Dundee Precious Metals Reports Second Quarter 2010 Results
TORONTO, ONTARIO -- (Marketwire) -- 07/29/10 -- (All monetary figures are expressed in U.S dollars unless otherwise stated)
Dundee Precious Metals Inc. ('DPM' or the 'Company') (TSX: DPM)(TSX: DPM.WT)(TSX: DPM.WT.A) today announced its unaudited results for the second quarter ended June 30, 2010. DPM reported second quarter 2010 net earnings of $16.5 million (basic and diluted net earnings per share of $0.13). This compares with second quarter 2009 net earnings of $2.8 million (basic and diluted net earnings per share of $0.03).
'This has been an exciting quarter for the Company', said Jonathan Goodman, President and CEO. 'All of our sites are operating profitably, the Chelopech mine/mill expansion is well underway and Deno Gold is on schedule to complete its 50% mine/mill expansion in the third quarter. We are also pleased with the operational results achieved at the smelter in Namibia since we took ownership at the end of March and are actively engaged in a capital program to enhance the operating and environmental performance of the smelter.'
The following table summarizes the Company's financial and operating results
for the periods indicated:
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$ millions, except per share
amounts Three Months Six Months
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Ended June 30, 2010 2009 2010 2009
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Net Revenue $ 60.9 $ 27.8 $ 81.4 $ 49.5
Cost of Sales 42.8 19.8 64.7 38.6
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Gross Profit 18.1 8.0 16.7 10.9
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Investment and Other Income 9.9 0.9 13.2 0.5
Net Impairment Provisions - - (50.6) (0.2)
Exploration Expense (0.5) (1.0) (1.2) (2.3)
Administrative and Other
Expenses (4.2) (3.4) (7.0) (6.6)
Net Earnings (Loss) 16.5 2.8 (31.8) (2.1)
Basic Net Earnings (Loss) per
Share $ 0.13 $ 0.03 $ (0.28) $ (0.02)
Diluted Net Earnings (Loss)
per Share $ 0.13 $ 0.03 $ (0.28) $ (0.02)
Net Cash Provided by (Used in)
Operating Activities 11.8 (1.7) 16.8 (11.8)
Capital Expenditures (18.4) (6.6) (29.1) (13.4)
Proceeds on Sale/(Purchase) of
Short-term Investments (2.6) 30.2 26.9 25.8
Purchase of Namibia Custom
Smelters (Pty) Ltd. - - (17.0) -
Proceeds on Sale of
Exploration Property - 6.2 - 6.2
Other Investing Activities (1.1) (0.9) (4.0) (2.0)
Financing Activities (2.1) (1.4) 58.5 (2.2)
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Net Increase (Decrease) in
Cash $ (12.4) $ 25.8 $ 52.1 $ 2.6
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Concentrate Produced (mt)
Chelopech 18,005 18,902 35,707 35,207
Deno Gold 4,273 3,173 8,517 3,173
NCS - concentrate processed
(mt) 45,881 N/A 45,881 N/A
Cash Cost per tonne Ore
Processed ($/t)(1)
Chelopech (excluding
royalties) $ 47.04 $ 52.38 $ 51.55 $ 48.47
Deno Gold (excluding
royalties) $ 59.21 $ 66.66 $ 63.27 $ 66.66
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Second Quarter 2010 - Financial Highlights
-- In the second quarter of 2010, DPM reported net earnings of $16.5
million or $0.13 per share compared to net earnings of $2.8 million or
$0.03 per share in the second quarter of 2009.
-- DPM recorded a gross profit of $18.1 million in the second quarter of
2010 compared to a gross profit of $8.0 million in the corresponding
prior year period. The period over period increase in gross profit was
primarily due to higher gold, copper and zinc prices, higher deliveries
of concentrates due to an extra shipment from Chelopech and a full
quarter of operation at Deno Gold, higher copper in concentrate sold and
lower production costs partially offset by unfavourable mark-to-market
adjustments and final settlements on provisional sales and lower gold in
concentrate sold.
-- On May 26, 2010, DPM completed its previously announced agreement with
Louis Dreyfus Commodities Metals Suisse SA ('LDC') to settle
approximately $11.4 million of financial obligations owed by NCS to LDC,
through a cash payment of $2.0 million and the issuance of 2,903,525
common shares of DPM.
