Discovery Of Significant High-Grade Deposit At Coka Rakita

TORONTO - Dundee Precious Metals Inc. reported the discovery of a high-grade deposit at the Coka Rakita exploration prospect in eastern Serbia and report exceptional results from recent drilling. Coka Rakita is located three kilometers southeast of the Timok gold project.

“We are excited to announce these exceptional results from recent drilling completed at the Coka 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 Chief Executive Officer. 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 Coka Rakita as we continue to assess the mineral resource potential of this new discovery.”

As previously disclosed, exploration activities at the Coka Rakita prospect resumed in the fourth quarter of 2022 following receipt of a newly granted exploration license. In this most recent drill program, DPM drilled 8,750 meters and completed ten holes, with five additional holes currently ongoing. This program was designed to follow-up on positive results returned from holes drilled prior to the expiry of the previous exploration license.

The Coka Rakita prospect is located three kilometers southeast of the Bigar Hill sediment-hosted deposit and forms part of the 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 meters by 500 meters.

The latest phase of drilling has defined a manto-like zone of shallow-dipping gold-rich skarn mineralization located within the contact zone of a carbonaceous sedimentary package and fertile diorite intrusives. The high-grade mineralization starts at roughly 250 meters below surface and has been drilled over an area measuring 500 meters long, 250 meters wide and up to 80 meters thick, and remains open in multiple directions.

Metallurgical testing was completed on five composite samples from the Coka Rakita prospect. Three composites were drawn from the retrograde exoskarn formation, while the other composites represented the upper epiclastic-hosted porphyry mineralization and the lower porphyry endoskarn mineralization. The strata-bound conglomerate-hosted copper-gold-polymetallic formation has not yet been tested.

Preliminary metallurgical test results indicate that the retrograde skarn mineralization is amenable to conventional flotation and has the potential to produce a clean gold concentrate, achieving overall gold recoveries of greater than 93%.

Owing to the significant amount of coarse gold present in the retrograde exoskarn, gravity concentration tests on those three composites demonstrated gold recoveries ranging from 51% to 64%. Flotation and leach tests have not yet been performed on the gravity tails.

Rougher/scavenger and cleaner flotation tests for the same three composites showed gold recoveries ranging from 74% to 81% into the cleaner flotation concentrate. Cleaner flotation tests indicated that a clean, saleable gold concentrate could be produced from all the rougher concentrates. With leaching of the flotation tails, total gold recoveries of 93% to 97% are achievable from the retrograde exoskarn mineralization.