Access previous updates: Victoria Gold Corporation heap leach failure

The Government of Yukon provided an update on spring melt conditions and water management at Eagle Gold Mine. Key points include:

Spring melt water management

• To prevent storage ponds from overflowing during the spring melt, the Receiver is releasing untreated contact water to keep water levels safe.
• This action follows the mine water strategy submitted to the Government of Yukon and supported by the First Nation of Nacho Nyak Dun.
• Contact water has come into contact with the open pit and waste rock but does not contain cyanide. It may exceed sediment and metal levels, so interim measures such as hay bale filtration and flocculant are in place. 

Environmental protection efforts 

• The discharge of untreated contact water was necessary to avoid uncontrolled release of water containing cyanide.
• Cyanide-contaminated water continues to be treated and discharged at 3,000 to 6,000 cubic metres per day.
• Water treatment meets federal quality standards but not site licence conditions due to elevated copper, cobalt and nitrite. 

Site preparations 

• One new storage pond has been completed, adding 91,000 cubic metres of capacity. Another is expected in mid-May, increasing capacity by 110,000 cubic metres.
• Additional infrastructure including sumps, ditches and pipelines is being used to manage clean meltwater and protect against contamination risks. 

The Government of Yukon has shared an update on work happening at Eagle Gold Mine to prepare for the spring snowmelt. Key points include:

Preparation for spring snowmelt 

• The main risk is that snow and ice could melt faster than water can be treated or stored.
• This could lead to an uncontrolled release of water containing cyanide.
• The Receiver and contractors on site are working to ensure the necessary water treatment and water management infrastructure is in place for when water volumes increase.

Water storage, treatment and discharge

• Sumps, ditches and pipelines are being constructed. They'll route water away from areas where cyanide may be present.
• 2 new storage ponds are being built to hold over 200,000 cubic metres of additional water until it can be treated. 1 storage pond will be completed soon and the other is expected in May.
• While the treatment process removes cyanide, it raises levels of copper, cobalt and nitrite. Work is ongoing to improve water treatment and ensure it meets water licence conditions.

Water quality monitoring

• Daily water sampling and environment monitoring continue. View updated water monitoring results.

The Government of Yukon provided an update on the unauthorized discharge of cyanide-impacted water and water treatment progress at the Eagle Gold Mine. Key points include:  

Unauthorized discharge 

• A pipe leak on February 17 led to the release of an estimated 150 cubic metres of cyanide-impacted water into the environment.
• The leak was initially believed to be contained within a lined sump, delaying immediate reporting.
• Water sampling from February 17 and 18 detected elevated cyanide, cobalt, copper and nitrite levels near the mine site.
• Contaminant levels returned to previous levels within two days, suggesting an isolated incident. 

Environmental monitoring and water treatment 

• Water quality testing continues daily in Haggart Creek and surrounding areas.
• The Receiver has completed construction of a settling pond, the final component of the mine’s water treatment process.
• Initial testing indicates the treatment process is functioning as expected. Further testing is underway to confirm compliance with licensed discharge limits. 

Ongoing efforts 

• Investigations continue into the cause of the pipe leak and any potential impacts.

The Government of Yukon provided an update on water discharge and environmental monitoring at the Eagle Gold Mine. Key points include: 

Controlled water discharge 

• The court-appointed Receiver has begun discharging water to manage storage capacity ahead of spring melt.
• Technical advisors have determined early discharge is necessary to prevent the uncontrolled release of untreated water containing cyanide.
• Discharged water meets cyanide limits but has elevated copper levels and does not fully comply with federal regulations or the site’s amended water licence.
• A settling pond is being constructed to further treat water, and once operational, discharge is expected to meet all required conditions.
• Up to 3,000 cubic metres of water—just over one Olympic-sized swimming pool—will be released daily until the settling pond is in use. 

Water quality update

• A suspected leak in the newly constructed containment pond is contributing to increased contamination in Haggart Creek.
• Water quality monitoring has detected rising levels of cyanide, cobalt, chloride, and nickel in the creek, exceeding aquatic life guidelines.
• Recent cyanide levels have surpassed the BC acute aquatic life guideline of 0.010 mg/L, reaching up to 0.021 mg/L.
• These contaminants may negatively impact fish health in the downstream environment. 

