Eagle Plains Completes Royalty Agreement with Denison Mines
CRANBROOK, December 13, 2018 - Eagle Plains Resources Ltd. (TSX-V: "EPL") has completed a tri-party agreement with Tarku Resources Ltd. (TSX-V: TKU) and Denison Mines Corp. (TSX: DML; NYSE American: DNN) whereby Denison Mines has purchased the 1,334 hectare Virgin River property which is contiguous with Denison's South Dufferin Project located immediately south of the Athabasca Basin in northern Saskatchewan. The property is interpreted to overlie the Virgin River Shear/Snowbird Tectonic Zone, a regional-scale geologic feature which is associated with Cameco's Centennial Deposit located 40 kilometres northeast of the property. As per the terms of the agreement, Denison will reserve in Eagle Plain's favour a 2% Net Smelter Return ("NSR") royalty on all future production relating to the disposition. This royalty can be reduced at any time to a 1% NSR royalty by paying Eagle Plains $CDN 1,000,000.
This royalty agreement strengthens Eagle Plain's exposure to potential future production in various uranium camps in Saskatchewan including Patterson Lake South area, where the company owns NSR royalty interests on claims now held by Cameco Corp., Denison Mines and ALX Uranium.
About Eagle Plain's Royalty Portfolio:
Eagle Plains holds various royalties throughout British Columbia, Yukon and Saskatchewan for a variety of commodities including gold, silver, lead, zinc, copper and uranium. Partner companies include SSR Mining (formerly Silver Standard Resources Ltd.), Cameco Corp., Denison Mines, Orano Canada (formerly AREVA Resources), UEX, Barkerville Minerals, Alexco and others. These royalties require no financial commitment on Eagle Plain's part, but provide considerable upside to cost-free benefits from future production.
About Denison Mines Corp.:
Denison is a uranium exploration and development company with interests focused in the Athabasca Basin region of Northern Saskatchewan, Canada. In addition to its 90% owned Wheeler River project, which ranks as the largest undeveloped high-grade uranium project in the infrastructure rich eastern portion of the Athabasca Basin region, Denison's Athabasca Basin exploration portfolio consists of numerous projects covering approximately 320,000 hectares. Denison's interests in Saskatchewan also include a 22.5% ownership interest in the McClean Lake joint venture, which includes several uranium deposits and the McClean Lake uranium mill, which is currently processing ore from the Cigar Lake mine under a toll milling agreement, plus a 25.17% interest in the Midwest and Midwest A deposits, and a 65.92% interest in the J Zone and Huskie deposits on the Waterbury Lake property.
Denison is also engaged in mine decommissioning and environmental services through its Denison Environmental Services division and is the manager of Uranium Participation Corp., a publicly traded company which invests in uranium oxide and uranium hexafluoride.
About Tarku Resources Ltd.:
Tarku is an exploration company focused on generating sustainable projects for precious and base metals by conducting exploration in areas with strong geologic potential and high levels of social acceptability. Project generation is the foundation of mining development, and Tarku's vision is to generate exploration projects with excellent potential for mining development for prospective partners or buyers. For more information, please visit the Company's website.
About Eagle Plains Resources
Based in Cranbrook, B.C., Eagle Plains continues to conduct research, acquire and explore mineral projects throughout western Canada. The Company is committed to steadily enhancing shareholder value by advancing our diverse portfolio of projects toward discovery through collaborative partnerships and development of a highly experienced technical team. Managements' current focus is to preserve its treasury while advancing its most promising exploration projects. In addition, Eagle Plains continues to seek out and secure high-quality, unencumbered projects through research, staking and strategic acquisitions. Since 2012, Eagle Plains has added to its portfolio a number of new projects exceeding 130,000 ha targeting mainly gold, uranium and base-metals in Saskatchewan, a highly-prospective mining jurisdiction which was recently recognized by the Fraser Institute as the second best place in the world in terms of Investment Attractiveness. Throughout the exploration process, our mission is to help maintain prosperous communities by exploring for and discovering resource opportunities while building lasting relationships through honest and respectful business practices.
Expenditures from 2011-2017 on Eagle Plains-related projects were approximately $16.5M, which was funded by Eagle Plains and for the most part, by third-party partners. This exploration work resulted in approximately 15,000 m of diamond-drilling and extensive ground-based exploration work facilitating the advancement of numerous projects at various stages of development.
On behalf of the Board of Directors
"Tim J. Termuende"
President and CEO
For further information on EPL, please contact Mike Labach at
1 866 HUNT ORE (486 8673)
Email: mgl@eagleplains.com or visit our website at http://www.eagleplains.com
Cautionary Note Regarding Forward-Looking Statements
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.
SOURCE: Eagle Plains Resources Ltd.