Cameco Community Relations Report (1998)

Cameco Community
Relations

Date: November 16, 1998

Prepared For: Ms. Rita Mirwald
Senior Vice President
Human Resources and Corporate Affairs
Cameco Corporaton

Prepared By: Wayne Dunn & Associates
Canada
Tel: +1-250-743-7619
Fax: +1-250-743-7659

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i ACKNOWLEDGMENTS

The following report was prepared based on interviews conducted with senior executives and
managers of Cameco Corporation. A full list of the interviewees and the time and place of the
interviews is contained in Section 9. The recommendations developed in Section 8 are based
on our professional assessment of the situation. Although many of the recommendations are
generally consistent with the thoughts expressed in the interviews.

Without exception, everyone we interviewed was very open in their comments and generous
with their time. While everyone was extremely helpful and supportive, there were a number of
individuals who provided the logistical support and information that facilitated our work and
made the task much easier. We would like to extend a special thank you to;
Mr. Jamie McIntyre, Manager, Human Resources who was the key facilitator for the entire
process; to Ms. JoAnne Arnold, who was always ready to drop whatever she was doing and
assist us; and, to Ms. Julia Ewing, Manager, Northern Affairs, who organized and facilitated an
extremely productive process in La Ronge. And finally, we would like to thank
Ms. Rita Mirwald, Senior Vice-President, Human Resources and Corporate Relations for giving
our firm the opportunity to work with Cameco in this exciting area.

Any comments on this report can be directed to the writer at:

Wayne Dunn
Wayne Dunn & Associates
2457 Bakerview Rd
Mill Bay, BC V0R 2P0
CANADA
Tel: 250-743-7619
Fax: 250-743-7659
Email: wayne@waynedunn.com

Cameco Community Relations (electronic version)
November 16, 1998

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ii TABLE OF CONTENTS

i Acknowledgments ..................................................................................................... i

ii Table of Contents..................................................................................................... ii

1 Executive Summary ................................................................................................ 1
1.1 NORTHERN SASKATCHEWAN COMMUNITY RELATIONS ................................................... 1
1.2 CORPORATE WIDE COMMUNITY RELATIONS ISSUES ........................................................ 2

2 Introduction and Background................................................................................ 4
2.1 BACKGROUND – A SHORT GLOBAL PERSPECTIVE ON COMMUNITY RELATIONS ............. 4
2.2 TERMS OF REFERENCE ....................................................................................................... 5

3 Methodology............................................................................................................. 5
3.1 RESEARCH METHODOLOGY ............................................................................................... 5
3.2 DEVELOPMENT TECHNOLOGY SYSTEM© .......................................................................... 6
3.2.1 Corporate Ethos ........................................................................................................ 6
3.3 CONSTRUCTIVE INTERACTIONS ......................................................................................... 7
3.3.1 Measuring, Monitoring and Reporting...................................................................... 8

4 Community Relations Programs and Initiatives in Northern Saskatchewan.... 8
4.1 PROCUREMENT................................................................................................................. 9
4.1.1 Northern Business Development ............................................................................... 9
4.2 EMPLOYMENT ................................................................................................................ 13
4.2.1 Northern/Native Employment .................................................................................. 14
4.2.2 Northern Summer Student Program ........................................................................ 18
4.3 CAPACITY DEVELOPMENT ............................................................................................ 19
4.3.1 Multi-party Training Plan (MPTP) ......................................................................... 19
4.3.2 Junior Achievement - The Economics of Staying in School .................................... 20
4.3.3 Cameco Access Program for Engineering and Science (CAPES)........................... 21
4.3.4 Northern Scholarship Program ............................................................................... 22
4.4 TRAINING AND EDUCATION ........................................................................................... 23
4.4.1 Athabasca Education Awards.................................................................................. 23
4.5 LEVERAGING RELATIONSHIPS ...................................................................................... 24
4.5.1 Athabasca Working Group ...................................................................................... 24
4.5.2 Environmental Quality Committees (EQC) ............................................................. 26
4.5.3 Northern Liaison Committee ................................................................................... 27
4.6 GRANTS AND DONATIONS .............................................................................................. 28

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4.6.1 Educational School/Community Tours of Northern Operations ............................. 28
4.6.2 Corporate Donations and Sponsorship Program .................................................... 30

5 Summary of Internal Interviews .......................................................................... 31

6 Analysis of Programs and Initiatives in Northern Saskatchewan .................... 33
6.1 OVERALL ANALYSIS ........................................................................................................ 34
6.2 CORPORATE ETHOS ......................................................................................................... 34
6.3 CONSTRUCTIVE INTERACTIONS ....................................................................................... 36
6.3.1 Program Placement on the Interaction Continuum©............................................... 36
6.4 MEASURING AND MONITORING....................................................................................... 39

7 Observations .......................................................................................................... 39
7.1 ON COMMUNITY RELATIONS IN NORTHERN SASKATCHEWAN ....................................... 39
7.2 ON COMMUNITY RELATIONS GENERALLY ...................................................................... 40

8 Recommendations ................................................................................................. 41
8.1 RECOMMENDATIONS – NORTHERN SASKATCHEWAN PROGRAM .................................... 41
8.2 IMPLEMENTATION AND STRATEGIC STEPS ...................................................................... 43

9 List of Interviewees ............................................................................................... 44
9.1 CAMECO INTERVIEWEES.................................................................................................. 44
9.2 NON CAMECO INTERVIEWEES ......................................................................................... 45

List of Figures and Graphs

DEVELOPMENT TECHNOLOGY MODEL ........................................................................... 6
INTERACTION CONTINUUM .............................................................................................. 7
CAMECO PURCHASES FROM NORTHERN SUPPLIERS – 1991-98 ................................... 12
ABORIGINAL EMPLOYMENT - PERCENTAGE OF WORKFORCE 1989-98....................... 16
NUMBER OF ABORIGINAL EMPLOYEES - 1989-98 ......................................................... 17
PLACEMENT OF PROGRAMS ALONG THE INTERACTION CONTINUUM ......................... 37

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The review and analysis concluded that,
1 EXECUTIVE SUMMARY while Cameco is, essentially, doing a very
effective job of managing community
Cameco contracted Wayne Dunn & relations in Northern Saskatchewan, it does
Associates to undertake a review of its not appear to have a system to ensure that
community relations programs and community relations are managed
activities in Northern Saskatchewan. The effectively in other areas where the
purpose of the review was to assist Cameco company operates. As well, the analysis
to build from its Northern Saskatchewan noted some specific opportunities to
experience and to more effectively manage improve Cameco’s community relations
community relations throughout the program in Northern Saskatchewan through
corporation. The project was conducted a more standardized approach to managing
through interviews (internal and external) the process.
and through a review of relevant internal
documents and information. The analysis The following two sub-sections briefly
was undertaken using the Development outline the analysis and recommendations
Technology System© 1 developed by Wayne for Cameco’s community relations efforts
Dunn & Associates. in Northern Saskatchewan and also those of
a more corporate-wide nature.
Public and community relations is growing
in importance for the mining industry.
Communities are playing an increasingly 1.1 Northern Saskatchewan
important role in mineral exploration and Community Relations
development projects. Without a ‘local
license 2’ there is an increased risk that While Cameco’s community relations
community opposition will add cost and program in Northern Saskatchewan is
complexity to projects (and even force undoubtedly one of the most successful
abandonment in some instances). The examples of mining/community relations
international media and a growing number anywhere in the world, there are
of non-Governmental Organizations are opportunities to enhance it and make it
monitoring corporate/community easier for the company to build from the
relationships and are quick to bring Saskatchewan experience and standardize
problems and issues to public attention. community relations throughout worldwide
This is especially significant for Cameco, operations.
as problems associated with Cameco
activities anywhere in the world can There is an inconsistent level of
increase international scrutiny of uranium understanding of the importance and the
mining activities in Northern scope of community relations. This can
Saskatchewan. become divisive if the lack of
understanding causes resentment towards
the preferences given to Northern workers
1
The Development Technology System is explained and suppliers. Cameco may wish to
in detail in Section 3.2
2 consider efforts to ‘socialize’ community
This is a term coined by the International Finance
Corporation to refer to the need for a level of relations throughout the organization
community acceptance of a project. through activities such as:

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approach, they have evolved to the point
• Communications Materials – where they now form an inter-related
developing and using materials system, with programs such as pre-
to effectively communicate employment training and the multi-party
what Cameco is attempting to training program being crucial to the
accomplish in community success of the Northern/native
relations and why it is employment program.
important. This material
should be aimed at both Several of the programs, most notably the
internal and external audiences; Northern/native employment program and
the Northern business development
• Orientation of Workers and
program, have measuring and monitoring
Contractors – We suggest that
processes that are well structured and are
information on Cameco’s
integrated into Cameco’s management
commitment to Northern
evaluation program. Many of the other
people and communities be a
programs are not systematically reported on
standard component of the
or monitored. As well, there is not an
briefing and orientation of all
overall measuring and monitoring process
new workers and contractors,
in place to evaluate the overall community
much the same as safety and
relations effort. Failure to effectively
environmental issues currently
measure and monitor community relations
are;
programs, and the community relations
• Focal Point for Community effort as a whole, may reduce the
Relations – Cameco does not effectiveness of Cameco’s investments in
presently have an this area. Therefore, Cameco may wish to
‘organizational home’ for consider implementing a systematic
community relations. method for measuring and reporting on
Although this is not currently a all individual community relations
major problem, it will likely programs and for the entire set of
become more problematic as community relations efforts.
Cameco moves forward with
standardizing community
relations. If a focal point is 1.2 Corporate Wide Community
established, it is important to Relations Issues
ensure that community
relations programs are still Senior executives and managers throughout
‘owned’ by the responsible Cameco share an understanding of the
departments (i.e. Northern importance of community relations to
procurement with purchasing). Cameco’s ongoing operations. Recent
events at the Kumtor operation have helped
The analysis also indicated that Cameco has to illustrate the need for effective
developed a comprehensive set of actions community relations throughout Cameco’s
that interact directly with Northern operations.
communities and people. While the various
programs were developed from an ad-hoc

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(NGO) play an increasingly powerful role
While various departments are impacted in in the resource development process. This
different ways, all identified direct impacts is especially true for Cameco, a uranium-
that could or did result from community mining company that will be operating in
relations problems. Potential problems the shadow of the Kumtor spill for years to
that were cited included: come.