Ongoing monitoring 

• Daily water sampling and environmental monitoring continue.
• The Government of Yukon will continue to provide updates on the Receiver’s activities at the site.
• The next technical briefing will be held on February 18, 2025. 

The Government of Yukon provided an update on the containment pond issue at Eagle Gold. 

Containment pond investigation

• The Receiver identified irregular pond volumes and notified the Government of Yukon and the First Nation of Nacho Nyak Dun about a potential leak.
• Temporary measures are in place to dilute pond water and reduce toxicity.

Environmental monitoring and water management

• Groundwater and surface water monitoring, including Haggart Creek, has increased to track potential impacts.
• Treated water is temporarily stored in the pond to prevent overflows of cyanide-contaminated water.
• Experts are assessing additional treatment options to lower copper levels in water discharge.

Ongoing efforts

• Investigations continue to determine the cause of the volume changes and to identify long-term solutions.
• The Yukon government will provide regular updates, and the latest water quality results are available on Yukon.ca.

The Government of Yukon updated Yukoners on ongoing remediation and environmental monitoring following the heap leach failure at Eagle Gold. Key points include: 

Receivership order 

• Court approved an amendment to the Receivership order on December 9, 2024, increasing the borrowing limit to $105 million to fund remediation until March 31, 2025.
• Additional funding will be drawn from Victoria Gold Corp.’s financial security held by the Government of Yukon.
• The Receiver’s second report on its activities was filed on November 28, 2024. 

Independent review 

• An Independent Review Board is investigating the heap leach failure and will release a public report.
• The board’s terms of reference are available on the Receiver’s website. 

Inspector’s directions 

• Directions were issued under the Quartz Mining Act and Waters Act requiring geotechnical investigations, stabilization plans, and water management strategies.
• A regulatory direction issued November 25 mandates water management plans and ongoing heap leach investigations. 

Water monitoring 

• Environmental monitoring continues, with updates available on Yukon.ca. 

Leadership change 

• Sierra van der Meer will serve as Acting Deputy Minister of Energy, Mines and Resources starting December 18, 2024, succeeding Lauren Haney.

The Government of Yukon updated Yukoners on ongoing remediation and environmental monitoring following the heap leach failure at Eagle Gold. Key points include: 

Site remediation 

• Construction of groundwater interception systems is complete, including 18 monitoring wells, 11 deep interception wells and large sumps. Further work may be undertaken as monitoring progresses.
• The new water treatment plant is nearing commissioning.
• Upcoming work includes water management, heap leach stability investigations and spring construction projects to meet regulatory requirements. 

Environmental monitoring 

• Contaminated groundwater continues to affect Haggart Creek. Cobalt and cyanide levels are rising while mercury levels have stabilized.
• Mercury and cobalt levels, along with most cyanide data, exceed the mine's water license quality objectives but current concentrations do not pose a risk to human health.
• Residents should avoid eating fish from the immediate area of the mine. 

Communication and transparency 

• Updates on remediation will shift to monthly releases during the winter with weekly water monitoring results still published on Yukon.ca. Interim updates will be issued if health and safety conditions change.
• Additional information is available on Yukon.ca and the Receiver's website: https://www.pwc.com/ca/victoriagold.

The Government of Yukon updated Yukoners on ongoing remediation and environmental monitoring following the heap leach failure at Eagle Gold. Key points include: 

Site remediation 

• Wells and systems are being installed to intercept and treat contaminated groundwater near Haggart Creek, with work expected to finish by the end of November.
• A new water treatment plant is nearing completion, and winter plans focus on water management and heap leach stability. 

Water monitoring 

• Contaminated groundwater has reached Haggart Creek, with mercury, cyanide, and cobalt levels exceeding water quality objectives.
• Methyl mercury, which can bioaccumulate in fish and wildlife, was detected for the first time. Additional sampling is planned.
• While contamination exceeds standards, it does not pose a significant health risk. Residents should avoid eating fish from the immediate mine area.

The Government of Yukon updated Yukoners on ongoing remediation and environmental monitoring following the heap leach failure at Eagle Gold. Key points include: 

• Support for employees: current employees and former employees are receiving services and supports.
• Environmental compliance: nearly all inspector-directed actions are complete or ongoing; final groundwater interception systems are under construction.
• Site remediation: completion of a safety berm and new water storage pond (adding up to 309,000 m³ storage capacity). Work continues on groundwater interception and water treatment, with mid-November as the target completion.
• Water quality monitoring: Haggart Creek tests show elevated mercury, cobalt, and cyanide from contaminated groundwater. While mercury levels exceed thresholds, they do not pose a public health risk. Further monitoring is underway.

