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Issues at Operating Uranium Mines and Mills - Australia

(last updated 15 Jul 2008)


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General

Anglican Church's investment fund in Australia removes ban on uranium mining shares

Glebe Asset Management Ltd. external link, the second-biggest so-called ethical investment fund in Australia, removed its ban on buying uranium mining shares after a three-month review, Director David Andrews said. The company decided to scrap the restriction after BHP Billiton in June bought WMC Resources Ltd., owner of the world's largest deposit of the nuclear fuel. (Bloomberg Aug. 23, 2005)

 

Activists finish 2000 km uranium mining protest trek

Anti-nuclear activists have arrived at Parliament House in Canberra, after walking more than 2,000 kilometres from the Roxby Downs uranium mine in South Australia.
Aboriginal elder 'Speedy' McGuiness and activist William Taylor are calling for an end to uranium mining in Australia. (ABC March 30, 2004)

 

South Australia's assessment of environmental impact of acid in-situ leach uranium mining

Review report backs acid ISL uranium mining in South Australia

On Nov. 9, 2004, South Australia's Environment Protection Authority released the review report on the environmental impacts of the acid in-situ leach uranium mining process. The review recommends the practice be allowed to continue. South Australian Environment Minister John Hill told Parliament the State's Environment Protection Authority has accepted recommendations made in the report. (ABC Nov. 9, 2004)

Review of Environmental Impacts of the Acid In-situ Leach Uranium Mining Process, by Graham Taylor, Vic Farrington, Peter Woods, Robert Ring and Robert Molloy, CSIRO Land and Water Client Report, August 2004
> Download Full report external link (1.1M PDF)

SA EPA invites submissions for In-situ acid leach mining review

A public meeting will be held on 4 March 2004.
The closing date for written submissions is 2 April 2004.

SA EPA issues tender for review of the environmental impacts of the In-situ acid leach mining process

> View Tender EPA009148 info external link

Tender closed at 5:00 PM Adelaide time 1 August 2003.

South Australia to assess environmental impact of acid in-situ leach uranium mining

The South Australian Government has announced plans to assess the impact of acid-leach uranium mining on the surrounding environment - the mining method used at the Beverley and Honeymoon uranium mines. The investigation will be coordinated by the SA Environment Protection Authority external link. (ABC 27 Mar 2003)

 

> See also: Senate launches inquiry into uranium mining


Beverley (South Australia)

> See also: South Australia to assess environmental impact of acid in-situ leach uranium mining
> Download Beverley Environmental Report 2004 external link (1.7MB PDF)

Beverley Uranium Mine Extension

Claim Public Environment Report for the Beverley Uranium Mine Extension ignores groundwater

An environmental engineer says a report on the extension of the Beverley uranium mine does not address the potential risks to groundwater. Mining company Heathgate Resources wants to extend the lease area of its mine in South Australia's north-east and issued the report in response to public submissions about the mine plan, as part of the approval process.
Dr Gavin Mudd from Monash University says the report inadequately deals with the public submissions. "Their response has always been, 'Well it's still the same category of water quality and it's not impacting on the potential uses of that water'," he said. "When you look at the increasing value of water and the ability for desalination plants now to desalinate water or sea water or quality like that - and Beverley's a lot less than sea water - then I think we need to be taking an attitude that we protect our groundwater resources." "The nature of the acid leaching process is they inject the acid, it removes a lot of the uranium obviously but also in that same process it also mobilises a lot of the other metals and so on, so it leaves the groundwater quality a lot worse than what it was prior to mining." (ABC Apr. 24, 2008)

Heathgate releases draft Public Environment Report for the Beverley Uranium Mine Extension

Heathgate Resources Pty Ltd announces the publication of its draft Public Environment Report for the Beverley Uranium Mine Extension. The proposed development outlined in the Mining Proposal is an extension of the area outside the existing Mining Lease in which wellfields may be installed. There are no proposed changes to the existing operations at the Beverley processing plant, and no increased production above the existing approved level is sought.
On April 18, 2008, Heathgate issued a Response Document following public consultation.
> View Referral 2006/3167 external link (Environment Australia)
> View Public Notice external link (PIRSA)

Heathgate seeks mining lease extension

On Nov. 23, 2006, Heathgate Resources has applied to extend the operation of the Beverley uranium mine for at least 20 years. Heathgate is seeking a new mining lease surrounding the existing Beverley lease. A request has also been made to Native Title claimants for negotiations to commence for a new Mining Agreement.

Geothermal power for Beverley uranium mine?

