Construction has officially 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 over the four-year construction phase, establishing 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. The construction has initiated with surface infrastructure development, and shaft construction is scheduled to commence in 2027. Notably, the existing 914-meter airstrip is being extended to 1,780 meters.
NexGen CEO Leigh Curyer reflected on the challenging journey to reach this milestone. He recounted the company’s initial struggles upon arrival in 2012, where multiple drilling attempts yielded no mineralization. However, in January 2014, on the eighth drill hole, the team struck mineralization, marking the inception of what Curyer described as a significant energy project.
Emphasizing the importance of the new mine, Curyer noted that it would contribute to meeting the surging demand for electricity driven by advancements in technology and energy security. The company anticipates an annual production capacity of up to 30 million pounds of uranium, equivalent to about 20% of the current global supply.
The Canadian Nuclear Safety Commission granted NexGen a license to construct the mine and mill in March, with the operational license application pending. Once operational, the mine is expected to generate 459 full-time positions and operate for 24 years. Ongoing exploration in the region suggests the potential development of additional uranium deposits in the future.
NexGen has secured endorsements from nearby Indigenous communities, including benefit agreements with 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, and financial benefits for local businesses.
Premier Scott Moe highlighted the economic opportunities the mine presents for the region, emphasizing the importance of ethical resource development that benefits local communities. Uranium mining currently employs over 2,300 individuals in Saskatchewan, with almost half of the workforce being residents of the northern region.
In another development, Denison Mines Corp. is constructing the Phoenix uranium mine and mill site in the eastern Athabasca Basin. The project, estimated at $600 million for initial capital costs, is expected to commence production in 2028. Denison intends to utilize an innovative in-situ recovery method, which involves injecting an acidic solution into the ore body to extract uranium for surface retrieval.
The company anticipates operating the mine for a decade and has identified 56.7 million pounds of proven and probable uranium reserves for the Phoenix project. These initiatives align with Saskatchewan’s strategic vision for sustainable resource development and participation in the global nuclear energy sector.