The Government of Yukon provided an update on ongoing remediation and environmental monitoring efforts following the heap leach failure at Eagle Gold. Key points include:

The Government of Yukon has provided an update on the progress of remediation work and environmental monitoring at the Eagle Gold heap leach failure site.

Berm construction: Work on the safety berm is 30 per cent complete. A pit pond extension has been completed adding 70,000 m3 of water storage. Since the receiver has been on site 216,000 m3 of water storage has been built. 

The joint Government of Yukon and First Nation of Nacho Nyak Dun fisheries monitoring program recently concluded summer work and has shifted efforts to a monitoring program that focuses on winter habitat availability and fish monitoring in 2025. Work is progressing on the safety berm that’s being built across Dublin Gulch to offer protection from a possible secondary slide of the heap. The berm access road has been completed and the construction of the berm proper is now underway.

Work is almost complete on a new storage pond that will provide 50,000 m3 of water storage. This will bring the total amount of water storage added under the receivership to nearly 200,000 m3. 

18 groundwater monitoring wells have been installed, 14 of which are further below the slide area to monitor impacts from the slide.In samples taken from these wells, the Government of Yukon is seeing high levels of cyanide and dissolved metals in the groundwater at testing sites closest to the slide in and near Dublin Gulch. This information helps to understand the groundwater pathways and to inform mitigation strategies.

While the Government of Yukon is not currently seeing unsafe levels of cyanide in the downstream environment, on September 24 and 26, 2024, the mercury level exceeded the water quality objective at one monitoring station on Haggart Creek. The Government of Yukon is gathering more information to understand this data, its impacts to the environment and to determine if further actions are required to mitigate effects. The receiver’s water treatment contractor has been hard at work upgrading the water treatment plant and conducting tests to determine the best means to discharge water safely.

Creating contaminated water storage capacity on site remains a serious challenge. 2 additional storage ponds have been constructed under the receivership, providing nearly 150,000 m3 of storage. Work is nearly complete on an additional 50,000 m3 of storage. Additional work is underway to continue to expand water storage on site.

On October 3, Service Canada issued an extension to former Victoria Gold employees who wish to apply for the Wage Earner Protection Program. Former employees now have until December 26, 2024, to apply to the federal government for compensation through the Yukon Employment Standards Office.

A new water storage pond was completed this week. The pond provides 120,000 cubic metres of storage capacity. 146,000 cubic metres of water storage capacity have been added in the last few weeks. Work continues to further increase water storage capacity.

Work on the safety berm is progressing.

High levels of cyanide are being detected in some groundwater monitoring wells, particularly those closest to the failure, and closest to Dublin Gulch. Groundwater containing high levels of cyanide also has high levels of various metals, including cobalt, copper, mercury, nickel, silver and selenium. The extent of groundwater contamination being measured in these wells is being used to inform mitigation options.

Recent results from monitoring stations on Haggart Creek closest to the mine site show more frequent detections of cyanide and a pattern of increasing concentrations of some metals, notably cobalt. From August 10 to September 18, all concentrations of cyanide detected in Haggart Creek were below the relevant guidelines for the protection of aquatic life. To date, we have not observed any exceedances of Haggart Creek water quality objectives for metals or other parameters as a result of the heap leach failure. Additional monitoring is underway to further investigate the observed changes in Haggart Creek. Water levels in nearby creeks are above average for this time of year and dilution is currently high as a result.

Current water conditions within Haggart Creek are supportive of fish passage and the immediate risk to aquatic life within Haggart Creek has decreased. As a result, the fish barriers within Haggart Creek have now been removed to allow Arctic grayling in the upper Haggart watershed to resume their natural migration patterns.

Current information shows no evidence that the Eagle Gold heap leach failure has made animals unsafe to eat. The Department of Environment’s Animal Health Unit and the First Nation of Nacho Nyak Dun are asking hunters harvesting moose and caribou north of Mayo to collect and submit liver, kidney, muscle and incisor bar samples.

