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Every effort has been made to ensure that the following definitions are accurate. However, they may not be suitable in all cases. Please refer to the following sources for more information on the definitions of common geological terms:

• Canadian Institute of Mining, Metallurgy and Petroleum
• InfoMine - Mining Intelligence & Technology:
  
  Dictionary of Mining and Mineral Terms »

Definitions

Backfill - Waste material used to fill the void created by mining an orebody.

Basement - Igneous and metamorphic rocks that underlie the oldest sedimentary formations. Often referes to rocks of Precambrian age which may be covered by younger rocks. In some areas such as shields the basement rocks may be exposed at the surface.

Basin - The site of accumulation of a large thickness of sediments.

Carswell Structure - A probable meteorite impact structure in the western Athabasca Basin situated at and around Cluff Lake. Generally accepted as being 35 to 39 kilometres in diameter with an 18 kilometre core of Precambrian gneisses. Estimates for the age of the structure vary, but it is at least 105 million years old and possibly much older.

Cigar Lake - The world's second largest high-grade uranium deposit with proven and probable resources of 209.3 million pounds of U₃O₈ and a mine currently under development. Owned by Cameco Corporation (50%), AREVA Resources Canada Inc. (37%), Idemitsu Uranium Exploration Canada Ltd. (8%) and TEPCO Resources Inc. (5%).

Cluff Lake - A mine site owned and operated by AREVA Resources Canada Inc. that produced over 62 million pounds of U₃O₈ over a 22-year period. The site was decommissioned in 2002 and the area is being returned to the natural landscape. The Cluff Lake mine camp still exists including several dormitory-style buildings, cafeteria, offices and airstrip, and is used when conducting exploration activities in the western Athabasca region.

Core drilling - The process of obtaining cylindrical rock samples by means of annular-shaped, rock-cutting bits rotated by a borehole-drilling machine.

Core sample - A long cylindrical sample of rock, generally 2 to 13 centimetres in diameter, brought to surface by diamond drilling and used to determine the geological and chemical composition of the rock.

Diamond drill - A rotary type of rock drill using a diamond-encrusted drill bit that cuts out a solid core of rock which is recovered in long cylindrical sections, 2 centimetres or more in diameter.

Exploration - Prospecting, sampling, mapping, diamond drilling and other work involved in searching for ore.

Feasibility Study - A comprehensive technical and economic study of the selected development option (see Preliminary Feasibility Study) for a mineral project that includes appropriately detailed assessments of realistically assumed mining, processing, metallurgical, economic, marketing, legal, environmental, social and governmental factors together with any other relevant operational factors and a detailed financial analysis that are necessary to demonstrate at the time of reporting that extraction is reasonably justified (economically mineable). The results of the Study may reasonably serve as the basis for a final decision by a proponent or financial institution to proceed with, or finance, the development of the project. The confidence level of a Feasibility Study is higher than that of a Preliminary Feasibility Study.

Flow-through shares - Canadian tax legislation permits a company to issue securities to investors whereby the deductions for tax purposes relating to eligible mineral exploration expenditures may be claimed by the investors rather than the company. These are referred to as flow-through shares.

Gneiss - A coarse-grained foliated rock produced by regional metamorphism. The mineral grains within the gneiss show parallel alignment and the rock displays compositional banding where the minerals are arranged into alternating bands of light and dark coloured materials.

Grade - The amount of metal in each tonne of ore, expressed as a percentage for uranium and most other metals, and as grams per tonne for precious metals.

• Cut-off grade - The minimum metal grade at which an orebody can be economically mined (used in the calculation of ore reserves).
• Mill-head grade - The metal content of mined ore going into a mill for processing.
• Recovered grade - The actual metal content of ore determined after processing.
• Reserve grade - The estimated metal content of an orebody, based on reserve calculations.

Highly enriched uranium (HEU) - Any form of uranium with a U-235 concentration of 20% or higher.

Highly enriched uranium (HEU) agreement - An agreement between Russia and the United States to convert surplus highly enriched uranium (HEU) from decommissioned Russian nuclear weapons into low enriched uranium (LEU) used for fuel in U.S. commercial nuclear power reactors (often referred to as the Megatons to Megawatts Program). The agreement expires in 2013 and will have provided 500 metric tonnes of HEU by its completion.

High grade - Rich ore. Uranium ore containing more than 2% uranium is considered high grade. As a verb, it refers to selective mining of the best ore in a deposit.

Infill drilling - Any method of drilling intervals between existing holes, used to provide greater geological detail and to help establish reserve estimates.

Long-term price - The price for uranium products sold or purchased under contract for multiple deliveries beginning after one year.

McArthur River - The world's largest high-grade uranium mine with proven and probable reserves of 335.5 million pounds U₃O₈. Owned by Cameco Corporation (70%) and AREVA Resources Canada Inc. (30%).

McClean Lake - A uranium mill site owned and operated by AREVA Resource Canada Inc. that utilizes some of the newest and most advanced uranium milling technology in the world and has produced over 50 million pounds of U₃O₈ since opening in 1999. The McClean Lake mill is approximately 22 kilometres north of the Horseshoe and Raven deposits, and may serve as a potential future milling facility for these resources.

Mill - A plant where ore is crushed and ground and then undergoes physical or chemical treatment to extract the valuable metals.

