Morning Briefing: Denison Publishes Feasibility Study for Phoenix Uranium Deposit

Welcome to Mining Stock Daily. I’m Trevor Hall. And I’m Paul Harris.

Today is Monday June 26th. 

After falling through support last week, gold futures dropped to $1920 per ounce on Friday and began an effort to crawl back into critical levels just below $1930. The news and speculation out of Russia supposedly regarding a coup d’etat from in-country mercenaries did little to get the gold price moving again when trading began in Asia early this morning. Gold is currently sitting around $1940. Silver is making an attempt to work of its oversold position as it tagged and bounced off its 200 dma late last week. Silver is up .52 this morning at $22.88 an ounce. 

We will get to the news from the miners and explorers in a moment, but first a word about today’s sponsor.

This episode of Mining Stock Daily is brought to you by…Arizona Sonoran Copper.

ASCU is an early-stage copper developer and explorer of the Cactus Mine and its satellite project, Parks/Salyer, both situated on a 4km mine trend on private land in Arizona’s porphyry copper district. Opportunity for significant growth and scale exist along the mine trend, while future capex requirements outlined in the Cactus PEA benefit from significant onsite and nearby access to infrastructure. The Company is led by an executive management team and Board which have a long-standing track record of successful project delivery in North America. For more information, please visit www.arizonasonoran.com.

And here’s what you need to know this morning….

Denison Mines reported results of the Feasibility Study for in-situ recovery mining of the Phoenix uranium deposit and a cost update to the 2018 Pre-feasibility study of the Gryphon uranium deposit. Phoenix and Gryphon are part of the Wheeler River Uranium Project, which is the largest undeveloped uranium mining project in the Athabasca Basin of Saskatchewan, Canada. The FS for Phoenix reports a base case pre-tax NPV of $2.34B and an IRR of 105.9% with a 100% ownership-basis, with a pre-production capital cost of $420M. Gryphon now shows a base case NPV of $1.43B and an IRR of 41.4% under the same ownership conditions. The Proven and Probable mineral reserves are estimated to be 56.7 million pounds U3O8. This estimate is based on the aggregate mine feed to the plant and represents 80.6% recovery of the total available uranium (U3O8) in the measured and indicated mineral resources. Mining is planned to occur over a 10-year period, spanning 11 calendar years, with partial years of production occurring in both the first and final calendar year of the production plan. Progressive reclamation and decommissioning is planned to commence in each phase of the ore zone once production has ceased. (TSX: DML) (NYSE American: DNN) News Release

Endurance Gold provided an update on exploration work at its Reliance Gold Project. Drilling has now been conducted at the Diplomat, Imperial and Eagle Zones with eight holes completed for over 2,100 metres ("m") of the ongoing 15,000 m program which commenced in May. Results reported today included 8.98 gpt gold over 9.3 m including 12.44 gpt gold over 6.0 m at a depth of 212m in hole 65. Hole 66 is the deepest drill test to date by the Company and intersected 6 mineralized intervals associated with arsenopyrite between depths of 306m to 344m. Assay results are pending for this hole. (TSXV: EDG) (OTC Pink: ENDGF) News Release

Arizona Metal released the latest drilling results from the Kay Mine Deposit this morning. Hole KM-23-106 intersected 25.0 meters grading 2.7% copper equivalent (CuEq), including 3.2 meters at 6.3% CuEq. At 17 m further downhole, this hole also intersected 49.2 meters at 2.4% CuEq (including 10.4 meters at 6.4% CuEq). At a further 10 m downhole, this hole also intersected 5.2 m at 1.0% CuEq. In addition to these promising results, drilling at the Western Target has been ongoing since February 2023. The first four holes, KM-23-104, branch hole KM-23-104A, KM-23-107, and KM-23-108 have been completed, and assays are currently pending. Arizona Metals has drilled a total of 83,400 meters on the Kay property, and successfully completed its Phase 2 drill program of 75,000 meters. (TSX: AMC) (OTCQX: AZMCF) News Release

AbraSilver provided the latest assay results from the ongoing Phase III diamond drilling program on the Company’s wholly-owned Diablillos property in Salta Province, Argentina. Drilling is now aimed at determining the margins of the high-grade silver oxide mineralization at the JAC Zone, in preparation for a Mineral Resource estimate to be announced later this year.  Today’s results included 24.5m of 176.7 g/t silver in hole 32, where follow-up drilling will be conducted to test for a possible new perpendicular zone of mineralization. Other results were 14m of 193 g/t silver and 10m of 520 g/t. To date, a total of 21,600 metres in 95 holes have been drilled as part of the Phase III drill program.  All holes will be incorporated into an updated MRE and will be included in a Pre-Feasibility Study on the Diablillos project, which the Company expects to complete in the second half of 2023.  (TSXV:ABRA); (OTC:ABBRF) News Release

On Friday, Stillwater Critical Minerals announced a definitive agreement for a strategic equity investment by Glencore in the form of a non-brokered private placement financing for exploration and development activities at the Company's North American nickel projects. Glencore has agreed to purchase 19,758,861 units of Stillwater at a price of $0.25 per unit for gross proceeds of $4.94 million, with each unit comprising one common share and 0.70 of a common share purchase warrant. Each full warrant shall entitle Glencore to purchase one common share at an exercise price of $0.375, providing up to approximately $5.2 million additional funding, if exercised in full. (TSXV:PGE)(OTCQB:PGEZF) News Release

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