SYS-CON MEDIA Authors: Adine Deford, Cynthia Dunlop, Harry Trott, Xenia von Wedel, Peter Silva

News Feed Item

Dundee Precious Metals Extends Mine Life at Chelopech With Updated Mineral Reserve and Resource Estimate

TORONTO, ONTARIO -- (Marketwired) -- 03/31/14 --

(All amounts have been expressed in US Dollars except where otherwise indicated)

Dundee Precious Metals Inc. (TSX:DPM) (TSX:DPM.WT.A) ("DPM" or "the Company") announces the results of the updated Mineral Reserve and Mineral Resource for its Chelopech mine in Bulgaria.

Highlights:


--  Life of mine ("LOM") extended from 2023 to 2025 
--  Measured tonnes increased 13%, or 2.2 million tonnes ("Mt"), from
    September 2011 estimate 
--  Pyrite recoveries incorporated into Mineral Reserve estimation 
--  LOM assumptions maintain gold price of $1,250 per ounce 
--  Pyrite recovery circuit commissioned in Q1 with an annual gold capacity
    in pyrite production of up to 80,000 oz of gold; concentrate contracts
    in 2014 for 240,000 tonnes and 40,000 oz contained gold 
--  First shipment of pyrite concentrate to Xiangguang Copper Co. completed
    in March 
--  18 months of stable operation at the 2 million tonnes per year rate,
    combined with the newly introduced pyrite recovery circuit, allows
    incremental tonnage, recovery and profitability optimization steps in
    keeping with DPM's continuous improvement core value 

"The addition of a further two years to the LOM of our flagship asset is an encouraging outcome from our reserve and resource update, which now incorporates pyrite recovery as a result of our newly constructed capability to treat all pyrite feeds rather than discard pyrites to tailings," stated Rick Howes, President and CEO. "We have recently completed our first shipment of pyrite concentrate and expect to be able to meet our 2014 contractual obligations."

The 2005 metallurgical testwork characterized the hardness and flotation parameters of each mineralized block, and confirmed that the process flowsheet currently in operation was optimum for the production of copper/gold concentrates. An additional test program was completed in 2012, covering current and future ores, which confirmed the current flowsheet performance for the copper circuit, and developed the optimum conditions for the future recovery of pyrite from the current process plant ore feed.

The expanded ore treatment process was completed in early 2012. Further plant upgrades have been completed since the original expansion, including the replacement circuit for the second and third cleaners of the copper circuit in mid-2013, and a new pyrite circuit that commenced operation in the first quarter of 2014.

Mineral Reserves have been estimated as at December 31, 2013, and are based on, and inclusive of, Mineral Resources, and include approximately 71,000 tonnes of broken stocks and stockpiles. Mineral Reserves are reported using a gold equivalent (Au + Cu(i)2.06) cut-off of 3 g/t and a Net Smelter Return ("NSR") methodology.


----------------------------------------------------------------------------
MINERAL RESERVES                   GOLD           SILVER          COPPER    
----------------------------------------------------------------------------
                        Tons   Grade      Oz   Grade      Oz   Grade  Pounds
                           M     g/t       M     g/t       M       %       M
----------------------------------------------------------------------------
Proven                  10.6    3.30   1.128    9.93   3.395    1.21     284
----------------------------------------------------------------------------
Probable                13.3    3.24   1.384    5.33   2.279    0.82     240
----------------------------------------------------------------------------
Proven and Probable     23.9    3.26   2.512    7.37   5.674    0.99     524
----------------------------------------------------------------------------

Mineral Reserves have been estimated by including a number of technical, economic and other factors. A change to any of the inputs would therefore have some effect on the overall results. Concerning mining and metallurgical factors, it is the belief of CSA Global (UK) Ltd. ("CSA") that sufficient work has been done by DPM to ensure that these are not likely to have any significant or material effect on Mineral Reserves. The quality of the ore reserves means that a high level of mine planning can be instituted and complied with.

