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Be the first with the news that moves the market- Denison Mines (TSX:DML) has today announced its suspending the Environmental Assessment for the company’s Wheeler River project.
- The Wheeler River Uranium Project is 90 per cent owned by Denison.
- The Environmental Assessment requires large amount of community participation, which would be inappropriate in the current climate.
- The company first submitted their proposal for the uranium mine in Q1 2019
- Denison Mines Corp (TSX:DML) is holding steady, with shares trading at C$0.305
Denison Mines Corp (TSX:DML) has today announced it is suspending its environment assessment for the Wheeler River uranium project.
The company does not believe it is appropriate to continue with the assessment, as it would require significant community engagement.
As the COVID-19 outbreak has pushed Governments into states of emergency, it is
Denison’s President and CEO David Cates said the interactivity of the engagement and consultation made it impossible to continue as planned.
“Considering the nature of the activities planned to support the Environmental Assessment process for Wheeler River, and the considerable uncertainty that has impacted global markets, we believe that the decision to temporarily suspend the environmental assessment is in the best interest of all interested parties.
“Our team has made great progress in 2019 and early 2020 towards advancing the environmental assessment and de-risking the proposed In-Situ recovery uranium mine planned for the Phoenix deposit,” he said.
Denison does not have a date for when the suspension will be lifted.
As a result, the company has had to adjust outlooks for 2020, as the project development schedule will certainly be impacted by the decision not to continue with the assessment.
Denison’s plans for 2020 included two discretionary work programs that piggybacked the assessment, an environmental impact statement to be assessed to regulators and field testing of the proposed in-situ recovery of uranium on site.
These combined works were estimated to cost approximately $7 million and $6.6 million respectively.
Neither of these are now expected to advance in 2020.
Denison has not had an easy run of things since announcing they would be progressing with the uranium mine.
The company’s share price at the time of the announcement this time last year was C$0.71.
Denison Mines Corp (TSX:DML) is holding steady, with shares trading for C$0.305 at 2:53 pm EST.
