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    interesting reading from world nuclear assoc website

    http://www.world-nuclear.org/info/inf41.html#mining



    Uranium resources and mining

    The USA ranks sixth in the world for known uranium resources in the category up to $130/kgU ($50/lb U3O8), with 339,000 tU (reasonably assured plus inferred resources, 2007). Exploration expenditure more than doubled in 2007 from 2006 to $50.3 million.

    In the 1950s, the USA had a great deal of uranium mining, promoted by federal subsidies. Peak production since 1970 was 16,800 tU in 1980, when there were over 250 mines in operation. This number abruptly dropped to 50 in 1984 when 5700 tU was produced, and then there was steady decline to 2003, with most US uranium requirements being imported. By 2003 there were only two small operations producing a total of under 1000 tU/yr.

    Most US production has been from New Mexico and Wyoming. Known resources are 167,000 t U3O8 in Wyoming, 155,000 t in New Mexico, 2000 t in Texas and around 50,000 t in Utah, Colorado and Arizona, all to $50/lb. Production potential is about 45% in situ leach (ISL), 55% conventional mining.

    There was a considerable legacy of pollution from abandoned uranium mines and treatment plants, most dating from the 1940s and 1950s, and which was addressed in the 1980s. For instance, the Uravan mill site on the San Miguel River in Colorado was designated a Superfund site and was cleaned up between 1987 and 2007 at a cost of over $120 million. Historic mining and milling at Uravan included the production of radium, vanadium and uranium, leaving radioactive residues from the early 1900s through to the mid-1980s. From the time Uravan mill began operating in the 1920s until it was shut down, it processed over ten million tonnes of uranium-vanadium ore, giving rise to a similar amount of uncontained tailings, and 1440 megalitres of liquid wastes were treated in the site rehabilitation program.

    Uranium production from one mill (White Mesa, Utah) and five ISL operations totalled 1583 tU (1866 t U3O8) in 2006, and 1748 tU (2061 t U3O8) in 2007 (EIA May 2008). In 2008 production was 1509 tU (1780 t U3O8), with Rosita making a sixth ISL production site before being shut down.

    Cameco's US subsidiary Power Resources Inc operates the Smith Ranch-Highland mine in Wyoming and the Crow Butte mine in Nebraska, both of them ISL operations, and producing 786 and 281 tonnes U respectively in 2006 from total reserves of 12,000 tU (15,000 t U3O8). The US company is now known as Cameco Resources and is aiming to increase production from these mines and adjacent properties to 1770 tU/yr by 2011.

    Uranium Resources Inc commenced production from its Vasquez ISL mine in 2004 at about 50 tU/yr and from Kingsville Dome in 2006 at 150 tU/yr, both in south Texas. Vasquez peaked in 2006 and is now largely depleted (30 tU in 2007). Rosita started production in 2008 with oxygen injection but was then closed as uneconomic after 3 tU was recovered. Mestena Uranium's Alta Mesa ISL plant in southern Texas is also operational. Uranium Energy Corp has been granted preliminary approval to mine its Goliard ISL project in south Texas. It has 2100 tU measured and indicated resources which are NI 43-101 compliant.

    Conventional (non-ISL) uranium mining in is resuming after some years (though Cotter Corp. produced 38 tonnes U through its 400 t/day Canon City mill, Colorado in 2005).

    Cotter Corp, a General Atomics subsidiary, is planning a $200 million rebuild of its Canon City mill by 2014, when it expects to treat ore from Mount Taylor mine in New Mexico.

    Denison Mines expects to produce up to 650 tU in 2008 through its 2000 t/day White Mesa mill in southeastern Utah, from its own and purchased ore, as well as doing some toll milling.

    Denison is opening the first of its Uravan Mineral Belt mines on the Colorado Plateau containing 2100 tU in placer deposits plus vanadium co-product (Uravan = uranium + vanadium). Its Henry Mountains deposits in Utah including Tony M, Southwest and Bullfrog have 4900 tU as indicated resources at over 0.2% and inferred resources of 3100 tU, both NI 43-101 compliant. All these are within 160 km of White Mesa mill. It has begun production from Colorado Plateau and Tony M mines, but late in 2008 temporarily closed the latter. It is spending $13 million on mill refurbishment, $10 million on old mines and then $35 million on the adjacent new Bullfrog mine preparing for a late 2009 start. It also plans to start reopening its four mines in the Arizona Strip in 2008, along with some new deposits there, though all these are some 500 km from White Mesa mill.

    In 2007, Denison operated four mines in the Colorado Plateau area: Topaz, Pandora, West Sunday and Sunday/St. Jude. The last three are mature operating mines with extensive underground workings, while the Topaz mine is relatively new. Two further old mines reopened in 2008: Rim Canyon and Beaver Shaft, which required significant refurbishing to produce some 30 tU/yr. A third mine, Van 4, will be in production in early 2009.

