DUNAV RESOURCES LTD

Avala Resources Ltd. (TSX VENTURE:AVZ) ("Avala") and Dunav Resources Ltd. (TSX VENTURE:DNV) ("Dunav") are pleased to announce that they have entered into an arrangement agreement on August 15, 2014 (the "Agreement") in respect of the previously announced business combination of the two companies (for background to the Agreement, see joint news release issued on July 28, 2014). Under the terms of the Agreement, Avala agreed to issue to Dunav shareholders 1.0457 common shares for every one (1) outstanding common share of Dunav (the "Exchange Ratio") held, pursuant to a plan of arrangement under the Business Corporations Act (British Columbia) (the "Arrangement"). All outstanding stock options and share purchase warrants of Dunav will be exchanged for options and warrants of Avala in an amount and at exercise prices adjusted in accordance with the Exchange Ratio. This will result in Avala issuing 183,331,540 new common shares, 63,768,411 warrants and 8,292,401 stock options, for a combined total of 437,823,763 Avala common shares outstanding and 129,165,812 shares reserved for issuance following completion of the Arrangement. Completion of the Arrangement is subject to certain conditions including (i) the approval of the Supreme Court of British Columbia, (ii) the approval of the Arrangement by not less than two-thirds (66 2/3%) of the votes cast by the shareholders of Dunav, as well as 'majority of the minority' approval by Dunav and Avala shareholders at their respective meetings in accordance with Multilateral Instrument 61-101 ("MI 61-101"), and (iii) approval by all applicable regulatory authorities, including the TSX Venture Exchange ("TSXV"). Avala and Dunav are non arm's length parties to one another by virtue of the fact that they have four common directors and overlapping management and the same controlling shareholder, Dundee Precious Metals Inc., which owns 53.1% of Avala's outstanding common shares and 45.5% of Dunav's outstanding common shares. As a result, the transaction is a business combination with a related party under MI 61-101 and Policy 5.9 of the TSXV Corporate Finance Manual. The special committees of Avala and Dunav, each composed of independent directors, have reviewed the proposed business combination with advice from independent financial advisors and legal counsel. After careful consideration, having received a fairness opinion from their respective financial advisors, legal advice and such other matters as it considered relevant, each special committee has unanimously approved the Arrangement and the Agreement. The boards of directors of Avala and Dunav, on recommendation of their respective special committees composed of independent directors, have each approved the Agreement and will recommend to their respective shareholders to vote in favour of the Arrangement. Avala and Dunav intend to hold their annual and special meetings on September 30, 2014 and, subject to shareholder approval and final order of the British Columbia Supreme Court, expect to complete the Arrangement on or about October 2, 2014. Avala and Dunav believe that the merger of the two companies will bring a number of benefits, including a reduction in management and administrative costs, and will bring together a robust portfolio of projects that includes Avala's Timok Gold Project and Dunav's Tulare Copper-Gold Porphyry Project along with several early stage prospects all located within Serbia, a mining friendly jurisdiction with excellent infrastructure and a skilled workforce. As previously announced, Avala intends to consolidate, by the end of October 2014, its common shares on the basis of one (1) post-consolidation common share for up to every ten (10) pre-consolidation common shares, to provide Avala with greater flexibility in pursuing its plans to advance its mineral exploration projects, including its ability to obtain additional financing and potentially acquire new mineral projects. A copy of the Arrangement Agreement will be filed on SEDAR and will be available for viewing under the Avala and Dunav websites. Full details regarding the Arrangement will be provided in a special management information circular of each company to be filed with applicable Canadian securities regulatory authorities and mailed to shareholders in accordance with applicable Canadian securities laws. About Avala Resources Ltd.: Avala is a mineral exploration company focused on the exploration and development of the Timok Gold Project in Eastern Serbia. The Timok Gold Project comprises several targets, including the Korkan, Bigar Hill, Kraku Pester, and Korkan East deposits. The common shares of Avala trade on the TSXV under the