powertechexposed.com

  Information about proposed uranium mining in northern Colorado and Powertech Uranium Corp.

 

Lawmakers Want Public Input On Colorado Uranium Mine

JUDITH KOHLER, Associated Press Writer

 
DENVER (AP) ― Two members of the state's congressional delegation sent a letter Monday urging federal officials to involve the public as they consider any permits for a proposed uranium mine in northern Colorado.

The letter from U.S. Sen. Michael Bennet and Rep. Betsy Markey to the regional office of the Environmental Protection Agency said people are concerned about Powertech USA's proposed uranium mine near Nunn, about 70 miles north of Denver.

The Democratic lawmakers said there is also concern the EPA is drafting rules for a mining permit without public input. Bennet and Markey said people have voiced fears of the potential effects on groundwater.

"There's no reason to rush forward with this proposal when Colorado's water and a way of life could be at risk," Bennet said.

Regional EPA officials will carefully review the letter, agency spokesman Richard Mylott said. The agency is committed to protecting the groundwater and looks forward to engaging the public in the decision-making, he added.

Powertech, whose parent company is based in Vancouver, British Columbia, didn't immediately return a call for comment Monday.

The company has proposed an in-situ, or "in place," mine. Treated water would be pumped underground to dissolve the mineral. The uranium then would be pumped to the surface.

Powertech would need permits from the state and EPA to begin mining. The EPA set a public hearing Dec. 21 in Nunn for a permit that the company needs to reinject groundwater it pumps out to learn more about the geology.

Of more pressing interest is a permit the company would need to inject chemicals underground to dissolve the uranium, said Jeff Parsons, an attorney with the Western Mining Action Project, which advocates mining reforms.

Parsons said documents he obtained through the Freedom of Information Act and his conversations with regional EPA officials lead him to believe the agency is writing guidelines for the permit without public input. He said federal law requires an agency to conduct a formal rule-making process that would include the public.

States typically regulate the kind of mining Powertech plans to do, but Colorado doesn't have such regulations. Parsons said this would be the first time the EPA issued an in-situ leach mining permit and that federal officials appear to be beefing up their guidelines.

"We're happy that they recognize the regulations are not adequate and need to be fleshed out," Parsons said. "But we're also critical of the lack of public outreach."

Powertech would need permits from the state natural resources and health departments.

State officials expect the company to submit applications over the next several months, said Warren Smith, a community involvement manager with the Colorado Department of Public Health and Environment.

The licensing process would take roughly 15 months, Smith said, and public hearings would be held. The state is considering an application from a different company that wants to build a uranium mill in western Colorado.

Colorado officials are also writing regulations for a 2008 law intended to protect water quality from in-situ leach mining.


Baseline plan: Not scientifically defensible

Opponents blast deficient baseline characterization plan for Centennial uranium project; Geochemist says plan fails to use valid statistical methods and will not yield representative groundwater samples

Posted November 22, 2009


REJECTED OR ACCEPTED?  Powertech spins problems with Dewey-Burdock

 

Posted October 10, 2009

 

In the world according to Powertech, a permit application returned for incompleteness is not "rejected".  But when such an application is redone, resubmitted, and found to be complete and ready for technical review, it is "accepted". 

 

In June, the U.S. Nuclear Regulatory Commission gave Powertech an ultimatum: withdraw the company's application for an ISL mining license for the Dewey-Burdock project or the NRC would formally reject the application.  Turns out, the 8,700-page application contained five material deficiencies that rendered it unsuitable for technical review by NRC staff.  Powertech withdrew the application.

 

Two months later, the South Dakota Department of Environment and Natural Resources found Powertech's application for an Underground Injection Control Permit for the project to be incomplete and thus not ready for technical review.  According to the 41-page letter to Powertech, three major issues were not adequately addressed in the application, and dozens of errors and deficiencies were noted.

 

In both of these cases, the permit applications were sent back to Powertech because they were determined to be incomplete.  Neither agency could conduct a technical review of the applications.  (An earlier application to the U.S. Environmental Protection Agency for an Underground Injection Control permit for the Dewey-Burdock project has been found to be complete.)

 

When Paul Robinson of the Southwest Research and Information Center was quoted as saying the applications had been "rejected as unacceptable",  Powertech CEO Dick Clement was quick to respond.  "The state did not reject our application...it's not unusual to get these kinds of questions" asserted Clement, referring to the incompleteness determination by the SDDENR.

 

In an earlier news release, Clement had already described the NRC's requirement to revise the federal permit application as a "voluntary withdrawal".  Making every effort to obscure the fact that the company botched both permit applications, Powertech officials have downplayed the concerns of the permitting agencies and have been especially vehement in their denial that the applications have been rejected.

 

It is perhaps a fair criticism that the applications have not been "rejected".  They have both been found "incomplete".  In the words of the SDDENR:

"In general terms, the application lacks sufficient detail to address fundamental questions related to whether the project can be conducted in a controlled manner to protect ground water resources."

So if they weren't "rejected", then a subsequent finding that a revised application is now "complete" shouldn't mean that it is "accepted", right?

