Fazenda Brasileiro is an underground gold mine in Brazil producing approximately 80,000 ounces per year. The property also includes a small open pit mine and approximately 197,000 hectares of adjacent exploration properties.
Overview
Location
Fazenda Brasileiro is located in northeast Brazil in the eastern portion of Bahia state, 180 kilometres Northwest of the state capital city of Salvador.
Type of Operation
Underground operation with CIP plant
Proven and Probable Reserves
(at December 31, 2007)
2,720,000 tonnes at 3.0 grams/tonne gold = 264,000 ounces gold
Measured and Indicated Resources
(exclusive of Reserves)
1,805,000 tonnes at 3.05 grams/tonne gold = 177,000 ounces gold
Inferred Resources
442,000 tonnes at 5.3 grams/tonne gold = 75,000 ounces gold
Expected Annual Gold Production
85,000 to 90,000 ounces of gold for 2008
95,000 to 100,000 ounces of gold for 2009
Expected Mine Life
Approximately 5 years
Project History
The Fazenda Brasileiro mine began production in 1984 as an open pit, heap leach operation, however, in 1988, production began from underground operations with processing in the newly constructed CIP plant and has been in continuous operations since such time. Total production is currently 80,000 to 90,000 ounces of gold per year. CIP mill recoveries have averaged 92.1% and have been very consistent on a year-by-year basis.
Operating Plan
The property lies in the Rio Itapicuru Greenstone Belt (RIGB), an area in which Yamana is actively exploring. Since August 2003, Yamana has conducted an exploration and infill drilling program at the Fazenda Brasileiro mine designed to upgrade the current probably mineral reserves to proven mineral reserves, replace mined mineral reserves and a deeper drilling program designed to extend the mine's underground mineral resources at depth and to the east. Drilling has been focused on orebodies adjacent to the mine, underground orebodies at or near the level of existing mine workings and orebodies beneath the existing mine workings. Definition drilling is currently underway at the E-Deep target. Annual gold production is expected to be approximately 80,000 to 100,000 ounces for 2012.