Denison Mines Expands Presence with Strategic Agreements on Russell Lake Uranium Project

Denison Mines Corp. has announced an exciting development as it moves to strengthen its strategic position surrounding the Wheeler River area, through new agreements with Skyharbour Resources Ltd. This collaboration emphasizes Denison's commitment to enhancing its uranium exploration and mining capabilities within the Athabasca Basin of Saskatchewan, a region renowned for its rich uranium deposits.

Overview of the Agreement

In mid-November 2025, Denison Mines reached an agreement with Skyharbour Resources to acquire ownership interests in several claims that comprise the Russell Lake Uranium Project. This project is situated right next to Denison's flagship Wheeler River Project, which is notable for containing the Phoenix and Gryphon uranium deposits. The agreement initiates Denison's ownership interests in four joint ventures within the Russell property: Russell Lake, Getty East, Wheeler North, and Wheeler River Inliers.

The terms of the agreement specify that Denison will hold 20% ownership in Russell Lake, 30% in Getty East, 49% in Wheeler North, and an impressive 70% in Wheeler River Inliers. Additionally, the company has set up earn-in options that allow for further increases in ownership stakes in the Wheeler North and Getty East projects, promoting a mutually beneficial approach towards the exploration and development of uranium resources.

Objectives Behind the Joint Ventures

David Cates, President and CEO of Denison, has expressed enthusiasm for these developments. He stated that the strategic acquisition not only bolsters Denison’s property portfolio but also aligns with the company's long-term growth goals and exploration strategies. With regulatory approvals nearing completion for the Phoenix In-Situ Recovery mine, Denison is making calculated investments to expand its project pipeline. This agreement enhances the cooperative efforts between Denison and Skyharbour, tapping into their combined expertise to drive successful explorations.

Skyharbour’s President, Jordan Trimble, lauded the transaction as a transformative moment for the company, highlighting its importance in advancing the Russell Lake project. By partnering with Denison, known for its successful history in exploration and development, Skyharbour anticipates accelerated progress in realizing the potential of this property. The agreement uniquely positions Russell as comprising numerous individual projects due to the scale and variety of targets identified across the land, ensuring that both companies can capitalize effectively within this prolific uranium region.

Financial Aspects of the Transaction

The financial structure of the agreement involves an initial payment of $2.0 million upon signing the contract, followed by deferred payments totaling $16 million, which must be completed before the end of 2025. This sum can be settled either in cash or in Denison's shares. Closing of this transaction is projected to occur by December 21, 2025, pending customary regulatory approvals.

Future Exploration Plans

Once the transaction is finalized, the Russell Lake property will be subdivided into the four proposed joint ventures. These projects will enable Denison to significantly influence exploration activities, enhancing the likelihood of discovering value-adding uranium resources near its Wheeler River Project. Denison is particularly focused on managing exploration risks while employing disciplined capital deployment linked to exploration results, establishing a clear pathway for increasing its ownership stakes in exploration successes.

Looking Ahead

Denison's decision to invest in the Russell Lake Uranium Project reveals a clear strategy: to maximize the exploration potential within one of the world’s most prolific uranium exploration corridors. The collaboration with Skyharbour not only strengthens Denison’s position in the competitive landscape of uranium mining but also underscores the importance of strategic partnerships in achieving growth objectives in the mining industry.

As Denison progresses towards closing this significant deal, stakeholders will be closely monitoring the outcomes of the exploration activities in the Russell Lake area, which promises to contribute substantially to securing Denison’s future in uranium mining and development.