a2024-12dmcyepressrelease
Exhibit 99.1
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Denison Mines
Corp.
1100 – 40
University Ave
Toronto, ON M5J
1T1
www.denisonmines.com
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PRESS RELEASE
Denison Reports Financial and Operational Results for
2024
Highlighted by Significant Advancement of the Phoenix
Project
Toronto, ON – March 13,
2025. Denison Mines Corp. (‘Denison’ or the
‘Company’) (TSX: DML, NYSE American: DNN) today filed
its Audited Consolidated Financial Statements and
Management’s Discussion & Analysis
(‘MD&A’) for the year ended December 31, 2024. Both
documents will be available on the Company’s website
(at www.denisonmines.com),
SEDAR+ (at www.sedarplus.ca)
and EDGAR (at www.sec.gov/edgar.shtml).
The highlights provided below are derived from these documents and
should be read in conjunction with them. All amounts in this
release are in Canadian dollars unless otherwise
stated.
David Cates, President and CEO of Denison
commented, “The Denison team was
active across all aspects of our business in 2024, and owing to
several important achievements during the year, we are
well-positioned to execute on our objective to build and operate
the next new large-scale uranium mine in northern
Saskatchewan.
We significantly advanced the regulatory approvals process for our
Phoenix In-Situ Recovery (‘ISR’) project, culminating
in the Canadian Nuclear Safety Commission (‘CNSC’)
scheduling a two-part public hearing (‘Hearing’) for
the project to occur in late 2025, which could allow for project
approvals and start of construction in early 2026 and for first
production to be achieved, in line with our previous guidance, by
the first half of 2028.
In anticipation of this timeline, our operations team has
progressed our detailed design engineering efforts for Phoenix
– having achieved approximately 65% completion of total
engineering by the end of 2024. With clarity on the Hearing
schedule, our operations team can now finalize our construction
plans with greater precision and with an objective to be ready to
commence construction shortly after receiving the necessary
regulatory approvals.
We also announced the signing of a Mutual Benefits Agreement with
Kineepik Métis Local #9, a Community Benefit Agreement with
the northern Village of Pinehouse Lake, and a Sustainable
Communities Investment Agreement with multiple northern
municipalities. With each of these agreements, Denison has
obtained further consent and support for mine development and
operations on the Wheeler River property.
Beyond Wheeler River, there were notable developments from our
McClean Lake and Midwest joint ventures with Orano Canada Inc.
(‘Orano Canada’) and our exploration project
portfolio. At McClean Lake, development work progressed at
the McClean North deposit in preparation for the restart of mining
in 2025, which will use the joint venture’s patented
Surface Access Borehole Resource Extraction (‘SABRE’)
mining method. At Midwest, an inaugural ISR field test
program was completed, which validated key assumptions and advanced
our evaluation of the potential use of ISR mining at Midwest.
In an effort to amplify our exposure to exploration discovery, we
also entered into agreements with each of Foremost Clean Energy
(Nasdaq: FMST) and Cosa Resources (TSX-V: COSA) to collaborate on
the exploration of several of Denison’s non-core exploration
properties.
Our diverse portfolio of Athabasca
Basin uranium mining, development and exploration projects provides
Denison with several levers to enhance our exposure to the ongoing
positive evolution of the uranium market. Despite recent
volatility on the spot market, where transactions are often
discretionary and volumes can be sporadic, the market for long-term
supply contracts continues to demonstrate strength, as evidenced by
the 16% increase in UxC’s long-term price indicator from
US$68.00/lb U3O8
to US$79.00/lb U3O8
during
2024.