Heathgate Resources has signed a memorandum of understanding (MOU) with a geothermal developer, Petratherm Ltd. external link, to explore opportunities to supply the Beverley mine with more power, produced by geothermal, or hot rock, sources. (AAP Nov. 1, 2006)

Dispute between aboriginal communities over mining royalty

Heathgate has filed papers in the District Court external link asking it to resolve a dispute between members of the Adnyamathanha and Kuyani communities for the royalties, due to be paid in about a month. (news.com.au Feb. 15, 2002)

Production at Beverley in-situ leach uranium mine halted after spill

The Beverley uranium mine will not resume production until an independent inquiry was held into a 60,000-litre spill of radioactive liquid, federal and state politicians said on Jan. 14, 2002. (The Age, Canberra Times, Jan. 15, 2002)
Meanwhile, the Beverley mine has resumed commercial production, after modifications to the plant were made to ensure a repeat spillage would not happen. (WNA News Briefing 02.07, Feb 13, 2002)

License Violations at Beverley in-situ leach mine

It has been revealed that there have been more leaks from the Beverley uranium mine in South Australia's north since the last publicised leak in May 2002. Almost 15,000 litres of acid uranium solution leaked in that incident, and a further nine leaks ranging from 50 litres to more than 6,000 have now been reported on the South Australian Government's Primary Industries website. (ABC Sep 12, 2002)

Spills of 1000+ litres:

The total number of spills reported in 2002 so far (August) is 11.

A total of 24 spills of radioactive liquid had occurred over the past two years. Three of them were more than 2,000 litres. (The Age, Jan 14, 2002)

> see also: Beverley Spill Incident Summaries external link (PIRSA)


Ranger (Northern Territory)

High water level in Ranger pit affects uranium production

On Apr. 15, 2008, ERA announced that, currently, there is restricted access to higher grade ore, which is located predominantly in the bottom of the pit. This access should be re-established towards the end of the second quarter, with the mill currently processing stockpiled ore. As a result, average head grade in the second quarter is expected to be in the range of 0.20 to 0.25 per cent uranium oxide and processing of this lower grade will reduce drummed production in the second quarter.
On July 15, 2008, ERA reported that "uranium oxide production of 1,030 tonnes was 22 per cent lower than the first quarter of 2008, and 31 per cent lower than the corresponding quarter in 2007. This was due to restricted access to higher grade ore". "At the end of the wet season, although water levels in the pit were substantially lower than at the same time in 2007, there was still restricted access to higher grade ore, which is located predominantly in the bottom of the pit."

ERA halts mining at Ranger ahead of cyclone

Uranium producer Energy Resources of Australia Ltd (ERA) has ceased mining at its Ranger mine in the Northern Territory as the operation braces for Tropical Cyclone Helen. The milling operation continues on stockpiled ore. (The Sydney Morning Herald Jan. 4, 2008)
Mining resumed on Jan. 7, 2008. (The Australian Jan. 7, 2008)

ERA to extend mine life of Ranger open pit mine to 2012

On Sep. 27, 2007, Energy Resources of Australia Ltd announced that it has approved an extension of the Ranger operating pit. The extension of the operating pit follows a detailed feasibility study which was announced in February 2007. The pit pushback, will extend mining at Ranger until 2012, and combined with optimisation of the existing pit, will add an additional 4,857 tonnes (10.7 million lbs) of contained uranium oxide [4,119 t U]. The majority of the additional production from the extension will occur in 2011. Processing at Ranger is due to cease in 2020.
ERA has also approved expenditure of A$10 million for a pre-feasibility study to examine options to extend the mine further and increase production from the processing plant. The study will commence immediately and continue in 2008.

Heavy rainfall stops uranium mining at Ranger

Uranium miner Energy Resources of Australia Ltd (ERA) has stopped mining at its Ranger mine in the Northern Territory following heavy monsoonal rain. ERA said mining stopped on Feb. 27, 2007, and the processing plant closed on Feb. 28, 2007, after several days of heavy rain. (The Age March 1, 2007)
Mining operations restarted at Ranger on Mar. 7, 2007. The processing plant is expected to restart within the next week. (ERA Mar. 7, 2007)
The shutdown and re-start of the processing plant resulted in the loss of approximately 300 tonnes of uranium oxide production. In addition, the elevated water level in the mine resulting from the high rainfall will restrict access to ore in the second half of 2007 and into 2008. This will have an impact on production in the second half of 2007. Based on currently available water treatment and disposal capacity, production in 2007 is likely to be similar to 2006, while production in 2008 is likely to be 25 per cent to 35 per cent lower than 2006. (ERA Apr. 2, 2007)
Uranium production in the first quarter of 2007 (1006 t U3O8) was 28% lower than in the first quarter of 2006. (ERA Apr. 16, 2007)
It is now expected that Pit 3 will be emptied of water by November 2007. This will allow mining of ore at the bottom of the pit and, subject to experiencing a normal wet season, should allow production in 2008 to be restored to normal levels. (ERA Sep. 27, 2007)

ERA to construct processing plant for stockpiled lateritic ore at Ranger mine

Energy Resources of Australia Ltd will spend $27.6 million in 2007 to construct a plant at the Ranger mine in the Northern Territory to process lateritic ore, a material containing a high proportion of clay minerals. The laterite processing plant will contribute approximately 400 tonnes per annum of uranium oxide to ERA's production over seven years from 2008 through to 2014. This production is already included in ERA's current processing plan, and the lateritic ore forms part of current stated reserves. Approximately 1.6 million tonnes of lateritic ore have been stockpiled since the mine began operating to allow for the optimum processing method to be developed. Because of the claylike nature of this material, it has to be introduced into the main processing plant through a dedicated handling facility. Construction of the plant will commence in April 2007 with the first lateritic ore scheduled for processing in the first quarter of 2008. (ERA Nov. 29, 2006)

