QUEENSLAND URANIUM MINING IMPLEMENTATION COMMITTEE DECEMBER 2012

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QUEENSLAND URANIUM MINING IMPLEMENTATION COMMITTEE DECEMBER 2012 Contact: The Australasian Institute of Mining and Metallurgy W: www.ausimm.com T: +61 3 9658 6100 F: +61 3 9662 3662 Michael Catchpole Chief Executive Officer E: mcatchpole@ausimm.com.au Wayne Robins Senior Manager, Policy & Research E: wrobins@ausimm.com.au

About The AusIMM The Australasian Institute of Mining and Metallurgy (The AusIMM) was formed in 1893, representing professionals engaged in all facets of the global minerals sector. With a focus on 'enhancing professional excellence', The AusIMM delivers an ongoing program of professional development services to ensure our members are supported throughout their careers to provide high quality professional input to industry and the community. The AusIMM is the leading organisation representing minerals sector professionals in the Australasian region, primarily in the disciplines of mining engineering, metallurgy and geoscience. Our purpose is to provide leadership and opportunities for minerals industry professionals. We have more than 12,000 members spread across industry, government and academia, of which over 1,400 are student members currently enrolled in undergraduate studies. As a professional organisation whose members have an ethical duty to put the community first, The AusIMM constitutes a forum through which technical experts in the minerals sector can comment on policy for a sustainable industry, free of private and sectional interests. This submission The Chair of the Uranium Mining Implementation Committee wrote to The AusIMM on 16 November 2012 inviting the Institute to make a submission. AusIMM uranium policy statement The AusIMM Board recently adopted a coal and uranium policy statement. A copy of the Institute s policy statement is included as Attachment 1 to this submission for the Committee s reference. The AusIMM welcomes and supports the decision to allow uranium mining in Queensland. The AusIMM also endorses the intention to ensure that uranium mining recommences with world best practice environmental and safety standards, whilst creating an attractive environment for investment 1. These decisions by the Queensland Government will grow the employment market for minerals sector professionals in Queensland, and the development of a best practice uranium mining industry will have significant positive flow on effects for the Queensland community and economy. Professional development for uranium mining professionals The AusIMM has a strong focus on continuing professional development for Institute members. The AusIMM Code of Ethics requires each member of the Institute to: Put the safety, health and welfare of the community first in the conduct of their professional activities (Clause 1 of the Code of Ethics); and Continue their professional development throughout their careers, and to actively assist and encourage others to advance their knowledge and experience (Clause 8 of the Code of Ethics). As a result, AusIMM runs an extensive professional development program focussed on developing and sharing best practices in minerals exploration, mining and mine site rehabilitation. The AusIMM s annual Uranium Conference is of great relevance to the Committee. The 2013 Uranium Conference will be held in Darwin on 11-12 June 2013. The AusIMM encourages members of the Queensland Uranium Mining Implementation Committee to attend and participate in the conference. A call for papers for presentation at the conference is currently open, and a submission from the Committee would be most welcome. More details on the conference can be found at: http://www.ausimm.com.au/uranium2013/index.asp. 1 Sourced from the Terms of Reference for the Queensland Uranium Mining Implementation Committee. Page 1 17/12/12

Professional networks for best practices in mining The AusIMM may be able to assist the Implementation Committee s future work by helping to identify individual minerals sector professionals who might be able to advise and assist the Committee on particular questions, such as mine and processing technologies, environmental impacts and rehabilitation and health and safety. The AusIMM has a number of members who work in the uranium industry, and has specialist committees which lead our work on improving Institute members knowledge and capabilities in specific areas such as health and safety, community and environment management and mine construction and management practices. The Implementation Committee is welcome to contact us to seek advice regarding particular minerals professionals who might be able to assist on particular issues. The regulation of uranium mining general comments Best practice mining regulation should be applied in Queensland, and The AusIMM notes and supports the Queensland Competition Authority s recommendation that a review of Mining development requirements that raise costs and delay investment should be conducted as a high priority element of the government s red tape reduction strategy 2. The AusIMM encourages the Implementation Committee to seek to ensure that the regulatory framework applied to uranium mining in Queensland is best practice. The Implementation Committee may wish to consider recommending a set of principles of regulatory best practice be applied to uranium mining. The AusIMM believes that to maximise the benefits of a uranium industry to minerals sector professionals and the Queensland community at large, the regulatory framework should be: Effective and efficient 3. Risk-based, proportionate and outcome-oriented, prescribing the standard that must be achieved rather than a method by which the outcome must be pursued and requiring an outcome that reflects an understanding of the risks of the regulated activity. Administered efficiently, effectively and transparently by the responsible Regulators. Consistent with regulatory requirements in other Australian jurisdictions where being consistent does not breach the other goals (ie. consistency is not a priority where that would mean adopting an ineffective or prescriptive regulatory framework). A list of Characteristics of good regulatory systems which the Implementation Committee might wish to refer to in developing its recommendations for regulatory approaches in Queensland can be found in the Victorian Guide to Regulation 4. There are few issues for which uranium mining requires an additional or different regulatory framework to the mining industry in general. In cases where additional regulatory controls are required (for example in ensuring the safe packaging and transport of uranium product), it would be highly desirable for Queensland to collaborate with the Commonwealth and relevant State and Territory Governments to achieve consistent, effective and efficient regulatory outcomes. 2 Government of Queensland, Queensland Competition Authority, Interim Report, Measuring and Reducing the Burden of Regulation, October 2012. Page ii. (Sourced from: http://www.qca.org.au/files/obpr-qca-report- InterimMRBurdenofRegulation-1112.pdf). 3 The Commonwealth Government s states that the challenge for government is to deliver effective and efficient regulation regulation that is effective in addressing an identified problem and efficient in terms of maximising the benefits to the community, taking account of the costs. Australian Government 2010, Best Practice Regulation Handbook, Canberra. Page 4. (Sourced from: http://www.finance.gov.au/obpr/proposal/handbook/docs/best-practice-regulation-handbook.pdf). 4 Government of Victoria, 2011, Victorian Guide to Regulation, Department of Treasury and Finance, Melbourne. Pages 18-19. (Sourced from: http://vcec.vic.gov.au/ca256eaf001c7b21/webobj/vgr-incl/$file/vgr%20- %20incl.%20SLA%20guidelines%20from%201%20July%202011.pdf). Page 2 17/12/12

