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HomeMy WebLinkAboutDRC-2025-001945Adam Wingate <awingate@utah.gov> Question about Surety Estimates and 10 CFR 40 Appendix A 5 messages Adam Wingate <awingate@utah.gov>Wed, May 28, 2025 at 1:55 PM To: Duncan White <duncan.white@nrc.gov>, Douglas Mandeville <Douglas.Mandeville@nrc.gov>, Bill.VonTill@nrc.gov Cc: Stevie Norcross <stevienorcross@utah.gov> Happy Wednesday Everyone, I hope you all are well and enjoying the start of summer! Stevie and I recently had a meeting with Anfield Resources (the owners of the Shootaring Canyon mill), and a question came up concerning their surety. In short, when Anfield submitted their renewal application last year, they included a new decommissioning plan and cost estimate that totalled ~$25 million. Anfield's current, Division-approved decommissioning plan and cost estimate is closer to $15 million. When they submitted their annual update for inflation this year, they adjusted the $15 million amount, not the $25 million. 10 CFR 40 Appendix A Criterion 9 says, in part, "The amount of funds to be ensured by such surety arrangements must be based on [Division]-approved cost estimates in a [Division]-approved plan, or a proposed revision to the plan submitted to the [Division] for approval, if the proposed revision contains a higher cost estimate...” In your experience / interpretation, would this mean that, upon submitting the $25 million estimate with the renewal application, Anfield would be responsible to update their surety to $25 million immediately, or at some later time? I would be happy to set up a quick call to discuss this further as well! Looking forward a couple weeks, Stevie and I are available any time after 12:00 on June 11, 12, 13, 19, or 20. Thanks for any and all guidance, hopefully we can chat soon! Best, Adam -- Adam Wingate Section Manager | Uranium Recovery He / Him Direct Line: (385) 499-0293 Front Desk: (801) 536-0200 wasteandradiation.utah.gov Emails to and from this email address may be considered public records and thus subject to Utah GRAMA requirements. Statements made in this email do not constitute the official position of the Director of the Division of Waste Management and Radiation Control. If you desire a statement of the Division Director's position, please submit a written request to the Director, including copies of documents relevant to your request Duncan White <Duncan.White@nrc.gov>Thu, May 29, 2025 at 2:33 PM To: Adam Wingate <awingate@utah.gov>, Douglas Mandeville <Douglas.Mandeville@nrc.gov>, Bill Von Till <Bill.VonTill@nrc.gov> Cc: ext_Stevie_Norcross <stevienorcross@utah.gov> 6/17/25, 12:04 PM State of Utah Mail - Question about Surety Estimates and 10 CFR 40 Appendix A https://mail.google.com/mail/u/0/?ik=c47edfec7b&view=pt&search=all&permthid=thread-a:r4566609648874270811&simpl=msg-a:r-260293057389540…1/5 Adam: Thanks for your email. We have a few questions before we provide a response. Do you have time for short call (30 minutes) on either June 2, 3, or 4? Duncan [Quoted text hidden] Adam Wingate <awingate@utah.gov>Thu, May 29, 2025 at 5:50 PM To: Duncan White <Duncan.White@nrc.gov> Cc: Douglas Mandeville <Douglas.Mandeville@nrc.gov>, Bill Von Till <Bill.VonTill@nrc.gov>, ext_Stevie_Norcross <stevienorcross@utah.gov> Hi Duncan, Thanks! Yes, I am free any time after 12:00 on June 2. Stevie won't be able to join us, but I can catch her up after. [Quoted text hidden] Adam Wingate <awingate@utah.gov>Tue, Jun 17, 2025 at 10:41 AM To: Douglas Mandeville <Douglas.Mandeville@nrc.gov> Happy Tuesday Doug! Just wanted to check in on your response for the Anfield surety and our flexibility interpreting criterion 9. I know you were going to run it past a few other people in your office, but Anfield asked me for an update and I told them I would check in. Thanks! Adam [Quoted text hidden] Douglas Mandeville <Douglas.Mandeville@nrc.gov>Tue, Jun 17, 2025 at 11:51 AM To: Adam Wingate <awingate@utah.gov> Cc: Bill Von Till <Bill.VonTill@nrc.gov>, Duncan White <Duncan.White@nrc.gov> Adam – A strict reading of the language in 10 CFR Part 40, Appendix A, Criterion 9 could result in an interpretation that the licensee could need to have financial assurance in place for the $25 million. However, as we discussed during the call, this criterion envisions a typical mill in routine operation, not