Areva Resources Canada Inc.

Midwest Project

Presentation to Engineering consulting firms

Vincent Lanièce, Director of Project Development September 2006

AREVA Resources Canada Inc.

> Titre de la présentation - Date - Références - 2> Midwest project – presentation to Engineering consulting firms, Sept 2006 2Areva Resources Canada Inc.

Midwest location

Cluff Lake

McClean Lake

Key Lake

McArthur River

Cigar Lake

Rabbit Lake

WollastonLake

Midwest

SASKATCHEWAN

ALBERTA

Athabasca Lake

N

AthabascaSandstone

Basin

Athabasca Basin

Saskatoon

Projects Operated by COGEMA Resources Inc.

> Titre de la présentation - Date - Références - 3> Midwest project – presentation to Engineering consulting firms, Sept 2006 3Areva Resources Canada Inc.

Midwest site picture

> Titre de la présentation - Date - Références - 4> Midwest project – presentation to Engineering consulting firms, Sept 2006 4Areva Resources Canada Inc.

Midwest Project and overall schedule

The Midwest project is divided in 4 parts

1. Mining (Open Pit) – done internally

2. Transportation (dedicated haul road) – done with local consultants/contractors

3. Midwest water treatment system – looking for EPCM

4. Milling - Midwest expansion Project (Increase the JEB Mill production from 12 to 16 Mlbs/y U3O8) – looking for feasibility study

Key dates

Mine: dam and dewatering of Mink Arm starts in summer 2007 – mine stripping starting in Apr 2008

Water treatment plant, pipeline, road and power line: operational for Apr

2008

Mill modifications: in production by Nov 2009

> Titre de la présentation - Date - Références - 5> Midwest project – presentation to Engineering consulting firms, Sept 2006 5Areva Resources Canada Inc.

Preliminary Midwest site layout

> Titre de la présentation - Date - Références - 6> Midwest project – presentation to Engineering consulting firms, Sept 2006 6Areva Resources Canada Inc.

Midwest and McClean road connection

> Titre de la présentation - Date - Références - 7> Midwest project – presentation to Engineering consulting firms, Sept 2006 7Areva Resources Canada Inc.

Preliminary 3D picture of mill expansion

Tailings Neutralization

Solution Shipping

Oxygen Plant

Ore Receiving

CCC

Grinding Circuit Neutral Thickener

Yellowcake Storage

Molybdenum Recovery

SX AdditionMidwest WTP

cancelled – located at

Midwest

> Titre de la présentation - Date - Références - 8> Midwest project – presentation to Engineering consulting firms, Sept 2006 8Areva Resources Canada Inc.

2 services requested from Engineering firm

1. Midwest water treatment plant system: Detailed Engineering, Procurement and Construction Management

2. McClean Lake JEB mill expansion: Feasibility Study, including detailed cost estimate and level 1 schedule

> Titre de la présentation - Date - Références - 9> Midwest project – presentation to Engineering consulting firms, Sept 2006 9Areva Resources Canada Inc.

Midwest water treatment plant “System” - overview

Need to treat water, 25,000m3/day expected, released to the McClean Lake effluent system called “Sink reservoir” (20 km distant).

Current process contemplates:

Combination of membranes and conventional water

treatment plants, with the treated water quality greater

than the Sask Surface Water Quality Objectives

(SSWQO)

Single wall pipe (20 km long) that would carry the

treated water from Midwest to Sink Reservoir

> Titre de la présentation - Date - Références - 10> Midwest project – presentation to Engineering consulting firms, Sept 2006 10Areva Resources Canada Inc.

Midwest water treatment plant “System” – Engineering status

Feasibility study in progress, including flow sheets, P&IDs, detailed cost estimate

The feasibility report should be available by end of November 2006 and will be used as the basis to tender the EPCM portion

Note that the Procurement of the EPCM will be supervised by the Areva Resources Project Contract Manager

Time line short (schedule driven project) as we need to use the 2007 fall season to start construction

System in operation (including commissioning) by early April 2008

> Titre de la présentation - Date - Références - 11> Midwest project – presentation to Engineering consulting firms, Sept 2006 11Areva Resources Canada Inc.