Study finds almost doubled cancer rate among Aborigines near Ranger mine

Cancer cases among Aborigines near the Ranger uranium mine appear to be almost double the normal rate, according to a study by the Australian Institute of Aboriginal and Torres Strait Islander Studies external link (AIATSIS), the Federal Government's leading indigenous research body.
The study also found there had been no monitoring in the past 20 years of the Ranger mine's impact on the health of local indigenous people. Yet since 1981 there have been more than 120 spillages and leaks of contaminated water at the mine, located in the World Heritage-listed Kakadu National Park.
The study compared Aborigines diagnosed with cancer in the Kakadu region with the cancer rate among all Aboriginal people in the Northern Territory from 1994 to 2003. It found the diagnosis rate was 90 per cent higher than expected in the Kakadu region, with 27 cases reported. If the diagnosis rate had been proportional to the territory's overall Aboriginal population, there would have been 14 cases.
A spokeswoman for federal Health Minister Tony Abbott said the study's findings on cancer rates were questionable. NT health department chief executive Robert Griew was also sceptical. "The excess cancers found are not typical of cancers caused by radiation but rather cover the range of cancers that reflect lifestyle issues such as smoking, diet and infection." (The Age Nov. 23, 2006)
On Nov. 23, 2006, the AIATSIS chairman stated that the "draft discussion paper entitled Aborigines and Uranium Mining in the Northern Territory authored by Professor Colin Tatz external link et al [...] was neither commissioned nor authorized by the Institute's Governing Council and [...] does not represent a finalized report."

ERA plans to mill more stockpiled low-grade ore, extending operational life of Ranger mill by six years

Since mining operations began at Ranger, material with a grade greater than 0.02% U3O8 and below the economic cut-off grade of 0.08% U3O8 has been stockpiled separately. Recent increases in the market price of uranium oxide have warranted a review of these stockpiles. Technical studies have established that smaller sized mineralised fragments are of higher grade than the larger fragments. Through a screening process, it is projected that 15 million tonnes of material containing 11,100 tonnes uranium oxide at an average grade of 0.074% U3O8 can be economically processed.
ERA has previously stated that mining at Ranger was expected to continue until at least 2008, with milling operations continuing until at least 2014. The processing of this screened material is now expected to occur from late in 2014 to 2020, adding six years to the predicted operational life of Ranger.
Mining of the present estimated reserves at Ranger is still expected to cease in 2008. (ERA Oct. 25, 2006)
The Environment Centre of the NT (ECNT) said the extension posed a real and significant threat to world heritage-listed Kakadu National Park. "Any extension will exacerbate existing tailings and water management problems. Tailings from approved mining and milling plans are already enough to fill the pits, and ERA has already had to apply for new land application areas to manage contaminated water," said ECNT uranium campaigner Emma King. (AAP Oct. 26, 2006)

Serious production setback at Ranger mine

"Mill head grade was 30 per cent lower than the corresponding quarter in 2005 although it was 5 per cent higher than that processed in Q2. This was due to the elevated water level in the pit resulting from the unusually high rainfall throughout the wet season. As previously advised, the elevated water level prevented access to high grade ore earlier in the quarter but the water has been successfully drawn down and mining is now focused in areas of higher grade ore. The lower mill head grade resulted in drummed production that was 31 per cent lower than the corresponding quarter in 2005 but 85 per cent higher than second quarter production. As a result of the operational difficulties experienced in the first half of the year and the impacts of the high water level, production for 2006 is forecast to be significantly lower than in 2005." (ERA, Third Quarter Operations Review, Oct. 18, 2006)

"Drummed production for the quarter was 596 tonnes uranium oxide [505 t U] (2005: 1,250 tonnes uranium oxide [1060 t U]). This was lower than the corresponding period last year due to wet weather associated with cyclone Monica and unusually high rainfall throughout the wet season that prevented access to high grade ore. Production was further impacted by a reduction in the volume of ore treated due to difficulties experienced in bringing the acid plant back to full production after a planned maintenance shutdown." (ERA Quarterly Production and Exploration Report to 30 June 2006, July 19, 2006)

Ranger uranium mine shut down for cyclone warning

Uranium miner Energy Resources of Australia (ERA) has shut down its operations in the Northern Territory ahead of the arrival of Cyclone Monica. (The Age April 24, 2006)

Discount sell-off of 25% stake in ERA raises concern re unsufficient Ranger mine decommissioning trust fund

On Dec. 6, 2005, Cameco, Cogéma, and Japan Australia Uranium Resources Development Co Ltd. (JAURD) sold their combined 25% stake in Energy Resources of Australia (ERA) at a steep 27.6% discount - at just A$9.50 a share. That compares with ERA's closing price ahead of a trading halt on Dec. 6, 2005, at A$13.13. (Australian Dec. 7, 2005)
It appears that the former shareholders have no confidence in a development of the Jabiluka deposit in the foreseeable future and, in view of the Ranger deposit soon to be depleted, are leaving a sinking ship. This raises concern regarding the unsufficient financial guarantees covering the decommissioning cost of the Ranger mine (see below).

