividend by 50% ]]> https://www.proactiveinvestors.com/companies/news/72850/yamana-gold-maintains-guidance-boosts-dividend-by-50-5753.html By Dorothy Kosich, Mineweb.com

Yamana Gold reported a drop in both production and net earnings during the first quarter of this year.

The Toronto-based gold miner reported production of 239,838 gold equivalent ounces during the first quarter, down from 271,482 GEO reported during the first quarter of 2009.

Meanwhile net earnings dropped from $86 million or 12-cents per share for the first-quarter 2009 to $79.5 million or 11-cents per share for the first quarter of this year. Adjusted net earnings were $73.2 million or 10-cents/sh.

Total production from continuing operations during the first-quarter 2010 was 239,838 GEO, comprised of 190,666 ounces of gold and 2.7 million ounces of silver.  Production is on track to achieve an annual guidance of 1,030,000 to 1,145,000 GEO this year. 

Copper production for the first quarter was reported to be 41.5 million pounds, down from 45.2 million pounds in the first-quarter 2009. Copper production is expected to be in excess of 150 million pounds in 2010, consistent with previous guidance.

Capital expenditures are expected to be $515 million for 2010 and $455 million for 2011. The majority of the expansionary capital costs are allocated to the development of growth projects, C1 Santa Luz in Brazil, Mercedes in Chile, the Minera Florida tailings project in Chile and Ernesto/Pau-a-Pique in Brazil, all of which are expected to begin production in 2012.

In a statement, Yamana CEO Peter Marrone said, "We have three development stage projects now in progress, two optimization strategies being evaluated, an exploration program which is expected to deliver strong results this year and further cash flow growth anticipated in 2010. 2010 is expected to be a significant year of achievement for Yamana."

Exploration expenditures are expected to be $80 million this year. Yamana's exploration program will focus on increasing mineral reserves and mineral resources while continuing with the near-mine exploration program.

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Wed, 05 May 2010 13:02:00 -0400 https://www.proactiveinvestors.com/companies/news/72850/yamana-gold-maintains-guidance-boosts-dividend-by-50-5753.html
<![CDATA[News - Yamana Gold total production clears 1 milllion gold equivalent ounces in 2009 ]]> https://www.proactiveinvestors.com/companies/news/72314/yamana-gold-total-production-clears-1-milllion-gold-equivalent-ounces-in-2009-4601.html By Dorothy Kosich, Mineweb.com

Yamana Gold (NYSE: AUY, TSE:YRI, LON:YAU) announced commercial gold production of 790,435 ounces and silver production of 10.5 million ounces in 2009, or 1,025,677 Gold Equivalent Ounces (GEO) and 137.4 million pounds of copper, up from 982,897 GEO reported in 2008.

Commercial production from its new Gualcamayo gold mine in the San Juan Province of Argentina exceeded expectations with 143,471 ounces of gold reported last year. Commercial production was declared effective July 1, 2009.

During 2010, production from continuing operations is expected to be in the range of 1,030,000 to 1,145,000 GEO, which would be an overall increase of up to 12% from last year.  Copper production is expected to be in the range of 150 million to 160 million pounds this year.

Growth is expected to ramp up in 2013 to 1.3 million GEO as four projects-C1 Santa Luz, Mercedes, the Minera Florida tailings project and Ernesto/Pau-a-Pique-begin production.

Proven and probable mineral reserves as of December 31, 2009, were 17.6 million contained gold ounces, 162 million ounces of contained silver and 11.2 billion pounds of contained copper.  Measured and Indicated Resources were reported at 12,950,000 contained ounces of gold, 59,694,000 contained silver ounces and 3.67 billion pounds of copper.

Yamana has budgeted $75 million to $80 million for exploration this year.  In a new release, the company says it "anticipates a substantial increase in mineral resources in 2010 as new mineral resource estimates are completed, including Salmanca, Caimar and Suruca."

On July 17, 2009, the company entered into an agreement to sell three non-core operating mines for a combination of cash, shares, notes and deferred payment for a total consideration of $265 million.

FINANCIAL

For 2009 Yamana reported net earnings of $192.6 million or 26-cents per share, compared to net earnings of $434.8 million or 63-cents/sh for 2008.

For the fourth-quarter 2009, Yamana reported net earnings of $36.2 million or 5-cents per share down from $179.4 million or 26-cents/sh in the fourth-quarter 2008.

