Yukon Government may intervene in Eagle Gold mine disaster

Yukon considers stepping in as Victoria Gold struggles with cyanide spill at Eagle Gold mine

Yukon Government may intervene in Eagle Gold mine disaster

Yukon's deputy mining minister, Lauren Haney, criticized the owners of the Eagle Gold mine for their lack of communication regarding the ore slide that spilled hundreds of millions of litres of cyanide solution, as reported by Financial Post.  

Haney acknowledged that Victoria Gold has been working to treat and divert contaminated water but indicated these efforts might be inadequate. The Yukon government is considering stepping in to supplement the company’s work.   

During a Thursday briefing, Haney stated that officials are heavily relying on technical experts to stay informed about the situation. The government is contemplating taking a more active role if necessary.   

“We are looking at all the scenarios right now, and one of those scenarios is where we would be taking over activities at the site in a more complete way,” she said.  

“There’s a lot of complexities there with the company still being on site and again, to the extent we can, we must complement what the company is already doing and supplement where necessary.”   

An independent review panel will investigate the incident on June 24, with the government already consulting “world-class experts.” Haney explained that such reviews are standard practice for mine failures globally, aiming to learn lessons and improve legislation and enforcement.   

The government estimates that 300 million litres of cyanide solution escaped from the mine’s heap leach pad, used to extract gold from ore. The Eagle Gold mine is located about 500 km north of Whitehorse.   

Yukon mineral resources director Kelly Constable noted that the situation at the mine is fluid, with the company running out of storage space for contaminated water.  

Victoria Gold is creating temporary storage by pumping contaminated water through the heap to increase capacity over the next 10 to 15 days.   

Constable also mentioned that the mine’s water treatment facility is currently unable to handle the volume of contaminated water but is undergoing upgrades and increasing monitoring of the heap leaching facility's stability.   

Victoria Gold has not provided a public update since July 12, promising more information as it becomes available. The company expressed uncertainty about resuming production or having the financial resources to repair the damage and mitigate the environmental impact.   

Yukon Mines Minister John Streicker stated that the Yukon government has sought more information from the Na-Cho Nyak Dun First Nation, whose territory includes the mine, regarding their call for a mining moratorium.  

Streicker conveyed that the First Nation does not want new mineral claims, licenses, exploration, development authorizations, or ongoing mining activities on their traditional territory following the heap leach failure.  

The Yukon Government is working to understand rights and obligations under Canadian and territorial law.