ERA fined over Ranger mine safety breach

ERA was fined A$82,500 in the Darwin Magistrate’s Court on Oct. 28, 2005, after having pleaded guilty to a charge brought by the Northern Territory’s Department of Primary Industry, Fisheries and Mines under the Mining Management Act. The maximum fine for the charge was A$275,000 and the minimum was A$27,500. The charge relates to an incident in July 2004 when a fitter was injured in the Ranger mine processing plant. (ERA Oct. 28, 2005)

Ranger uranium mill life to be extended by three years

The Ranger uranium mine operators say the rising price of uranium will allow them to keep processing lower grade ore for another three years. The Ranger mine in the Northern Territory is due to close in 2008 and the processing facility was meant to shut down in 2011. Changes in the world uranium price have led ERA to reduce the grade of ore they will process. In the past, the economic cut-off grade for uranium oxide was 0.12 per cent, but ERA says ore with a grade of just 0.08 per cent is now worth processing. That has increased reserves at the mine by more than 6,000 tonnes, or just over 10 per cent. ERA managing director Harry Kenyon-Slaney says that will keep the processing plant open until 2014, and up to 200 Jabiru residents in a job. (ABC 27 Oct. 2005)

Ranger Mine closure to cost A$176 million, of which only A$65 million covered by guarantee

ERA, the operator of the Northern Territory's Ranger uranium mine says it could cost A$176 million to close the mine down. The Ranger uranium mine, surrounded by Kakadu National Park, is expected to cease operations in 2008, with processing to continue until 2011. ERA has informed the stock exchange it has developed a mine closure model which provides estimates of the technical, environmental and social costs. "Currently ERA has $41.4 million in a government-administered trust fund for this purpose, with a further $23.6 million available through a bank guarantee," the company said. (ABC, The Australian, July 22, 2005; see also ERA Half Year Results 2005, July 22, 2005)

ERA fined A$150,000 for Ranger breaches

On June 1, 2005, ERA was fined A$150,000 in the Darwin Magistrate’s Court after having pleaded guilty on 6 May 2005 to charges brought by the Northern Territory Department of Business, Industry and Resource Development under the Mining Management Act.
Two charges related to the incident concerning the connection of the drinking and process water systems at the Ranger uranium processing plant in March 2004 (one of which was dismissed), and one charge related to mobile equipment radiation clearance incidents between November 2003 and March 2004. (ERA, ABC, Australian, June 1, 2005)

ERA may lengthen Ranger mine's life

Energy Resources of Australia is considering further exploration that might extend the life of its Ranger operation in the Northern Territory. Last month, the Rio Tinto subsidiary announced it had increased its reserves by 5972 tonnes of contained uranium. ERA said mining at Ranger, which is in Kakadu national park, was expected to continue until at least 2008 with milling operations continuing until at least 2011.
The company said the increase in reserves was not expected to result in an extension to mining operations, but might extend milling operations by up to a year. In addition, ERA has revised its mining plan to include the edges of pit No 3, and this would provide the basis for an extension to milling. It is understood the company is also considering appraisal drilling of known uranium outcrops nearby that could be processed through the Ranger plant. (Australian Feb. 18, 2005)

Supervising Scientist: Ranger mine safety improvements must be made law

A Commonwealth-appointed scientist has urged the Federal Government to legislate to ensure Energy Resources Australia fixes problems at the Ranger uranium mine. The scientist, Arthur Johnston, says in his annual report, released on Nov. 9, 2004, that ERA has become "complacent" about radiation dangers at the mine and has not provided enough protection for workers. He criticises ERA for playing down radiation exposure before properly assessing leaks at the mine. While ERA has made commitments to tackle problems, Dr Johnston believes "measures to address these issues should be made requirements of the company under legislation". (Sydney Morning Herald Nov. 10, 2004)

> Download Supervising Scientist Annual Report 2003 - 2004 external link

After taking uranium showers earlier this year, Ranger mill workers now get dried in airstream containing yellow cake...

A spokeswoman for Energy Resources Australia Limited last night said material that "appeared to be yellow cake" had leaked from a compressed air tool in the packing plant where uranium oxide is put in drums for export. Northern Territory Government regulators will investigate how yellow cake came to be in the compressed air system in an area of the mine that is supposed to be highly regulated. The spokeswoman said a worker in the immediate area, wearing protective clothing, was not exposed to radiation. (The Age Oct. 30, 2004)

Northern Territory launches legal action against Ranger

The Northern Territory Mining Department is proceeding with legal action against the operators of the Ranger Uranium Mine over a contamination incident earlier this year. A formal complaint has been lodged with the Darwin Magistrates Court. It alleges two separate breaches of the Mining Management Act by Energy Resources of Australia (ERA). (ABC Sep. 29, 2004)

Ranger mine operations suspended after Investigation Reports criticize the mine's radiation clearance measures and water systems as inadequate

On Aug. 30, 2004, the Supervising Scientist Investigation Report on the drinking water incident that occured on March 24, 2004, at the Ranger uranium mine was released. A further report examined an incident in February 2004 where two bobcat earthmovers had been returned in a mildly contaminated condition to Jabiru.
The two reports found the mine's radiation clearance measures and water systems were inadequate. Supervising Scientist Arthur Johnson found leaking pipes and broken and corroded valves were common around the mill.
In response, ERA said it would temporarily suspend mining and processing from Aug. 31, 2004, for several days to address the issues raised by the reports. (AAP Aug. 30, 2004)
Mine operation was resumed on Sep. 3, 2004. (ABC Sep. 3, 2004)