    Toronto-based Uranium One in 2007 bought US Energy's 1000 t/day Shootaring Canyon mill in southeast Utah and associated properties in four contiguous states for $50 million plus royalties. US Energy had been planning to bring the mill back into production at a cost of $31 million. Uranium One had also secured the right to buy Rio Tinto's 3000 t/day Sweetwater uranium mill and associated uranium properties in south-central Wyoming for $110 million, but in January 2007 Rio Tinto cancelled the deal.

    Uranium One, through wholly-owned Energy Metals Corporation, has refurbished the small Hobson plant in southern Texas which has been shut since 1991. It produced about 130 tU/yr for previous owner Energy Metals Corporation but will have 380 t/yr capacity, recovered from loaded resin trucked there from the La Palangana ISL mine from 2009.

    In Wyoming the company has plans for 900 tU/yr production from three mines in the Powder River basin from 2010 (Moore Ranch, Peterson Ranch, Nine Mile) and 900 tU/yr from Antelope in the Great Divide basin later. In 2007 it announced a toll "milling" arrangement with Cameco for recovery of up to 540 tU per year at Smith Ranch-Highland mill. This will be from loaded resin trucked to the plant, initially from Moore Ranch, starting 2010. It has some 4000 tU as measured resources (2235 t at Moore Ranch) and 23,000 tU as indicated resources in the state.

    Uranerz is in the process of permitting its Nichols ranch ISL operation in the Powder River Basin of Wyoming. This will have a number of satellite operations, with loaded resin being trucked to Nichols Ranch. Production envisaged from 2011. Resources are quoted at 4000 tU.

    Energy Fuels Resources Corp (subsidiary of Energy Fuels Inc of Toronto) has applied to reopen former uranium-vanadium mines in the Uravan mineral belt in western Colorado. Whirlwind (including Packrat, Bonanza and La Sal) is a near-term project following Bureau of Land management approval, but late in 2008 was put on standby. Tenderfoot Mesa is adjacent. Its Pinon Ridge mill is listed as developing, with commissioning possible in 2011. EFRC's nearby Energy Queen mine in Utah has been refurbished for 2008 reopening. In August 2008 EFRC announced NI 43-101 compliant indicated resources of 1480 tU and inferred resources of 1370 tU for its Colorado and Utah properties.

    Areva's Cogema Mining Inc has applied to reopen the Christensen Ranch ISL mine in Wyoming, which will have 250 tU/yr capacity from about 2008.

    American Uranium Co in joint venture with Strathmore Minerals based in Canada has announced a NI 43-101 measured and indicated resource of 2865 tU @ 0.065% for Reno Creek and 1360 tU @ 0.068% for Southwest Reno Creek in Wyoming, suitable for ISL. This is 30 km southeast of Christiansen Ranch and 50 km north of Cameco's Smith Ranch.

    Uranium Energy Corp in 2007 bought the New River Uranium Project in Arizona with a historic resource estimate of 5000 tU in shallow low-grade ore. In 2009 it formed a joint venture with Australia’s Uran Ltd to develop the Grants Ridge project in New Mexico, including nine historic mines which operated from 1970-80s, with average grade 0.20%.


    Ur-Energy expects NRC approval in 2009 for ISL mining at its Lost Creek, Wyoming deposit with 4200 tU indicated and inferred resources.

    Uranium Resources Inc (URI) in 2007 sought to buy Rio Algom Mining, with uranium properties and a licensed mill site at Ambrosia Lake in New Mexico, where it planned to construct a new mill to serve the Grants mineral belt. However, the deal was aborted in mid 2008. URI subsidiary Hydro Resources Inc was licensed in 1994 to mine the Crownpoint and Church Rock ISL deposits in New Mexico, and after years of opposition the licence was validated by NRC in 2006. URI was moving all these towards production, but in March 2009 was reported as closing its Texas operations due to low uranium price.

    Also in New Mexico, Uranium International Corp has announced 1180 tU measured and indicated resource at Dalton Pass, with ISL potential. It also announced an 1160 tU measured and indicated resource at Nose Rock, deep in hard rock. Both are NI 43-101 compliant, in the Grants mineral belt and owned by Strathmore Minerals. UIC has the option of earning a 65% share of each.

    Yellowcake Mining Corp reports 5000 tU reserves at its planned Beck mine in the Uravan area of Colorado and agreed in May 2008 to sell a 50% stake in it to Korea Electric Power Corp (KEPCO). However, in February 2009 KEPCO withdrew, leaving the project bereft of funds. The company also has joint ventures with Strathmore Minerals for Juniper Ridge and a Gas Hills prospect in Wyoming.