the conditions present at Shootaring Canyon. We understand that they are renewing/restarting their facility; that the State is in the early stages of its review of that application, and the timeline for the review is still being worked out. The key language in Criterion 9 is ‘before the commencement of operations’ – staff should have reasonable assurance that sufficient resources are available for a third party to clean up the facility at any time. 6/17/25, 12:04 PM State of Utah Mail - Question about Surety Estimates and 10 CFR 40 Appendix A https://mail.google.com/mail/u/0/?ik=c47edfec7b&view=pt&search=all&permthid=thread-a:r4566609648874270811&simpl=msg-a:r-260293057389540…2/5 However, there can be flexibility around when an increase in financial assurance is put into place for situations like Shootaring, provided that the amount is ultimately available prior to the restart of operations. Hope this helps. Doug From: Adam Wingate <awingate@utah.gov> Sent: Tuesday, June 17, 2025 12:41 PM To: Douglas Mandeville <Douglas.Mandeville@nrc.gov> Subject: [External_Sender] Re: Queson about Surety Esmates and 10 CFR 40 Appendix A Happy Tuesday Doug! Just wanted to check in on your response for the Anfield surety and our flexibility interpreting criterion 9. I know you were going to run it past a few other people in your office, but Anfield asked me for an update and I told them I would check in. Thanks! Adam On Wed, May 28, 2025 at 1:55 PM Adam Wingate <awingate@utah.gov> wrote: Happy Wednesday Everyone, I hope you all are well and enjoying the start of summer! Stevie and I recently had a meeting with Anfield Resources (the owners of the Shootaring Canyon mill), and a question came up concerning their surety. In short, when Anfield submitted their renewal application last year, they included a new decommissioning plan and cost estimate that totalled ~$25 million. Anfield's current, Division-approved decommissioning plan and cost estimate is closer to $15 million. When they submitted their annual update for inflation this year, they adjusted the $15 million amount, not the $25 million. 10 CFR 40 Appendix A Criterion 9 says, in part, "The amount of funds to be ensured by such surety arrangements must be based on [Division]-approved cost estimates in a [Division]-approved plan, or a proposed revision to the plan submitted to the [Division] for approval, if the proposed revision contains a higher cost estimate...” 6/17/25, 12:04 PM State of Utah Mail - Question about Surety Estimates and 10 CFR 40 Appendix A https://mail.google.com/mail/u/0/?ik=c47edfec7b&view=pt&search=all&permthid=thread-a:r4566609648874270811&simpl=msg-a:r-260293057389540…3/5 In your experience / interpretation, would this mean that, upon submitting the $25 million estimate with the renewal application, Anfield would be responsible to update their surety to $25 million immediately, or at some later time? I would be happy to set up a quick call to discuss this further as well! Looking forward a couple weeks, Stevie and I are available any time after 12:00 on June 11, 12, 13, 19, or 20. Thanks for any and all guidance, hopefully we can chat soon! Best, Adam -- Adam Wingate Section Manager | Uranium Recovery He / Him Direct Line: (385) 499-0293 Front Desk: (801) 536-0200 wasteandradiation.utah.gov Emails to and from this email address may be considered public records and thus subject to Utah GRAMA requirements. Statements made in this email do not constitute the official position of the Director of the Division of Waste Management and Radiation Control. If you desire a statement of the Division Director's position, please submit a written request to the Director, including copies of documents relevant to your request -- 6/17/25, 12:04 PM State of Utah Mail - Question about Surety Estimates and 10 CFR 40 Appendix A https://mail.google.com/mail/u/0/?ik=c47edfec7b&view=pt&search=all&permthid=thread-a:r4566609648874270811&simpl=msg-a:r-260293057389540…4/5 Adam Wingate Section Manager | Uranium Recovery He / Him Direct Line: (385) 499-0293 Front Desk: (801) 536-0200 wasteandradiation.utah.gov [Quoted text hidden] 6/17/25, 12:04 PM State of Utah Mail - Question about Surety Estimates and 10 CFR 40 Appendix A https://mail.google.com/mail/u/0/?ik=c47edfec7b&view=pt&search=all&permthid=thread-a:r4566609648874270811&simpl=msg-a:r-260293057389540…5/5