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HomeMy WebLinkAboutDRC-2014-002404 - 0901a06880418281A7 Ml State of Utah GARY R. HERBERT Governor SPENCER J. COX Lieutenant Governor Department of Environmental Quality Amanda Smith Executive Director DIVISION OF RADIATION CONTROL Rusty Lundberg Director MEMORANDUM TO File DRC-2014-002404 THROUGH: Phil Goble, Compliance Section Manager FROM: Tom Rushing, P.G. ^ fC T/tf/l** DATE: March 19, 2014 SUBJECT: Review of the 4th Quarter, 2013 (dated February 12, 2014) Groundwater Monitoring Report, Groundwater Discharge Permit UGW370004 - Energy Fuels Resources (USA) Inc., White Mesa Uranium Mill, Blanding, Utah This is a summary of Division of Radiation Control ("DRC") staff review of the Energy Fuels Resources (USA) Inc. ("EFR") groundwater monitoring report for the 4th Quarter 2013 (October-December), dated February 12, 2014 (received by DRC on February 14, 2014). The review included all sampling events and accelerated monitoring during the quarter. The review was conducted to ensure compliance with all applicable parts of Utah Groundwater Discharge Permit No. UGW3 70004 ("Permit") issued for the White Mesa Uranium Mill located in Blanding, Utah. DRC staff additionally reviewed the EFR February 10, 2014 document titled "State of Utah Ground Water Discharge Permit No. UGW370004 White Mesa Uranium Mill - Notice Pursuant to Part I. G. 1(a)."" This document provides a detailed explanation of ground water compliance issues during the fourth quarter White Mesa Mill sampling and analysis. 1. Checklist of Significant Findings and Associated Actions at the White Mesa Uranium Mill 1. The subject Monitoring Report was received by the due date per the Permit Part LF. 1 (due date March 1,2014). 2. A May 25, 2012 EFR Permit modification request was made in order to document accelerated reporting and monitoring agreements made during a teleconference with the Utah Division of Radiation Control (DRC). Per DRC staff discussions: The May 25, 2012 request will be included with the White Mesa Mill Ground Water Permit Renewal. DRC review of the 1st Quarter 2013 Report recognized the telephone agreements regarding timelines for EFR to submit compliance notices. The modification request is currently being addressed through the Permit renewal process. 3. An EFR October 10, 2012 Source Assessment Report, EFR April 13, 2012 pH Report, and EFR December 12, 2012 Pyrite Investigation Report for previously documented out-of- compliance parameters (multiple parameters), required per Stipulated Consent Agreement, Docket No. UGW12-03. Per DRC review findings as documented in a DRC review memo EFR 4 Quarter Groundwater Monitoring Report Page 2 dated April 23, 2013 and transmitted via letter to EFR dated April 25, 2013, it is 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 3 up-gradient monitoring wells. These requests are currently being addressed through the Permit renewal process. 4. Laboratory QA/QC flags were documented on the review period analytical data reports from the contract laboratories. Per DRC review (Section 8 Below) it appears that all discrepancies were self-reported by EFR and that none of the discrepancies are violations of the Permit or the Quality Assurance Plan ("QAP"). 5. Four new monitoring wells (five compliance parameters) went into accelerated monitoring frequency during the monitoring period. Uranium in monitoring well MW-25 was accelerated from quarterly to monthly based on an exceedance of the GWCL during March 2013; Uranium in monitoring well MW-30 went into monthly accelerated monitoring based on a March 2013 exceedance; Nitrate + Nitrite and Sulfate in monitoring well MW- 3 went into accelerated quarterly monitoring based on 4th Quarter 2013 exceedances; Field pH in monitoring well MW-15 went into quarterly accelerated monitoring based on an exceedance during the 4th Quarter 2013. 6. One discrepancy was noted regarding EFR analysis of blind duplicate samples as discussed in section 4 below. 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.I). 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 LG.