Mr. David Rae reports

DUNDEE PRECIOUS METALS ANNOUNCES NEW RESULTS FROM INFILL AND SCOUT DRILLING PROGRAMS AT COKA RAKITA IN SERBIA

Dundee Precious Metals Inc. has released new assay results from its continuing infill drilling program at Coka Rakita in eastern Serbia, where it recently announced an inferred mineral resource estimate of 1.8 million ounces of gold. The company also released results from the scout drilling program at the Dumitru Potok and Frasen prospects, which are located on the Coka Rakita licence and are approximately one to 1.5 kilometres north of the Coka Rakita deposit.

Highlights:

• Strong high-grade intercepts from infill drilling at Coka Rakita that continue to confirm and extend the high-grade core, including:
  • RIDD052A -- 81 metres at 50.57 grams per tonne gold and 0.15 per cent copper from 122 metres;
  • RIDD052 -- 85 metres at 8.80 g/t Au and 0.13 per cent Cu from 411 metres;
  • RIDD50A -- 45 metres at 10.08 g/t Au from 219 metres;
  • RIDD049 -- 45 metres at 4.77 g/t Au from 604 metres;
  • RIDT030A -- 53 metres at 2.36 g/t Au and 0.25 per cent Cu from 162 metres;
  • RIDT029 -- 40 metres at 4.50 g/t Au and 0.1 per cent Cu from 450 metres;
  • RIDT027 -- 54 metres at 27.99 g/t Au from 427 metres;
  • RIDT017 -- 26 metres at 5.61 g/t Au from 504 metres.
• New results from scout drilling on Coka Rakita exploration licence confirm camp-wide upside potential for high-grade, manto-like skarn gold-copper mineralization, as well as additional potential for sandstone-hosted skarn mineralization and porphyry-type mineralization. Recently returned intercepts include:
  • DPDD012 -- 26 metres at 3.54 per cent Cu and 3.03 g/t Au from 1,155 metres; 30 metres at 1.36 per cent Cu and 1.11 g/t Au from 1,214 metres;
  • DPDD013A -- nine metres at 0.64 per cent Cu and 0.55 g/t Au from 84 metres;
  • BIDD222 -- eight metres at 2.36 per cent Cu and 1.26 g/t Au from 706 metres;
  • BIDD223 -- 14 metres at 1.52 per cent Cu and 1.23 g/t Au from 657 metres;
  • BIDD224 -- 45 metres at 0.26 per cent Cu and 0.80 g/t Au from 327 metres.
• Next steps: Dundee is on track to complete a preliminary economic assessment (PEA) for Coka Rakita in the second quarter of 2024 and continues to advance activities aimed at accelerating the project, including geotechnical and hydrogeological drilling, the next phase of the metallurgical test work program, the evaluation of locations for potential site infrastructure, and stakeholder engagement activities. The company is also aggressively pursuing additional potential skarn targets through its scout drilling campaigns within the Coka Rakita licence, on the new Potaj Cuka and Pester Jug licences, and on the Umka licence. In 2024, Dundee has budgeted between $20-million and $22-million for exploration activities in Serbia.

"We are excited to announce these strong results from our ongoing drilling program, which continue to demonstrate the significant exploration potential of Coka Rakita and the surrounding licences beyond the current Coka Rakita deposit," said David Rae, president and chief executive officer of Dundee Precious Metals.

"We are on track to complete the preliminary economic assessment in the second quarter of 2024, and we are planning continued aggressive exploration at Coka Rakita and on the surrounding licences to generate new discoveries."

Coka Rakita infill drilling program results

The infill drilling program at Coka Rakita continues, with an additional 9,200 metres drilled comprising 19 completed drill holes and a further seven continuing drill holes, since the company's previous update on Nov. 15, 2023.

Results from the infill drilling program continue to deliver high-grade intercepts, including the project's best intercept reported to date from drill hole RIDD052A. This intercept returned a wide interval of high-grade gold mineralization, with visible gold observed over an approximate 20-metre section of the hole related to strong skarn altered sandstone with intermittent brecciated intervals. Fire assay results returned an 81-metre interval grading at 50.57 g/t Au and 0.15 per cent Cu from 122 metres, including a single one-metre interval of 3,025 g/t Au from 173 m to 174 m.

In addition to confirming the grade-tenor of the mineralization, infill drilling continues to demonstrate a coherent concentration of high-grade mineralization within the core of the deposit.

