DPM SIGNS KEY CONTRACTS FOR CHELOPECH CONCENTRATE
Market Wire Incorporated
Published: Jun 06, 2007
Dundee Precious Metals Inc. (TSX: DPM) ("DPM" or "the Company")
announced today that its wholly owned subsidiary Chelopech Mining EAD
("Chelopech") has recently entered into concentrate sales contracts of
between 40,000 tonnes to 75,000 tonnes for 2008, and between 30,000
tonnes to 80,000 tonnes for 2009. At full production, Chelopech
currently produces between 70,000 and 80,000 tonnes of concentrate
per year. Chelopech is continuing to consider additional contracts to
match its full production for 2008. These concentrate sales contracts
address the short-term commercial and economic issues confronting
Chelopech, and ensure continuity of mine operations through 2009,
and possibly longer.
DPM continues to experience unnecessary political delays by the
Bulgarian Minister of Environment and Waters. These delays prevent
DPM from securing the permits required to expand the Chelopech mine
and put in place an autoclave and metals production facility. The
Company remains committed to securing the permits as soon as
possible and proceed with the development in Bulgaria as originally
planned. However, with these new concentrate sales contracts, DPM is
now in a position to consider alternative locations for the planned
investment. DPM will immediately commence a new study that will look
at other jurisdictions in which to build the autoclave and metals
production facility. Since the plant design is complete, the study
will likely be finished by November of this year. DPM will then be
able to confirm the preferred location for the production facility,
and begin securing the necessary permitting and related approvals to
start construction, if required.
Dundee Precious Metals Inc. is a Canadian based, international mining
company engaged in the acquisition, exploration, development and
mining of precious metals. It currently owns the Chelopech Mine,
a producing gold/copper mine, and the Krumovgrad Gold Project,
a mining development project, both located in Bulgaria, and is
engaged in mineral exploration activities in Serbia. In addition,
the Company owns the Back River gold exploration project in Nunavut,
Canada and an 80% interest in the Kapan Mine in Armenia. DPM also
holds a significant and strategic portfolio of investments in the
precious metals and mineral related sector.
FORWARD LOOKING STATEMENTS
This news release may contain certain information that constitutes
forward-looking statements. Forward-looking statements are frequently
characterized by words such as "plan," "expect," "project," "intend,"
"believe," "anticipate" and other similar words, or statements that
certain events or conditions "may" or "will" occur. Forward-looking
statements are based on the opinions and estimates of management at
the date the statements are made, and are subject to a variety of
risks and uncertainties and other factors that could cause actual
events or results to differ materially from those projected in the
forward-looking statements. These factors include the inherent risks
involved in the exploration and development of mineral properties,
the uncertainties involved in interpreting drilling results and other
geological data, fluctuating metal prices and other factors described
above and in the Company’s most recent annual information form under
the heading "Risk Factors" which has been filed electronically by
means of the Canadian Securities Administrators’ website located at
. The Company disclaims any obligation to update or
revise any forward-looking statements if circumstances or management’s
estimates or opinions should change. The reader is cautioned not to
place undue reliance on forward-looking statements.
Contacts: Dundee Precious Metals Inc. Jonathan Goodman
President & Chief Executive Officer (416) 365-2408 Email:
[email protected] Dundee Precious Metals Inc. Gabriela
M. Sanchez Vice President Investor Relations (416) 365-2549 Email:
[email protected]