DENISON COMPLETES EVALUATION OF J ZONE URANIUM DEPOSIT AT WATERBURY LAKE
Denison Mines announced the successful completion of an internal conceptual mining study examining the potential future development of the J Zone uranium deposit using the In-Situ Recovery (ISR) mining method. Based on the results from the Concept Study, the Company has decided to initiate the preparation of a Preliminary Economic Assessment, which is expected to be completed during the second half of 2020.
The Concept Study was prepared by Denison’s in-house project development team under the oversight of David Bronkhorst, P.Eng., the Company’s Vice President, Operations, and was reviewed and approved by the Technical Committee of the Company’s Board of Directors.
The J Zone deposit is located on the Company’s Waterbury Lake property , which is owned by Denison (66.71%) and Korea Waterbury Lake Uranium Limited Partnership (33.29%), which is comprised of a consortium of investors, in which Korea Hydro & Nuclear Power (KHNP) holds a majority position. KHNP is also a significant shareholder in Denison.
David Cates, Denison’s President & CEO, commented, “We are encouraged by the results of the J Zone Concept Study, and we are pleased to advance to a PEA. The ability to complete the J Zone Concept Study with our internal project development team showcases the depth of talent that Denison has recruited since the completion of the Wheeler River Pre-Feasibility Study in 2018 – which study was highlighted by the selection of the ISR mining method for the Phoenix deposit.”
Waterbury Lake is located within the eastern portion of the Athabasca Basin in northern Saskatchewan. The property can be accessed year-round by provincial highway or by air to Points North Landing, a privately owned service centre with accommodations and airfield, which is located near the eastern edge of the property. The J Zone deposit is located on the eastern portion of the property approximately 15 km from Denison’s 22.5% owned McClean Lake uranium mill (See Figure 1).
J Zone is estimated to contain Indicated mineral resources totaling 12,810,000 lbs U3O8, based on 291,000 tonnes at an average grade of 2.00% U3O8. The deposit is defined by 268 drill holes intersecting uranium mineralization over a combined east-west strike length of up to 700 metres and a maximum north-south lateral width of 70 metres. Uranium mineralization is generally found within several metres of the unconformity at depth ranges of 195 to 230 metres below surface, with vertical thicknesses ranging from tens of centimeters to over 19.5 metres.
Denison Mines based in Toronto, Canada, is a uranium exploration and development company with interests focused in the Athabasca Basin region of northern Saskatchewan, Canada. The Company’s flagship project is the 90% owned Wheeler River Uranium Project, which is the largest undeveloped uranium project in the infrastructure rich eastern portion of the Athabasca Basin region of northern Saskatchewan.
(Source and image: Denison Mines – Waterbury lake mining site)