Coka Rakita scout drilling

The company is continuing its aggressive scout drilling program on the Coka Rakita exploration licence, drilling over 7,800 metres since the previous update on Nov. 15, 2023, with seven drill holes completed and six drill holes in progress. The objective of this phase of drilling is to test for the continuation of skarn-hosted gold mineralization within sandstones as well as conglomerate- and marble-hosted copper-gold mineralization based on the presence of favourable stratigraphy and fertile intrusives. The current drill plan builds upon previous intercepts of these mineralization types, found to the north of Coka Rakita. Examples include the previously disclosed drill hole RADD044, which included 42 metres at 0.72 per cent Cu and 0.5 g/t Au hosted within skarn altered marbles, and drill hole BIDD221, which reported five metres at 1.45 per cent Cu and 0.64 g/t Au on manto-like skarn mineralization.

So far, the scout holes drilled north of Coka Rakita have confirmed the conceptual targeting model and consistently show the presence of skarn alteration and mineralization within more reactive lithological units. Mineralization is interpreted as a manto-like skarn, developed at the limit of conglomerates/sandstone and marbles, in close proximity of fertile diorite porphyries that often display potassic alteration and exhibiting weak to moderate copper-gold mineralization.

At the Dumitru Potok prospect, located approximately 1.5 kilometres northeast of Coka Rakita, several long holes were drilled to test for the extension of a higher-grade manto target at depth. Drill hole DPDD012, collared on the eastern flank of the Dumitru Potok prospect, reported two deep (approximately 900 metres below surface), but consistent, intercepts of high-grade copper-gold manto-like skarn mineralization, including 26 metres at 3.54 per cent Cu and 3.03 g/t Au from 1,155 metres down hole and 30 metres at 1.36 per cent Cu and 1.11 g/t Au from 1,214 metres. These intercepts are located along the conglomerate-marble contact, as well as on the upper contact of monzonites and associated diorites. A follow-up daughter hole (DPDD012A) is under way to test the continuation of this target.

Drill holes DPDD013 and DPDD014 both returned strongly silicified sandstones and conglomerates, with intermittent sulphides, as well as diorite dikes with weakly to moderate developed potassic alteration. Due to technical difficulties, both drill holes were terminated short of the deeper marble contact. Daughter holes, wedged off of the original holes, are currently under way to reach this target zone. Drill hole DPDD013A reported a promising intercept of nine metres at 0.55 g/t Au and 0.64 per cent copper, developed within strongly skarn altered sandstones. This hole, as well as DPDD014B, are currently cotninuing and approaching the marble conglomerate contact, with increasing sulphides and more abundant skarn altered marble clasts observed by Dundee geologists.

At the Frasen prospect, located approximately one kilometre northwest of Coka Rakita, drill holes BIDD222 and BIDD223, collared east of the aforementioned BIDD221, intercepted well-developed manto-like skarn mineralization. Drill hole BIDD224, which is currently continuing, intercepted a mineralized porphyry diorite with strong potassic alteration and locally well-developed stockwork, that returned a partial (upper section of the hole) intercept of 45 metres at 0.8 g/t Au and 0.26 per cent Cu. This intrusion is believed to be the causative intrusion for the manto-style skarn mineralization. At the time of this news release, the hole is still within strongly potassic altered diorites with porphyry-style mineralization and has not yet reached the expected manto target. However, the increasing presence of skarn altered marbles and conglomerate xenoliths within the diorite suggests that the contact zone is nearby.

Scout drilling on the southern flank of the Coka Rakita deposit returned a promising intercept from drill hole RADD045, which returned nine metres at 2.04 g/t Au and 10 metres at one g/t Au, developed on the upper epiclastic cover sequence that possesses irregular levels of skarn alteration related with subvertical structures. Based on the observed relationship between epiclastic-hosted mineralization and underlying sandstone-hosted skarn mineralization at the Coka Rakita deposit, these results would suggest that higher-grade sandstone-hosted skarn mineralization may be present at depth. Additional drilling will follow up on these results, as well as to test the larger footprint of coincident surface geochemical anomaly and to test the target skarn stratigraphy, which is still open to south and southeast from Coka Rakita.

Preliminary economic assessment

Dundee is on track to complete a PEA for Coka Rakita in the second quarter of 2024. The company is continuing to advance activities aimed at accelerating the project, including geotechnical and hydrogeological drilling, the next phase of the metallurgical test work program, evaluation of locations for potential site infrastructure, and stakeholder engagement activities. In 2024, the company has budgeted approximately $10-million to $13-million for the PEA.

Significant exploration program planned for 2024

In 2024, the company's exploration program in Serbia includes 35,000 metres of infill and geotechnical drilling as well as approximately 55,000 metres of scout drilling.

