Canada’s Yukon Territory authorities detected elevated levels of cyanide present in the local waters near Victoria Gold’s Eagle Mine in the wake of an equipment failure and landslide at the project.
The accident occurred at the heap leaching facility. This process involves stacking mined ore into piles and then sprinkling it with cyanide-laced water.
Bloomberg cites Yukon mining minister John Streicker as saying that the heightened cyanide concentrations were detected in a creek near the mine site, which “could potentially affect fish.”
Meanwhile, the company said earlier that it did not record any abnormalities at the site.
The environmental concerns resurfaced after a recent accident at the Eagle project, the largest mine in the Yukon, following a heap leach failure which led to a second landslide that happened at the site this year.
Victoria Gold suspended operations at the mine following the accident, while its shares plunged 82%. The company has a C$104 million security posted with the territory as a potential cleanup fund. However, Victoria Gold received notices of default from its lenders under a 2020 credit agreement.
Theodor Lisovoy, Editor in Chief, Rough&Polished
