MINISTER GIVES ENVIRONMENTAL APPROVAL ON MCARTHUR RIVER

Released on May 5, 1997

Environment and Resource Management Minister Lorne Scott, today

announced his approval under the Environmental Assessment Act for the

proposed McArthur River Uranium Project.



The proponent, Cameco Corporation, on behalf of the owners of the

McArthur River project, plans to develop an underground uranium mine at

the McArthur River property and transport the ore for milling at the

existing Key Lake mill, 80 kilometres southwest of the mine site.

Under the Environmental Assessment Act the minister is required to

review developments to assess potential environmental impacts.



"After carefully considering the proponent's proposal, the report on

the McArthur River Project by the Joint Federal-Provincial

Environmental Panel on Uranium Mining Developments in Saskatchewan, the

department's technical review comments and comments received from the

public, I am approving the development subject to specific terms and

conditions," Scott said.



The minister's approval requires the proponent report on all

construction, operation and environmental activities to ensure northern

communities are fully informed during all phases of the McArthur River

project. The proponent must also conduct research and evaluate the

potential for ongoing improvements in project operations relating to:

waste rock disposal, reduction of liquid effluent volumes and

contaminant concentrations, reduction of process chemicals and

recycling of mill effluent, and reduction of mine water inflows.



Scott said he is confident that the development can proceed without

undue impacts on the environment and that monitoring programs will

allow regulators to determine that the facility performs as expected.



"I am aware that a number of environmental and other concerns were

raised during the public review period and I am confident that the

conditions established by this approval will mitigate potential harmful

effects on the environment," Scott said. "Issues raised by the Joint

Panel and during the public review of the development that are not

related to environmental impacts, such as revenue sharing and northern

employment, are being addressed by other provincial departments."



Scott said he also appreciated the panel's concern for long-term

monitoring after the project sites are returned to provincial

management and that he agreed with the intent of the panel's

recommendation. He acknowledged the government's responsibility for

long term monitoring of project sites after the land has reverted to

the Crown. His department will be reviewing the existing arrangements

and possible options for implementing long term monitoring of project

sites and for funding any potential mitigation measures.



The minister's decision and reasons for decision are available in the

document The Government's Position on Proposed Uranium Mining

Developments in Northern Saskatchewan: McArthur River Project.



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For more information, contact:



Malcolm Ross

Environment and Resource Management

Regina

Phone: (306) 787-6190