 

Wrong.

 

On October 7, Powertech issued a news release with the following headline:

"POWERTECH’S DEWEY-BURDOCK PROJECT APPLICATION
ACCEPTED BY NRC"

If you read the news release, you discover that the NRC has simply "found the Company’s application for its Dewey-Burdock uranium in situ project acceptable for detailed technical and environmental review."  In other words, it is "complete".  The news release goes on to make the misleading claim that the EPA has "accepted" the UIC permit application, which is currently undergoing technical review.

 

If Powertech officials were concerned about transparency and disclosure, they would say that a permit application has been "rejected for technical review" or "accepted for technical review", or that is has been "found to be incomplete" or "found to be complete".

 

JW

 


Wallace "I'm not doing this for the money" Mays, Chairman of the Board, Chief Operating Officer, and largest individual shareholder - Powertech Uranium Corp.

Mining project needs more objective review

John S. Dixon

Fort Collins Coloradoan

October 4, 2009

This is in response to Wallace M. Mays' Soapbox article on Thursday regarding proposed uranium mining in nearby Weld County by Powertech (USA) Inc. Mays is chairman of the board at Powertech.

Before Powertech begins mining and rolls the dice with our health and safety, our home values and our local economy, we must have a more objective appraisal of the proposed mining project. We need the appraisals of scientists who have doctorate degrees in the appropriate disciplines and who are independent of Powertech.

Mays writes about the unintended movement of production fluids outside the mining zone and says "... excursions do happen ..." In other words, the methods Powertech intends to use to mine uranium cannot be relied upon to restrict the water used in the mining process to the mine site and cannot ensure that tainted extraction fluids will not contaminate nearby water supplies.

Mays refers to a recent report published by the U.S. Nuclear Regulatory Commission. We need to read this report. We also need to read a recent U.S. Geological Survey report (Open-File Report 2009-1143), which concludes that no in situ leach mine in the United States has ever been able to return post-mining groundwater to its original, baseline condition.

On July 8, at a town of Nunn public meeting, Mays said "... I don't do it (uranium mining) for the money ..." Considering Mays is a major stockholder in Powertech, this comment adds greatly to his credibility.

RELATED DOCUMENTS:

 

"Powertech works to protect health, safety" - Wallace M. Mays - Fort Collins Coloradoan - October 1, 2009

 

DATA ON GROUNDWATER IMPACTS AT THE EXISTING ISR FACILITIES - (no author given) - U.S. Nuclear Regulatory Commission - (no date given)  Note: This document was prepared by an unidentified NRC staff member(s) upon the request of the Commission.  It is undated, authorship is unknown, and no sources are cited.  It does mention that in the three mines reviewed (Irigary/Christensen Ranch in Wyoming, Smith Ranch/Highland in Wyoming, and Crow Butte in Nebraska), restoration efforts could only return 50-70 percent of constituents to baseline values.  In particular, restoration of uranium, radium-226, arsenic, and selenium to baseline is often not attainable.  The report also confirms that excursions of leaching fluids out of the mining zone have persisted for several years, and that leakage of well casings and fittings is not uncommon.  The report concludes that "Potential environmental impacts to groundwater at an ISR facility can result from inadequate restoration of the production aquifer following completion of the ISR operations, leakage from a failure of the subsurface well materials, or an excursion of the leaching fluids to the aquifers surrounding the production or exempted aquifer."  The report goes on to say that excursions and well failures "in most cases" do not pose a threat to the surrounding aquifers.  (Apparently, in some cases they do.)  Despite the numerous risks from ISL mining delineated in the report, the unnamed author repeatedly asserts that the NRC's regulation of these three mines has been successful at protecting "human health and the environment".  This claim is made eleven times in the nine-page report, but there is no explanation of how these determinations were made, who made them, or the scientific criteria used to assess the various risks. 

 

"Groundwater Restoration at Uranium In-Situ Recovery Mines, South Texas Coastal Plain" - Susan Hall -  Open-File Report 2009–1143, U.S. Department of the Interior, U.S. Geological Survey, Central Energy Resources Science Center - 2009  (PDF 3,236 KB)

 

Report on Findings Related to the Restoration of In-Situ Uranium Mines in South Texas - Bruce K. Darling, Ph.D., P.G. - SOUTHWEST GROUNDWATER CONSULTING, LLC - September 29, 2008 (PDF 982 KB) 

 

Report by hydrogeologist finds Texas in-situ uranium mines have been unable to restore ground water aquifers to premining water quality - State regulators routinely approve leaving higher uranium levels in ground water; author questions mine operators' scientific understanding of aquifers - Posted October 24, 2008, Updated March 30, 2009

 

After in-situ uranium leaching, ground water cannot be returned to the way it was - Nuclear Regulatory Commission official and uranium mining executive acknowledge restoration of aquifer to baseline is unachievable - Posted September 3, 2008

 

See story on Wallace Mays' deal to sell uranium to the government of India


U.S NUCLEAR REGULATORY COMMISSION:

In-situ leach uranium mining affects groundwater quality when leaching solutions travel beyond well field boundaries

Recent NRC document describes horizontal and vertical excursions at ISL mines in Wyoming and Nebraska, some lasting for as long as 8 years

Posted September 13, 2009


WHISTLEBLOWER:  Former Texas ISL wellfield operator speaks out

Did Powertech CEO Richard Clement's former employer violate environmental laws and endanger groundwater users?

