Mercedes is a development stage gold-silver project located in northern Sonora, Mexico, approximately 200 kilometres south of Tucson, Arizona. Yamana has advanced Mercedes from a grassroots exploration prospect to an advanced development stage project.
Project Status
Immediate Development – construction decision made
Planned Mining Method
Underground mine
Highlights
- In 2009, Yamana made a decision for the development and construction of Mercedes. This decision was based on positive project economics and drilling results which added further certainty to the extension of the initial mine life.
- Average annual production is expected to be approximately 120,000 gold equivalent ounces for approximately six years based on known reserves.
- Basic engineering and advanced mine development was completed in 2009.
- The 2009 exploration budget was increased mid-year based on exploration success which added further certainty to the extension of the mine life to nine years and confirmed Mercedes’ high geological potential.
Estimated Production Start
2012
Expected Annual Production
Approximately 120,000 gold equivalent ounces
Mine Life
Initial mine life: Approximately 6 years
Potential extension: Approximately 9 years
Mineral Reserves and Mineral Resources
(at December 31,2009)
Proven and Probable Mineral Reserves
- Gold: 3.44 million tonnes grading 5.63 g/t gold containing 624,000 ounces of gold
- Silver: 3.44 million tonnes grading 62.36 g/t silver containing 6.9 million ounces of silver
Measured and Indicated Mineral Resources (exclusive of reserves)
- Gold: 1.06 million tonnes grading 3.77 g/t gold containing 128,000 ounces of gold
- Silver: 1.06 million tonnes grading 49.80 g/t silver containing 1.7 million ounces of silver
Inferred Resources (exclusive of reserves)
- Gold: 1.83 million tonnes grading 6.11 g/t gold containing 359,000 ounces of gold
- Silver: 1.83 million tonnes grading 58.46 g/t silver containing 3.4 million ounces of silver