uranium mine opened

Beverley uranium mine opened

BY JIM GREEN

The uranium mine at Beverley in northern South Australia was formally
opened on February 21. It is Australia's first new uranium mine since Western
Mining Corporation's Olympic Dam opened 12 years ago.

Operated by Heathgate Resources, a subsidiary of United States nuclear
giant General Atomics, the mine began commercial production in December
and the full production rate — 1000 tonnes of yellowcake annually — is
expected to be achieved by mid-year. This compares to last year's figures
of 4539 tonnes from the Olympic Dam mine in South Australia and 4114 tonnes
from the Ranger mine in the Northern Territory.

Heathgate has spent the past four years pursuing Beverley's development
following its abandonment by previous owners in the 1980s after the election
of the Hawke Labor government.

The Beverley mine has a life expectancy of 15 years. It cost about $45
million to develop, and will generate 50-70 jobs when fully operational.
Other projects completed to assist the mine venture include a 14km gas
pipeline, an airstrip and a gas-fired power station to service the mine
and the processing plant.

Although uranium prices are near record lows, the Beverley mine will
be profitable according to Heathgate. Heathgate president Jim Graham said
that production could be increased beyond 1000 tonnes annually if world
markets showed signs of recovery. “If uranium prices do increase, then
we will approach the state and federal governments and re-do an environmental
impact statement to possibly add to our current approved level”, he said.

Heathgate will begin testing other sites in the region for uranium mining
potential.

The Beverley mine uses a technique known as in-situ leaching (ISL),
which involves pumping an acid solution into groundwater to extract uranium
for surface processing. Wastes will be returned to the aquifer.

Beverley is the first in Australia allowed to use the controversial
ISL process. The uranium industry increasingly favours ISL mining because
it is cheaper to operate than conventional mines. However, the use of sulphuric
acid as the dissolving agent is not allowed in the United States.

The Australian Conservation Foundation (ACF) says the method will pollute
the aquifer and poses a risk to the Great Artesian Basin. Friends of the
Earth's (FoE) nuclear campaigner Loretta O'Brien said, “The only way Heathgate
can make a profit out of this mine is to trade off the cost to the environment.
It is the Australian community who will wear the real cost of this mine,
Beverley's radioactive legacy will remain long after Heathgate have left
town”.

Ila Marks from FoE said, “The federal government is showing where its
loyalties lie as it joins Heathgate's celebrations. Its loyalty lies not
with the majority of Australians who oppose uranium mining, but with corporations
who put profit before people and the environment”.

Members of the ACF and FoE joined with the Adnyamathanha traditional
owners in a protest at the mine site entrance on the morning of February
21. Heathgate flew journalists, politicians and others to the site for
the opening ceremony. Police were on standby to avoid a repeat of last
year's protests, at which police assaulted protesters, children and media
reporters.

From GLW issue 438