AEMA, coalition launch legal challenge to BLM Conservation and Landscape Health Rule
The American Exploration & Mining Association was joined by a coalition in filing a challenge last Friday in the Wyoming district court.
Denison Mines (TSX: DML) is raising over $55 million to help advance its proposed Phoenix in-situ recovery uranium mining operation in Saskatchewan.
A bought deal financing has been arranged with a syndicate of underwriters led by Cantor Fitzgerald that will see the company offer 37 million shares at $1.49 per share, for gross proceeds of $55.13 million.
The underwriters also have an over-allotment option to purchase up to an additional 5.55 million shares at the issue price until October 16, 2023, for potential additional proceeds of $8.27 million.
In a press release on Tuesday, Denison confirmed that part of the net proceeds will be used for the Phoenix ISR project. Specifically, they will be used to purchase long lead items identified during the ongoing front-end engineering design process and the feasibility study, said the company.
The Phoenix uranium deposit is part of Denison’s 95% owned Wheeler River project situated in the Athabasca Basin. Uranium Energy Corp. owns the remaining 5%.
On a 100% ownership basis, the Phoenix deposit is presented with a base case after-tax net present value (at an 8% discount) of C$1.6 billion and an internal rate of return of 90%. The payback period is 10 months.
Preproduction capital costs are estimated at just under C$420 million, yielding an after-tax NPV to initial capital cost ratio in excess of 3.7 to 1.
Shares of Denison Mines closed 1.8% higher at the end of Tuesday’s session. The company has a market capitalization of nearly C$1.9 billion ($1.4bn).
