Dundee Precious Metals Announces 2022 Second Quarter

(All financial figures are expressed in U.S. except in any other case acknowledged)

TORONTO, July 28, 2022 (GLOBE NEWSWIRE) — Dundee Treasured Metals Inc. (TSX: DPM) (“DPM” or the “Firm”) in the present day introduced its working and monetary outcomes for the second quarter of 2022. All operational and monetary data contained on this information launch are associated to persevering with operations, except in any other case acknowledged.

Highlights:

• Robust metals manufacturing – Produced 72,904 ounces of gold and eight.eight million kilos of copper, consistent with 2022 steerage;
• Glorious all-in sustaining value efficiency – Reported value of gross sales per ounce of gold offered⁽¹⁾ of $906, and an all-in sustaining value per ounce of gold offered⁽²⁾ of $792, supporting a year-to-date value that’s beneath the low finish of the 2022 steerage vary;
• Engaging free money stream technology – Delivered $71.eight million in money supplied from working actions and $41.2 million of free money stream⁽²⁾;
• Robust adjusted web earnings – Generated web earnings attributable to widespread shareholders from persevering with operations of $33.5 million or $zero.18 per share, and adjusted web earnings⁽²⁾ of $33.three million or $zero.17 per share;
• Rising monetary power – Ended the quarter with $423.three million in money, an funding portfolio of $35.eight million, an undrawn $150.zero million long-term revolving credit score facility (“RCF”) and no debt;
• Returning capital to shareholders – Declared 2022 third quarter dividend of $zero.04 per widespread share payable on October 17, 2022 to shareholders of report on September 30, 2022 and repurchased 1,598,800 widespread shares for a complete worth of $9.5 million within the first six months of 2022; and
• Continued progress at Loma Larga – Continued to advance allowing for the challenge, receiving the technical viability certificates for the filtered tailing storage facility in June, and acquired a constructive resolution within the Constitutional Safety Motion (the “Motion”) which upheld the validity of the Firm’s environmental permits for exploration exercise.

“Throughout the second quarter, we delivered robust gold manufacturing and glorious value efficiency at our mines. On a year-to-date foundation now we have achieved an all-in sustaining value beneath our 2022 steerage vary,” stated David Rae, President and Chief Government Officer. “Based mostly on our robust working efficiency and our outlook for the stability of the 12 months, our mining operations are on observe to attain their 2022 steerage.”

“We proceed to advance allowing actions for the Loma Larga challenge in Ecuador, and on the finish of June, achieved a milestone with the approval for the tailing storage facility. As we progress in direction of receipt of the challenge’s environmental licence, we’re totally dedicated to working collaboratively and transparently with all stakeholders concerned with the challenge.”

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^{1) Value of gross sales per ounce of gold offered represents whole value of gross sales for Chelopech and Ada Tepe, divided by whole payable gold in focus offered. This measure is earlier than by-product credit, whereas all-in sustaining value per ounce of gold offered is web of by-product credit.
2) All-in sustaining value per ounce of gold offered; free money stream; and adjusted web earnings are non-GAAP monetary measures or ratios. These measures haven’t any standardized meanings underneath Worldwide Monetary Reporting Requirements (“IFRS”) and is probably not corresponding to comparable measures offered by different corporations. Confer with the “Non-GAAP Monetary Measures” part commencing on web page 13 of this information launch for extra data, together with reconciliations to IFRS measures.}

Use of non-GAAP Monetary Measures

Sure monetary measures referred to on this information launch aren’t measures acknowledged underneath IFRS and are known as non-GAAP monetary measures or ratios. These measures haven’t any standardized meanings underneath IFRS and is probably not corresponding to comparable measures offered by different corporations. The definitions established and calculations carried out by DPM are primarily based on administration’s cheap judgment and are constantly utilized. These measures are meant to supply further data and shouldn’t be thought of in isolation or as an alternative to measures ready in accordance with IFRS. Non-GAAP monetary measures and ratios, along with different monetary measures calculated in accordance with IFRS, are thought of to be vital elements that help buyers in assessing the Firm’s efficiency.

The Firm makes use of the next non-GAAP monetary measures and ratios on this information launch:

• mine money value
• money value per tonne of ore processed
• mine money value of gross sales
• money value per ounce of gold offered
• all-in sustaining value
• all-in sustaining value per ounce of gold offered
• smelter money value
• money value per tonne of advanced focus smelted
• adjusted earnings earlier than curiosity, taxes, depreciation and amortization (“EBITDA”)
• adjusted web earnings
• adjusted primary earnings per share
• money supplied from working actions, earlier than modifications in working capital
• free money stream
• common realized metallic costs

For an in depth description of every of the non-GAAP monetary measures and ratios used on this information launch and an in depth reconciliation to essentially the most immediately comparable measure underneath IFRS, please seek advice from the “Non-GAAP Monetary Measures” part commencing on web page 13 of this information launch.

