Cameco property reserves decline

Reserves have decreased at Cameco’s (TSE) mineral properties in Saskatchewan.

As of Jan. 1, 1993, the company’s share of uranium reserves from five deposits was 460 million lb. U3O8. This represents a decrease of 7%, or 35 million lb., compared with one year earlier. The net decrease in Cameco’s uranium reserves results from:

— the deletion of eight million lb. U3O8 following the sale of Cameco’s 20% interest in the Cluff Lake project;

— reduction of the Eagle Point reserves by 39 million lb. U3O8 based on underground drilling results;

— the removal of 14 million lb. U3O8 as a result of production; and — the addition of 26 million lb. U3O8 following the purchase of an additional 10% interest in the McArthur River project.

At its 50%-owned Contact Lake property, 40 miles north of La Ronge, a 1992 drill program increased Cameco’s share of gold reserves by 57%, or by 115,700 oz. to 320,000 oz. Drill results also indicated a better gold grade of 0.28 oz. per ton, up from 0.23 oz. Until a final feasibility study is completed, the company is reclassifying the reserves as geological.

At the Hanson Lake copper-zinc property, the company’s share of reserves is estimated at 9.7 million tons grading 1.26% copper, 4.95% zinc, 0.015 oz. gold per ton, and 0.71 oz. silver. These reserves have also been reclassified as geological. The Hanson Lake project is 67.1% owned by Cameco and 32.9% owned by Billiton Resources Canada.