> Download: Investigation of the potable water contamination incident at Ranger mine March 2004, Supervising Scientist Report 184, 2004 external link (Department of the Environment and Heritage)

> Download: Investigation of radiation clearance procedures for vehicles leaving the Ranger mine, Supervising Scientist Report 185, 2004 external link (Department of the Environment and Heritage)

Ranger mine shut down after workers drank contaminated water and took uranium showers

The Ranger mine was shut down on March 24, 2004, following a uranium scare affecting 20 staff. The scare occurred after workers coming off the night shift complained the water in the showers was making them itchy. The water was found to contain levels of uranium up to 8 mg/ltr (400 times safe drinking levels). (The Australian Mar. 25, 2004)
The contamination occured when a flexible hose was connected between the process water system and the drinking water system. The hose was supposed to increase supply to the process water, but it had the opposite effect. The offending hose has been removed. (The Australian Mar. 26, 2004)
The mine restarted on 31 March 2004, but the mill did not resume operation yet (ABC Apr 1, 2004).
Some workers even drank 3-4 liters of the contaminated water after mine managers failed to warn them. (The Age Apr 5, 2004)
On April 6, 2004, full operations at the mine and mill have resumed upon receipt of NT Government approval. (ABC Apr 6, 2004)
Energy Resources of Australia should be prosecuted after drinking water at its controversial Ranger Mine became contaminated with uranium, a NT government report has found. Mines and Energy Minister Kon Vatskalis said a report found the Rio Tinto company had breached NT legislation, and recommended prosecution. The report has not been made public. (The Age May 19, 2004)

Government Report Clears Ranger Uranium Mine Operations

The Federal Environment Minister, David Kemp, says the Ranger uranium mine has been cleared of allegations it breeched environmental regulations five years ago. However, the report does make two technical recommendations for possible improvements in the mine's chemical monitoring program and the assessment of discharges of water from the region south of its tailings dam.
In April 2002, former Energy Resources Australia employee Geoffrey Kyle raised claims that during his five years at Ranger tailings spills were under-reported and water quality tests had been misreported. (ABC 26 Sep 2002)

> View Federal Environment Minister, David Kemp, Release 26 Sep 2002 external link

Evaluation of Alleged Deficiencies in Management of the Ranger Uranium Mine Between 1996 and 1998 external link, Supervising Scientist Report 171
Supervising Scientist & Northern Territory Department of Business, Industry and Resource Development.
Environment Australia, 2002

Supervising Scientist criticizes ERA's environmental management

On April 23, 2002, the Office of the Supervising Scientist released a report which said the internal management of the company in charge of the mine had failed when a uranium leak occurred earlier this year.
Investigation of the Stockpiling and Reporting Incidents at Ranger and Jabiluka 2002, Supervising Scientist, Environment Australia, 2002
> View summary and download full report external link

Supervising Scientist to Investigate Allegations

Dr Arthur Johnston, the Commonwealth's Supervising Scientist for the Alligator Rivers Region of the Northern Territory, will investigate new allegations of inadequate environmental management at the Ranger uranium mine.
> View News release 9 April 2002 external link

Senator criticizes ERA's use of sandbags at Ranger to slow uranium-contaminated flow into Kakadu National Park

Energy Resources of Australia, for the fourth wet season in a row, is using a sandbag wall to slow uranium-contaminated flow from retention pond No. 1 at its Ranger mine into the environment. Northern Territory Labor Senator Trish Crossin has condemned as inadequate the sandbag wall for raising the height of a retention pond spillway. According to ERA, the bags were an effective way of reducing water flow into the park while an inquiry was underway into elevated uranium levels in the pond. (ABC March 20; Advertiser March 21, 2002)

ERA revises down Ranger uranium resources

Energy Resources of Australia has revised-down its contained uranium resources at its Ranger No.3 deposit: since June 30 2000, the total resource has decreased by 15,197 tonnes of uranium to 65,054 tonnes at end-December. Approximately half the reduction is from milling of ore while the remainder is due to the application of tighter inferred ore parameters. (The Age Feb. 6, 2002)

21-year extension to the Ranger mining lease

"On 14 November 1999 the Minister for Industry, Science and Resources issued a new Section 41 Authority allowing the continued operation of the Ranger project for a further 21 years from 9 January 2000. Although the term of the lease is assured, the NLC has reserved the right to renegotiate the environmental and financial terms of the lease at a later date." (ERA - Half Yearly Profit, Production & Exploration Report to 31 December 1999, 28 January 2000 external link)

Production cutback by 27%

On December 14, 1998, Energy Resources of Australia (ERA) announced a production cut at its Ranger mine from 5500 to 4000 tonnes uranium per year, due to the low uranium market price. The cut will become effective March 31, 1999.

