Ground Turned on Next Yukon Mine
Some 50 people gathered in late August for the official ground turning ceremony at what will become the largest gold mine in the history of Yukon.
Victoria Gold’s Dublin Gulch property will soon be home to the Eagle Mine, an open-pit gold mine about 85 kilometres north of Mayo. It is expected to employ up to 400 people in the territory and cost roughly $400 million to build.
“This is all good for the Yukon,” said Yukon Premier Sandy Silver.
The Eagle Mine is situated on the traditional territory of the Nacho Nyak Dun First Nation and Silver highlighted the relationship between the Nacho Nyak Dun and Victoria Gold as a positive example for future would-be developers to learn from going forward. Nacho Nyak Dun First Nation Chief Simon Mervyn echoed those sentiments while addressing the crowd.
“This is our land and we are happy to share it with you,” said Mervyn. “We are not opposed to development, but we want to be part of the plan, and we will be, for years to come.”
For now the company is in Phase 1 of mine construction. Expected to total roughly $40 million, the program will focus on: Preparing the mine site for construction in 2018; Road upgrades; Camp expansion and detailed engineering; as well as Critical path earthworks, including at the toe of the in-valley leach facility, and the cut and fill of the crusher foundation.
“This is an exciting milestone in the ongoing development of the Eagle Gold Project,” said John McConnell, Victoria Gold President and CEO. “The Phase 1 construction program will set us up for an efficient, low-risk construction program in 2018.”
In conjunction with this program, a number of contracts have been awarded which include significant participation by the First Nation of Nacho Nyak Dun Development Corp. (“NNDDC”). Some of the highlights include:
EPCM, JDS Energy & Mining / Hatch;
Earthworks, Pelly Construction and NNDDC-Cobalt JV;
Catering and Site Services, NND Summit Camp Services Ltd.;
Access Road and Bridge Upgrades, NNDDC-Cobalt JV;
Camp Facilities, NND Summit Camp Services Ltd.;
Misc Site Services, Ewing Construction (NND business);
Surveying, Underhill (NNDDC partnership);
and, Expediting, Smalls Expediting.
Victoria Gold’s 100 per cent-owned Dublin Gulch gold property is situated in the central Yukon, approximately 375 kilometers north of Whitehorse. The Property is accessible by road year-round, and is located within Yukon Energy’s electrical grid. The Company has constructed and maintains a 210-person all-season camp at the project site.
The Property covers an area of approximately 555 square kilometers and will be the site of the Company’s Eagle Gold Mine. It includes Proven and Probable Reserves of 2.7 million ounces of gold from 123 million tonnes of ore with a grade of 0.67 grams of gold per tonne.
The mine is expected to have an operating life of 10 to 15 years once production begins in about two years’ time.