-- As at June 30, 2010, DPM had cash, cash equivalents and short-term
investments of $100.7 million compared to $75.6 million at December 31,
2009. Investments at fair value totalled $68.5 million at June 30, 2010
compared to $34.4 million at December 31, 2009.
A complete set of DPM's Consolidated Financial Statements, Notes to the Consolidated Financial Statements and Management's Discussion and Analysis for the three months ended June 30, 2010 will be posted on the Company's website at www.dundeeprecious.com and will be filed on Sedar at www.sedar.com.
Conference Call
DPM will be holding an analyst call on Friday, July 30, 2010 at 8.30 a.m. (EST).
The call will be webcast live (audio only) at: http://www.gowebcasting.com/1813.
The audio webcast for this conference call will be archived and available on the Company's website at www.dundeeprecious.com.
Overview
DPM is a Canadian-based, international mining company engaged in the acquisition, exploration, development and mining of precious metal properties. Its common shares and share purchase warrants (symbols: DPM; DPM.WT; DPM.WT.A) are traded on the Toronto Stock Exchange ('TSX'). DPM's business objectives are to identify, acquire, finance, develop and operate low-cost, long-life mining properties.
The Company's operating interests include its 100% ownership of Chelopech Mining EAD ('Chelopech'), its principal asset being the Chelopech mine, a gold, copper, silver concentrates producer, located approximately 70 kilometres east of Sofia, Bulgaria, 100% ownership of Namibia Custom Smelters (Pty) Ltd. ('NCS'), a copper concentrate processing facility located in Tsumeb, Namibia, and a 95% interest in Vatrin Investment Limited, a private entity which holds 100% of Deno Gold Mining Company CJSC ('Deno Gold'), its principal asset being the Kapan mine, a gold, copper, zinc, silver concentrates producer located about 320 kilometres south east of the capital city of Yerevan in Southern Armenia. DPM's interests also include a 100% interest in the Krumovgrad development stage gold property located in south eastern Bulgaria, near the town of Krumovgrad, and numerous exploration properties in one of the larger gold-copper-silver mining regions in Serbia.
Summarized Financial Results
Net revenue
Net revenue of $60.9 million in the second quarter of 2010 was $33.1 million higher than the corresponding prior year period net revenue of $27.8 million due to a 30% increase in gold prices, a 50% increase in copper prices, a 37% increase in zinc prices and a 47% increase in concentrate deliveries. Also contributing to the period over period increase in net revenue was the inclusion of NCS' revenue following its acquisition by DPM on March 24, 2010.
Deliveries of concentrates produced at Chelopech of 23,752 tonnes in the second quarter of 2010 were 34% higher than second quarter of 2009 deliveries of 17,685 tonnes due to an additional shipment in the second quarter of 2010. Deliveries of concentrates produced at Deno Gold of 3,559 tonnes in the second quarter of 2010 were significantly higher than second quarter of 2009 deliveries of 905 tonnes, reflecting a full quarter of operation in 2010. Deno Gold restarted its operations in April 2009 after being on care and maintenance for five months. Net unfavourable mark-to-market adjustments and final settlements of $1.0 million, related to the open positions of provisionally priced concentrate sales, were recorded in the second quarter of 2010 compared to net favourable mark-to-market adjustments and final settlements of $1.0 million in the second quarter of 2009. In the second quarter of 2010, DPM recorded gains on its copper derivatives of $0.01 million compared to net losses on copper derivatives of $2.3 million in the second quarter of 2009.
Net revenue of $81.4 million in the first six months of 2010 was $31.9 million higher than the corresponding prior year period net revenue of $49.5 million due to a 26% increase in gold prices, a 77% increase in copper prices, a 63% increase in zinc prices and a 19% increase in concentrate deliveries. Also contributing to the period over period increase in revenue was the inclusion of NCS's revenue following its acquisition by DPM on March 24, 2010.