• Difficulties with lenders; We recommend that Cameco consider the
following strategic steps now to position
• Difficulties with shareholders;
the company as a leading edge international
• Erosion of management credibility (external perception); and to recover from the
mining company
• Difficulty accessing exploration opportunities; of the Kumtor spill.
impact
• Decreased staff morale; Standardize community relations – It was
• Long term loss of goodwill; and, the consensus of those interviewed that this
• Problems in certain markets (Sweden, Finland, Japan); important an area to be
is simply too
without a corporate-wide standardized
approach to guide individuals, departments
The bottom line result of these problems and operations. As a starting point, it may
could be: be worthwhile to consider establishing a
department/office that is a focal point for
• Depressed share prices; community relations and other
• Increased risk profile  difficulties accessing capital  higher cost of capital;
sustainability issues such as environmental
stewardship, social responsibility and
• Reduction in productivity  increased operating costs;
corporate ethics.
• Increased exploration cost; and,
• Potential to lose some key markets Strategic Collaboration – many national
and international institutions (World Bank,
CIDA, United Nations agencies, etc.) are
There was a consensus that strong steps
potential collaborators in community
should be taken to minimize the potential
relations efforts in various areas where
for future community and public relations
Cameco operates. As well, Cameco can
problems such as what occurred at Kumtor.
build on its experience in working with
While the community relations program in
NGOs in Northern Saskatchewan to
Northern Saskatchewan is world class,
establish linkages into the international
there is no structure or standard in place to
NGO community. Collaboration with these
ensure that it is replicated elsewhere in
institutions and NGOs leverages and
Cameco’s operations. Every executive we
increases the return on Cameco’s direct
interviewed strongly supported the
community relations investment.
standardization of community relations
Additionally, it can help to prevent the type
across Cameco’s operations.
of solitary exposure that occurred in
Kyrgyzstan and help to provide the
Public and community relations will
effective communications networks that are
become increasingly important for the
necessary for an international company.
mining industry. Local communities and
activist Non-Governmental Organizations

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Communication and Relationship with economically marginalized people. At
Building – the profile that recent events the same time, environmental and
have given Cameco, can help to effectively regulatory frameworks and
communicate the new steps Cameco is licensing/permitting procedures, combined
taking to manage community relations and with the ubiquity of the global media and
sustainability issues. Cameco may wish to the growth of the Internet, are focusing
consider making a series of presentations at increased attention on the interface between
institutions such as the World Bank, local communities and mining and
International Finance Corporation (IFC) exploration activities. This gives local
and United Nations Development Program communities and activist NGOs an
(UNDP) to highlight internal actions (i.e. increasingly powerful role in the resource
standardizing community relations, dealing development process.
with other sustainability issues, community
relations successes in Northern This influence will likely intensify with the
Saskatchewan, etc.). This would help to next upswing in mineral prices. As prices
increase confidence in Cameco and begin rise, a large volume of projects in the newly
building relationships that are necessary for explored areas will become economically
an international mining company operating viable and will begin gearing up to enter
in today’s climate. production – all under increasing scrutiny
of the global media, anti-mining activists
Ongoing Information and Networking – and the very influential NGO community.
It is important for Cameco to have regular The volume of projects under development
information flow from an ever-expanding will result in numerous instances of
international network in the area of environmental and community problems
sustainable development. arising. These issues will be quickly
brought to the attention of the world. It is
likely that the number of problematic
situations, coupled with an increasing
2 INTRODUCTION AND global focus on environmental and
BACKGROUND social/community issues, will heighten
public concern over the mining industry as
a whole. This will focus increased attention
2.1 Background – A Short Global on the industry and on environmental and
Perspective on Community social problems at various project sites.
Relations
A critical skill for resource companies in
The mining industry is entering a new era, this new environment will be the ability to
one in which public and community interact effectively with local communities
relations will become increasingly and the international community. Without
important. Trade and investment this skill, companies will experience rising
liberalization has opened many new costs and falling profits as local hostility
countries and areas to mineral exploration creates delays and adds complexity to their
and development – often-remote areas that operations. The ability of communities and
have never before been explored with media to quickly bring local issues to
modern technology and that are populated international attention will increase the risk

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of local problems impacting Cameco’s (a) Review and analyze Cameco's
activities worldwide. Conversely, community relations programs in
companies that are known for their ability Northern Saskatchewan.
to develop projects in ways that value and
(b) Prepare a report detailing the results of
benefit communities will become desirable
the analysis of Cameco’s community
partners as communities begin to play a
relations programs in Northern
role in determining who will be allowed to
Saskatchewan.
develop local resources.
(c) With a focus on international projects,
Despite current difficulties, Cameco is well comment on the potential for Cameco
positioned to thrive in this new to make strategic use of community
environment. The Northern Saskatchewan collaboration to enhance opportunity
operations are arguably the best in the acquisition activities.
world at collaborating with local
communities to leverage exploration and The original contract start date of May
mining activities for creating meaningful 1998 was postponed due to issues arising at
and sustainable local benefits. The recent Cameco’s Kumtor operation in Kyrgyzstan.
developments at Kumtor have created an The community relations problems at the
internal awareness of the importance of Kumtor mine resulted in an expansion of
community and public relations that can be the terms of reference to include
used to Cameco’s benefit. recommendations on how Cameco should
approach the issue of community relations
Unfortunately, Cameco’s profile after the on a global basis.
Kumtor spill, coupled with its position as a
leading uranium producer, has also
increased the potential damage that could 3 METHODOLOGY
accrue from future environmental and
social problems. 3.1 Research Methodology

Research was conducted during three visits
Prior to the Kumtor spill Ms. Rita Mirwald to Cameco’s operations in Saskatoon (July,
(Senior Vice-President, Human Resources August and September) and two visits to La
and Corporate Relations) and Mr. Jamie Ronge. Executives, managers and a Board
McIntyre (Manager – Human Resources) Member from Cameco were interviewed.
contracted Wayne Dunn & Associates to As well, a number of government officials
undertake an analysis and assessment of from Northern Saskatchewan were
Cameco’s community relations efforts in interviewed. (See section 9 for details)
Northern Saskatchewan. Corporate documentation pertaining to
community relations was also reviewed.

2.2 Terms of Reference Cameco managers responsible for
community relations programs in Northern
Saskatchewan completed the Development
The terms of reference for the project were: Technology Analysis Sheet for Community
Relations Programs and Initiatives for

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individual community relations programs.
The individual program sheets were then
reviewed with Mr. Jamie McIntyre and Fig. 1: Development Technology Model
amended to include additional information
as necessary.
Development Technology©
Cameco’s community relations activities in A 360o System
Northern Saskatchewan were then analyzed
using the Development Technology Constructive
Interaction
System© (See below for details on this
Measuring &
system). The results of this analysis are
Monitoring
contained in Section 6. The analysis
produced a number of specific Firm
recommendations which are contained in
section 8.

Based on information gathered from
internal interviews with Cameco executives Corporate Ethos
(See section 5 for details) and building
from Cameco’s and Wayne Dunn &
Associate’s experience and knowledge on There are three basic components to the
community relations, a strategic action plan Development Technology methodology:
was developed for a corporate approach to
effectively managing community relations (a) Corporate Ethos – reviewing the
(See section 8 for details). ability of a corporation to work
effectively in diverse cultural settings.

3.2 Development Technology (b) Constructive Interaction - the range,
System© frequency and intensity of interactions
between the corporation and the
The analysis of Cameco’s community community.
relations efforts in Northern Saskatchewan
was carried out using our Development (c) Measuring, monitoring and evaluating
Technology© methodology. The the impact of corporate/community
methodology focuses on three critical interactions.
aspects of the management of
corporate/community relations and enables
a standardized evaluation of how a 3.2.1 Corporate Ethos
corporation manages the interface between
its operations and local communities. Effective community relations demands
that the corporation, its personnel and sub-
contractors have the capacity, the desire
and the tools to bridge cultural and capacity
gaps that often separate them from local
communities. The ability to effectively
communicate and interact across diverse

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cultures is an essential skill set for both employment and procurement efforts). As
executives and front line technicians in a well, there is often other development
modern resource company. Without these interests that are willing to assist financially
skills, it is nearly impossible to establish a and operationally in developing various
systematic process for creating and interactions and programs.
maintaining good community relations.
Cameco’s various community relations
Evaluation of the corporate ethos includes
programs will be assessed and placed at
an assessment of the firm’s current capacity
appropriate locations along the Interaction
in this area; existing programs, activities
Continuum. As well the integration of the
and resources that support this competency
programs (the use of one program to
and any special issues pertaining to the
enhance the effectiveness of another) will
where the operation(s) are located.
be analyzed. It is expected that some
programs will ‘fit’ into more than one
grouping on the continuum.
3.3 Constructive Interactions
Figure 2: Interaction Continuum Fig. 2: Interaction Continuum©
The interactions that occur between a
corporation and local communities are the
most crucial component of a community Partnering
relations strategy. There is a series of

Communication & Consultation
potential interactions that can have varying
impacts on the community and its Procurement
relationship with the corporation. They
range from a ‘beads ‘n trinkets’,
paternalistic approach, with a strong Employment
emphasis on donor/recipient relations,
through to more mutually beneficial
interactions that facilitate the development Capacity
of constructive and sustainable Development
relationships. An effective and sustainable
community relations program will have a
comprehensive mix of inter-related Training &
initiatives at various points along the Education
continuum.
Leveraging
Often there are huge capacity gaps that Relationships
must be transcended before local
communities can become more
constructively involved in resource Grants &
projects. Programs at higher points on the Donations
continuum can be very dependent upon the
impacts of programs at other levels (i.e. Beads & Trinkets
training and capacity development
programs are often necessary to support

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Procurement
3.3.1 Measuring, Monitoring and • Northern Business
Reporting Developmen

Employment
In order to maximize the effectiveness of
• Northern/Native Employment
community relations investments, it is
• Northern Summer Student
important to implement a comprehensive
Program
measuring, monitoring and reporting
program and to integrate it into existing
Capacity Development
management and contractor evaluation
• Multi-party Training Plan
processes. The assessment will evaluate
(MPTP)
the extent to which Cameco systematically
• Junior Achievement - The
measures, monitors and evaluates
Economics of Staying in
community relations programs and
School
activities.
• Cameco Access Program for
Engineering and Science
(CAPES)
4 COMMUNITY RELATIONS • Northern Scholarship Program
PROGRAMS AND INITIATIVES
Training and Education
IN NORTHERN • Athabasca Education Awards
SASKATCHEWAN
Leveraging Relationships
Cameco’s community relations programs • Athabasca Working Group
were analyzed using the Development • Environmental Quality
Technology methodology discussed in the Committees (EQC)
previous section. The programs were • Northern Liaison Committee
grouped in appropriate categories along the
Interaction Continuum (see Section 6.3.1 Grants and Donations
Figure 6, p37). Many of the programs ‘fit’ • Educational
into two or more groupings. The following School/Community Tours of
descriptions of the individual programs are Northern Operations
organized based on the order in which they • Corporate Donations and
were first placed on the Interaction Sponsorship Program
Continuum. A complete listing 3 of all
programs is: Note: Pre-Employment Training, a
workforce preparation program, is
not listed above because it is not a
stand-alone program, but an
integral component of both the
3
Programs that are associated with more than one Northern/Native Employment
grouping on the Interaction Continuum are only listed Program and the Multi-Party
in the first grouping in which they were placed. For a
complete listing of all programs in each grouping, see Training Plan.
Section 6.3.1, Program Placement on the Interaction
Continuum.