Posted September 8, 2009, Updated September 9, 2009  (Thanks to G. Harman and M. Krueger)

Roland Burrow worked as a wellfield operator for Uranium Resources, Inc., outside Kingsville, Texas a decade ago. He says the company at the time was regularly flushing high volumes of water into the mine field that would have expanded groundwater pollution beyond its permitted area, posing a potential future risk to the residents of Kingsville.

He claims also to have witnessed the falsification of monitoring-well data, which must be regularly submitted to the state to show the contaminated water is contained at the mine site. He tried unsuccessfully to get the TNRCC (now the Texas Commission on Environmental Quality) and FBI involved, and was fired in 1996. He moved a couple counties over, but now a URI offshoot wants to mine in his backyard, and he's decided to fight. 

Powertech CEO Richard Clement was an executive of Uranium Resources, Inc. for 16 years from 1983 to 1999.

Watch the six minute video on YouTube Read the story.


NUNN TOWN BOARD VOTES TO OPPOSE CENTENNIAL PROJECT

Posted September 3, 2009, Updated September 4, 2009

 

On Thursday, September 3, the Town Board of Nunn, Colorado passed a resolution opposing Powertech Uranium Corp.'s proposed Centennial Uranium Project.  The vote was four in favor, two opposed (including Mayor Jeff Pigue) and one abstention.  Trustees Jenny Johnson, Karen Burd, Joyce Taylor, and Brian Jex supported the resolution. 

 

Weld County residents Ken Tarbett and MIke Williams presented the resolution to the Town Board.  Tarbett and his family get their water from a domestic well that is the closest well to the area Powertech seeks to mine first.  The Tarbetts have yet to be contacted by Powertech.

 

The Mayor said he didn't understand the technical issues addressed by the resolution, and he raised the specter of angry mineral rights holders filing lawsuits against the town if the resolution were to pass.  Town Trustee Joyce Taylor responded by asking why the cities and towns of Fort Collins, Greeley, Wellington, Ault, and Timnath had not been sued for  the resolutions they had already passed against the project.

 

The Town of Nunn has no permitting authority with respect to the Centennial Project.  However, it is the closest municipality to the proposed mine -- a portion of the proposed mining area is located within the town's 3-mile growth management area.  The opposition to the project by the Town of Nunn and other municipalities will be an important consideration when the various permitting agencies weigh the environmental and socioeconomic impacts from the proposed project.

 

JW

 

 

Nunn digs in against uranium mine - Colin Lindenmayer, Greeley Tribune - September 4, 2009

 

Board opposes uranium mine - Bobby Magill, Fort Collins Coloradoan - September 4, 2009

 


RESOLUTION OF THE BOARD OF TRUSTEES OF THE TOWN OF NUNN
EXPRESSING THE BOARD’S OPPOSITION TO THE MINING OF URANIUM NEAR
THE TOWN

 

WHEREAS, Powertech (USA) Inc. (“Powertech”), a wholly-owned subsidiary of
Canadian company Powertech Uranium Corp., has proposed a uranium mining
operation on nearly 10,000 acres of land located west of the Town of Nunn (the
“Town”), known as the Centennial Project (the “Project”); and
 

WHEREAS, Powertech proposes to extract the uranium using in-situ leach mining,
which involves the drilling of wells into an aquifer, the injection of chemically-altered
water under pressure to dissolve uranium and other heavy metals, and the pumping of
the resulting solution to the surface for further processing; and
 

WHEREAS, leaching solutions contaminated with heavy metals and radionuclides
would be repeatedly re-injected and re-circulated through the aquifer; and
 

WHEREAS, Powertech proposes to conduct in-situ leach mining in the Laramie-Fox
Hills aquifer in which numerous domestic and agricultural wells are completed in close
proximity to the proposed mining area; and
 

WHEREAS, in-situ leach mining holds inherent risks, including but not limited to the
possible contamination of groundwater, and the release of contaminants to surface
areas through spills and leaks as documented in Nuclear Regulatory Commission
records; and
 

WHEREAS, Powertech proposes to prevent horizontal excursions of leaching solutions
from the mining area into adjacent drinking water supplies by the use of water pressure;
and
 

WHEREAS, Powertech claims that impermeable layers of rock will prevent vertical
excursions of leaching solutions into overlying or underlying drinking water aquifers; and
 

WHEREAS, the proposed mining area includes thousands of exploration drill holes from
the 1970s and 1980s, many of which were not plugged properly to prevent water from
migrating vertically between aquifers; and
 

