#NuclearCommissionSAust spent days with AREVA. AREVA’s boring Submission

AREVA EDF crumbling

The RC published only one Submission, from AREVA Australia  I think that we can be pretty confident that AREVA sent in other Submissions , including one on waste management.

The published Submission is pretty boring – deals only with uranium mining and exploration.  AREVA does acknowledge the current poor uranium market, but looks to future growth, without any convincing reason.  I list some extracts below, – they are not very notable.

I thought that the relatively large time that the RC spent with AREVA was more interesting. Ironically, the RC in France met with AREVA on the day after President Hollande ordered AREVA to merge with EDF, to save it from bankruptcy.

4 June 15 Visit to AREVA Tricastin, France.

  • Explanation of AREVA’s conversion plant and the development of the project;
  • Tour of conversion plant construction site;
  • Explanation of AREVA’s Georges Besse II operating enrichment plant;
  • Tour of GB II enrichment plant facilities.

Visit to AREVA Melox, France.

  • Explanation of AREVA’s operating mixed oxide fuel fabrication plant and the use of mixed oxide fuels;Tour of mixed oxide fuel fabrication facilities.

5 June 15   Visit to AREVA La Hague, France.

        Visit to EDF Flamanville, France.

 8 June 15  Meeting with AREVA.

  • Discussion of future nuclear energy demand, barriers to investment in the nuclear fuel cycle and the economics of investment.

SUBMISSION SOUTH AUSTRALIA: NUCLEAR FUEL CYCLE ROYAL COMMISSION

ISSUE PAPER #1 EXPLORATION EXTRACTION AND MILLING

 IAN JOHN (JOE) POTTER RP GEO 24 JULY 2015

AREVA Resources Australia Pty Ltd A.B.N. 44 009 758 481 68 Greenhill Rd Wayville SA 5034 Tel: + 61 8 8292 9300 Fax: + 61 8 8377 7903 Email: infoARA@areva.com

“INTRODUCTION   

AREVA is at present the world’s largest, integrated company in the nuclear cycle”….     (Ed. note.  -That’s  no longer true)

“CONCLUSIONS and RECOMMENDATIONS

………..State funded research into uranium deposit styles with involvement from current or ex-industry geoscientists…..”

“ECONOMIC CONDITIONS REQUIRED

AREVA considers that the economic conditions required are where market demand exceeds supply (= higher price of uranium). This ‘market risk’, to some extent can be mitigated by targeting lower extraction Page 6 cost deposits…….

…….Beyond market conditions influencing exploration investment, the State of South Australia may be able to attract more investment in uranium exploration by ‘making’ SA a less expensive State to explore. AREVA considers Australia to be one of the most expensive countries in which to explore for uranium. The costs which make Australian exploration more expensive than other prospective countries include the following:

  1. Very high labour costs (including the high cost of professionals)
  2. Delay costs due to bureaucracy (regulation and compliance)
  3. Delay costs associated with time taken to get on the ground to commence exploration programs due to Native Title and heritage agreement making, Non-indigenous landowner compensation agreement making 4. High costs and expectations of Aboriginal groups for exploration (equivalent expectations to mining) In AREVA’s opinion it is access to land for exploration and mining which is most important. Without access to land and without ‘social licence’, no decision to mine uranium is conceivable……”

“FACTOR INPUTS (INCLUDING SKILLS AND TRAINING, RESEARCH, EDUCATION AND INFRASTRUCTURE

……. Despite the recent boom in uranium exploration and mining in Australia, AREVA believes that the industry will yet again face difficulty in this area during the next upswing in the cycle. One way in which the State of SA could help avoid such skills shortages is to create a dedicated uranium geoscience and engineering faculty at an SA university. Such a school could ensure a supply of suitably qualified professionals to a future uranium mining industry….”

“INCREASED DEMAND FOR URANIUM IN THE MEDIUM AND LONG TERM…….. Rising demand is expected to raise market prices and enable new projects to be launched. The latest data from the World Nuclear Association members report should be consulted for more detailed market information…..

INTERACTION BETWEEN THE INTERESTS OF EXPLORATION AND EXTRACTION ACTIVITIES AND OTHER GROUPS ……… AREVA believes that the State Government needs to be a more active stakeholder in all processes to do with land access….”

“ENVIRONMENTAL RISKS

No expansion of the exploration, mining or processing of uranium ores would inherently provide additional or increased environmental risks. AREVA considers that all of the environmental safeguards already built into existing State and Federal legislation are more than adequate to manage any environmental risks associated with increased activities in the uranium mining sector in SA”

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