TORONTO, ONTARIO -- (Marketwired) -- 01/30/17 -- Detour Gold Corporation (TSX: DGC) ("Detour Gold" or the "Company") reports on its 2016 exploration and drilling programs at the Detour Lake property in northeastern Ontario.
2016 Key Highlights
-- Positive results from infill drilling program at Zone 58N in the Lower
Detour area
-- New mineralized system identified in the area of the tailings facility,
opening up exploration potential further east
Zone 58N Exploration
In 2016, the Company completed a total of 52,079 metres of infill drilling at Zone 58N, approximately seven kilometres south of the Detour Lake processing plant facility. Since the update provided in July 2016 on the results from the Phase 1 drilling program, the Company received all the assay results from the Phase 2 drilling program completed this fall (15,249 metres in 46 holes). The majority of the infill drilling was at 25 metre spacing, testing the top 250 metres of the deposit. Results continued to demonstrate the continuity of the gold mineralization and provided a high level of confidence in the upper part of the deposit, further confirming the underground mining potential of Zone 58N. Significant assay results from Phase 2 are listed in Table 1.
Zone 58 N - Selected Significant Intercepts from Phase 2 (uncut gold assay reported)
-- 14.22 g/t over 13.0 m, including 24.55 g/t over 7.0 m (DLD-16-312) -- 3.16 g/t over 26.0 m and 6.96 g/t over 10.0 m (DLD-16-320) -- 14.21 g/t over 13.0 m (DLD-16-335) -- 12.78 g/t over 7.2 m (DLD-16-340A) -- 28.14 g/t over 9.0 m (DLD-16-346) -- 5.33 g/t over 14.2 m (DLD-16-347) -- 4.19 g/t over 12.0 m (DLD-16-348)
G Mining Services Inc., an independent engineering firm, has now completed a preliminary model and conceptual design for an advanced underground exploration program. The block model assumed a 3 metre minimum horizontal thickness and work is underway to evaluate the potential for wider mining areas. Based on the geological interpretation of the deposit as currently drilled, multiple lenses of potential ore were delineated from bedrock surface to a depth of approximately 800 metres. The deposit remains open below 800 metres.
The conceptual underground advanced exploration program consists of temporary surface infrastructure, a portal and a decline (sized at 5 x 5 metres), cross-cuts and ventilation development necessary to access the deposit for an eventual bulk sample. Diamond drilling would be undertaken from drill bays off the decline to allow for delineation drilling for the upper 400 metres and additional drilling at depth. The estimated cost of this program over a period of five years is expected to range between C$30 and C$50 million. The Company would require an advanced exploration permit to commence this program.
Conceptual advanced underground exploration development based on the current drilling information to date:
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On January 4, 2017, the Company started a surface infill drilling program of approximately 30,000 metres between 250 and 450 metres below surface with the objective of increasing the understanding of grade and geometry for that part of the deposit. Selected holes will also be drilled deeper to delineate continuity at depth.
The gold mineralized system (Zones 58N and 75) has been intersected over an east-west strike length of 450 metres, from surface to a depth of 800 metres. The mineralized system remains open at depth. Gold mineralization is mainly found within an altered feldspar porphyry intrusive characterized by brittle deformation, containing quartz and/or quartz-tourmaline veins with up to 5% pyrite and multiple occurrences of visible gold.
TMA Exploration
In the area east of the current tailings facility, approximately 3.5 kilometres east of the Detour Lake open pit, the Company completed 6,195 metres in 19 holes as well as various trenches. Trenching and drilling results have identified shear-hosted gold mineralization over 1,200 metres, opening up exploration potential immediately east of the current tailings facility. Significant assay results from this drilling are listed in Table 2.
For 2017, the Company plans to continue trenching along the current mineralization, extend the geophysical induced polarization (IP) survey, and carry out additional drilling to better understand the controls and orientation of the gold mineralization.
TMA - Selected Significant Intercepts (uncut gold assay reported)
-- 3.99 g/t over 4.0 m (DTMA-16-001)
-- 9.88 g/t over 1.0 m (DTMA-16-007)
-- 4.47 g/t over 5.5 m (DTMA-16-010)
-- 5.04 g/t over 1.5 m (DTMA-16-011)
-- 5.04 g/t over 1.5 m (DTMA-16-016)
-- 12.08 g/t over 11.7 m and 4.06 g/t over 10.9 m (channel samples in
Trench 2)
-- 4.00 g/t over 5.0 m (channel sample in Trench 6)
The surface plan and cross-sections of Zone 58N, and the surface plan of the drilling and trenching results of the TMA target, are posted on the Detour Gold website: http://www.detourgold.com/projects/detour-lake-exploration-regional/default.aspx
Technical Information
The drilling programs are being managed by Guy MacGillivray, P.Geo., Exploration Manager of Detour Gold, a Qualified Person within the meaning of National Instrument 43-101. Mr. MacGillivray has verified and approved the data disclosed in this release, including the sampling, analytical and test data underlying the information. For this drilling campaign, samples are prepared at ALS Laboratories in Sudbury and assayed at their Vancouver, B.C laboratory. Analysis for gold is done on sawn half core samples (size HQ or NQ) using 50 grams fire assay (AAS finish). Samples with higher grade gold (greater than 3 g/t) or with visible gold are re-assayed using the pulp and fire assay with gravimetric finish procedures. The Company's quality control checks include the insertion of standard reference materials and blank samples to monitor the precision and accuracy of the assay data.
