Loading...
HomeMy WebLinkAboutDRC-2018-001331 - 0901a068807b2991State of Utah GARY R. HERBERT Governor SPENCER J. COX Lieutenant Governor Department of Environmental Quality Alan Matheson Executive Director DIVISION OF WASTE MANAGEMENT AND RADIATION CONTROL Scott T Anderson Director MEMORANDUM TO: THROUGH: FROM: DATE: SUBJECT: File Phil Goble, Manager Tom Rushing, P.G. January 31, 2018 Review of the Energy Fuels Resources (USA) Inc. 3rd Quarter 2017 Ground Water Monitoring Report for the White Mesa Uranium Mill PM z M /(* Review Summary: The Utah Division of Waste Management and Radiation Control (“DWMRC”) has reviewed the following documents submitted by Energy Fuels Resources (USA) Inc. (“EFR”): 1. EFR, November 13, 2017, Transmittal of 3rd Quarter 2017 Groundwater Monitoring Report Groundwater Quality Discharge Permit UGW370004 White Mesa Uranium Mill. 2. EFR, November 15, 2017, State of Utah Ground Water Discharge Permit No. UGW3 70004 White Mesa Uranium Mill - Notice Pursuant to Part I.G.l(a). 3. EFR, November 15, 2017, State of Utah Ground Water Discharge Permit No. UGW370004 White Mesa Uranium Mill - Removal of Certain Groundwater Monitoring Parameters from Accelerated Monitoring Status The review was conducted to ensure compliance with all applicable parts of Utah Groundwater Discharge Permit No. UGW370004 (“Permit”) issued for the White Mesa Uranium Mill located in Blanding, Utah. 1. Checklist of Significant Findings of the 3rd Otr. 2017 Report and Related Actions at the White Mesa Uranium Mill: 1. The 3rd Quarter 2017 Report was received on November 17, 2017, which was before the due date (Permit Part I.F.l - due date of December 1). 2. DWMRC notes that samples were analyzed by American West Analytical Laboratories (“AWAL”) with the exception of Gross Radium Alpha which was analyzed by GEL Laboratories LLC, Charleston, South Carolina. DWMRC verified that the laboratories have current Utah certification for all parameters/methods used. No deyiations/violations of the currently approved Quality Assurance Plan for the White Mesa Uranium Mill were noted. \ 3. Per a previous EFR request, a May 25, 2012 EFR Permit modification request was made in order to document accelerated reporting and monitoring agreements made during a 195 North 1950 West • Salt Lake City, UT Mailing Address. P.O. Box 144880 • Salt Lake City, UT 84114-4880 Telephone (801) 536-0200 • Fax (801)-536-0222 • T D.D. (801) 536-4414 www tieq Utah gov Printed on 100% recycled paper teleconference with the DWMRC. Per DWMRC staff discussions: The May 25, 2012 request will be included with the White Mesa Mill Ground Water Permit Renewal. DWMRC review of the 3rd Quarter 2017 Report recognizes the telephone agreements regarding timelines for EFR to submit compliance notices. The modification request is currently being addressed through the Permit renewal process. 4. DWMRC Stipulated Consent Agreement, Docket No. UGW12-03 required EFR to submit an October 10, 2012 Source Assessment Report, an April 13, 2012 pH Report, and a December 12, 2012 Pyrite Investigation Report for previously documented out-of- compliance parameters (multiple parameters). Per DWMRC review findings as documented in a DWMRC review memo dated April 23, 2013, and transmitted via letter to EFR dated April 25, 2013, it was recommended that specific GWCL parameters for monitoring wells be modified (12 instances), GWCL’s for pH be modified for all monitoring wells, and that GWCL’s be removed from the permit for three up-gradient monitoring wells. These requests are currently being addressed through the Permit Renewal process. Review of the 3rd Quarter 2017 Report is based on current Permit GWCL’s, modified GWCLs are required to undergo public notice requirements per the Utah Administrative Code and listed in an active Permit. 5. Permit compliance limits for monitoring wells around the White Mesa Mill Tailings Cell 4B (Monitoring Wells MW-35, MW-36 and MW-37) were approved by the Director via letter dated July 15, 2014. The approval was based on DWMRC staff review of a May 1, 2014 EFR Background Groundwater Quality Report for those wells. The approved GWCL’s will not be enforceable until final inclusion in the renewal permit; therefore, the 3rd Quarter 2017 Report data results were compared with the interim limits or groundwater quality standards as listed in the currently active Permit. 