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 anticipates investing $2.2 billion during the four-year construction phase to develop one of the largest new uranium sources globally.
In a groundbreaking ceremony at the mine site, NexGen hosted various dignitaries, including Premier Scott Moe, former prime minister Stephen Harper, and local leaders from Metis Nation-Saskatchewan and Desnethé-Missinippi-Churchill River MP Buckley Belanger.
Initial work has started on surface infrastructure, with shaft development scheduled to commence in 2027. Furthermore, the current 914-meter airstrip is undergoing expansion to 1,780 meters.
NexGen CEO Leigh Curyer reflected on the challenging journey to reach this milestone. He recounted the initial setbacks in 2012 when no mineralization was discovered after digging 13 holes. However, in 2014, on the eighth hole, mineralization was detected, marking the beginning of what Curyer described as the world’s most significant energy fuel project.
Curyer emphasized the importance of the mine in meeting the escalating demand for electricity, stating that nuclear energy and uranium have become crucial resources in addressing this demand. The company projects an annual uranium production capacity of up to 30 million pounds, representing approximately 20% of the current global supply.
Following the Canadian Nuclear Safety Commission’s approval for construction, NexGen aims to secure an operational license. Once operational, the mine is expected to create 459 full-time jobs and operate for 24 years. Continued exploration in the region may lead to the development of additional uranium deposits in the future.
NexGen has garnered support from Indigenous communities impacted by the project, signing benefit agreements with several nations, including Clearwater River Dene Nation, Birch Narrows Dene Nation, Buffalo River Dene Nation, and Métis Nation—Saskatchewan. These agreements typically include provisions for employment, training opportunities, local business contracts, and financial benefits.
Premier Scott Moe highlighted the economic opportunities the mine presents for the region, emphasizing the significance of ethically developing resources to benefit local communities and contribute to clean energy production.
Uranium mining plays a significant role in Saskatchewan’s economy, employing over 2,300 individuals, with nearly half of them residing in northern communities. The Saskatchewan Mining Association reports that the development of such resources is vital for the province’s energy future.
In addition to the NexGen project, Denison Mines Corp. is progressing with the construction of the Phoenix uranium mine and mill site in the eastern Athabasca Basin. With estimated initial costs of $600 million, production at the Denison mine could commence in 2028, utilizing an innovative in-situ recovery method to extract uranium reserves. Denison plans to operate the mine for a decade, leveraging its substantial uranium reserves to contribute to the region’s energy sector.
