Denison completes Spanish oil sale

Toronto-based Denison Mines (TSE) recently completed the sale of a 12.6% interest in the Casablanca oilfield offshore Spain for US$15.5 million.

However, even though Denison expects to receive an additional US$13 for its Egyptian oil and gas properties, holders of the company’s series B preferred shares will be unable to redeem their shares for the time being. Denison says the provisions contained in the extension of its corporate loan agreement prevent it from redeeming any of the series B preferred shares deposited Sept. 15, or from making payments on them.

Holders of Denison’s 9.5% redeemable preferred B shares are still owed $175 million by the Toronto uranium miner.