Looking ahead, we entered 2025 with a strong debt-free balance
sheet that can support Denison’s ambitious plans for this
year and beyond. While we continue to invest in exploration
and evaluation programs at our pipeline properties, we remain laser
focused on readying Phoenix for a Final Investment Decision
(‘FID’) and the commencement of construction in early
2026. Accordingly, our efforts will continue to
concentrate on the completion of (i) detailed engineering
design, (ii) provincial and federal licencing and permitting, (iii)
pre-FID construction planning and field work, and (iv) long-lead
procurement activities, including the expected purchase of over $60
million in additional equipment that is reflected in the initial
capital purchases estimated in our 2023 Phoenix Feasibility Study
(‘Phoenix FS’)”
Highlights
■
Significant
Progress Achieved in the Regulatory Approvals Process for the
Phoenix ISR Project
Multiple key
regulatory milestones were achieved in late 2024, including (i)
completion of the technical review phase of the federal EA approval
process in November, (ii) acceptance by the CNSC of the Company's
final Environmental Impact Statement (‘EIS’) for the
Project in December, and (iii) the CNSC's determination of the
sufficiency of Denison's Licence to Prepare and Construct a Uranium
Mine and Mill (‘Licence’) application, also in
November.
These
accomplishments indicate that the CSNC staff support the
advancement of the Project. Accordingly, the CNSC Registrar has set
the schedule for the Hearing for the Wheeler River Uranium Project
(‘Wheeler River’). The Hearing is scheduled to be held
in two parts (October 8, 2025, and December 8 to 12, 2025) and
represents the final step in the federal approval process for the
Project's Environmental Assessment (‘EA’) and
Licence.
Additionally, in
October 2024, Denison submitted a final EIS to the Saskatchewan
Ministry of Environment (‘MOE’), in substantially the
same form as the EIS that has been submitted to the CNSC. The
province completed a public and Indigenous review period on the EIS
in November and December 2024, of which the comments received will
be considered in the issuance of a Ministerial Decision for the
EA.
■
Achieved
Approximately 65% Completion of Total Engineering for
Phoenix
In January 2024,
Denison awarded a contract for approximately $16 million to Wood
Canada Limited (‘Wood’), for the completion of detailed
design engineering for the Phoenix ISR project. The contracted
scope of the facilities to be designed by Wood is extensive. The
work commenced in the first quarter of 2024 and is expected to be
substantially completed in the third quarter of 2025. Throughout
2024, the Company continued to focus its efforts on the advancement
of Phoenix towards a FID, in support of its objective to achieve
first production by the first half of 2028, including the
advancement of Phoenix detailed design engineering activities to
support an FID.
Total engineering
completion at end of 2024 was approximately 65%, supported by
finalization of process design, piping and instrumentation diagrams
(‘P&ID’s’), hazard and operability studies
(‘HAZOPs’), as well as the selection of major process
equipment and electrical distribution infrastructure.
■
Signing of
Wheeler River Benefit Agreements with Kineepik Métis Local #9
and the Village of Pinehouse Lake
In early July
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 of Pinehouse Lake
(‘Pinehouse’), in support of the development and
operation of Wheeler River.
The MBA
acknowledges that Wheeler River is located within KML’s Land
and Occupancy Area in northern Saskatchewan and provides
KML’s consent and support to advance the project.
Additionally, the MBA recognizes that the development and operation
of Wheeler River can support KML in advancing its social and
economic development aspirations, while mitigating the impacts on
the local environment and KML members. The MBA provides KML and its
Métis members an important role in environmental monitoring
and commits to the sharing of benefits from the successful
operation of Wheeler River – including benefits from
community investment, business opportunities, employment and
training opportunities, and financial compensation.
The CBA
acknowledges that Pinehouse is the closest residential community to
Wheeler River by road and relies on much of the same regional
infrastructure that Denison will rely on as it advances the
project. Pinehouse has provided its consent and support for Wheeler
River, while Denison, on behalf of the Wheeler River Joint Venture
(‘WRJV’), is committed to help Pinehouse develop its
own capacity to take advantage of economic and other development
opportunities in connection with the advancement and operation of
the project.
■
Signing of
Sustainable Communities Investment Agreement
In March 2024,
Denison signed a Sustainable Communities Investment Agreement with
the municipalities of the Northern Village of Beauval, the Northern
Village of Île-à-la Crosse, the Northern Hamlet of Jans
Bay, and the Northern Hamlet of Cole Bay (the
‘Communities’).
The agreement
with the Communities establishes commitments of Denison in support
of community development initiatives, with consideration towards
contributing to the current and future economic prosperity and
sustainability of the Communities by promoting economic development
and investments in capital projects, job creation and training,
housing, education, and other initiatives.
