Mr. David Rae reports

DUNDEE PRECIOUS METALS ANNOUNCES POSITIVE PRELIMINARY ECONOMIC ASSESSMENT FOR THE COKA RAKITA PROJECT IN SERBIA, INCLUDING IRR OF 33 per cent AND NPV OF $588M

Dundee Precious Metals Inc. has released the results of a preliminary economic assessment for its Coka Rakita project in Serbia. The PEA supports an underground mining operation with an 850,000-tonne-per-year processing facility and an initial 10-year mine life, and highlights Coka Rakita's potential to offer meaningful production growth with attractive all-in sustaining costs and very robust economics at a $1,700-per-ounce gold price assumption. Based on the positive results of the PEA, the company is proceeding with a prefeasibility study and project permitting activities.

PEA highlights

(All dollar amounts in this news release are expressed in U.S. dollars unless otherwise noted. The reader is advised that the PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA will be realized. Mineral resources that are not mineral reserves do not have demonstrated economic viability.)

• High-margin production profile: annual production expected to average 164,000 ounces of gold (first five full years) with all-in sustaining costs expected to be in the lowest quartile, providing the potential for very strong margins;
• Robust returns highlight an attractive project at a $1,700-per-ounce-gold price assumption: after-tax net present value of $588-million with an internal rate of return of 33 per cent and payback after 2.4 years; the project's economics are even more attractive in today's gold price environment;
• Attractive organic growth opportunity leveraging Dundee Precious's mining, processing and regional expertise: Coka Rakita benefits from established infrastructure, including nearby existing roads and power lines; the project is located in close regional proximity to Dundee Precious's existing operations in Bulgaria, and the PEA leverages the company's underground mining and processing expertise in terms of mining methods and flowsheet; the company has had a local presence in Serbia since 2004, has developed strong relationships in the region and will continue to pro-actively engage with all stakeholders as the project advances;
• Significant exploration potential across four exploration licences: Dundee Precious is continuing its scout drilling program focused on aggressively pursuing additional skarn targets on the Coka Rakita licence and the company's three additional licences to the north and the south.

"The PEA confirms our view that Coka Rakita is a very robust project with the potential to add strong economic returns and very high-margin gold production growth to our portfolio," said David Rae, president and chief executive officer of Dundee Precious.

"The results of the PEA are a testament not only to the quality of Coka Rakita, but also [to] our exploration and technical teams, who have accelerated the project from the initial discovery we announced in 2023 to a PEA in under 16 months.

"As a stand-alone project offering a 33-per-cent IRR at a gold price of $1,700 per ounce, Coka Rakita is a very attractive asset, and we also continue to be excited by the exploration potential we are seeing at Coka Rakita and the three adjacent licences we hold. We are continuing to aggressively explore for additional skarn targets in the area."

Preliminary economic assessment overview

The PEA contemplates underground mining of the Coka Rakita project with a relatively standard comminution, gravity and flotation flow sheet to treat 850,000 tonnes per year of material, producing saleable gravity and flotation concentrates.

The project is located approximately 35 kilometres northwest of the city of Bor in Serbia, which is a region of the country with a long mining history, is proximal to existing roads and power lines, and is approximately 320 kilometres northwest of Dundee Precious's Chelopech mine in Bulgaria, which will allow easy access to existing technical support functions. The project is also a strong fit with the company's underground mining and processing expertise.

The PEA assumes start of construction in mid-2026 with first production of concentrate targeted for the first half of 2028.

The PEA is preliminary in nature and includes inferred mineral resource estimates that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA will be realized. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

Mining and processing

The PEA mine plan assumes access from surface through twin declines and a spiral ramp to truck the mined material to surface. Leveraging Dundee Precious's experience and expertise from its underground Chelopech mine, the anticipated mining method is conventional sublevel long-hole open stoping and paste backfill.

The PEA is based on a process flow sheet consisting of crushing and grinding to a P80 of 53 microm, followed by gravity concentration and sulphide flotation. The gravity concentrate will be marketable directly to gold refineries, and the sulphide flotation concentrate will be suitable for processing by smelters in the region. Average payability for the flotation concentrate is expected to be 97.4 per cent, and average payability for the gravity concentrate is expected to be 99.8 per cent, with a combined life-of-mine weighted average of 98.4 per cent.

The PEA demonstrates a minable mineral resource of 7.9 million tonnes above a cut-off grade of 2.5 grams per tonne for an initial mine life of 10 years, with two years of preproduction mine development. Average life-of-mine gold production is expected to be approximately 129,000 ounces per year from an average gold head grade of 5.68 g/t. Production in the first five full years is expected to average 164,000 ounces per year from an average gold head grade of 6.70 g/t.