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The following section presents detailed listed above.
descriptions of the programs and initiatives

4.1 Procurement
4.1.1 Northern Business Development
Description To select and develop Northern suppliers and contractors to provide goods
and services to Cameco’s operations. Also the program is beginning to
address assisting Northern suppliers to lessen their dependence on Cameco.
Objective To facilitate the establishment and development of successful Northern
businesses and to familiarise Northern businesses with the Purchasing and
Transportation department at Cameco
Responsibility • The Purchasing and Transportation Department
• Northern Affairs Department
History The focus on Northern business development was present prior to the
creation of Cameco in 1988. It was driven by a number of factors including
the surface land use agreement, the need for local support in the permitting
and regulatory process and by Cameco executives and managers who
recognised its importance.
The focus on developing Northern suppliers has matured over time. Initially
it was quite easy to qualify and many early attempts at partnerships between
a southern contractor and a Northern partner did not produce the Northern
benefits that were hoped for.
There has been an increasing emphasis on developing Northern businesses
that benefit Northerners, measuring and monitoring Northern employment
and benefits that are provided by Northern businesses (and other suppliers as
well).
Also, there is a growing sophistication to the Northern business development
program, a full time position has recently been created and the objectives of
the program are fully incorporated into the strategic planning process and
into CAMECO’s Performance Management Program.
Originally it was coordinated through Northern affairs and purchasing
departments. As the volume increased and the complexity of the
requirements increased it demanded a more strategic control of the program
and the Superintendent of Northern Purchasing and Transportation position
was developed. Currently this position has first line responsibility for this
function.
Budget It is difficult to determine the overall budget for this program. There is a
new staff position, Superintendent of Northern Business Development and
Transportation that is dedicated to the program. Also, the program has

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mindshare from other managers such as the Director of Purchasing, who
reports on the program at monthly management committee meetings. As
well, it is recognized that there are additional costs to developing Northern
suppliers, especially in the initial years as they develop the capacity and
expertise to compete on a cost basis with more experienced southern
suppliers.
Success Indicators There is a well-developed measuring and monitoring process for this
Measuring and program. It is fully incorporated into the MAP process with annual dollar
Monitoring targets established and progress reported on monthly.
Key success indicators are:
• Dollar value of Northern purchasing

• Northern/native employees working for contractors
• Number of Northern and native suppliers
A committed focus on Northern procurement has produced some impressive
results.
The current target is to procure 35% of total purchases in support of
Northern mining operations from Northern suppliers Northern purchasing
has steadily surpassed target levels. In 1991 the target was $10 million and
the actual procurement was $10.6 million. In 1998 the target for the entire
year is $67 million and, as of August 31 Northern purchasing has already
reached $62.2 million. During this time the number of Aboriginal suppliers
has risen from 6 in 1991 to 26 in 1998. The chart on the following page
provides additional detail.
Northern purchasing has a direct impact on Northern employment. In
August 1998 of the 554 contract employees reporting to Cameco sites (this
doesn’t include NRT and other off site) 321 were Northerners and 275 are
aboriginal
In addition to measuring the dollar value of Northern procurement, the
program also tracks Northern employment and other Northern benefits that
flow from this initiative.
Community Communities benefit directly from this program. Local businesses are
Benefits supported (and often created) as a direct result of the program. Northern
suppliers are required to employ local Northern people, thus supporting the
local economy. Cameco’s focus on Northern suppliers puts salary and profit
into the economies of Northern communities and helps increase Northern
business’ capacity to capture other opportunities.
There is an important psychological benefit for communities when they have
the competent, highly visible entrepreneurs (community capacity)

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Other Comments and Cameco has actively facilitated the creation of joint ventures between
Information Northern contractors and traditional suppliers of goods and services. This
approach, originally developed with the Kitsaki/Trimac joint venture to form
NRT Trucking, has proven to be a successful method of enabling Northern
suppliers to bridge capacity gaps that prevent them from moving into some
business opportunities. Cameco has used this approach to develop Northern
suppliers for underground mining services, catering, sophisticated
engineering and construction and other services that the Northern business
community did not have the capacity to develop on its own.
Cameco is beginning to take a proactive role in supporting Northern
businesses beyond simply assisting them to supply goods and services to
Cameco’s operations. One issue that is looming is the slowdown in
Northern procurement that will occur when the current construction phase
winds down. There is currently some internal thinking to address the issue
proactively by bringing major Northern industrial interests (Weyerhaeuser,
Sask. Power, Sask. Tel, other mines, Sask. Highways, etc.) together in a
Northern procurement committee. This committee could then share
information about opportunities and about supplier capacity.
Other issues that have been identified include the need for closer linkages
between the Northern business development program and other groups that
support Northern business development. As well, there is interest in
promoting increased internal involvement in the program and in facilitating
training support for Northern suppliers.
Partners The managers of the program work closely with other mining interests in the
region. As well, they are establishing linkages with other associations and
agencies such as the Inter-provincial Association on Native Employment,
the Northern Labour Market Committee and various organisations that
support Northern and Aboriginal businesses (Sask. Northern Affairs,
Aboriginal Business Canada, Sask. Power Northern Enterprise Fund, etc.)
Business and employment reporting is now part of the surface lease
agreements. It is necessary to report Northern business and employment
statistics and to forecast business opportunities. Northern procurement and
hiring is part of the basis of a partnership with governments, assisting them
to allocate Northern development resources in a more targeted and focused
way.
As noted previously, the program managers are considering spearheading
the establishment of a Northern industrial procurement committee.

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Figure 3: Cameco Purchases From Northern Suppliers – 1991-98

Cameco Purchases from Northern Suppliers
(millions)
$100
$90
$80
Purchases (millions)

$70
$60
$50
$40
$30
$20
$10
$-
1991 1992 1993 1994 1995 1996 1997 1998
Projected Value $10.0 $12.5 $20.0 $25.0 $30.0 $36.6 $58.0 $67.0
Actual Value $10.6 $16.7 $22.8 $27.9 $44.5 $44.1 $74.5 $93.3
Aboriginal Suppliers 6 8 10 12 15 20 21 26

The above chart displays the growth in Cameco’s purchases of goods and services from
Northern Saskatchewan suppliers and demonstrates that there has been a steady growth in the
number of northern suppliers. As well, it illustrates how Cameco has exceeded Northern
procurement targets in every year since 1991.

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4.2 Employment

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Northern/Native Employment
November 16, 1998

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Description A comprehensive set of inter-related initiatives to increase Northern and
native employment in Cameco’s operations
Objective To increase the total number of Northern and Native people employed at
Cameco’s operations and to increase the percentage of Northern and Native
people employed in supervisory and technical positions.
Responsibility Responsibility is dispersed throughout the Human Resources and Operations
Management departments. Individual managers and supervisors have
responsibility for meeting objectives and targets integrated into their overall
objectives and evaluations.
History Northern and Native employment objectives were included in the
recommendations of the Bayda report, which supported the development of
Key Lake and the Northern Saskatchewan Uranium industry. Initial efforts
at meeting Northern employment targets were largely unsuccessful due to
low Northern literacy rates, lack of Northern capacity and industry’s lack of
expertise in developing the Northern workforce. Employment quotas were
removed from Surface Leases on the condition that companies would
enthusiastically endorse ‘best efforts’ to increase Northern and native
employment. This proved to be a key turning point.
A number of ad-hoc programs and initiatives by Cameco and others in the
industry attempted to increase Northern employment. While there was some
initial success the real turning point came with the introduction of the multi-
party training program (see separate description). This plan systematically
addressed capacity development and collaboration in a way that enabled
both an increase in the number of Northern/native employees and an
increase in the supervisory and technical level positions filled by Northern
and native personnel.
It should also be noted that an early attempt at collaboration, the Northern
Mine Co-ordinators group brought together industry, government and some
community interests on an informal basis. This group met quarterly, shared
information and helped to spearhead some initiatives such as the initial
underground mining training program.
Budget There is no direct budget for Northern/native employment. The initiative is
completely integrated into Cameco’s human resource management
processes.
Success Indicators The key success indicators are the number of Northern and native people
Measuring and employed at Cameco’s operations and the growth in occupational groupings
Monitoring as Northern and native people increase their representation in technical,
trade and managerial occupations.
Community • Salaries earned by local employees
Benefits • Increased focus on education (many employees are upgrading their own
educational levels and this helps to develop a family/community culture
supporting increased education)

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• Increased community education levels (through on the job training and
development) increase the overall capacity of the community
Other Comments and • The 7 in 7 out work schedule and aircraft commuting system has
Information enabled Northern and native employees to maintain employment and
retain time for traditional hunting, and other traditional activities
• The Northern employment database helps with screening and targeted
recruitment. Cameco collaborates with Cogema on the database
• Cameco is beyond reacting to the Northern labour force – now
managing it. Human Resource management has moved to external
focus
• Employees from over 20 Northern communities
• Employment increases through hiring and also through purchasing (see
Northern business development program)
• Northern/native employment has gone from a legal obligation dictated
by the surface land use agreements to a corporate mission that is even
reflected in vision and values statement and in corporate policies
• Cameco’s payroll to Aboriginal employees is over $20 million per year.
• There is a strong focus on the need to move beyond entry level positions
(workplace literacy)
• There are supervisory development programs to identify and develop
aboriginal supervisors
• Cameco has been able to secure union co-operation – every second
apprenticeship to Northerner of aboriginal descent.
• The development of pre Employment training programs significantly
enhanced the ability to recruit and retain Northern/native employees.
• Strong collaboration with others in industry, with federal, provincial and
local governments and other stakeholders to get major initiatives in
place. Collaboration is so strong that Cameco has even trained
employees specifically for competitors
• Northern employment conditions have been written into contracts with
suppliers
Partners Partners and collaborators include;
• Federal, provincial and local government departments
• Aboriginal organisations
• Unions
• Other mining companies

Figure 4: Aboriginal Employment - Percentage of Workforce 1989-98

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Cameco Aboriginal Employment
(includes permanent contractor workforce)

50%

44%
43%
Percentage of Total Workforce

45% 42% 42%
39%
40% 37% 37%
34%
35%
30%
29%
30%

25%

20%
1989 1990 1991 1992 1993 1994 1995 1996 1997 1998
(Aug)

The above graph demonstrates the effectiveness of Cameco’s efforts to increase
the percentage of Aboriginal people employed in the company’s operations.

