DPM COR DPM CORPORA PORATE TE P PRESE RESENT NTATION TION Chelopech Mine, Bulgaria Aug ugust ust 20 2016 16
FORWARD LOOKING STATEMENTS This presentation contains “ forward looking information ” or "forward looking statements" that involve a number of risks and uncertainties. Forward looking information and forward looking statements include, but are not limited to, statements with respect to the future prices of gold and other metals, the estimation of mineral reserves and resources, the realization of mineral estimates, the timing and amount of estimated future production and output, costs of production, capital expenditures (including sustaining capex, non-discretionary capex and discretionary capex), costs and timing of the development of new deposits, success of exploration activities, permitting time lines, currency fluctuations, requirements for additional capital, government regulation of mining operations, environmental risks, unanticipated reclamation expenses, title disputes or claims, limitations on insurance coverage and timing and possible outcome of pending litigation. Often, but not always, forward looking statements can be identified by the use of words such as “ plans ” , “ expects ” , or “ does not expect ” , “ is expected ” , “ budget ” , “ scheduled ” , “ estimates ” , “ forecasts ” , “ intends ” , “ anticipates ” , or “ does not anticipate ” , or “ believes ” , or variations of such words and phrases or state that certain actions, events or results “ may ” , “ could ” , “ would ” , “ might ” or “ will ” be taken, occur or be achieved. Forward looking statements are based on the opinions and estimates of management as of the date such statements are made, and they involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any other future results, performance or achievements expressed or implied by the forward looking statements. Such factors include, among others: the actual results of current exploration activities; actual results of current reclamation activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; future prices of gold; possible variations in ore grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of development or construction activities, fluctuations in metal prices, as well as those risk factors discussed or referred to in this presentation under and in the Company ’ s annual information form under the heading "Risk Factors" and other documents filed from time to time with the securities regulatory authorities in all provinces and territories of Canada and available at www.sedar.com. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be anticipated, estimated or intended. There can be no assurance that forward looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers are cautioned not to place undue reliance on forward looking statements. TSX:DPM 2
DPM’S GLOBAL PORTFOLIO OF ASSETS Unique Assets With Commodity & Geographic Diversity Sabina Canada 11% Chelopech Mine Bulgaria 100% Avala Serbia 100% Krumovgrad Gold Project Operating assets Bulgaria 100% Development asset Exploration assets Tsumeb Smelter Namibia 100% 2016 Adjusted EBITDA 2016 Asset Diversification (2) 2016 Revenue Diversification (1) Generation (3)(5) Smelter Tsumeb Gold 35% 25% 45% Bulgaria Namibia 50% 45% Chelopech 75% Ag 1% Copper 19% Canada 5% 1,2,3,5 See footnotes contained in Appendix on slide 32 TSX:DPM 3
DPM’S VISION AND STRATEGY A progressive gold mining company that unlocks and delivers superior value through innovation and strong partnerships with stakeholders Optimize Portfolio Growth Innovation Grow production and Build a pipeline of future Wi-Fi enabled UG mine margins through operational Real-time operational growth opportunities excellence and high return, Acquire undervalued management modest capital investments Big data analytics to assets and leverage Maintain / extend life of expertise to unlock value optimize performance and mines through near mine allow for faster better exploration programs decision making Maintain Financial Strength and Flexibility TSX:DPM 4
Chelopech Mine, Bulgaria
