[Federal Register Volume 88, Number 143 (Thursday, July 27, 2023)]
[Notices]
[Pages 48494-48496]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-15935]


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NUCLEAR REGULATORY COMMISSION

[Docket No. 40-38415; NRC-2023-0090]


Rare Element Resources, Inc.; Rare Earth Element Demonstration 
Plant

AGENCY: Nuclear Regulatory Commission.

ACTION: Environmental assessment and finding of no significant impact; 
issuance.

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SUMMARY: The U.S. Nuclear Regulatory Commission (NRC) is issuing a 
Finding of No Significant Impact (FONSI) and accompanying Environmental 
Assessment (EA) for an application request from Rare Element Resources, 
Inc. (RER) for a source materials license accompanying the construction 
and operation of a rare earth element (REE) separation and processing 
demonstration plant near Upton, Wyoming. Based on the analysis in the 
EA, the NRC staff has concluded that there would be no significant 
impacts to environmental resources from RER's proposed facility and, 
therefore, a FONSI is appropriate.

DATES: The EA and FONSI referenced in this document are available on 
July 27, 2023.

ADDRESSES: Please refer to Docket ID NRC-2023-0090 when contacting the 
NRC about the availability of information regarding this document. You 
may obtain publicly available information related to this document 
using any of the following methods:
     Federal Rulemaking Website: Go to http://www.regulations.gov and search for Docket ID NRC-2023-0090. Address 
questions about Docket IDs to Stacy Schumann; telephone: 301-415-0624; 
email: [email protected]. For technical questions, contact the 
individual listed in the For Further Information Contact section of 
this document.
     NRC's Agencywide Documents Access and Management System 
(ADAMS): You may obtain publicly available documents online in the 
ADAMS Public Documents collection at http://www.nrc.gov/reading-rm/adams.html. To begin the search, select ``Begin Web-based ADAMS 
Search.'' For problems with ADAMS, please contact the NRC's Public 
Document Room (PDR) reference staff at 1-800-397-4209, at 301-415-4737, 
or by email to [email protected]. For the convenience of the reader, 
instructions about obtaining materials referenced in this document are 
provided in the ``Availability of Documents'' section.
     NRC's PDR: The PDR, where you may examine and order copies 
of publicly available documents, is open by appointment. To make an 
appointment to visit the PDR, please send an email to 
[email protected] or call 1-800-397-4209 or 301-415-4737, between 8 
a.m. and 4 p.m. eastern time (ET), Monday through Friday, except 
Federal holidays.

FOR FURTHER INFORMATION CONTACT: James Park, Office of Nuclear Material 
Safety and Safeguards, U.S. Nuclear Regulatory Commission, Washington, 
DC 20555-0001; telephone: 301-415-6954; email: [email protected].

SUPPLEMENTARY INFORMATION:

I. Introduction

    By letter dated September 13, 2022, RER applied for a source 
material license from the NRC for RER's proposed REE separation and 
processing demonstration plant to be located near Upton, Wyoming. In 
the Demonstration Plant, RER proposes to use its proprietary process to 
extract and concentrate neodymium-praseodymium (NdPr) and other rare 
earth oxides (REOs) from an approximately 907 metric-ton (1,000-ton) 
exploration sample obtained from RER's Bear Lodge site in the Black 
Hills National Forest in Wyoming. During processing, thorium in the 
exploration sample would be concentrated to a level necessitating a 
source material license from the NRC in accordance with the provisions 
of part 40 of title 10 of the Code of Federal

[[Page 48495]]

Regulations (10 CFR), ``Domestic Licensing of Source Material''. As 
required by 10 CFR 51.21, the NRC prepared an EA that documents the NRC 
staff's independent evaluation of the potential environmental impacts 
of RER's activities at its proposed Upton, Wyoming facility. Based on 
the analysis in the EA, the NRC staff has concluded that there would be 
no significant impacts to environmental resources from RER's proposed 
activities and, therefore, a FONSI is appropriate.

