SMA points to diversification to bolster slowdown in uranium sector
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The Saskatchewan Mining Association says a slowdown and layoffs in the mining industry across northern Saskatchewan are unfortunate but there is still optimism for a rebound of the market.
The SMA was responding to news this week that Cameco plans to permanently lay off 700 workers due to low prices for uranium and a surplus on the world market. Cameco said 550 of the workers will be laid off at the McArthur River and Key Lake mine sites, with another 150 laid off in the corporate office in Saskatoon.
SMA President Pam Schwann said the mining industry is cyclical and there are opportunities to diversify the market.
“In northern Saskatchewan, the mining industry is really the most important economic engine that there is, and in northern Saskatchewan uranium is the main commodity,” Schwann told paNOW. “We need to start looking at other mineral potential that Saskatchewan has, including in diamonds, in gold (and) base rare earth minerals… if we can diversify then we’re not so constrained to the commodity cycle, or the price of one commodity.”
