Meridian Gold Inc. WKN 902 257 ISIN CA5899751013 MDG

I wonder how the acquisitions of Meridian Gold (MDG) and Northern Orion Resources (NTO) by Yamana Gold (AUY) and the resultant share dilution as AUY issues more stock, apparently mostly to holders of the bought-out companies, will impact the stock price of AUY.

Will these acquisitions cause AUY some short-term costs and result in a short-term price drop? Any expected bounce separate from the price of gold?

Last Update: 5:14 PM ET Jul 3, 2007

Jul 03, 2007 (Dow Jones Commodities News via Comtex) -- DOW JONES NEWSWIRES
Meridian Gold Inc.'s (MDG) board has reviewed Yamana Gold Inc.'s (AUY) unsolicited proposal for Meridian and has determined that the announced proposal doesn't provide a basis to enter into discussions with Yamana Gold.
As reported, Yamana and Northern Orion Resources Inc. (NTO) have agreed to merge, contingent upon Yamana's purchase of two-thirds of Meridian's shares. Meridian shareholders would get 2.235 of a Yamana share plus C$3.15 in cash for each share held and Northern Orion shareholders would get 0.543 of a Yamana share for each share held.
Meridian said that no formal offer has been made; if and when an offer is commenced, the board will "review such offer in due course and communicate with Meridian Gold shareholders as appropriate."
Meridian's board believes that the "14.9% premium to Meridian's undisturbed share price implied by Yamana's closing share price on Tuesday doesn't reflect the value of Meridian Gold's proven, high-quality, precious metals-focused asset base."
Goldman, Sachs & Co. and BMO Capital Markets are acting as financial advisors to the company. Canadian legal counsel to the Company is Fraser Milner Casgrain LLP and U.S. legal counsel is Skadden, Arps, Slate, Meagher & Flom LLP.
Reno, Nev.-based Meridian is a mid-tier gold producer. Yamana and Northern Orion are also gold companies.

Last Update: 6:25 AM ET Jul 5, 2007

LONDON, Jul 05, 2007 (Dow Jones Commodities News via Comtex) -- Edited Press Release
Yamana Gold and Northern Orion Resources Thursday responded to Meridian Gold Inc.'s public announcement of July 3, 2007.
Yamana said it has consistently communicated its willingness to engage in friendly, constructive discussions with Meridian and this has not changed. Toward this end, Yamana continues to encourage discussions that, among other things, would allow for due diligence to be completed and to properly consider value to all shareholders.
Yamana and Northern Orion said they have been very encouraged by the positive response the proposed transaction has received from shareholders of all three companies, including several of Meridian's institutional shareholders. Yamana and Northern Orion believe that this strategic business combination makes sense if it can be done on an expedited basis and further believe that the premium to Meridian shareholders in its cash and share offer of approximately 23% based on closing prices the day of Yamana's original announcement represents full and fair value for Meridian. Shareholders, including those of Meridian, will also benefit from the expected valuation increase following the combination.
The company said the combination of Yamana, Northern Orion and Meridian creates a powerful cash flow generating company that will be the pre-eminent intermediate gold producer with a leading resource, production growth and cash cost profile. It maintains a Latin American focus for each of the companies yet provides geographic diversification from the countries in which they are currently active. The New Yamana will be a stronger company with a diversified asset base and a leading presence in Latin America.
Yamana said it will continue to evaluate the best course of action for shareholders and consider any approach that would maximize value and encourage an open dialogue.

Last Update: 8:21 AM ET Jul 6, 2007

Jul 06, 2007 (Dow Jones Commodities News via Comtex) -- DOW JONES NEWSWIRES
Meridian Gold Inc. (MDG) said its consolidated second-quarter production was 80,300 ounces of gold, 2.3 million ounces of silver and 870 tonnes of zinc.
The Reno, Nev., company said teams in Chile continued to make operational progress at El Penon, and its expansion at Minera Florida is on track.
-Josee Rose; 201-938-5400; AskNewswires@dowjones.com
Order free Annual Report for Meridian Gold Inc.

