Left to right: Yukon MP Larry Bagnell, Premier Sandy Silver, Victoria Gold Corporation President and CEO John McConnell, and Nacho Nyak Dun Chief Simon Mervyn take part in a groundbreaking ceremony at the Eagle Gold Project August 18. (Michael Gates/Yukon News)

Victoria Gold breaks ground at Eagle gold mine

New mine will be largest gold mine in Yukon

Michael Gates & Lori Garrison

News Reporters

Victoria Gold Corporation officially broke ground for the first phase of construction of the Eagle gold mine on Aug. 18.

The ground-turning ceremony, which welcomed 50 people, including members of the business community and politicians, took place at Dublin Gulch, the future site of the new open-pit mine, 85 kilometres north of Mayo.

The Eagle Mine is slated to be the largest-ever gold mine in the Yukon, and is expected to employ up to 400 people in the territory. Victoria Gold acquired the property in 2009 and has invested $130 million in it so far, $50 million of which has gone to Yukon-based companies, said John McConnell, president and CEO of Victoria Gold Corporation.

“This is all good for the Yukon,” said Premier Sandy Silver, noting the significant capital investment that has gone into the project so far.

The Eagle Mine is situated on the traditional territory of the Nacho Nyak Dun First Nation. Silver cited the partnership between the Nacho Nyak Dun First Nation and Victoria Gold as a model for First Nations in other parts of the Yukon.

“This is our land and we are happy to share it with you,” said Nacho Nyak Dun First Nation Chief Simon Mervyn. “We are not opposed to development but we want to be part of the the plan, and we will be, for years to come.”

Mervyn characterized the relationship with Victoria Gold as similar to being in a family.

“You get along once in a while. You fight a lot, but usually we come to an agreement because we have respect for each other,” he said.

This phase of construction is slated to cost $40 million, the company said in an August 21 press release. The total cost of building the mine is expected to be $400 million. This stage of development includes expanding an already-established camp at Dublin Gulch, heap-leach pad construction and setting up the crusher foundation. McConnell said he hoped to have gold coming out of the mine in two years time.

In conjunction with this phase of construction, the company awarded multiple contracts, which “include significant participation by the First Nation of Nacho Nyak Dun Development Corporation,” the company said. This includes contracts for earthworks by Pelly Construction and NDDC-Cobalt JV, catering and site services and camp facilities by NND Summit Camp Services Ltd., construction of access road and bridge upgrades by NNDDC-Cobalt Ltd. and surveying by Underhill, a NNDDC partnership.

Gold deposits on the 555 square kilometre property are estimated to include around 2.7 million ounces. The mine is expected to have an operating life of 10 to 15 years.

Contact Yukon News at editor@yukon-news.com

Just Posted

Walmart to end overnight RV camping this summer

If only drivers of vehicles equipped with beds, fridges and showers could find shelter….

Look who’s 40: Dawson City Music Festival still kicking

‘I hope that they get to see some mind-blowing music’

How did the Yukon government fail to foresee the Whistle Bend housing crunch?

Adding 150 new continuing care workers to a town where rentals are scarce requires better planning

Whitehorse knight seeks return of swords stolen from truck

‘To anybody who’s not doing medieval martial arts, they’re basically just two big metal sticks’

Yukon’s housing-first project set to go over its original budget estimate

The lowest bid came in at $3.9 million. The government originally estimated $2.7 million

New logo unveiled for 2019 National Aboriginal Hockey Championships

‘I think bringing this tournament to Whitehorse will show some of these kids what is possible’

Yukon man found guilty of sexually abusing two girls

The man was found guilty of three counts of sexual interference and acquitted on two others

Destruction Bay motel owners appeal human rights pantsing case

Talbot Arm Motel co-owners Suzanne Tremblay and Charles Eikland filed a notice of appeal July 10

Atlin’s music festival breaks the rules, in a good way

With no cell service and the marketing kept to a minimum, this little festival is actually fun

New name, same data: Carproof to become Carfax Canada

Automotive data firm Carproof has announced that its name will change to… Continue reading

Jessica Frotten captures 4 medals at Canadian Track and Field Championships

‘I’ve had such amazing support system, that’s number one’

Whitehorse dressage show a competition for all ages

‘It’s about being one with your horse and working as a team and celebrating the harmony’

Most Read