Dundee Precious Metals Announces Significant Diamond Drilling Results at Tierras Coloradas, Ecuador; Results Include Drill Intercept of 17.3 metres at 46.09 g/t Au
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Dundee Precious Metals Announces Significant Diamond Drilling Results at Tierras
Coloradas, Ecuador; Results Include Drill Intercept of 17.3 metres at 46.09 g/t Au
Toronto, February 27, 2023 – Dundee Precious Metals Inc. (TSX: DPM) (“DPM” or “the Company”)
is pleased to report the 2022 diamond drilling results on the Tierras Coloradas concessions, located in
the Loja province of Ecuador. The drilling program wa s designed to test a seri es of low sulphidation
epithermal veins, previously identified by field work and scout drilling in 2020.
Highlights
Drilling confirms presence of well-mineralized vein system. Representative drill intercepts from
2022 drilling program include:
Aparecida vein system:
TCDD013 – 6 metres at 2.92 g/t Au from 156 metres depth
TCDD014 – 17.3 metres at 46.09 g/t Au from 101 metres depth, which includes a higher-
grade interval of 79.54 g/t Au over 7.72 metres
TCDD015 – 3.6 metres at 39.4 g/t Au from 154 metres depth
La Tuna vein system:
TCDD016 – 4 metres at 2.51 g/t Au from 153 metres depth
TCDD017 – 2.83 metres at 30.12 g/t Au from 53 metres depth
TCDD018 – 4.1 metres at 7.7 g/t Au and 394.32 g/t Ag from 80.42 metres depth
Large footprint with additional exploration potential: Over eight kilometres of vein strike length
has been delineated, largely accounted for by the Aparecida and La Tuna vein systems. The
Aparecida vein system has been traced over a length of 1.5 kilometres whilst the La Tuna veins
have been traced for approximately 2 kilometres. Both targets remain open in multiple directions.
“We are pleased to announce these encouraging explor ation drill results from the Tierras Coloradas
exploration prospect in Ecuador. Results from our 2022 drill program confirms the presence of a well
mineralized vein system,” said David Rae, Presi dent and Chief Executive Office of Dundee Precious
Metals. “Both the Aparecida and La Tuna veins systems remain open in multiple directions, and we are
planning further work in 2023 to follow-up on these results.”
Tierras Coloradas Project Overview
The Tierras Coloradas concessions consist of four exploration licenses totalling 6,955 hectares (70km2)
(Figure 1). These concessions are in the Province of Loja in southern Ecuador, near the border of Peru.
The concessions host a low sulphidation epitherma l vein system, discovered in 2009, which has been
traced in at least five epithermal vein zones over an extent of an approximately 3 kilometre by 3.5
kilometre area.
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Exploration Drilling Results
A diamond drilling program of 2,739 metres, comprising of nine holes, was undertaken in 2022 to test
four low sulphidation epithermal vein zones with the objective of confirming lateral and down-dip
geologic and grade continuity. Three drill holes were designed to follow-up on positive results returned
from holes drilled in 2020 on the Aparecida veins system, and another four holes were dedicated to
testing the new La Tuna vein systems. Additionally, one hole was completed on the Quemada and San
Vicente vein systems.
The results indicate good vertical continuity within the Aparecida veins, which remain open at depth and
to the east (Figure 3). The La Tuna vein system, while showing more complexity and lower levels of
continuity, remains open in multiple directions. The drillhole TCDD020, targeting the San Vicente Vein
System, failed to intersect minera lization due to drilling design limitat ions caused by the steep terrain,
which meant that the hole drifted to an orientation parallel to the target vein zone. A single hole was
drilled on the Quemada vein system which did not re turn significant mineraliz ation at depth from the
main Quemada vein but did intersect elevated grades from a splay vein at shallow depths.
Table 1: Significant drill intercepts from 2022 drilling on the Tierras Coloradas License
HOLEID FROM TO LENGTH Au Ag
(m) (m) (m) (g/t) (g/t)
Aparecida Vein System
TCDD013 156 162 6 2.92 14.73
TCDD014 101 118.3 17.3 46.09 97.46
including 101 108.72 7.72 79.54 105.04
TCDD015 154 157.6 3.6 39.40 23.09
La Tuna Vein System
TCDD016 153 157 4 2.51 31.2
TCDD017 53 55.83 2.83 30.12 162.96
TCDD018 80.42 84.52 4.1 7.70 394.32
TCDD019 149.67 155 5.33 0.86 2.57
San Vicente Vein System
TCDD020 No significant intercepts
Quemada Vein System
TCDD021 68.46 70.66 2.2 5.49 40.02
1) No upper cuts have been applied.