Last Update: 5:01 PM ET Jul 3, 2007

RENO, Jul 03, 2007 (BUSINESS WIRE) -- The Board of Directors of Meridian Gold Inc. ("Meridian Gold" or the "Company") (MDG: Meridian Gold Inc) (CA:MNG) has considered the announcement by Yamana Gold Inc. ("Yamana") regarding its unsolicited proposal to acquire all of the common shares of Meridian Gold. Yamana had concurrently announced that it had entered into a business combination agreement with Northern Orion Resources Inc. ("Northern Orion"), which is conditional upon the acquisition of 66 2/3% of the shares of Meridian Gold by Yamana. The Board has reviewed the proposal with its management team and financial and legal advisors and, based on the information available to date, the Board has determined that the announced proposal does not provide a basis to enter into discussions with Yamana. The Board noted that no formal offer has been made; if and when an offer is commenced, the Board will review such offer in due course and communicate with Meridian Gold shareholders as appropriate.
Meridian Gold's Board of Directors noted that the 14.9% premium to Meridian's undisturbed share price implied by Yamana's closing share price on Tuesday, July 3rd does not reflect the value of Meridian Gold's proven, high-quality, precious metals-focused asset base. In addition to the heavy base metals weighting in the proposed combined entity, the complexity of the three-way structure creates further risks and uncertainties. Meridian Gold's Board of Directors remains committed to delivering superior value for all of its shareholders. Furthermore, the Company will continue to pursue all initiatives that will drive shareholder value.
Goldman, Sachs & Co. and BMO Capital Markets are acting as financial advisors to the Company. Canadian legal counsel to the Company is Fraser Milner Casgrain LLP and U.S. legal counsel is Skadden, Arps, Slate, Meagher & Flom LLP.
About Meridian Gold
A unique mid-tier gold producer, with world-class mining operations in Chile and Nevada and a pipeline of promising exploration projects throughout the Americas, Meridian's success to date has been based on grassroots gold discoveries and a low-cost strategy, resulting in a better approach to adding value and balancing growth. Meridian strives to be "The Premier Value Gold Mining Company," while building a better future for all of its stakeholders.

Last Update: 9:45 PM ET Jul 4, 2007

TORONTO, ONTARIO, Jul 04, 2007 (MARKET WIRE via COMTEX) -- YAMANA GOLD INC. (CA:YRI) (AUY: yamana gold inc com) (UK:YAU) and Northern Orion Resources Inc. (CA:NNO) (NTO: northern orion res inc com) today responded to Meridian Gold Inc.'s public announcement of July 3, 2007.
Yamana has consistently communicated its willingness to engage in friendly, constructive discussions with Meridian and this has not changed. Toward this end, Yamana continues to encourage discussions that, among other things, would allow for due diligence to be completed and to properly consider value to all shareholders.
Yamana and Northern Orion have been very encouraged by the positive response the proposed transaction has received from shareholders of all three companies, including several of Meridian's institutional shareholders. Yamana and Northern Orion believe that this strategic business combination makes sense if it can be done on an expedited basis and further believe that the premium to Meridian shareholders in its cash and share offer of approximately 23% based on closing prices the day of Yamana's original announcement represents full and fair value for Meridian. Shareholders, including those of Meridian, will also benefit from the expected valuation increase following the combination.
The combination of Yamana, Northern Orion and Meridian creates a powerful cash flow generating company that will be the pre-eminent intermediate gold producer with a leading resource, production growth and cash cost profile. It maintains a Latin American focus for each of the companies yet provides geographic diversification from the countries in which they are currently active. The New Yamana will be a stronger company with a diversified asset base and a leading presence in Latin America.
Yamana will continue to evaluate the best course of action for shareholders and consider any approach that would maximize value and encourage an open dialogue.
Yamana has prepared an updated presentation and a frequently asked questions document which shareholders may access on its corporate website by clicking on the link provided on the home page ( http://www.yamana.com).
About Northern Orion
Northern Orion Resources Inc. is a mid-tier copper and gold producer focused on the development of its Agua Rica project and engaged in the exploration for copper and associated by-product metals in Argentina. Northern Orion principal mineral properties and assets are a 12.5% indirect ownership interest in Minera Alumbrera Limited, which owns and operates the Bajo de la Alumbrera mine, a copper/gold mine in Catamarca Province, Argentina, and a 100% interest in the Agua Rica project (a copper/gold/molybdenum development property) also in Catamarca Province, Argentina. Northern Orion recently completed an update to the feasibility study for the development of the Agua Rica project.
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. 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 Brazil, Argentina and elsewhere in the Americas.