Critical work continues on-site to protect the environment and human health. Water storage, water treatment, groundwater monitoring and heap stability are the current priorities.

The safety berm is currently being constructed to allow more groundwater monitoring wells to be safely installed to intercept contaminated water for treatment.

An additional lined storage pond was completed last week to increase water storage capacity. Another storage pond is scheduled to be completed in the coming days.

From September 6 to 12, low and “non-detect” concentrations of cyanide were observed at all water monitoring locations in Haggart Creek. All concentrations of cyanide detected in Haggart Creek during this period were below the guideline for the protection of aquatic life. This is a dynamic situation that always has the potential to change. Water monitoring downstream of the mine site is ongoing.

18 new groundwater wells have been installed on the mine site and water sample results from some of these wells have begun to come in. As anticipated, high levels of cyanide are being detected in some wells, particularly those closest to the failure slide, and closest to Dublin Gulch. Based on the information being gathered from these new wells, work is underway to increase our understanding of how groundwater travels through the area how it will affect the surrounding environment, and to inform plans for treating contaminated groundwater.

Fish fences are in place to prevent fish from entering the area adjacent to the mine site, on Haggart Creek. Technical experts from the Government of Yukon and the First Nation of Nacho Nyak Dun are working closely with Fisheries and Oceans Canada to help ensure fall migration patterns of fish are not unnecessarily disrupted. There have been no new reports of further fish mortality events in Haggart Creek.

From August 29 to September 5, low and “non-detect” concentrations of cyanide were observed at all water monitoring locations in Haggart Creek. All concentrations of cyanide detected in Haggart Creek during this period were below the relevant guideline for the protection of aquatic life. Water monitoring in the receiving environment is ongoing to ensure any changes to current conditions are detected. Numerous groundwater wells have been installed and water quality data is anticipated to be available next week.

Mitigation measures continue to be in place to prevent fish from entering the area adjacent to the mine site, on Haggart Creek. These measures consist of installed fish fences, prohibiting fish passage into this area. The Government of Yukon and the First Nation of Nacho Nyak Dun are working closely with Fisheries and Oceans Canada to ensure fall migration patterns of fish are not disrupted. There have been no new reports of further fish die-offs in Haggart Creek.

Work continues on site to advance critical environmental protection and human health and safety measures in the four priority areas of: contaminated water storage, water treatment, groundwater monitoring, and heap stability. Construction of the berm continues and efforts have also focused on ensuring safe camp facilities are available for the workers on site.

The Yukon government wishes to acknowledge the work that site staff and contractors are doing to progress remediation efforts.

New camp sleeping quarters have been set up at the mine site in a safe area. The original camp and temporary camp established by Victoria Gold Corp. were determined to be unsafe due to health and safety concerns.

The new safe camp area was required before Pelly Construction workers could begin construction of the safety berm. Safety berm construction will begin in the coming days.

7 groundwater monitoring wells have been installed at the mine site so far. Water quality results from the wells should be available in 2 weeks to help guide the interception of contaminated water.

From August 21 to 28, low and “non-detect” concentrations of cyanide were observed at all surface water monitoring locations in Haggart Creek. Concentrations of weak acid dissociable (WAD) cyanide during this period have been below 0.0013 mg/L in Haggart Creek. This level of WAD cyanide is well below the relevant guideline for the protection of aquatic life, which is 0.005 mg/L. This is still a dynamic situation that always has the potential to change and water monitoring in the receiving environment is ongoing.

The joint Government of Yukon and First Nation of Nacho Nyak Dun fisheries monitoring program concluded its summer work. Tissue samples from collected fish will be analyzed for heavy metal contamination, including arsenic, cadmium, lead and mercury to help us form a baseline for these bioaccumulating metals. Analysis will be beginning soon, with results expected by early 2025.

There have been no new reports of further fish die-offs in Haggart Creek.

The Government of Yukon has launched an independent review to investigate the cause of the heap leach failure. Three highly-qualified experts will review factors that may have led to the collapse including the design, construction, operation, maintenance and monitoring of the heap leach facility. The review is expected to take up to 8 months.

3 groundwater monitoring wells have been installed at the mine site so far. Water results from the wells will be provided once they are available.

Pelly Construction will soon start work on a safety berm that will allow groundwater monitoring wells to be installed safely closer to the slide area.

