Victoria Gold

Victoria Gold fined $95K for violating mining licences in Yukon

Victoria Gold fined $95K for violating mining licences in Yukon

The Victoria Gold Corp. has been fined $95,000 after pleading guilty to violating some of its licence conditions at the Eagle gold mine near Mayo, Yukon. The company was charged by the territorial government in June. The company was accused of failing to maintain minimum water storage requirements at the mine site. The government alleged Victoria Gold stored more water in its heap leach facility than its licence allows. It also said Victoria Gold failed to report the amount of water it transferred every month.

Yukon judge grants stay to mining company over higher security payment

Yukon judge grants stay to mining company over higher security payment

A Yukon Supreme Court judge has paused part of a security payment contested by the territory's largest mine, ruling the company's bottom line would be adversely impacted. In June, the Yukon Water Board ordered Victoria Gold — the company behind the Eagle Gold Mine near Mayo — to furnish a total of $105 million by mid-September, arguing security needed to be increased because the company breached its water licence. That amount is roughly $74 million more than what Victoria Gold had already put forward, an estimated $31 million. It's also higher than a Yukon government security calculation of roughly $69 million.

Victoria Gold, Yukon Water Board argue in court over higher security payment

Victoria Gold, Yukon Water Board argue in court over higher security payment

Water licences are required for most mining operations and typically come with a number of conditions, which may include a requirement to provide a security cash deposit so funds are available for clean-up and remediation efforts should anything go wrong. Every two years, mining companies are required to submit reclamation and closure plans, to ensure sufficient security. Buchan said Victoria Gold hasn't been in compliance with that process, pointing to a lack of information on adjustments to its heap leach pad involving certain recontouring work, and apparent snow removal obligations from that site.