Caution about forward-looking information
This news release includes statements and information about our expectations for the future, which we refer to as forward-looking information. Forward-looking information is based on our current views, which can change significantly, and actual results and events may be significantly different from what we currently expect.
Examples of forward-looking information in this news release include: our expectations that we are well positioned to deal with uncertainty whether it arises as a result of CRA’s actions or the volatility that may arise from global economic upheaval, our committed sales portfolio provides us with certainty and predictability, regarding our ability to layer in long-term contracts to support the restart of our McArthur River/Key Lake operations and solidify our role as a low-cost uranium supplier, not drawing on our credit facility this year, and redemption of our $400 million 3.75% debentures maturing in 2022; our targeted share of Cigar Lake’s 2020 production; our views on the uranium market, including trade policy, industry fundamentals, supply, demand and utilities’ uncovered requirements; that we remain confident in our position in our CRA tax dispute; that it could take until the second half of 2022 before a decision is rendered by the Supreme Court; and the factors to be considered and the timing for determination of any future dividends.
Material risks that could lead to different results include: that we may be required to draw on our credit facility to manage disruptions to our business caused by the COVID-19 pandemic and to fund 2020 capital requirements; that we may be unable to successfully manage the uncertainty due to the volatility that may arise from global economic upheaval resulting from the COVID-19 pandemic and its related operational, safety, marketing or financial risks successfully, including the risk of significant disruption to our operations, workforce, required supplies or services, and ability to produce, transport and deliver uranium; that our Cigar Lake production plans do not succeed for any reason; the McClean Lake mill is unable to mill Cigar Lake ore; our views that the company is well positioned to deal with the uncertainty whether it arises as a result of CRA’s actions or the volatility that may arise due to global economic upheaval, our committed sales portfolio provides us with certainty and predictability, on the uranium market, and redemption of our $400 million 3.75% debentures maturing in 2022, may prove to be inaccurate; unexpected changes in uranium supply, demand, contracting, and prices; a major accident at a nuclear power plant; changes in government regulations or policies; the risk of litigation or arbitration claims or appeals against us that have an adverse outcome; if leave is granted, we are unsuccessful in appeal of the Federal Court of Appeal’s decision and this ultimately gives rise to material tax liabilities and payment obligations that would have a material adverse effect on us; the possibility that it will take longer to receive a decision if the Supreme Court agrees to hear an appeal; the risk our strategies may change, be unsuccessful or have unanticipated consequences; the risk our estimates and forecasts prove to be incorrect; and the risk that other factors may affect the determination of any future dividends.
In presenting this forward-looking information, we have made material assumptions which may prove incorrect, including assumptions regarding our ability to successfully manage the current uncertain environment resulting from the COVID-19 pandemic and its related operational, safety, marketing and financial risks successfully; assumptions about our ability to deal with the uncertainty whether it arises as a result of CRA’s actions or the volatility that may arise from global economic upheaval, and to manage disruptions to our business caused by the COVID-19 pandemic including without drawing on our credit facility; assumptions about our committed sales portfolio; assumptions regarding our ability to maintain production at Cigar Lake and the McClean Lake mill’s ability to mill Cigar Lake ore; assumptions about uranium supply, demand, contracting and prices; assumptions about redemption of our $400 million 3.75% debentures maturing in 2022; about the time it would take to receive a decision if the Supreme Court agrees to hear an appeal; market conditions and other factors upon which we have based our future plans and forecasts; the absence of any adverse government regulations, policies or decisions; and the successful outcome of any litigation or arbitration claims or appeals against us, including success in our tax dispute with CRA.
Forward-looking information is designed to help you understand management’s current views of our near-term and longer-term prospects, and it may not be appropriate for other purposes. We will not necessarily update this information unless we are required to by securities laws.
Conference call
We invite you to join our third quarter conference call on Wednesday, November 4, 2020, at 8:00 a.m. Eastern.
The call will be open to all investors and the media. To join the call, please dial 1-800-319-4610 (Canada and US) or 1-604-638-5340. An operator will put your call through. The slides and a live webcast of the conference call will be available from a link at cameco.com. See the link on our home page on the day of the call.
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