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 a 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: Based on review of 1st Qtr., 2nd Qtr., and 3rd Qtr. 2011 Groundwater Monitoring Reports, DRC 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 DRC 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 DRC 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 send in the notice of out-of compliance status - but within 30 days of the last lab report that EFR receives for the quarterly monitoring event. EFR 4 Quarter Groundwater Monitoring Report Page 3 DRC 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) is 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 Permit modification request is currently under DRC review and is pending inclusion in the Permit renewal. In the interim, DRC is honoring the teleconference agreements and is not pursuing Permit enforcement based on EFR failure to meet the current time and schedule submission requirements as stated in the Permit. 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: 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 Field pH February 2010 April 2013 May 2010 September 2013 MW-14 Class III water D-4A Field pH Manganese February 2010 2nd Quarter 2012 May 2010 August 2012 MW-25 Class III water C-3 Field pH Fluoride Uranium Cadmium Chloride 4in Quarter 2010 3rd Quarter 2013 3rd Quarter 2010 4th Quarter 2012 1st Quarter 2013 January 2011 December 2013 January 2011 March 2013 June 2013 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 February 2010 1st Quarter 2011 April 2010 4th Quarter 2011 May 2010 May 2011 July 2010 March 2012 MW-31 Class III water D-2 Nitrate + Nitrite (as N) Chloride Sulfate TDS Selenium Field pH February 2010 1st Quarter 2011 4th Quarter 2010 September 2010 3rd Quarter 2012 April 2013 May 2010 May 2011 March 2011 January 2011 December 2012 September 2013 MW-35 Class II C-4B Uranium Manganese Thallium 2nd Quarter 2011 2nd Quarter 2011 3rd Quarter 2011 July 2011 July 2011 July 2011 EFR 4 Quarter Groundwater Monitoring Report Page 4 Adjusted Gross Alpha Selenium 3rd Quarter 2011 3rd Quarter 2012 October 2011 December 2012 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 Tetrahydrofuran Sulfate Manganese ^ Quarter 2012 4th Quarter 2012 4th Quarter 2012 2~5!rQuarter 2010 2nd Quarter 2010 2nd Quarter 2010 4th Quarter 2013 4th Quarter 2013 1st Quarter 2013 1st Quarter 2013 1st Quarter 2013 MW-3 Class III water D-4A Selenium Field pH Fluoride Nitrate + Nitrite (as N) Sulfate 3^Quarter2010 3rd Quarter 2010 3rd Quarter 2010 2nd Quarter 2014 2nd Quarter 2014 T* Quarter 2010 MW-3 A Class III water D-4A Field pH Sulfate TDS Selenium Nitrate + Nitrate (as N) 2nd Quarter 2010 2nd Quarter 2010 4th Quarter 2010 4th Quarter 2012 3ra Quarter 2010 3rd Quarter 2010 3rd Quarter 2010 1st Quarter 2011 1st Quarter 2013 MW-5 Class II water D-3 Uranium 4tn Quarter 2010 1st Quarter 2011 f* Quarter 2014 MW-12 Class III water D-3 Selenium AT Quarter 2013 4irQuarter 2011 2nd Quarter 2012 4th Quarter 2013 MW-15 Class III water D-4A Iron Selenium Field pH T Quarter 2012 3rd Quarter 2012 2nd Quarter 2014 MW-18 Class III water U-l Thallium Sulfate TDS T5 Quarter 2010 2nd Quarter 2010 2nd Quarter 2010 2^ Quarter 2010 4th Quarter 2011 4th Quarter 2012 3ra Quarter 2010 3rd Quarter 2010 3rd Quarter 2010 MW-19 Class III water U-l Field pH Nitrate + Nitrite as N Adjusted Gross Alpha 2^ Quarter 2010 4th Quarter 2011 3™ Quarter 2010 1st Quarter 2012 1st Quarter 2013 37a~Quarter2010 1st Quarter 2012 MW-23 Class III water D-3 Field pH Manganese T5 Quarter 2010 MW-24 Class III water D-l Cadmium Thallium Field pH Fluoride 2nd Quarter 2010 2nd Quarter 2010 4th Quarter 2012 3ra Quarter 2010 3rd Quarter 2010 3rd Quarter 2010 1st Quarter 2013 ^"Quarter 2010 1st Quarter 2011 3rd Quarter 2010 2nd Quarter 2010 4th Quarter 2013 MW-27 Class III water U-l Nitrate + Nitrite (as N) Adjusted Gross Alpha TDS Chloride Sulfate 2^Quarter 2010 4th Quarter 2010 1st Quarter 2010 1st Quarter 2010 2nd Quarter 2013 T* Quarter 2010 3ia"Quarter2010 3rd Quarter 2010 3rd Quarter 2012 MW-28 Class III water D-l Field pH Chloride Manganese 2nd Quarter 2010 2nd Quarter 2012 T3 Quarter 2011 MW-29 