Denison Mines Corp is to increase its share of the Wheeler River uranium project in Canada’s Athabasca Basin to 90% after agreeing an acquisition of Cameco Corp’s minority interest.
Wheeler River is host to the Phoenix and Gryphon uranium deposits, which are estimated to contain combined indicated mineral resources of 132.1 million pounds U3O8 (50,812 tU) at an average grade of 3.3% U3O8, as well as combined inferred resources of 3 million pounds U3O8 at an average grade of 1.7%. The project is situated along the road and power line that runs between Cameco’s McArthur River mine and Key Lake mill complex in northern Saskatchewan, and is a joint venture between Denison, whose 63.3% share is to increase to 66% by the end of 2018 under a previously announced earn-in agreement; Cameco, currently with 26.7% (24% by the end of 2018), and JCU Canada Exploration Company Ltd (10%).
Denison has agreed to acquire 100% of Cameco’s interest in the Wheeler River Joint Venture in exchange for the issuance of 24,615,000 common shares of Denison at a deemed price of CAD0.65 (USD0.49) per share, for total consideration valued at about CAD16 million.
World Nuclear News – September 5, 2018.
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