In efforts to make their Saskatchewan uranium projects more cost effective, Denison Mines (TSE) and Total Compagnie Miniere of France have agreed to develop the Midwest and McClean Lake properties as complementary operations.
Denison owns a 45% interest in the Midwest joint venture. Total owns 100% of McClean Lake. The Environmental Impact Statements for both projects are currently under public review.
Under the agreement, Denison will acquire a 22% interest in McClean Lake and Total will acquire the right to 70% of Denison’s Midwest production. Subject to certain conditions, Total’s right may be converted into a 31.5% interest in Midwest.
Denison has also agreed to sell 70% of its interest in the Koongarra uranium reserves in Australia to Total.
Minable reserves at McClean Lake and Midwest are estimated to be 650,000 tonnes at an average grade of 3.17% and 360,000 tonnes at a grade of 4.5%, respectively. To reduce the potential environmental impact, the Midwest ore may be treated at the McClean Lake mill. Total has agreed to arrange development financing for McClean Lake.
Denison’s partners at Midwest are Uranerz Exploration and Mining, Bow Valley Industries (TSE), and PNC Exploration.
Be the first to comment on "Denison, Total join forces"