The production schedule as outlined in the PEA is presented herein.

As part of the prefeasibility study, Dundee Precious will be evaluating several opportunities to optimize the mine plan and flow sheet, including optimizing the mine access development schedule to gain earlier access to the high-grade core of mineralization. Additionally, opportunities to enhance the mine plan include optimizing the mine sequencing and mining method assumptions to enhance the grade and production profile.

Capital expenditures

The initial project capital costs are expected to be approximately $381-million, which includes development of the underground mine, construction of an 850,000-tonne-per-year processing plant, a five-million-tonne dry mine waste facility, and additional infrastructure, including haul and access roads, water treatment, power supply, and site services.

Dundee Precious will explore the potential to utilize existing processing infrastructure from the company's 850,000-tonne-per-year processing facility currently in use at the Ada Tepe operation in Bulgaria, where mine life is expected to end in 2026. While this is not currently expected to reduce initial capital expenditures, Dundee Precious sees several potential benefits, including derisking the project timeline in terms of long-lead items and supply chain risk, as well as the ability to leverage the company's processing expertise and maintenance practices.

Coka Rakita gold price sensitivity estimates

The attached price sensitivity table shows the gold price sensitivity for the project.

Mineral resource estimate

The maiden mineral resource estimate for the Coka Rakita project, with an effective date of Nov. 16, 2023, forms the basis of the mine design and schedule for the PEA. The MRE is based on 81,000 metres of drilling at 30-metre-by-30-metre drill spacing in the core of the deposit and up-to-60-metre-by-60-metre grid spacing on the periphery. For more information on the mineral resource estimate for Coka Rakita, refer to the Coka Rakita technical report entitled "Maiden Mineral Resource Estimate -- Coka Rakita Gold Project, Serbia," with an effective date of Nov. 16, 2023 (report date of Jan. 24, 2024), available on the company's website and filed on SEDAR+.

The continuing infill drilling program at Coka Rakita is designed to allow the conversion of the current inferred mineral resource estimate to the indicated mineral resource category, with approximately 12,000 metres drilled to date in 2024. Results from infill drilling continue to confirm the continuity of the mineralization and have returned high-grade intercepts. Refer to the news release dated Feb. 26, 2024, for more information and for a review of recent results from infill drilling.

Next steps

In parallel to its exploration and infill drilling activities, Dundee Precious is advancing various activities to accelerate the project development timeline, including geotechnical and hydrogeological drilling programs, further metallurgical variability, and optimization testwork, as well as several mining, processing and engineering trade-off studies. All of these activities will form the basis of the PFS, which has been initiated by Dundee Precious and is expected to be completed by the first quarter of 2025.

As a result of advancing Coka Rakita to a PFS, Dundee Precious now expects its 2024 evaluation expenses to be between $30-million and $35-million. This is an increase from the previous guidance of between $10-million and $13-million, which was largely related to the costs of completing the PEA, as well as costs related to geotechnical and condemnation drilling and permitting activities that are expected to occur over the course of 2024.

Permitting and stakeholder engagement

Consistent with its approach across all operations and projects, Dundee Precious seeks to build and maintain strong partnerships with local communities and governments. The company has had a local presence in Serbia since 2004, has developed strong relationships in the region and will continue to pro-actively engage with all stakeholders as the project advances.

Planning for the project will be focused on ensuring responsible environmental management and social development in line with industry best practices. Dundee Precious is committed to working closely with local communities around the Coka Rakita project to understand and support local development opportunities, with a focus on maximizing benefits of the project for Serbia.

Permitting preparation activities are under way with a detailed timeline to support commencement of construction in mid-2026, with good support and engagement from key regional and national authorities. The company has initiated preparations related to the environmental impact assessment, including monitoring for baseline studies related to surface water, groundwater, air quality and biodiversity, and plans to initiate soil monitoring and a social study over the course of 2024. The EIA is expected to be submitted in the first quarter of 2026.

Continuing scout drilling program to further define exploration potential

The company is aggressively pursuing additional potential skarn targets through its scout drilling campaigns within the Coka Rakita licence, including a focus on the newly identified copper-gold manto skarn mineralization at the Dumitru Potok and Frasen targets. Following the initial positive results reported in the company's news release dated Feb. 26, 2024, several additional holes have been completed, which consistently exhibited the presence of polymetallic skarn alteration and mineralization within reactive lithological units, particularly at the boundary of conglomerates and marbles, as well as fertile diorite and monzodiorite dikes similar in appearance to the causative intrusion at Coka Rakita, confirming Dundee Precious's conceptual targeting model. Since the start of 2024, approximately 10,000 metres of scout and condemnation drilling has been completed.