 

License violations at Ranger (Australia)

Spill halts Ranger's processing plant

20 litres of process chemicals - an organic kerosene-like material containing small amounts of uranium - have spilled out of a contained area on the site. While mining is continuing, the processing plant was shut down - only one day after it had resumed operation after an outage in response to a government report criticizing the mines water system (see above). (ABC Sep 4, 2004)

Overflow of process water into creek at Ranger

There was an overflow of 150 cubic meters of water on the night of Tuesday 23 March 2004 from a holding tank about a kilometre from the airport on the Ranger mine lease. The water is believed to have contained elevated uranium levels of 108 µg/ltr (four times the safe drinking water guideline).
"We are now concerned however about the traditional owners living downstream and we're concerned about any effects that could have taken place on the environment," Supervising Scientist Dr Johnston said. (ERA,ABC,Mirrar March 26, 2004)

Uranium leak at Ranger reported late

A uranium leak at the Ranger Mine sent water contamination levels soaring to unprecedented levels. It was one of four breaches of the company's regulations since January 2002.
Incorrect stockpiling of low-grade ore in a catchment area at Ranger is believed responsible for the contamination of Corridor Creek, which is within the lease and connects to the Magela River system used by Aborigines. According to tests taken by ERA early last month, but not reported to stakeholders until later in February, uranium levels in the creek reached almost 2000 parts per billion – 4000 times the drinking water standard. (The Australian, March 6, 2002)

Leak at Ranger mine kept secrect for weeks

Energy Resources of Australia (ERA) has kept secret a leak of 2000 cubic meters of manganese contaminated water from its Ranger mine to a nearby wetland for several weeks. The leak was detected by ERA on April 5, but was not reported to the authorities until April 28, 2000. This delay meant the leak was not public knowledge when the Federal Government reported to the United Nations on April 15 on the sensitive subject of Ranger's successor, Jabiluka.
ERA did not know when the leak started because wet season flooding from late December prevented testing of the area. (The Age 3 May 2000, Sydney Morning Herald 4 May 2000)
> View North news release 2 May 2000 external link · ERA news release 4 May 2000 external link
> View Minister for Industry, Science and Resources news release 3 May 2000 external link

In a report released on 27 June, 2000, the Supervising Scientist "concluded that the leak of tailings water had no adverse ecological impact on Kakadu National Park", but ERA did not comply with the reporting requirement. During the investigation, evidence was obtained that a similar event probably has taken place one year earlier.
> View Federal Environment Minister news release June, 27, 2000 external link
> Download report: Investigation of tailings water leak at the Ranger uranium mine external link, Supervising Scientist, Environment Australia, June 2000

History of Spills at Ranger mine (1979 - 1996)

Infringements of the Ranger uranium mine environmental requirements external link - Appendix 2.9 of the Report of the Senate Select Committee on Uranium Mining and Milling, Canberra, May 1997


Olympic Dam, Roxby Downs (South Australia)

Olympic Dam expansion project

Scientists denounce location of proposed desalination plant for Olympic Dam mine as inappropriate (South Australia)

Three hundred residents from the Port Hughes on the Yorke Peninsula attended a public meeting this month where marine ecologist Toby Bolton warned that too little was known about the cumulative, long-term effects of desalination plants for them to be regarded as the solution to the nation's water shortages. One of the three desalination plants is proposed by BHP Billiton in the upper reaches of Spencer Gulf to feed its expanded Olympic Dam uranium mine.
Dr Bolton said it was difficult to think of a more inappropriate location than BHP's proposed Spencer Gulf plant. It would operate in an area that combined poor tidal exchange with mangrove and samphire swamps that nurtured organisms for the marine food chain such as giant cuttlefish and the area's prized whiting. Dr Bolton, from Flinders University's Lincoln Marine Science Centre at Port Lincoln, said he did not oppose desalination plants that were in open ocean where strong tidal currents dispersed the waste brine. He is one of five South Australian scientists who last month wrote to the State Government warning it of the dangers of desalination when so little was known about its long-term effects on marine life. (The Age May 31, 2008)

BHP considers export of unsmelted Olympic Dam copper / uranium concentrate to China

In view of China's expected serious over-capacity of copper processing, BHP Billiton has asked the federal Government to approve the export of uranium-bearing copper concentrate to China. BHP's next chief executive, Marius Kloppers, met Industry Minister Ian MacFarlane to signal a formal request to directly ship up to 1.2 million tonnes of Olympic Dam copper concentrate a year, rather than convert the ore into metal at the mine site.
The idea means that BHP would be, by stealth, selling uranium directly to China, which is why the company needs to secure federal endorsement. The export copper concentrate would contain relatively low levels uranium. But even at the expected 0.01 per cent to 0.15 per cent concentrations, BHP would still be shipping up to 2500 tonnes of uranium to Chinese smelters each year. It is not yet clear whether BHP would propose, or be required, to repatriate that uranium. Any sale of the uranium to China's nuclear industry would first require the finalisation of the bilateral safeguards agreement which is part of the Australia-China Nuclear Transfer Agreement signed in April 2007.
Export of the concentrate rather than metal would mean that the proposed expansion would concern the Olympic Dam mine only, but not the on-site smelter. (The Australian 12 July 2007)

Fishermen slam site selection for proposed water desalination plant for Olympic Dam mine expansion

