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