Key Monetary and Operational Highlights

^{1) These measures embrace discontinued operations for the second quarter and first six months of 2021.
2) Adjusted EBITDA; adjusted web earnings; adjusted primary earnings per share; free money stream; money value per tonne of ore processed; all-in sustaining value per ounce of gold; and money value per tonne of advanced focus smelted are non-GAAP monetary measures or ratios. Confer with the “Non-GAAP Monetary Measures” part commencing on web page 13 of this information launch for extra data, together with reconciliations to IFRS measures.
three) Development capital expenditures are typically outlined as capital expenditures that develop current capability, improve lifetime of property and/or improve future earnings. This measure is utilized by administration and buyers to evaluate the extent of discretionary capital spending being undertaken by the Firm every interval.
four) Sustaining capital expenditures are typically outlined as expenditures that help the continuing operation of the asset or enterprise with none related improve in capability, lifetime of property or future earnings. This measure is utilized by administration and buyers to evaluate the extent of non-discretionary capital spending being incurred by the Firm every interval.
5) Value of gross sales per tonne of ore processed represents value of gross sales for Chelopech and Ada Tepe, respectively, divided by tonnes of ore processed.
6) Value of gross sales per ounce of gold offered represents whole value of gross sales for Chelopech and Ada Tepe, divided by whole payable gold in focus offered.
7) Value of gross sales per tonne of advanced focus smelted represents value of gross sales for Tsumeb, divided by tonnes of advanced focus smelted.}

Second Quarter Working Highlights

Within the second quarter of 2022, the Firm delivered robust working efficiency at Chelopech and Ada Tepe, benefitting from increased than anticipated gold grades and recoveries. Gold grades at Ada Tepe are anticipated to extend additional within the fourth quarter consistent with the mine plan. At Tsumeb, the Firm accomplished the deliberate Ausmelt furnace upkeep shutdown and resumed full operations firstly of July. This 45-day upkeep shutdown included further upkeep to the off-gas and baghouse programs, which is predicted to enhance working efficiency of the smelter shifting ahead.

Web Earnings and Adjusted Web Earnings

Web earnings attributable to widespread shareholders from persevering with operations within the second quarter and first six months of 2022 have been $33.5 million ($zero.18 per share) and $60.three million ($zero.32 per share), respectively, in comparison with $67.5 million ($zero.37 per share) and $88.2 million ($zero.49 per share) within the corresponding durations in 2021.

Web earnings attributable to widespread shareholders from persevering with operations within the second quarter and first six months of 2022 and 2021 have been impacted by Tsumeb restructuring prices associated to a complete initiative directed at optimizing the associated fee construction of the smelter, unrealized features or losses on Sabina Gold and Silver Corp. (“Sabina”) particular warrants and deferred earnings tax changes not associated to present interval earnings, all of which aren’t reflective of the Firm’s underlying working efficiency and are excluded from adjusted web earnings.

Adjusted web earnings within the second quarter of 2022 have been $33.three million ($zero.17 per share) in comparison with $67.1 million ($zero.37 per share) within the corresponding interval in 2021 due primarily to the deliberate Ausmelt furnace upkeep shutdown at Tsumeb accomplished within the second quarter of 2022, decrease volumes of metals offered and better freight fees at Chelopech, partially offset by increased estimated metallic recoveries at Tsumeb, a stronger U.S. greenback and better realized gold and copper costs.

Adjusted web earnings within the first six months of 2022 have been $70.three million ($zero.37 per share) in comparison with $98.1 million ($zero.54 per share) within the corresponding interval in 2021. This lower was due primarily to decrease volumes of metals offered, increased freight fees at Chelopech, decrease volumes of advanced focus smelted at Tsumeb and better share-based compensation, partially offset by increased realized metallic and sulphuric acid costs, increased estimated metallic recoveries at Tsumeb, a stronger U.S. greenback and decrease therapy fees at Chelopech.

Earnings earlier than Earnings Taxes and Adjusted EBITDA

Earnings earlier than earnings taxes within the second quarter and first six months of 2022 was $40.9 million and $74.eight million, respectively, in comparison with $74.9 million and $110.2 million within the corresponding durations in 2021, reflecting the identical elements that affected web earnings attributable to widespread shareholders from persevering with operations, apart from earnings taxes, which is excluded from earnings earlier than earnings taxes.

Adjusted EBITDA within the second quarter and first six months of 2022 was $68.6 million and $138.1 million, respectively, in comparison with $100.6 million and $166.eight million within the corresponding durations in 2021, reflecting the identical elements that affected adjusted web earnings, apart from curiosity, earnings tax, depreciation and amortization, that are excluded from adjusted EBITDA.

Manufacturing, Supply and Value Measures

Gold contained in focus produced within the second quarter and first six months of 2022 of 72,904 ounces and 135,819 ounces, respectively, was 14% and 13% decrease than the corresponding durations in 2021 due primarily to decrease anticipated gold grades at Ada Tepe because of mining in decrease gold grade zones, partially offset by improved gold recoveries at Chelopech. Copper manufacturing within the second quarter of 2022 decreased by 12% to eight.eight million kilos due primarily to decrease copper grades and recoveries, and copper manufacturing within the first six months of 2022 decreased by four% to 16.5 million kilos due primarily to decrease copper grades, partially offset by increased copper recoveries, relative to the corresponding durations in 2021.

Payable gold in focus offered within the second quarter and first six months of 2022 of 62,709 ounces and 120,090 ounces, respectively, was 11% and 14% decrease than the corresponding durations in 2021, according to decrease gold manufacturing. Payable copper in focus offered within the second quarter and first six months of 2022 of seven.2 million kilos and 13.7 million kilos, respectively, was 24% and 18% decrease than the corresponding durations in 2021 due primarily to decrease copper manufacturing and timing of deliveries.

Advanced focus smelted at Tsumeb throughout the second quarter of 2022 of 21,054 tonnes was 65% decrease than the corresponding interval in 2021 due primarily to the deliberate Ausmelt furnace upkeep shutdown, which was accomplished throughout the second quarter of 2022. Initially deliberate for 30 days, the upkeep shutdown was prolonged to 45 days for added upkeep to the off-gas and baghouse programs, which is predicted to enhance operational efficiency shifting ahead. Advanced focus smelted at Tsumeb throughout the first six months of 2022 of 68,297 tonnes was 17% decrease than the corresponding interval in 2021 due primarily to unplanned downtime because of upkeep to the off-gas and baghouse programs throughout the first six months of 2022.