BHP Billiton has been challenged by the fishing industry, scientists and environmentalists to justify its selection of the shallow, tidal Spencer Gulf for a massive desalination plant to supply an expanded Roxby Downs uranium and copper mine. (Australian Mar. 15, 2007)

Russia's Tenex seeks participation in Olympic Dam uranium mine expansion project

Russia's Techsnabexport external link (Tenex) is negotiating with BHP Billiton for a role in the development of Olympic Dam, the world's biggest uranium project, in Australia, Vadim Zhivov, the company's first deputy general director, told a press conference in Moscow. The next round of talks with BHP Billiton is planned in January 2007. (Itar-Tass Dec. 15, 2006)

BHP Billiton to investigate desalination plant to supply Olympic Dam expansion with water

BHP Billiton will investigate building a $300 million desalination plant off South Australia to provide the water needed for its $5 billion expansion of the Olympic Dam mine.
The company and the SA government have agreed to investigate the desalination plant on Spencer Gulf and a $400 million pipeline to supply the extra 120 million litres of water a day. The desalination plant would not only avoid the need for BHP to take more water from either the River Murray or the Great Artesian Basin but would also supply quality water to Whyalla and other Eyre Peninsular towns. The Australian Conservation Foundation (ACF) said the announcement that no additional artesian water would be used to service the mine was good news. (The Australian Feb. 17, 2006)

Public comment invited on Draft Guidelines/Issues Paper for Olympic Dam expansion Environmental Impact Statement

The Commonwealth Minister for the Environment and Heritage (DEH) and the South Australian Minister for Mineral Resources Development (Planning SA) will be jointly assessing the environmental impacts of a proposed expansion of the Olympic Dam Mine to enable production to be increased from the currently approved level of 350,000 tonnes per annum (t/a) of copper and associated products, to up to 1,000,000 t/a of copper and associated products. According to the Draft Guidelines/Issues Paper, the corresponding uranium output would be up to 30,000 t/a (up from currently 4000 t/a)!

> Download Planning SA Advertisement Nov. 18, 2005 external link (PDF)
> Download DRAFT GUIDELINES/ISSUES PAPER For an ENVIRONMENTAL IMPACT STATEMENT on the proposed expansion of the Olympic Dam operations at Roxby Downs external link, Planning SA, Primary Industries and Resources SA, November 2005 (2.2MB PDF) · alternate source (DEH) external link

The final guideline was released on Feb. 10, 2006:
> Download GUIDELINES For an ENVIRONMENTAL IMPACT STATEMENT on the proposed expansion of the Olympic Dam operations at Roxby Downs, January 2006 external link (2MB PDF)

> See also:
Planning SA Major Project Assessment external link · Planning SA Major Development Panel external link
DEH Referral external link

Protest on expansion of Olympic Dam mine ground water use

On Oct. 26, 2005, environmentalists held a peaceful protest outside BHP Billiton's Adelaide office in opposition to the company's plan to take five times more water from the threatened Great Artesian Basin (GAB) to expand the Roxby Downs mine.
BHPB has applied for a licence to take an additional 120 million litres of GAB water daily free in the assessment of its uranium/copper mine expansion plan. This is in addition to the daily extraction of 33 million litres.
David Noonan from the Australian Conservation Foundation external link said the mine already was the largest single-site industrial user of ground water in the southern hemisphere. "And now BHPB proposes to take one third of all the GAB waters that flow into SA each year," he said. "That could kill the basin and the Mound Springs." (Advertiser Oct. 27, 2005)

BHP Billiton commences environmental assessment of proposed expansion at Olympic Dam mine

"BHP Billiton has today commenced the environmental assessment of its proposed A$5 billion expansion at its Olympic Dam operation in South Australia with the lodgement of the project proposal to the Federal and State Governments.
While this does not signal BHP Billiton's formal commitment to undertake further expansion at Olympic Dam it does mark the beginning of a two-year process of scientific analysis and extensive public consultation."   (BHP Billiton Aug. 19, 2005)

 

Radiation monitoring of Olympic Dam mine workers has been lessened, Greens say

The Greens say standards for radiation monitoring at the Olympic Dam mine owned by BHP Billiton have been watered down by the South Australian Government. SA Greens MP Mark Parnell external link says documents he has obtained under freedom of information raise serious concerns about how often testing for radiation occurs at the mine in outback SA. He says reports provided to the Environment Protection Authority (EPA) by BHP Billiton lack detail about radiation exposure for people working in areas of the uranium and copper mine where the risk is highest. "Up until 2006 there were between four and eight reports per month of exceedences if you like or dangerous levels - those reports have now faded away to only one in the last 18 months," he said. (ABC June 19, 2008)

Audit reviews call for improvements of Olympic Dam tailings management

The Olympic Dam uranium mine needs urgent improvements in radioactive waste management and monitoring, according to audit reviews. As owner BHP Billiton seeks state and federal government approval for a four-fold, A$5 billion expansion at Olympic Dam, concerns about the mine's tailings storage facilities have been raised in the last two audit reviews provided to the Rann Government.
The reviews, obtained by The Australian under Freedom of Information laws, call on government regulators to "encourage" changes to the deposit of tailings. More than 10 million tonnes of tailings a year are placed in ponds near the mine. The review noted radioactive slurry was deposited "partially off" a lined area of a storage pond, which it believed contributed to greater seepage and rising ground water levels. The review also criticises the lack of an agreed, accurate formula to determine the rate of evaporation of tailings and how much leaks into the ground. (Australian March 10, 2006)

Olympic Dam mine to run on geothermal energy?