Class III water D-2 Field pH 4m Quarter 2010 EFR 4 Quarter Groundwater Monitoring Report Page 5 Manganese TDS 251 Quarter 2012 2nd Quarter 2012 i^Quarter 2010 2nd Quarter 2010 3ra Quarter 2012 3rd Quarter 2012 MW-32 Class III water C-2 Adjusted Gross Alpha Field pH 3ra Quarter 2010 3rd Quarter 2010 * 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 fourth quarter 2013. EFR is required to notify the DRC 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 4th quarter 2013 monitoring, the AMSR and follow up Plan and Time Schedule [Required by the Permit Part I.G.4(d)] was received, dated February 10, 2014 (received by DRC on February 12, 2014). Two wells/parameters with a new exceedance were noted per review of the AMSR; MW-25 was accelerated from quarterly to monthly based on a 4th Quarter 2013 exceedance of the Uranium GWCL; MW-30 was accelerated from quarterly to monthly based on a 4th Quarter 2013 exceedance of the Uranium GWCL. Two monitoring wells (three parameters) with a new exceedances were noted per review of the AMSR; MW-3 was accelerated from semi-annual to quarterly based on a 4th Quarter 2013 exceedance of the Nitrate + Nitrite and the Sulfate GWCL's; MW-15 was accelerated from semi-annual to quarterly monitoring based on a 4th Quarter 2013 exceedance of the field pH GWCL. 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 volumes 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 DRC review of the Report, the following purge methods were used for each Quarter (including accelerated samples): Quarter # Purged 2 Casing Volumes # Purged to Dryness # Purged 3 Casing Volumes 4tnQtr. 2013 37 1-continuous pumping well 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 DRC 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 casing volumes (when 2 casing volume method selected) in monitoring wells prior to sample collection during the 4th Quarter 2013 monitoring period. Volumes are calculated according to measured pump rates and can be verified by calibration marks on the collection carboys. In cases where wells are evacuated to dryness the QAP Rev. 7.2, applicable requires that: "(vii) If the well is purged to dryness: EFR 4 Quarter Groundwater Monitoring Report Page 6 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 shipped for 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 submitted for analysis.'''' DRC staff verified that in cases where the monitoring well was evacuated to dryness, the number of gallons evacuated was recorded in compliance with the QAP. Also, DRC 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 DRC conducted a review of the blind duplicate samples collected during the 4th Quarter 2013. Per the facility QAP, one blind duplicate must be collected with each sample batch. DRC confirmed that one blind duplicate was collected for each batch (4 total during the quarterly event - two with the baseline samples and two with the accelerated samples). 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. EFR 4 Quarter Groundwater Monitoring Report Page 7 Per DRC cross check of the blind duplicate samples collected and analyzed during the 4 Qtr. 2013 (See Appendix 1 for comparisons), all sample results conform to the Permit requirements (within 20% RPD) with the exception of Gross Alpha in the November 20, 2013 duplicate sample and Tetrahydrofuran ("THF") in the December 11, 2013 duplicate sample. The Gross Alpha duplicate sample is not required to conform to the RPD <20% criteria of the Quality Assurance Plan but is required to conform to the equation listed in 9.1.4.C Per DRC calculation, the November 20, 2013 duplicate is in compliance with the Quality Assurance Plan, with a result of 1.349 (Required to be <2). DRC noted that the THF RPD was not calculated in the EFR 4th Quarter Monitoring Report. The RPD calculation result was 27.9 %. Per Part 9.1.4.a. of the QAP "RPDs will be calculated in comparisons of duplicate and original field sample results. Non-conformance will exist when the RPD >20%, unless the measured activities are less than 5 times the required detection limit (Standard Methods, 1998) " For purposes of compliance with the EFR QAP, DRC has historically considered the term "detection limit" to be synonymous with "reporting limit." The sample result for THF in MW-3 was 4.86 ug/L, and the sample result for duplicate MW-70 was 3.67 ug/L. The reporting limit, per the American West Laboratory Data Sheet was 1.0 ug/L. Therefore the blind duplicate meets conformance by the result being less than 5 times the reporting limit. 