Canada

Waterbury Lake Project

Click for more information

Categories

Overview

Mine TypeIn-Situ
StagePreliminary Economic Assessment
Commodities
  • Uranium
Mining Method
  • Solution mining
Mine Life... Lock
SnapshotIn 2020, an independent Preliminary Economic Assessment (PEA) was completed for the Waterbury Lake Property, which evaluated the potential use of the ISR mining method at the THT deposit.

In November 2023 the Company announced the completion of an inaugural ISR field test program at the Tthe Heldeth
Túé uranium deposit (‘THT’) on the Waterbury Lake property. The program included:
- the installation of an eight well ISR test pattern designed to collect an initial database of hydrogeological data;
- testing of a permeability enhancement technique,
- the completion of hydrogeologic test work, highlighted by the achievement of hydraulic conductivity values consistent with those from the 2020 PEA,
- the execution of an ion tracer test which established a 10 hour breakthrough time between the injection and extraction wells, while also demonstrating hydraulic control of the injected solution.
Overall, the program successfully achieved each of its planned objectives.

Owners

SourceSource
CompanyInterestOwnership
Korea Waterbury Uranium Ltd. 32.99 % Indirect
Denison Mines Corp. 67.01 % Indirect
Denison Waterbury Corp. (operator) 67.01 % Indirect
Waterbury is owned by the Waterbury Lake Uranium Limited Partnership (“WLULP”), of which Denison Waterbury Corp. (a wholly-owned subsidiary of Denison) owns 67.01% and Korea Waterbury Lake Uranium Limited Partnership (“KWULP”) owns 32.99%.

Deposit type

  • Unconformity related

Summary:

Tthe Heldeth Túé
The Tthe Heldeth Túé is primarily comprised by an east-west trending faulted package of variably graphitic and pyritic metasediments bounded by orthogneiss to both the north and south. The pelitic metasedimentary assemblage, which ranges in thickness from 90 to 120 m and is moderately steep dipping to the north includes, from north to south, a roughly 50 m thick pelitic gneiss underlain by 20 m thick graphitic pelitic gneiss, underlain by a 10 to 15 m thick quartz-feldspar wedge underlain by 20 m thick graphitic pelitic gneiss, underlain by a 15 to 25 m thick pelitic gneiss, then back into orthogneiss. There are discontinuous offsets at the unconformity that range from a few metres to as much as ten metres.

The Tthe Heldeth Túé deposit is currently defined by 268 drill holes intersecting uranium mineralization over a combined east-west strike length of up to 700 m and a maximum northsouth lateral width of 70 m. The deposit trends roughly east west (080°) in line with the metasedimentary corridor and cataclastic graphitic fault zone. A 45 m east-west intermittently mineralized zone occurs in the target area formerly known as Highland roughly separating the Tthe Heldeth Túé into two segments referred to as the eastern and western lenses which are defined over east-west strike lengths of 260 and 318 m, respectively. A thin zone of unconformity uranium mineralization occurs to the north of intermittently mineralized zone which is interpreted to represent a mineralized block that has been displaced northwards by faulting and is referred to as the mid lens

Huskie Deposit
The Huskie deposit is entirely hosted within competent basement rocks below the sub-Athabasca unconformity primarily within a faulted, graphite-bearing pelitic gneiss (“graphitic gneiss”) which forms part of an east-west striking, northerly dipping package of metasedimentary rocks flanked to the north and south by granitic gneisses. The Athabasca Group sandstones that unconformably overlie the basement rocks are approximately 200 metres thick. The east-west trending faulted package of pelitic gneisses ranges in thickness from 40 to 60 metres and is moderately steep dipping to the north. There are discontinuous offsets at the unconformity that range from a few metres to as much as fourteen metres.

The Huskie deposit mineralization is entirely basement-hosted comprising three stacked, parallel lenses (Huskie 1, Huskie 2 and Huskie 3) which are conformable to the dominant foliation and fault planes within the east-west striking graphitic gneiss unit. The high-grade mineralization within the lenses is comprised of massive to semi-massive uraninite (pitchblende) and subordinate bright yellow secondary uranium minerals occurring along fault or fracture planes, or as replacement along foliation planes. Disseminations of lower grade mineralization occur within highly altered rocks proximal to fault planes. The mineralization is intimately associated with hematite, which both occur central to a broad and pervasive alteration envelope of white clays, chlorite and silicification.

Sub-Athabasca Crystalline Metamorphic Basement
The Waterbury Lake project is located over the Mudjatik-Wollaston Transition Zone (MWTZ). This zone is currently host to all of the producing uranium deposits in the Athabasca Basin. The basement beneath the Waterbury Lake project is comprised of approximately northeast trending corridors of metasediments wrapping around orthogneissic domes and locally in the Discovery Bay trend an east-west trending corridor of metasediments bounded to the north and south by thick zones of orthogneiss that, based on interpretation of aeromagnetic images, may represent two large dome structures.

