Mihir Mehta opines about Denison Mines in light of the 43 nuclear reactors that are expected to go online in order to meet increasing electricity demand, and that global uranium requirement will likely increase about 25% from 2020 to 2030, which is a clear opening for opening an opportunity for Denison Mines. The increase in uranium demand is already having a positive impact on Denison since its financial performance has started picking up pace in recent quarters. To meet increasing uranium demand, Denison is increasing the capacity of its McClean Lake processing mill from 13 million to 24 million pounds.
Since Denison has almost no debt on its balance sheet, it is well-positioned to tap the credit markets in order to fund its growth moves. Denison Mines, unlike most other uranium producers, has not slowed down the process of exploration even after the shutting down of several reactors all over the world after the Fukushima power plants were damaged by tsunamis in Japan in 2011. The Company has uranium exploration interests in projects in Canada, Zambia, Mali, Namibia, Niger and Mongolia.
Denison exploration project portfolio consists of 43 projects and totals approximately 584,000 hectares in the Eastern Athabasca Basin region of Saskatchewan including its 60% owned Wheeler project. Denison interests in Saskatchewan also include a 22.5% ownership interest in the McClean Lake joint venture, which includes several uranium deposits and the McClean Lake uranium mill, plus a 25.17% interest in the Midwest deposit and a 60% interest in the J Zone deposit on the Waterbury property. Internationally, Denison owns 100% of the conventional heap leach Mutanga project in Zambia, 100% of the uranium/copper/silver Falea project in Mali, a 90% interest in the Dome project in Namibia, and an 85% interest in the in-situ recovery projects held by the Gurvan Saihan joint venture (GSJV) in Mongolia.
Working URL: https://seekingalpha.com/article/3533646-denison-mines-time-turnaround
Managed & Built by I2M Consulting, LLC | © 2010-
