FOR:  YAMANA GOLD INC.
      LSE (AIM)- YAU

TSX SYMBOL:  YRI
AMEX SYMBOL:  AUY

January 8, 2004

Yamana Gold Announces New Vice President Exploration

TORONTO, ONTARIO--Yamana Gold Inc. (TSX: YRI; AMEX: AUY; LSE (AIM): YAU) is pleased to announce the appointment
of Mel Klohn as Vice President Exploration. Mr. Klohn has agreed to join Yamana as its senior exploration
officer responsible for exploration of the company's extensive mineral concessions in Brazil focusing on
regional exploration efforts of the company in particular. Mr. Klohn has over 35 years of exploration
experience many of which were in South America and has participated in many mineral discoveries, several of
which have become producing mines.

Yamana's strong cash position allows the company to accelerate exploration of its extensive land holdings. Over
the next few months, a comprehensive regional exploration program will be developed focusing on known gold
occurrences on the company's mineral concessions. With Mr. Klohn's assistance and extensive experience, the
company will accelerate exploration efforts in these very prospective areas with an initial focus on the
Itapicuru greenstone belt north of the company's Fazenda Brasileiro mine, satellite areas at Fazenda Nova and
as well as at depth at the pre-production Sao Francisco gold project. Greenstone belts are known for multiple
gold occurrences and the company's efforts will concentrate on finding one or more deposits comparable to its
Brasileiro mine. The company's development stage properties with existing deposits also have considerable
further exploration potential along strike, at depth and within reasonable distance of known deposits.

Fazenda Nova is presently under construction and is expected to be in production this Summer. The prior
feasibility study at Sao Francisco is being updated and a production decision is expected in the Summer as
well. Prior drilling at Sao Francisco's deeper zone beneath the area of the planned open pit operations has
also shown grades significantly in excess of reserve grades for the known deposit.

Yamana is a Canadian gold producer with significant gold production, gold and copper-gold development stage
properties, exploration properties and land positions in all major mineral areas in Brazil. Yamana expects to
produce gold at intermediate company production levels by 2006 in addition to significant copper production by
2007. Yamana also holds gold exploration properties in Argentina subject to earn-in by Peruvian gold producers
Buenaventura and Hochshild. Company management plans to build on this base by targeting other gold
consolidation opportunities in Brazil and elsewhere in Latin America.

FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements" within the meaning
of Section 21E of the United States Securities Exchange Act of 1934, as amended. Except for statements of
historical fact relating to the company, 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 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. These factors include the inherent risks involved in the exploration and
development of mineral properties, the uncertainties involved in interpreting drilling results and other
ecological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and
expenses, uncertainties relating to the availability and costs of financing needed in the future and other
factors. The Company undertakes no obligation to update forward-looking statements if circumstances or
management's estimates or opinions should change. The reader is cautioned not to place undue reliance on
forward-looking statements.

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FOR FURTHER INFORMATION PLEASE CONTACT:

Peter Marrone
President & Chief Executive Officer
(416) 815-0220
E-mail: investor@yamana.com

                                                                
Yamana Gold Inc