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, located approximately 130 kilometers north of La Loche. The company anticipates investing $2.2 billion over the four-year construction phase of one of the world’s largest new uranium sources.
At a groundbreaking ceremony held at the mine site, Premier Scott Moe, former Prime Minister Stephen Harper, local leaders from Metis Nation-Saskatchewan, and Desnethé-Missinippi-Churchill River MP Buckley Belanger addressed the attendees. Initial work has begun on surface infrastructure, with shaft development scheduled to commence in 2027. Additionally, the current 914-meter airstrip is undergoing expansion to 1,780 meters.
NexGen CEO Leigh Curyer reflected on the journey leading up to this moment, highlighting the challenges faced and the ultimate success in discovering significant mineralization on the project site. The uranium mine is poised to address the surging demand for electricity, with Curyer emphasizing the critical role of nuclear energy in meeting global energy needs.
The company estimates an annual production capacity of up to 30 million pounds (over 13,000 tonnes) of uranium, representing approximately 20% of the current global supply. NexGen recently received a construction and milling license from the Canadian Nuclear Safety Commission, with plans to apply for an operational license in the future.
Once operational, the mine is expected to create 459 full-time jobs and operate for a 24-year lifespan. NexGen has secured endorsements from Indigenous communities impacted by the project, signing 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 opportunities, training, local business contracts, and financial benefits.
Premier Scott Moe emphasized the significance of responsibly developing resources like uranium to benefit local communities while supporting global energy needs. The uranium mining sector in Saskatchewan already employs over 2,300 individuals, with nearly half of them being residents of the northern region, according to the Saskatchewan Mining Association.
In a related development, Denison Mines Corp. is progressing with the construction of the Phoenix uranium mine and mill site in the eastern part of the Athabasca Basin in northern Saskatchewan. This project, with estimated initial capital costs of $600 million, could commence production in 2028 and marks a potential shift towards utilizing an innovative in-situ recovery method for uranium extraction. Denison plans to operate the mine for a decade, leveraging its substantial uranium reserves to contribute to the global nuclear power sector.