DPM Dundee Precious Metals Inc

Dundee Precious Metals Inc. (TSX: DPM)(TSX: DPM.WT) (the "Company" or "DPM") announced that the results from a deep diamond drilling surface program have confirmed the presence of massive sulfide and stockwork high-sulfidation style Cu-Au-Ag mineralization beneath a sedimentary cover sequence within the immediate near mine environment at the Company's operating Chelopech Mine.

"The results from this program continue to confirm our belief that we are dealing with a very large mineralized system at Chelopech and that we have only just begun to define the extent of this world class asset," said Jonathan Goodman, President and CEO.

HIGHLIGHTS

- Multi-disciplinary exploration has identified multiple drill hole
  intersections of massive sulfide to stockwork style high-sulfidation
  Cu-Au-Ag mineralization located approximately 400 metres and up to 1,000
  metres from the currently defined Chelopech ore bodies.
- First pass drilling was carried out on a nominal 150 metre drill hole
  spacing within the Chelopech North area (21 DD completed for
  16,880.4 metres) and returned significant intersections over a 950 metre
  long corridor.
- The mineralized corridor or 'footprint' of the drill intersections is
  very similar in size to the 'footprint' that encloses the Chelopech
  orebodies confirming the potential of the Chelopech mine environment
  to host significant additional Cu and Au resources.
- Several strongly Au-rich intercepts were encountered, for example in
  holes PTDD015 and PTDD020, where the Au:Cu ratio is markedly higher
  than the typical Chelopech mineralization style.

MAIN INTERCEPTS

Table 1 highlights key intercepts.

In situ copper ("CuEq") and gold equivalent "(AuEq") grades are based on the following DPM long term metal price assumptions: Au: US$850/oz, Ag: US$16/oz, Cu: US$2.50/lb.

BACKGROUND

DPM's Bulgarian exploration team has carried out an aggressive, multi-disciplinary surface exploration programme over the Chelopech deposit since 2004. Figure 1 shows the location of the project area. Exploration targets have included both high-sulfidation Cu-Au-Ag and porphyry Cu-Au systems. The multi-disciplinary exploration has included ground geophysics (Titan-24 and magnetics), soil geochemistry, geological mapping, reinterpretation of historic geophysical datasets together with an intensive review of the historic exploration database, structural analysis and diamond drilling.

Review of the historic exploration approach revealed that using a systematic drill hole spacing increased the probability of intersecting Chelopech style ore grade mineralization. The use of appropriate geophysical techniques early in the exploration program is also a clearly favourable situation when targeting Chelopech style mineralization.

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                                    Table 1
                     Intersection Summary: September 2008
                         Cut off: $55 In Situ Value
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 HOLEID   FROM   TO  INTERVAL     AU     AG    CU   CUEQ   AUEQ  INTERVAL
            (m)  (m)       (m)  (g/t)  (ppm)   (%)    (%)  (ppm)      (RL)
--------------------------------------------------------------------------
 PTDD004   422  427         5   0.98  117.3  3.90   6.05  12.24       640
--------------------------------------------------------------------------
 PTDD007   353  360         7   0.44   23.3  0.27   0.71   1.43       635
 PTDD007   366  372         6   0.72   22.3  0.48   1.04   2.11       625
 PTDD007   383  405        22   4.86    8.1  0.56   3.05   6.17       600
--------------------------------------------------------------------------
 PTDD009   134  142         8   3.50   13.6     -   1.87   3.77       885
 PTDD009   211  223        12   1.64    2.5  0.04   0.88   1.78       810
--------------------------------------------------------------------------
 PTDD012   814  824        10   7.33    3.5     -   3.67   7.43       210
--------------------------------------------------------------------------
 PTDD013   770  775         5   1.54    2.8  0.01   0.88   1.61       300
--------------------------------------------------------------------------
 PTDD014   681  694        13   7.50   25.6  2.29   6.24  12.63       320
--------------------------------------------------------------------------
 PTDD015   582  589         7  41.46   13.3  1.91  22.59  45.72       420
--------------------------------------------------------------------------
 PTDD017   313  323        10   0.48   18.4  0.69   1.10   2.23       685
--------------------------------------------------------------------------
 PTDD020   621  629         8  11.17   15.3  0.51   6.19  12.52       370
--------------------------------------------------------------------------

