Denison Mines Corp.
TSX : DML

Denison Mines Corp.

December 18, 2006 09:15 ET

Denison Announces 2007 Athabasca Winter Exploration Programs With JNR Resources

TORONTO, ONTARIO--(CCNMatthews - Dec. 18, 2006) - Denison Mines Corp. ("Denison" or the "Company") (TSX:DML) and JNR Resources Inc. (TSX VENTURE:JNN); jointly the "Companies" have approved exploration programs on a number of jointly held uranium properties at meetings held in Saskatoon on December 7 and 8, 2006. These properties are all located in the Athabasca Basin of northern Saskatchewan.

Key amongst these is the Moore Lake project where uranium mineralization has been intersected in several distinct areas throughout the property, including high grade mineralization within the 'Maverick zone'. The 2007 winter program is budgeted at $2.5 million and will consist of a minimum of 10,000 metres of diamond drilling and 110 kilometres of linecutting and ground geophysics on the regional targets within the Moore Lake project. This program is scheduled to commence by the second week of January, 2007.

The Companies are still awaiting final results from the summer diamond drilling program, which was completed in mid-October. It consisted of 38 holes totalling 14,317 metres. These results should be available early in the New Year.

The Companies also approved a $1.0 million exploration program for the Lazy Edward Bay project. The planned program consists of 3,500 metres of diamond drilling focusing on the Tommy Davis Bay area, where a ground geophysical program completed this past summer identified three previously untested north-northeast trending conductors. The 2007 program will also ground define and test EM conductors in the Lazy Edward Bay area. The Companies are still awaiting the results from a 1,800-line kilometre airborne EM and magnetic survey flown this past fall over the westernmost claims within this project.

A $500,000 exploration program was approved by the Companies on the Kelic Lake project. It will consist of 110 kilometres of linecutting and ground EM surveys over targets recently identified from a 975-line kilometre airborne EM and magnetic survey flown during the fall of 2005.

On the Bell Lake project the Companies approved a $275,000 program that will consist of 100 kilometres of linecutting and ground EM and 200 kilometres of ground magnetics.

Interpretation of a 1,200-line kilometre airborne EM and magnetic survey flown over the South Dufferin project during the fall of 2005 is nearing completion.

On the Pendleton Lake project the Companies approved a $425,000 program consisting of 75 kilometres of linecutting and ground geophysics over two extensive conductor trends identified by an airborne EM and magnetic survey flown in 2004. This is expected to be followed up with a 1,200-metre diamond drilling program during the summer of 2007.

The Companies also approved a $200,000 program to carry out airborne EM and magnetic surveys during the spring of 2007 over the South Cigar and North Wedge projects.

Paul Ogryzlo, P.Geo., a Qualified Person pursuant to NI 43-101, has reviewed the contents and technical information contained in this news release. Mr. Ogryzlo is Director, Exploration for Denison.

Denison Mines Corp. is the premier intermediate uranium producer in North America, with mining assets in the Athabasca Basin Region of Saskatchewan, Canada and the southwest United States including Colorado, Utah, and Arizona. Further, the Company has ownership interests in two of the four uranium mills operating in North America today. The combination of a diversified mining asset base with parallel ownership of milling infrastructure in highly politically stable jurisdictions has uniquely positioned the Company for growth and development into the future. The Company also has a strong exploration portfolio with large land positions in the United States, Canada and Mongolia. Correspondingly, the Company has one of the largest uranium exploration teams among intermediate uranium companies.

Cautionary Statements

This news release contains "forward-looking statements", within the meaning of the United States Private Securities Litigation Reform Act of 1995 and similar Canadian legislation, concerning the business, operations and financial performance and condition of Denison Mines Corp. ("Denison").

Forward looking statements include, but are not limited to, statements with respect to estimated production, synergies and financial impact of the proposed transaction; the benefits of the proposed transaction and the development potential of Denison's properties; the future price of uranium; the estimation of mineral reserves and resources; the realization of mineral reserve estimates; the timing and amount of estimated future production; costs of production; capital expenditures; success of exploration activities; permitting time lines and permitting, mining or processing issues; currency exchange rate fluctuations; government regulation of mining operations; environmental risks; unanticipated reclamation expenses; title disputes or claims; and limitations on insurance coverage. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved".

Forward looking statements are based on the opinions and estimates of management as of the date such statements are made, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Denison to be materially different from those expressed or implied by such forward-looking statements, including but not limited to risks related to: unexpected events during construction, expansion and start-up; variations in ore grade, tonnes mined, crushed or milled; delay or failure to receive board or government approvals; timing and availability of external financing on acceptable terms; risks related to international operations; actual results of current exploration activities; actual results of current reclamation activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; future prices of uranium and vanadium; possible variations in ore reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; delays in the completion of development or construction activities, as well as those factors discussed in or referred to in the current annual Management's Discussion and Analysis of each of Denison Mines Inc. ("DMI") and International Uranium Corporation ("IUC"), the current Annual Information Form of DMI filed with the securities regulatory authorities in Canada and available at www.sedar.com and IUC's Annual Report on Form 20-F filed with the securities regulatory authorities in Canada and available at www.sedar.com. Although management of Denison has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended.

There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Denison does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. Mineral resources, which are not mineral reserves, do not have demonstrated economic viability. Readers should refer to the respective Annual Information Forms of DMI and, IUC, each for the year ended December 31, 2005, and other continuous disclosure documents filed by each of them since January 1, 2006 available at www.sedar.com, for further information relating to their mineral resources and mineral reserves.

Cautionary Note to United States Investors Concerning Estimates of Measured, Indicated and Inferred Resources: This news release uses the terms "Measured", "Indicated" and "Inferred" Resources. United States investors are advised that while such terms are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize them. "Inferred Mineral Resources" have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part of Measured or Indicated Mineral Resources will ever be converted into Mineral Reserves. United States investors are also cautioned not to assume that all or any part of an Inferred Mineral Resource exists, or is economically or legally mineable.

Contact Information

  • Denison Mines Corp.
    E. Peter Farmer
    (416) 979-1991 ext. 231
    or
    Denison Mines Corp.
    Ron Hochstein
    (604) 689-7842
    or
    Denison Mines Corp.
    James Anderson
    (416) 979-1991 ext. 372
    (416) 979-5893 (FAX)
    Website: www.denisonmines.com