Last Update: 8:00 AM ET Jul 6, 2007

RENO, Nev., Jul 06, 2007 (BUSINESS WIRE) -- Meridian Gold Inc. ("Meridian Gold" or the "Company") (MDG: Meridian Gold Inc) (CA:MNG) is pleased to announce operational highlights from the second quarter 2007.
Highlights during the second quarter include:
-- Consolidated gold production of 80,300 ounces of gold, 2.3 million ounces of silver, and 870 tonnes of zinc
-- Commenced production at the Company's Rossi/Storm project with Barrick Exploration
-- Entered into a fully underwritten US$300,000,000 Revolving Credit Facility with UniCredit Group
-- Commenced work towards a pre-feasibility study at the Amancaya deposit south of El Penon
-- Obtained two key environmental approvals at El Penon
-- Continued Minera Florida expansion plans to bring total mill throughput to 65,000 tonnes per month and annual gold production to over 100,000 ounces by the end of 2008
-- Began metallurgical testing at the Company's 56.7% Jeronimo JV project with CODELCO
Consolidated gold production for the second quarter totaled 80,300 ounces of gold, 2.3 million ounces of silver and 870 tonnes of zinc. At El Penon, for the second consecutive quarter, production exceeded the Company's internal budgets. For the quarter production was 13% better than forecasted and year-to-date, production was 14% greater than forecasted. During the second quarter, the mine experienced its highest quarterly silver production since the commissioning of El Penon, reaching a record amount of 2.1 million ounces. During the second quarter, the Rossi/Storm mine poured its first gold, recorded approximately 8,200 ounces of gold (100% basis), and is on track to commence full production during the third quarter as planned. Minera Florida continued production on budget, producing 16,700 ounces of gold, 118,200 ounces of silver and 870 tonnes of zinc.
In addition to the strong production results, further operational developments at El Penon were made during the second quarter. The mine received two key environmental permits for the planned expansion projects, including the authorization to increase mill processing up to 3,500 tonnes per day, and the authorization for full mining production at Fortuna. Also, during the month of June, 5,000 tonnes of ore were mined from the Fortuna vein. The processing plant operated at a record 2,845 tonnes per day, and the underground mine produced at a record 2,588 tonnes of ore per day. At the Amancaya deposit, which is located 120 kilometers south of the core El Penon area, the Company initiated a pre-feasibility study in order to evaluate the economical extraction methods for this deposit. Finally at El Penon, the exploration team drilled 13 holes into a potential vein system, Esmarelda.
At Minera Florida, the expansion is on track, the environmental permits were submitted to the governmental agencies during the second quarter, and the new grinding mill and flotation cells were ordered and are expected to arrive on site in October.
At Jeronimo, metallurgical testing commenced in full force in order to advance this project on a faster than planned schedule. Management is expecting to have indication results available for release during the third quarter.
Edgar Smith, Meridian's Vice President of Operations, commented, "I am pleased to report that during the second quarter, the teams in Chile continued to make progress with the operational excellence initiatives at both El Penon and Minera Florida. It is extremely satisfying to see the initiatives underway and new production records being met. I am pleased with the progress on the expansion plans and am looking forward to an active remainder of the year."
During the second quarter, the Company also entered into a fully underwritten Revolving Credit Facility with UniCredit Group for US 300,000,000. The facility term is set for 5 years and carries an interest rate of LIBOR plus an interest margin ranging from 120 basis points up to a maximum of 170 basis points. The facility will be used for general corporate purposes and additional liquidity as the Company continues to grow annual production to one million ounces per annum.
"The second quarter was another quarter of operational success, as we continued our efforts towards operational efficiency and expansion at the operating mines. I am particularly pleased with the results from El Penon," commented Ed Dowling, Meridian's President and CEO. "We continue to work diligently towards creating the Premier Value Gold Company."
Second Quarter Conference Call
Meridian Gold is hosting a simultaneous live webcast of its conference call on Wednesday, July 25, 2007, at 9:00 a.m. EDT through Thomson/CCBN. If you would like to listen to our conference call, you may dial (888) 825-3209 in the United States or Canada, and (617) 213-8061 from other international locations. Passcode No. 23121153. All participants will be required to register with the operator. If you would prefer to follow the presentation on the web, go to the Company's home page at http://www.meridiangold.com and click on the link under Calendar of Events. There will be a slide show available in conjunction with the call, which will also be available for viewing on the Meridian Gold website. You will need to have Windows Media Player installed on your computer and you will also be required to complete a registration page in order to log on to the webcast. For those whose schedules do not permit participation during the call, or for those who would like to hear the discussion again, a replay will be available for one week following the call by dialing toll-free (888) 286-8010 or internationally (617) 801-6888. Passcode No. 84056863. The webcast will be available for three months on Meridian Gold's website.
Meridian Gold Inc. is a different kind of gold company. The focus is on profitability, and the quality of the ounces produced, not the quantity of ounces produced. The quality of these ounces is measured by the value delivered to all stakeholders during the process; including all shareholders, employees and the communities and environment in which Meridian lives and operates.

