Equity-accounted investees

12 Months Ended

Dec. 31, 2023

Equity-accounted investees [Abstract]

Equity-accounted investees

12. Equity-accounted investees

2023

2022

Interest in Westinghouse

$

2,899,379

$

-

Interest in JV Inkai 

273,806

210,972

Interest in Global Laser Enrichment LLC (GLE)

-

-

$

3,173,185

$

210,972

A. Joint ventures

i. Westinghouse

Westinghouse is a nuclear reactor technology original equipment manufacturer and a global provider of products and services

to commercial utilities and government agencies. Effective November 7, 2023, Cameco holds a

49

% interest and Brookfield

holds

51

%. Cameco has joint control with Brookfield over the strategic operating, investing and financing activities of

Westinghouse. The Company determined that the joint arrangement should be classified as a joint venture after concluding

that neither the legal form of the separate entity, the terms of the contractual arrangement, or other facts and circumstances

would give the Company rights to the assets and obligations for the liabilities relating to the arrangement. As a result, Cameco

accounts for Westinghouse on an equity basis.

Westinghouse provides outage and maintenance services, engineering support, instrumentation and controls equipment, plant

modification, and components and parts to nuclear reactors. Westinghouse has three fabrication facilities that design and

manufacture nuclear fuel supplies for light water reactors. In addition, Westinghouse designs, develops and procures

equipment for the build of new nuclear reactor plants.

The following table summarizes the total comprehensive loss of Westinghouse (

100

%) for the period commencing November

7, 2023:

2023

Revenue from products and services

$

1,063,417

Cost of products and services sold

(408,745)

Depreciation and amortization

(124,012)

Marketing, administrative and general expenses

(498,775)

Finance income

3,846

Finance costs

(59,414)

Other expense

(39,641)

Income tax recovery

13,555

Net loss

(49,769)

Other comprehensive income

13,933

Total comprehensive loss

$

(35,836)

The following table summarizes the financial information of Westinghouse (

100

%) for the year ending December 31 and

reconciles it to the carrying amount of Cameco’s interest:

2023

Cash and cash equivalents

$

265,146

Other current assets

2,364,602

Intangible assets

7,655,386

Goodwill

1,534,947

Non-current assets

3,102,566

Current liabilities

(2,464,058)

Non-current liabilities

(6,684,673)

Net assets

$

5,773,916

Net assets attributable to non-controlling interest

(24,036)

Net assets attributable to shareholders

$

5,749,880

Cameco's share of net assets attributable to shareholders (

49

%)

2,817,441

Acquisition costs

(a)

83,916

Impact of foreign exchange

(1,978)

Carrying amount of interest in Westinghouse

$

2,899,379

(a) Cameco incurred $

84

 million of acquisition costs that were included in the cost of the investment.

ii. Global Laser Enrichment LLC (GLE)

GLE is the exclusive licensee of the proprietary Separation of Isotopes by Laser Excitation (SILEX) laser enrichment

technology, a third-generation uranium enrichment technology. Cameco owns a

49

% interest in GLE with an option to attain a

majority interest of up to

75

% ownership. Cameco has joint control with SILEX over the strategic operating, investing and

financing activities and as a result, accounts for GLE on an equity basis. In 2014, an impairment charge was recognized for its

full carrying value of $

183,615,000

. Following the impairment, under the equity method of accounting, Cameco discontinued

recognizing its share of losses in GLE. Cameco’s contributions to GLE are recorded in earnings as research and development.

B. Associate

i. JV Inkai

JV Inkai is the operator of the Inkai uranium deposit located in Kazakhstan. Cameco holds a

40

% interest and Kazatomprom

holds a

60

% interest in JV Inkai. Cameco does not have joint control over the joint venture and as a result, Cameco accounts

for JV Inkai on an equity basis.

JV Inkai is a uranium mining and milling operation that utilizes in-situ recovery (ISR) technology to extract uranium. The

participants in JV Inkai purchase uranium from Inkai and, in turn, derive revenue directly from the sale of such product to third-

party customers.

The following table summarizes the total comprehensive earnings of JV Inkai (

100

%):

2023

2022

Revenue from products and services

$

708,679

$

476,354

Cost of products and services sold

(99,160)

(66,119)

Depreciation and amortization

(35,187)

(24,749)

Finance income

1,343

1,341

Finance costs

(1,069)

(2,635)

Other expense

(34,738)

(30,770)

Income tax expense

(106,419)

(74,763)

Net earnings

433,449

278,659

Total comprehensive income

$

433,449

$

278,659

The following table summarizes the financial information of JV Inkai (

100

%) and reconciles it to the carrying amount of

Cameco’s interest:

2023

2022

Cash and cash equivalents

$

24,074

$

14,950

Other current assets

551,917

373,868

Non-current assets

332,655

334,954

Current liabilities

(40,985)

(34,606)

Non-current liabilities

(30,211)

(37,644)

Net assets

837,450

651,522

Cameco's share of net assets (

40

%)

334,980

260,609

Consolidating adjustments

(a)

(74,223)

(82,275)

Fair value increment

(b)

81,090

83,675

Dividends declared but not received

5,952

-

Dividends in excess of ownership percentage

(c)

(74,843)

(48,641)

Impact of foreign exchange

850

(2,396)

Carrying amount of interest in JV Inkai

$

273,806

$

210,972

(a) Cameco records certain consolidating adjustments to eliminate unrealized profit and amortize historical differences in

accounting policies. This amount is amortized to earnings over units of production.

(b) Upon restructuring, Cameco assigned fair values to the assets and liabilities of JV Inkai. This increment is amortized to

earnings over units of production.

(c) Cameco’s share of dividends follows its production purchase entitlements which is currently higher than its ownership

interest.