As part of its continuing scout drilling program on the Coka Rakita licence, Dundee plans to test favourable stratigraphy for carbonate replacement and skarn mineralization on the Potaj Cuka and the Pester Jug exploration licences, as well as recommencing drilling on the Umka licence.

Furthermore, the company aims to extend the magnetotelluric (MT) survey in an area to the north of Coka Rakita, up to the Korkan East prospect. This approach has proven to be an effective targeting tool for outlining sulphide-bearing mineralization at the Frasen and Dumitru Potok prospects.

The company has budgeted between $20-million and $22-million for exploration activities in Serbia in 2024.

Sampling, analysis and quality assurance/quality control of exploration drill core samples

Given the presence of coarse gold at Coka Rakita, a rigorous sampling and QA/QC procedure has been selected which includes the use of laboratory screen metallic assaying.

Most exploration diamond drill holes are collared with PQ size, continued with HQ and are sometimes finished with NQ. Triple tube core barrels and short runs are used whenever possible to improve recovery. All drill core is cut lengthwise into two halves using a diamond saw: one-half is sampled for assaying and the other half is retained in core trays. The common length for sample intervals within mineralized zones is one metre. Weights of drill core samples range from three to eight kilograms, depending on the size of core, rock type and recovery. A numbered tag is placed into each sample bag, and the samples are grouped into batches for laboratory submission.

Drill core samples are shipped to the company's own exploration laboratory in Bor, Serbia, which is independently managed by SGS. SGS methods and procedures are accredited at SGS hub labs and independent internal lab QA/QC check samples are sent to an SGS accredited laboratory. The Bor lab also participate in SGS monthly round robins, and other international round robins. Quality control samples, comprising certified reference materials, blanks and field duplicates, are inserted into each batch of samples and locations for crushed duplicates and pulp replicates are specified. All drill core and quality control samples are tabulated on sample submission forms that specify sample preparation procedures and codes for analytical methods. For internal quality control, the laboratory includes its own quality control samples comprising certified reference materials, blanks and pulp duplicates. All QA/QC monitoring data are reviewed, verified and signed off by an independent QA/QC geologist. Chain-of-custody records are maintained from sample shipments to the laboratory until analyses are completed and remaining sample materials are returned to the company. The chain of custody is transferred from the company to SGS at the laboratory door.

At the SGS Bor laboratory, the submitted drill core samples are dried at 105 degrees for a minimum of 12 hours, and then jaw crushed to approximately 80 per cent passing four millimetres. Sample preparation duplicates are created by riffle splitting crushed samples on a one-in-20 basis. Larger samples are riffle split prior to pulverizing, whereas smaller samples are pulverized entirely. Pulverization specifications are 90 per cent passing 75 microns. Gold analyses are done using a conventional 50-gram fire assay and atomic absorption spectroscopy finish. Multielement analyses for 49 elements, including silver, copper, molybdenum, arsenic, bismuth, lead, antimony and zinc, are done using a four-acid digestion and an inductively coupled plasma mass spectrometry finish. Samples returning over 10 ppm for Ag and 1 per cent for Cu, Pb or Zn are reanalyzed using high-grade methods with AAS finish. Sulphur is analyzed using an Eltra analyzer equipped with an induction furnace.

All fire assays performed at SGS Bor with results exceeding one g/t gold grade from the Coka Rakita deposit are reassayed by means of a specifically designed gold screen fire assay program at the ALS Global laboratory located in Romania. For reanalyses, one kg of two mm sized coarse reject material is split, pulverized and screened at 106 microns to separate the sample into a coarse fraction (greater than 106 micrometres) and a fine fraction (less than 106 micrometres). After screening, two 50-gram aliquots of the fine fraction are analyzed using the traditional fire assay method and AAS finish. The entire coarse fraction is assayed to determine the contribution of the coarse gold using fire assay and gravimetric finish. A total gold calculation for the one kg sample is based on the weighted average of the coarse and fine fractions.

Ross Overall, corporate director, technical services, of the company, who is a qualified person as defined under National Instrument 43-101, and Paul Ivascanu, general manager, exploration, of the company, have reviewed and approved the scientific and technical content of this news release. Mr. Overall has verified the accuracy of the information presented in this disclosure.

About Dundee Precious Metals Inc.

Dundee Precious Metals is a Canadian-based international gold mining company with operations and projects located in Bulgaria, Namibia, Serbia and Ecuador. 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 ESG (environmental, social, governance), innovation, optimizing its existing portfolio and growth. The company's resources are allocated in line with its strategy to ensure that Dundee delivers value for all of its stakeholders. Dundee's shares are traded on the Toronto Stock Exchange (symbol: DPM).

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