WHEREAS, both vertical and horizontal excursions of leaching solutions from the
mining area of historical and current in-situ leach uranium projects are numerous and
well-documented; and
 

WHEREAS, a lack of long-term monitoring of aquifers at historical in-situ leach uranium
mines has resulted in insufficient data to determine long-term impacts on drinking water
supplies; and

WHEREAS, Powertech proposes to dispose of mine wastewater with elevated levels of
radionuclides and heavy metals by land application with pivot irrigation and by storage
in open holding ponds for later injection into deep wells; and
 

WHEREAS, land application of mine wastewater could result in dispersal of
contaminants by windblown dust and by surface water runoff; and
 

WHEREAS, wastewater holding ponds are subject to leaks and failures as documented
in Nuclear Regulatory Commission records; and
 

WHEREAS, following the cessation of in-situ leach uranium mining, Powertech would
be required to restore the aquifer to pre-mining baseline water quality or to Colorado
radioactive materials standards and the most stringent ground water quality criteria; and
 

WHEREAS, aquifer restoration involves flushing the aquifer with large quantities of
water from outside the mining area, and may also include filtering, injection of
hazardous reducing chemicals, and injection of substances to promote growth of
microbial agents; and
 

WHEREAS, historical attempts to restore aquifers to pre-mining baseline water quality
following in-situ uranium leaching have all been unsuccessful, and regulatory agencies
have had to relax water quality restoration standards to allow closure of these mines;
and
 

WHEREAS, the closest area to be mined would be on Section 35, bounded by the Nunn
Road (WCR 100), WCR 23, WCR 98, and WCR 21, and is located within the 3-mile
growth management area of the Town; and
 

WHEREAS, the uranium deposits in the area closest to the Town are shallow and
located above the water table and thus are not amenable to typical in-situ leaching; and
 

WHEREAS, shallow unsaturated uranium deposits are typically extracted using open pit
mining; and
 

WHEREAS, open pit mining holds inherent risks, including but not limited to the
possible contamination of groundwater, and the potential hazard of windborne
contaminated dust and particulate matter; and
 

WHEREAS, Powertech originally notified state mining regulators that it intended to
extract the uranium deposits south of the Nunn Road by the use of open pit mining, but
has since indicated it is investigating alternative methods; and
 

WHEREAS, Powertech has not reasonably or fully explained how it intends to mine
these shallow deposits; and

WHEREAS, the Project would occur in an area near the Town that is experiencing
steady population growth and is in close proximity to many homes and agricultural
operations; and
 

WHEREAS, mineral estate owners have a right to extract minerals when that extraction
will not be injurious to surface right owners, neighboring property owners, and
groundwater users; and
 

WHEREAS, Powertech has been unable to convincingly demonstrate that its proposed
mining activities would not injure surface right owners, neighboring property owners,
and groundwater users; and
 

WHEREAS, economic development is a high priority for the Town; and
 

WHEREAS, uranium mining close to the Town might provide employment for a few
local residents but could negatively impact long-term efforts to attract new residents,
businesses, and investment; and
 

WHEREAS, protection of health, safety, and economic well-being is a primary
responsibility of the Board of Trustees; and
 

WHEREAS, for all these reasons the Nunn Board of Trustees is strongly opposed to the
Project and hereby conveys that opposition to the federal, state, and county agencies
that will review this project.
 

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE
TOWN OF NUNN:
 

Section 1. The Nunn Board of Trustees hereby strongly opposes the proposal for
mining uranium at the proposed Centennial project and urges all county, state, and
federal agencies involved in the permitting process to recognize that locating such
projects along the North Front Range in close proximity to cities and towns is
inappropriate because such mining may be injurious to the health, safety, welfare, and
property rights of the residents and do irreparable harm to the economic well being of
the Town.
 

Section 2. For all the foregoing reasons the Nunn Board of Trustees further urges all
involved government agencies to deny any and all permit applications for the Project.

 


 

Mining opponents pack Nunn meeting

 

August 12, 2009

By Steven Olson

The Wellington (Wellington, Colorado's Community Newspaper)

 

They had to get extra chairs. Mayor Jeffrey Pigue, officers of the Nunn police department and others brought in 17 chairs to add to the 42 already in the room to seat the crowd that showed up for the Aug. 6 Nunn Town Board of Trustees meeting.

 

Facing a packed room, Pigue suggested that the more mundane items the board usually handles at the beginning of the meeting be moved to the end.

 

Interest was high because Powertech Uranium Corp., the Canadian-based firm that wants to mine uranium in Weld County between Nunn and Wellington (Colorado), had asked for an item of new business regarding its Centennial Project.

 

Area residents who monitor town board meetings were surprised to find Powertech on the agenda posted the day before the meeting, and details of the company’s request were not made available to the public. Town Clerk Tori McMechan would not provide an advance copy of the proposed resolution to The Wellington, saying that she might be in violation of attorney-client privilege if she did so.

 

Read aloud at the town board meeting, the resolution stated Powertech wanted to work with Nunn to iron out any problems connected with the Centennial Project and to establish a cooperative relationship with the town.

