Cameco Announces Closing of Sale

Saskatoon, Saskatchewan, Canada, March 20, 1996

Cameco Corporation announced today the closing of the sale by Crown Investments Corporation of Saskatchewan (CICS) of 9.5 million common shares through a secondary offering. The joint lead underwriters are Nesbitt Burns Inc., Goldman, Sachs & Co. and RBC Dominion Securities Inc.

The shares were sold on an instalment basis. The first payment of $37.75 (CDN) per share for purchasers in Canada or $27.60 (US) for purchasers in the United States was paid to CICS today upon closing of the sale. The second payment of $37.75 (CDN) per share is due on March 20, 1997.

With the divestiture of 9.5 million shares by CICS, the public holds 88.5% of Cameco's shares and the provincial government holds the remaining 11.5%. There are currently 52.8 million shares outstanding in Cameco.

The secondary offering by CICS includes an over-allotment option, exercisable until 30 days after March 20, 1996, that allows the underwriters to purchase up to an additional 1 million shares.

If the over-allotment option is exercised, the total value of the sale will be approximately $793 million (CDN) and public share holdings of the corporation will increase to 90.4%, with the remaining 9.6% held by the Saskatchewan government.

Cameco, with its head office in Saskatoon, is the world's largest publicly traded uranium company and a growing gold producer. Its uranium products are used to generate electricity in nuclear power plants around the world, providing one of the cleanest sources of energy available today.

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