Statement from Minister Pillai on court approval to begin sale process of Eagle Gold Mine

Minister of Economic Development Ranj Pillai has issued the following statement:

“Yesterday, the Ontario Superior Court of Justice approved a request from the court-appointed Receiver of Victoria Gold Corp. to begin the process of finding a suitable buyer for the Eagle Gold Mine.

“The court-appointed Receiver has developed and will lead the sale process, with the assistance of a financial advisor that was also approved by the Court. In granting the Order today, the Court was satisfied that the process will be robust, fair and comprehensive, with the goal of identifying a qualified future operator capable of managing the site safely and responsibly.

“As both the lender to the Receiver and the territory’s main mining regulator, the Government of Yukon provided input on the terms of this process and will work closely with the Receiver and its financial advisor as the process unfolds over the coming months. From the outset, our focus has been to protect the interests of Yukoners – now and into the future. That includes communicating criteria that reflect important priorities to the Government of Yukon, that can be considered by the Receiver in identifying a reputable, experienced and well-resourced operator who is committed to upholding strong economic, social and governance principles.

“The sale of the Eagle Gold Mine provides a meaningful opportunity for recovery by the Yukon government of the significant financial advances made to the Receiver to support the emergency response to the mine failure.

“As such, the Government of Yukon supports the Order granted today and the Receiver’s efforts to begin this process with the goal of finding a suitable buyer for the mine. This is an important first step, allowing the sales process to move forward in a fair and transparent way. Any final decision on a buyer will still require review and approval by the Court, based on the Receiver’s recommendation at the end of the process.

“We understand that many Yukoners have questions and concerns about how the mining industry operates in the territory. Our government is committed to learning from recent events and strengthening the way mining is done across the territory. The enduring health and wellbeing of our people, lands and waters will always be at the core of every decision we make.

“The Independent Review Board’s report, which will be released publicly next week and will be available on the Receiver’s website, will provide important insight into the circumstances that led to the heap leach failure. These findings will help guide our expectations for any future operator at the site.

“Despite challenges, mining remains a foundational part of the Yukon’s economy. It supports thousands of good jobs, contributes substantially to our GDP and generates revenue that is reinvested in public services, infrastructure and economic development across the territory.

“Our government continues to support responsible resource development – development that is grounded in strong partnerships, good governance and community benefit. As the Receiver implements the sale process, the Government of Yukon will remain engaged and supportive of an outcome that serves the best interests of Yukoners.”