It may appear to be a poor deal for Extorre based on the share price drop over the last 6 months but I haven't seen any analysis of the deal based on an EV/Oz basis and comparison against similar acquisitions. I get a rough number of :

$ 414 MM(deal value) - $ 27 MM (cash on hand) / 2.4 MM Au Eq Oz= $ 161/Oz

That's much better than the deal Trelawny received from Iamgold( almost double). Extorre had no other choices with no production and based in Argentina only. Unless someone has a different analysis it looks like the XG shareholders got a good deal and Yamana certainly sees a future in Argentina. Furthermore the YPF Repsol situation is quite different from mining in Argentina although there is greater country risk in general. A recent report assesses the risks : http://www.kitco.com/ind/GoldReport/20120618.html

but he failed to uncover the reason why Repsol was dragging their feet to develop the oil resources. They weren't getting paid the world oil price for their production so there wasn't a strong incentive. I would be surprised if AUM plans to spend any significant amount of money on El Quevar until the situation becomes more clear but it is certainly an asset. The focus should be on Velardena for improving operations and drilling some exploratory wells to generate some excitement.