We’ve been reporting on Victoria Gold (V.VIT) for several years. CEO John McConnell has been convinced that there would be a mine at the Eagle Deposit Dublin Gultch in the Yukon. Today’s press release announcing a Comprehensive C$500 Million Financing Package for Eagle and Continuation of Construction Activities means that Victoria is financed right through until commercial production.
Perhaps as significantly, one of Victoria’s financing partners is Osisko Royalty. In the release Sean Roosen, Chair of the Board and Chief Executive Officer of Osisko, commented, “We are very pleased to partner with Victoria Gold to develop Canada’s next premier gold mine, and to generate important benefits for all project stakeholders. Having been to the project and met with many of the stakeholders, we are looking forward to investing in and working with Victoria in the Yukon to bring this project to fruition. With the gold price currently over C$1,700 per ounce, this is a great time to be building a gold project in Canada as there is availability both from suppliers and in the work force.”
Having Canada’s premier gold royalty company in its corner will mean that, as the mine progresses, Victoria will look more and more attractive to larger, institutional investors. McConnell has the fully developed and costed mine plan in hand. He has the mining camp built and with Caterpillar Financial on board, will be able to acquire the equipment needed to, literally, take down the side of a mountain.
We’re hoping to have an interview with John McConnell later today or tomorrow. Should be interesting.