Mineral Resources have been classified as Measured, Indicated and Inferred, following the guidelines specified by the Canadian Institute of Mining, Metallurgy and Petroleum ("CIM") and adopted for technical reports complying with National Instrument 43-101 ("NI 43-101"). Mineral Resources have been estimated as at December 31, 2013, and reported using a gold equivalent (Au + Cu(i)2.06) cut-off of 3 g/t and a breakeven NSR methodology.


----------------------------------------------------------------------------
MINERAL RESOURCES                  GOLD           SILVER          COPPER    
----------------------------------------------------------------------------
                        Tons   Grade      Oz   Grade      Oz   Grade  Pounds
                           M     g/t       M     g/t       M       %       M
----------------------------------------------------------------------------
Measured                18.6    4.07   2.431    9.72   5.808    1.35     553
----------------------------------------------------------------------------
Indicated               10.2    3.96   1.293    8.39   2.742    1.06     237
----------------------------------------------------------------------------
Measured and                                                                
 Indicated              28.7    4.03   3.724    9.25   8.550    1.25     791
----------------------------------------------------------------------------
Inferred                 8.2    2.71   0.712   11.22   2.952    0.92     166
----------------------------------------------------------------------------

Compared to the September 2011 Mineral Resources estimate, for combined Measured and Indicated material, the updated estimate for Measured tonnes has increased by 13% (or 2.2Mt). Inferred material has 15% fewer tonnes with a 12% increase in copper, 7% increase in gold and 11% increase in silver. The primary reason for these changes are tonnage losses due to production of 2.5 Mt of ore treated during the period October 1, 2012 to December 31, 2013, offset by increases in resources from development drilling success.

It is CSA's opinion that the Mineral Resources estimate has a very low to negligible risk of being affected by factors such as geological understanding, data mismanagement, poor estimation methodology or poor classification strategy. The deposit geology is well understood, has been appropriately modeled in 3D and has adequate sampling data to support the grade and tonnage estimates. Recent reconciliation with production has verified the quality of the Mineral Resources estimate.

Mineral Resources and Reserves are based on the 2014 ore production schedule, operating costs through to 2013, with current projected metal prices of $1,250 per troy ounce price for gold, $2.75 per pound for copper, and $23 per troy ounce for silver.

Technical Information

The Mineral Resource and Mineral Reserve estimates and other scientific and technical information contained in this news release was prepared by CSA Global (UK) Ltd. ("CSA"), in accordance with Canadian regulatory requirements set out in National Instrument 43-101 Standards of Disclosure for Mineral Projects, and has been reviewed and approved by, as it relates to Mineral Resources, Malcolm Titley BSc, MAIG, Director and Principal Geologist, of CSA, and Julian Bennett, BSc ARSM FIMMM CEng, Mining Consultant, as it relates to Mineral Reserves. Both Malcolm Titley and Julian Bennett are independent Qualified Persons ("QP"), as defined under NI 43-101. The NI 43-101 technical report entitled "NI 43-101 Technical Report, Mineral Resource and Mineral Reserve Update, Chelopech Project, Chelopech, Bulgaria" dated March 21, 2014, in respect of the Mineral Resource and Mineral Reserves estimates disclosed herein (the "Technical Report"), is being filed today on SEDAR at www.sedar.com. Simon Meik, Vice President, Processing, and Edgar Urbaez, Corporate Director, Technical Services, both of DPM, who are QPs and not independent of the Company, have also reviewed and approved the contents of this release.

The Mineral Resource and Mineral Reserve estimates contained herein may be subject to legal, political, environmental or other risks that could materially affect the potential development of such Mineral Resources. See the Technical Report for more information with respect to the key assumptions, parameters, methods and risks of determination associated with the foregoing Mineral Resource estimates.

