SASKATCHEWAN - Denison Mines of Toronto has released the initial resource estimates for the Wheeler River uranium project situated between McArthur River and Key Lake in the eastern portion of the Athabasca Basin. Using a cutoff grade of 0.8% U3O8, the indicated resource in the Phoenix A zone is 89,900 tonnes grading 17.99% or 35.6 million lb of U3O8. The inferred resource of the Phoenix B zone is 23,800 tonnes at 7.27% U3O8.
The company says the Phoenix mineralization occurs at the unconformity contact between rock of the Athabasca Group and underlying lower Proterozoic Wollaston Group metasedimentary rocks. Mineralization and alteration has been traced over a strike length of nearly 1.3 km to date. Since the discovery hole WR-249 was drilled in 2008, 106 drill holes have reached the target depth, identifying two distinct zones (A and B) of high grade mineralization. Recently, two new zones (C and D) have been discovered which will be the target of further investigation this winter.
Denison is the operator and holds a 60% interest in the Wheeler River property. Cameco holds a 30% interest and JCU (Canada) Exploration holds the remaining 10% interest. For 2011, the joint venture has planned a $10-million, 70-hole diamond drill program, which is the largest program carried out to date on the property.
Maps and additional information about Wheeler River are posted at www.DenisonMines.com.