Deliveries of concentrates produced at Chelopech of 35,583 tonnes in the first six months of 2010 were 4% higher than the corresponding prior year period deliveries of 34,258 tonnes. Deliveries of concentrates produced at Deno Gold of 6,199 tonnes in the first six months of 2010 were significantly higher than the corresponding prior year period deliveries of 905 tonnes. Deno Gold was on care and maintenance in the first quarter of 2009. Net unfavourable mark-to-market adjustments and final settlements of $4.0 million, related to the open positions of provisionally priced concentrate sales, were recorded in the first six months of 2010 compared to net favourable mark-to-market adjustments and final settlements of $4.7 million in the first six months of 2009. In the first six months of 2010, DPM recorded gains on its copper derivatives of $0.02 million compared to net losses on copper derivatives of $3.4 million in the first six months of 2009.
The average London Bullion gold price(2) in the second quarter of 2010 of $1,195 per ounce was 30% higher than the second quarter of 2009 average price of $922 per ounce. The average London Metal Exchange ('LME') cash copper price(2) in the second quarter of 2010 of $3.19 per pound was 50% higher than the second quarter of 2009 average price of $2.12 per pound. The average LME cash zinc price(2) in the second quarter of 2010 of $0.92 per pound was 37% higher than the second quarter of 2009 average price of $0.67 per pound.
The average London Bullion gold price(2) in the first six months of 2010 of $1,150 per ounce was 26% higher than the corresponding prior year period average price of $915 per ounce. The average LME cash copper price(2) in the first six months of 2010 of $3.23 per pound was 77% higher than the corresponding prior year period average price of $1.83 per pound. The average LME cash zinc price(2) in the first six months of 2010 of $0.98 per pound was 63% higher than the corresponding prior year period average price of $0.60 per pound.
Cost of sales
Cost of sales of $42.8 million and $64.7 million in the second quarter and first half of 2010 were, respectively, $23.0 million and $26.1 million higher than the corresponding prior year periods cost of sales of $19.8 million and $38.6 million due to an increase in concentrate deliveries and the inclusion of expenses related to the processing of concentrates at NCS.
Cash cost per tonne of ore processed(1), excluding royalties, at Chelopech in the second quarter of 2010 of $47.04 was 10% lower than the corresponding prior year period cash cost per tonne of ore processed(1), excluding royalties, of $52.38 due to lower cement usage in backfill activities and the favourable impact of a 6% depreciation of the Euro relative to the U.S. dollar partially offset by higher maintenance and employment expenses. Cash cost per tonne of ore processed(1), including royalties, at Chelopech in the second quarter of 2010 of $51.27 was 18% lower than second quarter of 2009 cash cost per tonne of ore processed(1), including royalties, of $62.34.
Cash cost per tonne of ore processed(1), excluding royalties, at Chelopech in the first six months of 2010 of $51.55 was 6% higher than the corresponding prior year period cash cost per tonne of ore processed(1), excluding royalties, of $48.47 due primarily to higher spending on services, increased rates for and consumption of power and fuels and higher employment expenses partially offset by lower cement usage in backfill activities. Cash cost per tonne of ore processed(1), including royalties, at Chelopech in the first six months of 2010 of $55.98 was comparable to the corresponding prior year period cash cost per tonne of ore processed(1), including royalties, of $55.25.
Cash cost per tonne of ore processed(1), excluding royalties, at Deno Gold in the second quarter of 2010 of $59.21 was 11% lower than the corresponding prior year period cash cost per tonne of ore processed(1), excluding royalties, of $66.66 due to higher volume of material processed partially offset by higher maintenance costs and higher vein drive development costs to access additional working spaces. Cash cost per tonne of ore processed(1), including royalties, at Deno Gold in the second quarter of 2010 was $66.25. Deno Gold did not pay a profit based royalty in the second quarter of 2009.
Gross profit (loss)
Chelopech recorded a gross profit of $15.1 million in the second quarter of 2010 compared to a gross profit of $10.1 million in the second quarter of 2009. The period over period increase in gross profit was due to a 30% increase in gold prices, a 50% increase in copper prices, a 34% increase in concentrate deliveries and higher copper in concentrate sold partially offset by unfavourable mark-to-market adjustments and final settlements on provisional sales and lower gold in concentrate sold. Net unfavourable mark-to-market adjustments and final settlements of $0.2 million, related to the open positions of provisionally priced concentrate sales, were recorded in the second quarter of 2010 compared to net favourable mark-to-market adjustments and final settlements of $2.0 million in the second quarter of 2009. There were nil gains or losses on copper derivatives in the second quarter of 2010 whereas, in the second quarter of 2009, net losses on copper derivatives totalled $2.3 million.
