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HomeMy WebLinkAboutDRC-2015-002343 - 0901a068805277c7State 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 DRC-2015-002343 MEMORANDUM TO: THROUGH: FROM: DATE: SUBJECT: File fit Phil Goble, Compliance Section Manager Tom Rushing, P.G. "j (H if 2-3/1 $ March 23,2015 Review of the February 19, 2015 Energy Fuels Resources (USA) Inc. 4th Quarter 2014 Ground Water Monitoring Report for the White Mesa Uranium Mill Review Summary: The Utah Division of Radiation Control ("DRC") has reviewed the following documents submitted by Energy Fuels Resources (USA) Inc. ("EFR"): 1. EFR, February 19, 2015, Transmittal of 4th Quarter 2014 Groundwater Monitoring Report Groundwater Quality Discharge Permit UGW370004 White Mesa Uranium Mill. 2. EFR, February 5, 2015, State of Utah Ground Water Discharge Permit No. UGW370004 White Mesa Uranium Mill - Notice Pursuant to Part I.G.I (a). 3. EFR, February 9, 2015, Removal of Certain Groundwater Monitoring Parameters from Accelerated Monitoring Status The review was conducted to ensure compliance with all applicable parts of Utah Groundwater Discharg Permit No. UGW370004 ("Permit") issued for the White Mesa Uranium Mill located in Blanding, Utah. 1. Checklist of Significant Findings of the 4lh Qtr. 2014 Report and Related Actions at the White Mesa Uranium Mill: 1. The 4th Quarter 2014 Report was received on February 27, 2015, which was before the d date (Permit Part I.F. 1 the due date of March 1, 2015). 2. DRC notes that samples were analyzed by American West Analytical Laboratories ("AWAL") with the exception of ammonia which was analyzed by Chemtech-Ford Laboratories, and Gross Radium Alpha which was analyzed by GEL Laboratories LLC. DRC verified that all laboratories have current certification for all parameters/methods used. No deviations/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 order to document accelerated reporting and monitoring agreements made during a teleconference with the Utah Division of Radiation Control (DRC). Per DRC staff 195 North 1950 West • Salt Lake City, I I Mailing Address: P.O. Box 144850 • Salt Lake City, I T 84114-4850 Telephone (801) 536-4250 • Fax (8011 533-4097 • T.D.D (801) 536-4414 www.tieq.uiah.fiov Prinled on 100% recycled paper EFR 4 Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 2 discussions: The May 25, 2012 request will be included with the White Mesa Mill Ground Water Permit Renewal. DRC review of the 3rd Quarter 2014 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. DRC Stipulated Consent Agreement, Docket No. UGW 12-03 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 DRC review findings as documented in a DRC 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 4th Quarter 2014 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 DRC staff review of a May 1, 2014 EFR Background Groundwater Quality Report for the wells. The approved GWCL's will not be enforceable until final inclusion in the renewal permit; therefore, the 4lh Quarter 2014 Report data results were compared with the interim limits or groundwater quality standards as listed in the currently active Permit. 6. Laboratory QA/QC flags were documented in the review period analytical data reports from the contract laboratories. Per DRC review it appears that all discrepancies were self- reported by EFR. One of the discrepancies was determined to be a violation of the Facility Quality Assurance Plan ("QAP") and recommended that EFR be cited for the violation in a Notice of Enforcement Discretion, as discussed below. 7. Four compliance parameters went into accelerated monitoring frequency during the monitoring period, as discussed 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 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. EFR 4X Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 3 Accelerated Momtoring Requirement Exception: Per past DRC review; 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 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. 