Capital expenditures are expected to be $515 million this year.

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Thu, 04 Mar 2010 14:19:00 -0500 https://www.proactiveinvestors.com/companies/news/72314/yamana-gold-total-production-clears-1-milllion-gold-equivalent-ounces-in-2009-4601.html
<![CDATA[News - Yamana Gold green lights Ernesto/Pau-a-pique gold mine development in Brazil ]]> https://www.proactiveinvestors.com/companies/news/72023/yamana-gold-green-lights-ernestopau-a-pique-gold-mine-development-in-brazil-3888.html Yamana Gold (TSX: YRI; NYSE: AUY; LSE: YAU) confirmed this morning that it would commence construction on its Ernesto/Pau-a-pique project (“Ernesto/Pau”) in Brazil by mid 2010 with first production expected to start in late 2012. 

Enresto/Pau currently hosts a mineral reserve of 710,000 ounces of gold, but Yamana Gold stated today that is expected the project to deliver additional ounces in the proven and probable categories as drilling continued down dip.  The initial mine life will be seven years.
“The Company continues to progress more detailed engineering and an exploration tunnel to facilitate drilling in deeper areas where there are further resources,” the company reported, “Yamana also continues to conduct pilot tests on metallurgy and recoveries.”

Enresto/Pau is a relatively modest undertaking for Yamana Gold with a capital cost of US$116 million to develop a 1 million tonnes per annum underground mine that will produce at a rate of approximately 100,000 ounces per annum.  The cash cost per ounce is expected to be in the region of $427, with an post-tax internal rate of return of 31% (based on $900/ounce gold).
“Ernesto/Pau-a-pique represents a modest cost, low capital and high return project contributing 8 to 10% to overall production. Significant potential for mineral resource upgrade serves as a platform for further exploration at the Guapore belt where Yamana has extensive exploration concessions.”

Yamana also updated investors on the Agua Rica project in Argentina, a large, low grade copper-gold-silver-molybdenum porphyry deposit where the company initially completed a feasibility study in 2006. Yamana is currently updating and optimizing the original study.  The company reported a number of advances, including a new plan to cut overburden, the replacement of a proposed slurry pipeline with trucking to an existing railway, and the application of a thickening paste in tailings.  Yamana’s original feasibility study was also based on considerably lower metals prices, notably $1.05/lb copper and $425/ounce gold, which were being re-examined to take into account much higher prices for both gold and copper, not to mention silver and molybdenum.  Agua Rica hosts a measured resource of 64.1 million tonnes averaging 0.49% copper and 0.17 grams per tonne (g/t) gold, plus a further 248 million tonnes averaging 0.4% copper and 0.16 g/t gold in the indicated category and 651 million tonnes averaging 0.34% copper and 0.12 g/t gold.

"In 2009, we undertook a review of Agua Rica and Yamana is now able to further embrace this project as a potential significant future contributor to production,” said Peter Marrone, Yamana's Chairman and CEO, “Our review of Agua Rica also demonstrates that the project should provide considerable value. We are now undertaking additional optimization initiatives, providing the potential for substantial additional upside to the project."

Yamana expects Agua Rica to produce 12.5 million tonnes of copper-gold concentrate and 357,750 tonnes of molybdenum concentrate over 26.5 years.

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Tue, 26 Jan 2010 14:01:00 -0500 https://www.proactiveinvestors.com/companies/news/72023/yamana-gold-green-lights-ernestopau-a-pique-gold-mine-development-in-brazil-3888.html
<![CDATA[News - Shares in Yamana Gold under pressure after production guidance dissapoints ]]> https://www.proactiveinvestors.com/companies/news/71914/shares-in-yamana-gold-under-pressure-after-production-guidance-dissapoints-3618.html By Dorothy Kosich, Mineweb.com

Yamana Gold (LSE: YAU, NYSE: AUY, TSX: YRI) Tuesday forecast production in the range of 1,030,000 to 1,145,000 gold equivalent ounces this year and 1,045,000 to 1,150,000 GEO in 2011.

For 2009, Yamana reported 1,201,200 ounces of GEO production of which 1,026,000 GEO was from continuing operations.

In a news release, Yamana CEO Peter Marrone said, "Our objective has been to create consistency and reliability in our operations with a sustainable production platform of approximately 1.1 million gold equivalent ounces at consistent cash costs. Our outlook for the next few years maintains that objective."

