Report details rewards, risks with uranium mining

A Danville Regional Foundation-commissioned socioeconomic study of potential uranium mining impacts on the Dan River Region details “reasonable” rewards and risks.

RTI International, based in Research Triangle Park, N.C., spent the past year interviewing regional stakeholders, researching uranium mine and mill impacts on other communities and analyzing information to give residents a sense of what’s at stake (within 50 miles) in Virginia Uranium Inc.’s proposal to mine a 119-million-pound uranium deposit at Coles Hill in Pittsylvania County.

RTI and the foundation released the independent study Thursday night. The nonprofit firm plans to present its findings at a Danville Pittsylvania County Chamber of Commerce breakfast Friday morning at the Institute for Advanced Learning and Research. The report makes no recommendation on whether to lift a 30-year state moratorium on uranium mining.

The firm simulated three scenarios — “reasonable,” “best reasonable” and “worst reasonable” — to assess the economic impact of VUI’s proposed project. According to the report summary, the region could see between 559 to 1,008 jobs and $70 million to $138 million to the region’s economy from construction and capital purchases over two to three years.

Operations could add 385 to 889 jobs and $81 million to $220 million annually over 20 years. (The firm modeled operations for years 2-21.) Under the reasonable case scenario, state and local tax revenues would increase by $11.2 million annually during site operation, but that still comes with the need to develop a regulatory framework and monitor the site.

But the project poses both environmental and perceived risks. Stakeholders cited concerns that negative stigma about uranium operations would negate any benefits of the proposed project, according to the report.

The report stated even if the mine and mill exceed regulatory standards, detectable concentrations of uranium and other constituents would be released into the environment, although risks to human and ecological health would be “quite low.”

Public safety, school quality, health care and infrastructure are unlikely to be affected with minimal environmental impacts. Demand for housing may increase, but property values might decline near the mine and mill site.

“Concerns about perceptions of risk or reduced quality of local products should be taken seriously; a simulation showed that a relatively small decline in demand for local sectors’ goods and services could counteract the positive impact of the mine and mill,” the report summary stated.

Even so, the report said that risks could be greatly reduced if investments are made in the uranium site design, pollution control, regulatory framework, frequent monitoring and transparent communication.

“If these investments are made, with diligent and transparent mechanisms for communication, there could be minimal adverse impact to the 50-mile radius study region. If investments such as [these] are not made across the board, the region has much to lose,” the report summary stated.