Cautionary note to U.S. Investors concerning estimates of Mineral Resources. These estimates have been prepared in accordance with the requirements of Canadian securities laws, which differ from the requirements of U.S. securities laws. The terms "mineral resource", "measured mineral resource", "indicated mineral resource" and "inferred mineral resource" are defined in NI 43-101 and recognized by Canadian securities laws but are not defined terms under the U.S. Securities and Exchange Commission ("SEC") Guide 7 ("SEC Guide 7") or recognized under U.S. securities laws. U.S. investors are cautioned not to assume that any part or all of mineral deposits in these categories will ever be upgraded to mineral reserves. "Inferred mineral resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an "inferred mineral resource" will ever by upgraded to a higher category. Under Canadian securities laws, estimates of "inferred mineral resources" may not form the basis of feasibility or pre-feasibility studies. U.S. investors are cautioned not to assume that all or any part of an inferred mineral resource exists or is economically or legally mineable. Accordingly, these mineral resource estimates and related information may not be comparable to 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, including SEC Guide 7.

FORWARD LOOKING STATEMENTS

This news 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 and silver, the estimation of mineral reserves and resources, the realization of mineral estimates, the timing and amount of estimated future production and output, costs of production, capital expenditures, costs and timing of the development of new deposits, success of exploration activities, permitting time lines, currency fluctuations, requirements for additional capital, government regulation of mining operations, environmental risks, unanticipated reclamation expenses, title disputes or claims, limitations on insurance coverage 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", "intends", "anticipates", or "does not anticipate", or "believes", or variations of such words and phrases or 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 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. Such factors include, among others: the actual results of current exploration activities; actual results of current reclamation activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; future prices of gold, copper, zinc and

silver; possible variations in ore grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; 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, fluctuations in metal prices, as well as those risk factors discussed or referred to in Management's Discussion and Analysis under the heading "Risks and Uncertainties" and other documents filed from time to time with the securities regulatory authorities in all provinces and territories of Canada and available at www.sedar.com. 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. 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.