Meridian Gold Inc.'s (MDG) board is unanimously recommending that shareholders reject Yamana Gold Inc.'s (AUY) unsolicited C$3.35 billion (US$3.14 billion) cash-and-stock takeover offer.
Meridian said its board has determined that the offer "fails to provide full value for Meridian Gold shares."
The boards recommendation is contained in a directors' circular being mailed to all Meridian shareholdrs.
Meridian said it's exploring "value-maximizing alternatives."
Reno, Nev.-based Meridian and Toronto's Yamana are gold companies.

TORONTO, ONTARIO, Jul 31, 2007 (MARKET WIRE via COMTEX) -- In response to the outstanding offer by YAMANA GOLD INC. (CA:YRI) (AUY:
yamana gold inc com) (UK:YAU) to acquire the outstanding shares of Meridian Gold Inc., the Meridian Board of Directors today filed its Directors' Circular required by applicable securities laws.
Yamana will provide a detailed response to the Meridian Directors' Circular in due course.
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. 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 Brazil, Argentina and elsewhere in the Americas.

TORONTO, ONTARIO, Jul 31, 2007 (MARKET WIRE via COMTEX) -- In response to the outstanding offer by YAMANA GOLD INC. (CA:YRI) (AUY:
yamana gold inc com) (UK:YAU) to acquire the outstanding shares of Meridian Gold Inc., the Meridian Board of Directors today filed its Directors' Circular as required by applicable securities laws.
Yamana expresses disappointment with the conclusions of the Meridian Board as outlined in the circular, and notes that the circular failed to address the many benefits which Meridian shareholders stand to gain by becoming part of the combination of Yamana, Northern Orion and Meridian. Moreover, after careful review of Meridian's Directors' Circular, investor presentation, and audit of their conference call, Yamana believes that there is no new material information concerning Meridian that is not already publicly known and inherent in their share price. Yamana has been offered no new information that would change its view that its offer is full and fair.
Yamana's chairman and chief executive officer, Peter Marrone, commented, "At the time we made public our intention to launch an offer for Meridian, we laid out several compelling reasons why the combination of these three companies would generate significant value for the shareholders of all three companies. These reasons have not changed. We encourage shareholders to consider these benefits. Meridian has also communicated its intention to explore value-maximizing alternatives and Yamana believes that the most attractive alternative is this combination. We continue to welcome the opportunity to discuss this further with Meridian and its shareholders."
The combination would result in the creation of a pre-eminent mid-tier gold producer with the following attributes:
A Leader in Production Growth
- estimated annual gold production increasing to a sustainable level of approximately 1.5 million ounces of gold and 2.5 million ounces of gold and gold equivalent by 2009 from a combined base of approximately 660,000 ounces in 2006
Low Cash Cost Producer
- sustainable negative cash operating costs per ounce of gold produced on a by-product basis and cash operating costs per ounce of gold produced amongst the lowest in the industry on a co-product basis
Unparalleled Cash Flow - Over $600M Annual Operating Cash Flow
- growth in cash balances after fully funding growth
Core Asset Base Deepens Latin American Presence
- six principal mining and development projects in Brazil, Chile and Argentina estimated to account for over 74% of the combined company's pro-forma net asset value
Highly Liquid Gold Vehicle