6. Laboratoty QA/QC flags were documented in the review period analytical data reports from the contract laboratories. Per DWMRC review it appears that all discrepancies were self-reported by EFR. 7. Two compliance parameters went into accelerated monitoring frequency during the monitoring period (Fluoride in monitoring well MW-14 and Uranium in monitoring well MW-12). 8. It was noted that the measured uranium concentration in monitoring well MW-5 was 145 pg/L for the 1st Quarter 2017 sample which is the highest recorded concentration for uranium to date at the monitoring well. The second highest uranium concentration was the 4th Quarter 2014 sample which was 36.2 pg/L. Uranium concentrations appear to spike during the winter months with concentrations during other times being much lower. Monitoring well MW-5 has been in quarterly accelerated monitoring since 2011 based on dual exceedances of uranium for the 4th Quarter 2010 and 1st Quarter 2011 samples. Per a June 26, 2017 telephone discussion between DWMRC and EFR concerning the high 1st Quarter 2017 uranium concentration: EFR had noted that the uranium concentrations were elevated and appeared to spike during the 4th or Is1 quarter monitoring events of each year. Monitoring well MW-5 was noted to have the top of the casing standpipe at ground level due to a rise in ground level from soil placement for tailings cell 3. Based on these findings, EFR extended the casing to rise above ground level during early May, re­ surveyed the well on May 11, 2017, re-graded the soil around the well to ensure that water drained away from the well casing and, over-pumped the well on 5/19/2017 (extracted 42.7 gallons of water from the well). Per the June 26, 2017 phone call, DWMRC and EFR agreed that a new section should be included in future Groundwater Reports to provide a summary of findings and actions undertaken by EFR to address the uranium exceedances at monitoring well MW-5. The 3rd Quarter 2017 Groundwater Report includes a section EFR 3rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 2 EFR 3 rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 3 discussing actions at monitoring well MW-5 (Section 2.4.3.2 of the Report). It was noted that the 3rd Quarter 2017 laboratory result for uranium in MW-05 was 2.46 mg/L which is well below the groundwater compliance limit for uranium in the well (7.5 mg/L). 2. Accelerated Monitoring and POC Wells Exceeding GWCL’s: When a monitoring well has a pollutant that exceeds a Ground Water Compliance Limit (GWCL) set forth in Table 2 of the Permit, it is in Probable Out-of-Compliance (POOC) status. According to the Permit, EFR is then required to immediately initiate accelerated sampling of that pollutant (see the Permit, Part I.G.l). When monitoring wells have parameters that have exceeded the Ground Water Compliance Limit (GWCL) two or more consecutive times they are in Out-of-Compliance (OOC) status (see the Permit, Part I.G.2). In the event a constituent is in OOC status, EFR is required to prepare and submit within 30 calendar days to the Director a plan and time schedule for assessment of the sources, extent and potential dispersion of the contamination, and an evaluation of potential remedial action to restore and maintain groundwater quality to ensure that Permit limits will not be exceeded at the compliance monitoring point and that DMT or BAT will be re-established, in accordance with Part I.G.4(c) of the Permit. Accelerated Monitoring Requirement Exception: Per past DWMRC review; 1st Qtr., 2nd Qtr., and 3rd Qtr. 2011 Groundwater Monitoring Reports, DWMRC issued a February 7, 2012 Notice of Enforcement Discretion (“NOED”) for failure on the part of EFR to comply with these timelines for acceleration of groundwater monitoring at well MW-35. EFR stated in a March 26, 2012 response to the NOED that based on an agreement made between DWMRC and EFR during a telephone conference call on April 5, 2010, EFR is not required to implement accelerated monitoring until “the month following the submission of the Exceedance Notice for a specified quarter.