Bulgaria, Dundee Precious Metals updates life of mine plan

Dundee Precious Metals Inc. has released an updated mineral resource and mineral reserve estimate and said it sees additional production over the life of its Ada Tepe gold mine in Bulgaria.

Highlights of the new life of mine plan include an estimated increase in recoverable gold to concentrate of approximately 66,000 ounces and higher average gold grade of 5.2 g/t, compared to 4.6 g/t in the precious life of mine plan.

The new estimate forsees an average of approximately 16,500 ounces of additional gold production per year for 2023 through 2026.

The updated plan is expected to improve Dundee Precious’s previously issued three-year outlook for gold production, which will be updated with the release of the company’s fourth quarter and year-end 2022 financials on February 16, 2023.

On January 12, 2023, Dundee Precious shares closed at $7.36 and currently trade in a 52-week range of $8.41 and $5.40.

Dundee is a Canadian international mining company with operations and projects located in Bulgaria, Namibia, Ecuador and Serbian. It also has exploration projects in Armenia, Bulgaria and Serbia. Its asset portfolio includes a 10.3% stake in Sabina Gold & Silver Corp. which is developing the 100%-owned Back River gold project in Nunavut.

Dundee’s operating assets include the Chelopech and Ada Tepe mines in Bulgaria and Tsumeb specialty smelter in Namibia, as well as the development stage Timok gold project in Serbia plus the Loma Largo project in Ecuador.

Dundee has previously said it achieved its production targets last year by producing 273,100 ounces of gold and 30.8 million pounds of copper from Ada Tepe and Chelopech. Ada Tepe achieved its highest quarterly production of 2022 in the fourth quarter, producing approximately 28,100 ounces of gold. It produced 94,000 ounces for the year, which was at the higher end of the company’s production guidance.

The updated proven and probable mineral reserve at Ada Tepe consists of 415,000 contained gold ounces and 250,000 contained silver ounces.

“Since commissioning in 2019, Ada Tepe has continued to outperform expectations,’’ said Dundee Precious President and CEO David Rae. “We are confident that Ada Tepe will continue to deliver strong results, supported by this improved life of mine plan.’’

In the fourth quarter Chelopech produced approximately 45,300 ounces of gold and 7.4 million pounds of copper. That brought production for the year to 179,100 ounces of gold and 30.8 million pounds of copper.

The Tsumeb smelter processed approximately174,000 tonnes of complex concentrate, which was below the annual guidance of 185,000 to 200,000 tonnes.

Meanwhile, Dundee has said it is finalizing the revised feasibility study for its Loma Largo project in Ecuador, which is on track for production in the first quarter of 2022, Resource World reports.

Dundee Precious Metals discovers high-grade deposit in eastern Serbia

Dundee Precious Metals Inc. discovered a high-grade deposit at the Čoka Rakita exploration prospect in eastern Serbia and expects “exceptional results” from recent drilling.

The company announced Monday it found a shallow-dipping tabular body between 250 and 450 metres below the surface, drilled over an area measuring 500 metres long, 250 metres wide and up to 80 metres thick, which remains open in multiple directions.

It also reported that approximately 40,000 metres of infill, extensional and target delineation drilling are planned for the year with a focus on further evaluating the deposit geometry, grade continuity and mineral resource potential.

Preliminary metallurgical test results by the company indicate that the mineralized material is amenable to conventional flotation and produces a clean gold concentrate, achieving total combined (flotation and tails leach) gold recoveries of greater than 93 per cent. Further test work will potentially improve overall gold recovery using a combined gravity.

The program included drilling 8,750 metres and completing ten holes, with five additional holes currently ongoing. It was designed to follow up on positive results returned from holes drilled prior to the expiry of the previous exploration licence.

The company’s new high-grade intercepts include:

The Čoka Rakita prospect is located three kilometres southeast of the Bigar Hill sediment-hosted deposit and forms part of the Timok Magmatic Complex (TMC) in eastern Serbia. The surface footprint of the target, which was delineated by a combination of soil geochemistry, alteration mapping and geophysical signatures, extends more than 1,000 metres by 500 metres.

“We are excited to announce these exceptional results from recent drilling completed at the Čoka Rakita prospect in Serbia. Drilling has defined a large, high-grade footprint that remains open in multiple directions, which we believe provides additional upside potential,” said David Rae, President and CEO of Dundee Precious Metals.

“The discovery of a high-grade deposit in close proximity to our Timok gold project is an exciting development for the overall property package. Our activities in Serbia will now focus on exploration at Čoka Rakita as we continue to assess the mineral resource potential of this new discovery.”

Dundee Precious Metals is a Canadian-based international gold mining company with operations and projects located in Bulgaria, Namibia, Ecuador and Serbia, Muggle Head reports.

Dundee Precious Metals produced 273.1 koz of gold

Dundee Precious Metals reported on Tuesday that in 2022, the company produced 273.1 koz of gold, achieving annual production guidance of 250 – 290 koz of gold.

However, according to a press release, the company’s full year 2022 copper output of 30.8 million pounds was slightly below the guidance of 32 – 37 million pounds.

The company said that in 2022, Ada Tepe produced approximately 94,000 ounces of gold, which was towards the higher end of its annual production guidance for the year.

In 2022, Chelopech produced approximately 179,100 ounces of gold and 30.8 million pounds of copper, well-within its annual guidance for gold and slightly below the low end of the range for copper, it added.

“Our mining operations achieved impressive production results in the fourth quarter, as Ada Tepe delivered its highest quarterly gold production of the year and Chelopech continued its track record of strong performance,” stated President and CEO David Rae

He added, “2022 was another strong year for DPM, as we delivered robust gold production, advanced our organic growth projects, and ranked in the 91st percentile among mining and metals companies in the 2022 S&P Global Corporate Sustainability Assessment.”

Dundee Precious Metals is a Canadian-based international gold mining company with operations and projects located in Bulgaria, Namibia, Ecuador and Serbia, Kitco reports.