Milling change for Cigar Lake

Friday, 7 October 2011 All uranium ore extracted at Canada's forthcoming Cigar Lake mine will now be milled at McClean Lake, in a change that project leader Cameco said will increase profitability for the mine. Previously the work would have been split between mills at McClean Lake and Rabbit Lake on a toll basis. The latter is 100% owned by Cameco, who said the mill would now have flexibility to process ore from other sources. Cigar Lake is being developed by Cameco (50%), Areva (37%), Idemitsu (8%) and Tepco (5%) and this group needs to finalise the new milling plan with the McClean Lake joint venture, owned by Areva (70%), Denison (22.5%) and Japan's Overseas Uranium Resource Development Company (7.5%). The agreement should be finalised by 30 November; Cigar Lake is slated to begin production in mid-2013.