Construction has commenced on a new uranium mine in northern Saskatchewan. NexGen Energy Ltd. is constructing an underground uranium mine in the southern Athabasca Basin, approximately 130 kilometers north of La Loche. The company plans to invest $2.2 billion during the four-year construction phase of one of the world’s largest new uranium sources.
A groundbreaking ceremony was held at the mine site, where Premier Scott Moe, former Prime Minister Stephen Harper, and local leaders from Metis Nation-Saskatchewan and Desnethé-Missinippi-Churchill River MP Buckley Belanger were among the speakers. The construction has initiated on surface infrastructure, with shaft development scheduled to begin in 2027. Additionally, the existing 914-meter airstrip is being extended to 1,780 meters.
NexGen CEO Leigh Curyer reflected on the journey to reach this point, mentioning the challenges faced since their arrival in 2012. The company’s perseverance paid off in 2014 when mineralization was discovered on the eighth drill hole, marking the start of what Curyer described as the world’s most significant energy fuel project.
The mine is expected to address the increasing demand for electricity, with Curyer emphasizing the role of nuclear energy in meeting this demand. The company estimates an annual production capacity of up to 30 million pounds of uranium, representing around 20% of the global supply.
The Canadian Nuclear Safety Commission has granted NexGen a license to construct the mine and mill, with the operational license application pending. When operational, the mine is projected to create 459 full-time jobs and operate for 24 years. Ongoing exploration in the area suggests potential for additional uranium deposits to be developed.
NexGen has garnered support from Indigenous communities affected by the project, signing benefit agreements with several nations that include employment guarantees and financial benefits. Premier Scott Moe highlighted the economic opportunities the mine presents for the region, emphasizing the importance of responsible resource development.
In a separate development, Denison Mines Corp. is progressing with the construction of the Phoenix uranium mine in the eastern Athabasca Basin. The mine, estimated to start production in 2028 with an initial capital cost of $600 million, could be the first to utilize an in-situ recovery method for uranium extraction.
Denison plans to operate the mine for a decade, with estimated proven and probable uranium reserves of 56.7 million pounds. The project signifies further growth in Saskatchewan’s uranium mining sector, contributing to the province’s economic development and energy resources.