- combined daily average trading volume of more than US$150 million through three leading global stock exchanges based on current trading volumes
Yamana is now the best value gold mining company and this combination would allow Meridian shareholders to participate in that value.
Meridian's assets will make an excellent addition for Yamana and the offer fully values these assets. There is nothing in the Meridian response or in their recent second quarter 2007 results that would lead Yamana to conclude that there is any additional value in Meridian that was not fully understood when the original offer was announced on June 27, 2007. Yamana is confident of the success of its bid as the offer represents full and fair value for the Meridian shareholders. Yamana's offer represents an approximate 25% premium to the average closing price of Meridian's shares for the 20 trading days on the TSX prior to the original announcement or an approximate 23% premium to the closing price on June 27, 2007.
"We have met and discussed our offer with Meridian's shareholders and these discussions have confirmed our belief that the strategic fit and logic of the combination with Yamana and Northern Orion is embraced by them," added Mr. Marrone. "In addition to the immediate premium, Meridian shareholders will participate in the additional value creation available to them as shareholders of the combined company."
Yamana takes this opportunity to address specific key issues for consideration with respect to its offer to acquire Meridian.
PREMIUM OFFERED TO MERIDIAN SHAREHOLDERS
- Based on respective average closing prices for the 20 trading days on the TSX prior to the original announcement, Yamana's offer represents a premium of approximately 25% for the Meridian shareholders.
- Using Meridian's methodology to calculate "hypothetical unaffected stock prices", Yamana's offer represents a premium of approximately 22% for the Meridian shareholders.
- Yamana believes that Meridian's share price is, and has been for some time, generally viewed as fully valued, with trading multiples at the upper end compared to its peers. This was taken into consideration by Yamana in determining an appropriate premium.
- Yamana's offer has contributed to Meridian's recent above average share price performance.
- Yamana reiterates that it has offered full and fair value to the Meridian shareholders, particularly considering the profile of the company in which they will be holding shares following the successful completion of the transaction.
DELIVERING ON PROMISES
- Meridian has had a strategic objective to become a million ounce producer by 2008 through organic means while not disregarding earnings. Yamana's goal for only a short period has been to sustain 1 million ounces of gold production by 2009 and it has executed on this plan while also focusing on cash flow, earnings and returns for shareholders and, in that time, Yamana has achieved that goal.
- Yamana offers Meridian shareholders the opportunity to achieve their stated production objective by merging with Yamana which has already achieved this objective.
- Yamana's share price has out-performed its peers over the past five years and Meridian's share price in particular:

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Compo
und Annual Return(1) Meridian Peers(2) Yamana
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1 year (23%) (7%) 5%
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2 year 9% 20% 59%
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3 year 15% 15% 65%
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5 year 1% 10% N/A(3)
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(1) Trailing annualized returns.
(2) Includes Barrick, Goldcorp, Kinross, Agnico-Eagle, IAMGOLD, Rangold.
(3) Yamana Gold was formed in July 2003.

