Construction has officially commenced for a new uranium mine in northern Saskatchewan. NexGen Energy Ltd. is developing an underground uranium mine in the southern Athabasca Basin, located approximately 130 kilometers north of La Loche. The company plans to invest $2.2 billion during the four-year construction phase of what is anticipated to be one of the world’s largest new uranium sources.
During a groundbreaking ceremony at the mine site, Premier Scott Moe and former prime minister Stephen Harper, along with local leaders from Metis Nation-Saskatchewan and Desnethé-Missinippi-Churchill River MP Buckley Belanger, addressed the attendees. Initial construction activities are focusing on surface infrastructure, with shaft development set to commence in 2027. The current 914-meter airstrip is also undergoing expansion to 1,780 meters.
NexGen CEO Leigh Curyer reflected on the journey leading to this milestone, noting the challenges faced since their arrival in 2012. After initial setbacks, a significant mineral discovery was made in 2014, marking the beginning of what Curyer described as a crucial energy fuel project on a global scale.
The uranium mine is positioned to address the surging demand for electricity driven by advancements in technology and energy security. According to Curyer, nuclear energy and uranium have emerged as pivotal resources in meeting this escalating demand.
With an estimated annual production capacity of up to 30 million pounds (over 13,000 tonnes) of uranium, the mine is projected to contribute approximately 20% of the current global uranium supply. NexGen was granted a construction and mill license by the Canadian Nuclear Safety Commission earlier this year, with further operational licensing steps ahead.
Upon full operation, the mine is expected to create 459 full-time jobs and sustain operations for 24 years. Ongoing exploration activities suggest the potential for additional uranium deposits in the vicinity. NexGen has secured partnerships with Indigenous communities impacted by the project, including benefit agreements with Clearwater River Dene Nation, Birch Narrows Dene Nation, Buffalo River Dene Nation, and Métis Nation-Saskatchewan.
Premier Scott Moe emphasized the opportunities this development brings to the local population, highlighting the prospect of long-term careers and economic growth for the communities. Uranium mining already supports over 2,300 jobs in the region, with nearly half of the workforce comprising northern residents, as reported by the Saskatchewan Mining Association.
Moe underscored the significance of responsible resource development, emphasizing the role of uranium in providing clean fuel for global nuclear energy needs. The initiative aligns with Saskatchewan’s participation in the global nuclear energy sector.
In a separate development, Denison Mines Corp. is progressing with the construction of the Phoenix uranium mine and mill site in the eastern Athabasca Basin. Initial costs for the Denison project are estimated at $600 million, with production slated to commence in 2028. Denison aims to apply an innovative in-situ recovery method at the mine, projected to operate for a decade with substantial uranium reserves identified.
These advancements reflect the evolving landscape of uranium mining in Saskatchewan, contributing to both economic growth and energy sustainability.