sparton energy of canada: making clean energy fuel making

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- Uranium By-Product Recovery Program Joint Project with China National Nuclear Corporation SPARTON ENERGY Making Clean Energy Fuel from Unconventional Sources Making Clean Energy Fuel from Unconventional Sources

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Certain types of coal, phosphate rock and lithotypes are naturally high in Uranium and other metals Burning the coal concentrates Uranium and other metals in the Waste Ash Phosphoric acid production removes Uranium and recovery is possible

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Page 1: Sparton Energy of Canada: Making Clean Energy Fuel Making

-

Uranium By-Product Recovery Program

Joint Project with China National Nuclear Corporation

SPARTON ENERGY – A SUBSIDIARY OF SPARTON RESOURCES

SPARTON ENERGY

Making Clean Energy Fuel

from Unconventional

Sources

Making Clean Energy Fuel

from Unconventional

Sources

2009 IAEA Workshop on Secondary Uranium Sources

Page 2: Sparton Energy of Canada: Making Clean Energy Fuel Making

Waste to Clean Fuel

Certain types of coal,

phosphate rock and lithotypes

are naturally high in Uranium

and other metals

Burning the coal concentrates

Uranium and other metals in

the Waste Ash

Phosphoric acid production

removes Uranium and recovery

is possible

U may be lost in fertilizer down

stream processing

Radioactive Waste

CANNOT BE RECYCLED

into cement, concrete, etc.

BACKGROUND

Page 3: Sparton Energy of Canada: Making Clean Energy Fuel Making

Cleaning radioactive waste, phosphoric acid,

reprocessing mine tailings, or developing new

recovery methods to recover Uranium and other

valuable metals

can be a major a source of Nuclear Fuel

and cleaned waste may be recycled

Waste to Clean Fuel

Page 4: Sparton Energy of Canada: Making Clean Energy Fuel Making

UNCONVENTIONAL URANIUM SOURCES

PROPOSED SUBCATEGORIES TO REDBOOK DEFINITIONS

-“NOUDS” -- Naturally Occurring Uranium Deposits

-“TENOUDS” – Technically Enhanced Naturally Occurring

Uranium Deposits

Page 5: Sparton Energy of Canada: Making Clean Energy Fuel Making

“TENOUD” EXAMPLES

- COAL ASH (FLY ASH, BOTTOM ASH)

- PHOSPHORIC ACID

- MINE TAILINGS

- MINE WASTE ROCK

- PROCESSING RESIDUE

Page 6: Sparton Energy of Canada: Making Clean Energy Fuel Making

General Mining Project Flowsheet

Exploration to Production

General Mining Project FlowsheetGeneral Mining Project Flowsheet

Exploration to ProductionExploration to ProductionEconomic

Evaluation

Mine

Establishment

Mine Ore

Body

Treat

Ore

Locate

Ore BodyRefine, Sell

Shut

Down Rehabilitate

ProspectingNew Mine

Scope

Mine

Engineering

Access ore

BodyCrushing

Magnetic

ConverterMarketing

Resale of Cleaned

Ash

Mineral Rights Mine modelingLife of mine

Costing

Develop

(Drill &

support)

Slurrying Base metal

RefiningSales

Ongoing Capital

investment

Geological

Evaluation

Financial

modelingBuild Mine

STOPING

PITTING OR

ISL MINING

Leaching

Precious

metal

Refining

Dispatch Rehabilitation

(Mining

Exploration)Estimating

Commission

MineRock removal U Recovery

Delivery &

Invoice

Hoisting Drying

Surface

TransportSmelting

Storage of

ore

Coal Ash, Process Wasteor Phosphoric Acid

UraniumRecovery

WHY “TENOUD” URANIUM ??????

Most are Eliminated!!

HIGH RISK ACTIVITIES

POTENTIAL FOR ENVIRONMENTAL CLEANUP !

Page 7: Sparton Energy of Canada: Making Clean Energy Fuel Making

HISTORY

-PAST PRODUCTION NORTH AMERICA >~ 48,000,000 pounds

U3O8,

-3 million pounds from coal ash, 45 million pounds from

phosphoric acid + others

-(all plants now closed, last in 1995)

-SIGNIFICANT PAST PRODUCTION IN EUROPE, Soviet Union

(Kyrgestan 48 years).

-Current production in Kazakhstan from phosphoric acid?,

possibly in Ukraine from coal ash. (military background)

