The story
Minera Yamana was founded on March 19, 1994, headquartered in Toronto and headed by Victor Bradley as chief executive officer (CEO), as a mineral exploration company focused on properties within Argentina. The private company went public, effective February 7, 1995, through a reverse takeover of Toronto Stock Exchange-listed of Wiscan Resources Inc. with the combined company emerging with the new name Yamana Resources Inc. The company acquired and assessed numerous mineral properties in South America and Indonesia until 2000 when it settled on developing a silver mine in Santa Cruz Province, Argentina. However, the company was unable to manage the development phase and was forced to sell the property in April 2002 to avoid bankruptcy.
Yamana restructured in July–August 2003 with its new CEO, Peter Marrone. In addition to changing its name to Yamana Gold Inc., incorporating a subsidiary in the British Virgin Islands, and consolidating its shares on a 28:1 basis, Yamana acquired the Brazilian company Santa Elina Mines Corporation. In exchange for stock ownership in Yamana Gold, Santa Elina ownership of the Fazenda Nova, São Francisco, and Chapada development projects were transferred to Yamana. In the same month, they also purchased the aging Fazenda Brasileiro gold mine from Companhia Vale do Rio Doce, immediately making Yamana a gold producer. Investment decisions to commence construction on the three Santa Elina projects were made in 2004, with the Fazenda Nova mine achieving commercial production in 2005 followed by São Francisco and Chapada mines in 2006.
Marrone continued to quickly expand Yamana in 2006 by merging with TSX-listed RNC Gold which owned two small gold mines in Nicaragua and had recently acquired the San Andrés mine in Honduras, and then with TSX and AMEX-listed Desert Sun Mining Corp for its Jacobina mine in Brazil, and then with TSX-listed Viceroy Exploration for its Gualcamayo exploration project in Argentina. Along with Northern Orion Resources, the company spent 2007 engaged in a hostile takeover of Meridian Gold. Meridian had resisted, the merger was agreed to after Yamana increased their offer to $3.5 billion (in cash and shares). Yamana had increased their gold production numbers from 101,000 ounces of gold in 2004 to 597,304 oz in 2007, to 1,201,200 oz in 2009.
Yamana continued to produce over a million ounces of gold each year, even though it sold the San Andrés, Sao Francisco and Sao Vicente mines to Victor Bradley's Aura Minerals in late-2009. The Gualcamayo mine achieved production in July 2009 followed by the Mercedes mine in February 2012. In 2014, Yamana formed a joint venture with Agnico Eagle Mines Limited to make a white knight bid for Osisko Mining Corporation who was in the midst of fighting a hostile takeover by Goldcorp; Yamana emerged with a 50% stake in the Canadian Malartic Corporation which would quickly surpass Meridian's El Peñón mine as their most productive gold producer. Yamana would fall under the one million ounces of gold in 2017 as they spun off Brio Gold as a separate company with control of the Fazenda Brasileiro mine and several development projects. The company's next mine, the Cerro Moro mine in Argentina, acquired as a development project in Yamana's 2012 acquisition of Extorre Gold Mines, began production in 2018.
By 2018, Yamana had accumulated a high debt load of US$1.6 billion, mostly from Canadian Malartic, and taken criticism from industry analysts and shareholders for its excessive executive compensation packages. That year Daniel Racine succeeded Marrone as CEO, with Marrone staying with the company on staff and on the board, as Executive Chairman. The next year, Yamana sold the Chapada copper-gold mine to Lundin Mining for $800 million and its Gualcamayo mine to Colombian company Mineros S.A. for $85 million to pay down its debt.
Yamana was acquired by Pan American Silver in March 2023 in a deal worth nearly US$4.8 billion.
From Wikipedia’s article on Yamana Gold, shared under CC BY-SA 4.0.8