As part of the
agreement, the Communities have provided their consent and support
for Wheeler River and have committed, amongst other things, to
support all regulatory approvals issued for the project related to
exploration, evaluation, development, operation, reclamation, and
closure activities.
■
Announcement
of Planned Restart of McClean Lake Mining Operations
In January 2024,
Orano Canada and Denison announced the planned restart of uranium
mining operations on the McClean Lake property. Mining is expected
to be carried out using the McClean Lake Joint Venture's
(‘MLJV’) patented SABRE mining method and is planned to
commence at the McClean North deposit in 2025. Activities during
2024, included the completion of the Pod 1 East SABRE pad, drilling
four access holes at Pod 1 East, and associated procurement
activities. A further four access holes are planned to be completed
in the second quarter of 2025.
■
Completion
of Inaugural ISR Field Test Program at Midwest
In June 2024,
Denison announced the completion of an ISR field test program at
the Company’s 25.17% owned Midwest 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 dated April 12,
2023).
Denison carried
out the Program in collaboration with Orano Canada, 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. The
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.
■
Acquisition
of MaxPERF Tool Systems
In February 2024,
the Company announced an acquisition of fixed and mobile MaxPERF
Tool Systems from Penetrators Canada Inc.
(‘Penetrators’). The MaxPERF Tool Systems have been
successfully deployed several times as a method of permeability
enhancement in ISR field studies conducted on the Company’s
potential ISR mining projects, including at Phoenix. Penetrators
has also agreed to work exclusively with Denison for a 10-year
period with respect to the use of the MaxPERF Tool Systems for
uranium mining applications, and related services, in
Saskatchewan.
■
Option of
Non-Core Exploration Projects to Foremost Clean Energy
Ltd.
In September
2024, Denison executed an option agreement with Foremost Clean
Energy Ltd (‘Foremost’), which grants Foremost a
multi-phase option to acquire up to 70% of Denison's interest in 10
non-core uranium exploration properties (collectively, the
‘Foremost Transaction’). Pursuant to the Foremost
Transaction, Foremost would acquire such total interests upon
completion of a combination of direct payments to Denison and
funding of exploration expenditures with an aggregate value of up
to approximately $30 million. In October 2024, Denison
received an upfront payment in Foremost common shares. At December
31, 2024, Denison has a ~19.13% ownership interest in Foremost. If
Foremost completes the remaining two phases of the Foremost
Transaction Denison will receive further cash and/or common share
milestone payments of $4.5 million and Foremost will fund $20
million in project exploration expenditures.
■
Formation
of Exploration Joint Ventures with Cosa Resources
Corp.
In November 2024,
Denison executed an acquisition agreement with Cosa Resources Corp.
(‘Cosa’) for Cosa to acquire a 70% interest in three of
Denison’s properties in the eastern portion of the Athabasca
Basin region in northern Saskatchewan in exchange for
approximately 14.2 million Cosa common shares, $2.25M in
deferred equity consideration, and a commitment to spend $6.5
million in exploration expenditures on the properties. The
transaction closed in early January 2025, pursuant to which Denison
became Cosa’s largest shareholder (representing ~19.95%
ownership interest in Cosa) and Denison and Cosa formed three
uranium exploration joint ventures.
■
Appointment
of New Board Chair
In May 2024,
following the results of the Annual General Meeting of Shareholders
(‘AGM’) held in Toronto, 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 the Securities Group, and Co-Chair of the
Mining Group, at Cassels Brock & Blackwell LLP, and has been
recognized as a legal leader in the Canadian resource
sector.
About Denison
Denison Mines
Corp. was formed under the laws of Ontario and is a reporting
issuer in all Canadian provinces and territories. Denison’s
common shares are listed on the Toronto Stock Exchange (the
‘TSX’) under the symbol ‘DML’ and on the
NYSE American exchange under the symbol
‘DNN’.
Denison is a
uranium mining, exploration and development company with interests
focused in the Athabasca Basin region of northern Saskatchewan,
Canada. The Company has an effective 95% interest in its flagship
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. In mid-2023, the
Phoenix FS was completed for the Phoenix deposit as an ISR mining
operation, and an update to the previously prepared 2018
Pre-Feasibility Study (‘PFS’) was completed for Wheeler
River’s Gryphon deposit as a conventional underground mining
operation. Based on the respective studies, both deposits have the
potential to be competitive with the lowest cost uranium mining
operations in the world. Permitting efforts for the planned Phoenix
ISR operation commenced in 2019 and have advanced significantly,
with licensing in progress and a draft Environmental Impact Study
(‘EIS’) submitted for regulatory and public review in
October 2022.
