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TORONTO, ONTARIO--(Marketwire - Dec. 3, 2010) -





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Detour Gold Corporation (TSX:DGC) ("Detour Gold" or the "Company") is pleased to announce the closing of the previously announced issuance of US$500 million of 5.50% senior unsecured convertible notes.


US$250 million of notes were purchased by a syndicate of underwriters led by BMO Capital Markets and including RBC Capital Markets and UBS Securities Canada Inc., and US$250 million of notes (including US$75 million of Class A notes ("Class A notes")) were purchased by Paulson & Co. Inc., on behalf of the several investment funds and accounts managed by it. The notes were sold on a private placement basis (the "Private Placement").


The notes will mature on November 30, 2017. The notes will be convertible by the holders thereof, at any time prior to their maturity in accordance with the terms of the indentures governing the notes, into common shares of the Company ("Common Shares") at a conversion price of US$38.50 per Common Share. The Class A notes are convertible, at the sole election of the Company, into either Common Shares at a conversion price of US$38.50 per Common Share or the cash equivalent of the market price of such number of Common Shares. The Class A notes are redeemable at the option of the Company at any time after issuance; all other notes are redeemable at the option of the Company at any time after November 30, 2013, provided that, in each case, the volume weighted average trading price of the Common Shares for 30 consecutive trading days is at least 130% of the conversion price at the time of the notice of redemption and subject to the conversion rights of the noteholders.


Detour Gold intends to use the proceeds from the Private Placement to finance the development of its wholly-owned Detour Lake gold project in northeastern Ontario.


"The closing of this private placement marks another significant milestone in the development of the Detour Lake project as we now have the majority of project funding in place. We are on track with procurement and detailed engineering and, with provincial approvals in hand, the construction of the Detour Lake mine is scheduled to start this month" said Gerald Panneton, President and CEO of Detour Gold.



About Detour Gold



Detour Gold is a Canadian gold exploration and development company whose focus is to advance the development of its Detour Lake gold project located in northeastern Ontario. Detour Gold's shares trade on the Toronto Stock Exchange under the trading symbol DGC.


For further information, please visit Detour Gold's website at




FOR FURTHER INFORMATION PLEASE CONTACT: Gerald Panneton
Detour Gold Corporation
President and CEO
(416) 304.0800
ORLaurie Gaborit
Detour Gold Corporation
Director Investor Relations
(416) 304.0581