Goldcorp last month conditionally agreed to take a 14% stake in the new Quebec Precious Metals Corp, being created by a merger of Canada Strategic Metals and Matamec Explorations.

As part of the arrangement, the new company will acquire Sphinx Resources' three gold projects, including the Chemin Troilus project which Durango noted was north-east of its Découverte property.

"James Bay is considered a highly prospective new gold camp by the majors, with such quality deposits as Goldcorp's multimillion-ounce Eleonore, Eastmain's Clearwater and La Grande Sud," Durango CEO Marcy Kiesman said.

"We are intrigued by the compelling geology at Découverte and are excited that Goldcorp is supporting exploration and moving closer to our project."

Durango plans to drill six target areas at Découverte in the coming months.

The company had C$1.1 million (US$0.86 million) in working capital at the end of January.

Its shares have ranged between C6c-13.5c over the past 12 months and closed unchanged on Friday at 8c, capitalising it at $3 million.