Mr. Rick Howes reports

DUNDEE PRECIOUS METALS ANNOUNCES 2016 SECOND QUARTER RESULTS

Dundee Precious Metals Inc. has released its second quarter 2016 results (all monetary figures are expressed in U.S. dollars unless otherwise stated).

Second quarter 2016 financial and operating highlights:

• Metals production from continuing operations: achieved gold and copper production, including gold in pyrite concentrate, of 38,092 ounces and 9.6 million pounds, respectively, in line with 2016 guidance;
• All-in sustaining cost per ounce of gold from continuing operations: achieved cost of $580, up over 2015 due to lower realized copper prices;
• Smelter: processed 44,545 tonnes of complex concentrate, in line with 2016 guidance, and lower than the corresponding period in 2015 due primarily to the timing of annual maintenance;
• Near-term growth opportunities: advanced the remaining Krumovgrad permitting activities, including completing the land rezoning and purchase process; approval of the construction permit and of the financing plan remains on track to allow construction to commence in the third quarter of 2016, as planned;
• Kapan disposition: closed sale on April 28 for total cash and non-cash consideration of $42-million;
• Financing: closed equity offering on July 11, generating net proceeds of $54-million (Canadian);
• Hedging: added to commodity hedge positions to reduce near-term commodity price exposure and support the advancement of Dundee Precious Metals' growth initiatives;
• Financial position: aggregate cash resources of approximately $226-million, including proceeds from equity offering and the undrawn portion of Dundee Precious Metals' long-term revolving credit facility.

Dundee Precious Metals today reported a second quarter net loss attributable to common shareholders from continuing operations of $8.9-million (six cents per share) compared with net earnings attributable to common shareholders from continuing operations of $1.9-million (one cent per share) for the same period in 2015. Net loss attributable to common shareholders from continuing operations in the first six months of 2016 was $12.7-million (nine cents per share) compared with net earnings attributable to common shareholders from continuing operations of $300,000 (nil per share) for the same period in 2015. Net earnings attributable to common shareholders from discontinued operations were $3.3-million (two cents per share) and $1.0-million (one cent per share) in the second quarter and first six months of 2016, respectively, compared with nil (nil per share) and a net loss of $1.5-million (one cent per share), in each case from discontinued operations, for the same periods in 2015.

Net loss attributable to common shareholders from continuing operations for the second quarter and first six months of 2016 was impacted by several items not reflective of the company's underlying operating performance, including unrealized losses and gains attributable to hedging future copper and gold production and foreign-denominated operating costs, and net gains or losses on Sabina special warrants. Excluding these items, the adjusted net loss (1) from continuing operations during the second quarter of 2016 was $7.4-million (five cents per share) compared with adjusted net earnings from continuing operations of $1.4-million (one cent per share) for the corresponding period in 2015. This loss was due primarily to lower copper prices, higher local currency operating expenses and depreciation at Tsumeb, lower volumes of complex concentrate smelted as a result of the timing of the planned annual maintenance shutdown of the Ausmelt furnace, and higher general and administrative and exploration expenses. These unfavourable variances were partially offset by higher volumes of payable metals in concentrate sold, higher gold prices, lower treatment charges and transportation costs at Chelopech, and a stronger U.S. dollar.

In the first six months of 2016, adjusted net loss from continuing operations was $8.7-million (six cents per share) compared with adjusted net earnings from continuing operations of $1.3-million (one cent per share) in the corresponding period in 2015. This loss was due primarily to lower copper prices, higher local currency operating expenses and depreciation at Tsumeb, and higher general and administrative and exploration expenses. These unfavourable variances were partially offset by higher volumes of concentrate smelted and toll rates at Tsumeb, the favourable impact of higher first quarter grades in copper concentrate that was sold in the second quarter of 2016, lower treatment charges and transportation costs at Chelopech, a stronger U.S. dollar, reduced deductions for estimated metals exposure, and higher gold prices.

Net earnings attributable to common shareholders from discontinued operations for the second quarter and first six months of 2016 were higher than the corresponding periods in 2015 due primarily to a gain of $6.0-million on the Kapan disposition recognized in the second quarter of 2016, partially offset by lower volumes of payable metals in concentrate sold consistent with the decrease in deliveries as a result of the Kapan disposition and lower grades for all metals.

