The Facts about mining in South Foreword

South Australia has been a major producer of uranium since 1988. We are proud of our track record and our global reputation for excellence.

The South Australian Government thoroughly To achieve that aim we need to challenge assess mining lease proposals, and through the perceptions of unacceptable hazards stringent conditions, rigorously upholds the associated with the uranium industry. Risks highest standards for monitoring and safety. associated with nuclear energy are judged harsher than competing energy sources. The enduring strength of this State’s leadership in is an insistence Access to information and education is on world’s best practice for managing our the key to challenging these perceptions. resources. Uranium – The Facts is just that, the facts that should be the basis for any informed debate Our global reputation enables us to attract about uranium and ’s current the world’s leading uranium miners and role in the global nuclear fuel cycle. lead the country in annual production. Uranium produced in South Australia is equivalent to delivering CO2-free power to 20 million people. Yet with more than 80% of Australia’s total Hon Tom Koutsantonis MP, uranium resource, there remains considerable Minister for Mineral Resources and Energy scope to expand. It’s not enough that we produce exports from the world’s largest uranium deposit at Olympic Dam, we want to unlock the full potential of all South Australia’s uranium assets. How we regulate

The Foreign Investment Review The Australian regulatory framework Board examines foreign investment for the uranium industry is widely proposals to ensure the investment is recognised as world’s best practice. in Australia’s best interests.

SOUTH AUSTRALIAN REGULATION

Tenure and Regulation of Environment and Natural Resource Worker Safety Exploration and Mining Public Protection Management

Responsible government agencies enforce legislation regulating these areas.

Mining Act 1971 Natural Resource Radiation and Mining Environment Management Work Health Protection and Regulations made Protection Act and Native and Safety Act Control Act under the Act Vegetation Acts

Government agencies collaborate to assess applications to ensure across the board compliance.

Mining lease and Licence and Licence Licences Monitoring environmental conditions conditions Mining Code

Rehabilitation Radiation Radioactive Waste Liability Bonds Management Plan Management Plan

Transparent and stringent monitoring and reporting

REGULATORY ENFORCEMENT • Prevent and stop harmful activities • Prosecute • Request mine site rehabilitation • Inspections for compliance • Levy fines • Mandatory reporting • Cancel licence

P 1 The history of uranium mining in South Australia

1906 1930s 1954 Uranium first discovered in Uranium ores mined at Radium Radium Hill mine officially South Australia at Radium Hill. Hill and Mount Painter. opened.

1958-62 Uranium processing plant operational at Port Pirie.

1972 1969 Honeymoon uranium Uranium discovered at Beverley. deposit discovered.

1975 TIME LINE OF URANIUM EXPLORATION AND MINING Olympic Dam uranium deposit discovered. 2011 2015 Insitu recovery starts at Four Mile uranium mine opened. 1988 Honeymoon uranium mine. Uranium production began at Olympic Dam, first convoy of yellow‑cake from Olympic Dam. 2005 Four Mile uranium deposit discovered.

2000 Mining begins at the Beverley uranium mine.

P 2 THE FACTS ABOUT URANIUM MINING IN SOUTH AUSTRALIA Uranium mining in South Australia today

OLYMPIC South Australia hosts DAM 1 is the % SINGLE 25 LARGEST uranium deposit of the world’s uranium in the world resources and

$370 $118 % million million 80 Was the value of In royalties to uranium oxide produced South Australians of Australia’s and exported from over the past decade uranium resources. South Australia in 2014. (2004-2014).