Income within the second quarter of 2022 of $134.5 million was $40.2 million decrease than the corresponding interval in 2021 due primarily to the deliberate Ausmelt furnace upkeep shutdown at Tsumeb and decrease volumes of metals offered, partially offset by increased estimated metallic recoveries at Tsumeb because of in depth clean-up and measurement actions throughout the shutdown leading to increased estimated ranges of material-in-circuit. Income within the first six months of 2022 of $288.three million was $24.four million decrease than the corresponding interval in 2021 due primarily to decrease volumes of metallic offered and decrease volumes of advanced focus smelted, partially offset by increased realized metallic and sulphuric acid costs, increased estimated metallic recoveries at Tsumeb and decrease therapy fees at Chelopech because of elevated deliveries to third-party smelters.

Value of gross sales within the second quarter of 2022 of $86.eight million was $three.1 million decrease than the corresponding interval in 2021 due primarily to decrease volumes of advanced focus smelted at Tsumeb and a stronger U.S. greenback, partially offset by increased costs for electrical energy and direct supplies in Bulgaria. Value of gross sales within the first six months of 2022 of $184.1 million was $eight.6 million increased than the corresponding interval in 2021 due primarily to increased costs for electrical energy and direct supplies in Bulgaria, partially offset by a stronger U.S. greenback and decrease royalties at Ada Tepe.

All-in sustaining value per ounce of gold offered within the second quarter of 2022 of $792 was 31% increased than the corresponding interval in 2021 due primarily to increased freight fees at Chelopech, decrease by-product credit reflecting decrease copper manufacturing, decrease volumes of gold offered and better allotted normal and administrative bills because of modifications in DPM’s share value, partially offset by a stronger U.S. greenback. All-in sustaining value per ounce of gold offered within the first six months of 2022 of $741 was 27% increased than the corresponding interval in 2021 due primarily to increased freight fees at Chelopech, decrease volumes of gold offered, increased allotted normal and administrative bills and better costs for electrical energy and direct supplies in Bulgaria, partially offset by a stronger U.S. greenback and decrease therapy fees at Chelopech.

Money value per tonne of advanced focus smelted within the second quarter of 2022 of $973 was $573 increased than the corresponding interval in 2021 reflecting the fastened value nature of the ability and the affect of decrease volumes of advanced focus smelted ensuing from the upkeep shutdown, which was accomplished throughout the second quarter of 2022. Money value per tonne of advanced focus smelted within the first six months of 2022 of $632 was $74 increased than the corresponding interval in 2021 due primarily to decrease volumes of advanced focus smelted, partially offset by increased by-product credit reflecting increased sulphuric acid costs.

A desk evaluating manufacturing, supply and money value measures for the second quarter and first six months of 2022 in opposition to 2022 steerage is situated on web page 10 of this information launch.

Money Offered from Working Actions

Money supplied from working actions within the second quarter and first six months of 2022 of $71.eight million and $150.three million was $three.9 million decrease and $27.zero million increased than the corresponding durations in 2021, respectively, due primarily to the identical elements impacting earnings earlier than earnings taxes, in addition to timing of deliveries and subsequent receipt of money.

For an in depth dialogue on the elements affecting money supplied from working actions, seek advice from the “Liquidity and Capital Assets” part contained within the Administration’s Dialogue and Evaluation for the three and 6 months ended June 30, 2022 (the “MD&A”).

Free Money Circulate

Free money stream within the second quarter and first six months of 2022 of $41.2 million and $89.9 million, respectively, was $25.9 million and $28.2 million decrease than the corresponding durations in 2021, due primarily to the identical elements impacting earnings earlier than earnings taxes, partially offset by decrease money outlays for sustaining capital expenditures.

Capital expenditures

Capital expenditures incurred throughout the second quarter and first six months of 2022 have been $28.eight million and $43.7 million, respectively, in comparison with $15.eight million and $34.eight million within the corresponding durations in 2021.

Sustaining capital expenditures incurred throughout the second quarter and first six months of 2022 have been $21.2 million and $30.zero million, respectively, in comparison with $11.9 million and $29.three million within the corresponding durations in 2021, due primarily to the timing of the Ausmelt furnace upkeep shutdown at Tsumeb which occurred within the second quarter of 2022 and within the first quarter of 2021. Development capital expenditures incurred throughout the second quarter and first six months of 2022 have been $7.6 million and $13.7 million, respectively, in comparison with $three.9 million and $5.5 million within the corresponding durations in 2021, due primarily to capitalized prices associated to the event of the Loma Larga and Timok gold tasks.

Loma Larga gold challenge, Ecuador

The Firm continued to progress allowing actions, receiving the certificates of technical viability for the filtered tailings storage facility on the finish of June, a key milestone for the challenge’s growth. As beforehand reported, in April 2022, the Firm acquired the technical approval of the Environmental Impression Evaluation (“EIA”) research, which was submitted to the Ministry of Atmosphere, Water and Ecological Transition (“MAATE”) by the earlier proprietor previous to its acquisition by DPM. The MAATE has appointed facilitators to hold out the Citizen Participation Course of, which was briefly postponed following nationwide protests that occurred in June. As soon as these actions resume, DPM and its EIA marketing consultant will help the Citizen Participation Course of, assess all feedback acquired and make the mandatory updates to the EIA in an effort to help the MAATE in offering its remaining approval of the EIA and issuing the environmental licence.

