Denison Announces Commencement of Conventional Ore Processing at White Mesa Mill
TORONTO, ONTARIO, Apr 29, 2008 (Marketwire via COMTEX) -- Denison Mines Corp. ("Denison") (DML)(DNN) is pleased to announce that processing of conventional ore at Denison's White Mesa mill in Utah began on Monday April 28th. Initial testing of the grinding circuit began on April 21st, with the first ore from Tony M mine fed to the leach circuit on April 28, 2008.
Over the next 30 to 45 days, the mill will be processing uranium-only ore from the Tony M operation and will then switch to the uranium/vanadium ores from the company's Colorado Plateau mines. Currently, there are approximately 150,000 tons of ore from the various Company owned mines on the stockpile at the mill.
The completion of the modernization of the mill's vanadium circuit and the relining of tailings Cell 4A is continuing on schedule. Ron Hochstein, Denison's President and COO stated "this is a great achievement by the staff and contractors at White Mesa who have modernized the facility while continuing operations on alternate feed material, and without a lost time accident."
Denison is projecting production of between 1.4 and 1.7 million pounds of U3O8 and 3.0 to 4.0 million pounds of vanadium pentoxide from White Mesa in 2008. Currently, Denison has approximately 170,000 pounds of U3O8 in inventory from the processing of alternate feed materials in the first four months of 2008.
Denison is also pleased to announce that as a result of prior contractual arrangements, the company is receiving another shipment of high grade alternate feed material that contains about 600,000 pounds U3O8. This material could be processed in parallel with the conventional ore. This would entail construction of a separate circuit. The additional production will all be credited to Denison's account. The construction and operation of the circuit is conditional upon receipt of regulatory approvals.