^ Based on DWMRC review of notes taken during the April 5, 2010 telephone conference (Loren Morton 4/5/10), EFR verbally requested to wait until the end of the quarter to submit the notice of out-of - compliance status - but within 30 days of the last lab report that EFR receives for the quarterly monitoring event. DWMRC notified EFR by letter (dated April 16, 2012) that in order to formalize the April 5, 2010 discussion items related to out-of-compliance reporting and sampling, a written request for a groundwater permit modification (groundwater permit, out-of-compliance notification and accelerated monitoring requirements) was required for Director review and approval. EFR submitted a May 25, 2012 written request for a Permit modification, including redline copies of pertinent pages of the Permit to reflect the agreements made during the April 5, 2010 conference call. The renewed permit dated January 9, 2018 includes these changes. Current Accelerated Monitoring Status: The table below (Table 1) lists monitoring wells with parameters currently in OOC or POOC status and therefore required to be sampled under the accelerated monitoring requirements: EFR 3rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 4 Table 1 - Wells Monitored Quarterly Accelerated to Monthly Monitoring Well Class *Position Parameter Date of First Exceedance of GWCL Date Accelerated Monitoring First Required MW-11 Class II water D-3 Manganese Sulfate February 2010 3rd Qtr. 2017 May 2010 December 2017 MW-14 Class III water D-4A Field pH Fluoride February 2010 May 2017 May 2010 November 2017 MW-25 Class III water C-3 Field pH Uranium Chloride Cadmium d* Quarter 2010 1st Quarter 2016 1st Quarter 2013 1st Quarter 2016 February 2013 April 2016 June 2013 April 2016 MW-26(a)Class III water C-2 Field pH Nitrate + Nitrite (as N) Chloroform Uranium Chloride Dichloromethane February 2010 February 2010 February 2010 February 2010 February 2010 April 2010 May 2010 May 2010 May 2010 May 2010 May 2010 June 2010 MW-30 Class II water D-2 Nitrate + Nitrite (as N) Chloride Selenium Uranium Field pH Fluoride February 2010 1st Quarter 2011 April 2010 4th Quarter 2011 4th Quarter 2014 4th Quarter 2015 May 2010 May 2011 July 2010 March 2014 March 2015 March 2016 MW-31 Class III water D-2 Nitrate + Nitrite (as N) Chloride Sulfate TDS Selenium Uranium Field pH February 2010 1st Quarter 2011 4th Quarter 2010 September 2010 3rd Quarter 2012 3rd Quarter 2016 February 2014 May 2010 May 2011 March 2011 January 2011 December 2012 December 2016 June 2014 MW-35 Class 11 C-4B Uranium Manganese Thallium Adjusted Gross Alpha Selenium Field pH 2nd Quarter 2011 2nd Quarter 2011 3 rd Quarter 2011 3rd Quarter 2011 3 rd Quarter 2012 July 2011 July 2011 July 2011 July 2011 October 2011 December 2012 August 2011 D = Down-gradient; U = Up-gradient; C = Cross-gradient; 1,2,3,4A = Cell # a = Monitoring well MW-26 is a pumping well for the Chloroform investigation Wells Monitored Semi-annually Accelerated to Quarterly Monitoring Well Class *Position Parameter Date of First Exceedance of GWCL Date Accelerated Monitoring First Required MW-1 Class II water U-l Field pH Sulfate Chloride 3rd Quarter 2014 4th Quarter 2012 2nd Quarter 2015 1st Quarter 2015 1st Quarter 2013 1st Quarter 2016 MW-3 Class HI water D-4A Selenium 2nd Quarter 2010 3rd Quarter 2010 EFR 3 rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 5 Well Class *Position Parameter Date of First Exceedance of GWCL Date Accelerated Monitoring First Required Field pH Fluoride Nitrate + Nitrite (as N) Sulfate Zinc Thallium Cadmium Beryllium Tetrahydrofuran Manganese Nickel 2nd Quarter 2010 2nd Quarter 2010 4th Quarter 2013 4th Quarter 2013 2nd Quarter 2015 4th Quarter 2015 2nd Quarter 2015 2nd Quarter 2015 2nd Quarter 2016 2nd Quarter 2016 3rd Quarter 2016 3rd Quarter 2010 3rd Quarter 2010 2nd Quarter 2014 2nd Quarter 2014 1st Quarter 2016 3rd Quarter 2016 1st Quarter 2016 1st Quarter 2016 3rd Quarter 2016 3rd Quarter 2016 N/A MW-3A Class III water D-4A Field pH Sulfate Selenium 2nd Quarter 2010 2nd Quarter 2010 4th Quarter 2010 3rd Quarter 2010 3rd Quarter 2010 1st Quarter 2011 MW-5 Class II water D-3 Uranium Field pH 4th Quarter 2010 1st Quarter 2017 ls‘ Quarter 2011 3rd Quarter 2017 MW-12 Class III water D-3 Field pH Selenium Uranium 1st Quarter 