symbol AVZ. Additional information about the Avala is available on SEDAR at www.sedar.com and at www.avalaresources.com. About Dunav Resources Ltd.: Dunav is a mineral exploration company focused on the acquisition, exploration and development of mineral properties in Serbia. Dunav's main projects are the Tulare Copper-Gold Porphyry Project which includes the Kiseljak and Yellow Creek deposits, and the Dergmen Gold-Copper Porphyry Project. The common shares of Dunav trade on the TSXV under the symbol DNV. Additional information about the Dunav is available on SEDAR at www.sedar.com and at www.dunavresources.com. Cautionary Statement Regarding Forward-Looking Information This press release contains 'forward-looking information' within the meaning of Canadian securities legislation. Forward looking information in this press release includes information about the completion, timing and potential benefits of the proposed business combination between Avala and Dunav and the proposed share consolidation. These forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those anticipated, including, the contemplated business combination not being completed as a result of a number of factors including, without limitation, the shareholders of Avala or Dunav not approving the transaction, or required regulatory or court approvals not being obtained; the possible failure to realize anticipated synergies, expense reductions or other benefits of the transaction; the share consolidation not being completed or the benefits of the consolidation not being obtained; and other risks and uncertainties. Readers should not place undue reliance on the forward-looking information contained in this news release. Neither Avala nor Dunav undertakes to update any forward-looking information, except as required by applicable securities laws. Investors are cautioned that, except as disclosed in the management information circular to be prepared in connection with the business combination, any information released or received with respect to the business combination may not be accurate or complete and should not be relied upon. Trading in the securities of Avala and Dunav should be considered highly speculative. The TSXV has in no way passed upon the merits of the proposed transactions and has neither approved nor disapproved the contents of this press release. Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release. Avala Resources Ltd. David Fennell, Executive Chairman +1.450.640.0810 info@avalaresources.com www.avalaresources.com Dunav Resources Ltd. James Crombie, President and Chief Executive Officer +1.450.640.3868 info@dunavresources.com www.dunavresources.com

Avala Resources und Dunav Resources vereinbaren Zusammenschluss 29.07.2014 | 9:29 Uhr | ROHSTOFF-WELT.DE Die beiden in Serbien tätigen Explorer Avala Resources Limited und Dunav Resources Limited gaben gestern in einer gemeinsamen Unternehmensmeldung Pläne bezüglich eines Zusammenschlusses bekannt. Demnach haben die beiden Unternehmen bereits eine bindende Vereinbarung getroffen, die vorsieht, dass die Dunav-Aktionäre für jede ausstehende Stammaktie 1,0457 Stammaktien von Avala erhalten. Hieraus resultiert eine Prämie von 22% auf den volumengewichteten 20-Tage-Durchschnittskurs der Dunav-Aktien per 24. Juli. Sämtliche ausstehenden Aktienoptionen und Warrants von Dunav werden unter Berücksichtigung dieses Tauschverhältnisses in Optionen und Warrants von Avala getauscht. Die Aktionäre beider Unternehmen sollen in den für den 30. September angesetzten Versammlungen über die geplante Transaktion abstimmen, deren Abschluss für Anfang Oktober erwartet wird. Unabhängig davon, ob der Zusammenschluss stattfindet oder nicht, will Avala Resources bis Ende Oktober eine Konsolidierung seiner Stammaktien auf einer Basis von bis zu 10:1 durchführen. Durch den Zusammenschluss würde Avala zusätzlich zu seinem Goldprojekt Timok im Osten Serbiens auch über Dunavs Kupfer-Gold-Porphyrprojekte Tulare und Dergmen verfügen. Dundee Precious Metals hält derzeit 53,1% der ausstehenden Stammaktien Avalas sowie 45,5% der ausstehenden Stammaktien Dunavs. http://www.rohstoff-welt.de/news/artikel.php?sid=50391 http://www.ad-hoc-news.de/avala-resources-und-dunav-resources-vereinbaren--/de/News/38022090

