Struggling junior gold producer Detour Gold Corp. is on the hunt for a new permanent chief executive officer, weeks after its stock got pummelled following a series of bad-news announcements around its flagship Ontario mine.
On Friday, Detour announced that Paul Martin is retiring as CEO and vacating his board seat as of June 1. Michael Kenyon will leave his current role as chairman of the board and take over as CEO on an interim basis. Alex Morrison, currently a director, becomes chair.
The Toronto-based miner expects to announce a permanent replacement for Mr. Martin by early 2019. Detour’s main asset is its Detour Lake open pit mine in Northeastern Ontario, which went into production in 2013. Detour is planning on expanding the mine, but has encountered a number of setbacks lately.
Late last month, Detour spooked investors by cutting its gold production forecast for the year, increasing its costs estimates and slashing its free cash flow projections.
In a preliminary “life of mine” plan, Detour also predicted materially higher costs for the expansion of the Detour Lake mine compared with earlier estimates.