2) Based on the current understanding of the geometry of the veins, true widths are considered to be 70% of the reported downho le interval for Aparecida
veins, and uncertain for the others.
3) Intervals are reported at a cut-off grade of 0.5 g/t Au using 2 metres minimum length and 2 metres maximum consecutive internal dilution and checked
ensure correspondence to the boundaries of veins/vein breccias. Higher grade ‘Including’ intervals are reported at a cut-off grade of 5 g/t Au using 5 metres
minimum length and 2 metres maximum consecutive internal dilution.
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Tierras Coloradas project geology
The veins on the property are dominantly orient ed east-west, steeply dipping and have observed
thicknesses between 0.2 to 7 metres (Figure 2). Ve in textures range from massive to colloform-
crustiform banded quartz, often presented with hydrothermal mineralized breccia in the surrounding wall
rock.
The La Tuna veins system, discovered in 2018, are differentiated from the Aparecida traits in that they
possess a north-south orientation and contain markedly higher silver content. Mineralization displays a
distinct zonation, in that cent ral portion of the vein systems and on higher elevations, the veins are
generally enriched in gold-silver. Whilst on lower and more distant portions of the veins, a more
polymetallic assemblage (gold-silver-copper-lead-zinc) is present.
Analysis of surface geochemistry and geophysics indicates a zoned hydrothermal alteration system on
the Tierras Coloradas licence, with low-sulphidation epithermal veins located on the periphery of a large-
scale fertile porphyry system, centred to the east and within the license boundary. Additionally, boulders
with possible sinter have been recognized to the south-west of the curr ent mapped veins, which
suggests a high-level epithermal system is present, with good levels of preservation.
2023 Exploration Plans
Based on the 2022 drilling results, additional drilling is planned to further delineate the shape, size and
extents of the Aparecida and La Tuna vein systems . Furthermore, DPM plans follow-up scout drilling
for the un-tested portions of the veins and soil-geochemistry anomalies. Approximately 3,000 metres of
drilling is planned and expected to commence during the second half of 2023.
Near-term efforts will be focused on integration and technical analysis of the results from drilling, surface
geochemistry, field mapping and geophysics to identi fy vectors towards new exploration targets.
Detailed surface mapping in conjunction with soil and rock chip-channel sampling will continue, to
determine the footprint and identify additional targets.
The change in status of the Tierras Coloradas projec t from early to advanced stage exploration is in
progress, and all regulations and authorizations requ ired from the different Ecuadorian authorities are
expected to be received by early 2024.
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Figure 1. Tierras Coloradas Concessions: Location and Geology
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Figure 2. Tierras Coloradas Concessions 2022 drill hole locations
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Figure 3. A cross section through the Aparecida Vein System showing results from TCDD014 and
TCDD0015 as well as interpreted geology.
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Sampling, Analysis and QAQC of Exploration Drill Core Samples
All diamond drill holes are collared at a HQ size (63. 5 millimetres) until termination of the hole. 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
1 metre, the weights range from 3.1 to 4.2 kilograms (“kg”), with 97.6% of core recovery.
Drill core samples were sent to Bureau Veritas, (ISO 9002:2022) certified laboratory with a preparation
facility located in Quito (Ecuador) and as saying facilities in Lima (Per u). Quality control samples,
comprising certified reference materials, blanks, a nd field duplicates, are inserted into each batch of
samples and locations for crushed duplicates are sp ecified. 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.
Drill core samples are dried over 105°C and then jaw crushed to 70% passing 2mm. A split of 500 grams
is pulverized to 85% passing 75 microns. Gold analyses are done using a conventional 50-gram fire
assay with AAS finish. Grades over 10 g/t Au are re -assayed using a 50g fire assay with gravimetric
finish. Multi-element analyses for 59 elements, including Ag, Cu, Mo, As, Bi, Pb, Sb, and Zn, is
undertaken using four-acid digestion and an ICP-ES/MS finish. Samples returning results over the
detection limit are re-analyzed using high-grade methods with AAS finish. Total sulphur and Hg are
analyzed using a LECO Induction furnace and Cold Vapor Atomic Absorption respectively.
