McClean Lake Uranium Mine Resumes Production McClean Lake Uranium Mine to Resume Production

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A Promising Restart for McClean Lake Uranium Mine

After persevering through numerous challenges, the McClean Lake Uranium Mine is on the cusp of a significant resurgence. The partnership’s unwavering commitment to innovation has led to the development of the groundbreaking SABRE mining method designed to selectively extract high-grade uranium ores from the surface.

The mine is poised to recommence operations at the McClean North deposit in 2025, with an ambitious target of approximately 800,000 pounds of uranium that year. The partners are diligently preparing the site and equipment for seamless commercial operations.

As part of the preparations, the McClean Lake Joint Venture (MLJV) will install eight pilot holes for the initial mining cavities planned for excavation, marking a significant step forward in the mine’s revitalization.

David Cates, Denison’s President and Chief Executive, lauded the successful mining test of the SABRE method in 2021 for providing crucial insights into the operation’s productivity and cost. This information has instilled confidence in the JV, indicating a potentially lower incentive price compared to current uranium prices, thus forming a robust foundation for the mining restart decision.

The companies have also identified approximately 3 million pounds of yellow cake available for potential additional production from a combination of the McClean North and Caribou deposits during the 2026-2030 period, projecting sustained growth in the coming years.

Jim Corman, President and Chief Executive of Orano Canada, attributed the JV’s current capability to capitalize on the strengthening uranium and nuclear markets to long-term investments in research and development, underlining the strategic vision and perseverance that have underpinned the continued activities at McClean Lake.

The McClean Lake property, located approximately 750 km north of Saskatoon, comprises four mineral leases covering 1,147 hectares and 13 mineral claims over an area of 3,111 hectares, reflecting the vast potential that the mine represents.

The resurgence comes amid a significant upsurge in uranium prices, reaching their highest point in over 16 years, driven by production risks highlighted by Kazakhstan’s Kazatomprom (LON: KAP), the world’s leading uranium miner. This compelling market dynamic is expected to prompt the restart of dormant capacity, setting the stage for a pivotal era in the uranium industry.

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