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Home My WebLink AboutDRC-2013-001583 - 0901a0688035ade8ENERGYFUELS Energy Fuels Resources (USA) Inc. 225 Union Blvd. Suite 600 Lakewood, CO, US, 80228 303 974 2140 www.energyfuels.com VIA EMAIL AND OVERNIGHT DELIVERY March 8, 2013 Mr. Rusty Lundberg Director of the Utah Division of Radiation Control State of Utah Department of Environmental Quality 195 North 1950 West P.O. Box 144850 Salt Lake City, UT 84116-4850 md CO m 20t3 division of Re: Energy Fuels Resources (USA) Inc. 2"** Quarter 2012 and 3^** Quarter 2012 Groundwater Monitoring Reports, Utah Groundwater Permit No. UGW370004 : DRC Conditional Approval, Advisory and Notice of Violation and Compliance Order, Docket No. UGW13-01 This letter is in response to the foregoing Notice of Violation (the "Notice") dated Febmary 4, 2013, which Energy Fuels Resources (USA) Inc. ("EFRF') received on Febmary 7, 2013. The Notice lists two violations (the "Violations") ofthe White Mesa Mill's (the "Mill's") Ground Water Quality Discharge Pennit No. UGW370004 (the "GWDP"), based on a review ofthe Mill's Groundwater Monitoring Reports for the 2"^* and 3'** Quarters of 2012. Pursuant to Utah Code Annotated 19-5-111 (1953 as amended), this letter describes: a) the root cause of the noncompliance; b) steps that have been or will be taken to correct the violation; c) date when compliance was or will be regained; and d) steps taken or to be taken to prevent reoccurrence of the noncompliance. EFRI responds as follows: DRC-2013-001583 /. Samples for the volatile organic compounds (VOCs) exceeded the QAP required sample holding time for monitoring well MW-26 for the September 2012 accelerated monitoring period. Therefore, monthly accelerated samples for chloroform and dichloromethane were invalid for September 2012. Violation of Groundwater Discharge Permit no. UGW370004 Part I.G.l.b and PartI.G.4.b. a) Root Cause of the Noncompliance The VOCs referred to in Violation 1 were accelerated monthly chloroform and dichloromethane in MW- 26 for September 2012. The samples were collected on September 19, 2012 and were received by the laboratory on September 21, 2012, well within their holding time. Additionally, the laboratory had more than sufficient time to analyze two samples from this sampling event (one sample and one trip blank) within the required N:\WMM\Inspections and NOVsVGW Monitoring Inspections and NOVs\GW NOV 02.04.13 - Q2 and Q3 2012X03.08.13 rspns to 02.04.13 GW NOV.doc Letter to Rusty Lundberg March 8, 2013 Page 2 of 5 holding time. The laboratory did not perform the VOC analysis until October 6, 2012, by which time the samples were outside of their VOC hold times. Further, the laboratory did not notify EFRI that the samples were outside of their hold times due to laboratory delays, until October 12, 2012. That is, EFRI was notified of the laboratory error after the month of September had ended. The root cause of the violation with respect to MW-26 has two components. First, due to intemal laboratory issues, the laboratory did not perform the analysis until the VOC holding time on these samples