"Chelopech continues to perform well, and we expect to exceed the 2016 guidance we issued earlier this year. At Tsumeb, damage to the refractory lining following a power blackout in Namibia is expected to result in an unplanned three-week shutdown for repairs, and we now forecast 2016 concentrate smelted to be 20,000 tonnes lower than anticipated," said Rick Howes, president and chief executive officer. "Our focus for the balance of 2016 is to deliver on our production plans and initiatives to further optimize Chelopech, and to maximize the Tsumeb smelter on-line time and capacity in the second half of the year. We are also well positioned to secure the construction permit for our Krumovgrad gold project and remain on track to commence construction in the third quarter."

Adjusted earnings before interest, taxes, depreciation and amortization from continuing operations

Adjusted EBITDA (1) from continuing operations during the second quarter and first six months of 2016 was $17.8-million and $39.3-million, respectively, compared with $19.3-million and $39.0-million in the corresponding periods in 2015, driven primarily by the same factors affecting adjusted net loss from continuing operations, except for depreciation, which is excluded from adjusted EBITDA.

The average market price for gold during the second quarter and first six months of 2016 increased by 6 per cent and 1 per cent, respectively, compared with the corresponding periods in 2015. The average market price for copper during the second quarter and first six months of 2016 decreased by 22 per cent and 21 per cent, respectively, compared with the corresponding periods in 2015. The average realized gold price, including realized hedging losses or gains, for the second quarter and first six months of 2016, was $1,254 per ounce and $1,233 per ounce, respectively, up 5 per cent and 2 per cent compared with the corresponding periods in 2015. The average realized copper price, including realized hedging gains, for the second quarter and first six months of 2016 was $2.33 per pound and $2.30 per pound, respectively, down 27 per cent and 28 per cent compared with the corresponding periods in 2015.

Production from continuing operations

Copper concentrate produced from continuing operations during the second quarter of 2016 of 27,015 tonnes was 4 per cent lower than the corresponding period in 2015 due primarily to lower copper grades, partially offset by higher volumes of ore mined and processed. Copper concentrate produced from continuing operations during the first six months of 2016 of 56,326 tonnes was 9 per cent higher than the corresponding period in 2015 due primarily to higher copper grades and higher volumes of ore mined and processed. Pyrite concentrate produced during the second quarter and first six months of 2016 of 40,219 tonnes and 99,271 tonnes, respectively, was 34 per cent and 8 per cent lower than the corresponding periods in 2015. These results were in line with the mine plan.

In the second quarter of 2016, gold contained in copper and pyrite concentrates produced decreased by 6 per cent to 38,092 ounces, copper production decreased by 3 per cent to 9.6 million pounds and silver production decreased by 17 per cent to 50,042 ounces, in each case, relative to the corresponding period in 2015. The decrease in gold production was due primarily to lower gold recoveries to pyrite concentrate and lower gold grades, partially offset by higher recoveries to copper concentrate and higher volumes of ore mined and processed. The decrease in copper production was due primarily to lower copper grades, partially offset by higher volumes of ore mined and processed. The decrease in silver production was due primarily to lower silver grades, partially offset by higher volumes of ore mined and processed and higher silver recoveries.

In the first six months of 2016, gold contained in copper and pyrite concentrates produced increased by 6 per cent to 84,910 ounces, copper production increased by 12 per cent to 20.2 million pounds and silver production increased by 7 per cent to 119,252 ounces, in each case, relative to the corresponding period in 2015. These increases were due primarily to higher volumes of ore mined and processed, higher recoveries for all metals, and higher copper grades.

In accordance with the mine plan, second quarter Chelopech copper and gold production decreased by approximately 10 per cent over the first quarter due to lower copper and gold grades. It is currently expected that gold production in the second half of 2016 will be 20 per cent lower than the first half as a result of lower-grade zones in the mining sequence. Metal production in 2016 is expected to exceed the guidance issued in February, 2016, and has been updated accordingly.

Complex concentrate smelted during the second quarter of 2016 of 44,545 tonnes was 17 per cent lower than the corresponding period in 2015 due primarily to the annual maintenance shutdown and oxygen constraints in May, 2016. The annual maintenance shutdown commenced on June 18, 2016, and the smelter returned to operation on July 16, 2016. In 2015, the annual maintenance shutdown took place in the first quarter. Complex concentrate smelted during the first six months of 2016 of 101,967 tonnes was 5 per cent higher than the corresponding period in 2015 due primarily to increased availability of the Ausmelt furnace and the timing of the annual maintenance shutdown.

