The prime target of Victoria's new gold royalty believes the impost will raise far more cash from the industry than claimed by the government, and could shorten the life of its flagship Fosterville mine near Bendigo.

Breaking its silence since Victoria announced plans to introduce a 2.75 per cent royalty on gold production, Canada's Kirkland Lake Gold confirmed it was not consulted about a new royalty and still had not been advised how the royalty would be charged.