had expired. Second, EFRI did not receive notification that the samples were analyzed outside their holding time, until October 2012, when a September 2012 sample could no longer be recollected to replace the invalid samples. EFRI has determined that both components of the root cause are due to laboratory error. b) Steps That Have Been Taken to Correct the Violation The following steps have been taken to correct the violation: EFRI ceased submitting any Mill groundwater monitoring samples to Energy Laboratories ("EL"), and transferred all groundwater monitoring analyses to GEL Laboratories and American West Analytical Laboratories ("AWAL") beginning with the fourth quarter 2012 sampling event. EFRI has discussed with the replacement laboratories the necessity to have rapid tumaround of data within sufficient time to discuss any anomalies or needs for re-analysis or resampling. c) Date When Compliance Was or Will be Regained Compliance was regained in the fourth quarter of 2012. Beginning with the fourth quarter 2012, groundwater monitoring samples were sent to the replacement laboratories, GEL Laboratories and AWAL. All samples were analyzed within holding times at both laboratories. Data were received with quick tumaround from both of these laboratories, within sufficient time to discuss any anomalies or potential needs for re-analysis or resampling. d) Steps Taken to Prevent Reoccurrence of the Noncompliance See item l.(b) above. 2. EFR failed to collect a monthly accelerated sample for chloroform and dichloromethane at well MW-26 during July, 2012. EFR states that the parameter had to be resampled due to "poor agreement** between the MW-26 sample and the blind duplicate MW-65 sample; however, the resample was not collected during the required month. Noncompliance with Groundwater Discharge Permit no. UGW370004 Part I.G.l.b and Part I.G.4.b. a) Root Cause of the Noncompliance EFRI subnuts that Violation No. 2 should be re-evaluated. A sample was taken in July 2012 that satisfies the criteria in the Mill's Groundwater Quality Assurance Plan ("QAP"), although it was not included in the Third Quarter 2012 Groundwater Report. The sample that was collected in August 2012 was voluntary and was not required by the QAP. EFRI did collect and analyze a monthly accelerated sample for chloroform and dichloromethane at well MW-26 during July 2012. The monthly accelerated sample and analysis for chloroform and dichloromethane in MW-26 was collected as part of the quarterly sampling of MW-26 for all analytes. Letter to Rusty Lundberg March 8, 2013 Page 3 of 5 during July 2012. The sample and duplicate data are provided as Attachment 1 to this response letter. The samples were collected within the required month (July 2012) and analyzed within the required holding times as required by the QAP. As discussed in the Third Quarter 2012 Groundwater Monitoring Report, the analytical data were not reported in the Third Quarter 2012 Groundwater Report due to poor agreement (failure to be within 20% RPD) between the original sample (3200 ug/L chloroform) and the sample duplicate (2,000 ug/L chloroform). The