II. Summary of Environmental Assessment

Description of the Proposed Action

    RER proposes to locate its proposed Demonstration Plant on an 
approximately 3.2-hectare (ha) (8-acre [ac]) parcel of privately owned 
land, approximately 3.2 kilometers (km) [2 miles (mi)] northwest of 
Upton, Wyoming. RER proposes to modify the existing site and site 
structures for its purposes in demonstrating its proprietary process 
for extracting NdPr and REOs from an approximately 907 metric-ton 
(1,000-ton) exploration sample removed previously from the Bear Lodge 
project site in northeastern Wyoming. RER proposes to operate its 
Demonstration Plant for 1 year, processing the exploration sample at a 
rate of 2.7 metric tons (3 tons) a day.
    Facilities planned by RER to be located inside the proposed site's 
radiological restricted area would include a Physical Upgrade/Sample 
Storage Facility, a Main Process Facility, an Equipment Building, a 
Chemical Containment Area, and a Clean Room as well as loading and 
unloading areas. Ancillary facilities outside the radiological 
restricted area would include the office trailer, a laydown yard, 
access roads, and a parking area for employees and visitors.
    RER's process to extract NdPr and other REOs would involve four 
stages. First, RER would use a jaw crusher, a cone crusher, and coarse 
vibrating screen units to comminute (i.e., pulverize) and screen the 
sample to physically separate the rare-earth fines for further 
processing. Next, RER would conduct its primary hydrometallurgical 
processing of the pulverized sample to produce a purified total REO 
with thorium concentrate. This stage is intended to separate a 
substantial portion of the natural radioactivity that is present in the 
exploration sample. The third stage would remove this natural 
radioactivity, mainly thorium and its decay products, along with 
cerium. The thorium/cerium-bearing radioactive waste would be treated 
in a separate solid waste treatment process. In the final processing 
stage, RER would separate out and purify NdPr and other REE 
concentrates into a final product.
    RER's process would produce solid waste and wastewater streams. 
Both waste streams would be neutralized with quicklime and then 
combined in a batched process. RER would add bentonite as needed to 
absorb excess liquid in the combined tailings waste. RER expects that 
nearly 100 percent of the radioactive material from the processed ore 
sample would be contained in the tailings waste. RER would transfer the 
tailings waste to a 27-metric ton (30-ton) roll-off bin and store the 
waste onsite prior to planned weekly waste shipments by rail to the 
Waste Control Specialists (WCS) low-level radioactive waste disposal 
facility located in Andrews County, Texas.
    Construction and operation of the proposed Demonstration Plant 
would also generate non-radiological wastes, to include both industrial 
and chemical wastes. RER would dispose of non-radioactive organic 
process-related waste at a local hydrocarbon treatment facility. Any 
laboratory chemicals that would be generated would be stored in 
containers in the onsite laboratory, prior to off-site disposal at an 
appropriate facility. Non-hazardous industrial waste would be disposed 
at the Weston County, Wyoming transfer facility. Additionally, RER 
would consider recycling certain non-radioactive wastes (e.g., used oil 
and lubricants, packing wastes, and scrap metal) for re-use, if 
possible.

Need for the Proposed Action

    REEs include the lanthanide series of elements from lanthanum 
(atomic number 57) to lutetium (atomic number 71) along with yttrium 
(atomic number 39) and scandium (atomic number 21). REEs are essential 
elements in many applications in today's economy, including electric 
automobiles, smart phones, camera lenses, advanced wind turbines, 
computer hard drives, fluorescent and light-emitting-diode bulbs, 
magnets, additives in ceramics and glass, and military systems.
    Several U.S. governmental agencies have identified the growing need 
and reliance in the United States for REEs. The Department of Energy 
has identified the REEs as strategic resources for economic prosperity 
and national defense of the United States. The U.S. Department of the 
Interior published an updated final list of critical minerals that 
includes many of the REEs, and the U.S. Department of Defense has 
identified REEs as critical to future defense applications.

