ERA’s loss widens to $255m, Yahoo 7 Finance, 1 Aug 15 Uranium miner Energy Resources of Australia has slumped to a $255 million half year loss after shelving a major mine expansion in challenging conditions.
The Rio Tinto-controlled miner will not pay a half year dividend and said the uranium market remained challenging as an oversupply kept prices week……Half of the company’s board quit last month after ERA decided its proposed new underground mine at Ranger the Northern Territory would not proceed to a final feasibility study due to a sluggish uranium market.
Controlling shareholder Rio Tinto then pulled its support for any expansion of the mine, despite ERA saying it would seek to extend its authority to operate Ranger in order to re-visit the expansion at some stage.
ERA’s net loss in the six months to June 30 is significantly larger than the $127 million loss incurred in the same period of 2014, due mainly to a $197 million writedown related to the mine decision……https://au.finance.yahoo.com/news/eras-loss-widens-255m-051004998.html
Northern Land Council calls for major rethink of northern development amid concerns about Ord expansion talks PM By Sara Everingham ABC New, 25 July 15, The head of the Northern Land Council (NLC) has said a major rethink of northern development is needed and he fears one of the Northern Territory Government’s key strategies for boosting agriculture will lead to little but heartache for Indigenous people.
Chief executive officer Joe Morrison said traditional owners were being asked to agree to extinguish native title to allow for the expansion of the Ord Irrigation Scheme from the East Kimberley into the Northern Territory but he said he was worried there would be few lasting benefits in return.
‘So to Mirarr, I guess what they see is very, very large disturbance, they see mountains of waste rock and low-grade ore, and sometimes that does affect their views of important sites like Djidbidjidbi or just the landscape.
‘It will never look the same again and the site will have to be monitored for decades to come after it is finished being rehabilitated so that we can make sure that it is actually in a stable chemical condition, the biodiversity is doing okay and the ecosystem is functional and so on.’
According to ERA figures, rehabilitation is expected to cost close to $500 million.
The long and controversial history of uranium mining in Australia, ABC Radio, Rear Vision, 14 July 2015 Keri Phillips Last month’s announcement that Energy Resources Australia will pull the plug on the Ranger uranium mine in the Northern Territory signals the end of one of the most controversial chapters in Australian mining history. Keri Phillips traces the history of uranium mining in Australia and Ranger’s role in it……. Continue reading
Traditional owners ask Abbott government to fix stand-off over Ranger uranium mine, SMH. July 12, 2015 – Peter Ker Resources reporter The traditional owners of the land on which the Ranger uranium mine is built have challenged the federal government to guarantee that no future mining will occur on the Ranger and Jabiluka mineral leases, and to begin preparations for the sites’ inclusion in Kakadu National Park.
In rare comments that do not bode well for the operator of the mine, Energy Resources of Australia (ERA), the Mirarr traditional owners indicated they would not agree to an expansion of the Ranger mine in the future, despite ERA seeking to keep that option open.
More than a month after ERA’s major shareholder, Rio Tinto, declared it did not support the Ranger expansion project, the uranium miner continued to push that barrow, and confirmed on Friday it had asked the federal and Northern Territory governments for an extension of its lease beyond 2021 so that it might reconsider the mine expansion if commodity prices improved.
Mirarr spokesman Justin O’Brien said the comments continued the “intense uncertainty” that had surrounded ERA’s future.
He called for certainty from the Abbott government. Continue reading
A FAMILY-owned business has taken out the Territory’s most prestigious business prize just five short years after opening its doors.
Country Solar NT, which is owned by husband and wife team Jeremy and Pam Hunt, was named 2015 Telstra Northern Territory Business of the Year at a gala ceremony at the Darwin Convention Centre last night.
The company, which began with the couple selling solar panels from the back of their ute, now has clients all across the Top End, including schools, supermarkets and remote communities.
Mr Hunt said the business was committed to providing a high quality local service.
“We’re local and we want to ensure that locals are getting the best renewable energy products available at the best prices to meet their energy needs,” he said.
“Amid the ever-changing rules about solar PV and the past performance of fly-in fly-out solar contractors, we have provided a stable alternative for the home, business and government markets.”
