Peru Takes Pro-Active Measures To Contain Covid-19 Coronavirus

MONTREAL, March 18, 2020 - Dynacor Gold Mines Inc. (TSX: DNG / OTC: DNGDF) (Dynacor or the "Corporation"), an international leading ore purchasing and processing corporation servicing artisanal and small-scale miners (ASM) provides an update. The Peruvian government recently declared a state of emergency due to the outbreak of the COVID-19, coronavirus.

As of March 16, 2020, the Peruvian authorities are restricting non-essential transportation and travel within the country in addition to declaring a 15-day quarantine whereby all citizens are to stay and work from home if possible. The restriction includes a halt to all interprovincial transportation, as well as passenger domestic and international flights. All Medical facilities, pharmacies, food markets, gas stations and banks will be exempt from the temporary quarantine and will remain open during this time.

In full compliance with the Peruvian government's 15-day quarantine order, the Corporation has closed its Veta Dorada offices throughout the country. During this period, the Corporation will halt all ore-purchases and production as per the government's state of emergency measures and declaration. Upon the government lifting the state of emergency restrictions, Dynacor will immediately resume its ore-purchasing and processing operation.

Jean Martineau, president and chief executive officer of Dynacor, commented: "The health and safety of our entire staff are first and foremost. Dynacor employs a full team of the medical staff at the Veta Dorada plant in Chala and, at this time, confirms there are no COVID-19 related cases. The Peruvian government's pro-active measures to contain the novel COVID-19, coronavirus is in full accordance with our Corporation's actions and measures to protect and maintain the health and safety of our staff at all times."

Dividend

The Corporation is free of debt and in a healthy financial situation. The temporary halt to operations will not affect Dynacor's dividend of 1.5 cents per common share scheduled to be paid on April 2, 2020, to shareholders of record as of the close of business on March 19, 2020. This dividend will represent the seventh quarterly dividend payment made to shareholders.

ABOUT DYNACOR

Dynacor is a dividend-paying gold production corporation headquartered in Montreal, Canada. The corporation is engaged in production through the processing of ore purchased from the ASM (artisanal and small-scale mining) industry. At present, Dynacor produces and explores in Peru, where its management team has decades of experience and expertise. In 2019, Dynacor produced 80,677 ounces of gold, in line with 2018 (81,314 ounces).

Dynacor produces environmental and socially responsible gold through its PX IMPACT® gold program. A growing number of supportive firms from the fine luxury jewelry, watchmakers and investment sectors are paying a small premium to our customer and strategic partner for this PX IMPACT® gold. The premium provides direct investment to develop health and education projects to our small-scale artisanal miner’s communities.

Dynacor trades on the Toronto Stock Exchange (DNG).

FORWARD-LOOKING INFORMATION

Certain statements in the preceding may constitute forward-looking statements, which involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Dynacor, or industry results, to be materially different from any future result, performance or achievement expressed or implied by such forward-looking statements. These statements reflect management’s current expectations regarding future events and operating performance as of the date of this news release.

Dynacor (TSX: DNG / OTC: DNGDF)




For more information, please contact:

Dynacor Dale Nejmeldeen Director, Shareholder Relations Dynacor
T: (514) 393-9000 (extension 230)
E: investors@dynacor.com
Website: http://www.dynacor.com<
Twitter: http://twitter.com/DynacorGold