Yamana also predicted it would produce from 150 million to 160 million ounces of copper this year from its Chapada copper-gold operations in Brazil. The company forecast copper production ranging from 135 million to 145 million in 2011.

By-product cash costs from continuing mining operations except from Alumbrera are expected to be below $200 per GEO in both years, Co-product cash costs from operations excluding Alumbrera are expected to be in the range of $360 to $400 per GEO in 2010 and $370 to $400 per GEO in 2011. Copper co-product cash costs per pound at Chapada are expected to range from $1 to $1.10 this year and $1.10 to $1.20 in 2011.

Capital expenditures for 2010 and 2011 are expected to be, respectively, approximately $515 million and $455 million. This includes sustaining capex of $230 million in this year, which includes the purchase of machinery and equipment as Yamana transitions to owner-mining in El Peñon in Chile.

The majority of expansionary capital costs for the two years are allocated to the development of Yamana's growth projects including C1 Santa Luz in Brazil, Mercedes in Mexico, the Minera Florida tailings project in Chile and Ernesto/Pau-a-pique also in Brazil, all of which are expected to begin production in 2012. Thanks to $600 million of available cash and immediate and undrawn credit available, Yamana said it is fully funded for its growth.

Yamana's 2010 exploration program is budgeted between $75 million to $80 million and is focused on increasing mineral reserves and resources while continuing with near-mine exploration and its efforts to look for new opportunities and on-the-ground purchases in the Americas.

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Wed, 13 Jan 2010 08:28:00 -0500 https://www.proactiveinvestors.com/companies/news/71914/shares-in-yamana-gold-under-pressure-after-production-guidance-dissapoints-3618.html
<![CDATA[News - Yamana Gold gains funding for next growth phase with increased US$680m credit facility and US$270m debt offering ]]> https://www.proactiveinvestors.com/companies/news/71753/yamana-gold-gains-funding-for-next-growth-phase-with-increased-us680m-credit-facility-and-us270m-debt-offering-3347.html Canada based major gold miner Yamana Gold (TSX: YRI; NYSE: AUY; LSE: YAU) revealed a significant credit increase which will be used to progress its next growth phase. The company increased its revolving credit facility to US$680 million from US$500 million and also closed a US$270 million debt offering.

"The new credit facility provides Yamana with additional funding and flexibility to execute on its next growth phase and reduces overall debt exposure”, Yamana CFO Charles Main said, "The fixing of the interest rate on the notes and extending out of our maturities, while maintaining our conservative leverage, are additional benefits of these transactions."

The credit facility is being provided through an international banking syndicate, and was arranged by Scotia Bank and RBS Securities. Bank of America Merrill Lynch and RBS arranged the private term debt offering. Yamana has issued unsecured fixed coupon notes with a weighted average maturity of approximately 9 years and coupon of 6.75%. Some of the proceeds will repay existing term loans and reduce outstanding amounts under its revolving line of credit.

As a result Yamana has available cash and immediate and undrawn credit in excess of US$500 million.

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Tue, 22 Dec 2009 14:37:00 -0500 https://www.proactiveinvestors.com/companies/news/71753/yamana-gold-gains-funding-for-next-growth-phase-with-increased-us680m-credit-facility-and-us270m-debt-offering-3347.html
<![CDATA[News - Yamana still finding more high-grade gold mineralization at Mercedes in Mexico ]]> https://www.proactiveinvestors.com/companies/news/71009/yamana-still-finding-more-high-grade-gold-mineralization-at-mercedes-in-mexico-2391.html Yamana Gold Inc (TSX: YRI; NYSE: AUY; LSE: YAU) said it is continuing to intersect high-grade gold mineralization at the Mercedes gold and silver project in Mexico and is currently working on a number of optimization initiatives that could have a material positive impact on Agua Rica in Argentina, a project which has copper, gold, silver and molybdenum deposits.

Drilling continued at Mercedes, focusing primarily on the central and northern portions of the Las Barrancas Trend, the Northwest Extension at Mercedes, and the Lupita vein zone.  Drilling in the year to date totaled 28,201 metres in 79 core holes.

At Las Barrancas, gold values in excess of 2.0 grams per ton gold equivalent - the current cut-off - have been intersected along most of a 900 metre strike length, and drilling continues to intersect certain zones of high-grade gold mineralization, up to 16.0 g/t gold equivalent over a true width of 5 metres.