CHELOPECH – A WORLD CLASS, LOW COST MINE Ore Mined (mt) 2.0-2.25 Recent Achievements 2.05 2.04 2.03 1.81 • Achieved capacity increase to 2M tpy in 2012 1.31 • Underpinned by underground wireless 1.09 technology & partnerships with key vendors • DPM operating practices to take advantage of near real-time information (4) 2010 2011 2012 2013 2014 2015 2016F • Consistent and reliable performer Ore Mined / Reserves (mt) Building on that Success 21.5 21.5 • Increasing Mineral Reserves and Resources, 14.1 including recently announced increase in Resources (15% including Reserves and 25% excluding Total ore mined to date Reserves) Ore Reserve • Moving to 2.2M tpy for 2016 after debottlenecking of 2006 2015 mining and milling activities • Working on Step-Change projects to evaluate mining Cash Cost / tonne of ore processed (US$/t) (3) at 2.5M tpy 56 55 • Assessing the options to release mill bottlenecks to 46 40 40 achieve 2.5M tpy 36 32-36 • Aggressively exploring mine upper levels to bring resource increases into mine plans and allow an increase in mined tonnage while maintaining mine life 2016F (4) 2010 2011 2012 2014 2015 3,4 See footnotes contained in Appendix on slide 32 2010 2011 2012 2013 2013 2014 2015 2016F TSX:DPM 6
MINERAL RESOURCES AND RESERVES UPDATE Comparison of MRE as at December 31, 2015 with MRE as at December 31, 2014 Mineral Resources exclude all blocks already classified as Mineral Reserves Grades % Difference Resource 2015 2014 2014 2015 Tonnes % Cu Au 2015 Cu 2014 Au MTonnes MTonnes Cu Au diff % diff % diff Category (%) (%) (g/t) (g/t) Total M+I 14.2 11.3 1.06 1.13 3.37 3.58 25.34% -6.44% -5.90% Inferred 2.8 8.3 0.82 0.91 2.44 2.66 -66.41% -10.07% -8.10% The Mineral Resource update was dominated by the reclassification of 4.2 Mt of resources above 410 level from inferred to indicated. This increase was 15% of resources inclusive of reserves and 25% excluding reserves. Chelopech Ore Reserves as at December 31, 2015 Grades Gold Silver Copper Classification MTonnes (g/t) (g/t) (%) 11.88 3.06 7.89 1.02 Proven Probable 9.64 3.29 6.08 0.84 Total Proven and Probable 21.51 3.16 7.08 0.94 The Mineral Reserve update is largely in line with depletion, partially offset by increases in Mineral Reserves for blocks 19, 103, 151, 149 and 149 South as a result of infill drilling in 2015. TSX:DPM 7
CHELOPECH – HOW CROWN PILLAR MINING OPENED FORMERLY UNMINEABLE RESOURCES Ore t Cu, % Au, g/t Cu , t Au, Oz 531 671 2.36 4.44 12 526 75 897 Cave Cave rock Old Mining Method zone Transition Zone Crown Pillar (Crown Pillar) New Mining Method Backfilled Open Stopes • The 150 orebody crown pillar was successfully first mined in 2013 following extraction design with risk mitigation • To date 5 panels have been successfully removed with refinements based on experience • Mining is set to continue until 2020 on block 150 crown pillar • Additional opportunity exists at the 103 and 19 blocks and the methodology will be developed to stabilize old cave zones to extract associated satellite resources TSX:DPM 8
CHELOPECH – CROWN PILLAR EXTRACTION CAVE ROCK GROUTING AND REINFORCEMENT LONG HOLE DRILLING Typical Performance • Ore 27,810t • Cu 2.12 % • Au 3.41 g/t • Losses 6 % • Dilution 4.8 % BACK FILL OPEN STOPE TSX:DPM 9
CHELOPECH – MOVING CAVE ZONE RESOURCES INTO MINE PLANS 2015 Drilling • A total of 11,720m was drilled in 2015 in Blocks 19 and 103 2016 Plans • A total of 28,000m is planned to be drilled in 2016 Key targets: • 7,000m in Block 19 • 7,000m in Block 150 • 4,000m adjacent to Block 150 • 5,000m between Blocks 8 and 10 • Target: start to move these resources into mine plans in early 2017 • The total resource development drilling planned for 2016 is 44,000m TSX:DPM 10
CHELOPECH – MORE OPPORTUNITIES TO ADD VALUE Step-Change activity to evaluate increasing mine production to 2.5 mtpy utilizing debottlenecked existing infrastructure • Increase mining intensity from 1050t/d/stope, targeting 3,000t/d/stope with revised stope designs and primary mover tests in 2016 • Release SAG mill critical size to reduce power draw or increase capacity Häggloader 10 HR-B Further progress being made on cost savings and productivity improvements (1) TSX:DPM 11
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