Victoria Gold Corp VITFF

Metals & Mining Gold

Victoria Gold Corp. is a gold mining company. The Company’s flagship asset is its 100% owned Dublin Gulch property, which hosts the Eagle, Olive and Raven gold deposits along with numerous targets along the Potato Hills Trend including Nugget, Lynx and Rex Peso. Dublin Gulch is situated in the central Yukon, Canada, approximately 375 kilometers (km) north of the capital city of Whitehorse. The property covers an area of approximately 555 square kilometers and is the site of the Company's Eagle and Olive Gold Deposits. It also holds a suite of other development and exploration properties in the Yukon, including Brewery Creek, Clear Creek, Gold Dome and Grew Creek. The Eagle West target area lies as close as 500 meters northwest of the main Eagle Gold Deposit and hosts the exposures of the granodiorite. The Raven target is located at the contact zone at the extreme southeastern portion of the Nugget Stock. The Brewery Creek Project is a past producing heap leach gold mining operation.

GREY:VITFF - Post by User

Victoria Gold Corp

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Comment by NickelOneon May 08, 2020 6:45am

113 Views

Post# 31001650

RE:RE:Sweet deal, 6% cost of capital, locks in $1682 gold

MVargas wrote:

In the case of the call option, Victoria has to make a payment on the call option date equal to the C$ gold price less $1,950. If the gold price at that time is C$2,400, then Victoria has to make a cash payment to McQuarie in 2020 equal to ($2,400 - $1,950) x 20,000 oz = 9 million C$.

MVargas - Victoria sold call options for 40,000 oz in 2020.

So, at C$ 2,400/oz Victoria Gold will have to pay McQuarie C$18,000,000 in 2020.

At the same gold price they will pay C$27,000,000 in 2021.

Total "handover" would be C$45,000,000 - but they "saved" C$4,000,000 by not having to pay for the put options at C$ 1,500/oz.

Now that is a heck of a deal..."ZERO UPFRONT COSTS" as John McConnel would advertise.

Exploration budget for 2020 is still C$5M...

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