YAMANA IS A GOLD MINING COMPANY
- All of the future growth in Yamana is attributed entirely to gold.
- Production at four of its five operating mines is gold only production and Yamana has a pipeline of significant gold only development and exploration properties. Yamana's plan has been to increase its gold production to more than one million ounces of gold and has the mines and projects to achieve that goal by 2009. It is already producing gold this year at a level that is a multiple of Meridian's gold production.
- Comparable gold producers derived on average 34% of their revenue from metals other than gold and 26% of their revenue from base metals in 2006. This is consistent with Yamana's sustainable revenue levels.
- Following the three-way transaction, core gold production continues to increase and copper production declines to levels resulting in less than 30% non-gold revenue, consistent with Meridian and comparable companies.
- Yamana's success derives from a focus on gold and its inherent value along with returns for shareholders. Financial prudence and discipline comes from delivering returns and sustaining and growing cash flow and earnings from all sources.
OPERATIONAL TRACK RECORD
- Yamana has successfully permitted, built and commissioned two major mines (Chapada and Sao Francisco) in a two-year period and thereby demonstrated significant operational depth.
- Growth in cash flow and earnings arises from organic growth.
- At Chapada, production was forecast in 2004 to grow to 103,000 ounces of gold in 2007 and 160,000 ounces of gold in 2008. Current forecasts are for 180,000 to 205,000 ounces of gold in 2007 and between 170,000 and 190,000 ounces of gold in 2008.
- Yamana has continued to build its operations and technical expertise by retaining in-country teams from acquisitions.
- Yamana has demonstrated a consistent approach of increasing revenue, operating profit, cash flow and earnings and will continue to do so.
CONTINUED RESOURCE BASE GROWTH
- Yamana has been successful in adding to its resource base, growing it from approximately 5.1 million ounces of measured and indicated mineral resources at the company's inception in 2003 to 13.7 million ounces by year-end 2006.
- Based on respective pre-announcement share prices, on a per US$1,000 invested basis, Yamana's gold equivalent measured and indicated resources total approximately 4.41 ounces versus 3.07 ounces for Meridian.
- On a per US$1,000 invested basis, the combined company will offer gold equivalent measured and indicated resources of 9.24 ounces.
CULTURE OF VALUE CREATION AND SUSTAINABLE GROWTH
- Yamana has been successful implementing a Latin American focused strategy with a track record of adding value by increasing resource estimates and exceeding production targets.
- Yamana has a culture of capitalizing on its opportunities to add growth and value for shareholders through exploration, development and strategic acquisitions. Each of these is of equal importance to Yamana.
- Yamana uses several criteria before investing in a country, including geological potential, political stability, infrastructure, personnel skill, favourable mining regulations, friendliness toward the mining industry and the measures it can undertake to develop sustainability and good community relations. Yamana's operations are located within some of the most stable countries in Latin America.
- Brazil is the largest, fastest growing economy in Latin America. The proposed transaction actually reduces risk for shareholders of Meridian, Northern Orion and Yamana through geopolitical and project diversification.
- Yamana has over one million hectares of exploration concessions in Brazil and a considerable exploration package with a substantial budget (US$32 million in 2007). More information on exploration upside will be provided in due course.
- Resources and production have increased at all three mines acquired by Yamana in 2006. Yamana undertakes strategic acquisitions in a manner where it can provide value added. Shareholders from all three acquisitions received liquid shares that have outperformed the market post-closing.
- Meridian shareholders will benefit from this track record and management competence.
RETURN ON CAPITAL EMPLOYED
- As highlighted in the public record, 2007 is the year in which Yamana has become an earnings and cash flow generating company.
- Meridian's comparison to Yamana with respect to return on capital employed for the years leading up to year-end 2006 is not particularly relevant.
- Yamana projects that its return on capital employed for 2007 will be one of the highest in the industry and significantly higher than Meridian's.
- With the earnings and cash flow contributed by its existing operations, Yamana projects that the return on capital employed for the combined company will continue to be one of the highest in the industry.
STRONG BALANCE SHEET
- The combined company would have a pro forma cash position of approximately US$575 million, and the ability to finance the successful development of the combined pipeline of projects without the issuance of new equity.
A STRAIGHTFORWARD TRANSACTION
- The proposed transaction is simply two concurrent acquisitions and from the perspective of a Meridian shareholder is a conventional take-over bid
- Yamana has a proven track record of successfully completing acquisitions and business combinations.
- Yamana encourages shareholders to focus on the strategic fit of the three companies and the profile of the combined company.
- Northern Orion's Board of Directors is unanimously recommending that the Northern Orion shareholders vote in favour of the combination with Yamana at their shareholders meeting currently scheduled for August 22, 2007, prior to the expiry date of the offer.
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. 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 Brazil, Argentina and elsewhere in the Americas.

LONDON (MarketWatch) -- Yamana Gold (AUY: yamana gold inc com) said it's increased the cash component of its offer for Meridian Gold (MDG: Meridian Gold Inc) and wavied the due diligence access condition. It's upping the cash component by 85 Canadian cents a share to C$4 a share, up 27% from a previous offer. Meridian Gold holders are being offered 2.235 Yamana share and C$4 in cash for each share.

