Cigar Lake

Cigar Lake Production

Cameco's Share (million lbs)

Production for the third quarter was 2.0 million pounds compared to 0.2 million pounds (our share) in the third quarter of 2020. Our share of production in the first nine months of 2021 was 3.3 million pounds compared to 2.3 million pounds in the first nine months of 2020. Production was impacted by suspensions in the second and third quarters of 2020 as a precautionary measure due to COVID-19. In December 2020, we safely suspended production at the Cigar Lake mine a second time as a precaution. The mine remained suspended through the first quarter of this year until its restart in mid-April.

On July 1, all non-essential personnel from the Cigar Lake mine were evacuated and production was temporarily suspended as a precaution due to the proximity of a forest fire. With the risk subsided and all infrastructure intact, the workforce returned on July 4 and production resumed in the first week of July.

In 2021, we expect to produce up to 12.0 million packaged pounds at Cigar Lake; our share is up to 6.0 million pounds.

As a result of the suspension in production, including the suspension in July due to the forest fire risk, we have experienced delays and deferrals in project work, including lower capital expenditures, which introduces potential risk to the production rate in 2022. Furthermore, the potential for post pandemic impacts on construction materials, equipment and labour remains uncertain and could further exacerbate production risk in future years.