Figure 5: Number of Aboriginal Employees - 1989-98
The graph to the
Aboriginal Employees at Cameco left portrays the
(includes permanent contractor workforce) success of
Cameco’s efforts
600 557 in increase the
492 number of
500 Aboriginal
Number of Employees

employees in the
400 workforce. The
319
299 dramatic increase
300 274
251 in employees
231
204
200 166 178 between 1996
and 1997 is due
100 to the beginning
of construction at
0 McArthur River.
1989 1990 1991 1992 1993 1994 1995 1996 1997 1998
(Aug)

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4.2.1 Northern Summer Student Program
Description A select group of students are employed for the summer at one of Cameco’s
Northern mines. Special (but not exclusive) consideration will be given to
students interested in pursuing careers related to the mining industry.
Objective Cameco can utilize this opportunity to educate students about the mining
and uranium industry and perhaps encourage students to pursue a career in
mining.
Cameco’s summer employment program is designed to:
• Educate students about the mining and uranium industry.
• Enable the corporation to undertake special projects which can be done
by students.
• Provide relief coverage when regular employees take their holidays
throughout the summer.
• Assist students to gain experience in their chosen field of study.
• Provide students with job related experience and assists them financially
so that they may continue to finance their education.
Responsibility Cameco’s Northern Affairs Officer
History This program has been in place since Cameco’s inception in 1988.
Budget Each Dept/Site is responsible for their summer student program i.e. salaries,
medicals, accommodation, etc.
Success Indicators Success indicators include:
Measuring and • Number of applicants
Monitoring • Program participants who work with Cameco upon graduation
Community • Provides summer employment for students
Benefits • Provides students with
- On the job education
- Employment
- Experience.
Other Comments and Students will be limited to 2 terms (summers) of employment with Cameco
Information to ensure that a greater number of students are provided the opportunity to
gain experience directly related to their area of study. The exception will be
students who are in non-traditional areas of study and have been targeted as
future full time employees by a site or a department, particularly in an
advanced professional occupation.
To qualify, students must:
• be 18 years of age
• be in good physical health (a pre-employment medical is required).
• have been a resident of Saskatchewan’s North for at least five years

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prior to applying (northern residents attending school in the south still
qualify).
• Submit a verification of enrolment in school.
• Submit a verification of anticipated enrolment for the following
school year.
4.3 Capacity Development
4.3.1 Multi-party Training Plan (MPTP)
Description The goals are to:
• enhance the potential for economic development of the communities of
Saskatchewan’s North
• maximize the employment and economic opportunities for people of the
communities of Saskatchewan’s North deriving from the activities of the
mineral industry in the North.
Objective To assist Northerners in upgrading their skills to meet the requirements of
the mining industry and gain employment in the industry
Responsibility The Mineral Sector Steering Committee co-ordinates the implementation of
the MPTP.
History Multi-party Training Plan I (1993-1998)
Multi-party Training Plan II (1998-2003)
Budget • Plan I - $10.5 million
• Plan II - $13.0 million
Cameco’s total contribution to this program has been $2.5 million.
Contributions for recent years are:
• April 1995 to March 1996 - $418,698
• April 1996 to March 1997 - $334,985
• April 1997 to March 1998 - $424,440
A small portion of these costs were direct cash expenses. The remainder
were indirect costs such as flights to and from minesites, supervision,
supernumerary positions and training expenses.
Success Indicators A key success indicator is the increase in the number of Northern residents
Measuring and of Saskatchewan holding technical and supervisory positions in the mining
Monitoring industry.
The program has elaborate measuring and monitoring processes that enable
tracking of students and impacts. Additionally, a comprehensive review of
the program was conducted in 1998.
The Department of Indian and Northern Affairs has noted that this program
created a 4-500% higher rate of Aboriginal participation in the industry than
other plans/initiatives
Community More Northerners are able to gain employment in the mining industry; not
Benefits only in entry-level positions but in technical, trade, supervisory and
professional positions. The training helps to minimize many of the barriers
preventing full participation of Northerners.

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Other Comments and Courses include:
Information • Radiation/Environmental Tech
• Workplace Ed/Literacy
• Adult 12/Pre-Technologies
• Geophysics
• Ecological Technician
• Chemical Technician
• Instrumentation Technician
• Underground Mining
• Truck Driver Training
• Apprenticeship Training
• Work placements
An evaluation titled Summative Evaluation of the Multi-party Training Plan
1993-1998 was completed in April 1998 by the Business Advisory Services
from the College of Commerce at the University of Saskatchewan.
Partners Training Program partners include::
• The Province of Saskatchewan
• The Government of Canada
• The Prince Albert Grand Council
• The Meadow Lake Tribal Council
• The Metis Nation Training and Education Authorities
• The Northern Mining Industry (Cameco, Cogema, and Cigar Lake)
4.3.2 Junior Achievement - The Economics of Staying in School
Description A series of four classroom activities designed to help students understand
the importance of an education and the personal and economic costs of
dropping out of school.
Objective To encourage students to examine their future and to understand the
connection between education and future economic opportunities.
Responsibility Larry Chrispen and the Northern Affairs Department
History Started in ‘97-’98 with four schools in the North as a pilot project
Budget For ‘98-‘99 the cost was $35,000 shared between Cameco and Cogema.
Success Indicators Yearly suggestions from student participants, educator/volunteer
Measuring and participants, Northern development co-ordinator and JA president on
Monitoring program successes and how the program could be improved.
Community Encourages students to remain in school, increasing the overall education
Benefits level of the community.
Other Comments and The program was specially developed for delivery to Aboriginal students in
Information Saskatchewan’s north. It is expanding in ‘98-‘99 to include delivery of the
program to 10 Northern schools

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Partners • Junior Achievement Organization
• Various School Divisions
• Cogema

4.3.3 Cameco Access Program for Engineering and Science (CAPES)
Description An agreement between Cameco and the University of Saskatchewan
Objective • increase awareness and knowledge in the general areas of science,
technology and engineering among elementary and secondary students
in remote centres of Saskatchewan
• supporting the pre-entrance training needs of rural and, in particular,
Northern aboriginal students
• consulting with elders, community leaders, K-12 and post-secondary
educators in Northern Saskatchewan
• collaborating with other institutions, engineering colleges, and
multimedia and distance education centres to develop a comprehensive
assessment of teaching materials and methodologies
• providing academic, cultural and social support for students at the U of
S that includes individual counselling and tutoring
• providing teaching support to the instructors involved with the program
Responsibility • Jamie McIntyre and Roger Francis (Internal)
• Harold Schultz, Cameco advisor to the CAPES board
• CAPES advisory board
History An agreement between Cameco and The University of Saskatchewan which
came into effect June 1, 1997. A program organized under the umbrella of
the College of Engineering’s Innovative Teaching and Learning Centre.
Budget • $1,000,000 over 5 years
- 1997/98 approved expenditures - $291,972
- 1998/99 approved commitments - $57,329
Success Indicators Success will be an increase in the number of students enrolling in and
Measuring and completing science and math post-secondary training. Ultimately, success
Monitoring will be a pool of Northern Saskatchewan expertise in science and
engineering.
Community • Sci-Fi Camps
Benefits • university math/science/engineering classes offered in Northern Sask.
• more emphasis in K-12 on science and math
Other Comments and • Development of computer based foundations course in mathematics and
Information math readiness course
• Have held two Northern conferences on math/science education
Partners • Cameco,
• College of Engineering,
• NORTEP/NORPAC,
• Northlands College,
• Post-Secondary Education and Skills Training

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• Ile a la Crosse School Division
• University of Saskatchewan – College of Engineering/Extension
Division
• Northern Lights School Division

4.3.4 Northern Scholarship Program
Description Cameco recognizes the value of a post-secondary education and supports
Northern Saskatchewan students in their efforts. Winners are selected based
on academic standing, residency and career interest. Special (but not
exclusive) consideration will be given to applicants pursuing careers related
to some aspect of the mining industry.
Objective To enhance post-secondary education opportunities for students of
Saskatchewan’s north, by providing financial assistance in the form of
scholarships.
Responsibility Cameco’s Northern Affairs Officer is in charge of the program, however,
applications are also reviewed by a selection committee of members from
Cameco, Saskatchewan Education - Northern Division, Northern Lights
School Division, and Prince Albert Grand Council.
History This program has been in existence since Cameco’s inception in 1988.
Budget • Scholarships of up to $5,000 each are awarded to select qualified
applicants enrolling in a university degree program
• Cameco awards scholarships of up to $3,000 each to select applicants
who are entering trades or technical training at a recognized technical
institute.
Success Indicators • Increases in the number of Northern students enrolling in math and
Measuring and science related courses and in technical and professional.
Monitoring
Community • Recognising the academic achievements of Northern students at the
Benefits post-secondary level on an annual basis provides incentive to Northern
students.
• Increasing the education level of Northern residents
• Increasing the academic performance of Northern students.
Other Comments and • Applicants must have lived in Saskatchewan’s north for at least five
Information years immediately prior to applying. Students who normally reside in
this region but are attending school in the south are also eligible.
• Recipients of other scholarships are eligible, but in such cases Cameco’s
scholarship is reduced by the amount that the other award exceeds
$1,000.
• Applicants must meet the entrance requirements of, and plan to attend, a

November 16, 1998

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university or technical institute in Saskatchewan, unless the desired
program of study is not available in this province.
• Those applying for renewal must maintain at least a 75% academic
average and be eligible to progress to the next year of a program which
is acceptable to the selection committee.
Partners N/A

4.4 Training and Education

The CAPES Program and the Northern Scholarship Program are both training and education
programs and capacity development programs. They are described in detail in the previous
section.

4.4.1 Athabasca Education Awards
Description Approximately forty Northern Students are recognized annually for their
combined achievements in the following areas:
• Academic performance
• Traditional cultural skills
• School attendance
• Athletics
• Community service
• Second language ability
• Special talents and skills
Objective • To promote student achievement and academic success and to
encourage students to graduate from Grade 12.
• To identify the wide rage of student achievement in the Athabasca
region.
• To promote and reflect the unique cultural fabric of the Athabasca
region.
Responsibility Cameco’s Northern Affairs Officer and a representative from Cigar Lake
Mining Corporation and Cogema Resources.
History Originally started in 1989 by Cameco and Cigar Lake Mining Corporation,
Cogema Resources joined the program in 1994.
Budget 1. In addition to monetary awards, the corporate sponsors (Cameco, Cigar
Lake Mining and Cogema Resources) also provides each award winner
with a non-monetary award to symbolise the students’ achievement.
2. Value of the Awards is as follows:
• Grade 7 $100.00
• Grade 8 $150.00
• Grade 9 $200.00
• Grade 10 $250.00

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• Grade 11 $300.00
• Grade 12 $500.00
The awards must be used in a fashion that is most beneficial and suited to
the recipients to further their education or individual interests such as sports,
leisure activities or hobbies. Local education authorities will be responsible
for ensuring that the recipients are guided by this principle.
Success Indicators The success of the Athabasca Awards Program are evaluated according to
Measuring and the following criteria:
Monitoring • Increased levels of academic achievement;
• Increased student attendance rates and lower school drop out rates;
• Evaluation data provided by participating schools.

