Yamana Gold Completes Formal Offer for Meridian Gold; Acquires Approximately 90% of Meridian Shares



    
    TSX: YRI
    NYSE:   AUY
    LSE: YAU
    

    TORONTO, Nov. 5 /CNW/ - YAMANA GOLD INC. (TSX:YRI)(NYSE:  AUY)(LSE:YAU)
today announced that it has taken up and accepted for payment an additional
13.3 million common shares of Meridian Gold Inc. as part of the ordinary
course extension of its offer. Together with the approximately 78 million
shares previously taken up and accepted for payment, Yamana now owns
90,813,237 million shares, representing approximately 90 percent of the
outstanding common shares of Meridian.
    Yamana offered to acquire all of the outstanding common shares of
Meridian on the basis of C$7.00 cash plus 2.235 Yamana common shares for each
Meridian share. The Yamana offer commenced on July 19, 2007 and expired at
12:00 am (EST) on November 2, 2007.
    Yamana expects to complete its acquisition of Meridian in the ordinary
course through a plan of arrangement in which Meridian common shares not
acquired under the Yamana offer will be acquired for the same consideration as
under the Yamana offer as is customary in transactions of this sort. Upon
completion of the arrangement, Meridian will become a wholly-owned subsidiary
of Yamana. Yamana expects to complete the plan of arrangement by year end.

    About Yamana

    Yamana is a Canadian gold producer with significant gold production, gold
development stage properties, exploration properties, and land positions in
Brazil, Argentina and Central America. With the purchase of Meridian Gold, the
company now also owns mines and properties in Chile, Mexico and the United
States. Yamana is producing gold at intermediate company production levels in
addition to significant copper production. Yamana's management plans to
continue to build on this base through the advancement of its exploration
properties and by targeting other gold consolidation opportunities in the
Americas.

    FORWARD-LOOKING STATEMENTS: This news release contains certain
"forward-looking statements" and "forward-looking information" under
applicable Canadian securities laws. Except for statements of historical fact,
certain information contained herein constitutes forward-looking statements.
Forward-looking statements are frequently characterized by words such as
"plan," "expect," "project," "intend," "believe," "anticipate", "estimate" and
other similar words, or statements that certain events or conditions "may" or
"will" occur. Forward-looking statements are based on the opinions and
estimates of management at the date the statements are made, and are based on
a number of assumptions and subject to a variety of risks and uncertainties
and other factors that could cause actual events or results to differ
materially from those projected in the forward-looking statements. Assumptions
upon which such forward-looking statements are based include the successful
completion of new development projects, planned expansions or other projects
within the timelines anticipated and at anticipated production levels; the
accuracy of reserve and resource estimates, grades, mine life and cash cost
estimates; whether mineral resources can be developed; title to mineral
properties; financing requirements; and general economic conditions. Many of
these assumptions are based on factors and events that are not within the
control of Yamana and there is no assurance they will prove to be correct.
Factors that could cause actual results to vary materially from results
anticipated by such forward-looking statements include changes in market
conditions, variations in ore grade or recovery rates, risks relating to
international operations, fluctuating metal prices and currency exchange
rates, changes in project parameters, the possibility of project cost overruns
or unanticipated costs and expenses, labour disputes and other risks of the
mining industry, failure of plant, equipment or processes to operate as
anticipated, the business of Northern Orion, Meridian and Yamana not being
integrated successfully or such integration proving more difficult, time
consuming or costly than expected as well as those risk factors discussed or
referred to in the annual Management's Discussion and Analysis and Annual
Information Form for each of Yamana, Northern Orion and Meridian filed with
the securities regulatory authorities in all provinces of Canada and available
at www.sedar.com, and the Annual Report on Form 40-F of each of Yamana and
Meridian filed with the United States Securities and Exchange Commission.
Although Yamana has attempted to identify important factors that could cause
actual actions, events or results to differ materially from those described in
forward-looking statements, there may be other factors that cause actions,
events or results not to be anticipated, estimated or intended. There can be
no assurance that forward-looking statements will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such statements. Yamana undertakes no obligation to update
forward-looking statements if circumstances or management's estimates or
opinions should change, except as required by applicable securities laws. The
reader is cautioned not to place undue reliance on forward-looking statements.





For further information:

For further information: MEDIA CONTACT: Mansfield Communications Inc.,
Hugh Mansfield, (416) 599-0024; or Yamana Gold Inc., Jodi Peake, Vice
President, Investor Relations, (416) 815-0220, Email: investor@yamana.com,
Website: www.yamana.com

Organization Profile

YAMANA GOLD INC.

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