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, located approximately 130 kilometers north of La Loche. The company plans to invest $2.2 billion during the four-year construction period to develop one of the world’s largest new uranium sources.
A groundbreaking ceremony was held at the mine site, with Premier Scott Moe and former prime minister Stephen Harper among the speakers. The event also featured addresses from local leaders representing Metis Nation-Saskatchewan and Desnethé-Missinippi-Churchill River MP Buckley Belanger.
Initial work has begun on surface infrastructure, with shaft development slated to commence in 2027. The existing 914-meter airstrip is being extended to 1,780 meters. NexGen CEO Leigh Curyer reflected on the journey, mentioning the challenges faced since their arrival in 2012. Despite early setbacks, a significant mineralization discovery in 2014 marked the project’s turning point.
The new mine is anticipated to address the escalating electricity demands globally, with nuclear energy playing a crucial role. NexGen estimates an annual uranium production capacity of up to 30 million pounds, representing approximately 20% of the current global supply. In March, the Canadian Nuclear Safety Commission granted NexGen a construction and milling license, with an operational license still pending.
Upon full operation, the mine is projected to create 459 permanent jobs and operate for 24 years. The company has obtained support from Indigenous communities affected by the project, signing benefit agreements with Clearwater River Dene Nation, Birch Narrows Dene Nation, Buffalo River Dene Nation, and Métis Nation—Saskatchewan.
Premier Scott Moe emphasized the economic opportunities the mine presents for the region and stressed the importance of ethically developing resources like uranium. Additionally, NexGen is collaborating with Clearwater River Dene Nation and Métis Nation—Saskatchewan Local 39 to construct a 59-bed hotel in La Loche.
Meanwhile, Denison Mines Corp. is progressing with the construction of the Phoenix uranium mine and mill site in the eastern Athabasca Basin. The estimated initial capital investment is $600 million, with production slated to commence in 2028. Denison’s mine could be the first to utilize an innovative in-situ recovery method, aiming to extract uranium reserves efficiently.
The Denison mine is expected to operate for a decade, boasting proven and probable uranium reserves of 56.7 million pounds. Ongoing exploration in the area suggests promising uranium deposits that may be developed in the future, aligning with Saskatchewan’s strategic resource development goals.