Community • Since the start of the Program in 1989, 382 recipients have received the
Benefits Awards.
• It’s a stay-in-school initiative.
• Lower dropout rate.
• Recognizing the academic achievements of Northern students.
• Recognizing and promoting traditional cultural skills.
Other Comments and Two awards are provided in Grade 7 through 12 in each community:
Information • one award is provided to the students achieving the top academic
average in each class, Grade 7 through 12 in each school in the
Athabasca Region. This award is called the Academic Award.
• one award is also provided to the student judged to be the top overall
student in each class, (Grade 7 through 12) in each school in the
Athabasca Region. This award is called the Athabasca Award.
• School principals are responsible for administering the program at the
school level and for establishing a recipient selection process.
Principals are requested to review program criteria with staff, students
and community. The recipient selection process should include staff,
administration and community members.
• A student is only eligible to receive one award - either the Academic or
the Athabasca Award - per school year.
Partners • Cigar Lake Mining Corporation
• Cogema Resources.

4.5 Leveraging Relationships

The Multi-Party Training Plan, which was described in detail in Section 4.3 also classifies as a
program in the Leveraging Relationships category.

4.5.1 Athabasca Working Group

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Description An agreement between the uranium mining companies and the Athabasca
communities with respect to:
• Environmental protection, compensation and indemnification in the
event of losses caused by emissions
• Employment, training and business development opportunities; and
• Benefit sharing
Related to the uranium mining projects of Rabbit Lake, McArthur River,
Cigar Lake, Mclean Lake and Midwest Lake
Objective To negotiate conditions with respect to the three key issues noted above and
to conclude with an Impact Management Agreement (IMA) signed between
the Companies and the Communities
Responsibility The Athabasca Working Group (AWG) consists of members from the
respective Companies and from communities in the Athabasca region.
History An Agreement-in-Principle was signed May 30, 1994. It is anticipated that
the Impact Management Agreement will be signed in 1998.
Budget The cost of transporting, meals and accommodation of AWG members is
divided equally between Cameco, Cogema and Cigar Lake. Industry’s total
investment in the program to date is in excess of $200,000. (the costs were
much higher prior to 1996 during the hearing process). Cameco’s share of
costs in the past two years has been
• 1996 - $14,670
• 1997 - $32,081
Success Indicators A variety of parameters including:
Measuring and • number of employees at the mine sites from the Athabasca region;
Monitoring • quality of the relationships with the communities
• acceptance by elders in the communities
• acceptance by participating companies
• successful negotiation of an Impact Management Agreement
• donation and sponsorship dollars invested in the Communities
Community • strategy in place if environmental damage occurs
Benefits • preferential employment, training and business development
opportunities; and
• benefit sharing by enhancing the education, training, health, cultural
recreational and economic development of the Region
Other Comments and The IMA may not be signed until at least the fall of ‘98 however, the terms
Information of the agreement are currently being implemented.
Partners The project is based on collaboration between Industry and Communities.
Participants include;
• Cameco,
• Cigar Lake Mining Corporation,
• Cogema,
• Hatchet Lake Band,
• Black Lake Band
• Fond du Lac Band,

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• Wollaston Lake (hamlet)
• Stony Rapids
• Uranium City
• Camsell Portage

4.5.2 Environmental Quality Committees (EQC)
Description The committees, which are formed by government, are composed of
individuals nominated by his/her community. The EQC serves as a bridge
between Northerners, government and the uranium mining industry. The
committee is a bridge built upon a solid foundation of mutual trust and
respect.
Objective To assure people from Saskatchewan’s north that the uranium mines are
operating in compliance with all applicable Provincial and Federal
regulations and the Northern economic benefits are being maximized
through appropriate hiring practises and policies related to the enhanced
capture of business opportunities.
Responsibility Northern Mines Monitoring Secretariat (NMMS)
History In the Government’s Position on Proposed Uranium Mining Developments
in Northern Saskatchewan (December, 1993), Saskatchewan committed to
the establishment of a central support agency responsible for collecting and
communicating government’s monitoring efforts (the NMMS) and for
providing support to regionally based committees composed of
representatives from impact communities (the EQCs).
Budget Operational costs for the EQCs are paid by the Province of Saskatchewan
and Cameco pays direct costs associated with minesite visits and other direct
interactions. Also, Cameco makes professional expertise available to assist
the Committees to understand technical material and issues.
Success Indicators Increased awareness and understanding of Northerners regarding monitoring
Measuring and activities surrounding the uranium industry, and the role of government and
Monitoring industry in protecting the environment, ensuring the health and safety of
workers and the public, and improving the distribution of benefits amongst
Northern residents.
Community • Providing a direct link between the community and the EQC and
Benefits NMMS
• Liaisoning with community residents in order to convey to the EQC any
concerns on issues related to uranium industry activities or requests for
information, meetings or activities
Other Comments and There are three EQCs – one in each of the regions. Each of the three visit
Information the operation(s) in their region at least once per year. This is generally done
around re-licensing time to allow input into the re-licensing process. The

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tours are paid for and hosted by the companies.
Cameco has set an objective of attending a minimum of one meeting per
year in each region to discuss issues related to social and economic
development, respond to other questions and issues and to provide up to date
industry information. It is Cameco’s intention that the EQCs will become
the primary liaison mechanism.
The mining companies on occasion attend the EQCs to provide up to date
industry information and answer any questions.
Partners Northern Mines Monitoring Secretariat, Environmental Quality Committees,
communities and mining companies

4.5.3 Northern Liaison Committee
Description A forum to facilitate dialogue and interaction with local communities4. The
Committee planned to meet four times per year. Membership on the original
committee was made up of four selected Northern Chiefs and two selected
Northern Mayors. Each person was expected to represent additional
communities beyond the one where they were an elected official (i.e. the
Beauval Mayor was also the representative for Meadow Lake, Green Lake
and Pinehouse). As well, several representatives from Cameco participated
in the meetings.
Objective The Committee was established by Cameco in order to provide a forum for
dialogue between the corporation and elected Northern leaders, chosen to
ensure effective regional representation throughout Northern Saskatchewan.
The committee’s mandate includes:
• Open frank discussion of any issues of concern to the regional
representatives, relative to Cameco’s operation, with particular emphasis
on economic, environmental and employment matters.
• Opportunities of Cameco to obtain first-hand reactions to Company
operations and initiatives in the north
• Advice to Cameco from the regional representatives on how best to
proceed in dealing with Northern concerns.
Responsibility When it was operating previously the program was the responsibility of the
Corporate Affairs and Northern Affairs Department.
History The Committee held its first meeting in July 1990 and its last meeting in
1997. The Committee was expected to:
• Improve community relations in the north
• Facilitate communication with Northern leaders
• Identify opportunities for improved operations
• Identify issues and to explain circumstances which affect Cameco and

4
The program is not currently operational in northern Saskatchewan, but consideration is being given to reviving it in
the near future. The information is based on prior operation of the program.

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its Northern neighbours.
Membership evolved to include senior company officials (executive
management, operations, environment, safety, corporate, human resources
and northern affairs. Community membership evolved to include direct
representation by up to 15 Northern mayors and Chiefs. The committee met
a minimum of three times per year.
It is expected that the committee will resume operation in 1999.
Budget Total costs were about $35,000/year (including flight costs)
Community representatives receive a $250 honorarium per meeting
Success Indicators Although there was not an explicit listing of success indicators nor a formal
Measuring and measuring and monitoring process, success indicators for the project
Monitoring included:
• Level and effectiveness of communication with Northern communities
• Ability of representatives to bring appropriate community concerns to
the attention of the Committee
• Community support for Cameco’s operations and activities
• Improved communication between Cameco and Northern communities.
Community • Improved understanding of Cameco’s operations
Benefits • Mechanism for bringing community concerns to the attention of
appropriate officials in Cameco
Other Comments and There seems to be some overlap between the EQCs and the Liaison
Information Committees.
A similar program has been recommended for the Kumtor operation.

Partners Cameco operated the committees directly without involvement from
government or from others in the mining industry.

4.6 Grants and Donations

A number of programs, which have been described previously, are also classified as Grants and
Donations programs. These are; Junior Achievement, CAPES and the Athabasca Education
Awards.

4.6.1 Educational School/Community Tours of Northern Operations
Description Cameco will, subject to operational constraints, accommodate requests to
visit operating locations, from representatives of groups or individuals
whose improved knowledge of Cameco’s operations will enhance the
achievement of the company’s business objectives.
Objective To provide opportunities for various public and customer representatives to
visit Cameco’s operating locations.
Responsibility Any division/department of Cameco may sponsor a site visit, for reasons

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that pertain to that division or department’s mandate. Two Tour Co-
ordinators have been appointed, one for Saskatchewan and the other for
Ontario.
History Despite the expense of touring a remote mining operation, Cameco has
maintained this program, which began in the early 1980s. It has provided an
excellent means of allowing Northerners to see Cameco’s operations and
better understand what Cameco is doing.
Budget Every site visit must have a sponsoring department which is responsible for
all administrative and travel arrangements, and bears the direct costs of the
visit. (i.e. transportation to the site, meals and accommodation during the
visit).
Success Indicators • Public opinion surveys are used to monitor the impacts. (Cameco
Measuring and commissions an annual public opinion survey in Saskatchewan and
Monitoring oversamples the north to ensure accurate data on Northern
issues/concerns)
• Recognition of the quality of the site operations by the visitors (elected
leaders, school children, etc.)
Community Visitors such as teachers, high school students, community groups, members
Benefits of employee families, etc. have a greater understanding of Cameco’s
operations and the uranium industry.
Other Comments and • The sponsoring department must advise the Tour Coordinator of the
Information names and titles of all tour participants at least two days in advance of
the scheduled tour date.
• On-Site Procedures – Upon arrival at the site, the tour group will be
met by the Tour Host who will be responsible for conducting the on-site
tour. These responsibilities include:
- Greeting the tour
- On-site transportation
- Site orientation and information presentations(s)
- Issuance of required safety equipment
- Safety briefing instructions
Partners Joint venture partners may also sponsor visits to sites in which they
participate and/or have contracts.