BHP Billiton is considering a geothermal power plant for the Olympic Dam mine expansion. The A$1 billion power plant would be built 400 km north of the Olympic Dam mine in South Australia. Pacific Hydro Ltd external link believes it could have a 400-Megawatt plant up and running within three or four years. (Sunday Mail June 16, 2006)

Olympic Dam in northern South Australia is showing promise as another site for a hot rocks energy project. Initial exploration of the site by Western Australian firm Green Rock Energy has found a potential 1,000 Megawatt resource. (ABC Nov. 9, 2005)
> Download Green Rock Energy release Nov. 8, 2005 external link (PDF)

Green Rock Energy Ltd external link (formerly Mokuti Mining Ltd, ASX releases external link) completed the acquisition of geothermal energy licences over WMC leases in South Australia covering 2700 sqkm around Olympic Dam, where power needs could more than treble in a proposed $5 billion expansion. (Australian May 12, 2005)

South Australia to investigate bird deaths at tailings dam of Olympic Dam mine

A South Australian government taskforce will examine a huge spike in the number of birds killed at the Olympic Dam uranium mine, after more than 100 were found dead over four days in late December 2004.
The deaths were recorded at the mine's tailings dam in outback South Australia, which spans 400ha and is where solid and evaporated acid liquid waste from some of the uranium mine's operations is stored.
"Unfortunately the tailings system contains chemicals and that is what causes harm to birds," WMC spokesman Richard Yeeles said. (Australian Jan. 11, 2005)

South Australia plans nuclear waste dump site at Olympic Dam mine

The South Australian Government has entered a formal agreement with WMC to examine the establishment of a radioactive waste dump at the company's Olympic Dam uranium mine in the state's north. (ABC July 14, 2004)

WMC considers tripling rather than doubling of Olympic Dam capacity

On June 18, 2002, WMC outlined a multi-billion-dollar expansion of the Olympic Dam copper-uranium mine in South Australia.
Early planning has annual copper production being more than doubled, from 235,000 tonnes to 600,000 tonnes. Uranium production would also more than double, to 8000 tonnes a year, making Olympic Dam the biggest uranium mine in the world, although WMC faces the challenge of first finding buyers for the radioactive material. (Sydney Morning Herald June 19, 2002)

Fire again at Olympic Dam copper/uranium mill

A fire involving about one million litres of kerosene broke out just after midday on 21 Oct., 2001, at the solvent extraction plant of WMC's Olympic Dam copper/uranium mine. The blaze was contained just before 3:30pm. The fire is in the same area as a blaze on 23 Dec., 1999, that caused A$10 million worth of damage. (ABC News 21 Oct 2001)
The new fire caused damages above A$20 million. During the rebuilding period, the mine's annual uranium output would fall by 1500 tonnes from 4500 tonnes. (News Limited 23 Oct 2001)
WMC believes "the most likely cause was a static electricity discharge at a location where polyethylene piping carries a kerosene-like solvent." (WMC 13 Feb 2002)

WMC considers doubling of Olympic Dam mine capacity

Currently, WMC is in the process of lifting output from 200,000 to 235,000 tonnes a year of refined copper. WMC already has environmental approval to go to 350,000 tonnes and will now examine an even bigger step-up to 400,000 tonnes to 500,000 tonnes, with an associated increase in uranium production, most likely in five to 10 years. (Herald Sun 15 Aug 2001)

Fire at Olympic Dam copper/uranium mill

On 23 December 1999, a fire at the Olympic Dam solvent collection pond adjacent to the solvent extraction plant interrupted power to the mine, plant and Roxby Downs township. Employees in the area were evacuated and there were no injuries.
WMC and CFS fire crews contained the fire to the solvent extraction area. It started shortly after 7.30 pm and burned until about 3 am the next day. A fireball could be seen from 25 km away.
Uranium production will be down 200 tonnes to about 4,100 tonnes in the year 2000 because of a temporary loss of some solvent extraction facilities.
According to WMC corporate affairs manager Richard Yeeles, "there are no radiation issues associated with the fire". (WMC, The Australian 24 Dec. 1999)

Protesters block entrance to Olympic Dam

On 23-26 May 2000, about 70 protestors blocked the main access road to the Olympic Dam mine and plant. (WMC News Relases 23/24/26 May 2000)

About 50 protesters blocked the entrance to WMC's Olympic Dam mine site in South Australia on 14 September 1999, in protest against uranium mining.
The protest involves representatives from the Kupa Piti Kungka Tjuta, Arabunna and Kookatha Aboriginal peoples who also joined the Humps Not Dumps anti-nuclear camel trekkers.
The protesters raised their concerns about the lasting effects of tailings dams at Olympic Dam, and about production of uranium at the site which ended up as nuclear waste. (ABC News 14 Sep 1999)

License violations at Olympic Dam

> see also: Olympic Dam Incident Summary external link (PIRSA)
> see also: Olympic Dam news external link (WMC)

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