data were first received by EFRI on August 9, 2012, at which point the holding times for chloroform and dichloromethane had expired. However, the fact that the sample/duplicate pair did not fall within the 20% RPD did not invalidate the data. Per the Mill's QAP Section 9.1 c) (addressing duplicates): "Corrective actions for duplicate deviations shall first determine if the deviation is indicative of a systematic issue which requires the procedures described in Section 10. If the non-conformance is limited in scope and nature, the QA Manager will: 1. Notify the laboratory, 2. Request the laboratory review all analytical results for transcription and calculation errors, and 3. If the samples are still within holding time, the QA Manager may request the laboratory re-analyze the affected samples." The deviation from the 20% RPD was not indicative of a systematic issue. The non-conformance was limited in scope and nature since only the one analyte group (VOCs) in one sample pair was affected. EFRI's Quality Assurance Manager performed each of the required steps listed above for a non- conformance which is limited in scope and nature. The laboratory was notified and reviewed the results for transcription, calculation, and reporting errors. Since the samples were beyond holcHng time, it was not possible to re-analyze the sample pair. QAP Section 9.1 c) has no other requirements for duplicates, and the above requirements were met. As mentioned above, the sample and duplicate data, which met the requirements of QAP Section 9.1 c), above, are provided in Attachment 1. Although not required, EFRI's Quality Assurance Manager had an additional sample and duplicate collected on August 2, 2012. The results of the resampled pair, which did meet the QAP 20% RPD requirement, were reported in the Third Quarter 2012 Groundwater Monitoring Report. The root cause of the apparent violation has two components. First, the laboratory (Energy Laboratories ["EL"]) did not provide sample results quickly enough for EFRI to determine the poor agreement in the sample pair early enough to allow resampling in July 2012 should the QA Manager determine to do so. Second, EFRI did not include the initial July data set, which was sampled at the correct time and which meets the QAP corrective action requirements for duplicates, in the Third Quarter 2012 Groundwater Monitoring Report. b) Steps That Have Been Taken to Correct the Violation The following steps have been taken to correct the violation: 1. The data for the July 2012 sample and duplicate pair have been provided as an Attachment to this response letter. Letter to Rusty Lundberg March 8, 2013 Page 4 of 5 2. EFRI ceased subnutting any Mill groundwater monitoring samples to EL and transferred all groundwater monitoring analyses to GEL Laboratories and AWAL, beginning with the fourth quarter 2012 sampling event. c) Date When Compliance Was or Will be Regained Compliance was regained in the fourth quarter of 2012. Beginning with the fourth quarter 2012, groundwater monitoring samples were sent to the replacement laboratories, GEL Laboratories and AWAL. All samples duplicates from the fourth quarter 2012 sampling even were within 20% RPD. d) Steps Taken to Prevent Reoccurrence of the Noncompliance See item 2.