Yamana Boosts Cash Portion In Hostile Bid for Meridian

Yamana Gold Inc. boosted the cash portion of its hostile-takeover bid for Meridian Gold Inc. by 27%, two weeks after Meridian rejected the prior 3.35 billion Canadian dollar (US$3.18 billion) offer.

The company is now offering C$4 and 2.235 Yamana shares per Meridian share. That values each Meridian share at US$28.34, a 3.3% premium to Monday's closing price and 26% above Meridian's price when Yamana first proposed a three-way merger with Northern Orion Resources Inc. in June.

Toronto-based Yamana said the cash portion of the bid now will be solely funded by a US$400 million, five-year credit facility. The company ...

TORONTO, ONTARIO, Aug 14, 2007 (MARKET WIRE via COMTEX) -- YAMANA GOLD INC. (CA:YRI) (AUY: yamana gold inc com) (UK:YAU) today announced that it has increased the cash component of its offer to acquire all of the outstanding common shares of Meridian Gold Inc., waived the due diligence access condition and extended the offer deadline to September 7, 2007....

Yamana Increases Offer for Meridian Gold; Northern Orion Continues to Recommend the Business Combination With Yamana

VANCOUVER, BRITISH COLUMBIA, Aug 14, 2007 (MARKET WIRE via COMTEX) -- Northern Orion Resources Inc. (CA:NNO) (NTO: northern orion res inc com) -
Yamana Gold Inc. ("Yamana") announced today that it has provided a final offer to acquire all of the outstanding common shares of Meridian Gold Inc. ("Meridian"), waived the due diligence condition and extended the offer deadline to September 7, 2007.
Yamana has increased the cash component of the offer by C$0.85 per share to a total of C$4.00 per share. Meridian shareholders will now be entitled to receive 2.235 Yamana common shares plus C$4.00 in cash for each Meridian common share tendered and taken up by Yamana. The cash portion of the consideration will now be funded from a new $400 million acquisition five-year credit facility secured specifically for the purposes of this offer. Yamana does not intend to rely on the funds previously made available from Northern Orion to fund the cash portion of its offer.

VANCOUVER, BRITISH COLUMBIA, Aug 22, 2007 (MARKET WIRE via COMTEX) -- Northern Orion Resources Inc. (CA) (NTO: northern orion res inc com) is pleased to announce that its shareholders have approved the Plan of Arrangement with Yamana Gold Inc. ("Yamana"). At a Special Meeting of Northern Orion shareholders held in Vancouver earlier today, the Arrangement was approved by 83.1% of the votes cast and no notices of dissent were received.
Under the terms of the Arrangement, Northern Orion shareholders will receive 0.543 of a Yamana share plus Cdn.$0.001 in cash for each Northern Orion share. Among other regulatory requirements, completion of the Arrangement between Northern Orion and Yamana remains subject to at least 66 2/3% of Meridian Gold Inc. ("Meridian") shares being tendered to the Yamana offer for Meridian. Yamana's offer for Meridian is scheduled to expire on September 7, 2007.
Commenting on the results, David Cohen, Northern Orion's President and CEO said, "Northern Orion's strong shareholder support for the Arrangement demonstrates our clear commitment to the business combination with Yamana. This positive vote also considerably simplifies the transaction involving Northern Orion, Yamana and Meridian in that an essential condition has now been removed from the transaction. We continue to believe that the resulting company will have one of the strongest growth profiles and cash flow generating abilities in the intermediate gold producer category."
David Cohen, President and CEO

