Cameco (TSX: CCO | NYSE: CCJ) has successfully finalized its earlier announced private placement of C$500M (US$366.7M) in senior unsecured debentures at a rate of 4.94% (Series I), set to mature on 24 May 2031. The funds raised will be used to pay off Cameco’s existing 4.19% senior unsecured debentures (Series G) by or before their maturity date of 24 June 2024.
“Consistent with the conservative financial management we have demonstrated, our capital allocation decisions are focused on maintaining the financial flexibility to execute on our strategy,” Grant Isaac, Cameco’s EVP and CFO, said in an earlier release.
“In a market where we believe the demand for secure and carbon-free nuclear electricity generation and the fuel required to run reactors is stronger and more durable than ever, Cameco is well-positioned for disciplined and sustainable growth, while maintaining the ability to self-manage risk.”
Cameco stands among the world’s leading uranium producers, with operations spanning North America, Europe, and Asia. In Canada, the company runs the Cigar Lake mine, Rabbit Lake mine, McArthur Lake mine, and the Key Lake mill in northern Saskatchewan, alongside the nearby Millennium project. In Ontario, the company operates the Blind River refinery and Port Hope conversion facility.
In 2023, Cameco’s active projects delivered a total of 32Mlbs of uranium, based on full capacity ratings. The company’s share of this production was 17.6Mlbs of yellowcake and 13.3Mkg of elemental uranium. It is important to note that many of these operations are joint ventures with other companies and local governments.
