Victoria Gold Corp.

Victoria Gold Corp. is a leading gold exploration and development company. Its Eagle gold project in the Yukon hosts an NI-43-101-compliant reserve of 2.3 Moz gold. The Eagle gold project is shovel-ready and will produce 200+ Koz/year gold at an operation cost of approximately $600/oz. The project is permitted for construction. As the market turns around, Victoria's shareholders are well positioned to participate in a highly leveraged gold play and the construction of the largest gold mine in Yukon history.

Expert Comments:

Tom Hayes, Edison Investment Research (6/25/15)
"Victoria Gold Corp.'s metallurgical test results on Olive material demonstrate the project's viability as a satellite ore feed at increased gold grades and favorable recoveries, enhancing Eagle's value. . .the company has filed a revised NI 43-101 technical report for its Eagle project. This version has after-tax economics and does not change our post-tax undiluted base case value of CA$1.15 (using a 10% discount rate and gold prices given in our February update note). Our upside valuation, which factors in extra crushing capacity and raises the head grade in the early years of production (due to Olive ore being treated), is CA$1.86."

"Victoria Gold Corp. has certainly one of the most advanced projects in Yukon as it's already permitted for construction and hosts an NI 43-101-compliant reserve of about 2.3 Moz gold. Once it reaches production it will produce more than 200,000 oz annually. The company continues to explore and add value. Victoria completed an exploration program on the Olive zone, part of the Dublin Gulch property, in 2014, and initial results demonstrate that it is a high-grade deposit that could be amenable to heap leaching, which increases the value proposition for Victoria and its shareholders." read more >

"Victoria Gold Corp. has done well since we last spoke in June. It's up nearly 100%. However, the company is still trading at a very deep discount to its net present value, which is three or four times the current share price, depending on what gold price you use. It has a decent project in the Yukon, which is obviously a safe political jurisdiction. I think this is one stock that could double again from here. [Victoria has announced that it's focusing more on mergers and acquisitions.]. . .I hope that Victoria doesn't buy anything that is too big. In the Eagle deposit, it has a very big deposit already. I guess if it's actually going to try and put something into production, it's better if it's smaller, quite frankly, unless it buys another very big sleeper project and waits for the gold price to increase. I think the Eagle project will get into production at some point over the next couple of years. It's not a project that requires a very high gold price to be economic." read more >

Tom Hayes, Edison Investment Research (2/27/15)
"Metallurgical test results on Olive material demonstrate the Victoria Gold Corp. project's viability as a satellite ore feed at increased gold grades and favorable gold recoveries, thereby enhancing Eagle's value. . .though only one bottle-roll leach test was performed on Shamrock material (another potential satellite ore feed), 89% of gold was recovered, further demonstrating the favorable metallurgical nature of deposits near Eagle."

Don Blyth, Paradigm Capital (2/26/15)
"Victoria Gold Corp. announced results of metallurgical testing of mineralization from the Olive zone, a potential satellite pit to the main Eagle deposit. Results were encouraging, with the first three column tests on oxide material generating an average 69% gold recovery, and preliminary results of further testing showing potentially even greater recovery. . .these results suggest the recovery rates may be much closer to the Eagle recoveries than expected, making the Olive zone a top priority for potential improvements to the project economics."

"Victoria Gold Corp. and its Eagle gold project: I don't follow the stock in HRA but I did visit the project last fall and reported back to subscribers on it. The company put out a feasibility study in 2012, based on $1,325/oz gold. It forecast a pretax $273.1M NPV, a 24.1% IRR and an initial capex of $382.8M. Proven and Probable resources are 2.3 Moz, with an all-in production cost of about $600/oz. I think what Victoria is doing now is quite smart. The company has made some changes, rethought its geological model and generated some new targets. Some of these targets have yielded better-grade, near-surface material. Victoria is focused on discovering new near-surface zones that would have the biggest impact on project economics. If Victoria can create two or three zones of that type, it can bring the IRR and the NPV up, especially the former. But the economics aren't bad right now. The issue Victoria has, mirrored by so many other juniors, is trying to finance the operation without diluting its shareholders into nothingness. I suspect that the perfect scenario for Victoria would be to make a deal with a major that spends the money henceforth and earns most of the project. Or Victoria could sell it at a good price." read more >

More Expert Comments

Experts Commenting on This Company

Don Blyth, Analyst – Paradigm Capital
Eric Coffin, Owner – HRA Advisory
Richard Gray, Analyst – Cormark Securities
Tom Hayes, Analyst – Edison Investment Research
Jamie Keech, Author – CEO.CA
Douglass Loud, Executive Director – Greystone Asset Management, LLC., Axiom Capital
Jeffrey Mosseri, President, Director – Greystone Asset Management, LLC.
Darrell Pasloski, Minister of Finance – Yukon Mining Alliance
Philip Richards, Fund Manager – RAB Capital Limited
Florian Siegfried, Senior Portfolio Manager – AgaNola

The information provided above is from analysts, newsletters and other contributors. Please contact the company and visit its website before making an investment decision.
Investing Highlights
One of the largest undeveloped gold resources in North America
Eagle Gold is a Shovel Ready gold mine
200,000 ounces gold per year
catalyst Calendar
Operational Water Use Licence for Eagle
Project Financing Update
Victoria Gold Corp. Content