Denison CEO Highlights Phoenix Post-Feasibility Study Progress and Company Reports Financial and Operational Results for Q2'2024
In parallel, we have obtained support for the project from Indigenous and non-Indigenous interested parties – reaching impact-benefit type agreements, supporting the advancement and operation of the
Ending Q2 with no debt on the balance sheet and a combination of working capital and investments valued at nearly 95% of Denison's share of the Phoenix FS initial capex means that our Company is very well funded to continue to execute on our project development plans and to deliver a new source of Canadian uranium supply to the market at a time when demand is increasing and securing sustainable and geopolitically stable supply is expected to be a priority for future utility customers.
Beyond
Q2 2024 MD&A Highlights
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Completion of Inaugural ISR Field Test Program at Midwest
InJune 2024 , Denison and OranoCanada Inc. ('OranoCanada ') announced the completion of an In-Situ Recovery ('ISR') field test program at the Company's 25.17% ownedMidwest Uranium Project ('Midwest'). The program involved drilling ten small diameter boreholes within the Midwest Main deposit primarily undertaken to evaluate site-specific conditions for ISR mining. A series of tests were successfully performed on each borehole, creating an extensive database of geological, hydrogeological, geotechnical, and metallurgical data and validating certain key assumptions in the previously completed internal conceptual mining study (the 'Concept Study') evaluating the potential use of ISR mining at Midwest (see Press Release datedApril 12 , 2023).
Denison carried out the program in collaboration with OranoCanada , as operator and owner of 74.83% of the Midwest Joint Venture ('MWJV'). Highlights from the program include:- Confirmation of Hydraulic Conductivity: Pump and injection tests validated hydraulic connectivity in the test wells within the mineralized zone and achieved hydraulic conductivity values (a measure of permeability) consistent with the Concept Study. Sufficient permeability within the mineralized zone is a key criterion for the successful deployment of the ISR mining method.
- Demonstrated the Effectiveness of Permeability Enhancement: One method of permeability enhancement was successfully deployed within two wells, demonstrating the suitability of the method to the Midwest Main deposit. Efficiency of permeability enhancement was verified by comparison of pre- and post-permeability enhancement hydraulic testing.
- Metallurgical Samples Defined and Collected for Leaching Characteristics: Core samples representative of the Midwest Main deposit were collected during the program for use in future metallurgical tests to assess leaching characteristics.
- Confirmation of Hydraulic Conductivity: Pump and injection tests validated hydraulic connectivity in the test wells within the mineralized zone and achieved hydraulic conductivity values (a measure of permeability) consistent with the Concept Study. Sufficient permeability within the mineralized zone is a key criterion for the successful deployment of the ISR mining method.
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Signing of Wheeler River Benefit Agreements with Kineepik Métis Local #9 and the
Village of Pinehouse Lake
In earlyJuly 2024 , Denison announced the signing of a Mutual Benefits Agreement ('MBA') with Kineepik Métis Local #9 ('KML'), and a Community Benefit Agreement ('CBA') with the northern Village ofPinehouse Lake (the 'Village'), in support of the development and operation of Denison's 95% ownedWheeler River Project .
The MBA acknowledges that the project is located within KML's Land and Occupancy Area in northernSaskatchewan and provides KML's consent and support to advance the project. Additionally, the MBA recognizes that the development and operation of the project can support KML in advancing its social and economic development aspirations, while mitigating the impacts on the local environment and KML members. Key commitments of the MBA include providing KML and its Métis members an important role in environmental monitoring and commits to the sharing of benefits from the successful operation of the project – including benefits from community investment, business opportunities, employment and training opportunities, and financial compensation.
The CBA acknowledges that the Village is the closest residential community to the project by road, which relies on much of the same regional infrastructure that Denison will rely on as it advances the project. The Village has provided its consent and support for the project, while Denison, on behalf of the Wheeler River Joint Venture, is committed to help the Village develop its own capacity to take advantage of economic and other development opportunities in connection with the advancement and operation of the project. -
Appointment of New Board Chair
InMay 2024 , following the results of the Annual General Meeting of Shareholders ('AGM') held inToronto , Denison announced the appointment of Ms.Jennifer Traub as the Company's new Board Chair. The former Board Chair, Mr.Ron Hochstein , did not stand for re-election at the AGM.Ms. Traub , who joined the Denison Board in 2021, is a partner in theSecurities Group , and Co-Chair of theMining Group , atCassels Brock & Blackwell LLP , and has been recognized as a legal leader in the Canadian resource sector.
About Denison
Denison is a uranium mining, exploration and development company with interests focused in the
Denison's interests in
Additionally, through its 50% ownership of
Technical Disclosure and Qualified Person
The technical information contained in this press release has been reviewed and approved by
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
Certain information contained in this press release constitutes 'forward-looking information', within the meaning of the applicable
In particular, this press release contains forward-looking information pertaining to the following: projections with respect to exploration, development and expansion plans and objectives, including the scope, objectives and interpretations of FS, PFS and the Wheeler River technical de-risking process for the proposed ISR operation for the
Forward looking statements are based on the opinions and estimates of management as of the date such statements are made, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Denison to be materially different from those expressed or implied by such forward-looking statements. For example, the results and underlying assumptions and interpretations of the FS and PFS may not be maintained after further testing or be representative of actual conditions within the applicable deposits. In addition, Denison may decide or otherwise be required to discontinue testing, evaluation, engineering, and development work if it is unable to maintain or otherwise secure the necessary approvals or resources (such as testing facilities, capital funding, etc.). Denison believes that the expectations reflected in this forward-looking information are reasonable, but no assurance can be given that these expectations will prove to be accurate and results may differ materially from those anticipated in this forward-looking information. For a discussion in respect of risks and other factors that could influence forward-looking events, please refer to the factors discussed in the Company's Annual Information Form dated
Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking information contained in this press release is expressly qualified by this cautionary statement. Any forward-looking information and the assumptions made with respect thereto speaks only as of the date of this press release. Denison does not undertake any obligation to publicly update or revise any forward-looking information after the date of this press release to conform such information to actual results or to changes in Denison's expectations except as otherwise required by applicable legislation.
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