2014 4d' Quarter 2014 2nd Quarter 2017 2nd Quarter 2014 2nd Quarter 2015 3rd Quarter 2017 MW-15 Class III water D-4A Selenium Field pH 2nd Quarter 2012 4th Quarter 2013 3rd Quarter 2012 2nd Quarter 2014 MW-18 Class III water U-l Thallium Sulfate TDS Field pH 2nd Quarter 2010 2nd Quarter 2010 2nd Quarter 2010 1st Quarter 2014 3rd Quarter 2010 3rd Quarter 2010 3rd Quarter 2010 2nd Quarter 2014 MW-19 Class III water U-l Field pH Nitrate + Nitrite as N 2nd Quarter 2010 4th Quarter 2011 3rd Quarter 2010 Is1 Quarter 2012 MW-23 Class II water D-3 Field pH 4th Quarter 2016 1st Quarter 2017 MW-24 Class III water D-l Cadmium Thallium Field pH Fluoride Sulfate 2nd Quarter 2010 2nd Quarter 2010 2nd Quarter 2010 4th Quarter 2012 4th Quarter 2014 3 rd Quarter 2010 3rd Quarter 2010 3rd Quarter 2010 1st Quarter 2013 2nd Quarter 2015 MW-27 Class III water U-l Nitrate + Nitrite (as N) Adjusted Gross Alpha TDS Chloride Sulfate Field pH 2nd Quarter 2010 4th Quarter 2010 1st Quarter 2010 1st Quarter 2010 2nd Quarter 2013 4th Quarter 2015 3rd Quarter 2010 4th Quarter 2014 3 rd Quarter 2010 3rd Quarter 2010 1st Quarter 2014 3rd Quarter 2016 MW-28 Class III water D-l Field pH Chloride Cadmium Uranium Vanadium 1st Quarter 2014 2nd Quarter 2010 2nd Quarter 2014 2nd Quarter 2014 2nd Quarter 2014 2nd Quarter 2014 3rd Quarter 2010 2nd Quarter 2014 2nd Quarter 2014 2nd Quarter 2014 MW-29 Class HI water D-2 Field pH TDS 4th Quarter 2010 2nd Quarter 2012 2nd Quarter 2011 3 rd Quarter 2012 EFR 3 rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 6 Well Class *Position Parameter Date of First Exceedance of GWCL Date Accelerated Monitoring First Required Sulfate 2nd Quarter 2015 1st Quarter 2016 Field pH 2nd Quarter 2010 3rd Quarter 2010 MW-32 Class III water C-2 Chloride 1st Quarter 2015 2nd Quarter 2014 Sulfate 4th Quarter 2016 1st Quarter 2017 * D = Down-gradient; U = Up-gradient; C = Cross-gradient; 1, 2, 3, 4A = Cell # Table 1 above is a comprehensive list of all Groundwater Monitoring Wells in Accelerated Status as of the 3rd Quarter of 2017. EFR is required to notify the DWMRC on a quarterly basis regarding wells and parameters which went into accelerated monitoring during the period [Part I.G.l(a), Accelerated Monitoring Status Reports (AMSR)]. For the 3rd Quarter 2017 monitoring, the AMSR was dated November 15, 2017 (received by DWMRC on November 17, 2017). 3. Monitoring Wells Purged for Two Casing Volumes Before Sample Collection: As stated in Section 6.2.7 of the EFR Quality Assurance Plan (QAP), Rev. 7.2, EFR has a choice regarding purge volumes as follows: “7. Purging three well casing volwnes with a single measurement offield parameters 2. Purging two casing volumes with stable field parameters (within 10% RPD) 3. Purging a well to dryness and stability of a limited list offield parameters after recovery" Per DWMRC review of the Report, the following purge methods were used during the 3rd Quarter 2017 (including accelerated samples). Purge methods and volumes are summarized on Table G-1A and G-1B of the 3rd Quarter 2017 Monitoring Report: | Quarter # Purged 2 Casing Volumes | # Purged to Dryness # Purged 3 Casing Volumes | 3rd Qtr. 2017 32 1 3 (continuous pumping) When purging two casing volumes, EFR QAP Rev. 7.2 directs EFR to first calculate the amount of time to evacuate two casing volumes and then pump for that length of time. Per DWMRC cross-check of the field data sheets for each of the reports reviewed, it appears EFR correctly calculated the well casing volumes and evacuated the required two volumes (when 2 casing volume method selected) in monitoring wells prior to sample collection during the 2nd Quarter 2017 monitoring period. Volumes are calculated according to measured pump rates and can be verified by calibration marks on the collection containers. During the 2nd Quarter of 2017 monitoring three wells were pumped or bailed to dryness. In cases where wells are evacuated to dryness the QAP Rev. 7.2 requires that: “(vii) If the well is purged to dryness: Record the number of gallons purged on the Field Data Worksheet. The well should be sampled as soon as a sufficient volume of groundwater is available to fill sample containers. Upon arrival at the well after recovery or when sufficient water is