Detour Gold Corporation

Detour Gold Corporation

January 17, 2012 13:09 ET

Detour Gold Starts 2012 Drilling Program on Detour Lake Property

(Block A Near-Surface Resource & Lower Detour Structure)

TORONTO, ONTARIO--(Marketwire - Jan. 17, 2012) - Detour Gold Corporation (TSX:DGC) ("Detour Gold") is pleased to announce the start of the 2012 exploration program on its flagship Detour Lake property located in northeastern Ontario. The Company will focus its exploration activities on the near-surface resources defined on Block A and the Lower Detour Deformation Zone ("LDDZ"), a regional structure similar to the Sunday Lake Deformation Zone ("SLDZ") located approximately 5 kilometres south. A total of 70,000 metres of diamond drilling is planned for the first half of 2012 with six drill rigs.

Block A open pit resource

In 2012, the Company plans to start a pre-feasibility study on the Block A near-surface gold deposit located to the northwest of the Detour Lake open pit. The Company has started a 50,000 metres drilling program with four drill rigs to infill the near-surface M Zone on a 40 by 40 metre spacing. Some of the holes will also be testing the footwall mineralization, which represents the upper extension of the QK Zone (underground mineralized zone defined by Placer Dome in the mid-90's). The drilling program will focus between section 15,200E and 16,780E to advance the definition drilling of a potential small open pit around the M Zone. The open pit mineral resources defined at the end of 2010 contained an indicated resource of 1.9 million ounces (70.8 million tonnes grading 0.85 g/t) with an additional 762,000 ounces (27.3 million tonnes grading 0.87 g/t) in the inferred category.

The pre-feasibility study work planned for this year will also include metallurgical testing, geotechnical work and all necessary baseline studies in preparation for an environmental assessment.

Lower Detour Deformation Zone

The Company has started an initial 20,000 metre drilling program with two drill rigs to test a portion of the known 40 kilometres LDDZ, which has similar characteristic to the SLDZ that hosts the Detour Lake gold deposit (2010 year-end mineral reserves of 14.9 million ounces at a gold price of US$850/oz gold).

The drilling program will start with a series of north-south fence of holes along prior high-grade gold intersections 53.0 g/t Au over 3.0 metres (Placer Dome) and 22.6 g/t Au over 1.0 metre (DXCQ-11-01 by Detour Gold) to better understand the gold mineralization, alteration and stratigraphy. Re-logging of prior holes in the area indicate an increase in the potassic (biotite) alteration to the south. Results from the MMI (mobile metal ion) geochemical survey and sampling of outcrops found in the area also indicate potential gold mineralization to the south.

Results from the MMI (mobile metal ion) geochemical survey conducted over approximately 30 kilometres along the LDDZ indicate a number of gold anomalies along the trend. Additional MMI sampling and IP (induced polarization) geophysics are also planned along the LDDZ in 2012.

Conquest Joint Venture

Approximately 2,000 metres of drilling is planned on the Sunday Lake property, located east of the Detour Lake deposit along the SLDZ. Detour Gold is earning a 50% interest in the property.

Detour Lake Project

The Company plans to announce its 2011 year-end mineral resource and reserve update in early February 2012. For the new mineral reserve estimate, the Company will be using a gold price of US$850/oz and the same pit shell that currently contains mineral reserves of 449.5 million tonnes averaging 1.03 g/t for 14.9 million ounces of gold estimated at a gold price of US$850/oz. Approximately 67,587 metres (or 78%) of the 2011 drilling program, which focused on converting inferred resources into reserves, will be included in the update. The project remains on schedule for gold production to start in the first quarter of 2013.

About Detour Gold

Detour Gold is a Canadian gold exploration and development company whose primary focus is to advance the development of its Detour Lake gold project, located in northeastern Ontario, towards production. Detour Gold's shares trade on the Toronto Stock Exchange under the trading symbol DGC.

Forward-Looking Information

This news release contains certain forward-looking information as defined in applicable securities laws (referred to herein as "forward-looking statements"). Specifically, this news release contains forward-looking statements regarding the Company's 2012 drilling program, the commencement of a pre-feasibility study on Block A and the announcement of the Company's final 2011 year end mineral resource and reserve update. Forward-looking statements involve known and unknown risks, uncertainties and other factors which are beyond Detour Gold's ability to predict or control and may cause Detour Gold's actual results, performance or achievements to be materially different from any of its future results, performance or achievements expressed or implied by forward-looking statements. These risks, uncertainties and other factors include, but are not limited to, gold price volatility, changes in debt and equity markets, the uncertainties involved in interpreting geological data, increases in costs, environmental compliance and changes in environmental legislation and regulation, interest rate and exchange rate fluctuations, general economic conditions and other risks involved in the gold exploration and development industry, as well as those risk factors discussed in the section entitled "Description of Business - Risk Factors" in Detour Gold's July 27, 2011 short form prospectus and in the continuous disclosure documents filed by Detour Gold on and available at Such forward-looking statements are also based on a number of assumptions which may prove to be incorrect, including, but not limited to, assumptions about the following: the availability of financing for exploration and development activities; the estimated timeline for the development of the Detour Lake gold project; the supply and demand for, and the level and volatility of the price of, gold; the results of the feasibility study and the assumptions on which the feasibility study is based; the accuracy of reserve and resource estimates and the assumptions on which the reserve and resource estimates are based; the receipt of necessary permits; market competition; ongoing relations with employees and impacted communities; and general business and economic conditions. Accordingly, readers should not place undue reliance on forward-looking statements. Detour Gold undertakes no obligation to update publicly or otherwise revise any forward-looking statements contained herein whether as a result of new information or future events or otherwise, except as may be required by law. Certain information contained in this news release may be deemed "forward looking". All statements in this news release, other than statements of historical fact, that address events or developments that Detour Gold or Trade Winds expect to occur, are "forward-looking statements". Forward-looking statements involve known and unknown risks, uncertainties and other factors which are beyond Detour Gold's or Trade Winds' ability to predict or control and may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by forward-looking statements.

Contact Information

  • Detour Gold Corporation
    Gerald Panneton
    President and CEO
    (416) 304.0800

    Detour Gold Corporation
    Laurie Gaborit
    Director Investor Relations
    (416) 304.0581

    Detour Gold Corporation
    Royal Bank Plaza, South Tower
    200 Bay Street, Suite 2200
    Toronto, Ontario
    M5J 2J1