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NexGen Energy (TSX, NYSE: NXE; ASX: NXG) has signed an impact benefit agreement IBA) with two Metis Nations in northern Saskatchewan covering all phases of the Rook 1 uranium project.
The project is located within an area to which the Metis Nation-Saskatchewan Northern Region 2 (MS-S NR2), as represented by the Metis Nation-Saskatchewan (MN-S), assert constitutionally protected Indigenous right and interests, including title on which is project sits.
The IBA defines the environmental, cultural, economic, employment, and other benefits to be provided to the MN-S NR2 and the MN-S by NexGen in respect of the project, and to confirm the consent and support of the MN-S NR2 and the MN-S for the project throughout its complete lifecycle, including reclamation.
The IBA defines the environmental, cultural, economic, employment, and other benefits to be provided to the MN-S NR2 and the MN-S by NexGen in respect of the project, and to confirm the consent and support of the MN-S NR2 and the MN-S for the project throughout its complete lifecycle, including reclamation. This agreement grew out of a study agreement signed in 2019 by the parties.
“This is a significant moment in the project’s history,” NexGen CEO Leigh Curyer said in a news release. “Signing the fourth community and final benefit agreement to ensure sustainable generational impact through positive social, economic, and transparent environmental outcomes that will extend well beyond mine-dependent opportunities for all communities in the local priority area, the Province of Saskatchewan, and Canada.”
The signing of the IBA with the MN-S follows the signing of benefit agreements with each of the Clearwater River Dene Nation, Birch Narrows Dene Nation, and Buffalo River Dene Nation.
These four Nations collectively represent the First Nation and Métis communities for which the Saskatchewan Ministry of Environment assigned procedural aspects of the duty to consult for the project to NexGen, and which have been identified by NexGen as the primary Indigenous Nations for consultation in consideration of the federal requirements of the Canadian Nuclear Safety Commission.
The Rook 1 uranium project is at the development stage, with the next step being to advancement of the front-end engineering design, which is to be completed by year end.
The pre-production capital cost if C$1.3 billion, which will build an underground mine and mill in the southwest portion of the Athabasca Basin. The first deposit to be mined will be Arrow with measured and indicated resources of 3.8 million tonnes grading 3.10% uranium oxide containing 256.7 million lb. of U3O8 to support an initial mine life of 10.7 years.