 

The audience, which consisted of a mixed group including members of Coloradoans Against Resource Destruction, citizens of Nunn and people who live nearby, wasted no time in expressing an opinion on accepting the letter. It was a unified and very loud “No.”

 

Trustee Brian Jex got a loud burst of applause when he observed, “If we adopt this, we’re showing we’re pro-Powertech, which I’m against to be honest with you.”

 

The board agreed to table the matter. While most in the audience applauded, some, like longtime Nunn resident Alvarita Thomas, wanted to know what that meant. Pigue responded, “It’s a dead issue now.”

 

Many were filing out of the board meeting room when Thomas persisted, “I’m concerned that when you say it’s a dead issue, it might rise from the grave.”

 

“It’s dead as far as this meeting is concerned,” Pigue said. “…Until someone brings it up again, it’s dead. If someone brings it up later, we have no choice but to hear it.”

 

Though Pigue said the issue was dead, there were some in the audience and some milling about outside the small community center who were still suspicious. Dog breeder Gerrit Voshel, a CARD member who lives on Weld County Road 17 near one of the proposed mining sites, said the entire situation “sounded like a lot of smoke and mirrors.”

 

“They tried to slip something past us at the last minute,” said Voshel, “but thanks to e-mail and the Internet we can get a crowd together pretty quickly.”

 

The Wellington story


POWERTECH DRILLING CREW LEAVES OPEN BOREHOLE, VIOLATES STATE WATER LAW

Open hole discovered on May 1, 2009 by inspector from Colorado Division of Reclamation, Mining and Safety; inspection report released two months later

Posted July 6, 2009


Antelope Hill Blog

 

June 14, 2009 - The U.S. Nuclear Regulatory Commission has identified five material deficiencies in Powertech's application for a license to conduct in-situ leach uranium mining at its Dewey-Burdock project near Edgemont, South Dakota. 

 

Powertech submitted the license application on February 25, 2009, and NRC staff conducted an acceptance review that ended with a May 26 phone conference with Powertech informing the company of the problems.

 

According to an NRC notice, the material deficiencies in Powertech's application relate to hydrogeology/site characterization, waste disposal, well field locations and layout, protection of water resources, and operations information.

 

In a May 28 letter to the NRC, Powertech Vice-President Richard Blubaugh stated that "While Powertech may not fully agree with NRC Staff's conclusions regarding the
nature of the identified issues, we would like to schedule a meeting with NRC Staff as soon
as possible after June 9, 2009." 

 

(According to NRC document NUREG-1569, "The applicant’s....failure to supply information requested by the staff to complete the review (10 CFR 2.108) is also grounds for denial of the application.")

 

NRC staff and Powertech attorneys and officials including Chairman Wallace Mays met on June 11 to discuss the problems with the application.  Interested members of the public participated in the meeting via teleconference.

 

According to a participant and related news coverage, the meeting concluded with NRC staff declaring that the application was incomplete, and that if Powertech did not withdraw the application the NRC would send a rejection letter.  Powertech is expected to respond in a week or two.

 

The problems with the application are numerous, and will likely take some time to correct.  According to a participant who monitored the meeting, the deficiencies include:

- Inadequate characterization of the hydrology and geology of the site, and lack of information to support conclusions.

 

- Inadequate descriptions of where ISL mining would actually occur.  Apparently, Powertech has not conducted enough exploratory drilling to identify all of the specific ore bodies it intends to mine.

 

- Insufficient detail regarding waste disposal methods.  (For a letter from the Wyoming Department of Environmental Quality rejecting an overture from Powertech to pump wastewater across the state line for disposal in a deep injection well, go here.)

 

- Uncertainty regarding ISL mining in unconfined aquifers.

 

- Questions concerning aquifers that may serve as sources of drinking water.

The meeting participant said Powertech cited the high cost of exploration drilling and testing as a reason why additional information was not provided to the NRC.

 

Correcting the application's deficiencies will delay permitting of the project.  Powertech has made permitting of Dewey-Burdock its number one priority after last year's passage of House Bill 08-1161 by the Colorado legislature and subsequent rulemaking delayed the submittal of permit applications for the Centennial project in northern Colorado.  In addition, Powertech has so far been unable to obtain approvals for a final aquifer pump test needed to collect data for its Colorado and EPA applications.

 

Presumably, Powertech has been counting on progress with its Dewey-Burdock permit applications to convince investors to provide more venture capital.  Since the company has yet to file its March 31 fiscal year-end financial statements with Canadian securities regulators, its cash position is unclear.  The NRC's non-acceptance of Powertech's application for Dewey Burdock will undoubtedly be seen as bad news by investors.   

 

JW


Why I created powertechexposed.com

 

     This site is dedicated to uncovering the facts surrounding Powertech Uranium Corp.'s proposal to mine uranium in Weld County, Colorado.  Furthermore, its purpose is to protect the health, environment, property, and livelihoods of residents, landowners, and business owners by petitioning elected officials and government agencies on this matter of heightened public concern. 