Subsequent to a power blackout in Namibia on July 22, 2016, cooling water entered the Ausmelt furnace as a result of the backup systems for power and cooling water not operating as expected, which compromised the integrity of the refractory lining. The repairs are expected to take three weeks to complete, resulting in a reduction in 2016 throughput of approximately 20,000 tonnes. Complex concentrate smelted in 2016 is now expected to range between 200,000 and 220,000 tonnes.

Deliveries from continuing operations

Deliveries of copper concentrate during the second quarter and first six months of 2016 of 27,059 tonnes and 52,300 tonnes, respectively, were 7 per cent and 11 per cent lower than the corresponding periods in 2015 due primarily to the timing of shipments. Deliveries of pyrite concentrate in the second quarter of 2016 of 39,188 tonnes were 25 per cent lower than the corresponding period in 2015 due primarily to lower pyrite concentrate produced. Deliveries of pyrite concentrate in the first six months of 2016 of 104,897 tonnes were 8 per cent higher than the corresponding period in 2015 due primarily to the timing of shipments.

In the second quarter of 2016, payable gold in copper and pyrite concentrates sold increased by 11 per cent to 37,871 ounces, payable copper in copper concentrate sold decreased by 6 per cent to 9.1 million pounds and payable silver in copper concentrate sold decreased by 16 per cent to 43,397 ounces, in each case, relative to the corresponding period in 2015. The increase in payable gold was due primarily to higher gold grades in copper concentrate sold. The decrease in payable copper was consistent with the decrease in copper concentrate deliveries.

In the first six months of 2016, payable gold in copper and pyrite concentrates sold decreased by 4 per cent to 69,618 ounces, payable copper in copper concentrate sold decreased by 9 per cent to 17.6 million pounds and payable silver in copper concentrate sold decreased by 24 per cent to 75,501 ounces, in each case, relative to the corresponding period in 2015. The decrease in payable gold was due primarily to lower deliveries of copper concentrate, partially offset by higher first quarter gold grades in copper concentrate that was sold in the second quarter. The decrease in payable copper was consistent with the decrease in copper concentrate deliveries, partially offset by higher copper grades.

Cash cost per ounce of gold sold from continuing operations

Cash cost per ounce of gold sold, net of byproduct credits (1), during the second quarter of 2016, was $456 compared with $374 during the corresponding period in 2015 due primarily to lower byproduct prices, partially offset by lower treatment charges and higher volumes of payable gold in concentrate sold.

Cash cost per ounce of gold sold, net of byproduct credits, in the first six months of 2016, was $462 compared with $357 in the corresponding period in 2015. This increase was due primarily to lower byproduct prices and lower volumes of payable metals, partially offset by lower treatment charges and a lower per tonne cost as a result of increased ore mined and processed and higher grades.

All-in sustaining cost per ounce of gold from continuing operations

All-in sustaining cost per ounce of gold (1) in the second quarter and first six months of 2016 was $580 and $627, respectively, compared with $499 and $498 in the corresponding periods in 2015. These increases were due primarily to the same factors affecting cash cost per ounce of gold sold.

Cash cost per tonne of complex concentrate smelted, net of byproduct credits

Cash cost per tonne of complex concentrate smelted, net of byproduct credits, during the second quarter of 2016, of $502 was 34 per cent higher than the corresponding period in 2015 due primarily to lower volumes of complex concentrate smelted as a result of the timing of the annual maintenance shutdown, which commenced on June 18, 2016, and was completed on July 16, 2016, and higher local operating costs related to contractors, consumables, labour and electricity, partially offset by a weaker South African rand.

Cash cost per tonne of complex concentrate smelted, net of byproduct credits, during the first six months of 2016, of $409 was 5 per cent lower than the corresponding period in 2015 due primarily to higher volumes of complex concentrate smelted, net cash generated from the sale of sulphuric acid, a byproduct of the smelting operation and a weaker rand, partially offset by higher local operating costs related to contractors, consumables, labour and electricity.

Cash provided from operating activities of continuing operations

Cash provided from operating activities in the second quarter of 2016 was $6.7-million compared with $37.4-million in the corresponding period in 2015. This decrease was due primarily to unfavourable changes in non-cash working capital, which are expected to reverse in the third quarter of 2016, and the timing of the settlement of derivative contracts.

Cash provided from operating activities in the first six months of 2016 was $12.2-million compared with $34.7-million in the corresponding period in 2015. This decrease was due primarily to unfavourable changes in non-cash working capital, lower copper prices and the timing of the settlement of derivative contracts, partially offset by higher smelter volumes and toll rates, and higher gold prices.

