YAMANAGOLD

ELPEN,CHILE
33
YAMANAGOLD
ElPen
TOPICS
General Information
Mineral Resources & Mineral Reserves
Production & Costs
2009 Operational Achievements
Objectives
Safety, Health, Environment & Community
34
YAMANAGOLD
ElPen
SITELOCATION
ElPen isahighgradegold/silvermine
locatedapproximately160kilometres
southeastfromAntofagasta aportcityin
Brazil
northernChile
ElPen begancommercialproduction
in January 2000
Chile
ElPen
inJanuary2000
Operationsarecurrently100%
undergroundveinminingusingthebench
Argentina
andfillmethod
Processingincludessinglestagecrushing
and grinding, followed by tank leaching andgrinding,followedbytankleaching
followedbyaMerrillCrowecircuitwithon
sitedore production.Tailingsarefiltered
andfinaldepositionthroughapatented
d
35
dryprocess
YAMANAGOLD
ElPen
ORGANIZATIONALCHART
RICARDOPALMA
CountryManager
RICARDOSOLOVERAC.
GeneralManager
LUISORTIZDEZRATE
OSVALDOPONCE
ORIZOLA
CARLOSPINTO
AHUMADA FELIPENEZ
PATRICIOILLANES
CRISTIANBEZJAIME
H R
RICARDOMIRANDA
DIAZ
SHECManager Exploration&Geology
Manager
Mining&Engineering
Manager
PlantManager
PEREA
Controller
HumanResource
Manager
DIAZ
DevelopmentManager
TotalnumberofemployeesatElPenon:2,812
36
YAMANAGOLD
ElPen
MINERALRESERVESANDRESOURCES
(1)
PROVENANDPROBABLEMINERALRESERVES
OreSource Unit
TotalMineralReserves
ProvenReserves ProbableReserves
TotalProven&
P b bl
ProvenReserves ProbableReserves
Probable
Ore ktonnes 710 8,221 8,931
GoldGrade g/t 6.66 6.72 6.72
SilverGrade g/t 347.60 231.20 240.45
G ld C t t kO 152 1 777 1 928 GoldContent kOz 152 1,777 1,928
SilverContent kOz 7,931 61,109 69,040
MEASURED,INDICATEDANDINFERREDMINERALRESOURCES
(2)
OreSource Unit
TotalMeasuredand
IndicatedResources
TotalInferred
Resources
Ore ktonnes 3,896 3,555
G ld G d / 8 67 8 98
Source:2008AnnualReport
GoldGrade g/t 8.67 8.98
SilverGrade g/t 238.03 263.30
GoldContent kOz 1,086 1,027
SilverContent kOz 29,816 30,098
37
(1) PleaseseeEndNotesforadditionalmineralreserveandmineralresourcedisclosure
(2) Mineralresourcesareexclusiveofmineralreserves
YAMANAGOLD
ElPen
PRODUCTION&COSTS
ElPon FORECAST2009
TotalMined t000 1,954
PLANT
F d t 000
1 323
Feed t000
1,323
gradeAu gAu/t
5.85
gradeAg gAg/t
272.04
Plantrecoveryrate
Au %
91
Ag %
87
Production
GoldProduction kOz
226
SilverProduction kOz
10,037
Gold Production k GEO Approx 405 GoldProduction kGEO Approx.405
COST FORECAST2009
MINE US$/tmoved 44.10 48.20
PLANT US$/t 26.35 28.80
G&A R l US$/ 11 40 12 50
Q109 Q209 Q309
CashCosts
(1)
US$/GEO $366 $339 $324
G&A+Royalty US$/t 11.40 12.50
TOTAL US$/t 101.00110.00
38
(1) SeeEndNotes
YAMANAGOLD
ElPen
2009OPERATIONALACHIEVEMENTS
AdjustedandaccommodatedforshortfallinQ1
Productionincreased28%fromQ1
Grade improved 22% from Q1 Gradeimproved22%fromQ1
Cashcostsdeclined$42or11%fromQ1
Performanceinitiativesbeingevaluated:optimizationofdilutioncontrolandchanging
equipmenttomanagethicknessvariabilityofveins
Furtherdrillingforresourceexpansion
NewgradeatBonanzaandAlEste
GRADE(g/t) Q1 Q3 Q4E 2010E
Bonanza
Goldgrade(g/t) 11.07
Silvergrade(g/t) 131.97
Al Este
Goldgrade(g/t) 12.80 10.30
39
Silvergrade(g/t) 466.06 348.16
YAMANAGOLD
ElPen
GRADEIMPROVEMENTS
Goldgrade(g/t)
Gradeexpectedtoimprovefurtherinthefourthquarter
40
Grade expected to improve further in the fourth quarter
YAMANAGOLD
ElPen
OBJECTIVES
Productionfor2009isexpectedtobeover400,000GEO
Producesustainablyatover400,000GEOannually
Expansionofmillcapacitytoprovidegreaterflexibility
Undertakenaplantoimprovegradecontrolanddilution,increasecapacityand
developnewerhighergradeveins
AcceleratingdevelopmentworkonnewveinsandexplorationeffortsintheNorth
Block Block
Expecttomineataprogressivelyhigherratewithanticipationofgradeandthroughput
improvements
Applicationofdifferentsizeofequipmenttomanagethicknessvariabilityofveinswill
betestedandaccordinglyimplemented
41
YAMANAGOLD
ElPen
PROCESSFLOWCHART
Processing includes a single stage of Crushing and
Grinding, followed by the leaching tank, afterward
the Merrill Crowe circuit onsite for Dore production.
