YUKON – Victoria Gold Corp. of Toronto is moving its Eagle gold deposit 375 km north of Whitehorse into the engineering stage. The company has hired JDS Energy and Mining in partnership with Hatch for the engineering, procurement and construction management contract.
Victoria Gold plans to make the Eagle mine the Yukon’s next – and largest – gold mine.
Victoria Gold took delivery of the Eagle feasibility study in late 2016. Since then it has begun engineering on certain critical parts of the project, including the heap leach pad.
“This is an important commitment for Victoria and we are eager to work with JDS/Hatch in the ongoing development of the Eagle gold project,” stated John McConnell, Victoria Gold president and CEO. “The work over the coming weeks will, by advancing the engineering, enable commencement of site construction activities and the placing of orders for long lead equipment as we continue our drive to become Yukon’s next and largest ever gold producer.”
The Eagle deposit has probable reserves of 92 million tonnes with a grade of 0.78 g/t gold or 2.3 million contained oz. The indicated resource is 222 million tonnes at 0.68 g/t (4.9 million oz.), and the inferred resource is 78 million tonnes at 0.60 g/t (1.5 million oz.) Average annual gold production over 10 years will be 190,000 oz. per year at an all-in sustaining cost of US$638 per oz. Initial capital expenditures will be C$370 million. Mining will be by conventional open pit truck and shovel methods.
The 2016 feasibility study is posted at www.VitGoldCorp.com.