A Nuclear Power Plant May Be Next for New Mexico

Federal lawmakers patted themselves on the back,energy.The major issue in the western United States,
last Friday, in a joint bi-partisan news release issuedabout nuclear waste, is "please don't put it in our
by three New Mexico politicians: U.S. Senators Petebackyard." Several western states have been
Domenici and Jeff Bingaman, and U.S. Congressmanapproached, and even the Carlsbad area was once
Steve Pearce. Their celebratory remarks were meantdiscussed. Through the ABR technology, it may be
to remind voters why the politicians were inpossible to minimize the amount of this waste to
Washington - to bring their state new jobs for atmake it a less undesirable disposal problem. A look at
least some of New Mexico's voters. While the choruslocal New Mexico politics may provide an insight as to
of praise revolved around creating new jobs andwhere the two U.S. senators may be heading with
bringing millions of dollars into the state's economy, isregards to a nuclear power plant for New
there more behind this story, which has not yet beenMexico.New Mexico's Enrichment Facility:
told?For Senator Domenici, this was another majorPrelude to a Nuclear Power Plant?If Federal
victory as the longest serving U.S. Senator in Newlawmakers are happy about the proposed uranium
Mexico's history. The Republican Senator heads theenrichment facility, some of New Mexico's state
Senate Energy and Natural Resources Committee.politicians were still floating on clouds when we talked
Domenici made his views on nuclear energy quiteto them yesterday. New Mexico legislator John A.
clear in his book "A Brighter Tomorrow: Fulfilling theHeaton, the Democratic representative serving
Promise of Nuclear Energy" (Rowman & Littlefield,Carlsbad, waxed enthusiastic about the enrichment
2004). He began pursuing Louisiana Energy Servicesfacility, "It's the first step in converting this country
to move to New Mexico in February 2003, after itto nuclear energy."Mainly the four state senators and
became apparent Hartsville, Tennessee didn't wantrepresentatives, whom we interviewed, echoed each
uranium being enriched in their backyard.And again, itother's praise about Urenco's proposed enrichment
was Domenici, whose last minute negotiations withfacility. "I could not be more pleased," Senator Carroll
Energy Secretary Samuel Bodman, led to theH. Leavell told us. "It will have a major, very positive
adoption of the Part 810 Waiver. The waiver allowedimpact on the economy." At the peak of
Louisiana Energy Services (LES) to contactconstruction, as many as 1200 workers may be
foreign-owned Urenco Ltd about transferring highemployed. Later, when the facility is operational,
technology data (the gas centrifuge technology) toabout 300 workers will remain. All four were
LES so the uranium enrichment technology could bepleasantly surprised that town hall hearings for the
utilized at the new facility. U.S. laws ordinarily prohibitproposed facility were overwhelmingly positive, and
such nuclear technology transfers, but Domenici'sthe local citizens would be delighted to have this
intervention brought the project to the NRC approvalfacility in built in southeastern New Mexico. Senator
stage. LES had been on the drawing boards sinceLeavell said with disgust, "Most of the (anti-nuclear)
1989, having derived its name from the state ofprotests have come from outside our area, places
Louisiana. The LES partnership was initially formedlike San Francisco, DC and Santa Fe."Senators Leavell
with the intent of building its centrifuge enrichmentand Gay G. Kernan, the state senator from Hobbs,
plant in Homer, Louisiana.Senator Domenici's impactwere invited by Urenco Ltd. to tour an enrichment
upon the nuclear resurgence in the United States istechnology plant in Almelo, Netherlands and left
evident to the entire industry and most politicians. Heimpressed with the company, its honesty and
announced last year, "In 1997, I predicted theespecially the management's attitude of looking at
resurgence of nuclear energy in the United States.both sides of the issues. Both state senators also
For the last eight years, I have worked to help makeobserved the surrounding community failed to be
that renaissance a reality." Is there, perhaps, onenegatively impacted by the enrichment facility.Looking
more achievement Senator Domenici would like tofor deeper insights into what the future might hold,
add on behalf of the nuclear industry, before givingwe asked all four about the possibility of a nuclear
up his Senate seat? In his book, "A Brighterpower plant in New Mexico. All four agreed it would
Tomorrow," Domenici bemoans and condemnsbe desirable. Additional comments by the four state
nuclear fuel reprocessing. With the advent of thepoliticians led us to believe there might be a second
Global Nuclear Energy Partnership (GNEP), Domenicistep, following Heaton's remark about the enrichment
may bring a nuclear power plant to New Mexicofacility being the first step.Donald L. Whitaker, the
before he retires.Domenici's Democratic counterpart,Democratic legislator from Eunice, the closest town
Senator Jeff Bingaman, is the ranking Democrat onto the proposed enrichment facility, told us, "I would
the Senate Energy and Natural Resource Committee.like to see a nuclear reactor in New Mexico."