Chelopech recorded a gross profit of $13.2 million in the first six months of 2010 compared to a gross profit of $15.9 million in the first six months of 2009. The period over period decrease in gross profit was due to unfavourable mark-to-market adjustments and final settlements on provisional sales and lower gold in concentrate sold partially offset by a 26% increase in gold prices and a 77% increase in copper prices. Net unfavourable mark-to-market adjustments and final settlements of $2.8 million, related to the open positions of provisionally priced concentrate sales, were recorded in the first six months of 2010 compared to net favourable mark-to-market adjustments and final settlements of $5.1 million in the first six months of 2009. There were nil gains or losses on copper derivatives in the first half of 2010 whereas, in the first six months of 2009, net losses on copper derivatives totalled $3.4 million.
Deno Gold recorded a gross profit of $1.4 million in the second quarter of 2010 compared to a gross loss of $2.1 million in the corresponding prior year period. Deliveries of concentrates in the second quarter of 2010 totalled 3,559 tonnes compared to 905 tonnes in the second quarter of 2009 as a result of a full quarter of operation in 2010. Deno Gold restarted its operations in April 2009 after being on care and maintenance for five months. Net unfavourable mark-to-market adjustments and final settlements of $0.8 million, related to the open positions of provisionally priced concentrate sales, were recorded in the second quarter of 2010 compared to net unfavourable mark-to-market adjustments and final settlements of $1.0 million in the second quarter of 2009.
Deno Gold recorded a gross profit of $1.9 million in the first six months of 2010 compared to a gross loss of $5.0 million in the corresponding prior year period. Deno Gold was on care and maintenance in the first quarter of 2009.
NCS recorded a gross profit of $1.6 million in the second quarter of 2010. NCS was acquired by DPM on March 24, 2010. Concentrates processed in the quarter totalled 45,881 tonnes, supported by the introduction of oxygen into the smelting process. Although not fully optimized, smelting rates improved during the second quarter of 2010. Production was negatively impacted by problems in the downstream process, contributing to an increase in secondary stocks.
Investment and other income
Investment and other income were $9.9 million and $13.2 million in the second quarter and first half of 2010, respectively, compared to investment and other income of $0.9 million and $0.5 million in the corresponding prior year periods. Included in the second quarter and first half of 2010 were unrealized favourable mark-to-market adjustments related to the Sabina Gold & Silver Corp. ('Sabina') Special Warrant units of $11.0 million and $14.0 million, respectively.
On May 26, 2010, DPM completed the previously announced settlement with LDC of approximately $11.4 million of financial obligations owed by NCS to LDC, through a cash payment of $2.0 million and the issuance of 2,903,525 common shares of DPM, a value of $9.4 million based on a deemed price of Cdn$3.50 per share. On the date of the settlement, the common shares issued were recorded at fair value based on the closing price of Cdn$4.04, resulting in a non-cash loss on settlement of $1.6 million.
Administrative and other expenses
Administrative and other expenses were $4.2 million and $7.0 million in the second quarter and first half of 2010, respectively, compared to $3.4 million and $6.6 million in the corresponding prior year periods. The increase in administrative expenses relative to 2009 was primarily due to the expenses related to the acquisition of NCS and the announced disposition of the Serbian assets.
Income tax expense
In the second quarter of 2010, DPM's effective tax rate of 10% was lower than the Canadian statutory rate of 31.0% due primarily to a lower tax rate on foreign earnings and the non-taxable portion of unrealized gains on warrants partially offset by an unrecognized tax benefit relating to foreign and Canadian losses.
In the first half of 2010, the tax recovery rate of 10% was lower than the Canadian statutory rate of 31.0% due primarily to an unrecognized tax benefit relating to foreign and Canadian losses and a lower tax rate on foreign losses partially offset by the non-taxable portion of unrealized gains on warrants.