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) 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 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 February 2010 May 2010 MW-14 Class III water D-4A Field pH February 2010 May 2010 MW-25 Class III water C-3 Field pH Uranium Chloride 4,n Quarter 2010 3rd Quarter 2010 Is'Quarter 2013 February 2013 March 2014 June 2013 MW-26 (a) MW-30 Class III water C-2 Field pH Nitrate + Nitrite (asN) Chloroform Uranium Chloride Dichloromethane Carbon Tetrachloride February 2010 February 2010 February 2010 February 2010 February 2010 April 2010 Is' Quarter 2014 Class II water D-2 Nitrate + Nitrite (as N) Chloride February 2010 Is' Quarter 2011 May 2010 May 2010 May 2010 May 2010 May 2010 June 2010 June 2014 May 2010 May 201 1 EFR 4 Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 4 Well Class * Position Parameter Date of First Exceedance of GWCL Date Accelerated Monitoring First Required Selenium Uranium Field pH Ammonia April 2010 4th Quarter 2011 4th Quarter 2014 4"' Quarter 2014 July 2010 March 2014 March 2015 March 2015 MW-31 Class IU water D-2 Nitrate + "Nitrite (as N) Chloride Sulfate TDS Selenium Field pH February 2010 Is' Quarter 2011 4,h Quarter 2010 September 2010 3rd Quarter 2012 February 2014 May 2010 May 2011 March 2011 January 201 I December 2012 June 2014 MW-35 Class II C-4B Uranium Manganese Thallium Adjusted Gross Alpha Selenium 2nd Quarter 2011 2nd Quarter 2011 3rd Quarter 2011 3rd Quarter 2011 3rd Quarter 2012 July 2011 July 2011 July 2011 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 Field pH Sulfate Manganese 4m Quarter 2012 3rd Quarter 2014 4th Quarter 2012 4th Quarter 2012 1st Quarter 2013 1st Quarter 2015 1st Quarter 2013 Is' Quarter 2013 MW-3 Class III water D-4A Selenium Field pH Fluoride Nitrate + Nitrite (asN) Sulfate 2^ Quarter 2010 2nd Quarter 2010 2nd Quarter 2010 4lh Quarter 2013 4th Quarter 2013 3ra Quarter 2010 3rd Quarter 2010 3rd Quarter 2010 2nd Quarter 2014 2nd Quarter 2014 2^ Quarter 2010 MW-3A Class III water D-4A Field pH Sulfate TDS Selenium Nitrate + Nitrate (as N) 2nd Quarter 2010 2nd Quarter 2010 4th Quarter 2010 4lh Quarter 2012 ^Quarter 2010 2nd Quarter 2010 lsl Quarter 2014 4th Quarter 2014 3ra Quarter 2010 3 rd Quarter 2010 3rd Quarter 2010 1st Quarter 2011 Is' Quarter 2013 MW-5 Class II water D-3 Uranium T5 Quarter 2010 Quarter 2011 MW-12 Class III water D-3 Selenium Field pH Selenium 2nd Quarter 2014 2nd Quarter 2015 Quarter 2012 4th Quarter 2013 MW-15 MW-18 Class III water D-4A Selenium Field pH 3ra Quarter 2012 2nd Quarter 2014 Class III water U-l Thallium Sulfate TDS ^Quarter 2010 2nd Quarter 2010 3ra Quarter 2010 3rd Quarter 2010 2nd Quarter 2010 [ 3rd Quarter 2010 EFR 4 Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 5 Well Class •Position Parameter Date of First Exceedance of GWCL Date Accelerated Monitoring First Required Field pH Is' Quarter 2014 2"* Quarter 2014 3~frQuarter 2010 1st Quarter 2012 Is' Quarter 2013 MW-19 Class III water U-l Field pH Nitrate + Nitrite as N Adjusted Gross Alpha 2na Quarter 2010 4,h Quarter 2011 4lh Quarter 2012 ^Quarter 2010 2nd Quarter 2010 2nd Quarter 2010 2nd Quarter 2010 4lh Quarter 2012 4lh Quarter 2014 3^ Quarter 2010 MW-23 Class III water D-3 Field pH ^Quarter 2010 3rd Quarter 2010 3rd Quarter 2010 1st Quarter 2013 2,,d Quarter 2015 MW-24 Class III water D-1 Cadmium Thallium Field pH Fluoride Sulfate 2^ Quarter 2010 4th Quarter 2010 1st Quarter 2010 lsl Quarter 2010 2nd Quarter 2013 Vs Quarter 2010 4,h Quarter 2014 3rd Quarter 2010 3rd Quarter 2010 Is' Quarter 2014 MW-27 Class III water U-l Nitrate + Nitrite (as N) Adjusted Gross Alpha TDS Chloride Sulfate MW-28 Class III water D-1 Field pH Chloride Cadmium Uranium Vanadium 1st Quarter 2014 ^Quarter 2014 3rd Quarter 2010 2nd Quarter 2010 2nd Quarter 2014 2nd Quarter 2014 2nd Quarter 2014 2nd Quarter 2014 2nd Quarter 2014 2nd Quarter 2014 ^Quarter 2011 3rd Quarter 2012 MW-29 Class III water D-2 Field pH TDS 4tn Quarter 2010 2nd Quarter 2012 MW-32 Class III water C-2 Adjusted Gross Alpha Field pH 2^ Quarter 2010 2"d Quarter 2010 3™ Quarter 2010 3rd Quarter 2010 * D = Down-gradient; U = Up-gradient; C = Cross-gradient; 1, 2, 3, 4A = Cell # Table I above is a comprehensive list of all Groundwater Monitoring Wells in Accelerated Status as of the fourth quarter of 2014. 