Denison Mines Corp. · TSX:DML
Denison Mines — BMO Capital Markets Global Metals & Mining Conference 2015
24 slides from Denison Mines's conference presentation, February 2015
Slide 1: Denison Mines Corp. Investor Update
Denison Mines Corp. Investor Update BMO Capital Markets Global Metals & Mining Conference February 2015
Slide 2: Cautionary Statements
Cautionary Statements This presentation includes forward-looking information or forward-looking statements under Canadian and U.S. securities laws that involve risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied by such forward-
Slide 3: Denison's Strategic Strengths
Denison’s Strategic Strengths • Strong exploration portfolio in the Eastern portion of the Athabasca Basin – near existing mining and milling infrastructure • Exploration and development team led by Athabasca Basin veterans • 22.5% strategic stake in McClean Lake uranium mill provides toll milling r
Slide 4: Athabasca Basin Portfolio
oenison DA f MINES Athabasca Basin Portfolio @® 100% Denison [) Denison operated JVs G Areva operated JVs HS Cameco operated JV © Strateco operated JVs CJ Highest priority projects Ss Uranium Mine S Select Uranium Deposits @8 Uranium Mill Bell Lake Waterbury Lake Johnston Lake ATHABASCA BASIN & aia
Slide 5: Athabasca Basin Portfolio: Wheeler River Project
Athabasca Basin Portfolio Wheeler River Project • Denison 60% • Cameco 30% • JCU 10% • Denison is the operator 5
Slide 6: Wheeler River – 2014 Successes
Wheeler River – 2014 Successes Phoenix Deposit • High-grade expansion and updated 43-101 Phoenix Resource Gryphon Discovery • Discovery hole WR-556 during Q1’2014 intersected 15.3 % U3O8 over 4.0 metres • Focus of Summer 2014 program • 3km NW of Phoenix Deposit 6
Slide 7: Athabasca Basin Deposits
Athabasca Basin Deposits Contained M lbs U3O8 McArthur River Cigar Lake Triple R Shea Creek Millenium DML Phoenix deposits Roughrider Midwest PHOENIX RESOURCE ESTIMATE* Eagle Point Million Lbs. Horseshoe/Raven McClean Tonnes Grade U3O8 Horseshoe Category (100% Basis) (% U3O8) (100% Basis) Tamarack I
Slide 8: Athabasca Basin Deposits
Athabasca Basin Deposits Grade % U3O8 Phoenix Cigar Lake McArthur River Roughrider Midwest Millennium Tamarack Phoenix Deposit Dawn Lake Triple R • Highest grade deposit in McClean the Athabasca Basin J Zone Shea Creek Midwest A West Bear Eagle Point Horseshoe/Raven 0 2 4 6 8 10 12 14 16 18 20 % All
Slide 9: Gryphon Discovery
Gryphon Discovery • Basement hosted • Multiple stacked lenses • Several high grade intersections • Increasing in size from 350m x 60m at start of 2015 program 9
Slide 10: Gryphon Discovery Highlights
Gryphon Discovery Highlights Semi-massive foliation-controlled Intermittent pitchblende-hematite pitchblende and hematite Pseudo-breccia replacement (“worm-rock”) bands 10
Slide 11: Wheeler River – 2015 Targets
Wheeler River – 2015 Targets K North Phoenix North Phoenix Focus: Gryphon Zone & K North • Together with other target areas: • Drilling: 62 drill holes, 37,000 metres • Geophysics: 126 kilometres Q Central • Budget: Cdn $10M (Cdn $6M Denison share) K South O-Zone DC-Resistivity 11
Slide 12: High Grade at Mann Lake
High Grade at Mann Lake Mann Lake Project • Denison 30% • Cameco 52.5% • AREVA 17.5% • Cameco is the operator • Located 5km NW of Wheeler River and 20 km SW of McArthur River mine • Acquired interest in 2014 • Currently drilling • 2015 Budget: Cdn$2.5M (Cdn$750K Denison share) 12
Slide 13: High Grade at Mann Lake
