Post by
Oregonduck on Jul 06, 2024 1:23pm
On the Brink
There are similarities with the Mount Polley dam disaster in BC. Imperial Metals (III) owns Mount Polley, a copper and gold mine. In August 2014, the dam broke spilling massive toxic waste into the rivers. That stock was as high as $18 and plummeted to $1. Like VGCX, their parent co. III owed $150 million term loans to banks and $130 million revolving loans to Edco, its largest shareholder. III survived and now trading around $2. They got $100 million from their liability insurance for reclamation and cleanup costs. The BC Govt and First Nations and the major shareholder all worked together. The sharp rise in copper and gold also helped.
VGCX has $15 million cash in bank as of the latest report. I believe the banks syndicate will demand payment on their $200 million secured loans, and force the Co. to file for bankruptcy protection. The court will appoint a Monitor to sell off their assets. FNNND is belligerent and will not allow the mine to operate. Yukon is a graveyard for miners such as the abandoned Minto Mine and Yukon Zinc leaving behind massive reclamation costs.
Not looking good for Victoria Gold.
Comment by
Dutch1Tulips on Jul 06, 2024 2:40pm
I am not sure about the other situation but during the press conference. The Yukon government confirmed in the event that VG has to exit 104 million has been secured through a bond for reclamation expenses. "Territorial officials have said the company has provided the legally required $104 million in bonds to cover remediation costs if the mine were to cease operations."