Uranium Mining




~Uranium Mining~

Uranium Areva Resources Company By Eric Bort Areva Resources Canada Inc. is a subsidiary of Areva Group, based in France, and is one of the world’s leading uranium explorations, milling, and mining companies. Areva was founded in 1958 by the Schneider, Empain, Merlin Gerin and Westinghouse Groups under the name ‘Framatome’. Over the years Areva has grown into a multinational company with knowledge and resources falling in all aspects of Reactor Technology, fuel research, and exploration. Areva Resources Canada is a mining exploration subsidiary of the Areva Group with their home office located in Saskatoon, Saskatchewan. A brief history of Areva Resources Company, including some of the major accomplishments that have made them a leading world nuclear player, demonstrates their capabilities as a company. 1958- ‘Framatome’ (the “Franco-Américaine de Constructions Atomiques”) within France is created by the Schneider, Empain, Merlin Gerin and Westinghouse Groups. At this time the company is responsible for operating the Westinghouse license for pressurized water reactors (PWR). 1961- After a 2 year negotiation period, Framatome is awarded an important contract for the 300 MWe Franco-Belgian Chooz A plant. (Located in the Ardennes) 1969- Receives an order from EDF (in association with Belgian electricity companies) for the 870 MWe Tihange 1 plant. Considerable differences between the Tihange and Chooz plants. Framatome meets technological challenges with new plant as well as making its own contribution to improving the PWR technology. (Tihange nuclear plant in Belgium) 1970- EDF issues a call for bids for six nuclear steam supply systems for its 900 MWe plants at Fessenheim and Bugey in France. Framatome is awarded the contract. The company owes its success to a major shift in France - away from graphite-moderate gas-cooled reactors burning natural uranium - towards the pressurized water reactors burning enriched uranium. 1974- Framatome and EDF sign their first contract for a series of 18 900 MWe reactors, heralding the construction of the first-ever series of identical nuclear units in the world. 1975- “Night of August 4^th” the decision is taken to abandon the BWR’s (boiling water reactor) defended by CGE (Compagnie Générale d’Electricité) in favor of the PWRs built by Framatome and operated under license from Westinghouse. 1980- South Korea orders two nuclear islands 1989- Creation of NPI (Nuclear Power International), a 50/50 joint venture between Framatome and Siemens. Its main objective is to develop the future EPR, an advanced 3^rd generation reactor based on proven PWR technology, intended to replace existing nuclear reactors when they reach the end of their service life Framatome moves into connectors, an activity with close links to the electronics market. In 1988 it buys out the English firm Jupiter, its first acquisition in the connectors’ field. 1990- Joint creation with COGEMA of Melox, which has been fabrication MOX fuel since 1995. 1992- Framatome steps up its nuclear activities, taking control of a number of fuel fabrication companies: FBFC, Zircotube, Cerca, and Cezus. 1993- Framatome acquires the skills and know-how to design and manufacture all primary components and provide the associated services Framatome and Cogema acquire 100 percent ownership of BWFC forming Framatome Cogema Fuels. Framatome acquires 100 percent ownership of BWNT Jeumont and its subsidiaries, Somanu, Visionic, Sarelem and CTE-Nordtest, join the group, completing its industrial fabric in the nuclear sector 1995- BWNT is renamed Framatome Technologies Inc. China places an order for two nuclear units at Ling Ao. Framatome acquires Berg Electronics, an American connectors company present worldwide. 1999- Framatome announces that it has signed an agreement in principle with Siemens, with intentions to merge its nuclear activities with the German group under a joint venture in which Framatome would have majority stake. 2000- Framatome Technologies Group, Inc. is renamed Framatome ANP, Inc. and its Fuel (FCF) and Services (FTI) subsidiaries are merged into the parent company at the end of 2000. Civaux 2, the last 1500 MWe power plant to be built in France, comes online. 2002- Duke engineering and Services is merged into Framatome ANP Inc. Uranium Production for Areva’s Operating Mines: McClean Lake : has an annual licensed production level of 12 million lbs of U3O8 with the 70% Areva owned McClean Lake operation producing 1.8 million pounds of U3O8 in 2006, compared to 5.4 million in 2005. The lower level of production reflects the transition from milling higher grade Sue C ore in late 2005 to million lower-grade ore from the Sue A and Sue E deposits in 2006. Cluff Lake : Operations were suspended in 2002 after 22 years of production. The site is almost entirely decommissioned. Monitoring the site for environmental hazards continues to meet the regulatory requirements. Midwest Project: Midwest will be co-developed with the McClean Lake project. Mining development was scheduled to start in 2009 but has been postponed to a later date. McArthur River : production reached 18.7 million pounds of U3O8 for the third consecutive year in 2006. Cigar Lake : In October 2006, a water inflow occurred at Cigar lake project halting production from 2008 to 2011. http://www.arevaresources.ca/operations/index.html Areva Resources Canada Inc. provides many direct and spin off jobs for Saskatchewan ’s economy. Areva employs over 400 people directly in Saskatchewan with spin off jobs ranging from pilots, cooks, students, safety officers, trades persons and professionals. A variety of careers such as – engineering, environment, geology, radiation protection, metallurgy, students and skilled trades are available with Areva with all current mines operating out of Saskatchewan ’s Athabasca Basin Areva is continually making advances in the education of Uranium and its benefits to the economy as well as information on radiation safety and are always improving their role as environmental Stuarts. Areva Resources currently has six significant uranium properties moving forward to eventual production: http://www.arevaresources.ca/operations/exploration.html Caribou Discovered in 2002, this property contains a small amount of uranium deposited at the McClean Lake site that will extend mining and milling operations. http://www.arevaresources.ca/operations/exploration.html Midwest Located 15 km west of McLean Lake and is 69.16% owned by Areva Resources with Denison Mines (25.17%) and OURD Canada Co. Ltd. (5.67%). Mining Operations are proposed to start in 2009. The ore body contains approximately 37 million lbs of U3O8 at an average grade of 2.4%. McClean Lake Underground Mine The ore body is estimated to contain 10 million lbs of uranium at an average grade of 2.5%. The mineralized zone is located 180 meters below the surface. Mine development is estimated to start in 2009. Kiggavik Sissons and Kiggavik properties are located approximately 80 km west of Baker Lake , Nunavut . This project is a joint venture with JCU Exploration ( Canada ) Co. Ltd., and DAEWOO Corporation. Exploration and drilling resumed in 2007 along with re-evaluation of existing core is currently in progress. Millennium Millennium is located approximately 35 km north of Key Lake . As of December 2006, the deposit contains 38 million pounds of U3O8 of indicated resources at 3.8% grade with 10 million lbs of U3O8 inferred resource at 2% grade. Mineralized ore will be processed at the Key Lake mill. Areva owns 28% of Millennium in partnership with JCU Exploration ( Canada ) Co. Ltd and 30% Cameco 42% ownership. Shea Creek Is 51% owned and operated by Areva Resources and 49% owned by join venture partner UEX Corporation. This deposit is located south of Cluff Lake in a north south trend approximately 30km in length. Investment in uranium production at all levels looks bright, the future of it as secondary sources of uranium (i.e. cold war nuclear war heads) will be used up within the next few years. Demand for primary U3O8 will therefore increase as the easily obtained sources are depleted. As the price of uranium increases, so will there be increased interest in development of mining and exploration projects leading to a healthy investment future in the CO2 free alternative energy source - uranium.