Aug. 14, 2013, 3:52 p.m. EDT
TORONTO, ONTARIO, Aug 14, 2013 (Marketwired via COMTEX) — Detour Gold Corporation CA:DGC +0.96% (“Detour Gold” or the “Company”) is pleased to report that its Detour Lake mine reached commercial production on August 12, having operated for a period of 60 consecutive days (commencing June 13, 2013) at an average of 41,428 tonnes per day (tpd).
The Company’s definition of commercial production states that commercial production will be declared on the first day of the calendar month following the mill having operated for a period of 60 consecutive days at an average of 75% or more of the designed production capacity, equivalent to 41,250 tpd. Consequently, the Company will commence reporting operating costs as of September 1, 2013.
During the 60 day period, the processing plant processed a total of 2,486,000 tonnes of ore, including 17 days where daily milling rates exceeded 50,000 tpd. For the first 11 days of August, availability improved to 80%. During the last four days of that period, the processing plant operated at an average of 52,900 tpd with an overall availability of 95%, which is closely approaching the nameplate capacity of 55,000 tpd. The ramp-up is also steadily progressing at the mine with mining rates averaging 180,000 tpd (total material mined = overburden, ore and waste) for the first 11 days of August.
The Company anticipates that its total cash costs for the post-commercial production period for 2013 will be approximately US$1,100 per ounce as it completes its ramp-up to a more steady state of production (i.e. increasing nameplate capacity from 75% to 90%). Management is now forecasting gold production of approximately 270,000 ounces for 2013.
The Company’s focus remains on optimizing operating performance at the mine and mill to achieve near-nameplate capacity by year-end.
“Achieving commercial production is a significant milestone for the Company and one for which all of us at Detour Gold can proudly take credit,” commented Gerald Panneton, President and Chief Executive Officer. “I want to personally thank all our employees and contractors for their dedication and hard work during the challenging commissioning period. Reaching this milestone is also a testament to the co-operation obtained from all our stakeholders, especially our aboriginal community partners. We are now seeing steady progress on a daily basis in all facets of our operations and are expecting to see production increase over the coming months.”
The Company also reports that it will file its financial results for the second quarter of 2013 on August 14, 2013. Details of the Company’s financial results described in the Unaudited Interim Condensed Consolidated Financial Statements and Management’s Discussion and Analysis will be available on the Company’s website at www.detourgold.com or on SEDAR at www.sedar.com. The Company had reported its second quarter operational update on the Detour Lake mine located in northeastern Ontario on July 9, 2013.
About Detour Gold
Detour Gold is an emerging mid-tier gold producer in Canada. The Detour Lake open pit mine is expected to produce an average of 657,000 ounces of gold annually over a period of 21.5 years. Detour Gold’s shares trade on the Toronto Stock Exchange under the trading symbol DGC.
Forward-Looking Information
This press release contains certain forward-looking information as defined in applicable securities laws (referred to herein as “forward-looking statements”).
Click here for the rest of the forward-looking information: http://www.marketwatch.com/story/detour-gold-achieves-commercial-production-at-detour-lake-2013-08-14-151735159
Contacts:
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
www.detourgold.com