JAWCRUSHER
APROMFEEDER
CCD0
CYANIDE
OREBIN
CYANIDE
CCD1
CCD2
LIME
THICKENING
CLARIFICATIONFILTERS
SAG
PRESS
CCD3
UNCLARIFIED
SOLUTION
MILLSOLUTION
PREGNAT
SOLUTION
TAILINGS
DUMP
DEAERATION
SOURCE
PRESS
FILTERS
BARREN
SOLUTION
FEED
FEED
RETORTS
BELTFILTER
TAILINGS
DORE
42
Goldisproducedatapproximately3,600tonnesperday
PRECIPITATE
FURNACE
DORE
YAMANAGOLD
ElPen
NEWSECONDARYCRUSHERANDNEWBELTFILTER
43
YAMANAGOLD
ElPen
POWERSUPPLY
Substation LineOHiggins Domeyco 220KV
Line66KV
65KM
ElPen
Substation
20MVA
66/6.6KV
PalestinaSubstation
ElPen
30MVA
220 / 66 KV 220/66KV
MineSitePower
Feed
ElectricRoom
Switch Gear 6.6
KV
Cat 2.5MW Cummins 7.5MW
PowerGeneration
44
YAMANAGOLD
ElPen
GENERATIONEQUIPMENT
45
YAMANAGOLD
ElPen
TAILINGSDUMP
46
YAMANAGOLD
ElPen
TAILINGSDUMP STAGE1,2&3
Stage 1: Loading Transport
Stage 2: Dump
47
Stage 3: Layer tailing
YAMANAGOLD
ElPen
TAILINGSDUMP STAGE4,5&6
Stage 4: Watering
Stage 5: Plough
48
Stage 6: Sampling
YAMANAGOLD
ElPen
SAFETY LTIFR
per200,000hours worked
1.5
2.0
0.5
1.0
-
LTIFR
1.54 0.85 0.48
2007 2008 2009
YTD 549 129 HOURS WORKED HOURS WITH NO ACCIDENTS
49
YTD:549,129HOURSWORKEDHOURSWITHNOACCIDENTS
YAMANAGOLD
ElPen
COMMUNITYRELATIONS
SHEC Team = 63
Open doors program: 2009 goal = 100 visitors
Health and safety program for communities Health and safety program for communities
Partnership Seminars
Cultural Activities Support
50
YAMANAGOLD
EXPLORATION EXPLORATION
ElPen,Chile ,
51
YAMANAGOLD
ElPen
REGIONALGEOLOGY
REGIONALGEOLOGY
Paleozoic Intrusions:Granodiorites,Diorites,
Tonalites
AugustaVictoria
PeleoceneEoceneIntrusions:Rhyolitic,Dacitic,
Andesitic,Dioritic,andMonzoniticPorphyries
PaleoceneBasin:Rhyolites,Dacites,Tuffs,
Andesites,BasaltsandVolcanicBreccias.Domes:
Rhyolitics,RhyodaciticsandDacitics
UpperPaleoceneandEocenePorphyries:
Ignimbrites,Dacites,Andesites,Basalts.Domes:
Rhyolitics,RhyodaciticsandDacitics
Cretacic Lower Paleocene Basin: Andesites
ElPen
Fortuna
Cretacic Lower Paleocene Basin:Andesites,
Volcaniclastic Breccias,Basalts,Rhyolitic and
Ignimbrites,Rhyolitic Domes,Sandstones,Limestones
andConglomerates
MainFaults
SecondaryFaults
Veins
YamanaProperty
52
ThirdPartyProperty
YAMANAGOLD
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ElPen
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Rajo
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Rajo
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Rajo
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53
OS
YAMANAGOLD
ElPen
Mineralization Styles ElPenDistrict
Reserves & Resources as of Dec 31 2008