Midwest Mill expansion - description

McClean Lake uranium mill (called “JEB”) currently expanded from 8 to 12 Mlbs/year – should be in operation by 1st quarter 2007

JEB expansion to mill Midwest ore: increase of annual production from 12 to 16 Mlbs contemplated, in operation by Nov 2009

Expansion scope described in the next slides

> Titre de la présentation - Date - Références - 12> Midwest project – presentation to Engineering consulting firms, Sept 2006 12Areva Resources Canada Inc.

Mill expansion Project scope 16 Mlbs (1/4)Ore receiving:

Existing ore pad large enough to receive additional MW ore.

Grinding:

Capacity OK.

Pulp Density:

An additional neutral thickener will increase the density up to 50% solid.

Pulp Storage:

One additional pulp pachuca required

Leaching:

3rd leach circuit located in current tailings neutralization vault

O2 used as the oxydant with mild pressure leaching (2 bars in average)

> Titre de la présentation - Date - Références - 13> Midwest project – presentation to Engineering consulting firms, Sept 2006 13Areva Resources Canada Inc.

Mill expansion Project scope 16 Mlbs (2/4)CCC-CCD:

No modifications anticipated

Clarification:

1 additional sand filter required

Pregnant aqueous storage capacity fine

Solvent extraction:

New extraction circuit (cells available recovered from other uranium mill)

Current extraction cells used as Arsenic scrub and water wash cellsStripping and regeneration are OK.

Mo, Ni and Co recovery circuits:

Assessing potential process and cost/benefit analysis in progress

> Titre de la présentation - Date - Références - 14> Midwest project – presentation to Engineering consulting firms, Sept 2006 14Areva Resources Canada Inc.

Mill expansion Project scope 16 Mlbs (3/4)

YC precipitation:

Addition of a second centrifuge and barren strip solution sand filter

Calcining/Packaging:

Addition of a yellow cake drum storage area (report currently exists)

Tailings Neutralization:

New circuit – 2 mix tanks followed by 3 tailings neutralization tanks

Mill Water Treatment Plant:

No change

Ferric Sulphate Plant:

Addition of a 3rd reactor, ferric sulphate storage tank and iron ore pad to expand

> Titre de la présentation - Date - Références - 15> Midwest project – presentation to Engineering consulting firms, Sept 2006 15Areva Resources Canada Inc.

Mill expansion Project scope 16 Mlbs (4/4)

Acid Plant:

Upgrade of the plant from 150 to 285 t/d H2SO4 (acid strength of 100%)

Reagents:

Additional lime slurry storage

Additional ammonia storage tank

Ammonium Sulphate Crystallisation:

No change

Utilities:

No change

Electrical Substation:

No change

> Titre de la présentation - Date - Références - 16> Midwest project – presentation to Engineering consulting firms, Sept 2006 16Areva Resources Canada Inc.

Midwest Mill expansion – Engineering status

Pre-feasibility in progress, done internally

Pre-feasibility report available by end of November 2006 – it will be the basis for tendering the feasibility study

> Titre de la présentation - Date - Références - 17> Midwest project – presentation to Engineering consulting firms, Sept 2006 17Areva Resources Canada Inc.

Project organization

Engineering consulting firm in charge of design, cost estimate, schedule

Areva resources Canada Inc. bringing input and in charge of review

Procurement/Contracting: strong interface with Areva Resources Contract Manager

Very close and efficient relation expected

> Titre de la présentation - Date - Références - 18> Midwest project – presentation to Engineering consulting firms, Sept 2006 18Areva Resources Canada Inc.

Key assets expected from Consulting firm

Engineering team based in Saskatoon, Saskatchewan so that the design control can be done efficiently

Experienced Engineers and project Manager during the entire life of the project with very limited turn-over

Quality system in place

Good understanding of the Uranium/Nuclear industry

Documents and Project cost tracking system available

Tenders submitted in December 2006 with decision made in January and start of work early February 2006