Yukon Nevada Gold Corp T.YNG

Agreement with Deutsche Bank

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WebBroker Alert

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Yukon-Nevada Gold Corp. Closes $120 Million Agreement with Deutsche Bank

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VANCOUVER, Aug. 15, 2011 /CNW/ - Yukon-Nevada Gold Corp. (TSX: YNG) (Frankfurt Xetra Exchange: NG6) (the "Company") is pleased to announce that it has closed the Forward
Gold Purchase Agreement (the "Agreement") with Deutsche Bank AG, London
Branch ("Deutsche Bank") as announced on August 3, 2011. Deutsche Bank
has funded a US$120 million prepaid gold forward facility (the "Gold
Facility") to Queenstake Resources USA, Inc. ("Queenstake"), a
wholly-owned subsidiary of the Company.


The Company has received the required shareholder approvals in
accordance with Section 604(d) of the TSX Company Manual and
Multilateral Instrument 61-101, and has satisfied all of the closing
conditions and internal approval requirements.


The facility is a forward contract structured to deliver 173,880 ounces
of gold over a 48 month term (the "Transaction"). The schedule of gold
payments is set forth as follows: during the first six (6) months of
the term, 1,000 ounces per month; for the next six (6) months of the
term, 2,000 ounces per month; for the final 36 months of the term,
4,330 ounces per month. The 173,880 ounces of gold that have been
committed under this gold facility represent approximately 24.3% of the
gold reserves or 5.1% of the total gold resources at Queenstake's
wholly-owned Jerritt Canyon property in Nevada, USA.


The gold pricing valuation has been finalized and subsequent to the
receipt of the US$120 million prepayment, the remainder of the purchase
price for the gold will be paid to Queenstake upon completion of the
monthly gold deliveries to Deutsche Bank and will be equal to the
amount that the gold price exceeds US$850 up to a maximum gold price of
US$1,950 (an increase from US$1,700 as previously disclosed).


Use of proceeds from the Gold Facility include repayment of senior
secured notes issued to note holders led by Sprott Asset Management LP
in August 2010 and the remainder of the proceeds are to be used for the
capital expenditures at the Jerritt Canyon property, including the
winterization of the processing facility, construction of the tailings
storage facility and development of the existing underground and open
pit mines in addition to further improvements to the gold production
processes to enhance throughput at the mill.


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
Nevada in the United States. The Company's focus has been on the
acquisition and development of late stage development and operating
properties with gold as the primary target. Continued growth will occur
by increasing or initiating production from the Company's existing
properties.


If you would like to receive press releases via email please contact [e-mail] and specify "Yukon-Nevada Gold Corp. releases" in the subject line.


The TSX has not reviewed and does not accept responsibility for the
adequacy or accuracy of this release.


WARNING: The Company relies upon litigation protection for
"forward-looking" statements.


This news release does not constitute an offer to sell or a solicitation
of an offer to buy any of the securities in the United States. The
securities have not been and will not be registered under the United
States Securities Act of 1933, as amended (the "U.S. Securities Act")
or any state securities laws and may not be offered or sold within the
United States or to U.S. Persons unless registered under the U.S.
Securities Act and applicable state securities laws or an exemption
from such registration is available.




For further information:

Yukon-Nevada Gold Corp. Richard Moritz Senior Director, Institutional Investor Relations Tel: [phone] Email: [e-mail]

Nicole Sanches Investor Relations Manager Tel: [phone] ext 224 Email: [e-mail] www.yukon-nevadagold.com CHF Investor Relations Jeanny So Director of Operations Tel: [phone] ext. 225 Email: [e-mail] www.chfir.com

AXINO AG Wolfgang Seybold Chairman Tel: [phone] Email: [e-mail] www.axino.de/

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