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.I (a), Accelerated Monitoring Status Reports (AMSR)]. For the 4lh quarter 2014 monitoring, the AMSR and follow up Plan and Time Schedule [Required by the Permit Part I.G.4(d)] was received, dated February 5, 2015 (received by DRC on February 6, 2015). Four parameters with a new exceedances were noted per review of the AMSR: MW-30 was accelerated from quarterly to monthly based on a 4th Quarter 2014 exceedances of the field pH and Ammonia GWCL's, MW-12 was accelerated from semi-annual to quarterly based on a 4lh Quarter 2014 exceedance of the field Selenium GWCL, and MW-24 was accelerated from semi-annual to quarterly based on a 4lh Quarter 2014 exceedance of the Sulfate GWCL. DRC noted that monitoring well MW-35 field pH results were outside of the ground water quality standard range per the November and December 2014 field results. This parameter was not included on the OOC accelerated monitoring list based on the GWQS not being listed in the Permit Table 2. DRC does note that field pH is measured on the current accelerated monitoring frequency due to other parameters at the well needing this frequency. EFR 4th Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 6 DRC notes that monitoring well MW-28 was damaged prior to groundwater sampling during the 2nd Quarter 2014 and per discussions with EFR at that time, it was agreed that the results of the 3rd Quarter 2014 would be reviewed and compared with those previous data to determine if exceedances of cadmium, uranium and vanadium were continuous. It is possible/likely that repair of the well and redevelopment activities which occurred subsequent to the damage will correct the exceedances. Based on subsequent discussion between DRC and EFR, it was decided that additional accelerated monitoring results, beyond the 3rd Quarter 2014, would be needed to determine if the well damage was the cause of the parameter exceedances and whether additional corrective action, and the type of action (e.g. groundwater pumping), will be required. 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 during the 4th Quarter 2014 (including accelerated samples). Purge methods and volumes are summarized on Table G-l A of the 4th Quarter 2014 Monitoring Report: Quarter # Purged 2 Casing Volumes 1 # Purged to Dryness I # Purged 3 Casing Volumes 4lh Qtr. 2014 33 [ 5 1 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 volumes (when 2 casing volume method selected) in monitoring wells prior to sample collection during the 4th Quarter 2014 monitoring period. Volumes are calculated according to measured pump rates and can be verified by calibration marks on the collection containers. During the 4"1 Quarter of 2014 monitoring five wells were pumped or bailed to dryness. In cases where wells are evacuated to dryness the QAP Rev. 7.2 requires that: "(vii) Ifthe 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. EFR 4 Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 7 Take an additional set of measurements offield parameters for pH, specific conductance and temperature after the samples have been collected. Ifthe field parameters ofpH, specific conductance and temperature are within 10% RPD the samples can be shippedfor analysis. Ifthe 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." DRC 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, 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 2014. 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. Per DRC cross check of the blind duplicate samples collected and analyzed during the 4lh Qtr. 2014 sampling event all sample results conform to the Permit requirements (within 20% RPD) with the exception of Bicarbonate for the MW-22/MW-70 duplicate and Chloroform and Methylene Chloride for the M W-26/M W-65 accelerated duplicate. A discussion of these nonconforming duplicates is below. Per the White Mesa Uranium Mill Quality Assurance Plan Section 9.1.4 "Corrective actions for duplicate deviations shall first determine ifthe deviation is indicative of a systematic issue which requires the procedures described in Section 10. Ifthe non-conformance is limited in scope and nature, the QA Manger will: 1. Notify the laboratory, 2. Request the laboratory review all analytical results for transcription and calculation errors, and, 3. Ifthe samples are still within holding time the QA Manager may request the laboratory re-analyze the affected samples." Per summaries of blind duplicate RPD's outside of EFR 4 Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 8 acceptance criteria, included below; it appears that EFR implemented the required corrective actions as discussed below. Bicarbonate Nonconformance Blind Duplicate MW-37/MW-70 "The RPD's outside of the acceptance criteria are likely due to matrix interferences in MW-22. Results of the RPD test are provided under Tab G." Per the White Mesa Quality Assurance Plan, EFR is required to follow actions per Part 9.1.4 (listed above). Per the Report "The corrective actions that were taken in accordance with the QAP