DRC-2009-006365 - 0901a0688014d819

State of Utah
GARY R.HERBERT
I Governor
fiREG BELL
Lieutenant Governor
h?_c..- .:)Lcq -cokS(i-s3^
Department of
Environmental Quality
Arranda Smith
E\eiuttve Director
Dr\'ISrON OF RADIATION CONTROL
Dane L. Fmerfrock
Director
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November 17,2009
CERTIFIED MAIL
(Return Receipt Requested)
Mr, David C Frydenlund
Vice President and General Counsel
Denison Mines (USA) Corp. (DUSA)
1050 Sevenieenth St. Suite 950
Denver. Colorado. 80265
Subject: DUSA 1" Quarter, 2009 (June I, 2009). Groundwater Monitoring Report: Notice of Violation
and Compliance Order, Docket No. UGW09-06
Dear Mr. Frydenlund:
The enclosed Notice of Violation and Compliance Order ("NOV/CO") is based on Division of Radiation
Control (DRC) findings from the review of the DUSA, 1" Quarter 2009 Groundwater Monitoring Report
for the White Mesa Uranium Mill facility near Blanding, Utah. Please give this order your immediate
attention.
A written response is required within 30 calendar days after receipt of this NOTICE. This order is
fully enforceable unless appealed in writing within 30 days, as described in the ^^Notice" section of
this NOV/CO. Any response or written answer to this NOV/CO should be addressed to Dane L.
Finerfrock, Co-Executive Secretary, Utah Water Quality Board, 168 North 1950 West, P.O. Box
144850, Salt Lake City, Utah 84114-4850.
UTAH WATER QUALITY BOARD
Dane L. Finerfrock
Co-Execulive Secretary
"Enclosure; Notice of Violation and Order, Docket No. UGW09-06
168 Nortli 1050 West • SaU Lake City. UT
Mailing Address- P.O. Bo^ I446.S0 • SaU Uke Citv, (IT Ml 14-4850
TcJfphone [phone] • Fax (SOI i 533^097 • T.D.D. (801) S.16-4414
PrinLeil on lOO'.t recycled paper
UTAH WATER QUALITY BOARD
IN THE MATTER OF
Denison Mines (USA) Corp.
1050 SEVENTEENTH ST. SUITE 950
DENVER, COLORADO, 80265
DOCKET NUMBER UGW09-06
NOTICE OF VIOLATION AND
COMPLIANCE ORDER
A. STATUTORY AUTHORITY
This NOTICE OF VIOLATION and COMPLIANCE ORDER (NOV/CO) is issued to
Denison Mines (USA) Corporation (hereinafter DUSA) facility, by the UTAH WATER
QUALFTY BOARD (hereinafter the BOARD) under the Utah Water Quality Act, Utah Code Ann.
§§ 19-5-101 to 19-5-123 (the ACT), including sections 19-5-104, 19-5-106, 19-5-111 and 19-5-
115. This NOV/CO is also issued in accordance with the Utah Administrative Procedures Act,
Utah Code Ann. §§ 63G4-101 to 63G-4-601. The BOARD has authorized the Co-Executive
Secretary of the Board (Co-Executive Secretary) to issue such NOTICES AND ORDERS in
accordance with §19-5-106(8) ofthe Utah Code.
B. APPLICABLE STATUTORY AND REGULATORY PROVISIONS
i. DUSA was issued Ground Water Quality Discharge Pennit No. UGW370004 (hereinafter
Permit) on March 8, 2005, and was last modified on March 17, 2008.
2. l.E.Ua) ofthe Permit requires that "...all sampling shall be conducted to ensure collection
ofthe representative samples, and reliabUity and validity of groundwater monitoring data.
All groundwater sampling shall be conducted in accordance with the currently approved
Groundwater Monitoring Quality Assurance Plan."
3. Part I.F. 1 of the Pennit requires that "...the Permittee shall submit quarterly monitoring
reports of field and laboratory analyses of all well monitoring and samples described in
Parts I.E.I, l.E.2, iE.3,1.E.5, and I.E.7 of this Pennit for E.xecutive Secretary review and
approval. Reports shall be submitted according to the following schedule:
Table 6. Groundwater Monitoring Reporting Schedule
Quarter
. First
Second
Third
Fourth
Period
Januarv - March
April - June
July - September
October - December
Due Date
June J
September I
Decemlyer I
March I
4. Part n.A of the Permit requires thai ".. .Samples taken in compUance with the monitoring
requirements eslablished under Pan 1 shall be representative ofthe monitored activity. "
5. The DUSA Quality Assurance Plan (hereinafter DUSA QAP) was originally dated
November 17, 2006, (Revision 1.0); and was approved by the Co-Executive Secretary on
November 17, 2009 Docket No. UGW09-06 Page 1
December 1, 2006. The DUSA QAP was last levised by DUSA on November 18, 2008
(Revision. 4.0) and was approved by the Co-Executive Secretary on March 30, 2009.