In parallel, the Firm continues to advance work to replace and optimize the feasibility research (“FS”) accomplished by the earlier proprietor. This consists of progressing a number of trade-off research aimed toward additional bettering the challenge primarily based on DPM’s experience and expertise, and the design of a metallurgical check program. DPM is focusing on completion of a revised FS in 2022.

A 15,800-metre drilling program to help numerous research complementary to the Loma Larga FS optimization, consisting of hydrogeological, geotechnical, metallurgical, condemnation and extension drilling, was commenced within the first quarter of 2022. A complete of 658 metres of condemnation drilling was accomplished previous to DPM briefly pausing drilling actions on the finish of February because of the Motion filed in opposition to the MAATE by sure non-government organizations and native businesses and the suspension of the environmental allow required for exploration and technical drilling by the court docket, pending the listening to of the Motion.

On July 12, 2022, an oral resolution delivered by the Judicial Labour Unit of Cuenca upheld the validity of the environmental permits for exploration, confirmed that the MAATE didn’t violate rights referring to the safety of water and nature in granting the permits, and reaffirmed the Firm’s authorized rights within the mining concessions. The court docket additionally discovered that the Firm might be required to incorporate the native indigenous populations in its session course of previous to continuing to the exploitation section, which DPM had already deliberate as a part of its growth of the challenge, reflecting the Firm’s dedication to the very best requirements of stakeholder engagement and consistent with Worldwide Finance Company practices. 

The written resolution was acquired on July 20, 2022, and DPM might be searching for clarification from the court docket as as to if the indigenous session could also be carried out in parallel with the Citizen Participation Course of and different actions required for the environmental allow, or whether or not the session have to be accomplished earlier than advancing these actions, which may delay the timing for the receipt of the environmental licence, presently anticipated to be acquired within the third quarter of 2022. The choice may additionally be appealed by the claimants inside three days following completion of the clarification course of. Drilling actions at Loma Larga stay paused, pending clarification from the court docket on the impact of the written resolution on this regard and the affect of any appeals which may be filed.

Because the allowing course of progresses, DPM’s staff is working proactively with stakeholders to acquire the challenge’s social licence to function. Authorities interplay with the mining business has improved considerably for the reason that change in authorities in Ecuador in Might 2021 and DPM maintains a constructive relationship with all authorities establishments and different stakeholders concerned with the event of the challenge. The Firm can be progressing discussions which can be anticipated to outcome within the execution of an investor safety settlement with the federal government of Ecuador prior to creating any important capital commitments.

Timok gold challenge, Serbia

The Firm continues to advance the Timok FS, and because of optimization actions centered on capital expenditures and mining actions, completion is now anticipated within the third quarter of 2022. The Firm has seen inflationary pressures on capital and working budgets according to normal business developments. Following completion of the FS, the Firm will pursue alternatives by further exploration notably on the Čoka Rakita goal southeast of the Timok deposit, topic to receipt of the required permits.

Exploration

At Chelopech, the brownfield exploration program ramped-up with an intensive drilling marketing campaign centered on the Sveta Petka Business Discovery, in addition to on the Sharlo Dere and Petrovden porphyry prospects throughout the mine concession. A complete of 20,174 metres of diamond drilling was accomplished throughout the second quarter of 2022 and intensive drilling is predicted to proceed within the third quarter of 2022.

On the Sharlo Dere prospect, situated roughly 500 metres northeast of essentially the most jap ore our bodies of the Chelopech mine, a complete of 5,zero88 metres of drilling was accomplished on six holes, which proceed to return important copper-gold mineralization, and ensure and lengthen the outcomes previously outlined by the state exploration drilling within the late 1970s and extra systematic drilling is underway to totally check the footprint of the system.

The geological actions on the Krumovgrad exploration camp have been centered on in depth goal delineation campaigns that encompassed the Ada Tepe mine concession and the Chiirite and Dalbokata Reka exploration licences throughout the quarter. This included detailed mapping, rock sampling, trenching and 3D modelling, and is presently being adopted up with diamond drilling.

Throughout the second quarter of 2022, the exploration staff in Serbia progressed a gravity survey at Umka, in addition to some trenching. Goal delineation work, which incorporates mapping, stream, soil and rock sampling and floor magnetics surveys, can be underway at Zdrelo and Kopaonik exploration licences, in preparation for a scout drilling marketing campaign anticipated to start later within the 12 months.

In Ecuador, a 2,650-metre drilling program has been deliberate for the Tierras Coloradas concessions which is predicted to be accomplished within the third quarter of 2022. The change in standing of that challenge from an early to superior stage exploration is in progress and all rules and authorizations required from the totally different Ecuadorian authorities are anticipated to be acquired by the top of 2022. All permits associated to the drilling marketing campaign have been acquired and drilling actions have commenced.

Returning capital to shareholders

As a part of its technique, the Firm adheres to a disciplined capital allocation framework that’s primarily based on three elementary issues – stability sheet power, reinvestment within the enterprise, and the return of capital to shareholders.

Share repurchases underneath the Regular-Course Issuer Bid (“NCIB”)

Throughout the six months ended June 30, 2022, the Firm bought a complete of 1,598,800 shares, of which 1,528,400 have been cancelled as at June 30, 2022 with the remaining shares cancelled in July 2022. The Firm additionally cancelled an extra 29,600 shares that have been repurchased in 2021, leading to a complete of 1,558,000 shares being cancelled throughout the six months ended June 30, 2022. The overall value of those purchases was $9.5 million at a mean value of $5.92 (Cdn$7.55) per share. Pursuant to the Firm’s NCIB, which it renewed on March 1, 2022, the Firm is ready to buy as much as an extra 9,000,000 widespread shares representing roughly 5% of the entire excellent widespread shares as at February 17, 2022, over a interval of twelve months which ends on February 28, 2023.