Cash provided from operating activities, before changes in non-cash working capital, during the second quarter and first six months of 2016, was $15.7-million and $46.4-million, respectively, compared with $17.7-million and $35.8-million in the corresponding periods in 2015 due primarily to the same factors impacting adjusted EBITDA and the timing of proceeds from settlement of derivative contracts.

Capital expenditures from continuing operations

Capital expenditures during the second quarter and first six months of 2016 totalled $13.1-million and $24.5-million, respectively, compared with $17.7-million and $34.2-million in the corresponding periods in 2015.

Growth capital expenditures during the second quarter and first six months of 2016 were $8.9-million and $16.1-million, respectively, compared with $14.5-million and $27.0-million in the corresponding periods in 2015. These decreases were due primarily to lower spending on the acid plant and new copper converters at Tsumeb compared with the corresponding periods in 2015. Sustaining capital expenditures during the second quarter and first six months of 2016 were $4.1-million and $8.4-million, respectively, compared with $3.2-million and $7.2-million in the corresponding periods in 2015.

Financial position

As at June 30, 2016, Dundee Precious Metals had cash and cash equivalents of $23.8-million, an investment portfolio valued at $22.5-million and $160-million of undrawn lines under its committed long-term revolving credit facility. These cash resources, together with the recent equity offering that generated net proceeds of approximately $54-million (Canadian) and forecast cash flows from operations, are expected to support the company's continuing operating and capital requirements.

Kapan disposition

In March, 2016, the company entered into a definitive agreement with Polymetal International PLC for the sale of its interest in Kapan. Under the Kapan disposition, the company received on April 28, 2016, consideration consisting of: (i) $10-million in cash from the buyer, (ii) a working capital adjustment estimated at $7.3-million, which is expected to be finalized in the third quarter of 2016, (iii) $15.2-million in ordinary shares of Polymetal, which were subsequently sold for net proceeds of $14.8-million, and (iv) a 2-per-cent net smelter royalty on future production from the Kapan property having an estimated value of $9.5-million. As a result, a gain of $6.0-million was recognized in the second quarter of 2016 and was included in the results from discontinued operations.

Guidance for 2016

In May, 2016, the company revised its guidance for Kapan to reflect only four months of operation as a result of the Kapan disposition occurring on April 28, 2016, and revised its consolidated production guidance accordingly. Guidance for Chelopech has been increased to reflect higher production in the first half of 2016. Tsumeb guidance has been updated to reflect the reduced 2016 throughput as a result of damage sustained to the refractory lining of the Ausmelt and the associated repair, expected to take approximately three weeks to complete.

The company's production and cash cost guidance for 2016 is set out in the attached production and cash cost guidance table.

                     PRODUCTION AND CASH COST GUIDANCE FOR 2016                     

                                Chelopech       Tsumeb       Kapan (5)     Consolidated (6)
Ore mined/milled (000s
tonnes)                       2,030-2,250            -            131          2,161-2,381
Complex concentrate
smelted (000s tonnes)                   -      200-220              -              200-220
Metals contained in
copper and zinc
concentrates
produced (1) (2)
Gold (000s ounces)                108-118            -              6              114-124
Copper (million pounds)         35.0-39.0            -            0.7            35.7-39.7
Zinc (million pounds)                   -            -            2.8                  2.8
Silver (000s ounces)              204-234            -            111              315-345
Payable gold in pyrite
concentrate sold (000s
ounces)                             26-40            -              -                26-40
Cash cost per tonne of
ore processed
($) (3) (4)                       $32-$36           $-            $81              $32-$36
Cash cost per ounce of
gold sold, net of by-
product credits
($) (1) (3) (4)                   550-650            -          1,136              550-650
All-in sustaining cost
per ounce of gold
($) (1) (3) (4)                         -            -              -              750-850
Cash cost per tonne of
complex concentrate
smelted, net of by-
product credits
($) (3) (4)                             -      380-425              -              380-425
Cash cost per ounce of
gold sold in pyrite
concentrate ($) (4)               750-850            -              -              750-850

