Canada-based Cameco is hoping to produce 16 million packaged pounds of uranium concentrate (U3O8) in 2016 from its Cigar Lake mine in Saskatchewan.
Areva Resources Canada-owned McClean Lake operation is responsible for milling and packaging ore produced at the Cigar Lake.
Areva aims to increase the McClean Lake mill's operating licence from the current production limit of 13 million pounds per annum.
In this regard, the company plans to submit an application to the Canadian Nuclear Safety Commission.
Full achievement of the production outlook for Cigar Lake in 2016 is subject to the receipt of regulatory approvals, which is needed to increase mill production.
Cameco operates the Cigar Lake mine with 50.025% interest. Other partners are Areva Resources Canada (37.1%), Idemitsu Canada Resources (7.875%) and Tepco Resources (5%).
Cigar Lake Mine is located in the uranium rich Athabasca Basin of northern Saskatchewan, Canada.
The deposit was discovered in 1981 and is second in size of high-grade deposits only to the McArthur River mine.
The mine's average grade is more than 20%. Full-scale construction began in 2005, with production originally planned for 2007.
Cameco developed a new jet-boring technique specifically for the deposit and began commercial production in May 2015.
Image: Cameco's Cigar Lake mine in Northern Saskatchewan, Canada. Photo: courtesy of Cameco Corp.