     My family and I live on the prairie between the towns of Wellington and Nunn, Colorado.  Our land is about two miles west of the area that Powertech wants to mine.  Our water, and all our neighbors' water, comes from wells drilled into the Laramie-Fox Hills aquifer.

     After reviewing the history of uranium mining by the in situ leach and open pit methods, my opinion is that this project would likely contaminate the groundwater aquifer used by hundreds of well owners, disperse windblown radioactive dust over the Fort Collins/Wellington/Nunn/Ault area, and negatively impact the real estate market and general economic prosperity of this part of northern Colorado.

     Powertech proposes to mine on at least twelve sections of land, roughly 7,000 acres, located between the City of Fort Collins and the towns of Wellington, Nunn, and Ault.  One of the mining areas is six miles from the city limits of Fort Collins, and much of the mining area is located within the proposed growth management area of the town of Nunn. 

     The proposed project is generally referred to as the Centennial Project.  In fact, it is two projects: The "Indian Springs" project consists of the seven northern sections where in situ leach mining is proposed The "Centennial" project includes the five southern sections of land slated for sand and gravel mining followed by conventional open-pit uranium mining. 

     At the July 19, 2007 open house in Nunn, Powertech representatives suggested the company is considering an untested alternative to open-pit mining on the southern sections - flooding the area to saturate the shallow uranium deposits, followed by "modified" in situ leaching.  Powertech officials admit that this flooding process has never been attempted. 

     The Canadian corporation, incorporated in 1984 as Ararat Oil & Minerals Inc., has for most of its existence been a manufacturer of boilers and water heaters.  In May 2006, control of the publicly-traded shell corporation was transferred to the current goup of managers who announced that the company was now in the uranium mining business.  However, Powertech has never mined uranium, has never realized revenue from mining uranium, and has never obtained a permit to conduct uranium mining. 

     It has, however, raised more than $23 million in Europe and Canada by promoting and selling penny stock to investors.  The promotion of Powertech has been orchestrated from its head office in Centennial, Colorado and its corporate office in Vancouver, British Columbia.  The Vancouver address has been shared by at least six other Canadian penny stock firms in the recent past.  

     Thanks to the friends, neighbors, public officials, anonymous sources, Powertech employees and contractors, and others who provide inspiration, ideas, and content for this site - your contributions are greatly appreciated.

  

Jim Woodward

Wellington, Colorado, USA

jbw@frii.com


 

 

Site updated February 7, 2010


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DOCUMENTS

Updated February 7, 2010

 

"Aquifer mysteries hold key to effects of uranium mining; Tests could offer insight on potential for contamination" - Bobby Magill, Fort Collins Coloradoan - February 7, 2010 (PDF 34 KB, 2 pages)  According to this article, Valois Shea, EPA Region 8 UIC permit writer, will not release the agency's decision on Powertech's final Class V underground injection permit until mid-April.  Powertech submitted its permit application on April 30, 2009.  A second draft permit was issued by Shea on November 23, 2009.  Substantive concerns regarding the draft permit have been raised by members of the public and submitted to the EPA.  If a final permit is approved, the decision can be appealed to the EPA's Environmental Appeals Board within 30 days of the decision.  See documents related to the Class V permit and Powertech's proposed pump test here.     

 

A CITIZENS’ GUIDE TO EPA’S ENVIRONMENTAL APPEALS BOARD - November 2006 (PDF 321 KB, 48 pages)

 

"Colo. proposed rules on uranium mining go public" - Monte Whaley, Denver Post - February 1, 2010 (PDF 131 KB, 2 pages)

 

Proposed Statement of Basis, Specific Statutory Authority, and Purpose for New Rules and Amendments Proposed by the Division of Reclamation, Mining and Safety to the Mineral Rules and Regulations of the Colorado Mined Land Reclamation Board for Hard Rock, Metal and Designated Mining Operations, 2 CCR 407-1 - January 26, 2010 (PDF 217 KB, 32 pages)

 

NOTICE OF PUBLIC RULEMAKING HEARING BEFORE THE COLORADO MINED LAND RECLAMATION BOARD - January 26, 2010 (PDF 108 KB, 7 pages)

 

New Rules and Amendments Proposed by the
Division of Reclamation, Mining and Safety to the Mineral Rules and Regulations of the Colorado Mined Land Reclamation Board for Hard Rock, Metal and Designated Mining Operations, 2 CCR 407-1 - January 26, 2010 (PDF 477 KB, 70 pages)

 

News Release - "Mining Board schedules uranium rulemaking; Deadlines for written comments, requests for party status announced" - Colorado Division of Reclamation, Mining and Safety - January 28, 2010 (PDF 55 KB, 2 pages)

 

"Public input on uranium set; Hearing scheduled for Powertech mine proposal" - Bobby Magill, Fort Collins Coloradoan - January 29, 2010 (PDF 21 KB, 2 pages)

 

"Powertech rule process expected next week" - Bobby Magill, Fort Collins Coloradoan - January 8, 2010 (PDF 31 KB, 1 page)

 