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 4th Quarter, 2013. Per DRC 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. American West Analytical Laboratories - Salt Lake City, UT Certification Active Per the website information: Basic Details Name American West Analytical Laboratories Type of Lab Commercial TNI Lab Code TNI01955 EPA Code UT00031 State ID 8012638686 Website Extended Details Primary AB responsible Deparrment of Health for lab demographics r GIS Location Description Comments EFR 4 Quarter Groundwater Monitoring Report Page 8 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 DRC noted that AWAL was accredited for all applicable analytes (analytes requested by EFR) and that the specific analytes were updated on September 13, 2013. GEL Laboratories LLC current Utah certification per the Utah Bureau of Health Website - National Environmental Laboratory Accreditation Management System Basic Details Name GEL Laboratories, LLC Type of Lab Commercial TNI Lab Code TNI00188 EPA Code SC00012 State ID E87156 Website Extended Details Primary AB responsible p|orj(ja 0^^^ of Health Environmental Laboratory Certification Program for lab demographics r GIS Location Description Comments Effective Date Commercial Samples Yes Active Yes Address 1 Type Location EFR 4 Quarter Groundwater Monitoring Report Page 9 Company Contact JAMES B. WESTMORELAND Address 1 2040 Savage Rd Address 2 City State Zip Country Phone Fax Email Charleston South Carolina 29407 US 8435568171 8437661178 ibw(q)gel.com DRC noted that the only analyte requested by EFR to be analyzed by GEL Laboratories is gross alpha (Total Alpha Radium) and that GEL Laboratories holds current accreditation in Utah for that analyte (Effective update September 13, 2013) 6. Laboratory Report Turn Around Times Per DRC review of EFR Table 1 included in the 4th Qtr. 2013 Report, it was noted that laboratory report turnaround times (from date of EFR sample submission to the contract laboratory) was generally in the range of 1 month (21 to 37 days). There is not a turnaround time requirement in the current QAP; therefore, current turnaround times are judgment based. DRC 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 DRC review the turn-around times for the 4th Quarter 2013 data appear to be reasonable/appropriate. 7. Sample Holding Times Per Table 2A and Table 2B of the Report, all holding times were met for each analyte submitted for laboratory analysis. DRC staff cross checked all holding time requirements and verified that all samples/analytes appeared to have been submitted within holding times during the 4th Qtr. 2013 reporting period. 8. Laboratory QA/QC Flags - 4th Quarter 2013 QA/QC issues and DRC findings for the 4th Quarter 2013 are summarized below: Non-Conformance Summary Self- Identified? EFR Corrective Action Summary DRC Findings Laboratory reporting limits were raised for various samples for analysis of Ca, Cl, K, Na, S04, Mg, Mn, Nitrate/Nitrite (N), Chloroform, TDS 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 need for dilution MW-03A, MW-05, MW-17, MW-23, MW-24, MW-27, Y The sample result + the counting errors were less Per the QAP Part 9.1.4(b) "An error term may be greater EFR 4 Quarter Groundwater Monitoring Report Page 10 Non-Conformance Summary Self- Identified? EFR Corrective Action Summary DRCFindings MW-28, MW-30, MW-31, MW-32, MW-36 Gross Alpha Counting Error was not <20% of the sample analysis result (sample activity) than the GWCL in all cases and are therefore acceptable. 