Sunday Lake, Ontario
The Sunday Lake Property lies immediately east of Detour Gold's Detour Lake Project, along the eastern extension of the Sunday Lake Deformation Zone.
Conquest entered in to a joint venture with Detour Gold on the Sunday Lake claims as part of the sale, in September 2010, of Conquest's Aurora property to Detour Gold.
The joint venture option on the Sunday Lake Claims will allow Detour Gold to further expand its interest in what is believed to be a prospective area of this relatively under-explored portion of the Abitibi Greenstone Belt.
Under the terms of the JV agreement, Detour Gold must spend $1 million on exploration over a two year period from September 2010.
The Company continues to explore its large prospective land holdings. Since 2011,
the focus is on a major structural break that is parallel and less than five kilometres
south of Sunday Lake Deformation Zone (“SLDZ”),
which hosts the Detour lake deposit.
This major structure named the Lower Detour Deformation Zone (“LDDZ”) has many
similarities with the SLDZ. The LDDZ has been traced over an approximate strike length
of 40 kilometres and remains largely underexplored.
Approximately 6 kilometres from the processing plant, several historic drill holes
had encountered higher grade gold mineralization without any systematic follow up.
Detour Gold has conducted both geochemical and geophysical surveys and completed
just over 5,000 metres of drilling in early 2012,
generating new targets for 2013 winter drilling.
Detour Gold’s current focus is to advance the development of the Detour Lake deposit
towards production, which will bring the greatest return to its shareholders.
Currently, Detour Lake contains an open pit mineral reserve of 15.6 million ounces of gold
using a cut-off grade of 0.5 g/t.
With production scheduled to start in the first quarter of 2013,
the mine is projected to produce an average of 657,000 ounces of gold annually
over a period of 21.5 years.