Cameco to supply uranium to CGNPC

Cameco will supply 29 million pounds of uranium concentrate to CGNPC under a long-term agreement through 2025.

China Guangdong Nuclear Power Holding Co., Ltd. or CGNPC, China's largest clean-energy enterprise, operates three nuclear power stations and has the largest number of nuclear power plants under construction in the world. CGNPC indicates it has about 17,000 megawatts of nuclear capacity under construction and expects to have over 50,000 MW on line by 2020.

"This long-term supply agreement with China Guangdong Nuclear Power is a significant step for our company in the world's fastest growing uranium market," said Cameco CEO Jerry Grandey. "China Guangdong Nuclear Power has 14 nuclear power units currently under construction and is commencing preliminary work on another nine units. This deal leaves us well positioned to serve the company's growing uranium requirements."

Reports from China indicate the country plans to increase its nuclear capacity from the current 11 gigawatts (GW) to at least 80 GW by 2020. A further increase to 120-160 GW or more is planned by 2030.

"This agreement is further evidence that our plan to double uranium production by 2018 aligns well with China's remarkable nuclear reactor construction program," added Grandey.