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" Matrix Spike % recovery outside of range MW-36 Selenium Arsenic, Chromium, Cobalt, Copper, Iron, Manganese, Nickel, Zinc, MW-03 Manganese, None Per the QAP Part 8.1.2(a) matrix spikes are required but no requirements which would disqualify the laboratory data Laboratory Duplicate % Recovery Comparison Outside of Range MW-31 TDS The recoveries and RPD's above the acceptance limits do not affect the quality or usability of the data because the recoveries and RPD's above the acceptance limits are indicative of matrix interference most likely caused by other constituents in the samples. Per the facility QAP, the duplicate spike (matrix spike) sample serves as a check evaluating the effect of the sample matrix on the accuracy of analysis. The QAP requires that the matrix spike samples be run according to state certified laboratory procedures but does not specify enforcement requirements for samples outside of the acceptance criteria. DRC notes that the laboratory reported the data with a listed qualifier. Note: DRC reviewed the holding time summary chart; no exceedances of holding times were noted DRC reviewed the temperature check charts, all sample batches were received by the laboratory C 9. Review of Time-Concentration Plots The Permit Part I.F.I.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. DRC 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 DRC review of the 4th Qtr. 2013 Report, the reviewed plots appear to be in conformance with the agreed upon changes, no issues were identified. 10. Review of Depth to Groundwater Measurements and Water Table Contour Maps Per DRC cross checks of groundwater elevation measurement calculations used for the 4th Quarter 2013, approximately 5% of wells cross checked, comparing water level measured elevations minus measured static levels with plotted elevations, no errors were noted. EFR 4 Quarter Groundwater Monitoring Report Page 11 The upper wildlife ponds at the White Mesa Mill were taken offline (pond recharge from Recapture Reservoir discontinued) during the 4th Quarter 2011. Static water level measurement, for several ground water monitoring wells in the vicinity of the upper wildlife pond are included on the table below. It was noted that the static water levels in several monitoring wells close to the upper wildlife ponds showed significant decrease in water levels during the 2nd Quarter 2013. Per the 3rd Quarter 2013 the water elevations showed additional significant decline in several wells (Piez-3, TWN-04, TW4-18, TW4-25). 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). Static Water Level in Wells in the vicinity of the White Mesa Mill Upper Wildlife Pond Well No. Static Level 2nd Quarter 2012 3*3 Quarter 2012 4m Quarter 2012 1st Quarter 2013 2,,aQuarter 2013 3ra Quarter 2013 4"' Quarter 2013 Piez 1 61.52 62.08 61.55 62.33 62.87 62.61 62.41 Piez 2 21.28 27.04 20.20 30.12 31.60 32.43 32.85 Piez 3 40.29 41.47 40.31 43.80 44.30 46.90 42.06 MW-19 52.08 54.19 55.01 55.1 56.84 57.25 57.96 MW-27 51.00 51.46 51.46 51.80 52.39 52.38 53.56 TWN-02 Pumping Well 2013 21.02 23.66 20.93 28.41 32.37 32.31 31.28 TWN-03 32.83 34.00 32.76 35.90 37.32 37.14 36.50 TWN-04 41.03 43.40 41.01 46.30 47.75 48.54 49.87 TWN-06 74.62 75.17 75.27 75.49 75.93 75.95 76.94 TWN-07 i.39 87.86 87.76 87.25 87.05 86.85 87.26 TWN-08 61.64 62.20 62.30 62.53 63.01 Abandoned Abandoned TWN-09 TWN-18 TW4-05 TW4-18 TW4-25 Pumping Well 2013 62.90 58.40 56.61 47.50 62.60 57.95 57.30 49.31 62.21 57.95 56.63 47.50 62.10 58.13 58.13 47.48 62.05 58.50 58.65 56.65 57.30 Abandoned 58.43 59.35 58.43 59.00 Abandoned 59.45 60.7 61.28 83.72 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, TW4-19, TW4-20, TW4-4 The nitrate pumping project was initiated during January 2013 (TW4-22, TW4-24, TW4-25 and TWN-2). The chloroform pumping project was initiated during April 2003 utilizing two wells (Wells MW-4 and EFR 4 Quarter Groundwater Monitoring Report Page 12 TW4-19). Monitoring well MW-26 was then converted to a pumping well during August 2003. Monitoring well TW4-20 was initiated as a pumping well during August 2005, and monitoring well TW4-4 was initiated as a pumping well in January 2010. 