available for sampling measure depth to water and record on the Field Data Worksheet. Take one set of measurements offield parameters for pH, specific conductance and temperature only. Collect the samples into the appropriate sample containers. Take an additional set of measurements offield parameters for pH, specific conductance and temperature after the samples have been collected. If the field parameters ofpH, specific conductance and temperature are within 10% RPD the samples can be shippedfor analysis. If the field parameters ofpH, specific conductance and temperature are not within 10% RPD, dispose of the sample aliquots, and purge the well again as described above. Repeat this process if necessary for three complete purging events. If after the third purging the event, the parameters of pH, specific conductance and temperature do not stabilize to within 10% RPD, the well is considered sufficiently purged and collected samples can be submittedfor analysis.” DWMRC staff verified that in cases where the monitoring well was evacuated to dryness and samples were collected, the number of gallons evacuated was recorded in compliance with the QAP. Also, DWMRC staff verified that depth to groundwater was measured and recorded (comments field) on the field sheet. 4. Relative Percentage Difference Calculations and Radiological Comparisons for Blind Duplicate Analysis: DWMRC conducted a review of the blind duplicate samples collected during the 3rd Quarter 2017. Per the facility QAP, one blind duplicate must be collected with each sample batch. DWMRC confirmed that one blind duplicate was collected for each batch - 4 total during the quarterly event - two with the baseline samples (MW-14/MW-65 on 8-15-17 and MW-37/MW-70 on 9-25-17) and two with the accelerated samples (MW-35/MW-65 on 7-12-17 and MW-30/MW-65 on 9-12-17). The duplicates are required to be within 20% Relative Percent Difference (RPD), unless “the measured concentrations are less than 5 times the required detection limit (Standard Methods, 1998).” Per updated language in the QAP Rev. 7.2 Part 9.1.4, if any of the samples do not meet the comparison criteria (and are not qualified according to the 5 times method detection limit criteria) then EFR is required to conform to the procedures for corrective action listed as follows: 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. Per DWMRC cross check of the blind duplicate samples collected and analyzed during the 3rd Qtr. 2017 sampling event all sample results conform to the Permit requirements (within 20% RPD) with the exception of Cadmium in the 9/25/17 duplicate (29% RPD). EFR 3 rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 7 Part 9.1.4.a of the facility Quality Assurance Plan (QAP) states “RPDs will be calculated in comparisons of duplicate and original field sample results. Non-conformance will exist when the RPD > 20%, unless the measured concentrations are less than 5 times the required detection limit (Standard Methods, 1998) (EPA Contract Laboratory Program National Functional Guidelines for Inorganic Data Review, February 1994, 9240, 1-05-01, p. 25). Per the 3rd Quarter 2017 Report regarding the 9/25/17 cadmium blind duplicate, “both of the cadmium sample results reported for MW-37/MW-70 were not five times greater than the reporting limits of 0.5 pg/L and as such the deviation from the 20% RPD requirement is acceptable.” Per review it appears that the sample results for cadmium were not equal to or greater than 5 times the approved reporting limit. Therefore, the RPD for fluoride is in conformance with requirements of the QAP and no further action is warranted. 