Operating cash flow (shortfall)
The following table summarizes the Company's cash flow (shortfall) from
operating activities for the periods indicated:
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$ thousands Three Months Six Months
------------------------ ------------------------
Ended June 30, 2010 2009 2010 2009
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Net earnings (loss) $ 16,449 $ 2,765 $ (31,805) $ (2,117)
Non-cash charges (credits)
to earnings:
Amortization of property,
plant and equipment 5,796 4,075 9,944 7,747
Property impairment
provisions 14 - 54,063 248
Other (8,221) (2,019) (16,107) (745)
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Total non-cash charges
(credits) to earnings (2,411) 2,056 47,900 7,250
Decrease (increase) in non-
cash working capital (2,251) (6,471) 687 (16,956)
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Net cash provided by (used
in) operating activities $ 11,787 $ (1,650) $ 16,782 $ (11,823)
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Cash provided by operating activities in the second quarter of 2010 was $11.8 million compared with cash used in operating activities of $1.7 million in the second quarter of 2009. The increase in cash provided by operating activities was primarily due to higher gross profit and lower working capital requirements in the second quarter of 2010 relative to the corresponding prior year period. The increase in working capital requirements in the second quarter of 2010 of $2.3 million was primarily due to a decrease in deferred revenue and the settlement of financial obligations with LDC partially offset by a decrease in inventories and an increase in accounts payable.
On May 26, 2010, DPM completed the previously announced settlement with LDC of approximately $11.4 million of financial obligations owed by NCS to LDC, through a cash payment of $2.0 million and the issuance of 2,903,525 common shares of DPM, a value of $9.4 million based on a deemed price of Cdn$3.50 per share.
Cash provided by operating activities in the first half of 2010 was $16.8 million compared with cash used in operating activities of $11.8 million in the corresponding prior year period. The increase in cash provided by operating activities was primarily due to a decrease in working capital and higher gross profit.
The following table summarizes the Company's investing activities for the
periods indicated:
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$ thousands Three Months Six Months
----------------------- -----------------------
Ended June 30, 2010 2009 2010 2009
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Proceeds on sale of
exploration property $ - $ 6,211 $ - $ 6,211
Proceeds on sale of
investments at fair value 593 - 593 1,873
Purchases of investments at
fair value (1,666) - (1,666) -
Acquisition of NCS, net of
cash acquired of $1,013 - - (16,987) -
Proceeds on sale/(Purchase)
of short-term investments (2,600) 30,219 26,928 25,819
Loan advances - (972) (3,000) (4,000)
Capital expenditures (18,440) (6,615) (29,090) (13,431)
Other - 36 - 111
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Net cash provided by (used
in) investing activities $ (22,113) $ 28,879 $ (23,222) $ 16,583
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Capital expenditures at Chelopech in the second quarter and first half of 2010 of $9.2 million and $17.5 million were, respectively, 80% and 76% higher than the corresponding prior year periods due to the ramp-up of the mine and mill expansion project in 2010. Capital expenditures at Deno Gold in the second quarter and first half of 2010 were, respectively, $7.4 million and $9.2 million compared to $1.2 million and $3.1 million in the corresponding prior year periods. The significant increase in 2010 relative to 2009 was due primarily to the mine and mill expansion and land acquisition.
On March 24, 2010, the Company completed the acquisition of NCS from Weatherly International plc ('WTI') by way of the purchase of 100% of the shares of NCS. The cash consideration provided to WTI by DPM was $17.0 million, net of cash acquired of $1.0 million.
In the first six months of 2010, DPM advanced $3.0 million to NCS in accordance with the binding letter of intent signed in January 2010 with WTI for the purchase of NCS.
In June 2009, DPM completed the sale of its Back River exploration project in Nunavut to Sabina for a cash payment of $6.2 million (Cdn $7.0 million), 17 million Sabina common shares and 10 million Special Warrants.
In the first six months of 2009, DPM advanced $4.0 million to NCS in accordance with the agreement DPM signed with NCS in December 2008 to advance up to $7.0 million of loans to NCS.