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4.6.2 Corporate Donations and Sponsorship Program
Description Donation and sponsorship program with community organizations and
agencies in Northern Saskatchewan. Typically the value of donations is
$500 or less. The 1998 Program focuses on Youth in 5 areas:
• Community and Civic
• Training and Education
• Health and Welfare
• Culture
• Recreation and Sport
Objective As part of its vision, Cameco is committed to earning the respect of the
communities in which it operates. The program aims to earn the respect of
the community in which the company interacts and has three main
objectives:
• To contribute to the prosperity and quality of life in communities where
Cameco works.
• To support specific corporate needs such as the development of a skilled
and well-educated workforce.
• To promote innovative educational business partnerships that build
economic opportunities for communities.
Responsibility The administration of the annual donations and sponsorship budget is
divided between the Northern Affairs Department, which manages the
Northern portion, and the community relations area of the investors and
corporate relations department.
History The program was incorporated when Cameco was formed in 1988 and has
been operated ever since.
Budget Cameco provides an annual budget for donations and sponsorships equal to
one half of one percent of the forecasted annual net earnings. The budget
allocation is divided between the geographic locations where Cameco has
active operations; Ontario, Northern Saskatchewan, and southern
Saskatchewan.
Success Indicators • Corporate giving demonstrates to audiences outside the organization that
Measuring and Cameco is a responsive, concerned corporate citizen.
Monitoring • It demonstrates to community leaders that Cameco is a committed and
active participant in the well being of communities located in the
vicinity of its operations.
• It returns tangible benefits to, and raises the quality of life in, the
communities where many of Cameco’s employees live and work.
• It is a source of pride for employees and demonstrates Cameco’s
commitment to them both on and off the job.
Community Corporate giving supports Cameco’s interests in developing educational
Benefits programs that fulfil the requirements of the uranium industry and supports
the economic development of the north.
• It helps open doors to education and knowledge within the communities.

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• It adds value to other human resources and training and development
initiatives.
• Investing in communities demonstrates that Cameco is:
• Available and accessible to the community
• Active in forming alliances with other businesses and organizations for
the betterment of the community.
Other Comments and A brochure and guidelines for the program are published and distributed
Information throughout the north.
Partners More than 100 organizations and agencies in Northern Saskatchewan benefit
from or are involved in this program.
Cameco co-operates with Cigar Lake and Cogema to increase the efficiency
and effectiveness of the Northern donations and sponsorship programs.

A number of people openly acknowledged
5 SUMMARY OF INTERNAL that the recent problems at the Kumtor
operation had changed their views on the
INTERVIEWS importance of community relations. Each
official interviewed identified community
The following information has been derived relations as being important to their
from interviews with senior officials at particular interest and to the corporation as
Cameco Corporation during July and a whole.
August 1998. A complete list of the
interviewees is contained in Section 9. The executives interviewed identified a
number of specific ways that community
Community relations is important to all relations problems could impact their
aspects of Cameco’s operations and departments and interests at Cameco (Many
should be systematically managed of these actually occurred as a result of the
throughout the corporation. This is the Kumtor incident). These include:
overriding message that came out in every
interview.

• Difficulties with lenders Increased Risk  Potentially higher cost of
capital and more difficulty accessing capital. The
Kumtor incident created direct problems with
lenders. Lenders, guarantors and other financial
institutions are demonstrating a growing interest in
the risk posed by ineffective community relations.
This is similar to the interest they developed in
environmental stewardship as it developed into an
important risk area.

November 16, 1998

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• Difficulties with shareholders Increased Risk  Depressed share prices and the
potential for increased investor relations costs.
Community relations is becoming a key stress point
in investor relations. Community relations problems
create a significant potential for the erosion of
investor confidence and market capitalization
leading to the breaking of covenants and impairing
the ability to raise financing in the capital markets.

• Erosion of Management Higher cost of capital and depressed share prices.
Credibility After the fact, community relations problems are
generally seen as preventable (management should
have seen and addressed the problem). The fact that
they weren’t prevented begins to erode investor
confidence in management, impacting capital and
share price.

• Difficulty accessing opportunities Increased exploration costs and more difficulty
accessing opportunities. Cameco’s community
relations success in Northern Saskatchewan was a
key factor in securing the Kumtor project and is used
by exploration to help smooth relationships in other
parts of the world (Australia, Nunavut, etc.).
Community relations problems (anywhere in
Cameco’s operations) will undermine the company’s
reputation and erode the advantage that is currently
enjoyed in opportunity acquisition.

• Long Term Loss of Goodwill The problems at Kumtor will be associated with
Cameco for several years to come. This, coupled
with the fact that Cameco is a uranium producer, will
substantially increase the potential damage from any
future environmental or community relations
problems. This significantly increases the risk that
the corporate reputation will be damaged, impacting
relationships with much of the key stakeholder
group. Also, this could place all of the company’s
operations, including Northern Saskatchewan, under
increased scrutiny from NGOs and other outside
interests.

November 16, 1998

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• Problems in certain markets Cameco’s community relations success in Northern
Saskatchewan is useful in marketing to Sweden,
Finland and Japan in particular. In Japan it is seen as
a long-term approach that helps ensure security of
supply. In Sweden and Finland it is used to help
combat those attempting to eliminate the use of
nuclear power. Other clients are also beginning to
show interest in Cameco’s community relations
programs (an Arizona client recently requested
information on Cameco’s ability to work
successfully with Northern Saskatchewan’s
Aboriginal population)

• Decreased staff morale Increased production cost (decreased production
per employee, increased turnover, etc.) There are no
facts to substantiate this conclusion, just observation
and extrapolation. Elsewhere studies have shown
the employees working with a company they are
proud of have higher production and decreased
turnover. Conversely, those working with a firm
they are not as proud of and whose values they do
not share have lower production and increased staff
turnover.
There is a strong sense of ‘ownership’ of Cameco in
Northern Saskatchewan. Communities and
employees take pride in Cameco and its
accomplishments Community relations problems in
Kumtor and elsewhere can erode the goodwill that
Cameco has built in Northern Saskatchewan.

“We cannot afford another Kumtor” was a
common sentiment throughout the 6 ANALYSIS OF PROGRAMS AND
interviews. The potential damage from
future environmental and/or community
INITIATIVES IN NORTHERN
relations problems will be compounded due SASKATCHEWAN
to the Kumtor incident and Cameco’s
position as a leading Uranium producer. The following section discusses the results
of the analysis of Cameco’s community
relations programs in Northern
Saskatchewan. Specific recommendations
to address the issues identified in the
analysis are developed in Section 8.

November 16, 1998

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will be discussed in detail in the following
sections.
6.1 Overall Analysis

When Cameco’s community relations Development Technology©
programs in Northern Saskatchewan are A 360o System
analyzed using the Development
Technology system, it is apparent that Constructive
there is an overall systematic approach Interaction
to developing mutually beneficial Measuring &
relationships with local communities. Monitoring
The systematic approach operating today
Firm
was never designed per se. It developed
through trial and error over many years as
Cameco, and the industry as a whole,
struggled to find constructive ways to
involve Northern people in the industry.
Corporate Ethos
Cameco’s community relationships in
Northern Saskatchewan are unique. They 6.2 Corporate Ethos
developed to the state they are in for a
variety of reasons. Initially they were The recent problems at the Kumtor project 6
propelled by the Northern have created an internal awareness of the
participation/benefits component of the importance of ensuring that mining and
surface land use agreements and by the exploration activities produce real and
need to deal with strong provincial meaningful benefits for local people and
opposition to uranium mining. Strong communities. This awareness is crucial for
leadership and vision at Cameco, the Lac developing the corporate ethos that is
La Ronge Indian Band and at other necessary to support a comprehensive
community/band based organizations, community relations program.
coupled with innovative strategies to bridge
capacity gaps (NRT Joint Venture, Multi- Analyzing the corporate ethos component
Party Training Agreement, etc.) and several of Cameco’s Northern Saskatchewan’s
other factors have all contributed to create community relations program identified
this unique, world-class community several areas that the company may wish to
relations situation. address. These are:

There are gaps in Cameco’s community Communications Materials – Community
relations system5 in Northern Saskatchewan relations is a key strength of Cameco –
and opportunities for improvement to without good community relationships it is
ensure it continues to function well. These
6
Executives and managers interviewed were
5
While it was not designed as a ‘system’ the unanimous in noting that the magnitude of the
combined effect of Cameco’s community relations problems that developed around the Kumtor spill
efforts in northern Saskatchewan have resulted in a were directly related to the lack of a good working
systematic approach to the issue. relationship with the community.

November 16, 1998

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doubtful that Cameco could continue lack an effective system to educate its
operating its properties in Northern existing workforce on the importance of
Saskatchewan. However, there seems to be community relations. To a large extent the
a lack of material that can be used to front line operations have been sheltered.
communicate what Cameco is attempting to Community relations have traditionally
accomplish through its community relations been dealt with by people with the Human
efforts and why they are essential. Resources and Corporate Affairs
Employees, managers, communities and department. Operations management and
other stakeholders are some of the audience workers have not traditionally been
that should be addressed with educated on the importance of community
communications materials in order to relations. Management has not been given
socialize the information throughout the the tools and support to handle the
company. Failure to support a broad level complaints and resentment about the
of understanding around the issue of preferential treatment of Northerners.
community relations can lead to internal (Steps are already being taken to address
resentments and divisiveness as questions this issue. The Management Development
are raised about preferences for northern Program held in September had a specific
suppliers, employees and other interests. session on community relations and two
other sessions that also dealt with the
Orientation of workers and contractors – subject)
Briefings and orientation programs for new
workers and new contractors do not contain Lack of a Focal Point for Community
information on Cameco’s community Relations – Currently, there is not an
relations programs and initiatives. Unless it ‘organizational home’ for community
is part of their operational responsibility, relations within Cameco. While many of
new people are left to discover on their own the programs are managed within the
what the community relations programs are Human Resources and Corporate Affairs
and why they are important. Much of the department, a key program – Northern
interaction between Northern residents and Procurement – is managed by purchasing
Cameco occurs on-site and these on-site and reports through the Finance
interactions are communicated back to department. To date this has not presented
Northern communities, helping to form an a problem, largely due to the personal
overall impression of Cameco. It is interest and involvement of
important that everyone, employees and Mr. Jamie McIntyre and Ms. Rita Mirwald
contractors, understand why Cameco has in community relations. However, as
the community programs that it does, and Cameco moves forward with rationalizing
why Northerners receive preference on and standardizing community relations, the
employment, training and business lack of a focal point will likely become
opportunities. Failure to do this will result more problematic.
in resentments and foster internal divisions
between the Northern and non-northern If an internal focal point for community
workforce. relations is established, Cameco should
guard against the ghettoization of
Education of Existing Workforce – Based community relations programs. Even with
on our observations, Cameco appears to a focal point, the implementation of various

