News, No Drilling results thoughVictoria Gold – Record Setting Gold Production and Corporate Update WHITEHORSE, Yukon, Sept. 12, 2021 (GLOBE NEWSWIRE) -- Victoria Gold Corp. (TSX-VGCX) (“Victoria” or the “Company”) is pleased to have achieved record gold production at the Eagle Gold Mine, Yukon Territory and to provide a Corporate Update ahead of the Denver Gold Forum.
“The Eagle Gold Mine produced a record 20,744 ounces gold in August with more than 1 million tonnes of ore stacked on the heap leach pad in each of July and August, setting the stage for strong Q3 operational performance,” stated John McConnell, President & CEO. “Additionally, exploration remains in full swing and we look forward to providing results in the near future.”
Eagle Gold Mine July & August 2021 Production Results | | | July | August | YTD |
| Operating Data | | | | |
| Ore mined | 000’s of tonnes | 1,263 | 892 | 6,004 |
| Waste mined | 000’s of tonnes | 1,273 | 1,101 | 10,372 |
| Total mined | 000’s of tonnes | 2,536 | 1,992 | 16,376 |
| Strip ratio | waste to ore | 1.0 | 1.2 | 1.6 |
| Mining rate | tonnes/day | 81,800 | 64,300 | 67,700 |
| Ore stacked on HLF pad | 000’s of tonnes | 1,217 | 1,140 | 5,704 |
| Ore stacked grade | grams/tonne Au | 0.86 | 0.98 | 0.86 |
| Gold produced | ounces | 14,717 | 20,744 | 94,605 |
| Production statistics may be subject to immaterial reconciliation variances. |
Eagle’s August production of 20,744 ounces of gold represents a 65% increase from the same period of 2020. Moreover, ore tonnes stacked on the heap leach pad reported monthly record levels with the achievement of 1.2 and 1.1 million tonnes respectively.
Exploration Update The Dublin Gulch Gold Camp 2021 mineral exploration campaign continues at full capacity with a threefold focus; the two on/near surface high-grade gold targets at Raven and Lynx as well as at the past-producing Rex-Peso high-grade silver target just west of the Eagle Gold Mine. The planned 15,000 meter 2021 program is primarily concentrated on Raven where over 6,500 meters of drilling has already been completed.
Five diamond drills are currently engaged at Dublin Gulch with approximately 10,000 meters of drilling completed to date from over 45 diamond drillholes in addition to over two kilometers of surface trenches. In total, approximately 6,300 drill core samples have been processed and sent for analysis where delays in the analytical laboratory have resulted in a significant backlog in assay results. Exploration is expected to continue into October for all target areas.
At Raven, step-out drilling is testing over one kilometer of the prospective high-grade gold trend. In addition, four holes were collared at newly identified intrusion related mineralized zone, Whiskey Wrinkles, located halfway between the Raven and Lynx zones.
At Lynx, a systematic surface trench program opened the 2021 season with subsequent geological mapping and sampling across the 600 meters of defined anomalous gold mineralized trend. To date, over 1,700 meters of drilling has been completed from eight holes of a planned 14 hole, 2,500 meter program.
The Rex-Peso diamond drilling program commenced in mid-July and consists of one dedicated diamond drill rig targeting the high-grade silver veins known to exist just west of Eagle. These veins were mined by previous operators in the 1960’s with only limited exploration conducted beyond the footprint of the underground workings. To date, 12 holes have been completed along the Rex vein for a total of approximately 2,100 meters.
Results from this season’s campaign are expected shortly and will continue to arrive into late Q4 2021.
Debt Repayment The Company maintains a US$100 million revolving credit facility. At the end of the Company’s last fiscal quarter; June 30, 2021, US$93 million was outstanding against the revolving credit facility. Since June 30, 2021, the Company has made voluntary repayments totaling US$20 million against the revolving credit facility.
Personnel Promotions With our continued success and growth, we are pleased to announce the following personnel promotions:
Hugh Coyle, Vice-president Environment Hugh is one of the longest serving Victoria employees with more than 14 years of consistent management of the Eagle permitting and compliance processes from the original permit applications through to operations.
Jim Dainard, Vice-president Finance Jim has been with Victoria for the past 12 years growing and managing the accounting and finance functions. Jim’s role has expanded considerably as Victoria moved from explorer to developer to producer.
Helena Kuikka, P.Geo., Vice-president Exploration Helena has been with Victoria for more than 10 years. Helena began as a geologist on the Eagle Gold exploration team and has handily stepped into increasing responsibilities over the years as Victoria expanded the size, breadth and tenor of our exploration programs.
Kelly Parker, Vice-president & General Manager Kelly joined Victoria at the late stages of Eagle Gold Mine construction as Mine Manager and brought with him over 40 years of mining experience; pit operations, mine maintenance, training and development. For the last two years Kelly has defined a culture of safety coupled with production focus. He is a natural fit for the Eagle Gold Mine General Manager role.
Qualified Person The technical content of this news release has been reviewed and approved by Paul D. Gray, P.Geo., as the “Qualified Person” as defined in National Instrument 43-101 -
Standards of Disclosure for Mineral Projects. About the Dublin Gulch Property Victoria Gold's 100%-owned Dublin Gulch gold property (the “Property”) is situated in central Yukon Territory, Canada, approximately 375 kilometers north of the capital city of Whitehorse, and approximately 85 kilometers from the town of Mayo. The Property is accessible by road year round, and is located within Yukon Energy's electrical grid.
The Property covers an area of approximately 555 square kilometers, and is the site of the Company's Eagle and Olive Gold Deposits. The Eagle Gold Mine is Yukon's newest operating gold mine. The Eagle and Olive deposits include Proven and Probable Reserves of 3.3 million ounces of gold from 155 million tonnes of ore with a grade of 0.65 grams of gold per tonne, as outlined in a National Instrument 43-101 Technical Report for the Eagle Gold Mine dated December 3, 2019. The Mineral Resource under National Instrument 43-101 –
Standards of Disclosure for Mineral Projects (“NI 43-101”) for the Eagle and Olive deposits has been estimated to host 227 million tonnes averaging 0.67 grams of gold per tonne, containing 4.7 million ounces of gold in the "Measured and Indicated" category, inclusive of Proven and Probable Reserves, and a further 28 million tonnes averaging 0.65 grams of gold per tonne, containing 0.6 million ounces of gold in the "Inferred" category.