Denison’s
interests in Saskatchewan also include a 22.5% ownership interest
in the McClean Lake Joint Venture (‘MLJV’), which
includes unmined uranium deposits (planned for extraction via the
MLJV’s SABRE mining method starting in 2025) and the McClean
Lake uranium mill (currently utilizing a portion of its licensed
capacity to process the ore from the Cigar Lake mine under a toll
milling agreement), plus a 25.17% interest in the Midwest Joint
Venture (‘MWJV’)’s Midwest Main and Midwest A
deposits, and a 70.32% interest in the Tthe Heldeth Túé
(‘THT’) and Huskie deposits on the Waterbury Lake
Property (‘Waterbury’). The Midwest Main, Midwest A,
THT and Huskie deposits are located within 20 kilometres of the
McClean Lake mill. Taken together, the Company has direct ownership
interests in properties covering ~384,000 hectares in the Athabasca
Basin region.
Additionally,
through its 50%
ownership of JCU (Canada) Exploration Company, Limited
(‘JCU’), Denison holds interests in various uranium
project joint ventures in Canada, including the Millennium project
(JCU, 30.099%), the Kiggavik project (JCU, 33.8118%) and Christie
Lake (JCU, 34.4508%).
Technical Disclosure and Qualified Person
The technical
information contained in this press release has been reviewed and
approved by Chad Sorba, P.Geo., Denison’s Vice President
Technical Services & Project Evaluation, and Andy Yackulic,
P.Geo., Denison’s Vice President Exploration, who are both
Qualified Persons in accordance with the requirements of NI
43-101.
For more information, please contact
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David Cates
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(416)
979-1991 ext.
362
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President and Chief Executive
Officer
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Geoff Smith
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(416) 979-1991 ext. 358
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Vice President Corporate
Development & Commercial
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Follow Denison on
Twitter
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@DenisonMinesCo
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CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING
STATEMENTS
Certain
information contained in this press release constitutes
‘forward-looking information’, within the meaning of
the applicable United States and Canadian legislation concerning
the business, operations and financial performance and condition of
Denison. Generally, these forward-looking statements can be
identified by the use of forward-looking terminology such as
‘plans’, ‘expects’, ‘budget’,
‘scheduled’, ‘estimates’,
‘forecasts’, ‘intends’,
‘anticipates’, or ‘believes’, or the
negatives and/or variations of such words and phrases, or state
that certain actions, events or results ‘may’,
‘could’, ‘would’, ‘might’ or
‘will be taken’, ‘occur’, ‘be
achieved’ or ‘has the potential to’.
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 the FS, PFS and the
Wheeler River technical de-risking process for the proposed ISR
operation for the Phoenix deposit;
expectations with
respect to the EA, EIS and licensing and permitting for proposed
operations at Wheeler River, including the Hearing; expectations
with respect to mine development and operations on the Wheeler
River property, including discussions of an FID and timing for
construction and achievement of first production; anticipated
benefits of the transactions with Foremost and Cosa; expectations
regarding the restart of mining operations at McClean Lake;
expectations regarding the assessment of the amenability of ISR for
THT and advancement of technical studies for the Midwest deposit;
expectations regarding the performance of the uranium market and
global sentiment regarding nuclear energy; expectations regarding
Denison’s joint venture ownership interests; and expectations
regarding the objectives and continuity of its agreements with
third parties, including the MBA, CBA, and Sustainabilie
Communities Investment Agreement. Statements relating to
‘mineral reserves’ or ‘mineral resources’
are deemed to be forward-looking information, as they involve the
implied assessment, based on certain estimates and assumptions that
the mineral reserves and mineral resources described can be
profitably produced in the future.
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 MD&A dated March 13, 2025 under the heading
‘Risk Factors’. These factors are not, and should not
be, construed as being exhaustive.
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.
