Uranium

Across Canada there was a general decrease in the level of exploration activity during 1981, with the emphasis shifting from a grassroots effort to on-property exploration and development. In Saskatchewan, Cluff Mining officially started production on April 2, and in August, Key Lake Mining Corporation signed a surface lease agreement with the Saskatchewan government permitting orebody development to proceed. At Elliot Lake, Denison Mines doubled its mill throughput capacity. Eldorado Nuclear announced in December the June 1982 closure of its Beaverlodge operation in Saskatchewan, and Esso Resources Canada Limited indicated plans to defer development of its Midwest Lake project, also in northern Saskatchewan. In British Columbia, the provincial government's moratorium on uranium exploration and mining continued despite the Royal Commission recommendation to lift the ban on exploration. While the potential for additional production capability has increased in Canada in recent years, the rate at which the potential is being realized has begun to slow in response to the deteriorating short-term outlook. However, Canada will be able to maintain its share of this diminished market. In the longer term, Canada could enhance its position as a world uranium supplier