Mine construction underway: the start of Detour Gold's mine project will produce a wealth of economic spinoffs across the North.

• Author: Larmour, Adelle
• Position: DESIGN-BUILD

Cochrane is one of the northeastern Ontario communities reaping spinoff benefits as the project site preparations begin for one of Canada's largest undeveloped gold reserves.

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Detour Gold Corporation, a Toronto-based junior, received provincial approval of its closure plan and environmental assessment in early November. It has prompted the procurement process for mining equipment and services that will help build and operate the open-pit mine for a targeted production date of early 2013.

Located at Detour Lake, about 180 kilometres northeast of Cochrane, the project is situated on the site of Placer Dome's former Detour Lake Mine, an historic producer of 1.8 million ounces of gold. Detour Gold has aggressively performed more than 450,000 metres of drilling and has completed a feasibility study since acquiring the property three years ago. It has proved up a mineral reserve of 11.4 million ounces, targeting an average annual production of 650,000 ounces, with an estimated mine life of 16 years.

This $1.2-billion construction project will create more than 1,000 direct jobs. By 2013, when the mine is operational, an estimated 500 people will be employed.

"Full construction of the project is about to start," said Pierre Beaudoin, the company's senior vice-president of capital projects. "Our plan is to meet our commitments to our Aboriginal partners and also support Cochrane local businesses, where our administrative centre is located. We want to work with competitive local businesses who want to grow with us."

Cochrane, a forestry mill town of 5,400, is positioning itself as the "stepping off" point for the Detour Lake gold mine. Town officials have received inquiries from residential, commercial and industrial developers, some of them mining-related.

As the camp is accessible by road, it will have a seven-days-in, seven-days-out schedule with 12-hour shifts during mining operations. Beaudoin said safety plays a prominent role in choosing this schedule, along with its appeal factor.

"If we have a roster of seven and seven, we'll more likely attract young families," he said, adding that the company will try to support and encourage people to establish themselves in Cochrane. "We want to be an active participant in the economic growth of Cochrane and become part of the community's success."

Other communities like Timmins are also benefiting from the latest contract secured by Calgary-based ATCO Structures & Logistics (ASL)...