November 16, 1998

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community relations programs must be employment programs, the success of these
‘owned’ directly by those most able to programs is directly connected to the
implement them (i.e. purchasing must successful execution other programs. This
continue to be held accountable for local is illustrated in the following section.
procurement, human resources for local
employment, etc.) 6.3.1 Program Placement on the
Interaction Continuum©
Lack of a Systematic Understanding –
Our analysis of the various programs and
Even with the increased internal awareness
initiatives enabled us to group them along
of the importance of community relations,
the Interaction Continuum 7 (See Figure 6
few executives and managers have an
p.37). Several of the programs correspond
overall understanding of what community
to more than one point on the interaction
relations is or how it works. This contrasts
continuum and are listed accordingly.
sharply with other similar issues such as
environmental management and safety.
Pre-Employment Training, a workforce
The lack of understanding makes it more
preparation program, is listed on the above
difficult for community relations to be
continuum, but was not described as a
incorporated effectively into corporate
separate program in the previous section
planning and strategy.
because it is not a stand-alone program, but
an integral component of both the
Exposure to Northern Saskatchewan –
Northern/Native Employment Program and
there is an uneven level of Executive and
the Multi-Party Training Plan.
Board exposure to Northern Saskatchewan.
Many board members, and some senior
The benefits that accrue to Northern people
executives have had little or no direct
and communities through programs at the
exposure to the conditions in Northern
higher end of the interaction continuum are
Saskatchewan. This may detract from their
supported directly by programs at other
ability to comprehend local conditions and
points. For example, the success of the
the cultural and capacity gaps that must be
Northern/Native Employment program is
overcome in order for Cameco to have a
dependent upon a number of the other
successful community relations program in
programs that put in place financial
Northern Saskatchewan.
resources and develop the skills and
capacity to enable Northern people to be
6.3 Constructive Interactions constructively employed in Cameco’s
operations. As well, the Grants and
Over the years Cameco has developed a Donations and other goodwill generating
number of community relations programs activities help to create the climate where
and initiatives to support its operations in Northern people are enthused about
Northern Saskatchewan. (Detailed working for/with Cameco.
information on the individual programs is
contained in Section 4). The following As noted earlier, the various programs and
section illustrates the interconnectedness of initiatives listed above have evolved on an
the programs. While the majority of the
tangible benefits may be directly 7
see Section 3.3 p8 for a description of the use of the
attributable to the procurement and continuum

November 16, 1998

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ad-hoc basis. Today they form an leveraging of relationships. The Northern
integrated system for enhancing the procurement program is currently
relationships between Cameco and examining ways of working with other
Northern communities, but currently there institutions and agencies to support an
is little internal understanding of how they overall increase in Northern industrial
are inter-related. This report may even be procurement. Stronger linkages between
the first time the programs were even all the Northern procurement program and
listed together. The lack of understanding government departments that support
about the integrated and systematic nature Aboriginal business development
of the comprehensive system that has been (Aboriginal Business Canada, Indian and
developed in Northern Saskatchewan has Northern Affairs, Community Futures, etc.)
made it difficult to replicate it at other could enhance the resources and support
operations (i.e. Kumtor). available for existing and potential
Northern suppliers.
There are opportunities to further enhance
some of the programs through additional

November 16, 1998

- 38 -

Figure 6: Placement of Programs along the Interaction Continuum

Partnering

Procurement ⇒ Northern Business Development

⇒ Northern/Native Employment
Employment ⇒ Northern Summer Student Program

⇒ Multi-party Training Plan (MPTP)
⇒ Junior Achievement - The Economics of Staying in School
Capacity
⇒ Cameco Access Program for Engineering and Science (CAPES)
Development
⇒ Northern Scholarship Program

⇒ Multi-party Training Plan (MPTP)
Training and ⇒ Athabasca Education Awards
Education ⇒ Pre-Employment Training Programs
⇒ Northern Scholarship Program

⇒ Northern Liaison Committee
Leveraging ⇒ Multi-party Training Plan (MPTP)
Relationships ⇒ Athabasca Working Group
⇒ Environmental Quality Committees (EQC)

⇒ Junior Achievement - The Economics of Staying in School
Grants and
Donations
⇒ Athabasca Education Awards
⇒ Educational School/Community Tours of Northern Operations
Beads ‘n Trinkets ⇒ Corporate Donations and Sponsorship Program

November 16, 1998

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that are useful to note. The observations
are not presented in any particular order.
6.4 Measuring and Monitoring However, they are divided into two groups;
those relating specifically to Northern
In order to effectively manage the interface Saskatchewan and those relating to Cameco
between Cameco’s operations and local generally.
communities it is important to have an
efficient and systematic process of
measuring, monitoring and reporting on 7.1 On Community Relations in
community relations programs. Northern Saskatchewan

The Northern procurement and ⇒ It is recognized that Cameco conducts
Northern/Native employment programs community relations very well in
have a fairly well developed measuring and Northern Saskatchewan, however there
monitoring process that is incorporated are difficulties in transferring this
directly into Cameco’s MAP program. The success due to the lack of a
recent review of the Multi-Party training standardized, systematic approach. The
program provided valuable information and current ad-hoc approach of trying to
feedback on that program’s operation. transfer best practices will still leave
However, there has been little in the way of vulnerabilities and gaps in community
systematic reporting on the other programs relations programs unless there is a
and initiatives and virtually nothing in common framework and reporting
terms of comprehensive reporting on process throughout the corporation.
community relations overall. Part of this
problem may derive from community ⇒ With the exception of Northern
relations not having a formal focal point procurement, Northern/native
within Cameco’s organizational structure. employment and the Northern Affairs
Office, community relations objectives
Program reporting – From our analysis, and priorities do not seem to be
there does not seem to be a systematic integrated into Cameco’s performance
process to measure and monitor success on management program. With Northern
the majority of the programs (exceptions procurement and employment, the
noted above), nor of setting measurable integration into the MAP program
objectives for the programs. As well, there seems to have created amazing results
is nothing in terms of measuring and and strong ‘ownership of the issue’
monitoring the overall community relations within the purchasing department.
program.
⇒ The wind-down of construction will
create excess business capacity in
7 OBSERVATIONS Northern Saskatchewan. Executives
and managers in purchasing and
Human Resources are exploring
During the course of undertaking the opportunities to establish a committee
research and analyzing the information the that could help coordinate industrial
consultants made a number of observations procurement in Northern Saskatchewan

November 16, 1998

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– helping to link current capacity to ⇒ There were no interviews or interaction
opportunities in other industries. with Cameco Gold, so we are unable to
Another option may be to explore comment on community relations
opportunities for inter-indigenous issues in that company. However, the
partnerships – linking Indigenous public is unlikely to distinguish
businesses from Northern Sask. to between Cameco Corporation and
Indigenous peoples in other areas Cameco Gold. Any community
where resource development projects relations and/or environmental issues at
are taking place. Inter-Indigenous Cameco Gold will impact Cameco
partnerships are an opportunity that Corporation directly and may focus
Canada is actively promoting. increased attention on the uranium
mining activities in Saskatchewan.
⇒ The Northern Affairs office in La
Ronge is very responsive to community ⇒ Most interviewees identified Mr. Jamie
needs. A good example occurred McIntyre as the key person on
during the latter part of the day spent in community relations issues. However,
La Ronge. There was an emergency this seems to be informal and not
situation with residents from Northern recognized in the organizational
Saskatchewan stranded in Prince Albert structure. There does not seem to be a
after a serious illness had stricken one clear focal point for community
of their leaders. Despite numerous relations in the organizational structure.
logistical difficulties, the office helped Some thought is being given to the
solve the issue quickly and creation of a department/unit for
professionally, and involved the rest of sustainable development. This could
the industry in the process as well. be an important and useful step, but
care must be taken to ensure that the
issue doesn’t become ghettoized with
7.2 On Community Relations other departments passing off
Generally ownership of the issue.

⇒ New employees and contractors (and
⇒ There is a strong realization of the
their personnel) are not briefed on
importance of community relations and
community relations.
the need to avoid mistakes. In some
cases the Kumtor incident is ⇒ Chief Harry Cook could be a strong
responsible for altering internal spokesman for Cameco on all
opinions/understanding on this issue. sustainability issues, but it does not
appear that Cameco is making full use
⇒ Many employees don’t understand the
of this potential.
importance of community relations –
they see it as a cost at a time when the ⇒ The Kumtor issue, coupled with
entire company is under pressure to cut Cameco’s leading role as a uranium
costs. (Note: Steps have already been producer, has increased the potential
taken to address this by incorporating damage from any future community
community relations into the recent relations and/or environmental
management development workshop)

November 16, 1998

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problems. Cameco no longer has a accountability and responsibility for
clean slate internationally. Northern Saskatchewan community
relations. Care must be taken that the
⇒ According to the Exploration establishment of a focal point does not
Department, community relations is a detract from individual managers ‘owning’
more important risk in Australia than in their respective pieces of the program. This
Canada. They are looking for support focal point should be a senior level position
on the issue. and should be considered on a corporate
wide basis as outlined in the following
⇒ Community relations is seen as an subsection 8.2.
insurance. It insures the firms
continued ability to operate and avoids Measuring, Monitoring and Reporting –
the distraction of management focus currently only two programs
and resources that can be caused by (Northern/Native Employment and
something like Kumtor. Northern Procurement) have a regular
measuring and monitoring program. Other
programs are either measured and
8 RECOMMENDATIONS monitored on an ad-hoc basis, or not at all.
Other than the Northern procurement and
the Northern/native employment program
The recommendations have been divided
there is little, if any, integration of program
into two sections: those pertaining
management into manager evaluations (the
specifically to the Northern Saskatchewan
Northern Affairs Manager is an exception).
community relations program, and those
As well, there is no measuring, monitoring
pertaining more to Cameco’s general
and reporting on the overall community
approach to community relations.
relations program. This lack of a
comprehensive accounting detracts from
8.1 Recommendations – Northern the ability to understand (or communicate)
Saskatchewan Program8 an overall picture of Cameco’s community
relations program. At a minimum, we
Accountability and Responsibility – suggest that the following actions be given
Currently there is not a formal serious consideration:
point/position in the organization where all
community relations programs and efforts Standardized reporting – Using the
come together. This impairs the ability to Development Technology Analysis Sheet©,
manage and understand community or a similar system, a standardized
relations on a comprehensive basis. reporting process (format and timing)
Cameco may wish to consider a formal (as should be developed for all community
opposed to the current informal role played relations programs.
by Mr. Jamie McIntyre) focal point with Increased focus on measuring and
monitoring – We recommend that program
8
Recommendations and strategic steps related to managers, along with the community
Cameco’s approach to community relations beyond relations focal point, develop quantifiable
Northern Saskatchewan are contained in the objectives for each program and
following section on Implementation and Strategic incorporate progress towards those
Steps.

