Victoria Receives $10 Million Second Payment from Cove Sale
June 19 2013 - 3:20PM
Access Wire
June
19, 2013, Toronto: Victoria
Gold Corp. (VIT.TSX-V) ("Victoria" or the "Company") is pleased to
provide a corporate update. All $ values are in Canadian
dollars.
Treasury
On June
14, 2012, Victoria closed the sale of its Cove McCoy property to
Premier Gold Mines Ltd ("Premier") for $28 million plus a further $20 million in
contingent production payments. Upon closing, Victoria received $4
million cash and $4 million in Premier common shares. On June 14,
2013, Victoria received the second payment of $5 million cash and
$5 million in Premier common shares. The third payment of $10
million in cash and shares is due on June 14, 2014. Including the
recently received payment outlined above, Victoria currently has
approximately $33 million in cash, accounts receivables and
marketable securities.
Cost Reductions
Victoria's balance sheet is in excellent
shape, however, management has
recognized the prudence of conserving its cash during the current
market weakness. The Company has undertaken staff reductions,
reduced office space and administrative expenses and halted and/or
deferred certain consultant and site activities. Engineering,
permitting and site work to support full site mobilization and
construction activities in 2014 will continue.
Andrew
Kaczmarek, COO, has stepped down as an officer of the Company and
will continue to be an integral member of the development team as a
consultant. Richard Eliason, VP Exploration, has resigned. The
Company would like to thank Mr. Eliason for his contribution and
wish him well in his future endeavors.
About Victoria
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.
For Further Information Contact:
John McConnell
President & CEO
Victoria Gold Corp
Tel: 416-866-8800
Fax: 416-866-8801
www.vitgoldcorp.com
TSX: V-VIT
Victoria Gold (TSXV:VIT)
Historical Stock Chart
From Nov 2024 to Dec 2024
Victoria Gold (TSXV:VIT)
Historical Stock Chart
From Dec 2023 to Dec 2024