DOE to transfer depleted uranium to BPA

Washington (Platts)--6Jul2005

DOE has agreed to transfer up to 8.5-million kilograms of depleted uranium to
the Bonneville Power Administration (BPA) for re-enrichment by USEC Inc. and
use in Energy Northwest's (EN) Columbia BWR over the period 2009 to 2017. DOE
has some 700,000 metric tons of depleted uranium but only a small percentage
are at assays above 0.4% U-235 and therefore clearly economical in today's
market to re-enrich, according to a source familiar with what he described as
this "pilot" program. He said that if all 8.5-million kg were re-enriched, it
might generate about 1.9-million kg of natural UF6, and could save EN millions
of dollars in fuel costs if today's UF6 prices remain at current market levels
(about $87.25/kgU as UF6). But the actual feasibility of recycling DOE's
depleted UF6 for use in a commercial reactor has not been tested, he said,
given questions over how much of the depleted uranium is contaminated with
unwanted radioactive isotopes. This pilot project will provide DOE with the
information to support a decision regarding any subsequent action to reuse any
of the remaining DUF6 inventory, he said. Costs of the project will be paid by
EN and include DOE's handling fees and a fee paid to the U.S. Treasury based
on the amount of uranium successfully processed. BPA, which is part of DOE,
provides funding for the operation, maintenance and debt service for Columbia
and in return receives the entire electrical output of the station.

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