DJ Denison Mines to Acquire 50% Stake of JCU from UEX
By Adriano Marchese
Denison Mines Corp. said Tuesday that it has agreed to acquire a 50% stake in JCU (Canada) Exploration Company, Ltd. from UEX Corp. for 20.5 million Canadian dollars (US$16.9 million) after it completes its acquisition of JCU.
Denison, a Canadian uranium-exploration, development, and production company, said UEX has entered into agreement with Overseas Uranium Resources Development Co. to acquire 100% ownership of the subsidiary, JCU, for C$41 million.
As part of Denison's agreement with UEX, Denison said that it would provide UEX with a loan of C$41 million, of which half will be deemed repaid as part of the consideration for the acquisition.
JCU holds a portfolio of twelve uranium project joint venture interests in Canada.
"Following this acquisition, Denison will not only increase its indirect ownership of the Company's flagship Wheeler River project, but will also expand its asset base to include additional important Canadian uranium development projects such as Millennium and Kiggavik," President and Chief Executive Officer David Cates said.
Write to Adriano Marchese at adriano.marchese@wsj.com
(END) Dow Jones Newswires
June 15, 2021 07:24 ET (11:24 GMT)
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