TORONTO, ONTARIO -- (MARKET WIRE) -- 12/17/10 -- Detour Gold Corporation (TSX: DGC) ("Detour Gold" or the "Company") is pleased to announce that it has received approval of the Individual Environmental Assessment for Permanent Power Supply (Transmission Line) from the Ontario Ministry of Environment. This Order-in-Council approval permits Detour Gold to commence the construction of the 185 kilometre transmission line required for the Detour Lake mining facilities.
Detour Gold has awarded the construction contract for the transmission line to Detour Lake Constructors ("DLC"), a partnership led by Peter Kiewit Infrastructure Co. ("Kiewit"), with Moose Cree Constructors Inc. (Moose Cree First Nation), New Post Constructors LP (Taykwa Tagamou Nation) and Wahgoshig First Nation as Partners. Kiewit is responsible for the construction management and execution of the contract and PowerTel Utilities Contractors Limited ("PowerTel") is the transmission line subcontractor.
Construction is scheduled to start in early January 2011 with the first segment of 135 kilometres from the project site to Island Falls power station. Completion of this segment will provide a 115 kilovolts (kV) connection to the provincial electrical grid to support project construction. The second segment of 45 kilometres, from Island Falls to the Pinard transformer station (near Fraserdale), will start in late 2011 and, when completed, will provide up to 120 megawatts (MW) at 230 kV of power during the operation of the Detour Lake project.
"Having received the green light for the transmission line construction means that the development of the Detour Lake mine remains on schedule," said Gerald Panneton, President and CEO of Detour Gold. "Today's announcement further supports our commitment to meaningful business development with our local Aboriginal communities. This cooperative joint venture represents an important step in building more opportunities together as we move ahead with the development of Ontario's largest gold mine."
Kent Grisham, Kiewit spokesman added, "The partnership between Kiewit and the three First Nation groups was key to a successful start of the development of the Detour Lake project. It's a great source of pride for everyone at Kiewit to continue our great record of accomplishments in partnership with various First Nation groups throughout Canada. We are committed to completing this project safely, on time and on budget for the operation of one of the largest gold mines in Canada."
Wayne Gatien, President of PowerTel commented, "We take pride in having been selected as Detour Gold's top choice for the transmission line construction and being part of a mining development project that will positively transform the region. PowerTel looks forward to building a trusted relationship with our First Nations partners in that important project."
About Kiewit
Kiewit is one of North America's largest and most respected construction and engineering organizations offering construction and engineering services in a variety of markets including mining, transmission line, transportation, water/wastewater, heavy civil, power, oil, gas and chemical, and building.
About PowerTel
PowerTel is one of the leading high voltage specialty contractors in Canada. PowerTel provides project and maintenance services for electrical transmission, distribution, substation and generation systems. PowerTel emphasizes training and safety on all projects.
About Detour Gold
Detour Gold is a Canadian gold exploration and development company whose primary focus is to advance the development of its flagship 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.
Detour Gold Corporation, Royal Bank Plaza, South Tower, 200 Bay Street, Suite 2200, Toronto, Ontario M5J 2J1
Forward-Looking Information
This press release contains certain forward-looking information as defined in applicable securities laws (referred to herein as "forward-looking statements"). Specifically, this press release contains forward-looking statements regarding the successful completion of constructing the transmission line. 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 actual results, performance or achievements to be materially different from any of 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 2009 annual information form. 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 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.
Contacts:
Detour Gold Corporation
Gerald Panneton
President and CEO
(416) 304.0800
Detour Gold Corporation
Laurie Gaborit
Director Investor Relations
(416) 304.0581
Source: Detour Gold Corporation