McClean 2007 output estimate down

18 May 2007

Denison Mines has cited regulatory delays, mill modifications and revision work on the tailings distribution system as factors behind a downward revision of estimated 2007 output for the McClean Lake joint uranium venture in Sasakatchewan, Canada. Output for the year is now estimated at 1.8 million pounds U3O8 (815 tonnes U3O8), down from the previous estimate of 2.2-3 million pounds U3O8 (1000-1360 tonnes U3O8). McClean Lake's joint management committee has now decided to suspend jet boring on the McClean North deposit, yet to come into production, and instead to use underground mining methods. This would result in higher uranium recovery rates - an important consideration with the rising uranium price, Denison says. With McClean North ore available for milling as early as 2009, and other orebodies already in production or undergoing approval, production levels at McClean Lake expected to reach about 9 million pounds U3O8 (4080 tonnes U3O8) per year by 2011. McClean Lake is operated and 70% owned by Areva Resources Canada, with Denison holding 22.5% and OURD Canada the remaining 7.5%.

Further information

Areva Resources Canada
Denison Mines

WNA's Canada's Uranium Production and Nuclear Power information paper