Denison Mine, a uranium exploration and development company, said Tuesday it has executed an agreement with the partners of the Wheeler River Joint Venture that will result in an increase in Denison’s ownership of the Wheeler River project to up to about 66% from the current 60% by the end of 2018.
The Wheeler River property is located in the infrastructure rich eastern portion of the Athabasca Basin, and is a joint venture between Denison, Cameco Corp., and JCU Exploration Limited. Cameco and JCU own 30% and 10% of the venture, respectively.
Under the terms of the agreement, the JV parties have agreed to allow for a one-time election by Cameco to fund 50% of its ordinary share of joint venture expenses in 2017 and 2018.
The shortfall in Cameco’s contribution will be funded by Denison, in exchange for a transfer of a portion of Cameco’s interest in the joint venture. Accordingly, Denison’s share of joint venture expenses will be 75% in 2017 and 2018, and Cameco and JCU’s share of joint venture expenses will be 15% and 10%, respectively.