From August 16 to 20, low and “non-detect” concentrations of cyanide were observed at all surface water monitoring locations in Haggart Creek. Concentrations of WAD cyanide during this period have been below 0.0013 mg/L in Haggart Creek. This level of cyanide is well below aquatic life guidelines, which is 0.005 mg/L. This is still a dynamic situation that always has the potential to change.

Department of Environment staff were able to examine all 68 fish that were collected following the discharge event on August 2. 6 of these fish have been subsampled and are in possession of Environment and Climate Change Canada. The remaining 62 are with Fisheries and Oceans Canada. All are part of ongoing federal investigations. 

Department of Environment staff examined all of the fish to determine species and tag presence. None of these fish had been previously tagged by the Government of Yukon or the First Nation of Nacho Nyak Dun as part of the monitoring program. Of the 68 fish, the species are confirmed as 39 Arctic grayling, 27 slimy sculpin, 1 burbot and 1 round whitefish. This week, fisheries staff are returning to the Haggart Creek watershed to finish collecting tissue samples for metal content analysis.

Department of Environment staff met with the Receiver’s environmental consultant this week and will continue to communicate updates as they are received

The Government of Yukon is establishing an Independent Review Board to identify the causes of the June 24 heap leach failure. The scope of the review has been finalized, and we are in discussions with experts who are interested in serving on the board. We will announce the members of the Independent Review Board soon.

Work is underway to install five groundwater monitoring wells at the mine site. Pelly Construction is being mobilized to start work on a safety berm that will allow groundwater monitoring wells to be installed safely closer to the slide area. Precautions are being taken and plans are in place to ensure the safety of workers close to the heap.

Following the failure, and prior to August 8, a diversion pipe carried clean water from upstream of the mine site, around the failure, and into Dublin Gulch. As of August 8, under an inspector’s direction, the diversion pipe was extended directly into Haggart Creek, bypassing Dublin Gulch. This measure has had a significant positive impact on the levels of cyanide observed in Haggart Creek. From August 9 to 15, much lower concentrations of cyanide were observed at all surface water monitoring locations in Haggart Creek. 80% of samples received during this period have been non-detect for WAD cyanide. This is still a dynamic situation that always has potential to change.

The 68 dead fish found in Haggart Creek following the discharge event are now in the possession of Environment and Climate Change Canada. Department of Environment staff are working with them to gain access to those fish to scan for tags and determine the number of Arctic grayling, slimy sculpin and other species that may be in the collection.

An aquatic life monitoring plan has begun, as developed by technical experts with the First Nation of Nacho Nyak Dun, the Department of Environment, federal departments, and technical consultants. The fisheries and aquatic monitoring programs are aimed at providing Department of Environment with an overview of how these populations may change over time, including if they are affected by heavy metals.

Today, the Attorney General and Minister of Justice Tracy-Anne McPhee, provided an update on the Government of Yukon’s recent legal action concerning Victoria Gold Corporation.

The Government of Yukon is working to ensure health and safety requirements are met so that a safety berm can be built on site. This work faced delays due to challenges with meeting workplace health and safety regulations. The appointment of a receiver has removed some of these obstacles. We expect this work to begin shortly.

On July 31, discharge from the mine’s water treatment plant into Haggart Creek began. On August 2, Victoria Gold Corporation reported that personnel discovered dead fish in Haggart Creek. Upon discovering the dead fish, the company stopped discharging water from the mine water treatment plant and fish were collected and stored for future analysis. The majority of the total volume of discharge was released on August 1.

It has been reported that 68 dead fish have been collected by the company, of which all were found on August 2. Species include Arctic Grayling and Sculpin. No additional dead fish have been observed since then.

The Department of Fisheries and Oceans is aware of the situation and has ordered Victoria Gold Corporation to implement mitigation efforts following this event. 

On August 1, concentrations of weak acid dissociable (WAD) cyanide exceeded both chronic and acute guidelines for the protection of aquatic life and Water Quality Objectives at 3 monitoring stations in Haggart Creek: W4-mix, W29 and W99.

On the same day, concentrations of WAD cyanide exceeded the chronic guideline for the protection of aquatic life and the Water Quality Objectives further downstream on Haggart Creek at W23.

Guidelines for the protection of aquatic life were not exceeded at monitoring stations further downstream on August 1.

