Annual Information Form (“AIF”) Means Dundee Precious Metals Inc
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Annual Date: March 22, 2013 Information Form 1 Adelaide Street East, Suite 500 Toronto, Ontario For the Financial Year M5C 2V9 Ended December 31, Tel: 416‐365‐5191 2012 Fax: 416‐365‐9080 TABLE OF CONTENTS PRELIMINARY NOTES ................................................................................................................................... 5 GLOSSARY OF TERMS ...................................................................................................................................................... 6 DEFINED TERMS AND ABBREVIATIONS ............................................................................................................................... 8 UNITS FOR MEASUREMENT CONVERSION ................................................................................................ 11 CURRENCY ............................................................................................................................................................... 11 CORPORATE STRUCTURE............................................................................................................................ 11 GENERAL DEVELOPMENT OF THE BUSINESS ............................................................................................. 12 THREE YEAR HISTORY ................................................................................................................................................... 12 RECENT DEVELOPMENTS ............................................................................................................................................... 12 DESCRIPTION OF THE BUSINESS ................................................................................................................ 14 GENERAL .................................................................................................................................................................... 14 CORPORATE GOVERNANCE ............................................................................................................................................ 15 SUSTAINABILITY AND SOCIAL RESPONSIBILITY ................................................................................................................... 15 OPERATIONS OF THE COMPANY ...................................................................................................................................... 17 Three Year Production History ........................................................................................................................... 17 Specialized Skills and Knowledge ...................................................................................................................... 17 Competitive Conditions ...................................................................................................................................... 17 Employees ........................................................................................................................................................... 18 Summary of Mineral Reserve and Mineral Resource Estimates ....................................................................... 18 OPERATING MINES ..................................................................................................................................... 19 CHELOPECH MINE, CHELOPECH, BULGARIA ...................................................................................................................... 19 Project Description and Location ....................................................................................................................... 19 Royalties ............................................................................................................................................................. 20 Health and Safety ............................................................................................................................................... 20 Environmental Liabilities .................................................................................................................................... 20 Permitting ........................................................................................................................................................... 20 Accessibility, Climate, Local Resources, Infrastructure and Physiography ....................................................... 21 History ................................................................................................................................................................ 21 Geological Setting and Mineralization .............................................................................................................. 22 Regional Geology ................................................................................................................................................... 22 Mine Geology ......................................................................................................................................................... 22 Mineral Reserve and Mineral Resource Estimates ............................................................................................ 23 Mining Operations ............................................................................................................................................. 24 Mine/Mill Expansion .............................................................................................................................................. 25 Continuous Mine/Mill Improvements ................................................................................................................... 25 Pyrite Recovery Project .......................................................................................................................................... 25 Tailings Management ........................................................................................................................................ 26 Environmental Management ............................................................................................................................. 26 Closure and Rehabilitation ................................................................................................................................. 26 Exploration ......................................................................................................................................................... 27 Drilling ................................................................................................................................................................ 28 Surface Diamond Core Drilling ............................................................................................................................... 28 Underground Diamond Drilling ............................................................................................................................. 29 Drilling Quality ....................................................................................................................................................... 29 Sampling and Analysis ........................................................................................................................................... 29 Underground Face Sampling .................................................................................................................................. 29 Diamond Core Sampling ........................................................................................................................................ 29 Sample Recovery .................................................................................................................................................... 30 Sample Preparation and Analytical ....................................................................................................................... 30 Quality Control Procedures ................................................................................................................................... 31 DENO GOLD MINE, KAPAN, ARMENIA ............................................................................................................................ 31 Project Description and Location ....................................................................................................................... 31 Royalties ............................................................................................................................................................. 32 Health and Safety ............................................................................................................................................... 32 Environmental Liabilities .................................................................................................................................... 32 Accessibility, Climate, Local Resources, Infrastructure and Physiography ....................................................... 32 History ................................................................................................................................................................ 32 Geological Setting and Mineralization .............................................................................................................. 33 Mineral Resource Estimate Methodology ........................................................................................................