Mr Hunt said the business was committed to the local community and providing sustainable energy………http://www.ntnews.com.au/business/family-owned-business-country-solar-nt-named-2015-telstra-northern-territory-business-of-the-year/story-fnk2tq5v-1227428467238
as Ranger was authorised by the Commonwealth Government under 1953 Atomic Energy Act which primarily allowed the uranium to be used for military purposes, the Commonwealth and, ultimately the taxpayers, could be liable for the clean up if ERA was bankrupted.
ERA faces closure after uranium miner’s expansion plans shelved by Rio Tinto, ABC News, 30 June 15 By business reporter Stephen Letts Sorry history, uncertain environmental legacy Apart from the discharge of a million litres of radioactive slurry in 2013, Ranger has a sorry history of accidents with more than 200 environmental incidents being reported to government agencies since 1979.
Gavin Mudd, a senior lecturer in environmental engineering at Monash University with a long standing interest in Ranger, argues there are problems calculating the final cost as it depends on a number of choices, including how long is an adequate period of monitoring radioactivity levels.
The level of radioactivity around the site is unlikely to be safe any time soon given the half-life of uranium-238 is 4.5 billion years. The half-lives of other principal radioactive components of mill tailings, thorium-230 and radium-226, are shorter at about 75,000 years and 1,600 years respectively, but it’s a rather academic distinction.
Currently there is not a stipulated period for monitoring levels of radiation at the site once the rehabilitation is completed. However, Dr Mudd said a monitoring program should be run over decades rather than years.
“Fifty years would be a good start,” he said. Continue reading
ERA faces closure after uranium miner’s expansion plans shelved by Rio Tinto, ABC News, 30 June 15 By business reporter Stephen Letts ERA was once one of the world biggest uranium producers, supplying about 10 per cent of the global market for ‘yellowcake’ and powering electricity utilities in Japan, Europe and North America.
It’s now pretty well friendless as its last three independent directors resigned, leaving the company in the hands of its majority shareholder Rio Tinto.
Rio for its part said there is no future for ERA’s only productive asset, the Ranger Mine, which operates in the middle of the World Heritage listed Kakadu National Park.
With its existing open mine resources exhausted, ERA has been labouring on, processing stockpiled ore since late 2012.
Ranger’s last hope lay in an ambitious and expensive underground mine – the Ranger 3 Deeps project – which could have extended the mine’s life by another decade. That hope was extinguished earlier this month when Rio, with its 68 per cent stake in ERA, said enough was enough. The market was blindsided by Rio’s decision, with ERA’s share price tumbling more than 70 per cent in the aftermath.
In hindsight it was probably inevitable.
ERA’s losses mount to $700 million since 2011 Continue reading
Half of Australian uranium miner’s board quits after Rio shelves project http://www.reuters.com/article/2015/06/22/energy-rsc-aust-moves-idUSL3N0Z81YX20150622 SYDNEY, JUNE 22 Half of the board at uranium miner Energy Resources of Australia resigned on Monday, saying majority owner Rio Tinto’s decision to abandon work on a major mine expansion made it difficult for the company to pursue its goals.
ERA’s stock has plunged more than 70 percent since it said on June 12 that it would not proceed with the final development study for its Ranger 3 Deeps uranium project in northern Australia due to low uranium prices.
Uranium prices have tumbled since the March 2011 meltdown at Japan’s Fukushima nuclear plant. Japan has idled its entire industry in response, exacerbating a worldwide supply glut.
Three ERA directors, including Chairman Peter McMahon, resigned, leaving the board with just three members, the company said in statement. ERA, a separately listed division in which Rio Tinto holds a 68.4 percent stake, said a search for replacement directors had been approved.
Govt still looking for nuclear waste site one year after pursuing Muckaty , SBS News, Today marks one year since the federal government agreed to stop pursuing Muckaty, Northern Territory, as a site to store nuclear waste. By Andrea Booth Source: NITV News
A court case had been battling the issue for nearly 10 years.
The Northern Land Council nominated Muckaty, located 120 kilometres from Tennant Creek, as a site for a dump in 2006 with the Muckaty community to receive a $12 million benefits package. But Warlmanpa and Marumungu people in Muckaty claimed they had not been consulted about the plan.
The threat of a nuclear waste dump on Aboriginal Land continues after the government called for other land owners, councils or organisations to nominate their land for the facility.
The Department of Industry and Science told media this year it remained “committed” to finding a site.
Traditional owners of Muckaty say they feel they must continue to defend their land and culture from nuclear waste. Aunty Jeanie Sambo told NITV News that a nuclear waste dump would destroy them. “It will probably poison [everything] that we live [from], like the animals that we hunt and the river that we drink out of,” she said. “It is not good for us.”