(b), above. If you have any questions or require any further information, please contact the undersigned. Yours very tmly. If you have any questions, please contact me at (303) 389-4132. Yours very tmly, j ENERGY FUELS RESOURCES (USA) INC. Jo Ann Tischler Manager, Compliance and Licensing cc David C. Frydenlund Phil Goble, Utah DRC Dan Hillsten Harold R. Roberts Tom Rushing, Utah DRC David E. Turk Kathy Weinel Attachments Letter to Rusty Lundberg March 8, 2013 Page 5 of 5 ATTACHMENT 1 July 2012 MW-26 and MW-65 VOC Data wvwjneigylabxoin iiiiftWiif QiillKim Mliii WIT mim WSJJ^lMl^ * Billings, 111000-785-4489 • Casper. 888-235-0815 |!l5 • itmjih SD 888-872-1225 • eollege Statloji, IX 888-688-2218 LABORATORY ANALYTICAL REPORT Prepared by Casper, WY Branch Client: Denison Mines USA Corp Project: 3rd Quarter Groundwater 2012 Lab ID: C12070448-006 Client Sample ID: MW-26_07112012 ReportDate: 08/09/12 Collection Date: 07/11/12 09:51 DateReceived: 07/13/12 Matrix: Aqueous Anal)^s Result Units Qualifier RL MCL/ QCL Method Analysis Date / By MAJOR IONS Cartx)nate as COS ND mg/L 1 A2320B 07/13/12 18:44/jba Bicarbonate as HC03 382 mg/L 1 A2320 B 07/13/12 18:44/jba Calcium 493 mg/L 0.5 E200.7 07/19/12 17:36/Sf Chloride 78 mg/L 1 A4500-CI B 07/19/12 15:02/wc Fluoride 0.29 mg/L 0.10 A4500-F C 07/13/12 14:16/jba Magnesium 152 mg/L 0.5 E200.7 07/18/12 15:07/sf Nitrogen, Ammonia as N 0.22 mg/L 0.05 A4500-NH3 G 07/17/12 12:54/Ir Nitrogen, Nitrate+Nitrite as N 1.9 mg/L 0.1 E353.2 07/16/12 12:02/lr Potassium 9.5 mg/L 0.5 E200.7 07/18/12 15:07/sf Sodium 189 mg/L 0.5 E200.7 07/18/12 15:07/sf Sulfate 1730 mg/L D 50 A4500-SO4 E 07/20/12 12:26/ab PHYSICAL PROPERTIES Solids, Total Dissolved TDS @ 180 C 3060 mg/L 10 A2540C 07/13/12 15:52/ab METALS • DISSOLVED Arsenic ND ug/L 5.0 E200.8 07/25/12 08.01 / cp Beryllium ND ug/L 0.50 E200.8 08/01/12 15.54/cp Cadmium ND ug/L 0.50 E200.8 07/25/12 08.01 / cp Chromium ND ug/L 25 E200.8 07/25/12 08:01 / cp Cobalt ND ug/L 10 E200.8 07/25/12 08:01 / cp Copper ND ug/L 10 E200.8 07/25/12 08:01 / cp Iron 773 ug/L 30 E200.7 07/18/12 15:07/sf Lead ND ug/L 1.0 E200.8 07/25/12 08:01 / cp Manganese 1100 ug/L 10 E200.8 07/25/12 08:01 / cp Mercury ND ug/L 0.50 E200.8 08/01/12 15:54/cp Molytxlenum ND ug/L 10 E200.8 07/25/12 08:01 / cp Nickel ND ug/L 20 E200.8 07/25/12 08:01 / cp Selenium ND ug/L 5.0 E200.8 08/01/12 15:54/cp Silver ND ug/L 10 E200.8 07/25/12 08:01 / cp Thallium ND ug/L 0.50 E200.8 07/25/12 08:01 / cp Uranium 28.4 ug/L 0.30 E200.8 07/25/12 08:01 / cp Vanadium ND ug/L 15 E200.8 07/25/12 08:01 / cp Zinc ND ug/L 10 E200.8 07/25/12 08:01 / cp RADIONUCLIDES - DISSOLVED Gross Alpha minus Rn & U 1.8 pCi/L E900.1 08/08/12 22:25/Ibb Gross Alpha minus Rn & U Precision (±) 0.3 pCi/L E900.1 08/08/12 22:25/Ibb Gross Alpha minus Rn & U MDC 0.2 pCi/L E900.1 08/08/12 22:25/Ibb Report Definitions: RL - Analyte reporting limit. QCL - Quality control limit. MDC - Minimum detectable concentration MCL - Maximum contaminant level ND - Not detected at