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. The kriged water level maps included with the 4th Quarter Report include these areas which are directly southwest from the upper wildlife ponds. DRC notes that the 4th Quarter 2013 Nitrate Report kriged water contour maps show developing cones of depression around pumping wells TW4-25 and pumping wells TW4-20/MW-26. The depression around well TW4-25 is particularly pronounced (early in pump period) probably due to the artificial recharge and groundwater mounding in that area. Also, as discussed in the EFR Nitrate Corrective Action Report, nitrate concentrations in pumping wells is expected to increase over time due to the large amount of dilution from the groundwater mounding in the area which should decrease over time. DRC 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. 11. Conclusions and Recommendations Based on DRC staff review of the above listed documents, it was noted that overall the requirements of the Permit were met by EFR and the data collected during the 4th Quarter of 2013 appears to be reliable. It is recommended that a correspondence letter be sent to EFR with the following items: 1. Notice of Enforcement Discretion regarding the failure of EFR to identify non-conformance of the THF blind duplicate sample and failure to complete procedural requirements of the QAP. 2. Request for information consisting of follow up regarding the non-conformance in the THF blind duplicate. The request will consist of follow up procedures required by the QAP. 3. Close out regarding DRC review of the 4th Qtr. 2013 White Mesa Uranium Mill Groundwater Monitoring Report based on findings above. 12. References 1 Energy Fuels Resources (USA) Inc., February 12, 2014, 4th Quarter201S Groundwater Monitoring Report Groundwater Discharge Permit UGW370004, White Mesa Uranium Mill 2 Energy Fuels Resources (USA) Inc., February 10, 2014, Notice Pursuant to Part I. G.4(d) Q4, 2013 3 Energy Fuels Resources (USA) Inc., November 15, 2013, State of Utah Ground Water Discharge Permit No. UGW3 70004 White Mesa Uranium Mill - Notice Pursuant to Part I.G.I (a) 4 Energy Fuels Resources (USA) Inc., June 6, 2012, White Mesa Uranium Mill Ground Water Monitoring Quality Assurance Plan (QAP), Revision 7.2. 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. EFR 4 Quarter Groundwater Monitoring Report Page 13 6 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. 7 Utah Department of Environmental Quality, August 24, 2012, Utah Ground Water Discharge Permit, Permit No. UGW370004 issued for the Energy Fuels Resources (USA) Inc. White Mesa Uranium Mill Appendix 1 - EFR Blind Duplicates, DRC RPD Calculations URANIUM ONE BLIND DUPLICATE ANALYSIS Facility Name: Energy Fuels Resources Well Number: MW-36 (Blind Duplicate MW-65) MW-36 Sample Parameter Sample Date Result mg/L Date of Data Entry: 17-Mar-14 Blind Duplicate Analysis MW-65 Relative Percent Difference (RPD) Calcium 11/20/2013 423 422 0.2 Magnesium 11/20/2013 130 131 -0.8 Potassium 11/20/2013 10.1 9.45 6.6 Selenium 11/20/2013 235 233 0.9 Sodium 11/20/2013 669 665 0.6 Thallium 11/20/2013 0.575 0.583 -1.4 Uranium 11/20/2013 24.3 26.7 -9.4 Bicarbonate 11/20/2013 301 286 5.1 Chloride 11/20/2013 54.7 59 -7.6 Fluoride 11/20/2013 0.35 0.297 16.4 Nitrate/Nitrite 11/20/2013 0.208 0.209 -0.5 Sulfate 11/20/2013 2480 2550 -2.8 Gross Alpha 11/20/2013 1 42 1.94 -31.0 Total Dissolved Solids 11/20/2013 4520 4860 -7.2 DRC BLIND DUPLICATE ANALYSIS Facility Name: Well Number: Parameter Energy Fuels Resources MW-03 (Blind Duplicate MW-70) MW-29 Result Sample Date mg/L Date of Data Entry: 17-Mar-14 Blind Duplicate Analysis MW-70 Relative Percent Difference (RPD) Calcium 12/11/2013 425 396 7.1 Magnesium 12/11/2013 239 223 6.9 Manganese 12/11/2013 975 876 10.7 Potassium 12/11/2013 23.3 21.7 7.1 Selenium 12/11/2013 32.8 29.9 7.1 Sodium 12/11/2013 785 722 8.4 Thallium 12/11/2013 1.1 0.991 10.4 Uranium 12/11/2013 37 34.2 7.9 Zinc 12/11/2013 20.3 18.2 10.9 Bicarbonate 12/11/2013 312 319 -2.2 Chloride 12/11/2013 63.8 61.8 3.2 Fluoride 12/11/2013 1.28 1.13 12.4 Nitrate/Nitrite 12/11/2013 1.21 1.24 -2.4 Sulfate 12/11/2013 3760 3430 9.2 Tetrahydrofuran 12/11/2013 4.86 3.67 27.9 Gross Alpha 12/11/2013 0.0 Total Dissolved Solids 12/11/2013 5860 6140 -4.7 N.D. = Non Detected Concentration