Denison Mines Making Strides Towards Wheeler River Production

• Denison Mines is a uranium development company in Athabasca Basin, northern Saskatchewan.
• The Company reports a 50% increase in ISR (In-Situ Recovery) head grade.
• Denison's offer for JCU ownership was quicker and more valuable than UEX's deal.
• CEO David Cates explains the JCU sale announcement, bid process, and collaboration with UEX.
• Denison's progress includes uranium purchasing leverage, technical tests, environmental assessments, and focus on Wheeler River project.

About Denison Mines

Denison Mines Corp. is a Canadian uranium development company focused on advancing its flagship Wheeler River uranium project in northern Saskatchewan. With a market capitalization around 1 billion Canadian dollars, Denison is dual-listed trading on the Toronto Stock Exchange (TSX) as DML and on the NYSE American as DNN.

Interview with President and CEO David Cates

UEX Deal Bolsters Denison's Position in Athabasca Basin

Earlier this year, Denison executed a complex deal with UEX Corporation to split the assets of JCU Exploration, which included a 10% stake in Denison's Wheeler River project. This transaction boosted Denison's ownership of Wheeler River to 90% while expanding its portfolio with new assets. According to President and CEO David Cates, "The value that was on the table there was certainly far in excess of that UEX deal price, and so we were confident that we could come in and offer more and still have a great deal for our shareholders." The deal cements Denison's dominant position controlling premium uranium deposits in the prolific Athabasca Basin region.

Advancing Wheeler River Towards Near-Term Production

Unlike many competing uranium projects targeting production in 5-10 years, Denison's phased Wheeler River project is positioned to be one of the next new uranium mines built globally. This year, the company is focused on completing important field work to support regulatory approvals for the project. Denison plans to carry out pump tests and tracer studies to demonstrate they can contain mining solutions and model hydrogeological flows. According to Cates, "We're doing all of this leading work to support an application for an in-situ recovery mine at Wheeler River next year." These critical steps will derisk the project and help Denison obtain necessary operating permits and licenses.

Exploration Upside Could Further Improve Wheeler Economics

Recent exploration drilling near the Phoenix uranium deposit at Wheeler has discovered new mineralization outside the existing resource, pointing to further upside. Denison has commenced metallurgical testing based on the updated resource model. Cates explained these tests could indicate a higher uranium concentration in the mining solution, stating “if we can increase the grade of uranium that we can dissolve and process through the plant, it could have a meaningful impact.” With improved uranium recovery and processing grades, Wheeler River could significantly exceed the annual production planned in the Pre-Feasibility Study for the project.

Conclusion

With advanced stage assets and exploration upside, Denison Mines represents a unique uranium investment opportunity. The company is methodically derisking its flagship Wheeler River project, while optimizing uranium recovery and processing parameters. With uranium demand forecasted to outstrip supply in the mid-2020s, Denison is positioning to be among the first new major uranium producers to capitalize on the coming market deficit. Investors looking for leverage to a rising uranium price should take a close look at Denison and the progress they are making towards production at Wheeler River.