NexGen Energy Ltd. has revised the projected cost of its flagship Rook I uranium mine in northern Canada to $1.6 billion, up from an initial estimate of $940 million. The increase reflects inflationary pressures and engineering challenges in the remote region of Saskatchewan.
The Vancouver-based company is actively seeking financing for the Rook I project, which is considered one of the top uranium developments. NexGen is in discussions with various prospective financing entities, including commercial lenders, export credit agencies, and alternative sources, and reports significant interest from potential investors.
As a major player in Saskatchewan’s uranium-rich Athabasca region—a hub for uranium mining as global interest in nuclear power grows—NexGen’s Rook I project is poised to supply about 13% of the world’s uranium, according to Bank of Nova Scotia.
The company’s shares dropped by up to 9.7% on Thursday in Toronto, reaching a low of C$8.31, marking the largest intraday decline since May. This decline coincided with broader uranium stock losses following updated guidance from Kazakhstan’s Kazatomprom, the world’s leading uranium producer, which announced plans to increase its output.