Changes in QAP Revision 4.0 were minor and do not alter any findings set out below.
6. Section 4.3.1 ofthe DUSA QAP, states that "Trip blanks will be used to assess
contamination introduced into the sample containers by volatile organic compounds
("VOCs") through diffusion during sample transport and storage."
7. Section 6.2.2 of the DUSA QAP, requires that all quarterly and semi-annual groundwater
monitoring shall include collection of the following field parameters before sample
collection: "... depth to groundwater, pH, temperature, specific conductance, redox
potential (Eh) and turbidity in the manner specified in paragraph 6.2.7f d) {v)...".
8. Section 6.2.7(d)(v) of the DUSA QAP, requires that DUSA: "Take measurements of field
parameters (pH, specific conductance, temperature, redox potential and turbidity) during
well purging, using the Field Parameter Meter and turbidity measuring instrument. These
maasurements will be recorded on the Field Data Worksheet. Purging is completed after
two casing volumes have been removed and the field parameters pH, temperature, specific
conductance, redox potential (Eh) and turbidity have stabilized to within 10% over at least
two consecutive measurements. The groundwater in the weli should recover lo within at
least 90% ofthe measured groundwater static surface before .sampling. In addition,
turbidity measurement in the water should be<5 NTU prior to sampling (DTG WeU
Development 6.7, page 6-48) unless the well is characterized by water that has a higher
turbidity. Aflow-cell needs to be used for field parameters. Ifthe well is purgedto dryness
or is purged such that fidl recovery exceeds two hours, the well should be sampled as soon
as a sufficient volumc of groundwater is available to fill sample containers (DTG, Well
Purging, 7.2.4, page 7-9r
9. Section 9.1.3 ofthe DUSA QAP, requires, in part, that "Trip blanks, and equipment rinsate
samples will he compared with original sample results...."
C. FINDINGS OF FACT
1. Denison Mines (USA) Corporation (hereinafter DUSA) facility receives and processes
natural uranium-bearing ores and certain specified alternate feed materials, and possesses
byproduct material in the form of uranium waste tailings and other uranium byproduct
waste generated by the licensee's milling operations. This facility is located approximately
6 miles south of Bianding, Utah on a tract of land in Sections 28, 29, 32, and 33, Township
37 South, Range 22 Easl, Salt Lake Baseline and Meridian, San Juan County, Utah.
2. DUSA submitted a report tilled "While Mesa Uranium Mill Groundwater Monitoring
Report l*^^ Quarter (January - March)" to the Utah Division of Radiation Control (hereafter
DRC) dated June 1, 2009 (hereinafter l" Quarter, 2009 Report).
3. The DUSA I^* Quarter, 2009 Report was received al the DRC by its respective due date
(June 1,2009).
November 17.2009 Docket No. UGW09-06 Page 2
4. The DRC conducted a review of the 1" Quarter, 2009 Report to determine compliance
with State Rules and Regulations and terms ofthe Permit.
5. Contrary to the requirements of Part l.E.l(a) ofthe Permit and Section 6.2.7(d)(v) ofthe
DUSA QAP, DUSA failed to allow turbidity to stabilize within 10% with at least 2
samples collected before collecting groundwater samples in 17 wells during the February
and March monitoring events, as shown in the table below.