5 APPROVED URANIUM MINES Australia has seven approved uranium mines with five in South Australia. Olympic Dam Beverley Beverley North Four Mile Honeymoon

1KG has the capacity to 1,400,000 KG OF NATURAL produce as much URANIUM energy as (1,400 tonnes) of coal

P 3 Uranium mines in South Australia

NORTHERN TERRITORY

SOUTH QUEENSLAND AUSTRALIA 3

WESTERN AUSTRALIA WESTERN 4 1 5 2

6 7

NEW SOUTHWALES URANIUM MINES 8 1. Olympic Dam 2. Beverley 3. Beverley North ADELAIDE 4. Four Mile 5. Honeymoon

URANIUM PROSPECTS

VICTORIA 6. Junction Dam 7. Crocker Well 8. Samphire

URANIUM CONTAINED RESOURCE (TONNES)

Less than 1,000 1,000 to 9,999 10,000 to 24,999

25,000 to 999,999

Greater than 1000,000

P 4 THE FACTS ABOUT URANIUM MINING IN SOUTH AUSTRALIA South Australia has vast potential for long-term production and expansion of our uranium industry that could ensure our State’s well‑being for decades to come.

NORTHERN TERRITORY Uranium resources by state/territory

% % 80 % % % 1 Queensland

QUEENSLAND 10 6 3 South Australia New New South Wales Western Australia Western

SOUTH Northern Territory AUSTRALIA 3 Despite having 25% of the world’s uranium resources, South Australia produces about 8% of the world’s uranium.

WESTERN AUSTRALIA WESTERN 4 1 5 2 Uranium exploration expenditure ($m) from 2005/06 to 2014/15

500 6 400 300 438.2 200 7 ($ m) 356.4 277 NEW SOUTHWALES 100 Exploration Expenditure 0 URANIUM MINES 8 97.1 1. Olympic Dam SA QLD WA NT 2. Beverley Source: Australian Bureau of Statistics, series 8412.0 (June 2013). 3. Beverley North ADELAIDE 4. Four Mile 5. Honeymoon 5,897

TONNES World uranium consumption is 70 URANIUM PROSPECTS

VICTORIA Volume of uranium projected to increase to around NEW REACTORS 6. Junction Dam produced in South The number of new nuclear reactors Australia in 2014 7. Crocker Well under construction world-wide* 8. Samphire 100,000 URANIUM CONTAINED RESOURCE (TONNES)

Less than 1,000 1,000 to 9,999 TONNES 10,000 to 24,999 90 25,000 to 999,999 by 2020 PLANNED REACTORS The number of planned new nuclear

Greater than 1000,000 DEMAND UP reactors world-wide*

*as of the end of 2014 and reported to the International Atomic Energy Agency

P 5 How are mining leases approved?

Under the Mining Act 1971 and the Mining Regulations 2011, approval will only be granted once the Minister is satisfied that all risks to human health, the environment, other land users and our precious water resources will be successfully managed.

NO URANIUM EXPLORATION OR MINING IS ALLOWED WITHOUT RIGOROUS TECHNICAL ASSESSMENT.

COMMUNITY ENGAGEMENT IS ESSENTIAL Applicants must engage with landowners and other stakeholders before activity will be approved.

FEDERAL AND STATE SAFETY AUTHORITIES Environmental impacts and protection ENSURE WORKER AND of our important water resources – PUBLIC SAFETY. given primary consideration in lease assessment process.

P 6 THE FACTS ABOUT URANIUM MINING IN SOUTH AUSTRALIA The assessment process

Mineral exploration licence granted Exploration program for Uranium exploration underway. if determined that applicant has environment protection and IF there is a discovery, the process financial and technical capabilities rehabilitation (PEPR) approved. continues. to be compliant. Exploration can commence.

Uranium mine proposal triggers Mining Lease proposal drafted. Company undertakes Commonwealth Environment, Considers environmental, social investigations into the potential Protection and Biodiversity and economic impacts and benefits for a mining operation, including Conservation (EPBC) Act of the proposed mining operations. feasibility studies. assessment and approval.

The Minister undertakes extensive consultation with relevant Mining Lease proposal stakeholders including government, lodged with Government. authorities (federal, state and local), land owners and general public. NO

Mining Lease proposal including Applicant responds to public submissions and applicant’s public submissions. response assessed by Government Mining Lease Granted technical experts.

