Denison Mines Corp. is progressing with the development of a proposed uranium mine in northern Saskatchewan following approvals from its board of directors, the national nuclear regulator’s construction license, and local community backing. The Phoenix mine at Wheeler River in the Athabasca Basin, situated in Treaty 10 territory, is poised to become Canada’s first uranium mine in decades with initial capital costs now projected at $600 million.
The company’s board of directors recently greenlit the “final investment decision” to advance site preparation and construction activities at the Phoenix mine starting in March. Denison Mines, headquartered in Toronto, received a construction license from the Canadian Nuclear Safety Commission earlier this month, allowing site preparation and mine construction, with a separate license required for operational activities post-construction.
Denison Mines CEO David Cates mentioned that production is anticipated to commence in 2028, emphasizing the scarcity of new large-scale uranium mines globally and positioning Denison uniquely as a significant new uranium supplier before the 2030s. The company plans to operate the mine for a decade and holds an estimated 56.7 million pounds of proven and probable uranium reserves for the project.
Acknowledging the importance of community engagement, Denison Mines secured impact benefit agreements with various Indigenous groups before proceeding with the project. Among these agreements, the company signed with English River First Nation, the Metis Nation—Saskatchewan, and Ya’thi Néné Lands and Resources, providing assurances on employment, training opportunities, local business contracts, and financial benefits.
While the project has garnered support from some communities, not all are equally enthusiastic. Peter Ballantyne Cree Nation and Birch Narrows Dene Nation did not endorse the project during regulatory hearings, with ongoing dialogues between Denison Mines and these communities to address concerns and enhance engagement.
Denison Mines is set to become one of the few uranium producers in Saskatchewan, alongside Cameco Corp. and potentially Vancouver-based NexGen Energy Ltd., pending the commission’s decision on its Rook I project. The upcoming uranium mine at Wheeler River signifies a significant milestone in the region, with construction activities marking a pivotal moment for the Canadian uranium industry’s future.