Uranium miner Energy Resources of Australia (ERA) has under-estimated the size, complexity, cost and impact of a proposed expansion of operations at its troubled Ranger mine in Kakadu, according to an ‘Acid Test’ report that the Australian Conservation Foundation has released today.

The report, which examines the company’s planned use of the controversial acid heap leach processing technique in the high rainfall Kakadu region, has found that the plan poses serious risks to the environment and local Indigenous culture of the World Heritage listed Kakadu National Park.

The expansion would also complicate ERA’s planned closure and exit timeline for Ranger mine, and further increase pressure for an extension to the Ranger lease. Mining and milling operations currently remain suspended at Ranger due to water management deficiencies and related flooding and contamination threats.

“ERA’s demonstrated inability to appropriately manage existing operations at Ranger casts serious doubts over its capacity to manage any further expansion,” said ACF campaigner Dave Sweeney.

“How can a company under increasing market criticism for its performance and management, with suspended mining operations due to contamination threats, seriously put forward an expansion plan which poses more risks than what we’re seeing today?

“ERA should be reducing its impacts, not further threatening Kakadu in an increasingly desperate attempt to address production shortfalls.

The report’s release comes ahead of tomorrow’s ERA annual meeting in Darwin and follows renewed recent opposition by the Mirarr Traditional Owners to the expansion plans or any future moves to mine the adjacent Jabiluka deposit.

The report highlights internal data from ERA showing that the extent of the planned Ranger expansion would be greater than that being publicly discussed. “This highly intrusive expansion plan would significantly increase contamination loads at Ranger, and its impacts would be much more significant than those suggested by ERA.”

“As financial analyst Merrill Lynch has indicated, instead of expanding, ‘the ‘do nothing’ option and a focus on earlier site rehabilitation could well prove the more desirable path for ERA’ – it certainly would be for the health of the people and environment of Kakadu”.