The detailed operating plan Mining lease granted YES – Program for Environment Protection with strict conditions and Rehabilitation (PEPR) – is prepared.

Government technical experts Transparent monitoring assess PEPR, including detailed risk and reporting, including mitigation and control measures, strict uranium transport and mine closure plans. controls.

Risk management and Government provides NO control measures considered YES approval to commence appropriate and PEPR approved. activities.

P 7 How is uranium mined and transported?

In South Australia, uranium is mined from underground or by the In Situ Recovery (ISR) mining process.

The Olympic Dam mine uses the UNDERGROUND mining method – called sublevel open stoping

Outcrop

Overburden Vein Adit Drift Air shaft Hanging wall

Raise Footwall Shaft Stope

Winze Sump

Beverley, Four Mile and Honeymoon mines use the In Situ Recovery (ISR) mining method.

Uranium extraction columns Laboratory Thickeners KEY Control room Yellowcake drying and packaging Power station Injection well Shipping containers Extraction well Uranium recovery columns Workshop Monitor well Extraction filters Evaporation ponds Screened interval Reagent storage Well house Injected solution Trunk lines Production Uranium enriched solution monitor well Overlying monitor well Shoestring sands, clays and gravels Production monitor well

Uranium

In Situ Leaching at Beverly mine in South Australia. Source Heathgate Resources.

P 8 THE FACTS ABOUT URANIUM MINING IN SOUTH AUSTRALIA Transport of uranium is stringently regulated.

AT THE MINE

Uranium ore is YELLOWCAKE is packed processed to make into 200L steel drums by uranium oxide trained workers wearing concentrate (UOC), - breathing apparatus and ‘YELLOWCAKE’ other safety gear.

The drums are carefully tied down with kevlar straps and packed into shipping containers that are LOCKED, SEALED and SECURED at the mine site.

Every year around 50 SHIPMENTS of 500 CONTAINERS of Australian uranium are safely transported by road and rail to ports in Adelaide and Darwin where they are shipped. No No 3 movement of harm to public The containers are LOCKED and DECADES uranium without health or the NOT OPENED, unless for official of transporting government environment inspections, until they reach their uranium approval overseas destination.

* To end June 2014 P 9 How is South Australian uranium used?

of the Uranium mined % in South Australia is 100 exported overseas

4

9

10 2

1 6 11 5 7 8 3 1. Belgium 2. Canada 3. China 4. Finland 5. France 6. Japan 7. South Korea 8. Spain 9. Sweden 10. United Kingdom 11. United States

South Australia exports enough URANIUM to power 5,897 tonnes in 2014 20 % Enough URANIUM 77 OXIDE in a year to power 26 MILLION 1-Gigawatt (GW) HOMES nuclear reactors Over three quarters of Australia’s total URANIUM OXIDE production.

P 10 THE FACTS ABOUT URANIUM MINING IN SOUTH AUSTRALIA Is uranium safe?

RIVERS OCEANS EARTH’S CRUST Uranium is NATURALLY OCCURRING and is found in:

THE AUSTRALIAN GOVERNMENT HAS AGREEMENTS IN PLACE SO AUSTRALIAN URANIUM IS SOLD ONLY TO COUNTRIES FOR PEACEFUL PURPOSES.

URANIUM USES:

ELECTRICITY MEDICAL MANUFACTURING PRODUCTION TREATMENT Australian uranium is AND RESEARCH used for generating emissions-free electricity.

P 11 “This State has a pivotal opportunity to responsibly supply the world with uranium for peaceful purposes in a way that can generate economy-boosting employment and investment for generations to come.” Hon Tom Koutsantonis MP, Minister for Mineral Resources and Energy

Department of State Development Level 4, 11 Waymouth Street Adelaide, South Australia 5000 GPO BOX 320 Adelaide, SA 5001 T +61 8 8226 3821 E [email protected]

www.statedevelopment.sa.gov.au/thefacts