Groundwater
Monitoring Event
]" Qir, 2009
]"Q[r, 2009
l"Qtr,2009
]" Qlr, 2009
l"Qtr,2009
r'Qtr,2009
1" Qlr, 2009
1" Qtr, 2009
1" Qlr. 2009
1" Qlr. 2009
1" Qir, 2009
r'Qir. 2009
1" Qtr. 2009
1" Qtr, 2009
["Qtr. 2009
1" Qtr. 2009
March. 2009
Well
MW-] '"
MW-3"'
MW-3A'"
MW-5"'
MW-M '"
MW-12'"
MW-14'"
MW-15 "••
MW-17"'
MW-23"'
MW-25 "'
MW-27'"
MW-28"'
MW-29'"
MW-30'"
MW-31 '"
MW-32 '''
Turbidity
1.08 @ 23.1 sallons
0.7 @ 4.95 gallons
0.15 @ 6.6 gallons
0.35 @ 26.4 gallons
0.85 @ 18.15 gallons
0.69 @I8.15 gallons
0.O4 @ 19.8 gallons
0.14 @ 26.4 gallons
0.1 @ 21.45 gallons
0.23 @ 14.85 gallons
0 @ 2805 gallons
0.13 @ 29.7 gallons
0 @ 26.4 gallons
2.14^' 19.8 gallons
0 @ 24.75 gallons
0.05 @ 24.75 gallons
6.29 ©31.35 gallons
Turbidity
1.22 tg'33 gallons
0.21 @ 6.6 gallons
0.2 @ 8.25 gallons
0.19 (? 36.3 gallons
0.68 @ 36.3 gallons
1.17 Co) 24.75 gallons
0.06 @ 28.05 gallons
0.1 @ 36.3 gallons
0.13 ^' 36.3 gallons
0.45 @ 19.8 gallons
0.26 @ 36.3 gallons
0.07 @ 36.3 gallons
0.09 @ 36.3 gallons
3.12 28.05 gallons
0.25 36.3 gallons
0.25 @ 36.J gallons
4.68 @ 37.95 gallons
%
Difference
I2.96'«-
-70%
33.33%
-45.71%
-19.99Ct>
69.56%
49.99%
-28.57%
30%
95.65%
CO
-46.15%
CO
45.79'S
00
400%
-25.59%
Footnotes:
1) Data for this well was
2) Data for Ihis well was
obtained from Tab B ofthe 1" Quaner 2009 Groundwater Monitoring Report
obtained from Tab D of the 1" Quarter 2CK)9 Groundwater Moniioring Report
6. Contrary to the requirements of Part I.E. 1(a) of the Permit and Sections 6.2.2(a) and
6.2.7(d)(v) of the DUSA QAP, DUSA failed to measure for turbidity in wells MW-14 and
MW-32 during the January, 2009 monitoring event.
7. Contrary to the requirements of Part l.E.l(a) ofthe Permit and Sections 6.2.2(a) and
6.2.7(d)(v) of the DUSA QAP, DUSA failed to measure for turbidity in wells MW-20 and
MW-22 during the February, 2009 monitoring event.
8. Contrary to the requirements of Part I.E. 1(a) ofthe Permit and Section 6.2.7(d)(v) ofthe
DUSA QAP, DUSA failed to evacuate two casing volumes before collecting groundwater
samples in 13 wells during the January, February, and March moniioring events, as shown
in the table below.
Groundwater
Monitoring
Event
1" Qtr. 2009
P'Qir. 2009
1" Qlr. 2009
1" Qtr, 2009
r'Qir. 2009
1" Qtr. 2009
Monitoring
Well
MW-5"'
Mw-ir"
MW-17'"
MW-18 ^"
MW-19'"
MW-22'"
DUSA
Calculated
Two Casing
Volumes
41.34
51.34
45.64
81.44
128.17
61.22
DUSA
Calculated
Purge Rate
0.33 gpm
0.33 gpm
0.33 gpm
0.33 gpm
0.33 gpm
0.33 gpm
DUSA
Calculated
Time to Purge
Two Casing
Volumes
(Minutes)
125
155
138
246
383
185
Reported
Time WeU
Purged
(Minutes)
120
120
120
120
120
120
Total Gallons
Purged Before
Sample
Collection
39.6
39.6
39.6
39.6
39.6
39.6
November 17,2009 Docket No. UGW09-06 Paae 3
1" Qtr, 2009
I" Qlr, 2009
J "Qtr. 2009
1" Qtr, 2009
r Qtr. 2009
January. 2009
March. 2009
MW-25"'
MW-27"'
MW-28"'
MW-31 "•'
MW-32"'
MW-32'"
MW-32 '•^'
49.92
56.50
41.55
77.86
71.54
71.88
72.22
0.33 gpm
0.33 gpm
0.33 gpm
0.33 gpm
0.33 gpm
0.33 gpm
0.33 gpm
151
171
125
235
216
217
218
120
120
120
120
120
120
120
39.6
39.6
39.6
39.6
39.6
39.6
39.6
Footnotes:
1) Data for this well was obtained from Tab B nfthe 1'^ Quaner2009 Groundwater Moniioring Report
2) Data for Ihis well was oblained from Tab C of the 1" Quarter 2009 Groundwater Monitoring Report
3) Data for this well was oblained from Tab D of the 1"^ Quarter 2009 Groundwater Monitoring Report
9. In the V Quarter, 2009 Report, DUSA disclosed that the March, 2009 Trip Blank was lost
due to an analytical equipment enor. As a result, and contrary to the requirements of Part
I.E. 1(a) of the Permit and Section 9.1.3 of the DUSA QAP, DUSA failed to provide any'
comparison of any March, 2009 Trip Blank results to the original sample results.