Financing Activities
The following table summarizes the Company's financing activities for the
periods indicated:
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$ thousands Three Months Six Months
---------------------- ----------------------
Ended June 30, 2010 2009 2010 2009
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Net proceeds of equity
financing $ - $ - $ 61,981 $ -
Repayment of leases (920) (179) (1,716) (345)
Repayment of debt (1,250) (1,250) (1,813) (1,813)
Other 51 - 51 -
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Net cash provided by (used in)
financing activities $ (2,119) $ (1,429) $ 58,503 $ (2,158)
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Average Metal Prices
The following table, summarizing the average metal prices for the London
Bullion Market Association ('LBM') gold, LME copper Grade A, LME special
high grade ('SHG') zinc and LBM silver prices, is used to illustrate the
Company's average metal price exposures based on its key reference prices
for the periods indicated.
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Average Three Months Six Months
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Ended June 30, 2010 2009 2010 2009
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London Bullion gold ($/oz) $ 1,195 $ 922 $ 1,150 $ 915
LME settlement copper ($/lb) 3.19 2.12 3.23 1.83
LME settlement SHG zinc ($/lb) 0.92 0.67 0.98 0.60
LBM spot silver ($/oz) $ 18.32 $ 13.73 $ 17.62 $ 13.17
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Non-GAAP Financial Measures
We have referred to cash cost per tonne of ore processed because we understand that certain investors use this information to assess the Company's performance and also determine the Company's ability to generate cash flow for investing activities. This measurement captures all of the important components of the Company's production and related costs. In addition, management utilizes this metric as an important management tool to monitor cost performance of the Company's operations. This measurement, which is a non-GAAP measure, has no standardized meaning under Canadian GAAP and is therefore unlikely to be comparable to similar measures presented by other companies. This measurement is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with Canadian GAAP.
The following table provides, for the periods indicated, a reconciliation of
the Company's cash cost measure and Canadian GAAP cost of sales:
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$ thousands, unless
otherwise indicated
For the quarter ended June
30, 2010 Chelopech Deno Gold Other Total
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Ore processed (mt) 244,070 101,178
Cost of sales $ 22,242 $ 6,530 $ 14,054 $ 42,826
Add (deduct):
Amortization (3,178) (1,052)
Reclamation costs and
other (238) (246)
Change in concentrate
inventory (6,312) 1,471
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Total cash cost of
production $ 12,514 $ 6,703
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Cash cost per tonne of ore
processed, including
royalties $ 51.27 $ 66.25
Cash cost per tonne of ore
processed, excluding
royalties $ 47.04 $ 59.21
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$ thousands, unless otherwise
indicated
For the quarter ended June 30, 2009 Chelopech Deno Gold Total
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Ore processed (mt) 257,721 67,787
Cost of sales $ 18,282 $ 1,503 $ 19,785
Add/(Deduct):
Amortization and other (2,991) (661)
Reclamation costs and other (497) (128)
Change in concentrate inventory 1,720 3,772
Foreign exchange (448) 33
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Total cash cost of production $ 16,066 $ 4,519
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Cash cost per tonne of ore
processed, including royalties $ 62.34 $ N/A
Cash cost per tonne of ore
processed, excluding royalties $ 52.38 $ 66.66
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1. Cash cost per tonne ore processed is a non-GAAP measure. A
reconciliation of the Company's cash cost per tonne ore processed to
cost of sales under Canadian GAAP for the second quarters of 2010 and
2009 is shown in the table entitled 'Non-GAAP Financial Measures.'
2. Refer to the Average Metal Prices section for the average metal prices
used to illustrate the Company's average metal price exposure based on
its key reference prices.
To view the Financial Statements, please click the following link: http://media3.marketwire.com/docs/DPM729.pdf
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 and silver the estimation of mineral reserves and resources, the realization of mineral estimates, the timing and amount of estimated future production, 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.
Contacts:
Dundee Precious Metals Inc.
Jonathan Goodman
President and Chief Executive Officer
(416) 365-2408
jgoodman@dundeeprecious.com
Dundee Precious Metals Inc.
Stephanie Anderson
Executive Vice President and Chief Financial Officer
(416) 365-2852
sanderson@dundeeprecious.com
Dundee Precious Metals Inc.
Lori Beak
Vice President, Investor Relations and Corporate Secretary
(416) 365-5165
lbeak@dundeeprecious.com