The scientific and technical content of this news release was reviewed, verified and approved by Drew Anwyll, P.Eng., Senior Vice President, Technical Services, a Qualified Person as defined by Canadian Securities Administrators National Instrument 43-101 "Standards of Disclosure for Mineral Projects."
About Detour Gold
Detour Gold is an intermediate gold producer in Canada that holds a 100% interest in the Detour Lake mine, a long life large-scale open pit operation.
Table 1. Significant Assay Results from 2016 Summer/Fall Drilling Program
Zone 58N, Lower Detour Area
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Hole & Section No. Au g/t
From To Au g/t Cut Length m Domain
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DLD-16-311 / 595380E 374.0 384.0 1.54 1.54 10.0 58N
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DLD-16-312 / 595580E 332.0 345.0 14.22 10.35 13.0 58N
Incl. 335.0 342.0 24.55 17.35 7.0 58N
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DLD-16-313 / 595580E 179.2 181.2 9.02 9.02 2.0 75
307.0 308.0 9.30 9.30 1.0 58N
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DLD-16-320 / 595455E 46.0 72.0 3.16 3.16 26.0 58N
88.0 89.0 15.45 15.45 1.0 58N
108.0 118.0 6.96 4.28 10.0 58N
Incl. 112.0 117.0 13.53 8.17 5.0 58N
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DLD-16-324 / 595380E 43.0 50.0 1.46 1.46 7.0 58N
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DLD-16-328 / 595605E 24.0 27.0 3.44 3.44 3.0 75
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DLD-16-330B / 595605E 55.0 57.0 12.60 12.60 2.0 75
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DLD-16-331 / 595380E 187.0 190.0 13.76 13.66 3.0 58N
265.0 273.0 1.07 1.07 8.0
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DLD-16-333 / 595605E 282.0 284.0 4.36 4.36 2.0 58N
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DLD-16-335 / 595605E 148.0 161.0 14.21 6.75 13.0 75
254.0 258.0 2.39 2.39 4.0 58N
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DLD-16-339 / 595730E 972.0 976.0 3.97 3.97 4.0 58N
Incl. 972.0 973.0 15.30 15.30 1.0 58N
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DLD-16-340A / 595655E 223.8 231.0 12.78 11.37 7.2 58N
Incl. 223.8 225.0 31.50 30.00 1.2 58N
Incl. 226.0 226.5 5.94 5.94 0.5 58N
Incl. 229.0 230.1 37.60 30.00 1.1 58N
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DLD-16-341A / 595655E 211.0 215.0 4.33 4.33 4.0 75
Incl. 211.0 212.0 9.10 9.10 1.0 75
Incl. 214.0 215.0 4.98 4.98 1.0 75
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DLD-16-343 / 595655E 218.5 233.0 5.52 5.52 4.5
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DLD-16-344 /595655E 151.0 155.0 5.71 5.71 4.0 75
Incl. 151.0 152.0 15.40 15.40 1.0 75
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DLD-16-346 / 595680E 244.5 249.0 5.50 4.27 4.5 75
Incl. 246.0 246.6 37.00 30.00 0.6 75
255.0 264.0 28.14 14.01 9.0 75/58N
Incl. 255.0 256.2 9.55 9.55 1.2 75/58N
Incl. 256.2 257.0 23.10 23.10 0.8 75/58N
Incl. 257.0 257.5 13.10 13.10 0.5 75/58N
Incl. 257.5 258.1 27.20 27.20 0.6 75/58N
Incl. 258.1 258.9 21.90 21.90 0.8 75/58N
Incl. 258.9 260.0 6.22 6.22 1.1 75/58N
Incl. 260.5 261.0 94.50 30.00 0.5 75/58N
Incl. 261.0 262.0 125.00 30.00 1.0 75/58N
Incl. 262.0 263.0 2.68 2.68 1.0 75/58N
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DLD-16-347 / 595630E 352.0 366.2 5.33 4.29 14.2 58N
Incl. 352.0 353.0 44.80 30.00 1.0 58N
Incl. 365.0 366.2 21.10 21.10 1.2 58N
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DLD-348 / 595430E 453.0 465.0 4.19 4.19 12.0 58N
Incl. 453.0 454.0 12.65 12.65 1.0 58N
Incl. 454.0 455.0 16.35 16.35 1.0 58N
Incl. 464.0 465.0 14.10 14.10 1.0 58N
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DLD-16-350 / 595605E 223.5 227.5 5.55 5.55 4.0 75
Incl. 223.5 224.5 11.05 11.05 1.0 75
Incl. 224.5 225.5 9.85 9.85 1.0 75
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Note: Reported average gold grade is over core length widths. True width is estimated to be 65 to 75% of the drilled length. Other drill holes from this program did not intersect any significant gold mineralization.
