Detour Gold Awards PCM Contract to AMEC and Detailed Engineering to BBA for its Detour Lake Gold Project in Ontario
TORONTO, ONTARIO -- (Marketwire) -- 06/30/10 -- Detour Gold Corporation (TSX: DGC) ('Detour Gold' or the 'Company') is pleased to report that, following a competitive bidding process, it has awarded the procurement, construction and management ('PCM') contract to AMEC Americas Limited ('AMEC'). Earlier this year, the Detailed Engineering contract was awarded to BBA Inc. ('BBA'). BBA and AMEC will combine their effort for the development of the Detour Lake gold project in northeastern Ontario.
Both firms have been involved in the Detour Lake project since the pre-feasibility study in 2009 and participated in the completion of the feasibility study for a 55,000-61,000 tonnes per day open pit operation, which is expected to produce 649,000 ounces of gold annually, using conventional mining and gold processing technology (refer to press release dated May 25, 2010).
Gerald Panneton, President and CEO stated, 'We are very pleased to be continuing our relationship with AMEC and BBA in the development of the Detour Lake project. We have engaged a world class team whose combined strength will complement each other very well. Both companies have recognized expertise in the industry and a solid reputation for building and designing projects. Furthermore, the relationship that has been established between our respective teams during the completion of the feasibility study will allow us to launch quickly into the EPCM process.'
AMEC has significant experience working in the mining industry. AMEC is well known for its successful large mining project implementation experience, having been involved, amongst others, in the successful design and construction of the Victor diamond mine, a $1 billion project that was completed on time and budget. AMEC personnel will be located in Oakville and Montreal (in BBA's office) and will move to site as the development of the project requires.
BBA is an independent Canadian consulting engineering firm with over 400 employees. BBA offers engineering services across Canada and around the globe with a high level of expertise, focusing on the mines, metals and energy sectors. BBA's mandate includes detailed engineering services and early procurement. Towards the completion of the project, BBA's scope is expected to include commissioning services. BBA will work mainly from their Montreal office where Detour Gold and AMEC will also share office space. BBA has recently completed the engineering design for Osisko's Canadian Malartic gold project, a 55,000 tpd open pit operation.
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 expected gold production of the Detour Lake gold project. 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 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 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.
Contacts:
Detour Gold Corporation
Gerald Panneton
President and CEO
(416) 304.0800
Detour Gold Corporation
Laurie Gaborit
Director Investor Relations
(416) 304.0581