Construction has commenced on a new uranium mine in northern Saskatchewan by NexGen Energy Ltd. The underground mine in the southern Athabasca Basin, situated about 130 kilometers north of La Loche, is projected to require an investment of $2.2 billion over a four-year construction period, making it one of the world’s largest uranium sources.
During a groundbreaking ceremony at the mine site, attended by Premier Scott Moe and former prime minister Stephen Harper, as well as local leaders from Metis Nation-Saskatchewan and Desnethé-Missinippi-Churchill River MP Buckley Belanger, initial work on surface infrastructure has begun. Shaft development is scheduled to commence in 2027, with the existing 914-meter airstrip being expanded to 1,780 meters.
NexGen CEO Leigh Curyer reflected on the challenges faced during the project’s journey, mentioning the discovery of mineralization on the eighth drill hole in 2014, marking the start of what has become a significant energy project.
The mine is anticipated to help address the escalating demand for electricity, with Curyer emphasizing the importance of nuclear energy and uranium as strategic resources in meeting this demand.
The anticipated annual uranium production from the mine is estimated at up to 30 million pounds (over 13,000 tonnes), accounting for approximately 20% of the current global supply. Following the Canadian Nuclear Safety Commission’s grant of a construction license, NexGen will proceed with applying for an operational license.
Upon reaching full operational capacity, the mine is expected to create 459 full-time positions and have a projected lifespan of 24 years. NexGen has secured support from neighboring Indigenous communities through benefit agreements, ensuring employment opportunities, training guarantees, and financial benefits.
Premier Scott Moe emphasized the significance of responsibly developing resources like uranium, underlining the benefits for both the local communities and global energy needs. Another uranium mine, the Phoenix uranium mine and mill site by Denison Mines Corp., is also under construction in the eastern Athabasca Basin, with estimated initial costs of $600 million and potential production commencement in 2028. The Denison mine may pioneer the use of an in-situ recovery method for uranium extraction.