February 19, 2013, Toronto: Victoria Gold Corp. (VIT.TSX-V) (“Victoria” or the “Company”) is pleased to announce the Yukon Environmental and Socio-Economic Assessment Board (“YESAB”) has concluded its environmental assessment and issued a Final Screening Report. The Final Screening Report recommends that the Government of Canada and Yukon Government allow the Eagle Gold Project to proceed.
“The importance of the Final Screening Report should not be underestimated as it positions Victoria to embark on the next significant phase toward Eagle production.” commented John McConnell, President & CEO. “Over the past year we have progressed detailed engineering, assembled a project build team and advanced negotiations on project financing to ensure we would be ready to begin construction in 2013.”
Victoria first submitted a Project Proposal, initiating the environmental assessment process, in December 2010. Over the past two years YESAB has consulted with the general public, First Nations, Yukon Government, Federal agencies and Victoria’s permitting team to assess the environmental and socioeconomic effects of an economically robust project while maintaining strict environmental and safety standards. The Eagle Gold Project planning and assessment process has benefitted from the existing Comprehensive Cooperation and Benefits Agreement (“CBA”) between the First Nation of Nacho Nyak Dun and Victoria.
The completion of the Final Screening Report will result in the issuance of Decision Documents by the Governments of Canada and Yukon. Subsequently, Victoria expects Yukon Government to issue a Quartz Mining License, which would allow for the start of construction.
Victoria Gold is an emerging gold producer whose flagship asset is its 100% owned Dublin Gulch property which hosts the Eagle Gold Deposit. Dublin Gulch is situated in the central Yukon, Canada, approximately 375 kilometers north of the capital city of Whitehorse. The property covers an area of approximately 650 square kilometers, is accessible by road year-round and is located within Yukon Energy Corporation’s electrical grid.
The Eagle Gold Project is expected to be Yukon’s next operating gold mine and includes Probable Reserves of 2.3 million ozs of gold contained in 92 million tonnes of ore with a grade of 0.78 grams of gold per tonne, as outlined in a National Instrument 43-101 Compliant Feasibility Study. The NI 43-101 Compliant Mineral Resource has been estimated to host 222 million tonnes averaging 0.68 grams of gold per tonne, containing 4.9 million ounces of gold in the “Indicated” category, inclusive of Probable Reserves, and a further 78 million tonnes averaging 0.60 grams of gold per tonne, containing 1.5 million ounces of gold in the “Inferred” category.
Cautionary Language and Forward-Looking Statements
Neither the TSX Venture Exchange, nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release. This press release includes certain statements that may be deemed “forward-looking statements”. All statements in this discussion, other than statements of historical facts, that address future exploration drilling, exploration activities, anticipated metal production, internal rate of return, estimated ore grades, commencement of production estimates and projected exploration and capital expenditures (including costs and other estimates upon which such projections are based) and events or developments that the Company expects, are forward looking statements. Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include: metal prices; exploration successes; continued availability of capital and financing; and general economic, market or business conditions. Accordingly, readers should not place undue reliance on forward-looking statements.
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President & CEO
Victoria Gold Corp