Dundee Precious Metals Announces Significant Additional Drill Results from Čoka Rakita Extending Deposit to the East and Confirming High Grade Zone; Results include Drill Intercept of 71 metres at 18.05 g/t Au
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Dundee Precious Metals Announces Significant Additional Drill Results from Čoka
Rakita Extending Deposit to the East and Confirming High Grade Zone; Results
include Drill Intercept of 71 metres at 18.05 g/t Au
Toronto, April 10, 2023 – Dundee Precious Metals Inc. (TSX: DPM) (“DPM” or “the Company”) today
reported new assay results from its ongoing drilling program at the Čoka Rakita prospect in eastern
Serbia, which extends the deposit to the east and also confirms and extends the high-grade zone. The
Company also provided an update on its planned drilling activities for 2023.
Highlights
• New significant intercepts from recent drilling, including:
▪ RIDD005 – 16 metres at 23.14 g/t Au from 430 metres depth (including 1 metre at 354 g/t Au
with visible gold from 441 metres depth)
▪ RIDD006 – 52 metres at 3.18 g/t Au from 513 metres depth (including 8 metres at 8.49 g/t Au
and 8 metres at 7.44 g/t Au)
▪ RIDD007 – 58 metres at 4.04 g/t Au from 524 metres depth and 17 metres at 11.33 g/t Au from
591 metres depth
▪ RIDD008 – 16 m at 5.15 g/t Au from 423 metres depth and 71 metres at 18.05 g/t Au from 445
metres depth (including 35 metres at 34.34 g/t Au and 0.17% Cu)
• Results confirm and extend high grade zone: Hole RIDD008 extends the limits of high-grade
mineralization by approximately 60 m etres south of previously drilled RADDMET01 hole (which
included the previously released intercept of 40 metres at 63.46 g/t Au and 0.11% Cu from 517
metres depth )1 and locally increases the overall thickness of the target to over 100 m etres (see
Figures 1, 2, 3).
• Expands m ineralization to the east: Hole RID D007 extends the system by approximately 120
metres to the east from RIDD008, expanding the previously outlined limits.
• Large footprint: Shallow-dipping tabular body between 250 and 450 metres below surface, drilled
over an area measuring 500 metres long, up to 300 metres wide and variable thickness from less
than 20 metres in the margins to more 100 metres in the core of the mineralized zone. The system
remains locally open to the east and south for the sandstone-hosted gold skarn mineralization and
has the potential to be extended to north and northwest at deeper levels (see Figures 1, 2, 3).
• Next steps: The Company continues to advance its 40,000-metre infill and extensional drill program
to support a maiden mineral resource estimate by year-end 2023 at Čoka Rakita and plans to expand
scout drilling activities on Umka and additional nearby targets which share a similar geological
environment. (see Figure 4). An additional 10,000-metre scout drill program on the Umka license is
expected to commence later this month (see Figure 5).
1 For more information regarding previously disclosed results from Čoka Rakita, please refer to the news release dated
January 16, 2023, available on our website at www.dundeeprecious.com.
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“Results from our ongoing drilling activities at Čoka Rakita extend the mineralization to the east and
confirm the continuity of the high -grade zone. With seven drill rigs currently active on -site and over
40,000 metres of drilling planned for 2023, we are targeting an initial resource estimate by year-end and
accelerating our evaluation of this prospect ,” said David Rae, President and Chief Executive Officer of
Dundee Precious Metals.
“We are also expanding our exploration activities to include 10,000 metres of scout drilling at the Umka
prospect, and we are following up on other targets which share a similar geological environment to Čoka
Rakita.”
Čoka Rakita Drilling Program Results
Subsequent to its January 2023 news release announcing the high -grade discovery at Čoka Rakita,
drilling activities have been accelerated with seven drill rigs currently in operation. DPM has drilled an
additional 9,000 metres, completing nine holes with another seven drill holes currently in progress (see
Table 1).
The results from five new holes (RIDD005 to RIDD009), as well as deeper sections of RID001 and
RIDD002 for which completed assays have been received, are disclosed in the following table.