The metasedimentary corridor is interpreted as the steeply north-northwest dipping limb of an antiformal fold structure wrapping around the southern orthogneiss dome. The north and south Archean orthogneiss bodies are typically composed of 25 % quartz, 65 % plagioclase and alkali feldspar combined and approximately 10 % biotite with trace garnet. The orthogneiss commonly contains thin pegmatite intrusions and lenses of non-foliated quartz-feldspar granofels. No significant structures or fault zones have been intersected in the orthogneiss bodies.

Athabasca Group Sandstone
The Athabasca Group sandstone, ranging from 200 to 370 m in thickness in the Waterbury Lake Project area, is comprised of Manitou Falls Formation sandstones and conglomerates of the MFb (Bird) Member. The upper 100 to 140 m of sandstone is typically bleached to a buff colored, and is medium- to coarse-grained, quartz-rich, and cemented by quartz overgrowths, clay minerals (kaolin, illite), and/or hematite. Bleaching of the sandstone (removal of diagenetic hematite) is noted along much of the Tthe Heldeth Túé and Huskie zone trends.

Quaternary Geology
The surficial sediments in the Waterbury Lake Project area consist of a thin layer of Quaternary till and glaciofluvial sand and gravel. Low relief drumlins and eskers are the dominant surficial feature in the area. The till is typically brown, variably compact to dense and is composed of silt, sand, gravel, and boulders.

The Athabasca Basin is one of the principal uranium producing districts in the world (Jefferson, et al., 2007b) and it contains the world’s largest high-grade unconformity-type (also called unconformity-related) uranium deposits (McArthur River and Cigar Lake). The Midwest uranium deposits (Midwest Main and Midwest A) are classified as typical egress-style unconformity-type uranium deposits that formed through diagenetic-hydrothermal basementsandstone interaction (Hoeve & Sibbald, 1978); (Hoeve & Quirt, 1984); (Hoeve & Quirt, 1987). The IAEA definition of this type of deposit is: “Unconformity-related deposits comprise massive pods, veins, and/or disseminations of uraninite spatially associated with major unconformities that separate Paleoproterozoic metamorphic basement from overlying PaleoproterozoicMesoproterozoic siliciclastic basins” (IAEA, 2009)

The deposits range from egress-style polymetallic lenses at and above the unconformity, with variable Ni, Co, As, and Pb contents and elevated amounts of Cu, Mo, Zn, Au, S, Pt, and REEs, to ingress-style near-monometallic basement-hosted vein sets, with low base metal and REE contents.

Reserves

Lock

- subscription is required.

Mining Methods

Lock

- subscription is required.

Comminution

Crushers and Mills

Milling equipment has not been reported.

Processing

Lock

- subscription is required.

Production

CommodityUnitsAvg. AnnualLOM
Uranium M lbs 2.19.6
All production numbers are expressed as yellow cake.

Operational metrics

Metrics
Ore tonnes mined, LOM  ....  Subscribe
* According to 2020 study.

Production Costs

CommodityUnitsAverage
Cash costs Uranium (U3O8) USD  ....  Subscribe
All-in costs Uranium (U3O8) USD  ....  Subscribe
Assumed price Uranium (U3O8) USD  ....  Subscribe
* According to 2020 study / presentation.

Project Costs

MetricsUnitsLOM Total
Initial CapEx $M CAD  ......  Subscribe
Sustaining CapEx $M CAD  ......  Subscribe
Closure costs $M CAD  ......  Subscribe
Total CapEx $M CAD  ......  Subscribe
Well Field OpEx $M CAD  ......  Subscribe
Processing OpEx $M CAD 77.2
Transportation (haulage) costs $M CAD 5.1
G&A costs $M CAD 18.5
Total OpEx $M CAD  ......  Subscribe
Income Taxes $M CAD  ......  Subscribe
Royalty payments $M CAD  ......  Subscribe
Net revenue (LOM) $M CAD  ......  Subscribe
Operating margin, %  ......  Subscribe
Pre-tax Cash Flow (LOM) $M CAD  ......  Subscribe
Pre-tax NPV @ 8% $M CAD  ......  Subscribe
Pre-tax IRR, %  ......  Subscribe
Pre-tax payback period, years  ......  Subscribe

Heavy Mobile Equipment

Fleet data has not been reported.

Personnel

Mine Management

Job TitleNameProfileRef. Date
....................... Subscription required ....................... Subscription required Subscription required Oct 30, 2020
....................... Subscription required ....................... Subscription required Subscription required Oct 30, 2020
....................... Subscription required ....................... Subscription required Subscription required Oct 30, 2020
....................... Subscription required ....................... Subscription required Subscription required Jan 18, 2024
....................... Subscription required ....................... Subscription required Subscription required Jan 18, 2024
....................... Subscription required ....................... Subscription required Subscription required Jan 18, 2024
....................... Subscription required ....................... Subscription required Subscription required Jan 18, 2024

EmployeesYear
...... Subscription required 2020

Lock

- subscription is required.