Drill results at Barrancas are encouraging as assays have confirmed the presence of additional high-grade gold mineralization around the drill holes reported in June 2009, Yamana said. Additional drilling to define ore shoots will be undertaken to confirm continuity of the high grade mineralization. A 3D model of geology and mineralization is expected to be completed by year-end.

Initial 2009 drilling at Lupita confirmed the presence of over 2.0 g/t gold equivalent gold mineralization along portions of a 600 metre strike length of the Lupita vein zone. Gold mineralization extends as much as 360 metres down-dip of surface outcrops and is open at depth.

Significant drill results since the last update provided in the company's June 2009 announcement include a 3.01 metres intersection of 15.17 g/t of gold and 5.55 metres grading 2.59 g/t gold.

Drilling at Lupita has significantly expanded the potential within the vein zone, by demonstrating the presence of locally high-grade gold at greater depths within the vein zone. The drilling program is being expanded to in-fill and step-out around current drill holes. The Lupita vein will be the primary focus of drilling for the balance of September and into October of this year, the company said.
 
While additional drilling and other exploration efforts are ongoing, these results continue to demonstrate the potential for mineral resource expansion at Mercedes well beyond the current mineral resources. The company target remains a mine life in excess of ten years and these results support this goal.

Yamana continues to focus on increasing the value of its Agua Rica project in the province of Catamarca in Argentina. Agua Rica is a large scale porphyry deposit with defined copper, gold, silver and molybdenum content with rhenium also present.

Based on a 2006 feasibility study update, Agua Rica is expected to produce approximately 33 million tonnes of ore per year, resulting in average annual production of approximately 365 million pounds of copper, 135,000 ounces of gold and 15 million pounds of molybdenum.

Potential sources of upside for Agua Rica include increasing the mineral reserve base and/or the metal price which would increase contained metal in mineral reserves would more than 20 percent as well as recovering the very rare metal rhenium and other metals not originally assumed in the feasibility study.

Yamana is also evaluating alternative concentrate logistics, including using only rail or trucking concentrate instead of using pipeline and rail.

The Company continues to advance the permitting process for Agua Rica and has started to  evaluate potential strategic partners for the projects’s development.

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Mon, 14 Sep 2009 16:08:00 -0400 https://www.proactiveinvestors.com/companies/news/71009/yamana-still-finding-more-high-grade-gold-mineralization-at-mercedes-in-mexico-2391.html
<![CDATA[News - Yamana Gold updates on development projects ]]> https://www.proactiveinvestors.com/companies/news/70488/yamana-gold-updates-on-development-projects-1692.html Yamana Gold Inc (TSX: YRI; NYSE: AUY; LSE: YAU) issued an update on its development and near development stage projects.

It is continuing to advance the Mercedes gold and silver project in Mexico, targeting 30,000 metres of drilling in 2009, with a budget of approximately US$4 million and the principal goal of extending the mine life. It expects to make a decision on mine construction in the first quarter of 2010.

Additional drilling at both Las Barrancas and Lupita zones at Mercedes is planned to define potential high grade ore shoots. Mercedes continues to show a high geological potential given the size of the property and the results of geological and geophysical studies to date, which support a feasibility study.

Drilling at the Pilar gold project in Brazil to date prompted Yamana to say the project is rapidly developing into a defined resource for feasibility. It believes Pilar is highly prospective and is an important near development stage project for the company with the potential to be accelerated. A feasibility study and construction decision is expected in the first quarter of 2010.

At Minera Florida, gold, silver and zinc producing mine in Chile, exploration efforts have focused on the delineation of the newly discovered Centenario and Polvorin deposits. Both have been traced along strike lengths of approximately 400 metres and are open to depth and along strike. Both contain higher grades than the current mine grades. Drilling will continue through the third quarter and a resource estimate for these new targets is expected to be completed in the fourth quarter of 2009.
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Wed, 17 Jun 2009 14:53:00 -0400 https://www.proactiveinvestors.com/companies/news/70488/yamana-gold-updates-on-development-projects-1692.html
<![CDATA[News - Yamana Gold reports exceptional first quarter results, costs continue to decline ]]> https://www.proactiveinvestors.com/companies/news/70291/yamana-gold-reports-exceptional-first-quarter-results-costs-continue-to-decline--1428.html Yamana Gold Inc (TSX: YRI; NYSE: AUY; LSE: YAU) reported what it called “exceptional results” for the first quarter to March 31 2009 across all key measures.