Table 2. Significant Assay Results from 2016 Summer/Fall Drilling Program
TMA Area, East of Detour Lake Mine
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Hole No. From To Au g/t Length m Domain
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DTMA-16-001 2.5 270.0 0.21 267.5 Intermediate Intrusive
Incl. 34.0 38.0 3.99 4.0 Intermediate Intrusive
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DTMA-16-006 Intermediate Intrusive
44.0 47.1 1.83 3.1 Breccia
Intermediate Intrusive
Incl. 45.6 46.5 5.58 0.9 Breccia
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DTMA-16-007 94.0 107.0 1.02 13.0 Intermediate Intrusive
Incl.106.0 107.0 9.88 1.0 Intermediate Intrusive
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DTMA-16-008 199.0 199.5 5.62 0.5 Mafic Volcanic
222.0 222.7 5.38 0.7 Felsic Intrusive
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DTMA-16-009 33.3 37.5 1.37 4.2 Intermediate Intrusive
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DTMA-16-010 444.0 468.0 2.00 24.0 Intermediate Intrusive
Incl. 444.0 448.0 3.81 4.0 Intermediate Intrusive
Incl. 462.5 468.0 4.47 5.5 Intermediate Intrusive
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DTMA-16-011 44.0 51.0 1.13 7.0 Intermediate Intrusive
Incl. 49.5 51.0 5.04 1.5 Intermediate Intrusive
229.0 230.0 4.07 1.0 Mafic Intrusive
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DTMA-16-016 48.0 159.0 0.29 111.0 Intermediate Intrusive
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DTMA-16-017 221.0 226.0 0.73 5.0 Intermediate Intrusive, VG
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DTMA-16-018 191.3 193.0 1.62 1.7 Intermediate Intrusive
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Note: Reported average gold grade is over core length widths. True widths of the intersections are undetermined. Other drill holes from this program did not intersect any significant gold mineralization.
Forward-Looking Information
This press release contains certain forward-looking information as defined in applicable securities laws (referred to herein as "forward-looking statements"). Forward-looking statements relate to future events or future performance and reflect current expectations or beliefs regarding future event. All statements other than statements of historical fact are forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "continues", "forecasts", "projects", "predicts", "intends", "anticipates", "targets", or "believes", or variations of, or the negatives of, such words and phrases or state that certain actions, events or results "may", "could", "would", "should", "might" or "will" be taken, occur or be achieved . Specifically, this press release contains forward-looking statements regarding opening up exploration potential further east of the new mineralized system identified in the area of the tailings facility; evaluating the potential for wider mining areas in Zone 58N; a conceptual underground advanced exploration program for Zone 58N including a temporary surface infrastructure, diamond drilling, a bulk sample and additional drilling at depth estimated to cost between C$30 and C$50 million over a period of five years; the Company being required to obtain an advanced exploration permit to commence the underground advanced exploration program for Zone 58N; the Company's plans to continue trenching along the current mineralization east of the current tailings facility, extend the geophysical IP survey, and carry out additional drilling in 2017.
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, the ability of the Company to refinance its convertible notes and credit facility on or before maturity (November 30, 2017 and August 31, 2017, respectively), gold price volatility, changes in debt and equity markets, the uncertainties involved in interpreting geological data, a reduction in the company's available cash resources, increases in costs, environmental compliance, receipt of required permits, 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 2015 AIF and in the continuous disclosure documents filed by Detour Gold on and available on SEDAR at www.sedar.com.
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; operating and capital costs; the Company's ability to attract and retain skilled staff; the mine development schedule; sensitivity to metal prices and other sensitivities; the supply and demand for, and the level and volatility of the price of, gold; timing of the receipt of regulatory and governmental approvals for development projects and other operations; the supply and availability of consumables and services; the exchange rates of the Canadian dollar to the U.S. dollar; energy and fuel costs; the accuracy of reserve and resource estimates and the assumptions on which the reserve and resource estimates are based; 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. The forward-looking statements contained herein are made as of the date hereof, or such other date or dates specified in such 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. If the Company does update one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those or other forward-looking statements.
Contacts:
Detour Gold Corporation
Paul Martin
President and CEO
Tel: (416) 304.0800
Detour Gold Corporation
Laurie Gaborit
Vice President Investor Relations
Tel: (416) 304.0581
Detour Gold Corporation
Commerce Court West, 199 Bay Street, Suite 4100
P.O. Box 121, Commerce Court Postal Station
Toronto, Ontario M5L 1E2