Attachment 1: AusIMM coal and uranium policy statement Introduction This document is a policy statement from The Australasian Institute of Mining and Metallurgy regarding minerals sector professionals involvement with the exploration for and extraction of coal and uranium. The AusIMM acknowledges that there are diverse views within the Institute s membership and in the broader community about the exploration for, mining and use of coal and uranium. The AusIMM welcomes and encourages informed community debate on these issues. With increasing domestic and international demand for energy resources and steel making raw materials, and with world-class reserves of these resources in Australia, it is certain that AusIMM members will continue to work in exploration for and mining of thermal and metallurgical coal and uranium in the future. As in all minerals operations, Institute members will apply their knowledge and skills to ensure the most efficient extraction and processing methods are used, and that the ability to extract and process adjacent lower grade mineral resources in the future is protected. Thermal coal and uranium are an important part of the current energy mix for the world. Metallurgical coal is a key element of steel making. Coal and uranium resources are key contributors to social and economic development in Australasia and around the world. This situation will continue for the foreseeable future. Coal mining is a significant industry in the Australian and New Zealand economies, and uranium mining is a significant and growing Australian industry. Oil and gas are outside the scope of this policy statement as few AusIMM members are engaged in this sector. Coal seam gas is also excluded for this reason. The coal seam gas industry involves different expertise and entirely different operational techniques to coal mining. Coal seam gas extraction is more closely related to the oil and gas sector than to the mining sector. Coal seam gas extraction is also regulated differently to minerals exploration and extraction. Coal The AusIMM supports best practice in the continued exploration for and mining of thermal (steaming) and metallurgical (coking) coal. Coal is used in Australia, New Zealand and internationally in the production of steel (metallurgical coal), in electricity generation (thermal coal), and in a range of other metallurgical, chemical and industrial processes (metallurgical and thermal coal). Australia has significant coal reserves and is the world s largest coal exporter. Coal exports are a significant contributor to Australia s economy. The vast majority of Australian coal is exported. New Zealand exports just over half of its coal production. The AusIMM supports Governments (in Australia, New Zealand and other countries in which AusIMM members work) in implementing best practice regulatory measures. This includes measures to minimise fugitive coal seam gas emissions (primarily methane plus carbon dioxide and trace elements) and the associated health and safety risks in coal mining. The AusIMM strongly supports innovation in best practice mining and environmental protection measures in coal exploration and mining. Institute members continue to develop and apply best practice approaches in the coal mining industry. The Institute provides a range of avenues to promote professional development, collaboration, the sharing of developments in industry best practice, and for discussion and dissemination of The AusIMM s policy on coal exploration and mining. This includes conferences relevant to coal industry professionals. Page 3 17/12/12

Uranium The AusIMM supports best practice in the continued exploration for and mining of uranium. Australia is the world s third largest uranium producer, is a large uranium exporter and has the world s largest known recoverable uranium resources. All Australian uranium production is exported. Uranium is used in electricity production as well as for medical and technical applications. The AusIMM supports ongoing effort by the Australian and other Governments to implement regulatory systems and safeguards that ensure: Uranium mining is undertaken in a safe and sustainable manner and according to Government regulatory requirements; Uranium is handled, transported and stored safely and according to Government regulatory requirements; Nuclear non-proliferation controls and agreements between countries regarding the peaceful use of uranium are adhered to, and Nuclear waste is appropriately handled. The AusIMM strongly supports innovation in best practice mining and environmental protection measures in uranium exploration and mining. Institute members continue to develop and apply best practice approaches in the uranium mining industry. The Institute provides a range of avenues to promote professional development, collaboration, the sharing of developments in industry best practice, and for discussion and dissemination of The AusIMM s policy on uranium exploration and mining. This includes The AusIMM s annual uranium conference. The AusIMM coal and uranium policy statement: The AusIMM supports the exploration for and mining of thermal coal, metallurgical coal and uranium for the benefit of the broader community. Members of The AusIMM working with coal and uranium should innovate and implement best practice in extracting coal and uranium in order to maximise productivity and avoid or minimise any adverse community, health and safety or environmental impacts. Members of the AusIMM should freely and actively collaborate and share these best practices and innovations. Governments should continue to ensure strong international regulatory controls for the safe handling of uranium and adherence to nuclear non-proliferation agreements and controls. Governments should apply best practice measures and encourage industry innovation to ensure coal and uranium are extracted and used in a way that protects the community and the environment. Page 4 17/12/12