    Strathmore Minerals is working towards bringing its Gas Hills properties in Wyoming into production, though it has only historical resource figures for most of these.

    Strathmore also has projects in the Grants mineral district in New Mexico, including another Church Rock prospect with 4570 tU as NI 43-101 compliant measured and indicated resources. Two other properties in the Grants mineral belt are Dalton Pass, with ISL potential and 1000 tU measured and indicated resource, and Nose Rock, deep in hard rock but with 1160 tU measured and indicated resource, both NI 43-101 compliant. Uranium International Corp had an agreement to earn a 65% share in both these, but terminated that in November 2008. Strathmore is preparing to submit a mining permit application for Roca Honda (60% owned, with Sumitomo 40%) in the Grants mineral district which has measured and indicates resources of 6745 tU at 0.195% U and slightly less inferred resources.

    Powertech Uranium Corp is proposing to develop two ISL mines: Centennial in northern Colorado, and Dewey Burdock in South Dakota - in each case very close to the Wyoming border. Centennial has 3750 tU and Dewey Burdock almost 3000 tU, both as NI 43-101 compliant inferred resources.

    Bluerock Energy Corp. has shipped the first ore from development of the J-Bird mine in Colorado to Denison's White Mesa mill in Utah.

    White Canyon Uranium based in Perth expects approval early in 2009 for mining its Daneros deposit in southeastern Utah. Underground mine development will then proceed and ore will be trucked 100 km to the White Mesa mill. No resource figures are quoted.



    US Uranium Mines and other Production Facilities


    ISL mine Mill Status Annual capacity
    Cogema Mining Inc (Areva) Christiansen Ranch, Wy
    Christiansen Ranch 250 tU
    Power Resources Inc (Cameco) Smith Ranch - Highland, Wy
    operating 2100 tU
    Cameco Corporation
    Crow Butte, Neb
    operating 385 tU
    Uranium Resources Inc Vasquez, Tx

    Rosita, Tx

    operating, but closed early 2009
    310 tU

    Kingsville Dome, Tx
    operating, but closed early 2009
    385 tU
    Mestena Uranium Alta Mesa, Tx
    operating 385 tU
    Uranium Energy Corp Goliard, Tx
    preliminary approval ?
    Hydro Resources Inc (URI subsidiary)
    Church Rock, NM
    under const.* 385 tU
    Uranerz Nichols Ranch
    Permitting

    Crownpoint, NM
    under const.* 385 tU
    South Texas Mining La Palangana, Tx Hobson, Tx under const.* 385 tU
    Cotter Corp
    Canon City, Co standby, refurbish plan for 2014 start


    Denison
    White Mesa, Ut operating


    Sweetwater, Wy standby
    Uranium One
    Shootaring Canyon, Ut operational in 2008?

    Energy Fuels Resource Corp Pinon Ridge, Co
    developing, maybe operate 2011


    * partially permitted and licensed

    See also EIA information

    Disposal of government stocks of uranium:
    In 2008 the DOE announced plans to release a large part of its uranium holdings to the market. The excess totals some 59,000 tonnes of natural uranium equivalent, plus 4461 tonnes of off-spec material of dubious value and not included in disposal figures. Stocks of Russian-origin are earmarked for the first cores of new US reactors. The uranium would enter the market over the next decade in a range of forms: low-enriched uranium suitable for use as reactor fuel; depleted uranium (over 0.35% U-235) as uranium hexafluoride ready for enrichment; and natural uranium oxide or hexafluoride. These materials arise respectively from: high-enriched uranium from unwanted US weapons; depleted uranium stocks left over from historic DoE enrichment work; and a stockpile of natural uranium exchanged under the 1993 agreement whereby Russian blended-down uranium is supplied to US utilities (see following section on military surplus) – effectively Russian-origin stocks.

    The DOE plan shows a total of 22,700 tonnes of uranium entering global markets before the end of FY2017, but with no more than 10% of US annual requirements being delivered to the market in any one year - apart from an allocation for the first cores of newly built US reactors. In line with this, the annual quantity coming from dismantled weapons and re-enriched depleted uranium increases steadily to reach 1920 tonnes U in 2013 and then continues at that level, totalling 15,000 tonnes U. From 2010 to 2015, another 7700 tonnes U from Russian-origin stocks is allocated for the first cores of newly-built reactors in the USA.

    The DoE will maintain a uranium reserve of 670 tonnes U - equivalent to about 20 power reactor reloads - for energy security reasons. This will be kept as low-enriched uranium stored either at the DoE's Portsmouth or Paducah sites, or may be kept as part of a commercial entity's working inventory.

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