5. Analytical Laboratories Used by EFR Certified by State of Utah to Perform Analysis for all Analytes: The analytical laboratories (GEL Laboratories LLC, Charleston, SC and American West Analytical Laboratories, Salt Lake City, UT) were contracted by EFR to perform analysis on the samples collected during the 3rd Quarter, 2017. Per DWMRC review of the National Environmental Laboratory Accreditation Management System Website (cross check of laboratory certification for specific parameters) it appears that the EFR contract laboratories were certified to perform analysis for the specified parameters during the review period as follows. GEL Laboratories LLC current Utah Certification: Name GEL Laboratories, LLC Type of Lab Commercial TNI Lab Code TNI00188 EPA Code SC00012 State ID E87156 Website Extended Details Primary AB responsible for lab demographics Utah Department of Health GIS Location Description Comments Effective Date Commercial Samples Yes Active Yes Address 1 Type Location Company Contact JAMES B. WESTMORELAND Address 1 2040 Savage Rd Address 2 City Charleston State South Carolina Zip 29407 EFR 3 rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 8 EFR 3 rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 9 Country US Phone 8435568171 Fax 8437661178 Email jbw@gel.com American West Analytical Laboratories Current Utah Certification Name American West Analytical Laboratories Type of Lab Commercial TNI Lab Code TNI01955 EPACode UT00031 State ID 8012638686 Website Extended Details Primary AB responsible for lab demographics Utah Department of Health GIS Location Description Comments Effective Date Commercial Samples Yes Active Yes Address 1 Type Location Company Contact Kyle Gross Address 1 463 West 3600 South Address 2 City Salt Lake City State Utah Zip 84115- Country US Phone 8012638686 Fax 8012638687 Email kyle@awal-labs.com DWMRC noted that the only analyte requested by EFR to be analyzed by GEL Laboratories was gross alpha (Gross Alpha Radium) and that GEL Laboratories holds current accreditation in Utah for that analyte method EPA 900.1 GFPC Modified. 6. Laboratory Report Turn Around Times: Per DWMRC review of EFR Table 1 included in the 3rd Qtr. 2017 Report, it was noted that laboratory report turnaround times (from date of EFR sample submission to the contract laboratory) for normal frequency monitoring was approximately 30 days for all samples (not including re-submission/corrected reports). Per DWMRC review it was noted that EFR acted quickly to identify any deficiencies in the reports and request corrected versions. There is not a turnaround time requirement in the current QAP; therefore, current turnaround times are judgment based. DWMRC has raised concern over excessive laboratory turn-around times in the past and the Director may require a turn-around date be included in the facility QAP if any future concerns regarding analysis turnaround times are noted. Based on DWMRC review the tum-around times for the 3rd Quarter 2017, data tum-around times and EFR data review timelines appear to be reasonable/appropriate. 7. Sample Holding Times: Per Table G-2A and Table G-2B of the Report, all method holding times were met for each analyte submitted for laboratory analysis. DWMRC staff cross checked all holding time requirements and verified that all samples/analytes appeared to be analyzed within holding times during the 3rd Qtr. 2017 reporting period. 8. Sample Preservation: Per review of the 3rd Quarter 2017 Report (Tables G-3A and G-3B, and Laboratory Check-in Sheets) it appears that all samples required to be chilled (<6° C) met the temperature preservation requirements. Per review of the laboratory check in sheets and laboratory QA/QC, no issues related to sample preservation were noted. 9. Laboratory OA/OC Flags - 3rd Quarter 2017: QA/QC issues and DWMRC findings for the 3rd Quarter 2017 are summarized below: EFR 3rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 10 Non-Conformance Summary Self- Identified? EFR Corrective Action Summary DWMRC Findings Laboratory reporting limits were raised for various samples/parameters. Y EFR states that the raised RL’s are due to sample dilution and qualifies the data in Table G based on all sample results being above the raised RL. The EFR QAP allows for raised RL’s if due to the need for dilution. DWMRC verified that in all cases when the RL was raised above the QAP required RL the sample result was higher in concentration. Sample gross alpha counting error greater than 20% for the MW-26 and MW-31 sample. Y An error term may be greater than 20% of the reported activity concentration when the sum of the activity concentration and error term is less than or equal to the GWCL. Sample results were lower than the GWCL (1.19 and 1.01 pCi/L). Matrix Spike % recovery outside of range: MW-30 Nitrate, MW-70 Nitrate and Gross Alpha Y Per AWAL Data