Dundee Precious Metals Inc reported that following the announcement of a 15% increase to the Measured and Indicated Mineral Resource categories for its Chelopech mine on December 21, 2015, it has filed a technical report entitled “NI 43-101 Technical Report – Mineral Resource Update, Chelopech Project, Chelopech, Bulgaria” dated February 4, 2016, prepared by CSA Global (UK) in support thereof.
Chelopech mine site is located approximately three kilometres south of the town of Krumovgrad in southeastern Bulgaria. The project plan contemplates the construction of an open pit mining operation comprised of a process plant which will employ conventional crushing, grinding and flotation processing for gold extraction and the disposal of thickened tailings together the mine rock waste in an integrated mine waste facility. The plant is designed to treat up to 840,000 tonnes of ore containing 85,700 ounces of gold per annum over an eight year mine life. The capital cost to complete the construction of the mine and associated facilities, excluding sunk costs, is currently estimated at $164.1 million (stated in 2013 U.S. dollars). An update to the capital cost estimate was initiated in early 2015, and is planned to be completed by the end of the first quarter of 2016.