P/E=3.75
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DENISON REPORTS 1999 EARNINGS OF $0.04 PER SHARE
TORONTO, February 22, 2000 -- Denison Mines Limited today reported earnings of $12.3 million for the twelve months ended
December 31, 1999 compared with a loss of $3.3 million for the year ended December 31, 1998. Revenue was $20.5 million for the year
compared to $52.4 million in 1998. The oil and gas portion of revenue has declined to $3.2 million in 1999 from $22.4 million in 1998
following the closure of the Greek oil field in November 1998. With the McClean Lake mine reaching commercial production on November 1,
1999, the earnings from McClean Lake for November and December have for the first time been included in income. Shareholders' equity
increased to $65.8 million from $53.4 million in 1998.
Results in 1999 include earnings of $13.9 million as a result of the elimination of any Greek reclamation liability, a gain of $7.7 million
from the sale of the Company's interests in the White Rose oil field and a loss of $12.9 million on account of the loss in the Court of Appeal of
the Oceanic royalty dispute. Excluding these items, earnings would be $3.5 million. Results in 1998 included a $11.5 million write down of the
Greek oil property.
In the fourth quarter of 1999, the Company reported a loss of $1.9 million primarily because of the $12.9 million loss of the Oceanic
royalty decision, which was partially offset by the additional reduction in the Greek decommissioning provision of $7.9 million. Earnings,
excluding these items, would be $3.1 million in the fourth quarter. Payment to Oceanic was made in January.
In the fourth quarter of 1999, the Company received its first U.S. $0.7 million from its Ecuador royalty and at present prices and planned
volumes expects to receive the balance of this U.S. $7.8 million royalty in 2000.
Production at the McClean mine averaged 81% of design capacity in November and December 1999. Since the year end, the mine has
been operating at above nominal capacity. Although not necessarily representative of future results, especially in the short term, McClean
revenue in the fourth quarter was $11.4 million with earnings of almost $1 million.
Denison Environmental Services had an excellent year with an operating profit of $2.2 million. The asset sales group alone, sold in
excess of $2.3 million in used mining equipment and salvaged materials for the account of Denison and its customers. .........
CONTACT: E. Peter Farmer (416) 979-1991 Ext. 231
President and
Chief Executive Officer
denisonmines.com
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