Comments on Powertech's Draft UIC Class V Permit, submitted to the EPA on behalf of Coloradoans Against Resource Destruction (CARD), Information Network for Responsible Mining (INFORM), and Environment Colorado by Jeffrey Parsons, Senior Attorney, Western Mining Action Project - December 24, 2009 (PDF 65 KB, 10 pages)

 

Estimate prepared by Western Oilfields Supply Company dba Rain for Rent for Powertech's proposed Section 33 pump test, showing the cost to provide at least four metal tanks (approximately 20,000 gallons each) to store water produced by the pump test until it can be re-injected into the aquifer - October 22, 2009 (PDF 1,658 KB, 7 pages)  The estimate contains various contractual terms including an acknowledgement by Powertech that the tanks may have previously contained hazardous wastes, that Powertech may test the tanks prior to taking delivery, that any tanks in which hazardous waste is detected may be rejected, that Powertech waives any right to make any claim against Rain for Rent once the tanks are accepted, and that Powertech shall indemnify Rain for Rent from any claims whatsoever, arising from or related to any environmental contamination or violation of federal, state, or local environmental or health protection laws.

 

Letter from Jeffrey Parsons - Western Mining Action Project, Coloradoans Against Resource Destruction, Environment Colorado, Environment America, and Natural Resources Defense Council to Administrator Lisa Jackson - U.S. Environmental Protection Agency, raising concerns about the lack of public notice and comment regarding the development of regulations by EPA Region 8 to facilitate the review of Class III Underground Injection Control permit applications from Powertech Uranium Corp. for in-situ leach uranium projects in South Dakota and Colorado, and calling for the EPA to suspend processing of currently filed applications for ISL uranium mining and initiate a Tier 1 rulemaking - December 17, 2009  (PDF 255 KB including attachments, 12 pages)

 

Letter from U.S. Senator Michael Bennet and U.S. Representative Betsy Markey to Carol Rushin - Acting Regional Administrator, Region 8, U.S. Environmental Protection Agency urging the EPA to apply the public notice and comment provisions of the Administrative Procedures Act to any formal rulemaking or informal promulgation of guidance undertaken by the agency as part of its review of Underground Injection Control permit applications submitted for in-situ leach uranium projects - November 23, 2009 (PDF 652 KB, 1 page)  The EPA had never received an application for a Class III UIC permit and aquifer exemption determination for an ISL uranium mine before Powertech submitted its application for the Dewey-Burdock project in South Dakota.  Region 8 staff has had to scramble to figure out how to process and review the application.  Rather than conduct a public rulemaking process, the EPA chose to exclude the public and instead develop "guidance" documents with the participation of EPA staff and Powertech officials and consultants.

 

Powertech (USA) Inc.'s Resubmission of License Application for Proposed Dewey-Burdock, ISL Uranium Recovery Facility - Link to 102 documents on the U.S. Nuclear Regulatory Commission's ADAMS website, Accession No. ML092870160 - Posted December 4, 2009

 

Response by the Colorado Division of Reclamation, Mining & Safety to Powertech's October 28, 2009 submittal responding to the DRMS initial review of proposed modification MD-03 to Notice of Intent to Conduct Prospecting P-2008-043 - Allen Sorenson, Reclamation Specialist - December 2, 2009 (PDF 306 KB, 2 pages)  The DRMS identifies several issues remaining to be addressed in Powertech's proposal to dispose of groundwater produced during a proposed aquifer pump test.  Powertech proposes to reinject the water back into the Upper Fox Hills Formation.  Among other deficiencies, the DRMS wants to know how Powertech will assure decontamination of the metal tanks used for storing the groundwater prior to reinjection.  The tanks would be provided by a contractor that routinely uses the tanks for storage of hazardous wastes.

 

An Analysis of Excursions at Selected In Situ Uranium Mines in Wyoming and Texas (NUREG/CR-3967, 296 pages including appendices with detailed reports on eight ISL mines including Irigaray, Bison Basin, Nine Mile Lake, Highland, Leuenberger, Reno Creek, Collins Draw, and Bruni) - W. P. Staub, et al. - Prepared for the U.S. Nuclear Regulatory Commission by the Oak Ridge National Laboratory and the University of Idaho - July 1986 (PDF 10,892 KB)

 

Draft Set of Proposed New Rules and Revisions to Hard Rock Rules (implementing House Bill 08-1161 and Senate Bill 08-228) - Colorado Division of Reclamation, Mining & Safety - October 20, 2009 (PDF 512 KB)

 

"Powertech revising uranium mining permit applications" - Steve Miller, Rapid City Journal - October 3, 2009  Note: This article covers the problems Powertech has had with two of their permit applications for the Dewey-Burdock ISL uranium project near Edgemont, South Dakota.  Both of the permit applications (to the US Nuclear Regulatory Commission and South Dakota Department of Environment and Natural Resources) were found to have numerous material deficiencies.  Powertech purchased the Dewey-Burdock uranium leases in May 2006.  Four months later, the company purchased the uranium mineral rights for the Centennial uranium project near Nunn and Fort Collins, Colorado.  In the three years since Powertech announced the projects, the company has had only two permit applications accepted for technical review by permitting agencies, both for the Dewey-Burdock project (no permits have been issued).  No permit applications have been filed for the Centennial project, and it is unlikely that any will be submitted before spring 2010.  (Updated and corrected December 5, 2009)