procedure are as follows: the QA Manager contacted the Analytical Laboratory and requested a review of the raw data to assure that there were no transcription errors and the data were accurately reported. The laboratory noted that the data were accurate and reported correctly. Reanalysis was not completed as the samples were beyond the method specified holding times." Chloroform and Carbon Tetrachloride Nonconformance Blind Duplicate MW-26/MW-65 Per the Report, Section 3.4.7 (p. 12), "The RPD's outside of the acceptance criteria are likely due to the elevated concentrations in MW-26. Results of the RPD test are provided under Tab G." DRC notes that MW-26 is currently being used as a pumping well to remediate chloroform contamination and that the concentrations of organic solvents may be variable, over short durations, due to the pumping activity. EFR performed the required corrective actions as per the White Mesa Mill Quality Assurance Plan, Part 9.1.4. 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; Chemtech Ford Laboratories, Sandy, UT, and American West Analytical Laboratories, Salt Lake City, UT) were contracted by EFR to perform analysis on the samples collected during the 4th Quarter, 2014. 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. Chemtech Ford Laboratories current Utah Certification: Basic Details Name Chemtech Ford Laboratory Type of Lab Commercial TNI Lab Code TN 101969 EPA Code UT00027 State ID 8012627299 Website http://www.chemtechford.com/ Extended Details Primary AB responsible for lab demographics Utah Department of Health GIS Location Description Comments Effective Date Commercial Samples Yes Active Yes EFR 4 Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 9 Address 1 Type Location Company Chemtech Ford Laboratories Contact David Gayer Address 1 9632 South 500 West Address 2 City Sandy State Utah Zip 84070 Country US Phone 8012627299 Fax 8667920093 Email DGayer@chemtechford.com GEL Laboratories LLC current Utah Certification: Basic Details Name GEL Laboratories, LLC Type of Lab Commercial TNI Lab Code TN 100188 EPA Code SC00012 State ID E87156 Website Extended Details Primary AB responsible for lab demographics GIS Location Description Comments Effective Date Commercial Samples 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 Country US Phone 8435568171 Fax 8437661178 Email jbw@ael.com American West Analytical Laboratories Current Utah Certification Basic Details Name American West Analytical Laboratories Type of Lab Commercial TNI Lab Code TNI01955 Utah Department of Health Yes EFR 4l Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 10 EPA Code UT00031 State ID 8012638686 Website Extended Details Primary AB responsible for lab demographics GIS Location Description Comments Effective Date Commercial Samples 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 the only analyte requested by EFR to be analyzed by GEL Laboratories was gross alpha (Total Alpha Radium) and that GEL Laboratories holds current accreditation in Utah for that analyte method EPA 900.1. 6. Laboratory Report Turn Around Times: Per DRC review of EFR Table 1 included in the 4lh Qtr. 2014 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 on average not including re-submission/corrected reports. Per DRC 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. 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 2014, data turn-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 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 be analyzed within holding times during the 4th Qtr 2014 reporting period. Utah Department of Health Yes EFR 4 Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 11 8. Sample Preservation: Per review of the 4th Quarter 2014 Report (Table G-3 A 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 QA/QC Flags - 4th Quarter 2014: QA/QC issues and DRC findings for the 4th Quarter 2014 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, TDS, Nitrate/Nitrite (as N), Ammonia 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. DRC verified that in all cases when the RL was raised above the QAP required RL the sample result was higher in concentration. MW-23, MW-28-Gross Alpha Counting Error was not < 20% of the sample analysis result (sample activity). Y The sample result + the counting errors were less than the GWCL in all cases and are therefore acceptable. Per the QAP Part 9.1.4(b) "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" Matrix Spike % recovery