Victoria Gold Makes Debt Repayment and Provides Operations Update

WHITEHORSE, Yukon, June 03, 2020 (GLOBE NEWSWIRE) -- Victoria Gold Corp. (TSX-VGCX) (“Victoria” or the “Company”), is pleased to provide a May, 2020 update for its Eagle Gold Mine (“Eagle”), Yukon Canada.

Debt Repayment
The Company is pleased to report it has made the first principal repayment against the senior secured credit facility of US$7,133,266 on May 31, 2020. Looking forward, the next scheduled payments of principal and interest on the senior secured credit facility along with interest on the subordinated credit facility are on August 31, 2020. The credit facilities are flexible with respect to early repayment and with strong free cash flow expected to be generated by the Eagle Gold Mine, the Company plans to make debt reduction a priority.

Production

Operational ramp-up continued during May and Victoria management expects to achieve commercial production late this calendar quarter or early in the third quarter. 

	May	YTD
Hours Without A Lost Time Incident	83,772	369,092
Ore mined (tonnes)	685,000	2,390,000
Waste mined (tonnes)	1,121,000	3,532,000
Ore stacked (tonnes)	679,000	2,353,000
Grade (gold grams per tonne)	0.84	0.84
Gold produced (ounces)	7,756	25,068

“May production numbers were below our expectations as we felt the impact of COVID measures on productivity. Positively, the Yukon Government and Chief Medical Officer have announced that travel restrictions are set to relax soon, initially with the British Colombia border starting July 1. While the majority of our employees are Yukon residents we do rely on multiple specialty contractors based south of the Yukon border to support operations,” said John McConnell, President & CEO.

Management Departure
The Company reports that Tony George, VP Execution has left the Company to pursue another opportunity.

“With the Eagle build successfully behind us, it comes as no surprise that Tony has been recruited to another project,” said Mark Ayranto, COO. "Tony demonstrated exceptional professionalism, always shared a positive attitude and brought a wealth of experience to the Victoria team. We would like to thank Tony for his tremendous contribution to Victoria Gold."