Name and Location
Cerro Moro gold project, Santa Cruz province, Argentina.

Client
Yamana Gold.

Project Description
Cerro Moro currently hosts an indicated mineral resource of 1.95-million gold equivalent ounces and an inferred mineral resource of 490 000 gold equivalent ounces.

It is a low-sulphidation epithermal vein deposit with similarities to the deposits at Yamana’s El Peñón and Mercedes mines.

Preliminary studies have indicated combined openpit (30%) and underground (70%) mining operations to sustain a process plant with a throughput rate of about 1 000 t/d and an expected recovery of about 200 000 gold equivalent ounces a year.

Value
Not stated.

Duration
A construction decision is expected in 2014, with a potential mine start-up expected in 2016.

Latest Developments
Yamana has engaged in predevelopment work by starting a production-ready decline, targeting the largest of the known orebodies, Escondida.

In addition to providing flexibility to advance the timeline for development, the production-ready decline will provide a platform for further exploration work and permit access to the orebody, providing greater certainty and knowledge of its physical properties and grade continuity.

Technical and trade-off studies have been completed, which support continuation to a full feasibility study for the project currently under way.

This feasibility study will provide an update on the feasibility study previously filed, which supports the already approved environmental-impact assessment. Based on these studies, the feasibility study will consider a mine plan combining openpit (30%) and underground (70%) mining operations.

Work on the feasibility study is continuing and is expected to be completed this year.

Definitive metallurgical testwork and geotechnical and hydrology studies to support the final plant design are in progress.

Depending on the outcome of the studies and the subsequent construction decision, production should begin in 2016.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
The project remains within budget.

Contact Details for Project Information
Yamana Gold, tel +1 416 815 0220, fax +1 416 815 0021 or email investor@yamana.com.