Cameco Welcomes Next Step in Enhanced Canada-China Nuclear Co-operation

SASKATOON, SASKATCHEWAN, CANADA--(Jul. 19, 2012) -CURRENCY: CDN (UNLESS NOTED)

Cameco (TSX: CCO) (NYSE:CCJ) welcomes the announcement that the text of a protocol agreement broadening the existing Canada-China nuclear co-operation agreement was signed by representatives of both countries today in Beijing.

While additional steps remain in the ratification process, the signing is a key milestone in negotiations that will ultimately enable the export of Canadian uranium for peaceful use by Chinese utilities in generating safe, clean, reliable nuclear energy to meet the country's rapidly expanding electricity demand.

\"The ability to export Canadian-sourced uranium to China is incredibly important to our company,\" said Tim Gitzel, Cameco's president and CEO. \"It will mean more jobs, more development and more investment here in Canada by Cameco and other uranium producers hoping to access this huge and growing market for nuclear energy.\"

China is one of the world's largest and fastest-growing consumers of nuclear energy. According to the World Nuclear Association, there are currently 14 reactors in operation in the country, more than 25 under construction, and additional units in the planning stage.

Profile

Cameco, with its head office in Saskatoon, Saskatchewan, is one of the world's largest uranium producers. The company's uranium products are used to generate electricity in nuclear energy plants around the world, providing one of the cleanest sources of energy available today. Cameco's shares trade on the Toronto and New York stock exchanges.

As used in this news release, \"Cameco\" or the \"company\" means Cameco Corporation, a Canadian corporation and its subsidiaries and affiliates unless stated otherwise.

Investor inquiries:
Rachelle Girard
(306) 956-6403

Media inquiries:
Rob Gereghty
(306) 956-6190