Notes: 1) Drill hole intersections are downhole, not true width
       2) Drill hole intersections represent intercepts into a
          high-sulfidation epithermal style body
       3) Minimum intersection width: 5m
       4) Maximum consecutive waste: 5m
       5) Uncut assays
       6) Interval RL represents the RL at the midpoint of the intersection
       7) All samples assayed at SGS managed laboratory (Bulgaria)
       8) International standards and full QAQC samples inserted with all
          samples


Formula for AuEq:
 AuEq equals((Au_ppm x US$/g)+(Ag_ppm x US$/g)+(Cu_% x US$/%))/27.3281

Formula for CuEq:
 CuEq equals ((Au_ppm x USA$/g)+(Ag_ppm x US$/g)+(Cu_% x US$/%))/55.1155

Gold - US$/g - $27.3281  Silver - US$/g - $0.5144
Copper - US$/% - $55.1155

RESULTS FROM THE DPM DEEP DIAMOND DRILLING PROGRAM

During 2004 the Titan-24 Deep Earth Imaging multi-parameter (DCIP and MT) geophysical survey over the Chelopech deposit and near mine environs was completed. A significant amount of geophysical anomalies were generated from this survey and subsequently incorporated into a detailed target ranking model for the Chelopech near mine area. The target ranking process also included a thorough review of greater than 500,000 metres of historic drilling within the area of the Chelopech hydrothermal system.

The aim of the Chelopech North deep diamond drilling programme was to test the top two highest ranked areas within the Chelopech near mine environment - these were the Petrovden porphyry-style area of mineralization (PTDD001 & PTDD002) and the Chelopech North area.

The Chelopech North area is almost exclusively covered by a younger sedimentary ('flysch') sequence that ranges in thickness from 120 to 250 metres.

All samples have been sent for assay at the SGS managed laboratory at Chelopech in Bulgaria. A full sequence of duplicates, replicates and internationally accredited standards have been employed throughout the exploration program as part of DPM's rigorous exploration procedures.

The drilling has returned significant intersections using a $55 cut off for in situ value from nine of the sixteen pierce point locations, effectively realizing a 56% strike rate and defining ore grade high-sulfidation epithermal mineralization, similar to that currently being mined at Chelopech, within a corridor of approximately 950 metres x 400 metres located less than 400 metres from historic development. All significant intersections were located within the Chelopech Volcanic Formation which is the host lithology to the Chelopech Deposit. It is important to note that mineralization would appear to be open at depth and to the west and east - the Petrovden Fault, a steeply south dipping structure, closes mineralization to the immediate north of the project area.

The mineralized corridor or 'footprint' surrounding the new drill hole intercepts, and which is open in all directions except to the North, is of a similar size to the corridor that encloses Chelopech, as shown in Figure 1. The drill results are considered to be extremely encouraging as they clearly demonstrate the potential of the Chelopech Mine area to host significant additional Cu-Au-Ag resources. In addition, the mineralization is within easy access of the existing underground mine infrastructure. Further drilling of the volume defined by the surface drilling programme is best carried out from underground, and follow up drilling will be planned as part of the ongoing Chelopech resource development programme.

Dr. Julian F. H. Barnes, a qualified person under NI 43-101 and Executive Vice President of DPM, has supervised the preparation of the technical data included in this press release.

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, Dundee Precious owns the Back River gold exploration project in Nunavut, Canada and a 95% interest in the Kapan Mine in Armenia.

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 www.sedar.com. 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.

To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/CNPA.pdf

To view Appendix A - Chelopech North Drilling Collar Summary, please visit the following link: http://media3.marketwire.com/docs/CNDCS.pdf

Contacts: Dundee Precious Metals Inc. Jonathan Goodman President & Chief Executive Officer (416) 365-2408 Email: jgoodman@dundeeprecious.com Dundee Precious Metals Inc. Gabriela M. Sanchez Vice President Investor Relations (416) 365-2549 Email: gsanchez@dundeeprecious.com