the reporting limit. D - RL increased due to sample matrix. Page 11 of 53 EISERGY ! AriORArCRIFS wivw^nefgyiabxQin M7-47^4i711 • Billings, Mr 800-735-4489 • Cgsper, WY 888-235-0515 GillBp, WY||iHM|-7jl| • RapijlCity, SD 888-872-1225 • Coliege Statton, TX 888-688-2218 Client: Project: Lab ID: LABORATORY ANALYTICAL REPORT Prepared by Casper, WY Branch Denison Mines USA Corp 3rd Quarter Groundwater 2012 Cl 2070448-006 Client Sample ID: MW-26_07112012 ReportDate: 08/09/12 Collection Date: 07/11/12 09:51 DateReceived: 07/13/12 Matrix: Aqueous Analyses Result Units Qualifier RL MCL/ QCL Method Analysis Date / By DATA QUALITY A/C Balance (± 5) 1.04 % A1030E 08/08/12 16:03/sdw Anions 44.7 meq/L A1030 E 08/08/12 16:03/sdw Cations 45.6 meq/L A1030 E 08/08/12 16:03/sdw Solids, Total Dissolved Calculated 2900 mg/L A1030E 08/08/12 16:03/sdw TDS Balance (0.80-1.20) 1.07 A1030E 08/08/12 16:03/Sdw VOLATILE ORGANIC COMPOUNDS Acetone ND ug/L 20 SW8260B 07/24/12 03:18/jk Benzene ND ug/L 1.0 SW8260B 07/24/12 03:18/jk Cart)on tetrachloride ND ug/L 1.0 SW8260B 07/24/12 03:18/jk Chlorofomi 3200 ug/L D 500 SW8260B 07/24/12 03:54/jk Chloromethane ND ug/L 1.0 SW8260B 07/24/12 03:18/jk Methyl ethyl ketone ND ug/L 20 SW8260B 07/24/12 03:18/jk Methylene chloride 20 ug/L 1.0 SW8260B 07/24/12 03:18/jk Naphthalene ND ug/L 1.0 SW8260B 07/24/12 03:18/Jk Toluene ND ug/L 1.0 SW8260B 07/24/12 03:18/jk Xylenes. Total ND ug/L 1.0 SW8260B 07/24/12 03:18/jk Sun-: 1,2-Dichlorobenzene-d4 96.0 %REC 80-120 SW8260B 07/24/12 03:18/jk Sun': Dibromofluoromethane 94.0 %REC 70-130 SW8260B 07/24/12 03:18/jk Sun': p-Bromofluorobenzene 88.0 %REC 80-120 SW8260B 07/24/12 03:18/jk Surr: Toluene-d8 89.0 %REC 80-120 SW8260B 07/24/12 03:18/Jk Report Definitions: RL - Analyte reporting limit. QCL - Quality control limit. D - RL increased due to sample matrix. MCL - Maximum contaminant level. ND - Not detected at the reporting limit. Page 12 of 53 /— Helena. M177-472:0711 •Billings, NT 600-735-4489 • Casper. WY 888-235-0515 6ill09a.« " -RapU SD.886-672-1225 • eolle geStatioji, IX 888-688-2218 LABORATORY ANALYTICAL REPORT Prepared by Casper, WY Branch Client: Denison Mines USA Corp Project: 3rd Quarter Groundwater 2012 Lab ID: 012070448-011 Client Sample ID: MW-65_07112012 ReportDate: 08/09/12 Collection Date: 07/11/12 09:51 DateReceived: 07/13/12 Matrix: Aqueous Analyses Result Units Qualifier RL MCL/ QCL Method Analysis Date / By MAJOR IONS Cart)onate as C03 ND mg/L 1 A2320 B 07/13/12 20:01 / jba Bicartx)nate as HC03 390 mg/L 1 A2320 B 07/13/12 20:01 / jba Calcium 463 mg/L 0.5 E200.7 07/18/12 15:42/sf Chloride 74 mg/L 1 A4500-CI B 07/19/12 15:12/wc Fluoride 0.29 mg/L 0.10 A4500-F C 07/13/12 14:32/jba Magnesium 161 mg/L 0.5 E200.7 07/18/12 15:42/sf Nitrogen, Ammonia as N 0.22 mg/L 0.05 A4500-NH3 G 07/17/12 13:14/Ir Nitrogen, Nitrate+Nitrite as N 2.1 mg/L 0.1 E353.2 07/16/12 12:15/Ir Potassium 10.4 mg/L 0.5 E200.7 07/18/1215:42/sf Sodium 201 mg/L 0.5 E200.7 07/18/12 15:42/sf Sulfate 1730 mg/L D 50 A4500-SO4 E 07/20/1213:29/ab PHYSICAL PROPERTIES Solids, Total Dissolved TDS @ 180 C 3130 mg/L 10 A2540C 07/13/12 15:53/ab METALS - DISSOLVED Arsenic ND