The Globe and Mail reports in its Thursday edition that an Ontario court has granted an application to put Victoria Gold into receivership after the Yukon government sought to gain control over the site of a major cyanide spill after losing faith in the miner's management. The Globe's Niall McGee writes that in the past seven weeks, Victoria Gold has been attempting to mitigate the environmental damage from a catastrophic rockslide that occurred at its Eagle mine in Yukon. Four million tonnes of cyanide-laced rocks collapsed at the outdoor gold-processing facility on June 24 and half of that spilled into the local environment beyond the company's containment zone. Victoria Gold said in a release on Wednesday that it was served with an application for the appointment of a receiver in Ontario by the Yukon government. Management of Victoria Gold and the Yukon government have clashed over how best to manage the disaster. Yukon had indicated earlier that it was prepared to seize control of the mine after the company failed to carry out some of its cleanup directives. Yukon has also incurred significant costs from the cleanup effort and the appointment of a receiver may put it in a better position to recoup those costs.
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