..das TULARE COPPER-GOLD PROJEKT http://www.dunavresources.com/i/pdf/news/DNV_2014-06-23_Resource-Final.pdf Dunav Resources Ltd. meldet Ressourcenerhöhung bei Tulare 24.06.2014 | 11:10 Uhr | ROHSTOFF-WELT.DE Dunav Resources Limited veröffentlichte gestern ein Ressourcen-Update für seine Lagerstätte Kiseljak sowie eine neue Schätzung der Mineralressourcen bei der Lagerstätte Yellow Creek. Sowohl Kiseljak als auch Yellow Creek sind Teil des Kupfer-Gold-Porphyr-Projektes Tulare im Süden Serbiens. Nach jüngster Schätzung belaufen sich die abgeleiteten Ressourcen bei Kiseljak bei einem Grenzgehalt von 0,15% Kupferäquivalent demnach auf 459 Mio. Tonnen mit Gehalten von 0,22% Kupfer und 0,20 g/t Gold bzw. umgerechnet 0,35% Kupferäquivalent oder 0,55 g/t Goldäquivalent und somit auf 2,2 Mrd. Pfund Kupfer und 3,0 Mio. Unzen Gold. Yellow Creek verfügt, basierend auf einem Grenzgehalt von 0,30% Kupferäquivalent, über abgeleitete Ressourcen von 88 Mio. Tonnen mit 0,30% Kupfer und 0,30 g/t Gold bzw. 0,48% Kupferäquivalent oder 0,77 g/t Goldäquivalent. Insgesamt summieren sich die Ressourcen der Lagerstätte damit auf 0,6 Mrd. Pfund Kupfer und 0,8 Mio. Unzen Gold. http://www.ad-hoc-news.de/dunav-resources-ltd-meldet-ressourcenerhoehung-bei-tulare--/de/News/37562771 http://www.rohstoff-welt.de/news/artikel.php?sid=49739

Gold-Copper Porphyry Project, Serbia Dunav Resources Ltd. (TSX VENTURE:DNV) (the "Company" or "Dunav") is pleased to present an exploration update on its 100% held Degrmen Porphyry Project located 20 km northwest of its Kiseljak copper-gold porphyry deposit in Southern Serbia. 1. HIGHLIGHTS -- Based on the increase in the understanding of the geology and controls of mineralization gained during the initial wide-spaced diamond drilling program at Degrmen, a short, follow up diamond drilling program was completed during late 2013. -- Diamond drilling has returned the following, selected, moderate to strong intercepts, calculated using a 0.33g/t AuEq cut-off grade (refer to Table 1 for a full listing of significant intersections): ---------------------------------------------------------------------------- From To Interval Au Cu AuEq CuEq Hole ID (m) (m) (m) (g/t) (%) (g/t) (%) ---------------------------------------------------------------------------- ---------------------------------------------------------------------------- DGRDD012(i) 23.0 44.0 21.0 0.30 0.09 0.45 0.28 DGRDD012(i) 51.0 79.0 28.0 0.19 0.10 0.35 0.22 DGRDD012(i) 94.0 136.0 42.0 0.36 0.17 0.64 0.39 DGRDD012(i) 142.0 173.0 31.0 0.27 0.14 0.50 0.31 DGRDD012(i) 179.0 203.1 24.1 0.36 0.13 0.56 0.35 DGRDD013(i) 3.0 41.0 38.0 0.29 0.07 0.41 0.25 DGRDD013(i) 263.0 411.0 148.0 0.62 0.18 0.92 0.57 DGRDD015 35.0 179.0 144.0 0.37 0.13 0.58 0.36 DGRDD015 275.0 390.0 115.0 0.36 0.11 0.53 0.33 ---------------------------------------------------------------------------- - 0.33g/t AuEq cut-off ($1,400/oz. Au, $3.30/lb. Cu), 5m minimum composite length, 5m maximum internal dilution. - AuEq = ((Au g/t(i)45.01) + (Cu%(i)72.75))/45.01 - CuEq = ((Cu%(i)72.75) + (Au g/t (i)45.01))/72.75 - Metal prices used are based on the 2 year trailing average of the monthly gold (spot) and copper (grade A cathode) prices. - Diamond drill samples are PQ, HQ or NQ half core, using a nominal 1m sampling basis and weigh approx. 3-6kg. - Assay method: Fire assay Au (50g); Cu by aqua regia digestion with AAS finish. - Intercept widths do not necessarily represent true width. - No top cut applied. - ((i)) Drill hole terminates in mineralization i.e. mineralization remains open at depth. -- Eight diamond drill holes were completed for a total of 2,293.5m. -- The objective of the Phase 2 exploration program was to define more clearly the stronger gold-copper mineralization in the northern portion of the system, together with further defining the extents of the mineralized porphyry system. -- Dunav has selected two, large, representative, composite samples from its diamond core material from the Degrmen Porphyry Project for initial metallurgical characterization test work focusing on flotation. Final test work results are expected during Q2 2014. -- Please see the following link to view all Degrmen Porphyry Project drill holes located spatially in three dimensions: http://www.corebox.net/properties/degrmen-porphyry-project. 2. GEOLOGY AND MINERALIZATION STYLE -- The Degrmen Porphyry Project area lies within the Lece Volcanic Complex of southern Serbia; the second largest magmatic complex in Serbia after the Timok Magmatic Complex. -- The Degrmen porphyry represents a typical calc-alkaline gold-copper porphyry-style of deposit, with a subvertical pipe-like geometry, intruded into an andesitic volcanic and volcaniclastic sedimentary sequence. -- The mineralized porphyry system is associated with a series of hornblende-phyric diorite porphyry stocks and dykes. -- Gold and copper in outcrop and diamond core is associated with potassic alteration which is centered on the diorite porphyry stocks. Better grades are associated with a higher density of quartz-magnetite- chalcopyrite vein networks or with hydrothermal breccia together with the introduction of hydrothermal K-feldspar. -- A sequence of mineralized stocks has been identified. The earliest intrusives are higher grade. -- Intense phyllic alteration lies at higher elevation and surrounds the mineralized rocks. Local areas of enhanced gold but low copper are present within the phyllic halo close to the potassic zones. -- The Degrmen gold-copper porphyry is approximately 1,000 meters by 350 meters, where it is exposed at surface, and has been traced to a vertical depth of approximately 400 meters to date. The deposit remains open at depth. 