The Company’s QP has verified that all results reported in this disclosure have passed QAQC protocols,
including review of the performance of certified reference materials, blanks, and field duplicates.
Ross Overall, Corporate Mineral Resource Manage r of the Company, who is a Qualified Person as
defined under NI 43-101, and Franklin Vega, Exploration Manager in Ecuador, have reviewed, and
approved the scientific and technical content of this news release.
About Dundee Precious Metals
Dundee Precious Metals Inc. 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 re lated to ESG, innovation, optimizing our existing
portfolio, and growth. The Company’s resources are allocated in-line with its strategy to ensure that
DPM delivers value for all of its stakeholders. DPM’s shares are traded on the Toronto Stock Exchange
(symbol: DPM).
For further information please contact:
David Rae
President and Chief Executive Officer
Tel: (416) 365-5092
Jennifer Cameron
Director, Investor Relations
Tel: (416) 219-6177
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Cautionary Note Regarding Forward-Looking Statements
This news release contains “forward looking statements” or “forward looking information” (collectively,
“Forward Looking Statements”) that involve a num ber of risks and uncertainties. Forward Looking
Statements are statements that are not historical facts and are generally, but not always, identified by
the use of forward looking terminology such as “plans”, “expects”, “is expected”, “budget”, “scheduled”,
“estimates”, “forecasts”, “outlook”, “intends”, “anticipates”, “believes”, or variations of such words and
phrases or that state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be
taken, occur or be achieved, or the negative of any of these terms or similar expressions. The Forward-
Looking Statements in this news release relate to, am ong other things: future exploration potential at
Tierras Coloradas; the geology and metallurgy at Tierras Coloradas; the price of commodities;
metallurgical recoveries; the estimation of Mineral Reserves and Mineral Resources and the realization
of such mineral estimates; and success of exploration activities. Forward Looking Statements are based
on certain key assumptions and the opinions and estimates of management and the Qualified Persons,
as of the date such statements are made, and they involve known and unknown risks, uncertainties and
other factors which may cause the actual results, performance, or achievements of the Company to be
materially different from any other future results, performance or achievements expressed or implied by
the Forward-Looking Statements. In addition to factor s already discussed in this news release, such
factors include, among others, risks relating to t he Company’s business generally and the impact of
COVID-19, including, changes to the Company’s supply chain; product shortages; delivery and shipping
issues; closures and/or failure of plant, equipment or processes to operate as anticipated; employees
and contractors becoming infected with COVID-19; lost work hours; labour force shortages; fluctuations
in metal and acid prices, toll rates and foreign exchange rates; possible variations in ore grade and
recovery rates; uncertainties inherent to the conclusions of economic evaluations and economic studies;
changes in project parameters, including schedule and budget, as plans continue to be refined;
uncertainties with respect to actual results of cu rrent exploration activities; uncertainties and risks
inherent to developing and commissioning new mines into production, which may be subject to
unforeseen delays; uncertainties inherent with co nducting business in foreign jurisdictions where
corruption, civil unrest, political instability and uncer tainties with the rule of law may impact the
Company’s activities; limitation on insurance coverage; accidents, labour disputes and other risks of the
mining industry; delays in obtaining governmental approvals or financing or in the completion of
development or construction activities; actual resu lts of current and planned reclamation activities;
opposition by social and non-government organizations to mining projects and smelting operations;
unanticipated title disputes; claims or litigation; cybe r attacks and other cybersecurity risks; as well as
those risk factors discussed or referred to in an y other documents (including without limitation the
Company’s most recent Annual Information Form) filed from time to time with the securities regulatory
authorities in all provinces and territories of Canada and available on SEDAR at www.sedar.com. The
reader has been cautioned that the foregoing list is not exhaustive of all factors which may have been
used. Although the Company has attempted to identify important factors that could cause actual actions,
events, or results to differ materially from those described in Forward Looking Statements, there may
be other factors that cause actions, events or results not to be anticipated, estimated, or intended. There
can be no assurance that Forward Looking Statements will prove to be accurate, as actual results and
future events could differ materially from those anticipated in such statements. The Company’s Forward-
Looking Statements reflect current expectations regarding future events and speak only as of the date
hereof. Unless required by securities laws, the Company undertakes no obligation to update Forward
Looking Statements if circumstances or managem ent’s estimates or opinions should change.
Accordingly, readers are cautioned not to place undue reliance on Forward Looking Statements.