Detour Gold Reports Fourth Quarter 2013 Operating Results

TORONTO, ONTARIO--(Marketwired - Jan 21, 2014) - Detour Gold Corporation (TSX:DGC) ("Detour Gold" or the "Company") today announces 2013 fourth quarter and full year operating results for its Detour Lake mine located in northeastern Ontario.

Detour Gold reports gold production of 232,287 ounces for its first year of operation, slightly below its lower end guidance of 240,000 ounces. Gold sales totaled 212,522 ounces¹ at an average realized price of US$1,318 per ounce². The Company incurred approximately Cdn$196 million in sustaining capital during the year, excluding any deferred stripping costs. The Company closed 2013 with cash and short-term investments of approximately Cdn$96 million, which was higher than projected as a result of favourable timing of harmonized sales tax refunds.

Commenting on the 2013 operational performance, Interim CEO, Paul Martin, said, "Although 2013 was a challenging year operationally for Detour Gold, we succeeded in making steady progress during the ramp up of the Detour Lake mine. In the fourth quarter, throughput and mining rates progressively increased towards our projected rates for year-end. The significant shutdown in December impacted our progress but I am pleased to report that we are now back on track with milling rates having returned to pre-shutdown levels. For 2014, we look forward to delivering steady production growth and reducing unit costs."

Fourth Quarter Summary

In the fourth quarter, the mill processed 3.4 Mt of ore at an average grade of 0.81 g/t with recoveries of 92% for gold production of 81,877 ounces. Gold sales totaled 95,000 ounces¹ at an average realized price of US$1,269 per ounce².

The mill facility (both grinding lines) processed an average of 37,090 tonnes per day (tpd). Prior to the unplanned shutdown in December, throughput rates had reached 47,581 tpd in November with a record day at 63,700 tonnes on November 16, 2013.

Mill availability for both October and November averaged 82.5%. Availability was significantly reduced in December due to a four-day planned shutdown and a mechanical failure of the pre-leach thickener which caused the mill to shut down for an additional 15 days. Repairs to the torque cage structure and rakes were successfully completed and operations restarted on January 2, 2014 (refer to news releases of December 23, 2013 and January 2, 2014). During these downtime periods, the Company completed a number of mill related repairs and improvements, which should have a positive impact on near-term performance (i.e. installation of the shuttle chute to the two secondary crushers, replacement of the liners to the primary crusher and SAG mills, and replacement of the mill grates for both SAG mills).

¹ Gold ounces sold exclude the 2% royalty paid in-kind.
² Refer to Non-IFRS Financial Performance Measures at end of the press release.

The open pit operation mined 20.9 Mt during the fourth quarter, of which 4.08 Mt was ore and 16.8 Mt was waste (including 5.35 Mt of overburden and till) for a quarterly strip ratio of 4.1 to 1. At the end of December, the run-of-mine ore stockpiles contained over 2.41 Mt grading 0.82 g/t.

Mining rates during the fourth quarter averaged 203,000 tpd, excluding the contractor overburden removal contract. Mining rates averaged 222,000 tpd in December 2013.

In November and December 2013, the Company took delivery of an additional hydraulic shovel (CAT 6060) along with three haul trucks (CAT 795F). The Company now has a mining fleet of 23 haul trucks, three hydraulic shovels (CAT 6060), one excavator (CAT 6030), and two rope shovels (CAT 7495). The Company has ordered a second excavator (CAT 6030), which is expected to be delivered in the second quarter.

Upcoming News Flow

The Company expects to announce the following updates in the first quarter of 2014:

• 2014 operational and financial guidance (end of January)
• Life of mine plan and year-end 2013 mineral reserve/resource update for Detour Lake (early February)
• Fourth quarter and full-year 2013 financial results (early March)

Technical Information

The scientific and technical content of this news release has been reviewed, verified and approved by Drew Anwyll, P.Eng., Vice President of Operations, 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 emerging mid-tier gold producer in Canada that holds a 100% interest in the Detour Lake mine, a long life large scale open pit operation. The Detour Lake mine has proven and probable reserves of 15.6 million ounces of gold.

Non-IFRS Financial Performance Measures

The Company has included a non-IFRS measure in this press release: "average realized price". The Company believes that this measure, in addition to conventional measures prepared in accordance with IFRS, provide investors an improved ability to evaluate the underlying performance of the Company. The non-IFRS measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. These measures do not have any standardized meaning prescribed under IFRS, and therefore may not be comparable to other issuers.

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 delivering steady production growth and reducing unit costs in 2014, improved-near term performance as a result of the mill related repairs and improvements done during the shutdown in December 2013, delivery of a second excavator (CAT 6030) in the second quarter of 2014, and announcing 2014 operational and financial guidance, an updated life of mine plan and year-end 2013 mineral reserve/resource for Detour Lake and fourth quarter and full-year 2013 financial results in the first quarter of 2014. 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 2012 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.