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Everest Exploration, Inc. (State of Texas)

1.0 Site Identification

2.0 Site Status Summary

The license currently consists of three projects, the Hobson processing plant, the Tex-1 Project, and the Mt. Lucas Project. The Hobson Project is located 1 mile south of the community of Hobson in Karnes County, Texas. The Hobson project consisted of an in situ leach well field and a processing plant, with a dryer. The groundwater in the well fields at the Hobson Project has been restored to the levels authorized in the underground injection control permits. The wells have been plugged and abandoned and the UIC permits revoked. The licensee is in the process of refurbishing the plant and intends to resume processing operation with loaded resin shipped to the plant site by tractor-trailer from well fields with remote ion exchange units. The Tex-1 Project is located 4.5 miles south of Falls City in Karnes County, Texas. The Tex-1 facility was an in situ leach mining operation. The groundwater in the well fields at the Tex-1 Project has been restored to the levels authorized in the underground injection control permits. The wells have been plugged and abandoned and the UIC permits revoked. The licensee is nearing completion on surface reclamation activities and is expected to submit in the near future a report with a request for release of the site to unrestricted use. The Mt. Lucas Project is located 3 miles south of Dinero, Texas in Live Oak County. The Mt. Lucas Project consisted of in situ leach well fields with a processing plant and a satellite ion exchange unit. The groundwater in the well fields has been restored to the levels authorized in the underground injection control permits. The wells have been plugged and abandoned and the UIC permits revoked. The licensee is currently in the process of surface reclamation activities. Completion of surface reclamation activities is targeted for the end of 2008.

License No. 2663 was issued in July 1979 to Everest Minerals Corporation to authorize in situ mining, and concentration into yellowcake slurry at the Hobson facility. The Hobson facility consisted of well fields and a central processing plant. The authorization for a dryer at the Hobson facility was added in May 1983. In March 1985, the license was transferred to Everest Exploration, Inc. The authorization for in situ mining was removed in July 1988. In December of 1988 the authorizations on the license were incorporated into License No. L03626, the predecessor to License No. R03626, and License No. 2663 was terminated. License No. L02929 was issued in January 1981 to Everest Minerals Corporation. The license authorized in situ leach mining and concentration to yellowcake slurry at the Las Palmas Project. In August 1985, the license was transferred to Everest Exploration, Inc. The license was subsequently terminated in December 1988 with all of the authorizations and license conditions incorporated into License No. L03626. License No. 3068 was issued in August 1981 to Everest Minerals Corporation. The license authorized in situ mining and concentration into yellowcake slurry at the Mt. Lucas Project. In October of 1985, the license was amended to transfer the license to Everest Exploration, Inc. and to authorize irrigation on a 22.5 acre plot. The license was amended again in January 1988 to authorize an ion exchange satellite at the Mt. Lucas West tract. In December 1988, the authorizations and conditions on the license were incorporated into License No. L03626, the predecessor to License No. R03626, and License No. 3068 was terminated. License No. 9-3626 was issued in January 1986 to Everest Exploration, Inc. for activities at the Hobson Tex-1 Project. The license authorized in situ mining, concentration in to yellowcake slurry, and transfer to authorized recipients. The Tex-1 Project was located near the community of Hobson in Karnes County, Texas. The Tex-1 Project consisted of in situ leach well fields with a processing plant that resulted in loaded resin. The loaded resin was then transferred to the Hobson facility for further processing to dried yellowcake. The license was amended in June 1988 to clarify the authorized activities by specifying that the activities consisted of in situ mining and concentration onto uranium-bearing ion exchange resin, and to add the McBryde deep disposal well facility, acquired from Caithness Mining. The license was amended in September of 1988 to add the Gruy-7B Project. The Gruy-7B Project was to be an in situ leach mining site with an ion exchange satellite processing facility. In December 1988, the license was amended to add the Hobson facility (previously authorized under License No. 2663), the Las Palmas Project (previously authorized under License No. L02929) and the Mt. Lucas Project (previously authorized under License No. 6068). In March 1996, the license was amended to remove the Gruy-7B Project and the Las Palmas Project. The licensee had never mined the Gruy-7B Project and requested its removal from the license. The Gruy-7B Project was located 3 miles northwest of Hebbronville, Texas in northern Jim Hogg County on the Duval County line. The facility was never constructed and mining was never conducted at the location. The licensee requested the site to be removed from the license. After verification by agency staff that no activities had taken place at the site, the site was considered to be terminated and was removed from the license. The Las Palmas Project was located 5 miles northeast of Hebbronville, Texas in Duval and Jim Hogg Counties. The project consisted of well fields and an ion exchange facility with the loaded resin being shipped to the Hobson processing plant. The groundwater in the well fields has been restored to the levels authorized in the underground injection control permits. The wells have been plugged and abandoned and the UIC permits revoked. The site has been decommissioned to meet release to unrestricted use criteria and the site considered terminated and has been removed from the license. The McBryde disposal well facility was removed from the license in April of 1998 by transfer of the facility to another licensee (URI, Inc., License No. L03653).

3.0 Major Technical or Regulatory Issues

There are no major technical or regulatory issues. The State project manager is James T. Clark, P.E.

4.0 Estimated Date For Closure

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Friday, September 26, 2008