Declaration of dividend

On July 28, 2022, the Firm declared a dividend of $zero.04 per widespread share payable on October 17, 2022 to shareholders of report on September 30, 2022.

Three-Yr Outlook

With stable working efficiency from the Chelopech and Ada Tepe mines, DPM is on observe to satisfy its steerage for 2022 for mine operations, together with anticipated gold manufacturing of 250,000 to 290,000 ounces and copper manufacturing of 32 to 37 million kilos, in addition to all-in sustaining value per ounce of gold offered of $750 to $890.

The three-year outlook beforehand issued in DPM’s MD&A for the three months ended March 31, 2022 stays unchanged, apart from the next updates:

• Advanced focus smelted: Within the second quarter of 2022, the 2022 steerage in respect of advanced focus smelted was lowered to 185,000 to 200,000 tonnes, in comparison with 210,000 to 240,000 tonnes as beforehand issued in February 2022, resulting from water leaks leading to unplanned downtime and extra upkeep to the off-gas and baghouse programs within the first six months of 2022; and
• Money value per tonne of advanced focus smelted: Within the second quarter of 2022, the 2022 steerage in respect of money value per tonne of advanced focus smelted was elevated to $420 to $480 in comparison with $380 to $460 as beforehand issued in February 2022, because of decrease than anticipated volumes of advanced focus smelted.

For added data relating to the Firm’s detailed steerage for 2022 and three-year outlook, please seek advice from the “Three-Yr Outlook” part of the MD&A.

Battle in Ukraine

On February 24, 2022, Russia launched an invasion of Ukraine which, as of the date hereof, continues to be ongoing. Given the position every nation performs round world power and agricultural commerce, the worldwide neighborhood’s imposition of a wide range of sanctions on Russia, and the withdrawal of international services and products to Russia, this invasion is placing additional strains on the worldwide provide chain and including further pricing stress above and past what beforehand was attributable to the coronavirus (“COVID-19”) pandemic.

The Firm’s Chelopech and Ada Tepe mines are situated in Japanese Europe in Bulgaria. Bulgaria doesn’t share a border with both Russia or Ukraine and is a part of the North Atlantic Treaty Group and the European Union. The primary sources of Bulgaria’s electrical power are nuclear and coal services, which collectively comprise roughly 80% of Bulgaria’s whole power technology. Though Russia has halted pure fuel deliveries to Bulgaria, roughly 5% of Bulgaria’s whole power provide is generated from pure fuel and DPM has not skilled and doesn’t anticipate any disruption of energy provide to its mines because of this. Moreover, the Firm doesn’t supply any provides from Russia or Russian corporations. In June 2022, the Council of Europe adopted further sanctions that, amongst others, prohibits the acquisition, import or switch of crude oil and sure petroleum merchandise from Russia to the European Union (“EU”). The restrictions will apply step by step, inside six months for crude oil and inside eight months for different refined petroleum merchandise. A brief exemption is on the market for these EU member states that, resulting from their geographic scenario, endure from a selected dependence on Russian provides and haven’t any viable different choices. Bulgaria secured this exemption till the top of 2024.

In consequence, the affect of the battle in Ukraine on the Firm has been restricted to elevated prices for power, gasoline and different direct supplies. Additional escalation of the battle, together with an outbreak of and/or growth of hostilities into different nations or areas inside Europe may have a cloth adversarial impact on the Firm’s operations resulting from, amongst different elements, disruption within the Firm’s provide chain, elevated enter prices, and elevated threat (or notion of elevated threat) within the profile of the Firm’s operations in Japanese Europe. The Firm continues to observe and can proactively handle the scenario, though there is no such thing as a assurance that the Firm’s operations won’t be adversely affected by present geopolitical tensions. The Firm’s 2022 steerage and outlook for 2023 and 2024 are predicated on the battle in Ukraine having no materials affect on DPM’s manufacturing and prices.

For added particulars, seek advice from the information launch entitled “Dundee Treasured Metals’ Bulgarian Operations Unaffected by Decreased Pure Gasoline Provide to Bulgaria” dated April 27, 2022, which has been posted on the Firm’s web site at www.dundeeprecious.com.

COVID-19

Thus far, with the proactive measures taken by every of the Firm’s operations, the COVID-19 pandemic has had minimal affect on DPM’s manufacturing. DPM is carefully monitoring the COVID-19 scenario and has put measures in place to safeguard the well being of its workforce and help the continuity of its operations. Given the extremely unsure and evolving nature of this case, the Firm just isn’t in a position to reliably estimate the chance, timing, period, severity and scope of this pandemic and the potential affect it may have on the Firm’s future working and monetary outcomes. In consequence, the 2022 steerage, and outlook for 2023 and 2024, is based on the COVID-19 pandemic persevering with to be successfully managed with minimal affect on DPM’s operations.

For added particulars on COVID-19 in addition to the battle in Ukraine, together with the associated dangers confronted by the Firm, seek advice from the “Overview – Operational and Monetary Highlights” sections contained within the MD&A.

