Cameco (TSX: CCO) is tightening its grip on the highest grade uranium mine on the planet. The company, alongside joint-venture partner Orano Canada, has agreed to buy out TEPCO Resources’ 5% stake in the Cigar Lake Joint Venture.
Once the deal closes, Cameco’s interest in the northern Saskatchewan operation climbs 2.871% to 57.418%, while Orano picks up the remaining 2.129% to land at 42.582%.
Cameco is paying roughly $115.75 million for its portion of the departing partner’s interest, before customary closing adjustments. That works out to about $40 million per percentage point, pegging the value of the whole mine at a little over $4 billion.
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Cameco’s 2026 production outlook for Cigar Lake sits between 17.5 million and 18 million pounds of uranium concentrate on a 100% basis. The orebody holds proven and probable reserves of 172.4 million pounds, plus another 26.3 million pounds in the measured and indicated category and 20 million pounds inferred.
Since starting up in 2014, the mine has shipped roughly 174.5 million pounds.
Development is also ongoing in order to keep the mine operational. Alongside ongoing mining in the current zone, the company is advancing development on the Cigar Lake extension, including a freeze pad, freeze distribution and underground infrastructure, which it says is needed to push the mine’s life out to 2036.
The transaction is subject to regulatory approval and is expected to close in the third quarter of 2026.
Cameco last traded at $154.91 on the TSX.
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