High Grade at Mann Lake 2015 Program • Following up on drill holes MN-060 (2.94% over 4.8 metres) and MN-065 (4.8% over 1.0 metres) • 12 planned drill holes (8,000 m) • MN-066-01 (9.8% over 3.5 metres) • Represents best intersection to date on the property • Located 300 m along strike from MN-060 13
Slide 14: 2015 Plan
2015 Plan: • Approx. 71,000 m in drilling • Focus on high priority properties 1. Wheeler River (60%) – 37,000 m 2. Mann Lake (30%) – 8,000 m 3. Waterbury (60%) – 3,350 m 4. Crawford Lake (100%) – 4,600 m 5. Moore Lake (100%) – 4,000 m 6. Wolly (22.5%) – 4,000 m 14
Slide 15: McClean Lake Mill
McCLEAN LAKE MILL (Saskatchewan) • Denison owns 22.5% • AREVA 70%, OURD 7.5% Mill Expansion Continues • 13M lbs to 24M lbs per year • Fully funded by Cigar Lake • Completion expected 2015 15
Slide 16: Toll Milling of Cigar Lake Ore
Toll Milling of Cigar Lake Ore Cash flow from toll milling begins! • Cigar Lake ore processing began in September 2014 • First packaged drums produced in October 2014 • ~ 26,000 lbs U3O8 produced from Denison’s share of McClean material used to commission the mill 16
Slide 17: Rising Cash Flow from Toll Milling
Rising Cash Flow from Toll Milling 20 $9.0 Denison Toll Milling Revenue (M $) 18 $8.0 *CLJV Production (M lbs U3O8) 16 $7.0 14 $6.0 12 $5.0 10 2015 Plan: $4.0 8 • 6 to 8 million lbs U3O8 $3.0 6 • Denison’s share of toll 4 $2.0 milling revenue ~$2.5M 2 $1.0 0 $- 2014 2015 2016 2017 2018 2019 2020 202
Slide 18: Africa: Diversified Portfolio
Africa: Diversified Portfolio 2014 Update: • Interests reorganized in preparation for spin-out or disposal transaction • Waiting for market conditions Mutanga 2015 Program: • Focused on maintaining claims in good standing • $2.3M budget: additional target generation at Mutanga & Falea 18
Slide 19: Africa: Diversified Portfolio Mutanga (Zambia)
Africa: Diversified Portfolio Mutanga Falea (Zambia) (Mali) Dome Exploration potential (Namibia) Exploration potential Infrastructure Exploration potential Deposit includes Low political risk significant copper & Infrastructure silver resources Uranium district Metallurgy US$85 Value/Tonne Open pit
Slide 20: Mongolia: Gurvan Saihan JV
Mongolia: Gurvan Saihan JV • Resources (on a 100% basis) • Indicated - 19.8 million lbs. (12.3 million tonnes @ 0.07% U3O8) • Inferred - 5.8 million lbs. (5.5 million tonnes @ 0.05% U3O8 ) • 2015 – focus continues on restructuring and strategic alternatives 20
Slide 21: 2015 Budget Summary
2015 Budget Summary 2015 Consolidated Cash Flow by Segment (USD, Millions) $4.0 2.6 $2.0 $0.0 -0.6 -0.7 -0.5 -$2.0 -2.3 -2.6 -$4.0 -$6.0 • ~ US$31.0 M in cash & equivalents -$8.0 at the end of Q3’2014 -$10.0 -$12.0 -$14.0 -14.2 -$16.0 Canadian Canadian Dev't DES Africa Mongolia Corp. Admin Other Exp
Slide 22: The Denison Advantage
The Denison Advantage • Canadian focused with key assets in the Eastern Athabasca Basin – 60% interest in high-grade Phoenix deposit on Wheeler River property – Active portfolio of exploration properties with potential for future discoveries – 22.5% strategic interest in high-grade McClean Lake uran
Slide 23: Corporate Information
Corporate Information Market Summary Management & Directors (Dec. 31, 2014) Exchanges TSX, NYSE - MKT Ron Hochstein (CEO, Director) Shares Outstanding 505.9 M David Cates (President & CFO) Warrants 1.1 M Steve Blower (V.P. Exploration) Options 6.2 M Peter Longo (V.P. Project Development) Fully Dilut
Slide 24: Further Information
Denison Mines Corp. Investor Update Further Information TSX: DML NYSE MKT:DNN Phone: 416.979.1991 ext 366 Toll Free: 1.888.689.7842 Email: info@denisonmines.com Web: www.denisonmines.com
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