Cameco Plans To Replace Debt With Debentures.

SASKATOON, SASKATCHEWAN--(BUSINESS WIRE)--June 11, 1999--

Cameco(TSE:CCO.) (ME:CCO.) (NYSE:CCJ) Cameco Corp. today announced that it has filed a preliminary short form shelf prospectus for the issuance of up to $300 million of unsecured debt securities, and a preliminary prospectus supplement in connection with this shelf prospectus, with the securities regulatory authorities in all of the provinces of Canada.

The preliminary prospectus supplement provides for an offering of unsecured debentures to be underwritten by RBC Dominion Securities Inc., ScotiaMcLeod Inc., CIBC World Markets Inc. and TD Securities Inc. Final terms of the offering of the debentures, including the amount, term and the interest rate, will be set forth in a final prospectus supplement. Cameco has received preliminary indications that the debentures will be rated "A" by the Dominion Bond Rating Service Limited, "A-" by Standard & Poor's Rating Service and "A3" by Moody's Investors Service Inc.

Cameco will use the proceeds of this offering to repay its commercial paper, a common form of debt, as it matures and therefore, this offering does not represent additional indebtedness.

The debentures have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States or to any US person absent registration or an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the debentures in the United States.

Cameco, with its head office in Saskatoon, Saskatchewan, is the world's largest publicly traded uranium producer. Its products are used to generate electricity in nuclear energy plants around the world, providing one of the cleanest sources of energy available today.