Claudia in terms of dispersal of assets looks somewhat like Gualcamayo mine. The difference is that Yamana is not only willing to take the country risk;but also a cost risk since G mine has a 1.1 g/t rating whereas Claudia is 4 g/t .  So MRZ could be a big winner if the political side irons itself out.





Gualcamayo Mine Royalty

Yamana’s Next Leg of Growth




? 1.0% NSR




? Gualcamayo Mine (San Juan, Argentina)

Asset Overview



An open pit, heap leach, gold operation



Completed first full year of production in 2010



Expected to expand production from the current

~159 koz in 2011 to over 200 koz by 2014



Low cash costs of ~US$500/oz



2.2 Moz of gold reserves at 1.16 g/t Au

Target Production






155-180 koz (2012E)



180-190 koz (2013E)

Mine Life



? 9+ years




? Producing




? 2.2 Moz Au reserves



1.7 Moz Au resources

Current Offer



C$16.5 Million Cash



1 Million Warrants



Transaction to close in November 2012



Yamana disclosures. Note: Yamana quotes gold production in Gold Equivalent Ounces (“GEO”) based