Sheet: Matrix spike recovery indicates matrix interference. The method is in control as indicated by the LCS. Per the QAP Part 8.1.2(a) matrix spikes are required but there are no requirements which would disqualify the laboratory data. Data was reported with a qualifier. Laboratory Duplicate % Recovery Comparison Outside of Range: MW-31 Gross Alpha. Y Same AWAL comments as per the matrix spike % recovery item above. Data was reported with a qualifier. Note: DWMRC reviewed the holding time summary chart; no exceedances of holding times were noted DWMRC reviewed the temperature check charts, all sample batches were received by the laboratory <6° C. 10. Review of Time-Concentration Plots EFR 3rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 11 The Permit Part I.F.l.g requires EFR to submit Time-Concentration Plots for each monitoring well for primary indicators of cell leakage (based on tailings cell concentrations and ground water partitioning and retardation coefficients); chloride, fluoride, sulfate and uranium. DWMRC notes that per the discussions with EFR, it was agreed to that EFR need not plot trend lines on the Time Concentration Plots and that all data is included on the plots (no data culled from the set). Per DWMRC review of the 3rd Qtr. 2017 Report, the reviewed plots appear to be in conformance with the agreed upon changes. 11. Review of Depth to Groundwater Measurements and Water Table Contour Maps Per DWMRC cross checks of groundwater elevation measurement calculations used for the 3rd Quarter 2017, approximately 5% of wells cross checked, comparing surface measured elevations minus measured static levels with plotted elevations, no errors were noted. The upper wildlife ponds at the White Mesa Mill were taken offline (pond recharge from Recapture Reservoir discontinued) during the 4th Quarter 2011 in order to re-establish groundwater contours. Hydrographs of the upper wildlife pond ground water piezometers (Water Level Elevation vs. Time) are included below. It was also noted that the static water levels in several monitoring wells close to the upper wildlife ponds showed significant decrease in water levels during recent quarterly monitoring. These declines can be attributed to natural dissipation of the area ground water mound and/or ground water pumping activities related to corrective action of nitrate and chloroform contamination plumes (development of cone of depressions around pumping wells). IUC White Mesa Mill Hydrographs: Piezometers @ North Wildlife Ponds EFR 3rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 12 IUC White Mesa Mill Hydrographs: Piezometers Q South Wildlife Ponds Nitrate and Chloroform Corrective Action Plan Pumping Wells: Ground water elevations are being impacted by effects from ground water pumping for the nitrate and chloroform contamination plume remediation. The following monitoring wells have been converted to active pumping wells: Nitrate Pumping Wells TW4-22, TW4-24, TW4-25, TWN-2. Chloroform Pumping Wells - MW-4, MW-26, TW4-1, TW4-2, TW4-4, TW4-11, TW4-19, TW4-20, TW4-21, TW4-22, TW4-24, TW4-25, TW4-37, TW4-39. The nitrate pumping project was initiated during January 2013 (TW4-22, TW4-24, TW4-25 and TWN-2). The pumping wells for both the nitrate and chloroform projects are set up with a delay device wherein the wells purge for a set amount of time then shut off in order to let the well recharge. All pumping wells include a flow meter which records the volume of water pumped from the well in gallons. Quarterly nitrate and chloroform reports are prepared by EFR and include pump volumes and delineation of pump capture zones based on kriged water contours. DWMRC expects that ground water elevation contours will continue to adjust in response to the pumping activities and discontinuance of recharge to the upper wildlife ponds. 