| This development could further irritate at least one | | | | about this new twist in the LES/Urenco story. Miller is |
| New Mexico legislator. State representative John A. | | | | a third-term Wyoming legislator, who is an original |
| Heaton from Carlsbad, New Mexico, and who also | | | | member of the Wyoming Energy Commission and a |
| sits on New Mexico's Energy and Natural Resource | | | | past member of the National Council of State |
| Committee, was adamant about U.S. independence | | | | Legislator's Energy Committee. Miller is also president |
| from foreign energy sources. He told | | | | of Strathmore Minerals, a company which is now |
| StockInterview.com, "We need to use the assets we | | | | advancing its properties through the permitting |
| have and not be dependent upon foreign countries. I | | | | process in New Mexico. Miller told us, "The State of |
| worry a lot about the dependence we have on other | | | | New Mexico may miss out on the hundreds of millions |
| countries." | | | | of dollars of tax revenues from potential severance, |
| In this instance, Heaton may be getting a | | | | ad valorem, sales and other taxes the domestic |
| double-whammy of foreign dependence. Not only is | | | | industry would pay to mine uranium in New Mexico. |
| Urenco Ltd a foreign-owned and controlled company | | | | Instead, the foreign uranium pays zero taxes to |
| (a Dutch/ British/German consortium), but the | | | | enter the state for enrichment." |
| uranium its New Mexico facility would be enriching | | | | Ominously, Miller asks these questions, "The real |
| could come from at least one foreign source, Canada. | | | | question for New Mexico is this: What happens to |
| Because the uranium ore might be sourced from | | | | the part of the uranium that does not go onto the |
| Cameco, yet another country's uranium could be | | | | fabrication plant? Does it stay in New Mexico? Is it |
| supplying the New Mexico enrichment facility: | | | | shipped back to Russia, Kazakhstan or |
| Kazakhstan. | | | | Saskatchewan?" |
| Cameco plans to boost uranium mining in this former | | | | Miller recommended that New Mexico legislators |
| Soviet country to a level which might approach its | | | | demand the LES plant be fed uranium mined in New |
| uranium production in the Athabasca Basin. | | | | Mexico, not in Canada or Kazakhstan. "If this were to |
| Kazakhstan recently joined the "Putin Alliance" of | | | | happen," Miller wrote in an email to us, "thousands of |
| uranium-producing countries. On June 22nd, | | | | new mining jobs would be created in areas of New |
| Kazakhstan signed a contract worth $1 billion to | | | | Mexico which need the most economic development." |
| supply Russia's Tekhsnabexport to supply Russians | | | | Once the world's leading uranium producer, New |
| with uranium through the year 2020. The Economist | | | | Mexico's Grants Uranium Belt is again being explored |
| Magazine's Economic Intelligence Unit recently issued a | | | | by more than a dozen companies. Some hope to |
| caution on this country. | | | | permit and operate new uranium production centers |
| We asked our uranium industry analyst, David Miller, | | | | in New Mexico. |