Cyanide Contamination Detected Near Victoria Gold’s Eagle Gold Mine
- Cyanide has been detected near Victoria Gold’s (TSX:VGCX) Eagle Gold Mine in the Yukon Territory in the aftermath of the June 24 landslide and failure of a heap leach pad at the property.
- In a news conference on Thursday, Yukon’s energy and mines minister John Streicker said samples taken from the mine’s site indicated a cyanide presence of 8.58 mg per litre, which is much higher than the allowed levels of 0.005 mg per litre or five parts per billion.
- Insight: The detection of cyanide is concerning as it raises questions about the environmental impact of the mine’s operations and the effectiveness of safety measures in place.
- Insight: The contaminated water will be transferred to a containment structure and treated by Victoria Gold, highlighting the need for swift action to address the issue and prevent further contamination.
- Insight: The recommendation by Yukon’s chief medical officer of health to avoid the contaminated water reinforces the potential health risks posed by cyanide exposure, emphasizing the importance of public safety measures.
- Shares of Victoria Gold are down 6.32 per cent to C$0.89 as of 10:53 am ET.
Environmental Concerns and Response
According to the Financial Post, the contaminated water will be transferred to a containment structure and be treated by Victoria Gold. The sample collected from Haggart Creek is said to have had a cyanide presence of 0.04 mg per litre.
Sudit Ranade, Yukon’s chief medical officer of health, has allegedly recommended that people stay away from the creek’s region and not use the water for recreational purposes.
Victoria Gold’s Response and Community Impact
Thursday’s news conference comes after Victoria Gold’s statement alleging that no cyanide had as of yet been detected near the Eagle Gold Mine. “With respect to environmental mitigation, within hours of the incident a pumping system was established to return water from the (heap leach facility) material to lined containment ponds,” Victoria Gold stated in a news release.
It was also reported on Thursday by CTV News that a First Nation in Yukon is seeking an immediate halt of all mining activity as a result of the heap-leach pad failure at the Eagle Mine. “All mining activity must pause until there’s a land-use plan that limits development and includes rigorous oversight and enforcement of mining and industrial operations in our territory,” Chief Dawna Hope of the First Nation of Nacho Nyak Dun told CTV news.
Insight: The call for a halt in mining activities reflects the concerns of local communities regarding the environmental impact of the mine’s operations and the need for stricter regulation and oversight.
Overview of Eagle Gold Mine
The Eagle Mine is roughly 375 kilometres north of Whitehorse and began production in 2019. It is expected the mine will produce roughly 2.4 million ounces of gold over an 11-year mine life, including estimated production of 165,000-185,000 ounces at a cost guidance of US$1,450-$1,650 per ounce of gold sold in 2024. Victoria Gold is a Yukon-focused mining company engaged in gold production and exploration.
Insight: The incident at the Eagle Gold Mine serves as a reminder of the potential risks associated with mining operations and the importance of stringent environmental protection measures to mitigate these risks.
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(Top photo of Yukon Territory flag: Adobe Stock)