12. EFR November 15,2017 Notice Pursuant to the Permit Part I.G.lfa) The EFR November 15, 2017 Notice Pursuant to the Permit Part I.G.l(a) (“Notice”) discusses the status of monitoring wells and parameters in probable out-of-compliance (“POOC”) and out-of-compliance (“OOC”) status, as updated through the 3rd Quarter 2017. DWMRC notes that the Notice was submitted timely regarding currently agreed upon schedules. The Notice summarizes wells/parameters with OOC status which have been resolved by either separate corrective actions plans or approved modified GWCL’s (pending inclusion in the renewal Permit). The Notice reports that no wells/parameters went into OOC status during the 3rd Quarter 2017. Based on DWMRC review of the Notice it appears that all requirements of the Permit were met. 13. EFR November 15,2017 Removal of Certain Groundwater Monitoring Parameters from Accelerated Monitoring Status Per the EFR November 15, 2017 Request for Removal of Certain Groundwater Monitoring Parameters from Accelerated Monitoring Status (“EFR Request”), EFR requests that three monitoring well parameters be returned to baseline monitoring. Specifically, the EFR Request addresses the following wells/parameters be returned to baseline monitoring: • MW-15 Selenium • MW-19 Nitrate • MW-29 Sulfate EFR requests that these monitoring wells be returned to baseline monitoring based on eight or more consecutive sample results below the GWCL. Per past protocols regarding the return of monitoring well parameters to baseline monitoring, eight consecutive sample results below the GWCL have been acceptable to return the monitoring frequency. The EFR request includes a table summary which lists the applicable monitoring results for each well/parameter. Per DRC cross check of the results it appears that eight or more consecutive results have been obtained for each of the wells/parameters. Therefore it is recommended that the wells/parameters be returned to baseline monitoring as summarized on the table below: EFR 3rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 13 Monitoring Well Parameter Number of Consecutive Sample Results Below the GWCL Baseline Monitoring Frequency MW-15 Selenium 9 Semi-Annually MW-19 Nitrate 9 Semi-Annually MW-29 Sulfate 8 Semi-Annually The return to baseline monitoring for these wells/parameters will be included in a transmittal letter for Director Review and approval. 14. Conclusions and Recommendations Based on DWMRC staff review of the above listed documents, it was noted that the requirements of the Permit appear to have been met by EFR, and the data collected during the 3rd Quarter of 2017 appears to be reliable. It is recommended that a correspondence letter be sent to EFR with the following items: 1. Close-out regarding DWMRC review of the EFR November 13, 2017 3rd Quarter 2017 White Mesa Uranium Mill Groundwater Monitoring Report based on findings as summarized above. 2. Close-out regarding DWMRC review of the EFR November 15,2017 Notice. 3. Removal of Parameters from accelerated monitoring status per the EFR November 15, 2017 request. 15. References 1 Energy Fuels Resources (USA) Inc., November 13, 2017, 3rd Quarter2017 Groundwater Monitoring Report, Groundwater Discharge Permit UGW370004, White Mesa Uranium Mill. 2 Energy Fuels Resources (USA) Inc., November 15, 2017, 2017, State of Utah Ground Water Discharge Permit No. UGW370004 White Mesa Uranium Mill - Notice Pursuant to Part LG. 1 (a). 3Energy Fuels Resources (USA) Inc., November 15, 2017, White Mesa Uranium Mill - Removal of Certain Groundwater Monitoring Parameters from Accelerated Monitoring Status 4 Energy Fuels Resources (USA) Inc., August 15, 2017, 2017, White Mesa Uranium Mill Ground Water Monitoring Quality Assurance Plan (QAP), Revision 7.3. 5INTERA Incorporated, 2007, Revised Background Groundwater Quality Report: Existing Wells for Dension Mines (USA) Corp. ’s White Mesa Uranium Mill Site, San Juan County, Utah. 6 INTERA Incorporated, 2007, Background Groundwater Quality Report: New Wells for Denison Mines (USA) Corp. 3 White Mesa Uranium Mill Site, San Juan County, Utah. 1 Hurst, T.G., and Solomon, D.K., 2008. Summary of Work Completed, Data Results, Interpretations and Recommendations for the July 2007 Sampling Event at the Denison Mines, USA, White Mesa Uranium Mill located near Blanding Utah. Prepared by University of Utah Department of Geology and Geophysics. 78 Utah Department of Environmental Quality, August 24, 2012, Utah Ground Water Discharge Permit, Permit No. UGW370004 issuedfor the Energy Fuels Resources (USA) Inc. White Mesa Uranium Mill. EFR 3rd Quarter 2017 Groundwater Monitoring Report DWMRC Review Memo Page 14