 

"Nunn board against uranium mine" - Steven Olson, The Wellington (Wellington, Colorado) - September 9, 2009  Note: This article does a good job of describing the Nunn Town Board's discussion and vote against the Centennial Project at its September 3 meeting.  However, it fails to mention the strong support and involvement of Nunn residents and nearby landowners who are not associated with CARD, the main grassroots organization opposing the project.  The article concludes with a statement by Loveland attorney Jeff Parsons that while the resolution is not enough to stop Powertech, it would be a mitigating factor to agencies that determine whether the Canadian mining company gets the permits to operate.

 

"Uranium mining may get buried in Nunn" - Monte Whaley, Denver Post - September 3, 2009  Note: This story came out the morning before the Nunn Town Board soundly approved a resolution against the Centennial Uranium Project.  The proposed project would include mining within the growth management area of the town.  Powertech CEO Dick Clement was interviewed for the story and admitted that a resolution against the project by the town could harm the company's chances for approval of mining permits.  Nunn Mayor Jeff Pigue is incorrectly described as being undecided on the project.  Pigue is an outspoken Powertech supporter, and he worked with Powertech officials in a months-long effort to head off a vote on the resolution.

 

"Groundwater Restoration at Uranium In-Situ Recovery Mines, South Texas Coastal Plain" - Susan Hall -  Open-File Report 2009–1143, U.S. Department of the Interior, U.S. Geological Survey, Central Energy Resources Science Center - 2009  (PDF 3,236 KB)  

Note: USGS geologist Susan Hall concludes that "Regarding the original question of whether or not groundwater has been restored to baseline in Texas uranium ISR well fields, it was observed that no well field for which final sample results were found in TCEQ (Texas Commission on Environmental Quality) records returned every element to baseline."

 

More Documents

 

MINING AND PERMITS
Uranium mined  since inception none
Mining permits held none
Mining permits applied for - Centennial Project none
Mining permits applied for - Dewey Burdock Project 3 (EPA Class III UIC permit and Aquifer Exemption determination, NRC Uranium Recovery License, BLM Plan of Development)
Operating revenue  since inception $0.00

STOCK PRICE

Stock price (CAD) $0.37  (12/4/09)
Stock price (USD) $0.35  (12/4/09)
Market capitalization $19,391,771 USD
Average volume 52,000 shares
52-wk. intra-day high (CAD) $0.66 (5/4/09)
52-wk. intra-day low (CAD) $0.24 (4/9/09)
All-time high (CAD) $4.45 (3/23/07)
Shares outstanding 55,429,020

1-year (Canadian Dollars)

Data from TSX Group

3-years (Euros)

Data from Deutsche Börse Group

The company is listed on the Canadian Toronto Stock Exchange (TSX) under the symbol PWE (PWE-T) and on the Frankfurt Exchange (Open Market) under the symbol P8A (P8A.F).  It is quoted on the OTC Bulletin Board and the Pink Sheets under the symbol PWURF.  Powertech is not listed on a U.S. stock exchange.

URANIUM U3O8 PRICES (USD)

Spot price $45.50 per pound (11/30/09 - source)
Long-term price (Although the long-term contract price is reportedly higher than the spot price, there is currently no reliable publicly-available source for this price indicator.)
Weighted-average uranium price paid by US civilian nuclear power plant operators in 2008 $45.88 per pound (source)

Uranium does not trade on an open market like other commodities. Buyers and sellers negotiate contracts privately. Prices are published by independent market consultants Ux Consulting and TradeTech.

ABOUT URANIUM PRICES

Will the Belgians throw good money after bad? (Apparently so.)

On June 4, 2008, Belgian firm Synatom invested $9 million CAD in Powertech Uranium Corp.  Six million shares of stock were issued to Synatom at $1.50 CAD per share.  The value of these shares has dropped to $2.22 million CAD as of December 4, 2009.  Synatom's investment has fallen 75% for an unrealized loss of $6.78 million CAD.

 

See story:

Powertech sells off part of company to European multinational corporation - Canadian firm to get $9 million cash injection from Societe Belge De Combustibles Nucleaires Synatom SA, a subsidiary of Electrabel/SUEZ Group

Posted June 3, 2008


When uranium mining goes wrong

Is this the future of northwestern Weld County?

Source: http://www.epa.gov/region09/waste/sfund/navajo-nation/contaminated-water.html


The No Uranium Song - written and performed by Russ Hopkins.  Order your CD here Download an MP3 for $1.00 here.  All proceeds to benefit C.A.R.D. in the fight against uranium mining in northern Colorado.


Note to Powertech's attorneys:

The First Amendment to the US Constitution:  Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the government for a redress of grievances.