D. VIOLATIONS
Based on the foregoing FINDINGS OF FACT, DUSA is in violation of the following:
1. Part I.E. 1(a) of the Permit and Sections 6.2.2(a) and 6.2.7(d)(v) of the DUSA QAP for
failing to measure for turbidity in wells MW-14 and MW-32 during the January, 2009
monitoring event and wells MW-20 and MW-22 during the February, 2009 monitoring
event.
2. Part l.E.l(a) of the Pennit and Section 6.2.7)(d)(v) ofthe DUSA QAP for failing to
achieve stable turbidity conditions before collecting groundwater samples in 17 wells
during the February and March, 2009 monitoring events.
3. Part I.E. 1 (a) of the Permit and Section 6.2.7(d)(v) of the DUSA QAP for failing to
excavate two casing volumes before collecting groundwater samples in 13 wells during the
Januar>', February, and March 2009 monitoring events.
4. Part l.E.Ua) ofthe Permit and Section 9.1.3 ofthe DUSA QAP for failing to provide any
comparison of March, 2009 Trip Blank results to original sample results for multiple
volatile organic compounds.
E. ORDER
In view of the foregoing FINDINGS, and pursuant to Utah Code Annotated Section 19-3-108,
DUSA is hereby ordered to:
1. Immediately initiate all actions necessary to achieve compliance with all applicable
provisions of the Utah Water Quality Act, Ground Water Quality Rules in the Utah
Administrative Code, and the Permit (including but not limited to requirements ofthe
DUSA QAP.)
November 17.2009 Docket No. UGW09-06 Page 4
2. Submit a report to the Co-Executive Secretary within 30 days of receipt of this NOV and
Order to include but not be limited to the following items:
a. The root cause of the noncompliance,
b. Corrective steps taken or to be taken to prevent re-occurrence of the noncompliance,
c. Date when compliance was/or will be achieved.
F. NOTICE
Compliance with the provisions of this NOV/CO is mandatory. Under the Division's Penalty
Criteria for Civil Settlement Negotiations, Utah Administrative Code § R317-1-8, DUSA's good
faith efforts to comply with this Compliance Order may impact the monetary penalty that could
apply in a settlement. Providing false information may subject DUSA to further civil penalties or
criminal fines.
UCA § 19-5-115 provides that a violation ofthe ACT or a related order maybe subject to a civil
penalty of up to $10,000 per day of violation. Under certain circumstances of willfulness or gross
negligence, violators may be fined up to $25,000 per day of violation.
G. CONTESTING THIS NOV/CO
This NOV/CO is effective immediately and shall become final unless contested in writing within
thirty (30) days after the date this NOV/CO was signed. See Utah Administrative Code § R317-9-
3(3), Any further administrative proceedings in this case shall be conducted formally under Utah
Code Ann. §§ 63G4-10I through 63G-4-601.
To contest this NOV/CO, you must respond in writing and must comply with the requirements of
the Administrative Rules of the Water Quality Board, found at Utah Administrative Code § R317-
9 and with the requirements ofthe Utah Administrative Procedures Act, including Utah Code
Ann. § 63-G-4-201(3)(a) and (b). Those provisions of the Utah Administrative Procedures Act
require, among other things, that you state your factual and legal reasons for disagreeing with the
Notice of Violation or Compliance Order, and that you state the action that you would like the
agency to take (e.g., withdrawing the NOV/CO).
A response contesting this NOV/CO must be received by the Co-Executive Secretary within 30
calendar days of receipt of this NOV/CO.
(Mailing address) (Address for by-hand or overnight delivery)
Dane L. Finerfrock, Co-Execuiive Secretary Dane L. Finerfrock, Co-Executive Secretary
Utah Water Quality Board Utah Water Quality Board
168 North 1950 West Utah DEQ Building 2, DRC 2"^^ Floor
P.O. Box 144850 168 North 1950 West
Sah Lake City, UT 84114-4850 Salt Lake City UT, 84114
November 17,2009 Docket No. IIGW09-06 Page 5
You will not be allowed to contest this NOV/CO in court or in any other forum if you do not first
contest the NOV/CO as described above.
Signed this // day of November, 2009
UTAH WATER QUALITY BOARD
dl^^^r^
Dane L. Finerfrocl
Co-ExeCUtive Setfetary
November 17, 2009 Docket No. UGW09-06 Page 6