outside of range MW-25, TDS None Per the QAP Part 8.1.2(a) matrix spikes are required but there are no requirements which would disqualify the laboratory data Method Blank Detections Reported above the QAP Required RL for all Ammonia Samples, analyzed by Chemtec-Ford From EFR Report Part 3.4.9, p. 15, "Ammonia was reported in the method blanks in several analytical groups. The samples associated with these method blanks were not an order of magnitude greater than the blank results as required by the QAP. Blank detections are indicative of a false positive or high bias to the sample results as the laboratory contribution increases the concentration of the sample results A comparison of the fourth quarter results to Per the QAP Part 9.1.3 "Trip blanks, method blanks, and equipment rinsate samples will be compared with the original sample results. Non- conformance conditions will exist when contaminant levels in the sample(s) are not an order of magnitude greater than the blank result." As per the EFR response, the data results are not an order of magnitude higher than the blank detections and are therefore in non-conformance with the QAP. Ammonia results exceeded the GWCL EFR 4th Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 12 Non-Conformance Summary Self- Identified? EFR Corrective Action Summary DRC Findings historic results indicates that the ammonia results reported by Chemtec-Ford are in fact caused by blank contamination. The QAP requirement to analyze a method blank with each batch and evaluate the results has been completed as required. As previously stated, this issue is a result of EFRI using Chemtec-Fordfor the ammonia analyses due to a catastrophic fire at A WAL in July. This issue will be resolved in the first quarter 2015, when the Mill samples are analyzed by AWAL." in one monitoring well, MW-30, during the monitoring period. This issue will be included as a notice of enforcement discretion. Matrix Spike Recoveries for Accelerated Samples outside of REC Range for MW-1 1 (October Accelerated), Cd, Mn, Se, Th, U; MW-26 (October and December Accelerated) Chloride and M itrate Y None Per the QAP Part 8.1.2(a) matrix spikes are required but there are no requirements which would disqualify the laboratory data. Laboratory Duplicate % Recovery Comparison Outside of Range MW-31, TDS, MW-65 Gross Radium Alpha Y The results outside of the laboratory established 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 non- homogeneity in the sample matrix. DRC notes that the laboratory (GEL) reported the Gross Alpha data without a 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 <6° C. 10. Review of Time-Concentration Plots The Permit Part I.F. 1 .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 4lh Qtr. 2014 Report, the reviewed plots appear to be in conformance with the agreed upon changes, no issues were identified. EFR 4 Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 13 11. Review of Depth to Groundwater Measurements and Water Table Contour Maps Per DRC cross checks of groundwater elevation measurement calculations used for the 4lh Quarter 2014, 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 E r 6610 C > 2 sco: S 5 574 EFR 4 Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 14 IUC White M*sa Mill Hydrographs PlszomtUr* @ South Wildlife Ponds LOCMKHI Hrtont la Wddklt Poiite [ P-4 -*-P&| 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 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 during 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 4,h Quarter 2014 Report include these areas which are directly southwest from the upper wildlife ponds. 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. EFR 4 Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 15 12. EFR February 5,2015 Notice Pursuant to the Permit Part I.G.l(a) The EFR February 5, 2015 Notice Pursuant to the Permit Part LG. 1(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 4lh Quarter 2014. DRC 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 also lists one new monitoring well/parameter (MW-28 Uranium) which went into OOC status during the 4th Quarter and is subject to requirements of the Permit Part l.G.4(c) requiring an assessment of the sources of the contamination and potential remedial action to restore compliance. The assessment for MW-28 was received by DRC, dated December 4, 2014, and is discussed in the section below. Monitoring Well MW-35 exceeded the GWQS for pH; The 4,h Qtr. 2014 (November 2014) measurement was 6.35 S.U.; The December 2014 measurement was 6.25 S.U. However, it was noted that a compliance range for pH was not included on Table 2 in the current permit. Additionally, DRC notes that a GWCL for field pH in this well was approved by the Director on July 15, 2014, based on EFR submitted groundwater background reports, but that it has not yet been included in the Permit (pending permit renewal). The approved field pH for well MW-35 is 6.15 S.U to 8.5 S.U. EFR currently collects monthly accelerated measurements of field pH at monitoring well MW-35 since the well is subject to accelerated monitoring for other parameters (Field pH is part of the sample collection process to insure stable parameters prior to sample collection). Based on DRC review of the Notice it appears that all requirements of the Permit were met. DRC will provide an advisory and request corrections for the issues noted above. 13. EFR February 9, 2015 Removal of Certain Groundwater Monitoring Parameters from Accelerated Monitoring Status Per the EFR February 9, 2015 Request for Removal of Certain Groundwater Monitoring Parameters from Accelerated Monitoring Status ("EFR Request"), EFR requests that four monitoring well parameters be returned to baseline monitoring. Specifically, the EFR Request addresses the following wells/parameters be returned to baseline monitoring: • MW-26/Carbon Tetrachloride • MW-31/Field pH • MW-1 /Manganese • MW-19/Gross Alpha The EFR requests that these monitoring wells be returned to baseline monitoring based on eight 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 has been acceptable to reduce the monitoring frequency The EFR Request includes a table summary which lists the applicable monitoring results for each well/parameter. The EFR Request additionally includes analytical reports and field monitoring sheets for sample results which had not been provided to DRC at the time of the request. Per DRC cross check ol the results it appears that eight consecutive results have been obtained for each of the wells/parameters EFR 4 Quarter 2014 Groundwater Monitoring Report DRC Review Memo Page 16 Therefore it is recommended that the wells/parameters be returned to baseline monitoring as summarized on the table below: Monitoring Well Parameter Baseline Monitoring Frequency MW-26 Carbon Tetrachloride Quarterly MW-31 Field pH Quarterly MW-1 Manganese Semi-Annual MW-19 Gross Alpha Semi-Annual 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 DRC 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 4th Quarter of 2014 appear to be reliable. It is recommended that a correspondence letter be sent to EFR with the following items: 1. Closeout regarding DRC review of the EFR 4th Quarter 2014 White Mesa Uranium Mill Groundwater Monitoring Report based on findings as summarized above. 2. A "Notice of Enforcement Discretion" regarding contamination in the method blanks for ammonia samples during the monitoring period. Per the Report, the contamination was due to a temporary change of contract laboratories and will return to the original contract laboratory, AWAL, for the next quarterly analysis. 3. Approval of parameters included in the February 9, 2015 request to return to baseline monitoring frequency. The approval will affect four monitoring well parameters as discussed above. 15. References 1 Energy Fuels Resources (USA) Inc., February 19, 2015, 4th Quarter2014 Groundwater Monitoring Report, Groundwater Discharge Permit UGW370004, White Mesa Uranium Mill. 2 Energy Fuels Resources (USA) Inc., February 5, 2015, State of Utah Ground Water Discharge Permit No. UGW370004 White Mesa Uranium Mill-Notice Pursuant to Part I.G.J (a). 3 Energy Fuels Resources (USA) Inc., February 9, 2015, State of Utah Ground Water Discharge Permit No. UGW370004 White Mesa Uranium Mill - Removal of Certain Groundwater Monitoring Parameters from Accelerated Monitoring Status 4 Energy Fuels Resources (USA) Inc., June 6, 2012, White Mesa Uranium Mill Ground Water Monitoring Quality Assurance Plan (QAP), Revision 7 2 5 INTERA 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 2014 Groundwater Monitoring Report DRC Review Memo Page 17 6 INTERA Incorporated, 2007, Background Groundwater Quality Report: New Wells for Denison Mines (USA) Corp. 's 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 Ulah. Prepared by University of Utah Department of Geology and Geophysics. 8 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.