YUKON-NEVADA GOLD CORP. NEGOTIATES US$25 MILLION NOTE FINANCING
Vancouver, BC – July 13, 2010 – Yukon-Nevada Gold Corp. (Toronto Stock Exchange: YNG;
Frankfurt Xetra Exchange: NG6) (the “ Company ”) is pleased to announce that Sprott Asset Management
LP, for and on behalf of certain managed accounts, funds and other purchasers (“ Sprott ”), has agreed to
purchase US$25,000,000 principal amount in senior secured notes (the “ Notes ”). The proceeds from the sale
of the Notes will be used to assist with the development of the Jerritt Canyon Gold Project and for working
The Notes will have a maturity date of no later than March 31, 2013 and will be secured by a charge over all the
assets of Queenstake Resources U.S.A. Inc. (“ Queenstake ”) and a share pledge over all shares in
Queenstake. The Notes will be repaid through monthly cash payments that are equal to the dollar value of 1,000
ounces of gold, provided that the Company will guarantee a minimum rate of return of 5% per annum on the
aggregate principal amount over the life of the Notes.
In connection with the Note financing, the Company will issue to Sprott an aggregate of 25,000,000 common
share purchase warrants (the “ Warrants ”), each such warrant entitling the holder to purchase one common
share of the Company at a price of $0.40 per share for a period of three years following closing.
The transaction is subject to acceptance by the TSX.
The Notes and the Warrants and the common shares issuable upon exercise of the Warrants will be subject to a
hold period of four months and one day from the date of closing of the Note financing. A commission in the form
of shares of the Company will be payable on the closing of the Note financing.
Yukon-Nevada Gold Corp. is a North American gold producer in the business of discovering, developing and
operating gold deposits. The Company holds a diverse portfolio of gold, silver, zinc and copper properties in the
Yukon Territory and British Columbia in Canada and in Arizona