Much brewing in the Australian uranium sector

As the Australian political climate seems to be moving towards the withdrawal of the country's Labor Party ban on new uranium mining operations, some very positive talk is coming from industry and political spokesmen.

London - 

As the spot uranium price moves seemingly inexorably towards the $100 a pound level, a good deal of positive uranium talk is emanating from Australia, especially from the 2007 Paydirt Australian Uranium Conference. An initial two year timeframe has been set by the Uranium Industry Framework to now implement key recommendations to break down impediments to future uranium mining in Australia.

Addressing the conference in Adelaide, Uranium Industry Framework Implementation Group Chairman, Mark Chalmers, said the sector could expect to see action across several fronts as various working and steering groups reported to the Federal Government over the coming months.

He told delegates such action would accommodate any expected changes in policy within any or all of the Labor States. "Our agenda is to now achieve real outcomes for the uranium industry and local communities. We want to increase uranium mining across Australia but on a sustainable basis - and in achieving that, we want to ensure we encourage active participation by all stakeholders."

The UIF - a partnership established in 2005 between Commonwealth, South Australia and Northern Territory Governments to work jointly at removing barriers blocking an expansion of uranium mining - lodged its report late last year. The recommended changes will now be initially driven by four working groups, focusing on regulation, indigenous issues, transport, and skills, training and education.

Chalmers said the UIF sought by 2010 to have in place as much as possible, a more uniform set of regulations for all levels of government, matched by better public explanation of industry risks, and the establishment of a national radiation dose register for uranium workers. "Our aim is to one a "one stop shop" for uranium mining regulation."

On the key issue of transport, the UIF implementation program would now drive towards streamlined transport regulations and access to ports, across all states, and the training of cargo handlers and uranium regulators charged with responsibility for the international movement of uranium consignments.

Speaking at the Paydirt conference on March 23, The Hon Ian Macfarlane MP, Federal Minister for Industry, Tourism and Resources noted "recent events in Australia and around the world have put the uranium industry well and truly on the map, so this conference here in South Australia - a state with a wealth of uranium reserves - is well timed. A few years ago we probably could have held this conference in a phone booth, such were the scare campaigns around uranium that would have kept attendance numbers low.

"It is my view that we could still do more to embrace a mineral that would not only bring jobs and wealth to Australia, but would also play a key role in lowering the world's greenhouse gas emissions. Essentially while the outdated policies and attitudes of some who regulate the mining sector persist, it will be difficult for the industry to grow and for Australia to make the most of the 40% of world uranium reserves it holds. Despite this I remain optimistic for the industry and although the battle for commonsense has not yet been won, we are more advanced than we have ever been in removing these impediments.

"In the past year, three reports have investigated the options available to the Australian Government for uranium mining and nuclear power. All three made it crystal clear that nuclear-generated electricity will be an important and growing solution to the world's rapidly increasing energy demand and its need to minimize greenhouse gas emissions. These reports also indicate that with such a large percentage of the world's low-cost uranium reserves, Australia must take a more considered, practical and realistic view of the use of this asset.  

"The Government is considering further means to remove the shackles from Australia's uranium industry by implementing the recommendations of the Uranium Industry Framework."

The Minister welcomed the establishment of the Australian Uranium Association and its inaugural CEO, Mike Angwin. But he warned there are "few industries in Australia as inconsistently regulated as the uranium industry. This inconsistency even applies to closing a uranium mine."

"For the uranium industry to become accepted and respected and enjoy a long-term future in Australia, we need to assure and reassure the Australian public. The Australian Government stands firm on three non-negotiable points:

1. Australians and our environment must be safe and the uranium we mine will be transported safely
2. Communities must be consulted including traditional owners.
3. The uranium we mine and export will only be used for peaceful purposes and not for weapons.

He concluded that "we need to build the skills base we would require to support a more substantial nuclear industry in Australia. This is a long-term plan but the Australian Government believes it is not beyond our reach. We have a long way to go before we can truly capitalize on our uranium resources, but we have taken a few more steps here at this conference.

Outside the conference, The Minerals Council of Australia has welcomed a speech by Labor's Senate Opposition Leader, Senator Chris Evans and statements by Queensland Premier, Peter Beattie calling for the party's ban on new uranium mines to be dropped at April's ALP National Conference.

Uranium miner Paladin Resources has said it is encouraged by Beattie's "strong statements of support for uranium mining in Queensland. The ALP is widely expected to abandon its ‘no new uranium mines policy' during its national conference.

"Beattie's statements that he will support uranium mining at the ALP conference are further reasons for confidence that the ALP will drop its opposition to uranium mining on a national basis. Beattie's continued support will underpin the implementation of this in Queensland.

This would free Paladin's 50% owned Valhalla/Skal project from the development restrictions that currently apply. Paladin intends to continue to participate in the evaluation, exploration and, if viable, development of the Valhalla/Skal project, with a target of production commencing in or after 2012.

"Any change in policy in Queensland would provide a stronger expectation for a change in policy in Western Australia, where Paladin holds the Manyingee and Oobagooma projects which would then also be freed of current restrictions if a change in ALP policy is implemented nationally.

John Chadwick is editor and proprietor of International Mining magazine - www.im-mining.com.

SUBSCRIBE to Mineweb.com's free daily newsletter now.

Print story      Email story      Subscribe to free newsletter

Back