LATIN AMERICA SPECIAL — Yamana outlines gold targets in

Field crews have identified several gold targets on Yamana Resources’ (TSE) holdings in the Vanguardia district of Santa Cruz province in southern Argentina.

An epithermal alteration system exceeding 4 sq. km in extent has been mapped and sampled at Microonda. More than 250 samples have been collected and at least 1,000 samples are needed to complete the evaluation. Studies show that the hydrothermally altered area is a mosaic of intersecting fault structures and volcanic feeder vents which cut acidic volcanic flows and tuffs. Siliceous sinter caps are present and have returned anomalous gold values. Extensive chip sampling of outcrops indicates background gold values to be in excess of 0.1 gram gold per tonne, with many samples yielding assays of 1 to 3 grams over 1 to 3 metres. One sample from a mineralized sinter returned 4.12 grams across 15 metres.

An induced-polarization survey will help define existing drill targets. Another large epithermal system has been located at Martinetas, which is just east of Microonda. Siliceous sinters and associated quartz veins are dotted over a rolling landscape covering a zone 1 km wide by 3 km long. Within this zone, reconnaissance rock sampling has delineated a strong gold anomaly covering an area measuring 0.4 by 1.3 km. The best vein sample runs 5 grams, and a related sinter contains values of up to 1 gram. Follow-up work will advance these targets to the drilling stage.

At Cerrito Solo, within sight of Anglo-American’s multi-million-ounce Cerro Vanguardia gold discovery, another significant bulk-tonnage gold target has been identified.

The target consists of a 0.5-km-wide-by-1-km-long mound of silicified volcanic ash and quartz crystal tuffs which is intruded by an epithermal quartz stockwork system. Rock chip sampling has outlined a geochemical anomaly with gold values of up to 0.5 gram. Coincident with the gold signature are arsenic, antimony and mercury anomalies.

Adjacent to Cerrito Solo, three bulk-minable gold targets have been outlined on the Covadonga property. All are represented by major zones of silicification in volcanic tuffs, with gold values of up to 5 grams (and, in some cases, coincident pathfinder anomalies).

On the Guille and Condor properties the main targets are large, subcropping, sulphidized, epithermal quartz veins. The veins are more than 1 km long and up to 5 metres thick. Preliminary sampling results show up to 1.5 grams at Guille and up to 4 grams across 1 km at Condor.