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Table 1: Significant new drill intercepts from the Čoka Rakita prospect
HOLEID EAST NORTH RL AZ DIP
FROM TO LENGTH AuEq Au Cu
(m) (m) (m) (g/t) (g/t) (%)
RIDD001 572991 4896010 917 295 -67 694 704.1 10.1 1.61 0.23 1.03
and 885 892 7 2.02 1.07 0.71
RIDD002 572971 4896089 903 290 -58 644 681 37 1.24 0.6 0.48
and 715 728 13 1.84 0.42 1.05
and 907 919 12 3.54 2.67 0.65
RIDD005 572997 4895938 915 252 -61 381 401 20 1.62 1.31 0.23
and 430 446 16 23.27 23.14 0.10
RIDD006 573177 4895953 907 272 -52 462 478 16 1.51 1.29 0.17
and 503 512 9 1.14 1.07 0.06
and 518 570 52 3.34 3.18 0.12
including 542 550 8 8.54 8.49 0.04
including 560 568 8 7.69 7.44 0.18
RIDD007 573200 4895769 940 280 -64 524 582 58 4.05 4.04 0.01
including 542 550 8 12.91 12.89 0.01
and 591 608 17 11.54 11.33 0.16
including 598 607 9 19.55 19.21 0.25
RIDD008 573043 4895851 918 266 -65 404 416 12 1.77 1.75 0.01
and 423 439 16 5.15 5.15 0.00
including 428 438 10 7.3 7.3 0.00
and 445 516 71 18.17 18.05 0.09
including 479 514 35 34.57 34.34 0.17
and 639 650 11 1.2 0.32 0.65
RIDD009 572972 4896088 903 301 -64 528 534 6 1.81 1.46 0.27
and 885 899 14 2.21 1.28 0.69
and 920 930 10 1.17 0.51 0.49
and 972.5 985 12.5 2.1 0.89 0.90
RIDD006A 572981 4895961 665 274 -50 completed/waiting results
RIDD007A 573034 4895801 604 282 -63 in progress
RIDD010 573254 4895882 927 265 -69 completed/waiting results
RIDD011 572999 4895939 915 271 -62 completed/waiting results
RIDD011A 572881 4895945 682 271 -64 in progress
RIDD012 572991 4896008 917 273 -66 completed/waiting results
RIDD013 573043 4895851 917 270 -71 in progress
RIDD014 573221 4895692 938 275 -66 in progress
RIDD015 573180 4895954 906 268 -65 in progress
RIDD016 572970 4896089 903 265 -67 in progress
RIDD017 573256 4895882 926 262 -65 in progress
1) Coordinates are in UTM Zone 34 North WGS84 datum.
2) Intervals are reported at a cut-off grade of 1 g/t AuEq using 5 metres minimum length and 5 metres maximum internal dilution.
Higher grade ‘Including’ intervals are reported at a cut-off grade of 5 g/t AuEq using 5 metres minimum length and 3 metres
dilution.
3) The AuEq calculation is based on the following formula: Au g/t + 1.35 x Cu %, based on a gold price of $1,400/oz and a copper
price of $2.75/lb; and assumes metallurgical recoveries of 90% for gold and 90% for copper within the equivalency calculation.
4) No upper cuts have been applied.
5) Based on the current understanding of the geometry of the mineralized body, true widths are considered to be 90% or more
of the reported downhole interval.
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The new results confirm the tenor of the high -grade gold mineralization and, based on initial
interpretation, show a core zone of higher-grade mineralization over an area of approximately 160
metres by 130 metres. This area is presented as a zone of strong retrograde skarn alteration, often with
visible gold.
RIDD006 confirmed the higher grades seen in RIDD004, which is approximately 60 metres to the south.
This intercept, when viewed on section with RADD020 and RIDD001, suggests that mineralization may
follow an approximate north -south axis, controlled by the proximity of the monzonite contact and
potentially by sub -parallel trending feeder s tructures. Future infill drilling will be used to test these
assumptions.
RIDD007 returned a wide and well-developed zone of mineralization comprised of semi-massive skarn
bearing magnetite, pyrrhotite and pyrite and extends the previously outlined limits of the mineralization
by approximately 120 metres east from RIDD008 (see Figures 1 and 3). Several follow -up holes are
ongoing in order to determine the extents of mineralization on this flank.