(1) Excludes metals in pyrite concentrate and, where applicable, the
treatment charges, transportation and other selling costs related to the
sale of pyrite concentrate, which is reported separately. Cash cost per
ounce of gold sold, net of byproduct credits, including payable gold in
pyrite concentrate sold, is expected to range between $600 and $690 in
2016. All-in sustaining cost per ounce of gold, including payable gold
in pyrite concentrate sold, is expected to range between $750 and $850
in 2016. 
(2) Metals contained in concentrate produced are prior to deductions
associated with smelter terms. 
(3) Based on foreign exchange rates and, where applicable, metal prices 
that approximate current rates and prices. The assumed copper price 
reflects the impact of 67 per cent of 2016 copper production being 
hedged at $2.32 per pound. 
(4) Cash cost per tonne of ore processed, cash cost per ounce of gold 
sold, net of byproduct credits, all-in sustaining cost per ounce of gold,
cash cost per tonne of complex concentrate smelted, net of byproduct
credits, and cash cost per ounce of gold sold in pyrite concentrate have
no standardized meaning under generally accepted accounting principles.
Refer to the non-GAAP financial measures section of management's 
discussion and analysis for the three and six months ended June 30, 2016, 
for further discussion of these items, including reconciliations to 
international financial reporting standard measures. 
(5) As a result of the Kapan disposition, which closed on April 28, 2016,
Kapan's operating results have been treated as a discontinued operation
and its production and cost guidance reflects actual performance for the
period from Jan. 1 to April 28, 2016. 
(6) Consolidated guidance for ore mined/milled and metals production
includes results from the discontinued Kapan operation. Consolidated
guidance for cash cost per tonne of ore processed, cash cost per ounce
of gold sold, net of byproduct credits, and all-in sustaining cost per
ounce of gold pertains to continuing operations. 

For 2016, the majority of the company's growth capital expenditures (1) from continuing operations has been focused on the completion of the new copper converters at Tsumeb and securing the remaining permits required to support the construction of the Krumovgrad gold project. In aggregate, these expenditures are expected to be between $27-million and $31-million. The growth capital forecast for 2016 is expected to be updated following the receipt of the approved construction permit for Krumovgrad and Dundee Precious Metals' board of directors' authorization to proceed to the construction phase of the project in the third quarter, as planned. Sustaining capital expenditures (1) from continuing operations are expected to range between $22-million and $28-million. The rate of capital expenditures is expected to vary from quarter to quarter based on the schedule for, and execution of, each capital project and, where applicable, the receipt of necessary permits and approvals.

The 2016 guidance for Chelopech and Tsumeb is not expected to occur evenly throughout the year. The estimated metals contained in concentrate produced and volumes of complex concentrate smelted are expected to vary from quarter to quarter depending on the areas being mined, the timing of concentrate deliveries and planned outages. Consistent with the Chelopech mine plan, metals production in the second half of 2016 is expected to be lower than the first half of 2016 as a result of lower grades. Chelopech 2016 ore production is expected to continue at a rate 10 per cent higher than 2015 through the balance of 2016, while copper and gold grades are expected to be 13 per cent and 11 per cent lower than 2015, respectively, consistent with the current mine plan. Subsequent to a power blackout in Namibia on July 22, 2016, cooling water entered the Ausmelt furnace as a result of the backup systems for power and cooling water not operating as expected, which compromised the integrity of the refractory lining. The repairs are expected to take three weeks to complete, resulting in a reduction in 2016 throughput of approximately 20,000 tonnes.

Further details can be found in the company's management's discussion and analysis under the Section 2016 guidance.

(1) Adjusted net (loss) earnings, adjusted basic (loss) earnings per share, adjusted earnings before interest, taxes, depreciation and amortization, cash provided from operating activities, before changes in non-cash working capital, cash cost per ounce of gold sold, net of byproduct credits, all-in sustaining cost per ounce of gold, cash cost per tonne of complex concentrate smelted net of byproduct credits, and growth and sustaining capital expenditures have no standardized meaning under international financial reporting standards. Presenting these measures from period to period helps management and investors evaluate earnings and cash flow trends more readily in comparison with results from prior periods. Refer to the non-GAAP financial measures section of the MD&A for further discussion of these items, including reconciliations to IFRS measures.

