THE menace of radioactive contamination of groundwater and air from open-pit uranium mining in the Karoo is over for the foreseeable future.
This was the reaction of Dr Stefan Cramer, science adviser of the Southern African Faith Communities’ Environment Institute (SAFCEI), to the announcement by the Australian mining company, Peninsula Energy, of the withdrawing of its mining and exploration rights.
He, however, quickly warned that people should remain vigilant if ever such plans were raised again.
“In the meantime we need to develop sustainable solutions for the Karoo.
“This is a hard-won victory for the residents of the Karoo. But, it is also the time for the Karoo to do what it is best at: sustainable agriculture and renewable energy,” said Cramer.
Peninsula Energy said in a release to its shareholders that after careful consideration of the available options, the company had decided to fully withdraw from any further development activities for the Karoo projects.
It added that the company’s decision was based on numerous factors. Firstly, the prevailing uranium market conditions did not support the ongoing development of this hard rock uranium mining opportunity.
Secondly, it said, the limited duration and cost structure associated with holding South African mineral retention rights quickly becomes cost prohibitive, so placing the project on hold to retain some form of “option value” was not a viable scenario.
These reasons deterred a number of entities who expressed interest over the past six months in making firm offers acceptable to Peninsula.
Cramer said none of these reasons were new. “Previously, the company issued glowing reports of its world-class deposit in the Karoo. Their investors must be fuming. This is also reflected in their share price.
“Even more, the company has acknowledged their obligation to also rehabilitate trial mines it inherited from previous operations. These mines are still posing a health threat to their neighbours with radioactive dust and groundwater contamination.”
The rehabilitation, according to Cramer, requires moving substantial amounts of radioactive uranium ore and contaminated drilling dust to safer spaces. “We believe that a proper environmental impact assessment (EIA) would be required to perform these interventions. The Karoo residents have a right to be informed and consulted appropriately on these future activities,” he said.