UPDATE 1-Areva to delay Canada uranium mine project

PARIS Nov 25 (Reuters) - French nuclear power group Areva CEPFi.PA said on Tuesday it and partners Denison-Mines and OURD had decided to delay a mining project in Canada because of the recent drop in uranium prices.

Areva said in a statement that exploitation of the Midwest mine, in Canada's Saskatchewan province, was initially scheduled for 2010, but the partners had made a "strategic decision" to delay it given current market conditions.

"Given the recent fall in uranium prices, the significant increase in mining costs in the region, and uncertainties linked to the regulatory calendar, the profitability of the project would be uncertain if the exploitation (of the mine) was launched today," Areva said.

(Reporting by Helen Massy-Beresford)