-LIMITED PAST PRODUCTION IN CHINA (amount unknown AT

LEAST 1,000,000 POUNDS, all plants closed) IN PAST CHINA

HAD LITTLE NEED FOR URANIUM EXCEPT MILITARY

Page 8: Sparton Energy of Canada: Making Clean Energy Fuel Making

Waste to Clean Fuel

RECOVERY TECHNOLOGY

Patents in China

Test Programs

Ongoing Work

Page 9: Sparton Energy of Canada: Making Clean Energy Fuel Making

August 2009

URANIUM RICH COAL

North Dakota

Operations 1960’s

Page 10: Sparton Energy of Canada: Making Clean Energy Fuel Making

URANIUM PRODUCTION FROM COAL

18

Location Operator/OwnerPlant / Mine

Name

Period of

Production

Historical

ProductionGrade

Belfield, Stark

County, North

Dakota

Union Carbide

Corporation

Belfield

Ashing

Facility

1965-1967

60-100 tons/day

feed

340,000lb U

0.37% U3O8

Bowman,

Bowman

County, North

Dakota

Kerr-McGee Oil

Industries, Inc

Bowman

Ashing

Facility

1964-1967

80-90 tons/day

feed

686,000lb U

0.43% U3O8

Susquehanna

Western

Manidon Mining

CompanyFritz Mine ~1963-1967 130,000 lb 0.175% U3O8

Edgemont Mines Development Inc ~1965-? 0.17-0.2% U3O8

Burning of uraniferous lignite

near Belfield, North Dakota

HISTORICAL URANIUM PRODUCTION

FROM DAKOTA LIGNITES

Page 11: Sparton Energy of Canada: Making Clean Energy Fuel Making
Page 12: Sparton Energy of Canada: Making Clean Energy Fuel Making
Page 13: Sparton Energy of Canada: Making Clean Energy Fuel Making

CHINA URANIUM SITUATION

- 3 RESOURCE CATEGORIES (Foreign Development)

- “Encouraged”

- “Restricted”

- “ Prohibited”

- Uranium from primary sources “PROHIBITED”

- BUT !

Page 14: Sparton Energy of Canada: Making Clean Energy Fuel Making

URANIUM RECOVERY FROM WASTE

MATERIAL “ENCOURAGED”

- November 2007 “ the comprehensive recovery of valuable

material from waste coal ash is “encouraged” – addition to

the PRC resource catalogue for foreign development

participation

Uranium Grade Categories (%U)

- <0.01% waste - non commercial

- 0.01%-0.03%- low grade, likely non commercial possible

ISL if right kind of deposit- or non commercial mine waste

- 0.03%-0.05% -ISL or vat leach if metallurgy is ok or waste

- 0.05-0.10% - vat leach or milling ore

>0 10% milling ore if suitable metallurgy

Page 15: Sparton Energy of Canada: Making Clean Energy Fuel Making

U

U

Page 16: Sparton Energy of Canada: Making Clean Energy Fuel Making

U

Page 17: Sparton Energy of Canada: Making Clean Energy Fuel Making

2007

-

2007

“ ”

MILESTONES CHINA

Waste to Clean Fuel

Project Startup, early 2007

Cooperation Agreement with ARCN,

subsidiary of China National Nuclear

Corporation

Research Program identified

several radioactive waste areas

of interest

Positive results in sample testing

Patented received in PRC for

“Recovery of Uranium from

Radioactive Coal Ash”, 2007

Patent received for Recovery of

Uranium from Phoisphoric Acid ,

2008

Lab scale testing has produced

U3O8 “Yellowcake”

Page 18: Sparton Energy of Canada: Making Clean Energy Fuel Making

Waste to Clean Fuel

Mid-2008

Operating joint venture company

formed. Business licence and

registered capital in place

November 2008

Contract signing for construction

of Bulk Test Plant and Feasibility

Study

Early 2009

Bulk Sample Testing at Lincang

(Yunnan)

2010-11

Production expected

2008

2008

2009

2010

TIMELINES

Page 19: Sparton Energy of Canada: Making Clean Energy Fuel Making

Testing New Waste SitesTesting New Waste Sites

Patented TechnologyPatented Technology

Yellowcake U3O8 Produced

from Yunnan Fly Ash

Bulk Sample Test PlantBulk Sample Test Plant

Lincang Area - Yunnan Operations

ADVANCED URANIUM PROJECTS

Page 20: Sparton Energy of Canada: Making Clean Energy Fuel Making

PROCESS TECHNOLOGY

Page 21: Sparton Energy of Canada: Making Clean Energy Fuel Making
Page 22: Sparton Energy of Canada: Making Clean Energy Fuel Making
Page 23: Sparton Energy of Canada: Making Clean Energy Fuel Making