RIDD008 intercepted the target 60 metres south the previo usly reported RADDMET01 (see Figure 1
and 2) and returned a series of significant intercepts of sandstone-hosted gold skarn mineralization over
a wider interval , which is greater than 100 metres in total thickness. This intercept increases the
thickness of the target zone in this area and demonstrates that the S1 Sandstone can host skarn
mineralization at considerable distance away from the syn-mineral diorite intrusives.
RIDD009 returned weakly developed sandstone hosted gold mineralization, but at greater depth (on the
footwall of the syn-mineral diorite) intercept ed significant skarn alteration within conglomerates and
marbles (see Figure s 1 and 2). The mineralization style in this area differs from that found at higher
elevations, showing a stratabound iron-oxide (magnetite-hematite) copper (gold) skarn assemblage,
with notable intercepts of 14 m etres at 0.69% Cu and 1.28 g/t Au from 885 metres and 12.5 metres at
0.9% Cu and 0.89 g/t Au from 972.5 metres downhole. The presence of this deeper copper-dominated
target is also supported by the newly reported deeper intercepts from RIDD001 (7 metres at 0.71% Cu
and 1.07 g/t Au from 885 metres depth downhole), RIDD002 (12 metres at 0.65% Cu and 2.67 g/t Au
from 907 metres depth downhole) and RIDD008 (11 metres at 0.32 g/t Au and 0.65% Cu from 639
metres depth downhole).
Next Steps
The Company is continuing its intensive 40,000-metre infill, extensional and target delineation drill
program at Čoka Rakita, with the objective of further assessing the overall deposit geometry, grade
continuity and mineral resource potential. This includes infilling the current footprint on a 60 -metre by
60-metre drilling grid over the high -grade gold-rich skarn target zone, as well as closer spaced drilling
(down to 20-metre x 20-metre) to assess the short -range continuity of the mineralization . Based on
interpretation of drilling assay results, the strategy will also incorporate deeper drilling to delineate the
extents of strata-bound conglomerate and marble-hosted copper-gold mineralization located at depth.
DPM is targeting an initial mineral resource estimate for the project by the end of 2023.
In light of the Čoka Rakita discovery and based on the results of a recent ground gravity survey, as well
as a re-interpretation of available geological and geochemical data, DPM completed a targeting exercise
during the first quarter of 2023 which identified a series of additional exploration targets. The Company
has outlined a scout drilling program , targeting both the extensions of Čoka Rakita-like sandstone -
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hosted gold-skarn targets, as well as deeper conglomerate and marble -hosted strata -bound copper
(gold) targets, recently detected at depth. This includes an additional 10,000 metres of scout drilling on
the adjacent Umka exploration licence, which is located approximately five kilometres to the south of
Čoka Rakita . Drilling at Umka is expected to start later in April with drilling on additional targets
potentially later in 2023 (see Figure 5).
As previously disclosed, preliminary metallurgica l test results indicate that the mineralized material at
Čoka Rakita is amenable to conventional flotation and produces a clean gold concentrate, achieving a
total combined (flotation and tails leach) gold recoveries greater than 93%. In the second quarter of
2023, the Company plans to commence additional metallurgical test work to improve overall gold
recovery using a combined gravity and flotation circuit , as well as to assess the geometallurgical
variability and test additional copper (gold) skarns identified at depth.
About Čoka Rakita
The Čoka Rakita prospect is located three kilometres southeast of the Bigar Hill sediment-hosted gold
deposit and forms part of the of the Timok Magmatic Complex (TMC) in eastern Serbia. The surface
footprint of the target was delineated by a combination of soil geochemistry, alteration mapping and
geophysical signatures. The drilling to date has defined a manto-like zone of shallow-dipping gold-rich
skarn mineralization located on the contact zone of a carbonaceous sedimentary package and fertile
diorite intrusives.
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Figure 1. Updated tilted slice along high-grade skarn mineralization displaying new drilling intercepts
and the ongoing infill drilling at Čoka Rakita.
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Figure 2. Updated long-section through Čoka Rakita displaying new drilling intercepts, geology and
exploration targets.
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Figure 3. Cross-section through Čoka Rakita along RIDD007 and RIDD008 looking north displaying
drilling intercepts, geology and exploration targets.