ug/L 5.0 E200.8 08/01/12 16:47/cp Beryllium ND ug/L 0.50 E200.8 08/01/12 16:47/cp Cadmium ND ug/L 0 50 E200.8 08/01/12 16:47/cp Chromium ND ug/L 25 E200.8 08/01/12 16:47/cp Cobalt ND ug/L 10 E200.8 08/01/12 16:47/cp Copper ND ug/L 10 E200.8 08/01/12 16:47/cp Iron 793 ug/L 30 E200.7 07/18/12 15:42/sf Lead ND ug/L 1.0 E200.8 08/01/12 16:47/cp Manganese 1200 ug/L 10 E200.8 08/01/12 16:47/cp Mercury ND ug/L 0.50 E200.8 08/01/12 16:47/cp Molybdenum ND ug/L 10 E200.8 08/01/12 16:47/cp Nickel ND ug/L 20 E200.8 08/01/12 16:47/cp Selenium 5.1 ug/L 5.0 E200.8 08/01/12 16:47/cp Silver ND ug/L 10 E200.8 08/01/12 16:47/cp Thallium ND ug/L 0.50 E200.8 08/01/12 16:47/cp Uranium 30.2 ug/L 0.30 E200.8 08/01/12 16:47/cp Vanadium ND ug/L 15 E200.8 08/01/12 16.47/cp Zinc ND ug/L 10 E200.8 08/01/12 16:47/cp RADIONUCLIDES - DISSOLVED Gross Alpha minus Rn & U 2.0 pCi/L E900.1 08/09/12 00:07/Ibb Gross Alpha minus Rn & U Precision (±) 0.3 pCi/L E900.1 08/09/12 00:07/Ibb Gross Alpha minus Rn & U MDC 0.2 pCi/L E900.1 08/09/12 00:07/Ibb Report Definitions: RL - Analyte reporting limit. QCL - Quality control limit. MDC - Minimum detectable concentration MCL - Maximum contaminant level. ND - Not detected at the reporting limit. D - RL increased due to sample matrix. Page 21 of 53 wMWjnergylakcQin iaitfOulBcuBtaetSUeetat Haleiia.ilir8|7-47^:|l711 • Billings, MT 800-735-4489 • Casper, WY 888-235-0515 'VjtS * Raiiid City; SD 888-872-1225 • College Statipji,TX 688-688-2218 Client: Project: Lab ID: LABORATORY ANALYTICAL REPORT Prepared by Casper, WY Branch Denison Mines USA Corp 3rd Quarter Groundwater 2012 Cl 2070448-011 Client Sample ID: MW-65_07112012 ReportDate: 08/09/12 Collection Date: 07/11/12 09:51 DateReceived: 07/13/12 Matrix: Aqueous Analyses Result Units Qualifier RL MCU QCL Method Analysis Date / By DATA QUALITY A/C Balance (± 5) 0.791 % A1030E 08/08/12 16:04/sdw Anions 44.6 meq/L A1030 E 08/08/12 16:04/sdw Cations 45.3 meq/L A1030 E 08/08/12 16:04/sdw Solids, Total Dissolved Calculated 2800 mg/L A1030 E 08/08/12 16:04/sdw TDS Balance (0.80-1.20) 1.10 A1030E 08/08/12 16:04/sdw VOLATILE ORGANIC COMPOUNDS Acetone ND ug/L 20 SW8260B 07/24/12 02:41 / jk Benzene ND ug/L 1.0 SW8260B 07/24/12 02:41 / jk Carison tetrachloride ND ug/L 1.0 SW8260B 07/24/12 02:41 / jk Chlorofomi 2000 ug/L D 100 SW8260B 07/24/12 06:20/jk Chloromethane ND ug/L 1.0 SW8260B 07/24/12 02:41 / jk Methyl ethyl ketone ND ug/L 20 SW8260B 07/24/12 02:41 / jk Methylene chloride 20 ug/L 1.0 SW8260B 07/24/12 02:41 /jk Naphthalene ND ug/L 1 0 SW8260B 07/24/12 02:41 / jk Toluene ND ug/L 1.0 SW8260B 07/24/12 02:41 /jk Xylenes, Total ND ug/L 1.0 SW8260B 07/24/12 02:41 / jk Sun': 1,2-Dichlorobenzene-d4 96.0 %REC 80-120 SW8260B 07/24/12 02:41 / jk Sun': Dibromofluoromethane 94.0 %REC 70-130 SW8260B 07/24/12 02:41 / jk Surr: p-Bromofluorobenzene 88.0 %REC 80-120 SW8260B 07/24/12 02:41 / jk Surr: Toluene-d8 93.0 %REC 80-120 SW8260B 07/24/12 02:41 / jk Report Definitions: RL - Analyte reporting limit. ^ QCL - Quality control limit. D - RL increased due to sample matrix MCL - Maximum contaminant level. ND - Not detected at the reporting limit. Page 22 of 53