RESERVES AND RESOURCES 2008
Category Tonnes Grade Contained ounces
Tonnes Gold Silver Gold Silver
(mils) (g/t) (g/t) (K oz) (K oz)
Reserves&Resources asofDec.31,2008
Reserves
Proven and probable 8.93 6.72 240.4 1,928 69,040
Mineral resources
Measured and indicated 3.89 8.67 238 1,086 29,816
Inferred 3.55 8.98 263.3 1,027 30,098
Total Reserves and resources 16.37 7.67 244.80 4,041 128,954 ota ese es a d esou ces , ,
PRODUCTION (1999-2008)
Category Tonnes Grade Contained ounces
Tonnes Gold Silver Gold Silver
(mils) (g/t) (g/t) (K oz) (K oz)
Total Productin 7 80 10 75 229 16 2 681 56 349
54
Total Productin 7.80 10.75 229.16 2,681 56,349
Grand total 24.17 8.67 239.75 6,722 185,303
YAMANAGOLD
ElPen
ElPenon continuestogrowduetosignificantexploration
Morethan100,000metersofdrillingperyear
NewhighgradenucleusdiscoveredinNEofcorearea
1996
2001
4 5 illi GEO
2006
9.0millionGEO
g g
AlEste,Bonanza,EsmeraldaandAbundancia veins
1996
2.4millionGEO
4.5millionGEO
55 55
YAMANAGOLD
ElPen
2009EXPLORATIONPROGRAM
2009ExplorationBudgetis$15.3M
162,000metersofRCdrilling.
100,000metersforexploration
62,000metersforInfill
Priorities are: Prioritiesare:
Extensionofknownveinsand
discoveryofnewveinsinBloque
Norte
ExtensionofnewveinsinBloque q
Penon
Replacereservesandresources
56
YAMANAGOLD
ElPen
2009EXPLORATIONPROGRAM
O
R
T
E
O
E
S
T
E
2009ExplorationProgramincluded
B
O
N
A
N
Z
A

N
O
B
U
N
D
A
N
C
I
A

O
resourcedefinitionandextensionin:
BonanzaNorte,AlEste,Abundancia
andEsmeralda,Martillo Flats
Work to date has included limited
T
E

N
O
R
T
E
O
N
A
N
Z
A
B
A
B
Worktodatehasincludedlimited
drillingalongstrikeofBonanzaandAl
EsteandMartillo Flats
Resultshaveconfirmedextensionof
A
L

E
S
T
B
O
Martillo Flats
TunnelunderwaytoaccessBonanza
Norte,AlEsteNorteandAbundancia
f d d d illi forundergrounddrilling
57
YAMANAGOLD
ElPen
2009EXPLORATIONPROGRAM
2009ExplorationProgramincluded
resourcedefinitionandextensionin:
Dorada Sur,Providencia Sur,
Quebrada Colorada area
Work to date has included drilling Worktodatehasincludeddrilling
alongstrikeofCerroMartillo Central
Sur,PampaCampamento and
Sorpresa Sur
Resultshaveconfirmeddiscoveryof:
CerroMartillo CentralSuralonga
strikelengthof1.6kms
Extension of Pampa Campamento ExtensionofPampaCampamento
SouthextensionofSorpresa Sur
58
YAMANAGOLD
ElPen
2009EXPLORATIONPROGRAM
Sorpresaintersected200meterssouthofknowngradeshell
Openinalldirections
Additionaldrillingongoingtoaddtoinferredresourcein2009
59
YAMANAGOLD
UEH0002(1632)
11.55Au/129.1Ag
0.57m.
SNX0111(1672)
2.67Au/60.3Ag
1.15m.