Australia produces nuclear waste and sends it overseas as the country does not yet have its own processing facilities. International agreements require that the processed material be returned to Australia.
Australia has about 5,000 cubic metres of nuclear waste.
Protecting Manawangku was filmed through the lead up to a major rally in Tenant Creek against the proposed dump ..http://www.sbs.com.au/news/article/2015/06/19/govt-still-looking-nuclear-waste-site-one-year-after-pursuing-muckaty
Don’t use northern development as ‘Trojan Horse’ to undermine Indigenous land rights, Noel Pearson warns, ABC News By political reporter Anna Henderson, 19 June 15 Influential Cape York Indigenous representative Noel Pearson has warned that development of the north must not be used as a “Trojan Horse” to undermine Indigenous land rights.
The Federal Government has unveiled the northern Australia white paper, a blueprint for policy ideas to develop the sparsely populated region and capitalise on lucrative resources.
The white paper included a section on simplifying land arrangements and a commitment that Indigenous Australians should have the “same opportunities as other Australians to leverage their land assets and generate wealth”.
It also said the Federal Government aimed to have all current native title claims finalised within a decade. Mr Pearson — who attended the Cairns launch of the policy — said the white paper’s reference to expediting native title claims was “certainly welcome”.
“They’re good words,” he said. But he said there have always been concerns that state, territory and federal governments may use the policy to erode progress in the land rights campaign.
The Aboriginal leader also said the policy would not achieve anything if land tenure issues were not addressed…….http://www.abc.net.au/news/2015-06-19/noel-pearson-northern-development-indigenous-land-rights/6558842
Environmental Defenders Office NT to stay open; other jurisdictions enter ‘caretaker’ mode following funding cuts 105.7 ABC Darwin By Emilia Terzon The Northern Territory wing of the Environmental Defenders Office (EDO) will stay open another year despite Federal Government funding cuts, after holding an Indigenous art auction and receiving an emergency grant.
The news comes as EDOs in other jurisdictions enter caretaker mode, following the loss of $10 million in funding for the nationwide network of environment-focused legal centres.
EDO NT lost $450,000 in funding following a 2013 announcement that EDOs across the country would be completely defunded by July 1, 2015.
Offices in northern Queensland and South Australia are now entering caretaker mode, while the Western Australia office also had its State Government funding entirely withdrawn last month. Continue reading
Abbott’s white paper for the black tropics: Boon or boondoggle? Crikey,
BOB GOSFORD | JUN 19, 2015 “………Aboriginal people are the fastest-growing demographic, at current rates of population growth, half of the North’s population will be blackfellows by 2050.
So how are Aboriginal interests treated in Developing North Australia? This is the ‘horrid’ part. At page 4 of Developing North Australia we are told that:
Developing the north will need to be done in full partnership with Indigenous Australians, with a focus on creating opportunities through education, job creation and economic development. These opportunities for Indigenous Australians will contribute to achieving the objectives of the Government’s Indigenous Advancement Strategy.
Noble sentiments but a reliance on the vexed Indigenous Advancement Strategy rings out some very loud warning bells. The first chapter is entitled “Simpler Land Arrangements to Support Investment” and some elements of the plan are welcome–particularly the fast-tracking of outstanding native title claims for resolution within the next ten years, increased funding for native title representative bodies and modest increased support for indigenous ranger groups and pastoral land use pilot projects. A streamlining of the needlessly complex native title Indigenous Land Use Agreements (ILUA) processes, which should be simplified to resemble the standard lease arrangements used widely by the NT land councils, is also welcome.
Overall though, the approach to Aboriginal land interests in Developing North Australia appears very much to be one of “you’ve got something and we want it back.”
This is particularly apparent in the emphasis on “township leasing” that will see control of Aboriginal land in townships–by far the most commercially valuable land in the Aboriginal estate–controlled of a Commonwealth bureaucracy and measures to “cut red tape” around hard-won cultural heritage protections. The old saw of “Aboriginal home ownership”–creating housing markets in communities largely reliant on welfare income and where no market exists–also gets a run. Continue reading
ERA shares in death spiral as prospects slashed, SMH, June 15, 20 Peter Ker The uranium miner operating beside Kakadu National Park may have zero chance of restarting mining at the site, according to UBS analyst Glyn Lawcock.