XIA

LO

NG

TA

NG

PO

WE

R S

TA

TIO

N

YU

NN

AN

5 M

illi

on

To

nn

es

Wa

ste

As

h

> 4

50,0

00kg

U3O

8

5 M

illi

on

To

nn

es

Wa

ste

As

h

> 4

50,0

00kg

U3O

8450000

450000

Page 24: Sparton Energy of Canada: Making Clean Energy Fuel Making

Xiaolongtang Power Station Yunnan China

Stockpile 5,000,000 Tonnes Fly Ash containing 2,500,000 pounds U3O8

Page 25: Sparton Energy of Canada: Making Clean Energy Fuel Making

Lin

can

g A

rea

Yu

nn

an

Op

era

tio

ns

Co

al

Bu

rnin

g f

or

Ge

rma

niu

m P

rod

uc

tio

n

Co

al

Bu

rnin

g f

or

Ge

rma

niu

m P

rod

uc

tio

nW

aste

Co

al

Ash

Waste

Co

al

Ash

Rad

ioacti

vit

y L

evel

= 0

.055%

Ura

niu

mR

ad

ioacti

vit

y L

evel

= 0

.055%

Ura

niu

mR

ad

ioa

cti

ve

Wa

ste

Pil

es

wit

h >

20

0,0

00k

g

Reco

vera

ble

U308

Rad

ioacti

ve W

aste

Piles w

ith

>2

00

,000

kg

Reco

vera

ble

U308

0.0

55%

0.0

55%

200,0

00

200,0

00

Page 26: Sparton Energy of Canada: Making Clean Energy Fuel Making

LINCANG COAL -100-300

PPM Ge, 100-500 PPM U

LINCANG BOTTOM

ASH- 0.O15%-0.45% U

Page 27: Sparton Energy of Canada: Making Clean Energy Fuel Making

650,000 TONNES RADIOACTIVE ASH

+150,000 kg U3O8

Lincang Area – Yunnan China

ADVANCED URANIUM PROJECTS

SPARTON ENERGY

Page 28: Sparton Energy of Canada: Making Clean Energy Fuel Making

LINCANG HIGH U ASH WASTE FROM

GERMANIUM PRODUCTION

Page 29: Sparton Energy of Canada: Making Clean Energy Fuel Making
Page 30: Sparton Energy of Canada: Making Clean Energy Fuel Making

LINCANG CHINA WASTE ASH

PILE U GRADES IN PPM

Page 31: Sparton Energy of Canada: Making Clean Energy Fuel Making

ADVANCED URANIUM PROJECTS

SPARTON ENERGY

Datang - Heshan

20,000,000 Tonnes Waste Coal Ash

10-15% Carbon (unburned coal)

0.015-0.018% .est. Uranium Oxide (U3O8)

Possibly 2,500,000 kg recoverable U3O8

New Ash

Old Ash

Page 32: Sparton Energy of Canada: Making Clean Energy Fuel Making

MINE TAILINGS

6 MILLION TONNES

@0.05% U- +- 3 million pounds U3O8 recoverable

Page 33: Sparton Energy of Canada: Making Clean Energy Fuel Making

0.01-0.03%U WASTE ROCK

Page 34: Sparton Energy of Canada: Making Clean Energy Fuel Making

SHALE HOSTED URANIUM - VANADIUM DEPOSIT IN SOUTH

CHINA – 1.5 MILLION KgU3O8 AND 100 MILLION Kg V205

Cutoff Grade 0.05% U, (range 0.05-0.30%U) and 1%V2O5

Page 35: Sparton Energy of Canada: Making Clean Energy Fuel Making

20

URANIUM RICH LIGNITE COAL BASIN

URANIUM FROM COAL IN SASKATCHEWAN

55 OCCURRENCES OF COAL

OR RELATED SEDIMENTS

WITH >0.03%U3O8

Page 36: Sparton Energy of Canada: Making Clean Energy Fuel Making

21

U in Coal

URANIUM FROM COAL IN SASKATCHEWAN

Page 37: Sparton Energy of Canada: Making Clean Energy Fuel Making

29

PAGMAG METAL’S RECENT DRILLING IN NORTH DAKOTA

URANIUM FROM COAL

Page 38: Sparton Energy of Canada: Making Clean Energy Fuel Making

SPARTON ENERGY – A SUBSIDIARY OF SPARTON RESOURCES

SPARTON ENERGYAJKA WASTE COAL ASH – HUNGARY 14

MILLION TONNES @ 120 PPM U

High lime and acid consuming minerals

Page 39: Sparton Energy of Canada: Making Clean Energy Fuel Making

Profitable Germanium production from same Lincang area coal containing high Uranium

Germanium is used in many environmental applications for alternative energy sources andpower conservation technology

Recycling of non-radioactive ash after uranium removal

Potential for uranium production from several other sites in PRC to support fuel requirement for China’s Nuclear Power Program

ADDED BENEFITS TO

“TENOUD” U RECOVERY

Waste to Clean Fuel

Page 40: Sparton Energy of Canada: Making Clean Energy Fuel Making

Strong support from

Central, Provincial, and Local Governments

and their Environmental Departments

Waste to Clean Fuel

Page 41: Sparton Energy of Canada: Making Clean Energy Fuel Making

Sparton is the only foreign companypresently allowed to produce Uranium Oxide in China with Patented Technology

Strong Working Partnership with China National Nuclear Corporation

The comprehensive use of coal ash for the recovery of valuable materials is an ‘encouraged activity’ for foreign investment

Environmental cleanup of radioactive waste sites and recycling of waste material strongly supported

SUMMARY

Page 42: Sparton Energy of Canada: Making Clean Energy Fuel Making

SPARTON ENERGY – A SUBSIDIARY OF SPARTON RESOURCES

SPARTON ENERGY

Thank You for the opportunity to present

our unique company and

it’s Unconventional Uranium programs

Thank You for the opportunity to present

our unique company and

it’s Unconventional Uranium programs

FOR MORE INFORMATION:

+86 10 8559 2276 - Mr. Ge Quiming (Charles)

+1 416 366 3551 - Mr. Lee Barker

www.spartonres.ca and www.spartonenergy.com

2008 Ontario Environmental Mission to China