Chosen Manufacturing, Supply and Value Efficiency versus Steerage

^{1)   All-in sustaining value per ounce of gold offered is predicted to be $740 to $900 for Chelopech and $770 to $880 for Ada Tepe, respectively, in 2022 steerage.
2)   Earlier steerage in respect of advanced focus smelted was 210,000 to 240,000 tonnes for 2022.
three)   Earlier steerage in respect of money value per tonne of advanced focus smelted was $380 to $460 for 2022.}

This information launch and DPM’s unaudited condensed interim consolidated monetary statements and MD&A for the three and 6 months ended June 30, 2022 are posted on the Firm’s web site at www.dundeeprecious.com and have been filed on SEDAR at www.sedar.com.

Certified Particular person

The technical and scientific data on this information launch has been ready in accordance with Canadian regulatory necessities set out in Nationwide Instrument 43-101 Requirements of Disclosure for Mineral Tasks (“NI 43-101”) of the Canadian Securities Directors and the Canadian Institute of Mining, Metallurgy and Petroleum Definition Requirements for Mineral Assets and Mineral Reserves, and has been reviewed and authorized by Ross Total, B.Sc. (Utilized Geology), Company Mineral Useful resource Supervisor of DPM, who’s a Certified Particular person as outlined underneath NI 43-101, and who just isn’t unbiased of the Firm.

Second Quarter 2022 Outcomes Convention Name and Webcast

On Friday, July 29, 2022 at 9 AM EDT, DPM will host a convention name and audio webcast to debate the outcomes, adopted by a question-and-answer session. To take part through convention name, register prematurely on the hyperlink supplied beneath to obtain the dial-in data in addition to a singular PIN code to entry the decision.

The decision-in numbers and webcast particulars are as follows:

                
For additional data, please contact:

About Dundee Treasured Metals

Dundee Treasured Metals Inc. is a Canadian-based worldwide gold mining firm with operations and tasks situated in Bulgaria, Namibia, Ecuador and Serbia. The Firm’s goal is to unlock sources and generate worth to thrive and develop collectively. This total goal is supported by a basis of core values, which guides how the Firm conducts its enterprise and informs a set of complementary strategic pillars and goals associated to ESG, innovation, optimizing our current portfolio, and development. The Firm’s sources are allotted in-line with its technique to make sure that DPM delivers worth for all of its stakeholders. DPM’s shares are traded on the Toronto Inventory Change (image: DPM).

Cautionary Word Concerning Ahead Trying Statements

This information launch comprises “ahead wanting statements” or “ahead wanting data” (collectively, “Ahead Trying Statements”) that contain numerous dangers and uncertainties. Ahead Trying Statements are statements that aren’t historic details and are typically, however not at all times, recognized by means of ahead wanting terminology similar to “plans”, “expects”, “is predicted”, “funds”, “scheduled”, “estimates”, “forecasts”, “steerage”, “outlook”, “intends”, “anticipates”, “believes”, or variations of such phrases and phrases or that state that sure actions, occasions or outcomes “could”, “may”, “would”, “would possibly” or “will” be taken, happen or be achieved, or the adverse of any of those phrases or comparable expressions. The Ahead Trying Statements on this information launch relate to, amongst different issues: anticipated money flows; the value of gold, copper, silver and sulphuric acid; toll charges, metals publicity and stockpile curiosity deductions at Tsumeb; estimated capital prices, all-in sustaining prices, working prices and different monetary metrics, together with these set out within the outlook and steerage supplied by the Firm; forex fluctuations; the processing of Chelopech focus; outcomes of financial research, together with the Timok prefeasibility research (“PFS”) and the Loma Larga FS; anticipated milestones; success of exploration actions; the timing of the completion and outcomes of a FS for the Timok gold challenge; the timing and potential end result of pending litigation or authorized proceedings, together with the timing of the authorized proceedings associated to the Motion and resumption of drilling actions at Loma Larga; growth of the Loma Larga gold challenge, together with anticipated manufacturing, profitable negotiations of an funding safety settlement and exploitation settlement and granting of environmental and building permits in a well timed method; success of allowing actions; allowing timelines; success of investments, together with potential acquisitions; measures the Firm is enterprise in response to the COVID-19 outbreak, together with its impacts on the Firm’s world provide chains, the extent of and period of reductions or curtailments in working ranges at any of the Firm’s operations or in its exploration and growth actions; authorities regulation of mining and smelting operations; the timing and quantity of dividends; the timing and variety of widespread shares of the Firm which may be bought pursuant to the NCIB.