November 16, 1998

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objectives into the management evaluation orientation sessions for all new employees,
program. whether contractor or direct Cameco
employees, include community relations
Comprehensive reporting and
issues in much the same way as it now
measuring/monitoring – We recommend
includes environmental and safety issues.
that quantifiable objectives be established
for the overall community relations Management Education – We recommend
program and progress towards them be that managers be supported and encouraged
included in the evaluation of the focal point to develop a better understanding of the
position. As well, there should be a regular importance of community relations, how
comprehensive reporting on the overall Cameco addresses the issue and how it is
community relations program. related to their particular job (much the
same as environmental and safety issues are
now supported and encouraged). A
Communications strategy/plan
significant step was taken towards this end
Community relations is a critical part of
when community relations was specifically
Cameco’s operations in Northern
included in the 1998 Management
Saskatchewan and efforts should be made
Development Workshop.
to communicate its success and importance.
We suggest that the communications Management Support Materials – We
strategy/plan focus on both internal and recommend that managers be provided with
external audiences and, at a minimum, support materials and, if necessary training,
address the following: to assist them to manage the complaints and
resentments that develop from the
Communication materials – We preferential treatment of Northern and
recommend that appropriate native employees and contractors.
communication materials be developed.
Identify other communications needs and
They could be used to support the
opportunities. Cameco may wish to
communication objectives listed below, and
identify other elements to include in a
for other purposes (including supporting the
communications strategy/plan for
enhancement of senior executive/board
community relations. The development of
understanding of community relations).
such a list is beyond the scope and mandate
Note – the recommendations on reporting
of this report.
of community relations programs and
activities recommended previously will
provide valuable information for the Increasing Executive/Board
development of communications materials. Understanding of Community Relations
– The Kumtor incident has enhanced the
Workforce/contractor education
Executive and Board level understanding of
program – We recommend that everyone
the importance of community relations.
involved with Cameco’s operations in
However, we recommend that continuing
Northern Saskatchewan be exposed to a
efforts be made to further develop this
minimum of information on the importance
understanding. Cameco may wish to
of community relations and on how
consider activities such as holding a Board
Cameco approaches the issue.
of Directors meeting in Northern
Briefing/orientation for new employees – Saskatchewan and encouraging all senior
We recommend that briefing and

November 16, 1998

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executives to make regular visits to and other sustainability issues for
Northern Saskatchewan. the entire corporation.
b) Implement the steps outlined in the
8.2 Implementation and Strategic previous section to completely
Steps systematize community relations in
Northern Saskatchewan.
The following strategic steps are a practical c) Using the Development
approach that we feel will help Cameco Technology© system, undertake an
deal with current issues and challenges and assessment of community relations
begin positioning the firm to thrive in the at Cameco’s other operations,
next millennium. identifying issues, opportunities
and challenges.
1. Standardize Community Relations –
We believe community relations as too 2. Strategic Collaboration –
important an issue to be left without a Corporate/community relations
standardized process that local ultimately touches on the economic,
managers can use to develop and health and social fabric of a
maintain the relationships that are community. This is a difficult and
critical to success. expensive area for a company to
The community relations program in operate in alone. There are a number
Northern Saskatchewan, with its focus of potential partners and collaborators
on developing mutually beneficial who can support and build on the
relationships, has created strong local company’s efforts to extend benefits to
partners and personnel who understand local communities. In Northern
the community relations dynamics very Saskatchewan Cameco has worked well
well. However this situation was with federal and provincial agencies
created out of a unique set of and with NGOs, leveraging increased
circumstances, rather than from a benefits to Northern people and
coordinated and well thought out plan. communities. We recommend that
Cameco build on the experience in
Given the global issues outlined Northern Saskatchewan and apply this
previously (section 2.1), we see it as it strategy to international operations as
is vitally important that community well.
relations be managed systematically
throughout Cameco’s global CIDA has already expressed interest in
operations. There should be a assisting financially with initiatives in
community relations standard in place Kyrgyzstan. Other institutions such as
that ensures there are no gaps in the the World Bank, the United Nations
programs. Development Programme, the World
Health Organization, the International
a) As a starting point, it may be Labour Organization, various nation
worthwhile to consider establishing states and international organizations
a department or office that is a are working to help improve
focal point for community relations community health, social and economic
well being. These institutions are

November 16, 1998

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increasingly open to collaborating with represents a unique communications
the private sector. Collaboration with opportunity. A series of brown bag
these institutions will not only leverage presentations at key institutions in
additional finances to support Washington, New York, Ottawa and
Cameco’s initiatives to benefit local elsewhere will highlight the innovative
communities; it can also expand and progressive work Cameco is doing
Cameco’s network into important – positioning the company as an
arenas, including the NGO community. institution that can learn from its
Additionally, it can help prevent mistakes. These presentations will also
Cameco from the type of solitary dispel many of the lingering concerns
exposure that occurred in Kyrgyzstan over Kumtor and can begin to build
and it will develop communication important relationships inside key
networks that can be invaluable if/when institutions. To sustain them, regular
future problems occur. contact should be maintained with key
individuals at various levels of those
3. Communication and Relationship institutions.
Building – There is a ‘silver lining’ in
the current storm around Kumtor. As 4. Ongoing Information, Networking
the issues around Kumtor are dealt with and Support – It is important for
and community relations are Cameco to have regular information
standardized across Cameco’s flow from, and an ever expanding
operations, there is an opportunity to network in, the areas of sustainable
develop a story that is very interesting development, international
to the institutions that Cameco needs to development and multi-lateral
build relationships with, such as the institutions. This will facilitate keeping
IFC. The Kumtor challenges are the company ahead of the curve on
already well known to these emerging issues and will also keep
institutions. How Cameco deals with personnel aware of key international
the problems (standardizing community activities and events that Cameco may
relations and increasing collaboration be interested in either participating in
with development institutions) or presenting at.

9 LIST OF INTERVIEWEES
9.1 Cameco Interviewees
Ms. Rita Mirwald, Senior Vice President Human Mr. Jamie McIntyre,
Resources and Corporate Relations Manager Human Resources
Tel: 306-956-6313 Fax: 306-956-6312 Tel: 306-956-6219 Fax: 306-956-6539
11:00am – Thursday, August 20 – Saskatoon 8:30am – Monday, August 17 – Saskatoon
2:30pm – Thursday, July 30 – Saskatoon
Mr. Gerald D. Pollock, Mr. Paul Ogryzlo
Vice President – Exploration Director - Exploration
Tel: 306-956-6341 Fax: 306-956-6390 Tel: 306-956-6393 Fax: 306-956-6390
1:00pm – Monday, August 17 - Saskatoon 1:00pm – Monday, August 17 – Saskatoon

November 16, 1998

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Mr. Bob Steane, Mr. Ken Johnson, Director – Purchasing
Vice President - Mining Tel: 306-956-6507 Fax: 306-956-6501
Tel: 306-956-6352 Fax: 306-956-6540 3:00pm – Monday, August 17 – Saskatoon
2:00pm – Monday, August 17 - Saskatoon 10:00am – Thursday, August 20 – Saskatoon
Mr. Dwayne Hounsell, Chief Harry Cook
Superintendent Northern Business Chief Lac La Ronge Indian Band
Development and Transportation Director – Cameco Corporation
Tel: 306-956-6381 Fax: 306-956-6501 President – Kitsaki Development Corporation
3:00pm – Monday, August 17 – Saskatoon Tel: 306-426-2600 (Kitsaki) or
10:00am – Thursday, August 20 - Saskatoon 425-2183 (Band Office)
Fax: 306-425-2288
12:00pm – July 31, 1998 – La Ronge, SK
Mr. Gerald W. Grandey, Mr. Bill Murphy, Director
Executive Vice President Marketing International
Tel: 306-956-6256 Fax: 306-956-6302 Tel: 306-956-6289 Fax: 306-956-6282
4:30pm – Monday, August 17 – Saskatoon 9:00am – Tuesday, August 18 – Saskatoon
Mr. Al Shpyth, Mr. Kim Goheen,
Manager – Special Projects Treasurer
Tel: 306-956-6210 Fax: 306-956-6539 Tel: 306-956-6256 Fax: 306-956-6444
10:30am – Tuesday, August 18 – Saskatoon 1:30pm – Tuesday, August 18 – Saskatoon
12:00pm – Thursday, August 20 – Saskatoon
Mr. John Clarke, Ms. Julia Ewing,
Senior Specialist – Human Resources Manager – Northern Affairs
Tel: 306-956- Fax: 306-956-6539 Tel: 306-425-4144 Fax: 306-425-2153
3:00pm – Tuesday, August 18 – Saskatoon 9:00am – Wednesday, August 19 – La Ronge
Ms. Angie Merasty, Ms. Alice Wong,
Northern Affairs Officer Director – Investor and Corporate Relations
Tel: 306-425-4144 Fax: 306-425-2153 Tel: 306-956-6337 Fax: 306-956-6318
9:00am – Wednesday, August 19 – La Ronge 11:00am – Monday, August 17 – Saskatoon

9.2 Non Cameco Interviewees
Mr. Mike Mercredi, Mr. Mark Liskowich, Manager
Executive Director – Economic Development Northern Mines Monitoring Secretariat
Saskatchewan Northern Affairs Sask. Nor. Affairs
Tel: 306-425-4290 Fax: 306-425-4267 Tel: 306-425-4211/4200 Fax: 306-425-4613
9:00am – Wednesday, August 19 – La Ronge 10:00am – Wednesday, August 19 – La Ronge

Mr. Earl Cook, Ms. Gil Cracie,
Director – Post Secondary Education, Aurora Communications/Northern Mines
Northern Education Services Monitoring Secretariat
Tel: 306-425-4380 Fax: 306-425-4383 Cell: 306-425-7280 Tel/Fax: 306-425-3826
11:00am – Wednesday, August 19 – La Ronge 12:00pm – Wednesday, August 19 – La Ronge

Mr. Peter Mayotte,
Director – Central and Athabasca Regions
Northlands College
Tel: 306-425-4353 Fax: 306-425-2696
2:00pm – Wednesday, August 19 – La Ronge

November 16, 1998

Cameco Community Relations Report (1998)

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Cameco Community Relations Report (1998)