Denison Mines de-risks Phoenix ISR uranium plan with SaskPower grid connection
Denison Mines has announced that grid power supply from Saskatchewan Power Corporation (SaskPower) is now available at the site of the future Phoenix in-situ recovery uranium mine following the recent installation of a new 138 kV transmission line.
The availability of grid power at the Phoenix site represents a significant step in de-risking the execution of the project, Denison says, as the electrification of the site is on the critical path of activities planned for the first year of construction and supports the establishment of the freeze wall planned to surround the initial mining area.
David Cates, President & CEO of Denison, said: “We thank SaskPower for the safe installation of the new high-voltage transmission line, on schedule and on budget. As power is a crucial component of planned site infrastructure for project construction and future operation, the availability of grid power supply at the site represents a major project milestone. Access to grid electricity is a notable competitive advantage for Phoenix, as the grid in Saskatchewan is reliable and cost-effective compared to on-site power generation.”
The new transmission line is some 6 km in length and connects the Phoenix site to the existing 138 kV transmission line east of Phoenix that runs proximal to Highway 914 near Russell Lake. This portion of the Saskatchewan grid provides power from the Saskatchewan-Manitoba border to Uranium City in north-western Saskatchewan and currently supplies power to each of the operating uranium mine and mill sites in the eastern portion of the Athabasca Basin.
The electrification of the Phoenix site will now only require the installation of on-site electrical distribution infrastructure, including the main site transformer, substation high-voltage equipment, switchgear and substation e-house – all of which are long-lead items that have been procured and are on schedule for delivery to site and installation during the first year of construction, according to Denison.
SaskPower is Saskatchewan’s principal electrical utility, servicing over a half million customers across an extensive geographic area, including connections to the grids in Manitoba, Alberta and North Dakota. SaskPower obtained applicable approvals for and installed its transmission line to support a power supply agreement with Denison, whereby Denison has obtained access to up to 8.8 MW of power and agreed to purchase a minimum amount of power for a five-year period from the in-service date of the new transmission line. The cost of the new transmission line was funded by the Wheeler River Joint Venture.
Earlier this month, Denison announced that, pending final regulatory approvals, it was ready to make a final investment decision and commence construction of the proposed Phoenix in-situ recovery uranium mine, having made significant regulatory, engineering and construction planning progress throughout 2025. This progress, the company said, has positioned Phoenix in a construction-ready state, including confirmation of an expected two-year construction timeline. Provided final regulatory approvals to commence construction are received this quarter, targeted first production remains on track for mid-2028, it added.
Phoenix is envisaged as a 10-year operation with proven and probable reserves of 220,900 t at 11.6% U3O8 for 56.7 MIb of U3O8, according to a 2023 feasibility study.
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