MUTANGA PROJECT – ZAMBIA

Denison acquired the Mutanga Project (Mutanga) in 2007 through the acquisition of OmegaCorp. Mutanga is comprised of the Mutanga and Dibwe deposits plus a number of exploration areas.  Mutanga is located in a sparsely populated region in southern Zambia, in the Siavonga District of the Southern Province, approximately 200 kilometres south of the nation’s capital, Lusaka.

LOGGING DRILL CORES AT MUTANGA, ZAMBIA

Mutanga is comprised of a prospecting licence (PL LS 237) encompassing 946.3 square kilometres, which is held by OmegaCorp Minerals Limited, a wholly-owned subsidiary of Denison. The licence authorises the Company to carry out prospecting activities for industrial metals, base metals, precious metals, fuel metals and uranium. The licence was initially granted to Okurusu Florspar (Pty) Limited on October 21, 2004 and formally transferred to OmegaCorp on December 20, 2005. The licence was renewed on October 20, 2006 for two years and then again on October 20, 2008 for an additional two years.

Work commenced on the Mutanga project late in 2007, and the project was the focus of a major development drilling effort until mid-2008 when the rigs were turned to exploration.

As a result of this development work, the Company retained CSA Global and mineral resources at this project were re-estimated, with both the indicated and inferred being substantially increased.   On March 20, 2009, the Company filed on SEDAR, available at www.sedar.com, an independent technical report entitled “NI 43-101 Technical Report Mutanga Uranium Project, Zambia” prepared by CSA Global in accordance with the requirements of NI 43-101 with respect to the Company’s deposits in Mutanga.

Mutanga Resource Estimates
100% Basis and Company Share

Deposit

U3O8

Lower

Cut-off ppm

Measured

 

tonnes

(,000)

U3O8

ppm

Pounds U3O8

(,000)

 

Mutanga

100

1,880

481

1,992

 

 

 

 

 

 

 

 

 

Deposit

U3O8

Lower

Cut-off ppm

Indicated

Inferred

tonnes

(,000)

U3O8

ppm

Pounds

U3O8

tonnes

(,000)

U3O8

ppm

Pounds

U3O8

(,000)

Mutanga

100

8,400

314

5,817

 7,230

206

3,287

 

 

 

 

 

 

 

 

Mutanga Ext

200

    -

    -

    -

    500

340

400

Mutanga East

200

    -

    -

    -

    200

320

100

Mutanga West

200

    -

    -

    -

    500

340

400

Dibwe

100

    -

    -

    -

17,040

234

8,967

Total

 

8,400

314

5,817

25,470

235

13,154


Notes:

(1) The Mutanga mineral resource estimates comply with the requirements of NI 43-101 and the classifications comply with CIM definition standards.

Following the completion of the development work, the drills concentrated on testing areas discovered as a result of an airborne radiometric survey over the prospective parts of the project not covered by a previous survey. This work was successful in discovering three new areas of mineralization of moderate to strong mineralization which will each require a major infill and development drill program.


Last updated April, 2009.