   
                     KEY FINANCIAL AND OPERATIONAL HIGHLIGHTS 
                        ($ millions, except where noted)

                                                  Three months              Six months     
                                                  ended June 30,           ended June 30,
                                               2016      2015 (6)        2016      2015 (6)

Revenue (3)                                   $72.5        $58.6       $142.6       $118.6
Gross profit (1) (3)                            7.5          3.8         20.6          5.5
(Loss) earnings before income taxes
from continuing operations                     (6.8)         2.2        (10.5)         2.7
Net (loss) earnings attributable to
common shareholders from continuing
operations                                     (8.9)         1.9        (12.7)         0.3
Basic (loss) earnings per share from
continuing operations ($/share)               (0.06)        0.01        (0.09)        0.00
Net (loss) earnings attributable to
common shareholders                            (5.6)         1.9        (11.7)        (1.2)
Basic (loss) earnings per share
attributable to common shareholders
($/share)                                     (0.04)        0.01        (0.08)       (0.01)
Adjusted EBITDA from continuing
operations (2)                                 17.8         19.3         39.3         39.0
Adjusted net (loss) earnings from
continuing operations (2)                      (7.4)         1.4         (8.7)         1.3
Adjusted basic (loss) earnings per
share from continuing operations
($/share) (2)                                 (0.05)        0.01        (0.06)        0.01
Cash provided from operating
activities of continuing operations             6.7         37.4         12.2         34.7
Cash provided from operating
activities of continuing operations,
before changes in non-cash working
capital (2)                                    15.7         17.7         46.4         35.8
Metals contained in concentrate
produced from continuing operations
Gold (ounces) (4)                            38,092       40,442       84,910       80,413
Copper (000s pounds)                          9,641        9,945       20,219       18,028
Silver (ounces)                              50,042       60,310      119,252      111,947
Tsumeb -- complex concentrate smelted
(mt)                                         44,545       53,721      101,967       96,822
Payable metals in concentrate sold
from continuing operations
Gold (ounces) (5)                            37,871       33,977       69,618       72,627
Copper (000s pounds)                          9,061        9,613       17,584       19,240
Silver (ounces)                              43,397       51,682       75,501       99,617
Cash cost per tonne of ore processed
from continuing operations ($) (2)            33.72        35.09        33.88        35.76
Cash cost per ounce of gold sold, net
of byproduct credits, from
continuing operations ($) (2)                   456          374          462          357
Cash cost per ounce of gold sold in
pyrite concentrate ($) (2)                      765          907          786          944
All-in sustaining cost per ounce of
gold from continuing operations
($) (2)                                         580          499          627          498
Cash cost per tonne of complex
concentrate smelted at Tsumeb, net
of byproduct credits ($) (2)                    502          376          409          429
                                           --------     --------     --------     --------

(1) Gross profit from continuing operations is regarded as an additional
generally accepted accounting principle measure and is presented in the 
company's consolidated statements of (loss) earnings. Gross profit 
represents revenue less cost of sales and is one of several measures 
used by management and investors to assess the underlying operating 
profitability of a business. 
(2) Adjusted earnings before interest, taxes, depreciation and 
amortization; adjusted net (loss) earnings; adjusted basic (loss)
earnings per share; cash flow provided from operating activities of
continuing operations, before changes in non-cash working capital; cash
cost per tonne of ore processed; cash cost per ounce of gold sold, net
of byproduct credits; cash cost per ounce of gold sold in pyrite
concentrate; all-in sustaining cost per ounce of gold; and cash cost per
tonne of complex concentrate smelted, net of byproduct credits, are not
defined measures under international financial reporting standards. 
Refer to management's discussion and analysis for reconciliations to
IFRS measures. 
(3) Excludes results from Kapan, which are reported separately as a
discontinued operation under IFRS. 
(4) Includes gold contained in pyrite concentrate produced in the second
quarter and first six months of 2016 of 8,519 ounces and 21,950 ounces,
respectively, compared with 14,010 ounces and 24,766 ounces for the
corresponding periods in 2015. 
(5) Includes payable gold in pyrite concentrate sold in the second quarter
and first six months of 2016 of 5,397 ounces and 15,110 ounces,
respectively, compared with 8,972 ounces and 16,308 ounces for the
corresponding periods in 2015. 
(6) Certain comparative figures have been reclassified as a consequence of
several expenses previously classified as general and administrative
expenses being classified as operating costs and included in cost of
sales to better reflect the operating results of each segment.  

Dundee Precious Metals' unaudited condensed interim financial statements and management's discussion and analysis for the three and first six months ended June 30, 2016, are posted on the company's website and have been filed on SEDAR.

The company will be holding a call and a webcast to discuss its second quarter 2016 results on July 29, 2016, at 9 a.m. (EST). Participants are invited to join the live webcast (listen/view only). Alternatively, participants can access a listen-only telephone option at 416-340-2216 or North America toll-free at 1-866-223-7781. A replay of the call will be available at 905-694-9451 or North America toll-free at 1-800-408-3053, passcode 3510223. The audio webcast for this conference call will also be archived and available on the company's website.

We seek Safe Harbor.