3. DRILLING AT DEGRMEN -- Initial wide-spaced exploration drilling (nominal 320 meters by 160 meters) commenced on the Degrmen target area in April 2013 and was completed in July 2013 (see Dunav Press Release dated August 26 2013). -- During the Phase 2 drill program a total of 2,293.5 meters of exploration drilling was completed in eight drill holes; diamond core recovery was excellent throughout. -- Refer to Table 1 for a summary of all Degrmen Phase 2 significant intersections at a 0.33g/t gold equivalent (AuEq) cut-off. -- Refer to Figures 1 and 2 for the location of all diamond drilling to date together with a representative long-section through the Degrmen target area. -- Access to the area is excellent, via sealed roads, together with a well- developed secondary road network within the project area. The rail line is located approximately 3 km west (down gradient) from the project area; reticulated power and water, similarly, pass close to the project area. See Figure 3 for an overview of the well-established infrastructure setting at Degrmen. 4. SAMPLING AND ANALYSIS Diamond drill core has been prepared at the laboratory facility at Bor and assayed at the SGS managed laboratory at Bor. Diamond drill samples have been assayed for gold by 50 gram fire assay with an AAS finish whilst copper, silver and molybdenum have been analysed using an aqua regia digest with an AAS finish. A one metre sampling interval has been used where possible for the Degrmen Porphyry Project diamond drilling program; all drilled diamond core is routinely sampled and sent for assay. Half core is routinely submitted to the laboratory for analysis. Following Dunav standard quality assurance procedures, a full suite of field and laboratory duplicates and replicates along with internationally accredited standards and blanks, have been submitted with each batch of samples. The technical information contained in this press release was prepared and approved by Dr Julian F. H. Barnes, FAusIMM, MAIG, a special consultant to the Company. Dr. Barnes is a 'qualified person' within the meaning of that term under NI 43-101. About Dunav Resources Ltd.: Dunav Resources is a mineral exploration company focused on the acquisition, exploration and development of mineral properties in Serbia. Additional information about the Company is available on SEDAR at www.sedar.com and at www.dunavresources.com. Dunav is well-capitalized, with approximately $7.1 million in its treasury at March 31, 2014, which it plans to use for the exploration and development of its mineral projects in Serbia. Dunav's issued and outstanding share capital totals 175,319,442 common shares, of which approximately 45.5% is held by Dundee Precious Metals Inc. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release. Cautionary Statement This press release contains forward-looking information and readers are cautioned that actual results may vary. In particular, this press release contains statements concerning exploration results and geological interpretation, metallurgical testing, and the potential of the Degrmen Porphyry Project. These statements are subject to various risks and uncertainties, including financial and operational. A lot of work and expenditures will be required to determine the potential of the project. Although the Company believes in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct. Forward-looking information depends on assumptions and other factors, all of which may cause actual results or events to differ materially from those anticipated in such forward-looking information. The forward-looking statements contained in this press release are made as of the date hereof and the Company undertakes no obligations to update publicly or revise any forward-looking statements or information, unless so required by applicable securities laws. Figures and a table are available at the following link: http://media3.marketwire.com/docs/940389a_tables.pdf FOR FURTHER INFORMATION PLEASE CONTACT: Dunav Resources Ltd. James Crombie President and Chief Executive Officer +1.450.640.0810 info@dunavresources.com www.dunavresources.com