The Eagle mine forms part of Victoria Gold’s Dublin Gulch Property in central Yukon Territory. Credit: assistant/Shutterstock.

The Yukon Government in Canada has confirmed elevated cyanide levels in a waterway near Victoria Gold’s Eagle Mine in the Yukon Territory, reported Bloomberg News.

This follows an equipment failure and subsequent landslide at the mining site last week.

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Yukon Mining Minister John Streicker was cited by the news agency as saying to local media that concentrations of cyanide were detected in a creek near the mine site. This “could potentially affect fish”.

The remarks come shortly after Victoria Gold reported no elevated cyanide levels downstream of its property.

In a press statement, the company said: “With respect to environmental mitigation, within hours of the incident a pumping system was established to return water from the HLF [heap leach facility] material to lined containment ponds. Diversion systems have also been installed for the management of both non-contact and contact water and material.

“To date, continued environmental surface water quality sampling at multiple points downstream of the property has not detected any cyanide.”

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Operations at the Eagle Mine were halted last week due to a heap leach failure.

Victoria Gold said that the mine’s production would remain suspended.

Additionally, the company has received notices of default from its lenders under a credit agreement established in 2020.

The Eagle mine forms part of Victoria Gold’s Dublin Gulch Property in central Yukon Territory.

Covering an area of approximately 555km², the Dublin Gulch Property also includes the Olive gold deposits.

The Eagle Gold Mine produces gold from a conventional open-pit operation. It comprises a three-stage crushing plant, in-valley heap leach and carbon-in-leach adsorption-desorption gold recovery plant.