Mineral Resource - A concentration or occurrence of diamonds, natural solid inorganic material, or natural solid fossilized organic material including base and precious metals, coal, and industrial minerals in or on the Earth's crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction. The location, quantity, grade, geological characteristics and continuity of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge.

Indicated Mineral Resource - That part of a Mineral Resource for which quantity, grade or quality, densities, shape and physical characteristics can be estimated with a level of confidence sufficient to allow the appropriate application of technical and economic parameters, to support mine planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough for geological and grade continuity to be reasonably assumed.

Inferred Mineral Resource - That part of a Mineral Resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity. The estimate is based on limited information and sampling gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes.

Mineral Reserve - see Probable Mineral Reserve.

National Instrument 43-101 (N.I. 43-101) - A Canadian classification scheme used for the public disclosure of information relating to mineral resources. The National Instrument guideline is applicable to the technical disclosure about mineral properties of all public companies trading on stock exchanges which operate under the supervision of the Canadian Securities Administrators. See also: Qualified Person.

Open pit - A mine where the minerals are mined entirely from the surface.

Ore - A natural deposit in which valuable metallic or non-metallic minerals occur in high enough concentration to make mining economically feasible.

Orebody - A natural concentration of valuable material that can be extracted and sold at a profit.

Perched - Sandstone-hosted uranium mineralization isolated from and found in discrete zones above mineralization occurring at the unconformity.

Points North - Point North Landing is a permanant camp northwest of Wollaston Lake, Saskatchewan. It has a small regional airport offering scheduled flights to Saskatoon, Prince Albert and other destinations in Saskatchewan, as well as charter flights and float plane services. Located next to Provincial Highway 905, Points North operates as a distribution hub for freight in the northern Saskatchewan area as well as offering accommodations and meals. Several uranium mines are located near the site including Cigar Lake and McClean Lake.

Preliminary Economic Assessment Study - A study, other than a prefeasibility or feasibility study, that includes an economic analysis of the potential viability of mineral resources.

Preliminary Feasibility (Pre-Feasibility) Study - A comprehensive study of a range of options for the technical and economic viability of a mineral project that has advanced to a stage where a preferred mining method, in the case of underground mining, or a pit configuration, in the case of an open pit, has been established and an effective method of mineral processing has been determined. The Study includes a financial analysis based on reasonable assumptions regarding mining, processing, metallurgical, economic, marketing, legal, environmental, social and governmental factors and the evaluation of any other relevant factors which are sufficient for a Qualified Person, acting reasonably, to determine if all or part of the Mineral Resource may be classified as a Mineral Reserve. The Canadian Institute of Mining Definition Standards requires the completion of a Preliminary Feasibility Study as the minimum prerequisite for the conversion of Mineral Resources to Mineral Reserves.

Probable Mineral Reserve - The economically mineable part of an Indicated and, in some circumstances, a Measured Mineral Resource demonstrated by at least a Preliminary Feasibility Study. This Study must include adequate information on mining, processing, metallurgical, economic, and other relevant factors that demonstrate, at the time of reporting, that economic extraction can be justified.

Qualified Person - In relation to N.I. 43-101, means an individual who

1. is an engineer or geoscientist with a university degree, or equivalent accreditation, in an area of geoscience, or engineering, relating to mineral exploration or mining'
2. has at least five years of experience in mineral exploration, mine development or operation or mineral project assessment, or any combination of these, that is relevant to his or her professional degree or area of practice;
3. has experience relevant to the subject matter of the mineral project and the technical report;
4. is in good standing with a professional association; and
5. in the case of a professional association in a foreign jurisdiction, has a membership designation that
1. requires attainment of a position of responsibility in their profession that requires the exercise of independent judgment; and
2. requires
1. a favourable confidential peer evaluation of the individual's character, professional judgment, experience, and ethical fitness; or
2. a recommendation for membership by at least two peers, and demonstrated prominence or expertise in the field of mineral exploration or mining.

Rabbit Lake - A uranium mill site owned and operated by Cameco Corporation. Production began in 1975 and since then five orebodies have been mined to produce over 180 million pounds of U₃O₈ at the site. The Rabbit Lake mill is four kilometres northeast of the Horseshoe and Raven deposits, and may serve as a potential future milling facility for these resources.

Recovery - A term used in processing metallurgy to indicate the proportion of valuable material obtained in the processing of an ore. It is generally stated as a percentage of valuable metal in the ore that is recovered compared to the total valuable metal present in the ore.

Spot market - The buying and selling of uranium products for delivery within one year.

Spot market price - The price for uranium products sold or purchased in the spot market rather than under long-term contract.

Strike length - The longest horizontal dimension of an orebody or zone of mineralization.

Tailings - Material rejected from a mill after most of the recoverable valuable minerals have been extracted.

Unconformity - The contact surface between older rocks and younger sedimentary rocks representing a discontinuity in the geological record, commonly accompanied by erosion and removal of some of the older rocks before renewed deposition of the younger rocks. Unconformity-type uranium deposits host high grades relative to other uranium deposits and include some of the largest and richest deposits known. The most significant area for this style of deposit is currently the Athabasca Basin in Saskatchewan, Canada.

U₃O₈ - Triuranium octoxide occurs naturally as the uranium-bearing mineral pitchblende and is the primary constituent of yellowcake.

Yellowcake - Partially refined uranium ore, typically containing 80-90% U₃O₈.