Testedalong1.6kilometersof
strikelength
Exploration drilling ongoing
PX401(1810)
2.68Au/85.0Ag
6m.(Interc)
SNX0068(1604) SNX0111
SNX0111(1626)
3.3Au/86.8Ag
1.10m.
SNX0111(1517)
2.9Au/214.0Ag
1.07m.
Explorationdrillingongoing
Resourceestimateforendof
year
SNX0068(1772)
2.79Au/194.0Ag
1.52m.
( )
2.6Au/175.5Ag
3.11m.
PS494E
SNX0116
SME0004
SNX0076(1647)
3.43Au/231.0Ag
1.07m.
SPM0009E(1550)
8.81Au/288.5Ag
2.87m.
SME0001
SME0002
PX603(1642)
4.42Au/210.0Ag
2m.(Interc)
SNX0095(1633)
1.07Au/2.9Ag
0.98m.
SNX0115
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YAMANAGOLD
ElPen
INFILLDRILLING2009
Recategorization Areas: Inferred to M&I (Resources Estimate by end of year ) Recategorization Areas:Inferred to M&I(Resources Estimate by end ofyear )
61
YAMANAGOLD
ElPen
2009EXPLORATIONSUMMARY
Martillo CentralSurnewdiscovery
Mertillo FlatHW1andHW2newdiscoveries
ExtensionveinsBonanzaNorte,Sorpresa andPampaCampamento
InfilldrillingBonanzaNorteandPampaCampamento
Mapping and sampling CAugusta Victoria. Features similar to El Penon MappingandsamplingC AugustaVictoria.FeaturessimilartoElPenon
62
YAMANAGOLD
ElPen
2010EXPLORATIONPROGRAM
OBJECTIVE:500KOzAuEq M&IAND500KOzAuEq INFERRED
Strike and dip extensions of known orebodies Strikeanddip extensions ofknown orebodies
Exploration ofnewveins andtargets
Confirm andupgrade resources andreservesthrough infill drilling
UNDERGROUNDINFILLDRILLING 31,732m
UNDERGROUNDEXPLORATION 8,700m
UNDERGROUNDEXPLORATIONTUNEL 700m
SURFACEEXPLORATIONRCDrilling 69,500m
SURFACEINFILLDRILLINGRC 24,550m
SURFACE INFILL DRILLING DDH 2 548 m SURFACEINFILLDRILLINGDDH 2,548m
NEWDISTRICTTARGETSTOBEDRILLED:TresTontosW,C Tostado,C EstanquedeAgua,C
PampaProvidencia,C Seco,BordeNorte,PampaCaliche,ElDomo,C AugustaVictoriaandEl p , , , p , , g
Soldado.
63
YAMANAGOLD
ThankyouforvisitingElPen!
64
Q&A
YAMANAGOLD
END NOTES ENDNOTES
66
YAMANAGOLD Endnotes
CAUTIONARYNOTETOU.S.INVESTORSCONCERNINGESTIMATESOFMEASURED,INDICATEDANDINFERREDMINERALRESOURCES:Thispresentationusestheterms
Measured,IndicatedandInferredMineralResources. UnitedStatesinvestorsareadvisedthatwhilesuchtermsarerecognizedandrequiredbyCanadian
regulations,theUnitedStatesSecuritiesandExchangeCommissiondoesnotrecognizethem. InferredMineralResourceshaveagreatamountofuncertaintyasto
theirexistence,andastotheireconomicandlegalfeasibility. ItcannotbeassumedthatalloranypartofanInferredMineralResourcewilleverbeupgradedtoahigher
category. UnderCanadianrules,estimatesofInferredMineralResourcesmaynotformthebasisoffeasibilityorothereconomic studies. UnitedStatesinvestorsare
cautionednottoassumethatalloranypartofMeasuredorIndicatedMineralResourceswilleverbeconvertedintoMineralReserves. UnitedStatesinvestorsarealso
cautionednottoassumethatalloranypartofanInferredMineralResourceexists,oriseconomicallyorlegallymineable.