At Dumitru Potok, new holes DPDD012A and DPDD014B both intercepted stratabound copper-gold manto skarn mineralization at locations 40 metres to the south and 500 metres to the west, respectively, of previously drilled hole DPDD012. Hole DPDD017, which was collared 700 metres northeast of Coka Rakita and is still being drilled down toward the deeper marble target, has already encountered shallower sandstones with strong skarn alteration exhibiting copper-gold mineralization. Five holes at Dumitru Potok (DPDD016 through DPDD020) are currently in progress.

At Frasen, a new hole, BIDD226, collared 1,300 metres north of Coka Rakita, also intercepted both the deeper stratabound copper-gold manto skarn mineralization at a depth of approximately 600 metres and the shallower sandstone skarn copper-gold mineralization at a depth of about 150 metres. These intercepts extend the footprint of the deeper copper-gold manto skarn target 450 metres north from previously drilled BIDD223 and 550 metres northwest from the Dumitru Potok DPDD014B intercept, and highlight the potential for additional Coka Rakita-like skarn mineralization on the property. A follow-up hole (BIDD027) is currently being drilled to test extensions to the south of this target area.

On the Potaj Cuka and Pester Jug exploration licences, the company has defined numerous targets and aims to complete a magnetotelluric survey prior to the start of an aggressive drilling campaign planned to commence late in the second quarter of 2024.

Drilling recommenced on the Umka exploration licence with one additional hole completed during April, 2024. The hole was collared on the western flank of the same large monzonite batholith that controls the mineralization at Coka Rakita, and has confirmed the presence of sandstones with moderate to strong skarn alteration, as well as fertile diorite and monzodiorite dikes, believed to be the causative intrusions. A second hole to test extensions of this target at depth and laterally is currently being drilled.

For 2024, Dundee Precious has budgeted between $20-million and $22-million for exploration activities in Serbia, and plans to complete over 50,000 metres of exploration drilling on the property as it aggressively explores for additional high-grade skarn targets.

For more information, refer to the news release dated Feb. 26, 2024, and the Coka Rakita technical report entitled "Maiden Mineral Resource Estimate -- Coka Rakita Gold Project, Serbia," with an effective date of Nov. 16, 2023 (report date of Jan. 24, 2024), both of which are available on the company's website and filed on SEDAR+.

Technical information and technical report filing

The PEA and other scientific and technical information contained in this news release were prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 (Standards of Disclosure for Mineral Projects), and has been reviewed and approved by:

• Maria O'Connor, technical director, mineral resources, of Environmental Resources Management Ltd., for mineral resource estimate;
• Daniel (Niel) Morrison, PEng, principal process engineer with DRA Global Ltd., for metallurgical testwork and recovery methods;
• Stephan Blaho, PEng, MBA, senior principal mining engineer of WSP Global Inc., for underground mining methods and related mine infrastructure;
• Ninoslav Pavlovic, MSc, PEng, senior process engineer for backfill, Responsible Mining Solutions Corp., for paste backfill;
• Marcello Locatelli, PEng, project manager with DRA, for project infrastructure;
• Eric Sellars, PEng, consultant, geotechnical engineer, SLR Consulting (Canada) Ltd., for tailings and waste rock management facilities;
• Luis Vasquez, MSc, PEng, principal hydrotechnical engineer, SLR, for site-wide water balance;
• Kevin Leahy, PhD, CGeol, SiLC, of ERM, for environmental studies, permitting and social impact;
• Daniel Gagnon, PEng, senior vice-president, mining geology and met-chem operations, with DRA, for market studies and economic analysis.

All are independent qualified persons as defined under National Instrument 43-101.

Ross Overall, director, corporate technical services, of the company, who is a QP, as defined under NI 43-101, and Paul Ivascanu, general manager, exploration, of the company, have reviewed and approved the scientific and technical information disclosed in this news release.

A technical report prepared in accordance with NI 43-1001 for the Coka Rakita project will be filed under the company's profile on SEDAR+ within 45 days of this news release. Readers are encouraged to read the technical report in its entirety, including all qualifications, assumptions, exclusions and risks that relate to the MRE and PEA.

The MRE discussed in this news release is classified in accordance with the disclosure requirement of the Canadian Institute of Mining, Metallurgy and Petroleum's Definition Standards for Mineral Resources and Mineral Reserves (May 19, 2024), incorporated by reference into NI 43-101. The MRE and related information in this news release may not be comparable with similar information made public by U.S. companies, subject to the reporting and disclosure requirements under the U.S. federal securities laws and the rules and regulations thereunder.

About Dundee Precious Metals Inc.

Dundee Precious 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 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 under the symbol DPM.

We seek Safe Harbor.