Reiterates Rejection of Yamana Offer

RENO, Nevada, Aug 22, 2007 (BUSINESS WIRE) -- Meridian Gold Inc. ("Meridian Gold" or the "Company") (CA:MNG) (MDG: MDG) , in response to the announcement that Northern Orion Resources Inc. ("Northern Orion") shareholders approved the business combination with Yamana Gold Inc. ("Yamana"), today reiterated the unanimous recommendation that Meridian Gold shareholders reject Yamana's unsolicited amended offer to acquire Meridian Gold common shares.
Brian Kennedy, Chairman of Meridian Gold's Board of Directors, stated, "The approval by Northern Orion shareholders of the business combination with Yamana does not change in any way the value of Yamana's unsolicited amended offer to Meridian Gold shareholders and therefore does not affect the Board's view that Yamana's offer fails to adequately compensate Meridian Gold shareholders for the inherent value of the Company."
"We believe strongly that Meridian Gold shares represent a better value proposition for our shareholders than Yamana's unsolicited amended offer. We continue to recommend that shareholders reject the offer," added Kennedy.
As announced on August 20, 2007, the Meridian Gold Board of Directors determined that the unsolicited amended offer by Yamana still fails to provide full value for Meridian Gold shares and unanimously recommended that shareholders reject the revised offer and not tender any of their shares.
About Meridian Gold
A unique mid-tier gold producer, with world-class mining operations in Chile and Nevada and a pipeline of promising development and exploration projects throughout the Americas, Meridian Gold's success to date has been based on grassroots gold discoveries and a low-cost strategy, resulting in a better approach to adding value and balancing growth. Meridian Gold strives to be "The Premier Value Gold Mining Company," while building a better future for all of its stakeholders.

* Meridian Gold, Inc. - New High Grade Vein Discovery At El Penon, Along With Additional Significant Exploration Results

Sep 04, 2007 (Dow Jones Commodities News via Comtex) -- DOW JONES NEWSWIRES
The Ontario Securities Commission has confirmed a hearing date to consider the cease trading of Meridian Gold Inc.'s (MDG) shareholders rights plan pursuant to an application made by Toronto's Yamana Gold Inc. (AUY).
Yamana said the hearing will take place Wednesday at 10:00 a.m. EDT. Yamana is seeking an order to have the rights plan cease trade on Sept. 11, on the condition that its bid be extended to that date.
Yamana has offered C$4.00 plus 2.235 of a Yamana share for each Meridian share as part of a three-way combination between Yamana, Meridian and Northern Orion Resources Inc. (NTO). The offer deadline currently is Sept. 7.
Yamana is a gold company.

Meridian Gold, Inc. - New High Grade Vein Discovery at El Penon, along with Additional Significant Exploration Results

RENO, Nev., Sep 04, 2007 (BUSINESS WIRE) -- Meridian Gold, Inc. ("Meridian Gold" or the "Company") (MDG: Meridian Gold Inc) (CA:MNG) today announced the exciting discovery, at its flagship El Penon mine in Chile, of another new high-grade vein and the extension of the Al Este vein, forming a major new nucleus of high grade gold and silver mineralization. Meridian Gold also reported on further significant drilling success at the Mercedes project in Mexico, encouraging exploration results from its La Pepa project in Chile and the acquisition of a 65% interest in the Membrillo and Chancon mining districts adjacent to Minera Florida.

Yamana Seeks Termination of Meridian Poison Pill-OSC Hearing Date Set

TORONTO, ONTARIO, Sep 04, 2007 (MARKET WIRE via COMTEX) -- YAMANA GOLD INC. (CA:YRI: news, chart, profile) (AUY: AUY ) (UK:YAU) announces that the Ontario Securities Commission ("OSC") today confirmed a hearing date to consider the cease trading of Meridian Gold Inc's shareholders rights plan or "poison pill" pursuant to an application made by Yamana. The hearing will take place tomorrow morning, Wednesday, September 5, 2007 at 10:00 am ET. In order to be accommodative, Yamana is seeking an order to have the rights plan cease trade on September 11th, on the condition that its bid be extended to that date.
Yamana will issue a press release providing any updates with respect to the poison pill and the bid deadline as appropriate following completion of the OSC hearing on Wednesday. The Company fully expects that the shareholders rights plan will be cease traded and urges Meridian shareholders to tender their shares now.
Yamana has considered, amongst other matters, that Meridian has had more than two months to consider Yamana's offer and to table any other alternatives. It is time for the poison pill to be removed so that shareholders can respond to Yamana's offer.
Yamana has offered C$4.00 plus 2.235 of a Yamana share per each Meridian share as part of a three-way combination between Yamana, Meridian and Northern Orion. Northern Orion shareholders voted overwhelmingly in favour of the transaction on August 22, 2007. The offer deadline currently is September 7, 2007.