DPM is a Canadian based, international gold mining company engaged in the acquisition, exploration, development, mining and processing of precious metals. The Company's principal operating assets include the Chelopech operation, which produces a copper concentrate containing gold and silver, located east of Sofia, Bulgaria; the Kapan operation, which produces a copper concentrate and a zinc concentrate both containing gold and silver, located in southern Armenia; and the Tsumeb smelter, a concentrate processing facility located in Namibia. DPM also holds interests in a number of developing gold properties located in Bulgaria, Serbia, and northern Canada, including interests held through its 53.1% owned subsidiary, Avala Resources Ltd., its 45.5% interest in Dunav Resources Ltd. and its 12.1% interest in Sabina Gold & Silver Corp.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
The 4th International DevOps Summit, co-located with16th International Cloud Expo – being held June 9-11, 2015, at the Javits Center in New York City, NY – announces that its Call for Papers is now open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's large...
15th Cloud Expo, which took place Nov. 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA, expanded the conference content of @ThingsExpo, Big Data Expo, and DevOps Summit to include two developer events. IBM held a Bluemix Developer Playground on November 5 and ElasticBox held a Hackathon on November 6. Both events took place on the expo floor. The Bluemix Developer Playground, for developers of all levels, highlighted the ease of use of Bluemix, its services and functionalit...
Some developers believe that monitoring is a function of the operations team. Some operations teams firmly believe that monitoring the systems they maintain is sufficient to run the business successfully. Most of them are wrong. The complexity of today's applications have gone far and beyond the capabilities of "traditional" system-level monitoring tools and approaches and requires much broader knowledge of business and applications as a whole. The goal of DevOps is to connect all aspects of app...
SAP is delivering break-through innovation combined with fantastic user experience powered by the market-leading in-memory technology, SAP HANA. In his General Session at 15th Cloud Expo, Thorsten Leiduck, VP ISVs & Digital Commerce, SAP, discussed how SAP and partners provide cloud and hybrid cloud solutions as well as real-time Big Data offerings that help companies of all sizes and industries run better. SAP launched an application challenge to award the most innovative SAP HANA and SAP HANA...
When an enterprise builds a hybrid IaaS cloud connecting its data center to one or more public clouds, security is often a major topic along with the other challenges involved. Security is closely intertwined with the networking choices made for the hybrid cloud. Traditional networking approaches for building a hybrid cloud try to kludge together the enterprise infrastructure with the public cloud. Consequently this approach requires risky, deep "surgery" including changes to firewalls, subnets...
Want to enable self-service provisioning of application environments in minutes that mirror production? Can you automatically provide rich data with code-level detail back to the developers when issues occur in production? In his session at DevOps Summit, David Tesar, Microsoft Technical Evangelist on Microsoft Azure and DevOps, will discuss how to accomplish this and more utilizing technologies such as Microsoft Azure, Visual Studio online, and Application Insights in this demo-heavy session.
DevOps is all about agility. However, you don't want to be on a high-speed bus to nowhere. The right DevOps approach controls velocity with a tight feedback loop that not only consists of operational data but also incorporates business context. With a business context in the decision making, the right business priorities are incorporated, which results in a higher value creation. In his session at DevOps Summit, Todd Rader, Solutions Architect at AppDynamics, discussed key monitoring techniques...
Cultural, regulatory, environmental, political and economic (CREPE) conditions over the past decade are creating cross-industry solution spaces that require processes and technologies from both the Internet of Things (IoT), and Data Management and Analytics (DMA). These solution spaces are evolving into Sensor Analytics Ecosystems (SAE) that represent significant new opportunities for organizations of all types. Public Utilities throughout the world, providing electricity, natural gas and water,...
The security devil is always in the details of the attack: the ones you've endured, the ones you prepare yourself to fend off, and the ones that, you fear, will catch you completely unaware and defenseless. The Internet of Things (IoT) is nothing if not an endless proliferation of details. It's the vision of a world in which continuous Internet connectivity and addressability is embedded into a growing range of human artifacts, into the natural world, and even into our smartphones, appliances, a...
How do APIs and IoT relate? The answer is not as simple as merely adding an API on top of a dumb device, but rather about understanding the architectural patterns for implementing an IoT fabric. There are typically two or three trends: Exposing the device to a management framework Exposing that management framework to a business centric logic Exposing that business layer and data to end users. This last trend is the IoT stack, which involves a new shift in the separation of what stuff happe...
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is now open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
The Internet of Things is tied together with a thin strand that is known as time. Coincidentally, at the core of nearly all data analytics is a timestamp. When working with time series data there are a few core principles that everyone should consider, especially across datasets where time is the common boundary. In his session at Internet of @ThingsExpo, Jim Scott, Director of Enterprise Strategy & Architecture at MapR Technologies, discussed single-value, geo-spatial, and log time series dat...
An entirely new security model is needed for the Internet of Things, or is it? Can we save some old and tested controls for this new and different environment? In his session at @ThingsExpo, New York's at the Javits Center, Davi Ottenheimer, EMC Senior Director of Trust, reviewed hands-on lessons with IoT devices and reveal a new risk balance you might not expect. Davi Ottenheimer, EMC Senior Director of Trust, has more than nineteen years' experience managing global security operations and asse...
The Internet of Things will greatly expand the opportunities for data collection and new business models driven off of that data. In her session at @ThingsExpo, Esmeralda Swartz, CMO of MetraTech, discussed how for this to be effective you not only need to have infrastructure and operational models capable of utilizing this new phenomenon, but increasingly service providers will need to convince a skeptical public to participate. Get ready to show them the money!
The Internet of Things will put IT to its ultimate test by creating infinite new opportunities to digitize products and services, generate and analyze new data to improve customer satisfaction, and discover new ways to gain a competitive advantage across nearly every industry. In order to help corporate business units to capitalize on the rapidly evolving IoT opportunities, IT must stand up to a new set of challenges. In his session at @ThingsExpo, Jeff Kaplan, Managing Director of THINKstrateg...