We suspect Bingaman may play an integral role inWhitaker has toured a nuclear facility, and believes
helping Senator Domenici fulfill that dream. Ironically,one would be great for the state's economy. "They
Senator Bingaman, who last November was invited toemploy about one thousand and bring high-paying
a Santa Fe anti-nuclear environmentalist fundraiser,jobs," he said. Representative Whitaker was not the
and which highlighted television mogul Ted Turner,lone voice among his fellow eastern New Mexican
was effusive in saying about the LES enrichmentlegislators."Yes, we want a nuclear reactor in New
facility, "This will be one of the largest constructionMexico," Representative Heaton said. Heaton is the
projects our state has ever seen. And the economiclegislature's Vice Chairman of the Radioactive and
impact in southeastern New Mexico will beHazardous Materials committee and a member of the
tremendous." Does Bingaman appear to be playingEnergy & Natural Resources Committee. He
both sides of the nuclear chessboard?No, the formerdiscussed the ABR technology and GNEP, explaining
attorney, who reportedly once provided legal advicehow this would solve the waste disposal problem of
to uranium mining powerhouse, Kerr McGee, is deftlynuclear reactors and sway public opinion on nuclear
maneuvering between being a good Democrat andenergy.Senator Leavell took a more cautious
providing what he may honestly believe is best forapproach, explaining how nuclear reactors need
his state. While Bingaman has curried favor amongtremendous amounts of water. "I don't think New
the environmentalists, in May of this year, heMexico could have a nuclear reactor, not with the
accepted, along with Domenici and others, the Williamcurrent technology." But, he still agreed it would be a
S. Lee Award for Leadership at the Nuclear Energygood idea if new technologies were developed, which
Institute's (NEI) annual conference, saying, "I share aused less water.Senator Gay Kernan told us, "I don't
belief that nuclear power can make a meaningfulknow if I should be talking about this, but we are
contribution to controlling the growth of greenhouseone of the candidates for the GNEP program." Having
gases, while still allowing our economy to expand." Itheard a rumor that General Atomics may propose
was his subsequent remark directed at the NEI,building a nuclear power plant in eastern New Mexico,
which leads us to believe he may be among the firstSenator Kernan confirmed such a plant may be on
to support additional nuclear growth in New Mexico.the drawing boards, and telling us West Texas is
He told the NEI, "I am hoping that you will do yourlikely to be developed as an "alternative energy
part to use those tools that Congress has put incorridor." She told us, "It would stretch from
place to ensure that nuclear power achieves itsCarlsbad, New Mexico to the Odessa-Midland, Texas
potential as part of our future energy mix."The Globalarea." Senator Kernan would also like New Mexico to
Nuclear Energy PartnershipIn March 2006, Senatorhave a nuclear plant, "I don't have a problem with
Domenici pledged his support to President Bush'sthat."The third politician, joining Senators Domenici and
Global Nuclear Energy Partnership (GNEP),"With GNEP,Bingaman, in praising the NRC approval of a draft
we begin to close the cycle on nuclear waste inlicense for LES and Urenco Ltd, was U.S.
ways that prevent proliferation and reduce both theCongressman Steve Pearce. Comments, issued by his
volume and toxicity of waste. By recycling spentpress secretary on Friday and praising the LES
nuclear fuel, we can reuse the uranium, which is 96announcement, may foreshadow New Mexico's next
percent of spent fuel, and separate the most toxicstep, "Today's announcement marks a major
radioactive material to be burned in an advancedmilestone in our efforts to cement our state's
burner reactor. By reusing uranium fuel and burningleadership role in the development of alternative
the transuranic material in a new generation ofenergy." What greater leadership by a state than in
modern reactors, we can reduce the amount ofintroducing the new GNEP ABR technology in New
waste placed in Yucca Mountain by a factor ofMexico? After all, the state of New Mexico remains
100."One of the key technologies in the GNEPthe founding home to nuclear technology, where the
program in is the Advanced Burner Reactor (ABR).world's first atomic technology was designed at Los
Deriving its technology from fast reactors, whichAlamos.In a related development, David Watts,
were used to make nuclear weapons, the concept ofPresident of the University of Texas of the Permian
the ABR is to minimize the amount of nuclear waste,Basin, recently met with Congressman Pearce about
produced by the nuclear industry's power plants, to adeveloping a helium-cooled nuclear reactor facility,
tiny fraction of content. The concept behind the ABRwhich would be built underground in either Lea
is to "burn" the transuranic elements, such asCounty, New Mexico or Andrews County, Texas.
plutonium and other long-living radioactive material. InGeneral Atomics of San Diego has funded the
this case, burning the radioactive waste is translatedpre-conceptual design, which is underway and
as: destroying the transuranics, by converting themscheduled for completion in August. Waste Control
into shorter-lived isotopes. When the transuranicSpecialists has a low-level radioactive waste storage
elements are consumed by the ABR, a large amountsite in Andrews County. Realistically, a nuclear reactor
of energy is released and then converted intoin New Mexico is not out of the question. The
electricity.Instead of burying several football fields oflegislators may get what they want. We believe
nuclear waste in Yucca Mountain (or elsewhere) forSenator Domenici will ultimately set into motion the
one million years, the toxic waste would be recycledplans to bring New Mexico its first nuclear power
as energy to be immediately used to power homesplant. It would become his crowning achievement in
and industry. Part of the GNEP plan is to combine thehelping the nuclear renaissance blossom in this
current, or advanced, light water reactors with thecountry and in his state.James Finch contributes to
ABR. As the light water nuclear reactors produceand other publications. Visit to download your free
transuranics, the ABRs consume those highlycopy of "Investing in the Great Uranium Bull Market:
radioactive elements. This leaves less nuclear wasteA Practical Investor's Guide to Uranium Stocks.
for future disposal, and immediately provides