Production was in line with previous guidance, and costs were in line with expectations and continued to decline.

Revenues were US$224.3 million, for which the group did not provide a comparison, and net profit rose 33 percent from the previous first quarter to US$86.0 million.

Total production for the first quarter of 2009 was 271,482 gold equivalent ounces, which was at the bottom of the forecast range of 290,000 geoz plus or minus 7 percent.

Production increased month over month with March production of 95,773 geoz, confirming the expected ramp up in production anticipated for the remainder of the year. Cash costs for the first quarter 2009 were US$379 per geoz, confirming the expected downward trend.

Yamana believes further improvements in costs may be realized over time.

Chairman and CEO Peter Marrone said: “Gualcamayo (in Argentina) and Sao Vicente (in Brazil) are advancing towards commercial production. We experienced significant advancements in our development and near development stage projects during the quarter, further supporting our growth plan and complementing our significant increase in resources at the end of 2008 and strong growth across all key measures."

Production at Chapada, Brazil, increased during the first quarter of 2009 to 38,552 ounces of gold mainly due to higher tonnage of ore mined and processed. Yamana continued with the planned expansion to 20 million tonnes per year with completion expected by the third quarter of 2009.

El Penon in Chile produced 84,351 geoz during the first quarter, compared with 97,873 and 97,944 in the first quarter and fourth quarter of 2008, respectively, mainly due to grade variation, which reversed by the end of the first quarter.  Gold and silver grades are expected to increase in the second half of  the year. Yamana has previously guided that El Penon is expected to produce most of its gold equivalent ounces in the second half of 2009.

First quarter production at Jacobina in Brazil reached record levels and exceeded expectations totaling 27,078 ounces of gold.  Costs also continue to show improvement quarter over quarter declining to US$400 per oz of gold, a decrease of 30 percent from
the fourth quarter of 2008, 48 percent from the third quarter of 2008 and 28 percent from the first quarter of 2008.

Production at Gualcamayo, Argentina, totalled 20,483 ounces of gold in the first quarter of 2009, meeting budget expectations.

Minera Florida, Chile, produced 19,302 gold equivalent ounces, in line with company expectations. Production in April increased by approximately 7 percent from March, confirming the expected ramp up in production as the expansion was completed in the first quarter.

First quarter production of 20,010 ounces of gold at Brazil’s Fazenda Brasileiro was in line with company expectations. Yamana expects production to increase to levels higher
than first quarter levels for the remainder of the year.

Total production from the Guapore mines in Brazil was 31,363 ounces of gold. Sao Francisco performed to expectations, with production totalling 20,223 ounces of gold in the first quarter. Commissioning continued at Sao Vicente and production for the first quarter was 11,140 ounces of gold.

San Andres, Honduras, saw production exceed the budget for the first quarter with 14,958 ounces of gold, and costs continued to show a trend of consistent improvement, coming in below budget.

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Wed, 06 May 2009 10:51:00 -0400 https://www.proactiveinvestors.com/companies/news/70291/yamana-gold-reports-exceptional-first-quarter-results-costs-continue-to-decline--1428.html
<![CDATA[News - Yamana Gold anticipates gold production of 1.4-1.5 million ounces in 2010 ]]> https://www.proactiveinvestors.com/companies/news/69849/yamana-gold-anticipates-gold-production-of-14-15-million-ounces-in-2010-0886.html Yamana Gold Inc reiterated its gold production forecast for 2009 made in October 2008 of a range of 1.3 million to 1.4 million gold equivalent ounces (GEO) in 2009 at declining cash costs, and production is projected to increase to approximately 1.4 million to 1.5 million GEO in 2010 from mines currently in production.

Capital expenditures for 2009 and 2010 are expected to be approximately US$350 million and US$400 million, respectively, including sustaining capital of approximately US$130 million each year.

The majority of capital costs in 2009 is allocated for the expansion at Chapada, for development work at El Penon, for development of the satellite deposits Amelia Ines and Magdalena and initial work on QDD Lower West at Gualcamayo, for the purchase of certain additional mining concessions and for further development at Jacobina.

