| "The key to Grants, New Mexico is a | | | | ore." Miller emphasized that milling costs |
| state-of-the-art mill," said Laramide's Marc | | | | could be as low as $6/pound of U3O8. The Roca |
| Henderson. All of the politicians agreed. "It | | | | Honda project, which Strathmore controls from |
| will be a real boon to New Mexico," said New | | | | its purchase of the Kerr-McGee properties |
| Mexico legislator John A. Heaton. "Mining is | | | | from Rio Algom (bought by BHP Billiton) in |
| one of our basic industries in New Mexico." | | | | 2004, was one of the next mines designed to |
| And after the product is mined, it must be | | | | feel the 6,000 ton/day Ambrosia Lake Mill. |
| milled. | | | | |
| | | | What impact would a uranium mill have on |
| In an email message, Strathmore Mineral's | | | | Grants, New Mexico? We asked Miller to |
| David Miller told us, "We have now completed | | | | speculate upon the impact, as he is also a |
| independent scoping studies for the Roca | | | | third-term legislator from Wyoming. He told |
| Honda Project." A registered professional | | | | us, "A new mine and mill complex of the size |
| engineer completed an independent evaluation | | | | Strathmore would need to consider would be |
| on the mill's capital and operating costs. | | | | employ a minimum of 200 people, and could be |
| While the name of the engineer was not | | | | double or higher. The quality of the jobs |
| disclosed, Miller said, "This gentleman has | | | | would be similar to other mining jobs: top |
| 40-plus years of experience and has designed | | | | pay, top benefits and top health care." By |
| many mills in the U.S. and the world." Miller | | | | contrast, In Situ Recovery (ISR) would be |
| told us, "Mill operating costs for | | | | less labor intensive. Each ISR facility would |
| various-sized mills range from the low $20 | | | | employ 50 to 100 people. |
| ton of feed to the high $200/ton of feed. The | | | | |
| Roca Honda ore runs from five to six pounds | | | | With the proposed uranium enrichment facility |
| per ton. Per ton-to-pound milling cost is at | | | | scheduled for groundbreaking in August, with |
| $30/ton operating cost (20 percent higher | | | | New Mexico legislators eager to add a nuclear |
| than the lower number in the evaluation) with | | | | power plant to the state's nuclear energy |
| a grade of five pounds per ton." | | | | renaissance, and with a possible uranium mill |
| | | | being discussed, how long before uranium |
| Miller described the mill's capital cost at | | | | mining resumes in this state? It may be |
| around $100 million, plus/minus $20 million, | | | | sooner than you think. It a not-yet published |
| depending upon the size of the mill to be | | | | interview with Jon Indall, Executive Director |
| built. Miller also said, "Environmental | | | | of the Uranium Producers of America, he told |
| aspects of such a mill were also reviewed by | | | | us, "I wouldn't be surprised if the domestic |
| consulting specialists, and they concluded | | | | uranium industry were producing up to 20 |
| that it will be possible to permit a mine and | | | | million pounds annually." He forecast it |
| mill in New Mexico." He explained that no | | | | might happen within five years, perhaps |
| mine design work has yet been done. Operating | | | | sooner. A good deal of this uranium |
| mine costs would be similar to similarly | | | | production may come from this state. New |
| sized metals mines. "They could vary from a | | | | Mexico's nuclear renaissance is clearly |
| low of $30/ton of ore to a high of $80/ton of | | | | within reach. |