The Department of Environment will continue to monitor both surface water and groundwater, as it is safe to do so, and share those results when they become available.

The fish death is believed to be due to discharge from the mine’s water treatment plant and not directly due to the contaminants in the receiving environment since the heap leach failure incident.

The Department of Environment is monitoring for other compounds that could have been released including heavy metals such as cadmium, mercury or lead and others that can accumulate in animal body tissue over time. Hunters harvesting moose and caribou north of Mayo are being asked to collect and submit liver, kidney, muscle and incisor bar samples to the Department of Environment to help establish baseline data for long-term moose and caribou monitoring.

There is no indication that the discharge of water has increased the risk to human health in the area. The regulated drinking supply remains safe and the risk to hunters and land users from the heap leach failure remains low.

The Government of Yukon has launched an online hub for information on the Eagle Gold heap leach failure.

Water monitoring efforts continue based on the joint water quality monitoring plan. Daily sampling is underway at most of the surface water sampling locations. We will publish results as they become available.

Samples collected on July 24, 2024, from the monitoring station DG1, located in Lower Dublin Gulch, show concentrations of weak acid dissociable (WAD) cyanide that significantly exceed aquatic life guidelines.

Samples collected from two stations on Haggart Creek, downstream of Dublin Gulch, show levels of cyanide that are modestly above aquatic life guidelines. Cyanide results from samples collected further downstream did not exceed aquatic life guidelines. 

None of the samples collected from any of the monitoring sites have exceeded drinking water guidelines for cyanide.

Fish monitoring work is being conducted off-site of the mine with technical experts from the First Nation of Nacho Nyak Dun and the federal Department of Fisheries and Oceans.

Approximately 65 Arctic Grayling and 50 Slimy Sculpin have been collected and are being submitted to an approved laboratory for analyses, including determining heavy metal contamination. No dead fish have been observed downstream in the receiving environment at this stage

The Yukon government is preparing to step in at the mine site to undertake specific environmental protection actions that the company has not completed. We are taking discrete steps to supplement what's already being done on site by the company.  The mine operator remains on site. As a regulator, we are providing directions as needed.

On July 20, 2024, the Government of Yukon ordered Victoria Gold to take the following actions:

• Build a berm across Dublin Gulch valley to isolate the lower valley from the heap leach pad area.
• Update the monitoring program for the heap leach facility to reflect current conditions.
• Ensure appropriate measures are being taken to address water storage and treatment.
• Not discharge any contaminated water to an unlined storage facility or any other area that does not have containment capacity to safely and securely retain 100 per cent of the contaminated water deposited in it.

Technical experts from the Yukon government and First Nation of Nacho Nyak Dun developed a joint water quality monitoring plan for the mine site and downstream areas. Contaminated water is being treated on site but is not fit for release. The company is upgrading its water treatment facility.

The Government of Yukon recognises the seriousness of the heap leach failure that occurred at the Eagle Gold mine on June 24, 2024. We are treating this as an emergency response, recognizing the potential impacts on people and the environment.

We have increased our water monitoring on site and downstream. Based on the available data we believe the current risk to human health of users downstream, specifically along the South McQuesten and McQuesten rivers, is very low.

On July 10 the Government of Yukon issued a new inspector’s direction to improve water storage capacity on site.

Technical experts hired by the Government of Yukon and First Nation of Nacho Nyak Dun are working together to help guide our response.

On July 5, 2024, the mine was put into temporary closure. This does not change Victoria Gold’s response to the failure. If they want to resume development and production a formal request must be sent to the Government of Yukon.

The Government of Yukon ordered Victoria Gold to develop the following plans:

• Develop a plan to intercept and collect groundwater beneath the toe of the slide.
• Create a plan to stabilize the slide area below the heap leach embankment to ensure safe work can be conducted on the lower part of the slide.
• Expand the company’s monitoring of ground and surface water including daily monitoring at existing locations.
• Formulate a plan for treatment of impacted water, specify daily treatment volumes, anticipated effluent quality and reagent requirements.

These plans will help guide the company’s response to the situation.

The Government of Yukon has committed to an investigation into the cause of the slide at the Victoria Gold Mine. We are communicating with the First Nation of Nacho Nyak Dun to determine the scope and timeline for this investigation.