The decision to develop each of C1 Santa Luz and Mercedes is expected to be made mid-year pending a cost review for improved economics at C1 Santa Luz and an initial feasibility study and further exploration at Mercedes.


The current capex forecasts assume a modest amount for these projects and would increase mostly in 2010 once a construction decision is made.

Exploration expenses in 2009 are expected to total a minimum US$56 million.


Yamana's exploration program in 2009 will focus on mine and near-mine exploration
primarily in Chile, Brazil, Mexico and Argentina as the company concentrates in 2009 on expansions and advanced projects for near development.

Yamana remains well financed to fund its strategic growth plan.

In the fourth quarter of 2008, total production was approximately 255,000 GEO at cash costs of approximately US$385 per GEO which compares very favourably to costs in the third quarter of 2008.


For the year ended December 31 2008, production totaled approximately 1 million GEO at
cash costs of approximately US$385 per GEO.

Yamana expects production to increase from the first quarter in 2009 with costs trending lower as production increases and input costs continue to decline. Aggregate production for the first quarter is expected to be approximately 290,000 GEO, with cash costs of approximately US$345-US$375 per GEO for 2009.


Total production at Chapada, Brazil, in 2009 is expected to be between 140,000 and 155,000 ounces of gold and 145 to 150 million pounds of copper at a cash cost of between US$275-305 per ounce of gold and between US$0.90 -1.00 per pound of copper, respectively.

At , El Penon, Chile, Yamana expects to be mining at an effective rate of 500,000 GEO per year in 2009, targeting production of approximately 435,000 to 460,000 GEO and the creation of a stockpile. It intends to mine at a rate of 3,600 tonnes per day for the next two years before further increasing plant capacity although it will evaluate the further expansion as the proven and probable reserves increase.  Cash costs at El Penon are expected to be between US$280-310 per GEO in 2009.

At Jacobina in Brazil, the company remains on track to increase the mining
rate from developed stopes and expects to produce approximately 115,000 to 125,000 ounces of gold in 2009 at a cash cost of between US$380-US$410 per ounce.

Start-up and commissioning commenced at Gualcamayo in Argentina in December 2008 with the first gold pour at the end of 2008. Completion of the primary crusher is expected by the end of February as planned. Total production for the year at Gualcamayo is expected to be approximately 195,000 to 210,000 ounces of gold at a cash cost of between US$380-400 per ounce.

At Minera Florida, Chile, Yamana expects to produce approximately 105,000 to 110,000 GEO in 2009 at a cash cost of approximately US$340-350 per GEO.  The company will assess the potential increase to a 150,000 GEO throughput after two years of mining at the current rate.

Operations began at Sao Vicente, Brazil, with the first gold pour at the end of 2008, and the mine remains on track for commercial production in the second quarter of 2009. Total production from Sao Vicente is expected to be between 55,000 to 60,000 ounces of gold in 2009.

At Gualcamayo, Yamana expects to release a feasibility study update at QDD Lower West by the end of January 2009 with a construction decision expected by the end of the year.

The company's Pilar project in Brazil was virtually unexplored when acquired but has since advanced to be an important development project for Yamana.  An initial feasibility study is expected to be released for Mercedes in mid-February, the company added.

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Tue, 13 Jan 2009 00:00:00 -0500 https://www.proactiveinvestors.com/companies/news/69849/yamana-gold-anticipates-gold-production-of-14-15-million-ounces-in-2010-0886.html
<![CDATA[News - Yamana Gold raises C$100 million ]]> https://www.proactiveinvestors.com/companies/news/69692/yamana-gold-raises-c100-million-0718.html Yamana Gold, the North and South American gold producer and developer with which is listed in Toronto, New York and London, said it had entered into an agreement with Cannacord Capital and Scotia Capital to place 16.7 million shares at C$6.00 per share to raise approximately C$100 million.


Yamana has also agreed to grant to Cannacord and Scotia an option to purchase up to an additional 2.5 million shares on the same terms and conditions. If the Over-Allotment Option is exercised in full, the total gross proceeds to Yamana will be C$115 million.


Yamana said it would use the proceeds for ongoing operating and working capital requirements, and possibly to reduce the level of debt


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Wed, 10 Dec 2008 00:00:00 -0500 https://www.proactiveinvestors.com/companies/news/69692/yamana-gold-raises-c100-million-0718.html