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Gold/Mining/Energy : Yamana Resources INC. T- YRI -- Ignore unavailable to you. Want to Upgrade?

To: Phil Cressman who wrote (1359)	6/16/1998 8:48:00 PM
From: kingfisher	Read Replies (1) \| Respond to of 2346

Canspec Home Bunka's Outsider's Report Saturday, May 30, 1998 UH OH... YAMANA RESOURCES INC (YRI-T) SELL Current $1.30 Strong Buy @ 2.40 Ph 509-838-6615 Fax 509-838-0714 WC:$8mUS Shares Out: 27,300,000 Fully Diluted: 35,500,000 I noted last month that "short and mid term speculators might be well served to sell into strength, if it presents itself, over the coming 2-6 weeks." YRI was trading at $1.60 then and bottomed around $1.20. Only in the last few days has there been any strength to sell into. Drilling at Lejano has stopped for the winter and we are still awaiting results on six holes from the South Ridge discovery gossan. On May 27 YRI released results from 19 holes at Lejano. The best of these (#78) intersected 4 metres of 232 g/t AG, 2.45 g/t Au, 5.3% Zn, 2.9% Pb, and 0.44% Cu., while hole #79 intersected 4 metres of 537 g/t AG, 1.79 g/t Au, 3.5% Zn, 10.9 Pb, and 0.28% Cu. The results are generally good but more important than the numbers is the extension of the potential ore body. YRI tells us that the "strike length of the silver-bearing gossan and associated sulfides <is> more than 500 metres remaining open to the northwest." Meanwhile, at Eastern Lejano first-phase drilling has uncovered significant intercepts: Hole #71 with 4 metres of 471 g/t Ag and 1.97 g/t Au; hole #44 with 2 metres of 653 g/t Ag, 1.05 g/t Au, and 2.7$ Pb; hole #38 with 4 metres of 152 g/t Ag and 1.94 g/t Au; and hole #58 with 8 metres of 24 g/t Ag and 4.92 g/t Au. Yamana believes these results indicate a "fault-offset extension of the discovery gossan with a total strike length of at least 1,200 metres, a width of about 200 metres, and a down-dip length of greater than 200 metres." YRI believes there is potential at Lejano for over 100 million ounces of silver and also gold and base metal values. I believe they are right. I like the Lejano project and believe additional good news may be unveiled in September or October when YRI returns to the site. But the market can do funny things between now and then. The smart move here is to sell into the current rally before the end of the week. As I am writing this the stock is plus $0.25 to $1.50 on 33,400 shares. Reacquire your position after the short form prospectus has cleared and dilution from the upcoming financing is absorbed. The expected financing will be a big one, over $10 million. I want to own this stock going into their next drill season, but I think the market will allow me to own it at lower prices. All information contained within is copywritten. To the best of our knowledge, the newsletter writers featured here have not received or accepted directly or indirectly any form of compensation from the companies mentioned herein for services of a public relations nature. Excerpts from material within this web site may be used upon written permission from the respective publisher. Copyright c 1997, 1998 Canspec Research Station. canspecresearch.com E-mail: webmaster