Cameco details flooding impact on uranium production sites

Cameco Corp. [CCO-TSX, CCJ-NYSE] said that due to flooding in the region of its northern Saskatchewan sites, it has temporarily halted production activities at its Key Lake mill and reduced activity at its McArthur River uranium mine until the normal delivery of critical operating materials can resume.

While Cameco’s sites are not directly impacted by the flood waters, flooding has caused the collapse of the Smoothstone River Bridge, which is the primary route that the company uses to transport supplies to the McArthur River and Key Lake sites. Restrictions on the use of alternative roadways are in place, and Cameco said it is in regular contact with the Saskatchewan Ministry of Highways and is working with its sites to minimize the impact of delivery disruptions.

Meanwhile, the company said its Cigar Lake mine continues to operate, and its consolidated production plan remains unchanged. “Depending on the duration of the road restrictions and our ability to make deliveries of critical operating materials, there is a risk that our 2026 production outlook for the McArthur River/Key Lake operations could be impacted,’’ the company said in a press release.

Cameco shares were active on the news, easing 2.43% or $3.89 to $156.09. The shares currently trade in a 52-week range of $182.72 and $70.83.

Cameco is one of the largest global providers of the uranium fuel needed to energize a clean air world. The company’s competitive position is based on its controlling ownership of the world’s largest high-grade uranium reserves and low/cost operations.

The company has interests in tier-one mining and milling operations that have licensed capacity to produce more than 30 million pounds (its share) of uranium concentrates annually, backed by more than 469 million pounds of proven and probable mineral reserves.

The company’s assets in the Athabasca Basin in northern Saskatchewan include two of the highest-grade mines in the world – Cigar Lake and McArthur River/Key Lake. Cameco also has interests in operations located in Kazakhstan and the United States. The assets include ownership interests in Westinghouse Electric Co. and Global Laser Enrichment.

In the first quarter of 2026, total packaged production from McArthur River and Key Lake was 5.0 million pounds of U308 (3.5 million pounds Cameco’s share). Cigar Lake produced 4.9 million pounds of U308 (2.7 million pounds Cameco’s share). The company has said it expects to produce between 19.5-21.5 million pounds of U308 in 2026.

Over the next five years, the company said it has contracts in place for average annual deliveries of over 28 million pounds of U308 per year. “As the market continues to improve, we expect to continue layering in volumes that capture greater future upside using market-related pricing mechanisms,’’ the company has said.