Miners of the Modern Yukon Gold Rush

Au Report

Source: Ron Struthers for Streetwise Reports 01/04/2018

Ron Struthers of Struthers’ Resource Stock Report describes a miner making a promising stand in the Far North, as well as other Yukon-based gold companies that have captured his attention.

The Yukon is seeing a modern-day gold rush, with five major miners jumping in and several junior exploration companies with large exploration budgets. Kinross Gold Corp. (K:TSX; KGC:NYSE) was the first of the major gold miners to make a move into the Yukon when it gobbled up White Gold. The current Yukon gold rush really gained traction with Goldcorp Inc.’s (G:TSX; GG:NYSE)’s CA$520 million buyout of Kaminak Gold Corp. in 2016. Since then, Agnico Eagle Mines Ltd. (AEM:TSX; AEM:NYSE), Newmont Mining Corp. (NEM:NYSE) and Barrick Gold Corp. (ABX:TSX; ABX:NYSE) have all picked up gold properties in the territory. Late summer in 2017 the Canadian government weighed in with $360 million in road infrastructure to access the Yukon’s minerals, called the Yukon Resource Gateway project.

Peter Tallman of Klondike Gold Corp. (KG:TSX.V) probably said it best: In the Yukon, 20 million ounces of gold have come from gravels but zero from the bedrock. The Yukon is the largest unexplained geochemical gold anomaly on the planet. It all adds up to the Yukon is seeing its busiest year since 2011.

Scott Casselman, head of mineral services with the Yukon Geological Survey (YGS), says: “What we’ve seen this year is a noticeable uptick in the amount of investment in mineral exploration in the territory. We’re probably looking at about double what it was last year. We’re looking at almost $100 million in exploration expenditures and I think the number was about $20 million in development expenditures, for a total of $120 million this year. That compares to $57 million in 2016.”

The most influential players in recent years, who helped trigger this rush, would be Shawn Ryan, who is credited with finding and developing the White Gold district, among others. Ryan has dealt most of his Yukon holdings and in 2016 moved to Newfoundland and Labrador (NFLD) for gold prospecting. Next could be Rob McLeod of the famous McLeod mining family. His Underworld Resources was the Yukon project that was sold to Kinross Gold, and again Shawn Ryan was involved here.

There have been many other great prospectors in the Yukon, but I might as well mention John McConnell, who has led Victoria Gold Corp. (VIT:TSX.V) since 2011. The company’s Eagle deposit has been advanced to 4 million ounces measured and indicated, has gone to feasibility and fully permitted. It is likely to be the Yukon’s first and largest hard-rock old mine.

Victoria Gold Corp. (VIT:TSX.V): Shares out = 517 million; market cap $181 million

Victoria does not have a major for a partner, but Kinross Gold owns 11% of the company and its Eagle deposit at Dublin …read more

Source:: The Gold Report