WHITEHORSE — Yukon Justice Minister Tracy-Anne McPhee says a judge has granted an order appointing a receiver to take control of assets at a gold mine closed after a massive slide of cyanide-contaminated ore.
McPhee says in a statement that the government has lost confidence in Victoria Gold to take the health, safety and environmental consequences seriously after the failure at the Eagle Gold mine in June.
McPhee says PricewaterhouseCoopers Inc. will administer the assets and liabilities formerly under the control of Victoria Gold at the direction of the Government of Yukon and under the supervision of the court. On June 24 the heap-leach facility at Eagle Gold mine failed, causing a slide of cyanide-contaminated ore and releasing millions of litres of cyanide solution used in the gold extraction process.
McPhee says the government has entered into an agreement with the receiver to advance the money required to undertake mitigation work, which will be treated as debt to be prioritized over others owed by Victoria Gold. The territorial government and the First Nation of Na-Cho Nyak Dun both filed applications in separate courts asking for a receiver to be appointed, something the company said in a statement it was opposing.
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