Dundee ups target price to $5.10 (prev. $4.20)

New model greatly expands exploration potential

-additional drill results at RL East Zone included some of the highest assays ever recorded from the underground portion of the mine.

- Perhaps more importantly, company has indicated that the structures hosting the four near surface high grade zones (Hinge, Cohiba etc) identified to date may be related to the structures controlling the high grade underground zones (RL, RL East, etc)

- model suggests that each of the structures in the unexplored area between the near surface zones and the top of the underground zones (700m to 800m vertical) has the potential to host mineralization similiar to the Hinge zone (estimated to host close to 2,000 oz per vertical metre)

-- zone consists of multiple lenses of mineralization, a situation not dissimiliar to the near surface Hinge zone.

-RL East Zone - weighted average uncut grade of 59.8 g / t over 4.9m (drill results reported to date)

- expect company to move into the RL East area once development and/or mining is completed on the nearby 98 vein.

While the size of RL East is yet to be determined, the company notes it shares characteristics with the 98 vein that is currently estimated to have strike length of 150 m and a dip height of over 650m

Result in more reserve/resource ozs and a greater likelihood of a move by a larger producer to acquire the company.