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Dundee Precious Metals Announces Third Quarter Production Results and Timing of Third Quarter 2017 Financial Results

Production Results Financials

DUNDEE PRECIOUS METALS ANNOUNCES

THIRD QUARTER PRODUCTION RESULTS AND

TIMING OF THIRD QUARTER 2017 FINANCIAL RESULTS

Toronto, Ontario, October 11, 2017 – Dundee Precious Metals Inc. (TSX: DPM) (“DPM” or the

“Company”) announced its mine and smelter production results for the three and nine months

ended September 30, 2017, and confirmed the timing of the release of third quarter 2017

operating and financial results, together with the related conference call and webcast.

“We are pleased with our third quarter results given continued strong production from Chelopech,

improved stability from Tsumeb, and construction progress at Krumovgrad, which remains on

track for first gold production in the fourth quarter of 2018 ,” stated Rick Howes, President and

CEO.

On a consolidated basis, o re milled, metals production and complex concentrate smelted in the

first nine months of 2017 are tracking in line with the Company’s improved annual guidance.

Production Highlights

Third quarter and year-to-date 2017 mine and metals production at the Chelopech mine and

complex concentrate smelted at the Tsumeb smelter are provided below.

1. As disclosed in Management’s Discussion and Analysis (“MD&A”) for the three and six months ended June 30, 2017.

Chelopech gold and copper production during the third quarter was as expected, and in line with

the mine plan and Chelopech remains on track to achieve our improved 2017 guidance.

The smelter continues to demonstrate improved performance and stability with third quarter

concentrate smelted in line with the previous quarter, despite reduced oxygen availability from

the high pressure oxygen plant. The near t erm focus is on improving availability of the high

pressure oxygen plant, which once achieved, will support smelting rates at targeted levels and is

expected by mid-late October. The Ausmelt furnace, converters and matte holding furnace are

Chelopech Tsumeb Year 2017 Consolidated

Guidance 1

Q3

2017

YTD

2017

Q3

2017

YTD

2017

Ore milled (‘000s tonnes) 565.7 1,691.1 - - 2,040 – 2,200

Metals contained in concentrate produced

Gold (‘000s ounces) 48.4 148.3 - - 173 - 187

Copper (million pounds) 9.5 26.3 - - 35 – 39

Payable metals in concentrate sold

Gold (‘000s ounces) 41.9 123.1 - - 147 - 163

Copper (million pounds) 9.4 24.4 - - 33 – 36

Complex concentrate smelted (‘000s tonnes) - - 58.0 160.3 210 - 240

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delivering per design and annual complex concentrate smelted is expected to achieve the mid-

point of our guidance.

At Krumovgrad, earthworks in the process plant area were completed in the third quarter, and

installation of major foundations commenced. Earthworks relating to the construction of the

Integrated Mine Waste Facility and installation of major equipment foun dations will continue

through the fourth quarter. The project remains within budget and is on track for commencement

of commercial operations in the fourth quarter of 2018.

Third Quarter Results

The Company’s third quarter 2017 operating and financial results are expected to be released

after market close on Tuesday, November 7, 2017. The press release, MD&A and consolidated

financial statements will be posted on SEDAR at www.sedar.com and on the Company’s website

at www.dundeeprecious.com.

The Company will hold a call and webcast to discuss its third quarter results on Wednesday,

November 8, 2017 at 9:00 am EST. The call will be hosted by Rick Howes, President and Chief

Executive Officer, who will be joined by Hume Kyle, Executive Vice President and Chief Financial

Officer, together with other members of the executive management team. The call will be

accessible via a live webcast and by telephone.

Third Quarter 2017 Call and Webcast (Listen/View only)

Date: Wednesday, November 8, 2017

Time: 9:00 am EST

Webcast: http://edge.media-server.com/m/p/zun7gby2

Canada and USA Toll Free: 1-844-264-2104

Outside Canada or USA: 1-270-823-1169

Replay: 1-855-859-2056

Replay Passcode: 95336692

About Dundee Precious Metals

Dundee Precious Metals Inc. is a Canadian based, international gold mining company engaged

in the acquisition of mineral propert ies, exploration, development, mining and processing of

precious metals. The Company's operating assets include the Chelopech operation, which

produces a copper concentrate containing gold and silver and a pyrite concentrate containing

gold, located east o f Sofia, Bulgaria; and the Tsumeb smelter, a complex copper concentrate

processing facility located in Namibia. DPM also holds interests in a number of developing gold

and exploration properties located in Bulgaria, Serbia, Armenia and Canada, including th e

Krumovgrad gold project, which started construction in the fourth quarter of 2016 and is expected

to commence production in the fourth quarter of 2018, and its 10.4% interest in Sabina Gold &

Silver Corp.

Cautionary Note Regarding Forward Looking Statements

This press release contains “forward looking statements” that involve a number of risks and

uncertainties. Forward looking statements include, but are not limited to, statements with respect

to the future price of gold, copper, zinc, silver and acid, future toll rates, the estimation of mineral

reserves and resources, the realization of such mineral estimates, the timing and amount of

estimated future production and output, life of mine, costs of production, cash costs and other

cash measures, capital expenditures, costs and timing of the development of new deposits,

success of exploration activities, success of permitting activities, permitting time lines, currency

fluctuations, requirements for additional capital, government regulation of mini ng operations,

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environmental risks, reclamation expenses, the potential or anticipated outcome of title disputes

or claims and timing and possible outcome of pending litigation. Often, but not always, forward

looking statements can be identified by the use of words such as “plans”, “expects”, or “does not

expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “outlook”, “intends”,

“anticipates”, or “does not anticipate”, or “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. Forward looking statements are based on the opinions and estimates of

management as of the date such statements are made and they involve kno wn 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 l ooking statements. Such factors include,

among others: the actual results of current exploration activities; actual results of current

reclamation activities; conclusions of economic evaluations and economic studies; changes in

project parameters as plans continue to be refined; future prices of gold, copper, zinc, silver and

acid; future toll rates; possible variations in ore grade or recovery rates; failure of plant, equipment

or processes to operate as anticipated; accidents, labour disputes and other ri sks of the mining

industry; delays in obtaining governmental approvals or financing or in the completion of

development or construction activities, uncertainties inherent with conducting business in foreign

jurisdictions where corruption, civil unrest, political instability and uncertainties with the rule of law

may impact the Company’s activities; fluctuations in metal and acid prices, toll rates and foreign

exchange rates; unanticipated title disputes; claims or litigation; limitation on insurance coverage;

cyber attacks; as well as those risk factors discussed or referred to in the Company’s MD&A under

the heading “Risks and Uncertainties” and under the heading “Cautionary Note Regarding

Forward Looking Statements” which include further details on materia l assumptions used to

develop such forward looking statements and material risk factors that could cause actual results

to differ materially from forward looking statements, and other documents (including without

limitation the Company’s 2016 AIF) 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. 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. Unless required

by securities laws, the Company undertakes no obligation to update forward looking statements

if circumstances or management’s estimates or opinions should change. Accordingly, readers are

cautioned not to place undue reliance on forward looking statements.

For further information please contact:

DUNDEE PRECIOUS METALS INC.

Rick Howes

President and

Chief Executive Officer

Tel: (416) 365-2836

[email protected]

Janet Reid

Manager, Investor Relations

Tel: (416) 365-2549

[email protected]