Canadian mining company Dundee Precious Metals (DPM) announced a significant discovery of high-quality gold and copper deposits near its Čoka Rakita project in Žagubica municipality. Recent drilling at the Dumitru Potoko and Fransen sites, located approximately one kilometer from Čoka Rakita, revealed 63 meters of mineralization with 1.74% copper, 2.18 grams of gold per ton, and 9.04 grams of silver per ton.
DPM President and CEO David Rae expressed enthusiasm about the findings, noting that the high-grade results confirm the substantial potential for further mineralization at both Čoka Rakita and nearby exploration sites. Rae highlighted the promising nature of the new discoveries, underscoring their impact on the project’s prospects.
In December, DPM reported an initial mineral resource estimate of 1.78 million ounces of gold (over 50 tons) at Čoka Rakita. A preliminary economic assessment published in May demonstrated the project’s profitability, with a proposed underground mine capable of processing 850,000 tons of ore annually, producing 129,000 ounces of gold per year.
The assessment projected a net present value (NPV) of $588 million after taxes, with an internal rate of return (IRR) of 33%. The mine’s initial construction cost is estimated at $381 million, with production anticipated to begin in early 2028.