Ahead Trying Statements are primarily based on sure key assumptions and the opinions and estimates of administration and Certified Particular person (within the case of technical and scientific data), as of the date such statements are made, they usually contain recognized and unknown dangers, uncertainties and different elements which can trigger the precise outcomes, efficiency or achievements of the Firm to be materially totally different from some other future outcomes, efficiency or achievements expressed or implied by the Ahead Trying Statements. Along with elements already mentioned on this information launch, such elements embrace, amongst others: fluctuations in metallic and sulphuric acid costs, toll charges and international alternate charges; continuation or escalation of the battle in Ukraine; dangers referring to the Firm’s enterprise typically and the affect of worldwide pandemics, together with COVID-19, leading to modifications to the Firm’s provide chain, product shortages, supply and delivery points, closure and/or failure of plant, gear or processes to function as anticipated, staff and contractors turning into contaminated, low vaccination charges, misplaced work hours and labour pressure shortages; regulatory modifications, together with modifications impacting the advanced focus market; lack of ability of Tsumeb to safe advanced copper focus on phrases which can be financial; potential variations in ore grade and restoration charges; inherent uncertainties in respect of conclusions of financial evaluations and financial research, together with the Timok PFS and the Loma Larga FS; uncertainties with respect to timing of the Timok FS; modifications in challenge parameters, together with schedule and funds, as plans proceed to be refined; uncertainties with respect to realizing the anticipated advantages from the acquisition of INV Metals Inc. and the event of the Loma Larga gold challenge; uncertainties with respect to precise outcomes of present exploration actions; uncertainties and dangers inherent to growing and commissioning new mines into manufacturing, which can be topic to unexpected delays; uncertainties inherent with conducting enterprise in international jurisdictions the place corruption, civil unrest, political instability and uncertainties with the rule of regulation could affect the Firm’s actions; limitations on insurance coverage protection; accidents, labour disputes and different dangers of the mining business; delays in acquiring governmental approvals or financing or within the completion of growth or building actions; precise outcomes of present and deliberate reclamation actions; opposition by social and non-governmental organizations to mining tasks and smelting operations; unanticipated title disputes; claims or litigation; failure to attain sure value financial savings or the potential advantages of any upgrades and/or growth, together with the potential rotary holding furnace set up on the Tsumeb smelter; elevated prices and bodily dangers, together with excessive climate occasions and useful resource shortages, associated to local weather change; cyber-attacks and different cybersecurity dangers; there being no assurance that the Firm will buy further widespread shares of the Firm underneath the NCIB; dangers associated to the implementation, value and realization of advantages from digital initiatives; uncertainties with respect to realizing the focused MineRP earn-outs in addition to these threat elements mentioned or referred to within the Firm’s annual MD&A and annual data kind for the 12 months ended December 31, 2021, and different paperwork filed sometimes with the securities regulatory authorities in all provinces and territories of Canada and out there on SEDAR at www.sedar.com.

The reader has been cautioned that the foregoing checklist just isn’t exhaustive of all elements and assumptions which can have been used. Though the Firm has tried to determine vital elements that would trigger precise actions, occasions or outcomes to vary materially from these described in Ahead Trying Statements, there could also be different elements that trigger actions, occasions or outcomes to not be anticipated, estimated or meant. There could be no assurance that Ahead Trying Statements will show to be correct, as precise outcomes and future occasions may differ materially from these anticipated in such statements. The Firm’s Ahead Trying Statements mirror present expectations relating to future occasions and communicate solely as of the date hereof. Aside from as it might be required by regulation, the Firm undertakes no obligation to replace Ahead Trying Statements if circumstances or administration’s estimates or opinions ought to change. Accordingly, readers are cautioned to not place undue reliance on Ahead Trying Statements.

Non-GAAP Monetary Measures

Sure monetary measures referred to on this information launch aren’t measures acknowledged underneath IFRS and are known as non-GAAP monetary measures or ratios. These measures haven’t any standardized meanings underneath IFRS and is probably not corresponding to comparable measures offered by different corporations. The definitions established and calculations carried out by DPM are primarily based on administration’s cheap judgment and are constantly utilized. These measures are utilized by administration and buyers to help with assessing the Firm’s efficiency, together with its potential to generate adequate money stream to satisfy its return goals and help its investing actions and debt service obligations. As well as, the Human Capital and Compensation Committee of the Board of Administrators makes use of sure of those measures, along with different measures, to set incentive compensation targets and assess efficiency. These measures are meant to supply further data and shouldn’t be thought of in isolation or as an alternative to measures ready in accordance with IFRS. Non-GAAP monetary measures and ratios, along with different monetary measures calculated in accordance with IFRS, are thought of to be vital elements that help buyers in assessing the Firm’s efficiency.

Non-GAAP Money Value and All-in Sustaining Value Measures

Mine money value; smelter money value; mine money value of gross sales; and all-in sustaining value are non-GAAP monetary measures. Money value per tonne of ore processed; all-in sustaining value per ounce of gold offered; and money value per tonne of advanced focus smelted are non-GAAP ratios. These measures seize the vital elements of the Firm’s manufacturing and associated prices. Administration and buyers make the most of these metrics as an vital instrument to observe value efficiency on the Firm’s operations. As well as, the Human Capital and Compensation Committee of the Board of Administrators makes use of sure of those measures, along with different measures, to set incentive compensation targets and assess efficiency.

The next tables present a reconciliation of the Firm’s money value per tonne of ore processed and money value per tonne of advanced focus smelted to its value of gross sales:

^{1) Included in different (earnings) expense within the condensed interim consolidated statements of earnings (loss).
2) Represents a by-product credit score for Tsumeb.
three) Money prices are reported in U.S. , though the vast majority of prices incurred are denominated in non-U.S. , and include all manufacturing associated bills together with mining, processing, companies, royalties and normal and administrative.
four) Represents value of gross sales and mine money value, respectively, divided by tonnes of ore processed.
5) Represents value of gross sales and smelter money value, respectively, divided by tonnes of advanced focus smelted.}

^{1) Pertains to sluggish shifting stock provision included in value of gross sales within the condensed interim consolidated statements of earnings (loss).
2) Included in different (earnings) expense within the condensed interim consolidated statements of earnings (loss).
three) Represents a by-product credit score for Tsumeb.
four) Money prices are reported in U.S. , though the vast majority of prices incurred are denominated in non-U.S. , and include all manufacturing associated bills together with mining, processing, companies, royalties and normal and administrative.
5) Represents value of gross sales and mine money value, respectively, divided by tonnes of ore processed.
6) Represents value of gross sales and smelter money value, respectively, divided by tonnes of advanced focus smelted.}

The next desk offers, for the durations indicated, a reconciliation of the Firm’s money value per ounce of gold offered and all-in sustaining value per ounce of gold offered to its value of gross sales:

^{1) Represents income deductions for therapy fees, refining fees, penalties, freight and remaining settlements to regulate for any variations relative to the provisional bill.
2) Included in different (earnings) expense within the condensed interim consolidated statements of earnings (loss).
three) Represents copper and silver income.
four) Included in finance value within the condensed interim consolidated statements of earnings (loss).
5) Represents an allotted portion of DPM’s normal and administrative bills, together with share-based compensation, primarily based on Chelopech’s and Ada Tepe’s proportion of whole income.
6) Included in money stream utilized in investing actions and financing actions, respectively, within the condensed interim consolidated statements of money flows.
7) Consists of payable gold in pyrite focus offered within the second quarter of 2022 of 12,zero88 ounces (2021 – 7,239 ounces).
eight)Represents value of gross sales and mine money value of gross sales, respectively, divided by payable gold in focus offered.}

^{1) Represents income deductions for therapy fees, refining fees, penalties, freight and remaining settlements to regulate for any variations relative to the provisional bill.
2) Represents sluggish shifting stock provision included in value of gross sales within the condensed interim consolidated statements of earnings (loss).
three) Included in different (earnings) expense within the condensed interim consolidated statements of earnings (loss).
four) Represents copper and silver income.
5) Included in finance value within the condensed interim consolidated statements of earnings (loss).
6) Represents an allotted portion of DPM’s normal and administrative bills, together with share-based compensation, primarily based on Chelopech’s and Ada Tepe’s proportion of whole income.
7) Included in money stream utilized in investing actions and financing actions, respectively, within the condensed interim consolidated statements of money flows.
eight) Consists of payable gold in pyrite focus offered within the first six months of 2022 of 19,879 ounces (2021 – 16,623 ounces).
9) Represents value of gross sales and mine money value of gross sales, respectively, divided by payable gold in focus offered.}

Adjusted web earnings and adjusted primary earnings per share

Adjusted web earnings is a non-GAAP monetary measure and adjusted primary earnings per share is a non-GAAP ratio utilized by administration and buyers to measure the underlying working efficiency of the Firm. Presenting these measures from interval to interval helps administration and buyers consider earnings developments extra readily as compared with outcomes from prior durations.

Adjusted web earnings are outlined as web earnings attributable to widespread shareholders, adjusted to exclude particular objects which can be important, however not reflective of the underlying operations of the Firm, together with:

• impairment fees or reversals thereof;
• unrealized and realized features or losses associated to investments carried at truthful worth;
• important tax changes not associated to present interval earnings; and
• non-recurring or uncommon earnings or bills which can be both not associated to the Firm’s working segments or unlikely to happen frequently.

The next desk offers a reconciliation of adjusted web earnings to web earnings attributable to widespread shareholders from persevering with operations:

^{1) Represents modifications in unrecognized tax advantages included in web earnings associated to unrealized features (losses) on publicly traded securities, which, along with the associated deferred earnings tax expense (restoration), have been acknowledged in different complete earnings (loss).}

Adjusted EBITDA

Adjusted EBITDA is a non-GAAP monetary measure utilized by administration and buyers to measure the underlying working efficiency of the Firm’s working segments. Presenting these measures from interval to interval helps administration and buyers consider earnings developments extra readily as compared with outcomes from prior durations. As well as, the Human Capital and Compensation Committee of the Board of Administrators makes use of adjusted EBITDA, along with different measures, to set incentive compensation targets and assess efficiency.

Adjusted EBITDA excludes the next from earnings earlier than earnings taxes:

• depreciation and amortization;
• curiosity earnings;
• finance value;
• impairment fees or reversals thereof;
• unrealized and realized features or losses associated to investments carried at truthful worth; and
• non-recurring or uncommon earnings or bills which can be both not associated to the Firm’s working segments or unlikely to happen frequently.

The next desk offers a reconciliation of adjusted EBITDA to earnings earlier than earnings taxes:

Money supplied from working actions, earlier than modifications in working capital

Money supplied from working actions, earlier than modifications in working capital, is a non-GAAP monetary measure outlined as money supplied from working actions excluding modifications in working capital as set out within the Firm’s consolidated statements of money flows. This measure is utilized by the Firm and buyers to measure the money stream generated by the Firm’s working segments previous to any modifications in working capital, which at occasions can distort efficiency.

Free money stream

Free money stream is a non-GAAP monetary measure outlined as money supplied from working actions, earlier than modifications in working capital, much less money outlays for sustaining capital, necessary principal repayments and curiosity funds associated to debt and leases. This measure is utilized by the Firm and buyers to measure the money stream out there to fund development capital expenditures, dividends and share repurchases.

The next desk offers a reconciliation of money supplied from working actions, earlier than modifications in working capital and free money stream to money supplied from working actions:

^{1) Included in money stream utilized in investing actions within the condensed interim consolidated statements of money flows.}

Common realized metallic costs

Common realized gold and copper costs are non-GAAP ratios utilized by administration and buyers to spotlight the value really realized by the Firm relative to the common market value, which might differ as a result of timing of gross sales, hedging and different elements.

Common realized gold and copper costs symbolize the common per unit value acknowledged within the Firm’s consolidated statements of earnings (loss) previous to any deductions for therapy fees, refining fees, penalties, freight fees and remaining settlements to regulate for any variations relative to the provisional bill.

The next desk offers a reconciliation of the Firm’s common realized gold and copper costs to its income:

^{1) Represents income deductions for therapy fees, refining fees, penalties, freight and remaining settlements to regulate for any variations relative to the provisional bill.}