NONGAAPMEASURES:TheCompanybelievesthatinadditiontoconventionalmeasurespreparedinaccordancewithCanadianGAAP,theCompanyandcertain
investorsandanalystsusecertainothernonGAAPfinancialmeasurestoevaluatetheCompanysperformanceincludingitsability togeneratecashflowandprofitsfrom
itsoperations.TheCompanyhasincludedcertainnonGAAPmeasuresincludingcashcostpergoldequivalentounce,AdjustedEarningsorLossandAdjustedEarnings
orLosspershare,orOperatingMarginandcashflowfromoperationsbeforechangesinnoncashworkingcapitalorcashflowfrom
operating activities before changes in non cash working capital to supplement its financial statements which are presented in accordance with Canadian GAAP Non operatingactivitiesbeforechangesinnoncashworkingcapital tosupplementitsfinancialstatements,whicharepresentedinaccordancewithCanadianGAAP.Non
GAAPmeasuresdonothaveanystandardizedmeaningprescribedunderCanadianGAAP,andthereforetheymaynotbecomparabletosimilarmeasuresemployedby
othercompanies.Thedataisintendedtoprovideadditionalinformationandshouldnotbeconsideredinisolationorasasubstituteformeasuresofperformance
preparedinaccordancewithCanadianGAAP.
CoproductCashCostsPerGoldEquivalentOunce(GEO):TheCompanyhasincludedcashcostsperGEOinformationbecauseitunderstandsthatcertaininvestorsuse
thisinformationtodeterminetheCompanysabilitytogenerateearningsandcashflowforuseininvestingandotheractivities.TheCompanybelievesthatconventional f p y y g g f f g p y
measuresofperformancepreparedinaccordancewithCanadianGAAPdonotfullyillustratetheabilityofitsoperatingminestogeneratecashflow.Themeasuresare
notnecessarilyindicativeofoperatingprofitorcashflowfromoperationsasdeterminedunderCanadianGAAP.Cashcostsare determinedinaccordancewiththeGold
InstitutesProductionCostStandardandarecalculatedonacoproductandbyproductbasis.Cashcostsonacoproductbasisarecomputedbyallocatingoperating
cashcostsseparatelytometalsbasedonanestimatedorassumedratio.AreconciliationofcoproductcashcostsperGEOisprovidedinAppendixBofthispresentation.
Three months ended
September 30, 2009
I th d f U it d St t In thousands of United States
Dollars United States Dollars per pound
Cost of sales (i) $ 131,357 $ 2.99
Adjustments:
GEO related cash costs (excluding related TCRC's) (88,952) (2.03)
Impact of equity interest in Alumbrera(12.5%) 11,474 0.27
Chapadagold contained in concentrate treatment and refining costs 6,772 0.15
67
Inventory movements and adjustments (528) (0.01)
Commercial selling costs (9,599) (0.22)
Total co-product cash costs (ii) $ 50,524 $ 1.15
YAMANAGOLD
MineralReserves&Resources
(Mineralresourcesexcludeprovenandprobablemineralreserves)
December31,2008
Mineral reserves (proven and probable)
(1)
68
1.C1SantaLuzmineralreserveupdatedJuly22,2009to23.8Mtgrading1.55g/tgoldcontaining1.2millionounces
YAMANAGOLD
MineralReserves&Resources
(Mineralresourcesexcludeprovenandprobablemineralreserves)
December31,2008
Mineral reserves (proven and probable)
69
YAMANAGOLD
MineralReserves&Resources
(Mineralresourcesexcludeprovenandprobablemineralreserves)
December31,2008
Mineral resources (measured, indicated, and inferred. Mineral resources exclude proven and probable reserves)
(1)
(2)
70
1. UpdatedJuly22,2009,C1SantaLuzMeasuredandIndicatedresourceinclusiveofreservesof45.82Mtgrading1.56g/tgold containing2.5millionouncesandinferred
resourcesof4.83Mtgrading1.40g/tgoldcontaining217,000ounces.
2. Pilar inferredmineralresourceestimateupdatedApril13,2009to12,598,000tonnesgrading3.61g/tgoldcontaining1,464,000g/tgold
YAMANAGOLD
MineralReserves&Resources
(Mineralresourcesexcludeprovenandprobablemineralreserves)
December31,2008
Mineral resources (measured, indicated, and inferred. Mineral resources exclude proven and probable reserves)
71
YAMANAGOLD
MineralReserves&Resources
(Mineralresourcesexcludeprovenandprobablemineralreserves)
December31,2008
72
YAMANAGOLD
MineralReserves&Resources
(Mineralresourcesexcludeprovenandprobablemineralreserves)
December31,2008
73