THE RIGHT STRATEGY
Cameco's strategy is focused on taking advantage of the long-term growth we see coming in our industry, while maintaining the ability to respond to market conditions as they evolve. Our strategy is to profitably produce from our tier-one assets at a pace aligned with market signals in order to increase long-term shareholder value, and to do that with a focus on safety, people and the environment.
We have world class assets that are the foundation of our strategy, providing an extensive base of mineral reserves and resources and diversified sources of supply. These include our tier-one operations at McArthur River/Key Lake, the largest uranium operation in the world, and Cigar Lake, the highest grade uranium deposit in the world, as well as Inkai in Kazakhstan. These assets are complemented by participation in other parts of the nuclear fuel cycle, producing fuel and components for reactors around the world.
OPERATING REACTOR GROWTH
Reactors are being built all over the world — in China, India, Russia and the US, to name a few. Fifty-seven are currently under construction. In 2017, four new reactors connected to the electrical grid. In addition, Japan is making progress in restarting their nuclear fleet, with the restart of five reactors and a number of additional reactors approved for restart. Over the next 10 to 20 years, we expect to see continued growth in nuclear power generation.
Today’s abundant spot material satisfies utilities’ appetite for low-priced pounds to meet near- to mid-term requirements. The economics of primary supply have been impacted by the current over-supplied market. As annual supply decreases and utilities’ uncovered requirements grow, we believe the pounds available in the spot market won’t be enough to satisfy the demand.
There is opportunity, in the long term, for strong producers that have the right mix of low-cost assets and flexibility to meet increased future consumption.
Caution about Forward-Looking Information
Please click here for additional information about the assumptions applied in making the forward-looking statements on this page and the factors that could cause results to differ materially.