HUGE NEWS 28.3 % U3O8Aug 04, 2010 08:40 ET
Denison's Wheeler River Summer Program Continues to Expand Phoenix Deposits
TORONTO, ONTARIO--(Marketwire - Aug. 4, 2010) - Denison Mines Corp.(TSX:DML)(NYSE Amex:DNN) ("Denison" or the "Company") is pleased toreport results from a further 14 holes of its summer drill program onits Wheeler River property in Saskatchewan. High-grade mineralizationat Zone A has been extended 25 metres to the northeast by WR-334, whichreturned 10.7% eU3O8 over 2.7 metres. The strikelength of Zone B has also been extended a further 50 metres to thenortheast by hole WR-333, which returned 20.7% eU3O8over 2.2 metres. Both of these zones continue to remain open alongstrike. The remainder of the summer program will concentrate on Zones Aand B to continue to extend the strike length and support theforthcoming resource study to be completed this year.
The results from this portion of the summer program are shown below.
Zone A
Anadditional nine holes totalling approximately 4,111 metres continued todefine Zone A. On the northeastern boundary, drill hole WR-334 returned10.7% eU3O8 over 2.7 metres and extended thisboundary at least 25 metres. Two holes (WR-335 and 338) tested thecurrent southerly boundary of Zone A. Drill hole WR-335 returned 3.62%eU3O8 over 1.3 metres from 402.45 metres. Withthis intersection, Zone A is continuously mineralized over a width of45.0 metres in this area and remains open. Drill hole WR-338 howeverdid not return any significant results. Hole WR-342 was drilled onsection 12.5 metres northwest of hole WR-311, which previously reported6.66% U over 6.5 metres, and returned 28.28% over 4.3 metres from 407.5metres. This hole tested a relatively un-drilled part of Zone A, wherethe section spacing was 70 metres, again demonstrating the presence ofa high-grade "core" of mineralization. The remaining five holes testedthe extreme northeast and northwest boundaries.
HolesWR-332 and 340 did not return any significant results. WR-340 attemptedto test the extent of Zone A a further 25 metres to the northeast, andwhile intense alteration of the type usually associated withmineralization was intersected in the sandstone, no graphitic pelitewas noted in the basement.
Zone B
Three holes totalling 1,404 metres tested Zone B. Drill hole WR-333 reported 20.7% eU3O8over 2.2 metres from 397.55 metres. This hole was located 50 metres tothe northeast of the discovery hole WR-258, which returned 11.82% U3O8over 5.5 metres from 397.0 metres. This result has extended the strikeof this important mineralized zone a further 50 metres. Two holes,WR-331 and WR-336, tested on section at 10-metre step outs to both thenorthwest and southeast of discovery hole WR-258, did not intersect anysignificant mineralization, indicating a narrowing of themineralization in this area.
Gap Area
Thearea between Zone A and Zone B, which was approximately 200 metres inlength had very few drill holes to test the potential for Zones A and Bconverging. WR-341A tested the midpoint of the "gap" between Zones Aand B and returned 0.27% eU3O8 over 0.8 metresfrom 400.3 metres. The mineralization, sandstone structures andobserved alteration in this hole indicate that this area is probablycontinuously mineralized but may be narrower at this location and theoptimum zone is proving difficult to target from surface. WR-339 waslocated 50 metres to the SW of the last mineralized hole on Zone B,WR-266 at 3.78% U3O8 over 1.0 metres, and returned no significant mineralization.
Summer 2010 Overview
Atotal of 31 holes have now been drilled for 14,813 metres. The resultsof the summer program are shown on the attached map. The average depthto the unconformity for the summer program is 396.0 metres. Five holeshave been drilled on geophysical targets and thirteen, three, two, andfour holes have been drilled on Zones A, B, C, and D, respectively. Afurther four holes tested the gaps between the mineralized zones. Theplanned 45 hole, 20,000 metre drill program will likely end in lateAugust.
The Phoenix deposits are located on the WheelerRiver property which is located between the McArthur River Mine and KeyLake mill complex. Denison is the operator and holds a 60% interest inthe Wheeler River Property. Cameco Corporation holds a 30% interest andJCU (Canada) Exploration Company, Limited holds the remaining 10%interest. All previous and current drill results from Phoenix have beentabulated and are presented on our website at www.denisonmines.com.
Thetechnical information contained in this press release related to theabove described exploration activities is reported and verified byWilliam C. Kerr, Denison's Vice President, Exploration, who is aqualified person as defined by NI 43-101. For a description of thequality assurance program and quality control measures applied byDenison, please see Denison's Annual Information Form dated March 19,2010 filed under the Company's profile on the SEDAR website. All drillholes reported to date were drilled at either -80 or -90 degrees,(except for WR-325 which was drilled at -75) and while the exactattitude of the mineralization remains uncertain, it is believed, atthis time, that the mineralized intervals represent near truewidths. All equivalent uranium values reported at a 1.0% eU3O8cut-off unless otherwise noted.
About Denison
DenisonMines Corp. is a mid-sized uranium producer in North America, withmining assets in the Athabasca Basin region of Saskatchewan, Canada andthe southwest United States including Colorado, Utah, and Arizona. TheCompany has ownership interests in two conventional uranium mills inNorth America. Denison also has a strong exploration and developmentportfolio including the Phoenix discovery in the Athabasca Basin aswell as large land positions in the United States, Canada, Mongolia andZambia.