Ernesto/Pau-a-Pique is located in the prolific Guapore Gold Belt property which covers 450,000 hectares. The significant existing infrastructure including paved roadways supports the development of Ernesto/Pau-a-Pique as two operating mines with a common processing plant. Yamana has advanced Ernesto/Pau-a-Pique from a grassroots exploration prospect to an advanced development stage project.
Project Status
Immediate Development – construction decision made
Planned Mining Method
Pau-a-Pique is planned as an underground bench-and-fill mine and Ernesto is planned to be mined both open-pit and cut-and-fill underground.
Highlights
- Construction decision made early 2010 based on positive feasibility study results.
- At year end, proven and probable reserves increased by 710,000 ounces.
- Annual gold production is expected to be approximately 100,000 ounces over the seven year mine life, with the first two years of production averaging approximately 120,000 ounces further improving project economics.
- The feasibility study completed in early 2010 confirmed the robust return and comparatively low capital cost for the project.
- There is potential to extend the mine life as efforts continue to upgrade mineral resource ounces to the proven and probable category and expand mineral resources.
- Yamana continues to progress more detailed engineering and an exploration tunnel to facilitate drilling in deeper areas where there are further resources.
- Yamana also continues to conduct pilot tests on metallurgy and recoveries.
- Permitting is underway and construction is expected to begin in 2010 with production commencing in 2012.
Estimated Production Start
2012
Expected Annual Production
Approximately 100,000 ounces of gold
Initial Mine Life
7 years
Mineral Reserves and Mineral Resources
(at December 31, 2009)
Proven and Probable Mineral Reserves
- 7.1 million tonnes grading 3.11 g/t gold containing 710,000 ounces gold
Measured and Indicated Resources (exclusive of reserves)
- 2.0 million tonnes grading 1.93 g/t gold containing 124,000 ounces of gold
Inferred Resources (exclusive of reserves)
- 4.5 million tonnes grading 1.79 g/t gold containing 257,000 ounces of gold