Mr. David Rae reports

DUNDEE PRECIOUS METALS DELIVERS RECORD QUARTERLY FREE CASH FLOW GENERATION; ANNOUNCES 2023 SECOND QUARTER RESULTS

Dundee Precious Metals Inc. has released its operating and financial results for the second quarter and six months ended June 30, 2023.

Highlights (unless otherwise stated, all monetary figures in this news release are expressed in U.S. dollars):

• Strong metal production: produced 76,306 ounces of gold and 7.9 million pounds of copper;
• All-in sustaining cost: reported cost of sales per ounce of gold sold (1) of $929 and an all-in sustaining cost per ounce of gold sold (2) of $733;
• On track to achieve 2023 guidance: both mining operations are on track to achieve their 2023 production and cost guidance while Tsumeb is tracking toward the low end of its 2023 production guidance and the higher end of its cash cost per tonne guidance.
• Significant free cash flow: generated $59.2-million of cash provided from operating activities and achieved record quarterly free cash flow of $70.5-million (2);
• Solid adjusted net earnings: reported net earnings of $61.7-million (33 cents per share) and adjusted net earnings (2) of $62.2-million (33 cents per share);
• Growing financial position: ended the quarter with a strong balance sheet, including $542.0-million of cash, a $150.0-million undrawn revolving credit facility and no debt;
• Increasing return of capital to shareholders: returned $48.9-million, or 36 per cent of free cash flow, to shareholders during the first half of 2023 through dividends and share repurchases; declared second quarter dividend of four cents per common share payable on Oct. 16, 2023, to shareholders of record on Sept. 30, 2023;
• Development projects: continued to progress the updated feasibility study (FS) for Loma Larga in Ecuador, which is expected to be completed in the second half of 2023; received technical approval for the environmental impact assessment (EIA) for a 69-kilovolt power line and initiated the associated public consultation process;
• Strong results from exploration activities: results from continuing drilling activities at the Coka Rakita exploration prospect in Serbia reported in July, 2023, extended the deposit to the south and also confirmed and further extended the high-grade zone; with nine drill rigs currently active on site and an additional 30,000 metres of drilling planned, Dundee Precious continues to target a maiden mineral resource estimate by year-end 2023.

(1) Cost of sales per ounce of gold sold represents total cost of sales for Chelopech and Ada Tepe, divided by total payable gold in concentrate sold, while all-in sustaining cost per ounce of gold sold includes treatment and freight charges, net of byproduct credits, all of which are reflected in revenue.

(2) All-in sustaining cost per ounce of gold sold, free cash flow and adjusted net earnings are non-generally accepted accounting principle financial measures or ratios. These measures have no standardized meanings under international financial reporting standards and may not be comparable with similar measures presented by other companies.

Chief executive officer commentary

"We continued to deliver strong performance in the second quarter, including solid gold production, excellent all-in sustaining costs and a record $70.5-million of free cash flow generation. Year to date, we returned 36 per cent of our free cash flow to shareholders through our enhanced share buyback program and our sustainable quarterly dividend," said David Rae, president and chief executive officer.

"The most recent results from our ongoing drilling program at the high-quality Coka Rakita deposit in Serbia extended the deposit to the south, and also confirmed and further extended the high-grade zone. We continue to view Coka Rakita as a promising prospect within our organic portfolio, and we are aggressively drilling to grow the deposit and test other nearby targets that share the same geological environment.

"We continue to believe that DPM represents a compelling value opportunity for investors, given our strong three-year outlook for gold production, attractive all-in sustaining costs, significant free cash flow generation and exciting exploration prospects."

Quarterly dividend

On Aug. 1, 2023, the company's board of directors declared a dividend of four cents per common share payable on Oct. 16, 2023, to shareholders of record on Sept. 30, 2023.

Second quarter 2023 results conference call and webcast

At 9 a.m. EDT on Wednesday, Aug. 2, 2023, Dundee Precious will host a conference call and audio webcast to discuss the results, followed by a question-and-answer session. To participate by conference call, register in advance to receive the dial-in information, as well as a unique PIN code to listen to the call.

Conference call date and time:  Wednesday, Aug. 2, 2023, at 9 a.m. EDT

Replay archive:  available at the Dundee Precious website

This news release and Dundee Precious's unaudited condensed interim consolidated financial statements and management's discussion and analysis for the three and six months ended June 30, 2023, are posted on the company's website and have been filed on SEDAR+.

Qualified person

The technical and scientific information in this news release has been prepared in accordance with Canadian regulatory requirements set out in National Instrument 43-101 (Standards of Disclosure for Mineral Projects) of the Canadian Securities Administrators and the Canadian Institute of Mining, Metallurgy and Petroleum Definition Standards for Mineral Resources and Mineral Reserves, and has been reviewed and approved by Ross Overall, BSc (applied geology), corporate mineral resource manager of Dundee Precious, who is a qualified person as defined under NI 43-101 and who is not independent of the company.

About Dundee Precious Metals Inc.

Dundee Precious is a Canadian-based international gold mining company with operations and projects located in Bulgaria, Namibia, Ecuador and Serbia. The company's purpose is to unlock resources and generate value to thrive and grow together. This overall purpose is supported by a foundation of core values, which guides how the company conducts its business and informs a set of complementary strategic pillars and objectives related to environmental, social and governance, innovation, optimizing its existing portfolio, and growth. The company's resources are allocated in line with its strategy to ensure that Dundee Precious delivers value for all of its stakeholders. Dundee Precious's shares are traded on the Toronto Stock Exchange (symbol: DPM).

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