Speaking after shares in Energy Resources of Australia (ERA) lost more than 48 per cent of their value on Friday, Mr Lawcock said the decision to abandon plans for an expansion of the Ranger mine warranted a downgrading of the stock to a “sell” rating.
Many ERA shareholders were doing just that on Monday, with the stock falling a further 25.4 per cent or 17¢ to close at 50¢.
ERA shares were worth $1.29 at market close on Thursday, prior to ERA announcing that it would not go ahead with an underground expansion at the Ranger mine. That expansion, called “Ranger 3 Deeps”, was the only chance of future mining at Ranger, where mining of the third pit ceased in 2011……
Rio Tinto has offered to cover the shortage of funds to complete the rehabilitation, but it is believed that offer is conditional on ERA ruling out any further development at Ranger, something ERA is not yet willing to do……
The funding shortfall for the rehabilitation is believed to be close to $200 million, although Mr Drew speculated it could be as high as $500 million.
Uranium prices have been depressed since the Fukushima nuclear meltdown in March 2011, and that weakness was one of the major reasons why the underground expansion was abandoned….http://www.smh.com.au/business/mining-and-resources/era-shares-in-death-spiral-as-prospects-slashed-20150615-gho6jg.html
ERA cans Ranger uranium mine in Kakadu by: BARRY FITZGERALD , Resources Editor The Australian June 12, 2015 The crash in uranium prices in the wake of the 2011 Fukushima nuclear disaster in Japan has claimed the controversial Ranger mine inside the world heritage-listed Kakadu National Park in the Northern Territory as its latest victim.
Operated by the Rio Tinto-controlled Energy Resources of Australia (ERA), Ranger’s long-term future was to be secured by the development of an underground uranium resource known as Ranger 3 Deeps.
But ERA has canned the development, citing the “current operating environment”. The decision leaves ERA to process stockpiles from the previous open-cut operation which was dogged in recent years by water handling issues and process plant spills.
Shares in ERA plummeted after the announcement. At 2:10pm the shares were down 61c, or 47 per cent, to 69c each in trading on the Australian Securities Exchange.
Rio (RIO) owns 62 per cent of the ASX-listed ERA and said last night that it would likely take a $US300 million impairment charge on the investment — an acknowledgment that in the current environment, its investment is near worthless.
Rio could also be compelled to step in to ensure that in the event that Ranger’s life is not extended beyond the current treatment of stockpiles, ERA will be able to meet its rehabilitation costs of more than $600m…….
Despite seeming to baulk at having to help ERA at its annual meeting in April, Rio said last night that it recognised the “importance of ongoing rehabilitation work at the Ranger mine site”.
It said it was “engaged with ERA on a conditional credit facility to assist ERA to fund its rehabilitation program, should additional funding be required beyond ERA’s existing cash reserves and the future earnings from processing ore stockpiles”…. http://www.theaustralian.com.au/business/mining-energy/era-cans-ranger-uranium-mine-in-kakadu/story-e6frg9df-1227394169459
WWF welcomes cancellation of Kakadu uranium mine http://www.theadvocate.org.au/wwf-welcomes-cancellation-of-kakadu-uranium-mine/
WWF has welcomed the cancellation of a planned controversial underground uranium mine in Kakadu National Park.
Energy Resources of Australia, whose parent company is Rio Tinto, cancelled the Ranger 3 Deeps project in a statement to the Stock Exchange last night.
The proposed mine was in an area that had previously been excised from the Kakadu National Park and World Heritage Area.
WWF said the move was not only a victory for Australia’s environment, but also important for further economic empowerment of Indigenous communities.
WWF-Australia CEO Dermot O’Gorman backed calls by the Mirarr Traditional Owners to ensuring the permanent protection of the natural and cultural values for which Kakadu is inscribed World Heritage.
“Kakadu is one of Australia’s environmental treasures and this development presents an ideal opportunity for the area to be rehabilitated and incorporated into the Kakadu World Heritage Area,” said WWF-Australia CEO Dermot O’Gorman.
“Now that the mine will not go ahead, WWF looks forward to ERA and Rio Tinto accelerating the rehabilitation program, ensuring that it results in the full reinstatement of the internationally recognised outstanding natural and cultural values of this important site.
“With a World Heritage Committee meeting now less than a month away, the eyes of the world will be watching how the Australian Government and Rio Tinto manage the rehabilitation of Ranger.”