Environmental Impacts of the Proposed Action

    The NRC staff has assessed the potential environmental impacts from 
RER's proposed Demonstration Plant at the Upton, Wyoming site. The NRC 
staff assessed the impacts of the proposed action on land use; 
historical and cultural resources; visual and scenic resources; 
climatology, meteorology and air quality; geology and soils; water 
resources; ecological resources; socioeconomics; noise; traffic and 
transportation; public and occupational health and safety; and waste 
management. The NRC staff determined that impacts to these 
environmental resource areas would be minimal and not significant. With 
respect to ecological resources, the NRC staff determined that the 
proposed action would have no effect on listed endangered or threatened 
species or their critical habitat. The NRC staff also determined that 
no historical properties would be affected by the undertaking (i.e., 
RER's proposed action).

Environmental Impacts of the Alternatives to the Proposed Action

    As an alternative to the proposed action, the staff considered 
denial of the proposed action (i.e., the ``no-action'' alternative). 
Under the no-action alternative, the NRC would not grant a source 
material license to RER. RER would not be authorized to either 
construct or operate its Demonstration Plant near Upton, Wyoming. No 
ground-disturbing activities would take place and no buildings would be 
constructed or modified. Processing of REEs would need to occur 
elsewhere. The NRC staff concluded that environmental impacts from the 
no-action alternative would be minimal and not significant.

Agencies and Persons Consulted

    On May 25, 2023, the staff provided a copy of the draft EA to the 
Wyoming Department of Environmental Quality (WDEQ) for its review and 
comment. On June 26, 2023, the State provided its comments on the draft 
document.

III. Finding of No Significant Impact

    Based on its review of the proposed action, in accordance with 10 
CFR part 51, the NRC staff has determined that issuance of a source 
material license to RER, and subsequent construction and operation of 
an REE Demonstration Plant at the proposed facility site near Upton, 
Wyoming, would not significantly affect the quality of the human 
environment. Approval of the proposed action would be expected to 
result in minimal impacts and RER's operational activities would be

[[Page 48496]]

conducted to keep occupational radiological doses and radiological 
doses to members of the public below the applicable limits in 10 CFR 
part 20. On the basis of the EA, the NRC finds that there are no 
significant environmental impacts from the proposed action, and that 
preparation of an environmental impact statement is not warranted. 
Accordingly, the NRC has determined that a FONSI is appropriate. In 
accordance with 10 CFR 51.32(a)(4), this FONSI incorporates the EA set 
forth in this notice by reference.

IV. Availability of Documents

    The documents identified in the following table are available to 
interested persons through ADAMS.

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            Document description                 ADAMS accession No.
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Rare Element Resources, Inc., Source         ML22256A319 (Package).
 Material License Application, dated
 September 13, 2022.
Rare Element Resources, Inc., Submittal of   ML22333B028.
 Supplemental Information for its Source
 Material License Application, dated
 December 1, 2022.
Rare Element Resources, Inc., Response to    ML23082A306.
 NRC Request for Additional Environmental
 Information, dated March 21, 2023.
Rare Element Resources, Inc., Response to    ML23097A072.
 NRC Request for Additional Information--
 Safety Evaluation, dated April 7, 2023.
NRC Request to Wyoming Department of         ML23171B109.
 Environmental Quality to Review the Draft
 EA, dated May 25, 2023.
Wyoming Department of Environmental Quality  ML23178A214.
 Response to NRC Request for Review of
 Draft EA, dated June 26, 2023.
NRC letters to Tribal nations initiating     ML23130A320 (Package).
 consultation under Section 106 of the
 National Historic Preservation Act, dated
 May 11, 2023.
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    Dated: July 24, 2023.

    For the Nuclear Regulatory Commission.
Jill S. Caverly,
Acting Chief, Environmental Review Materials Branch, Division of 
Rulemaking, Environmental and Financial Support, Office of Nuclear 
Material Safety and Safeguards.
[FR Doc. 2023-15935 Filed 7-26-23; 8:45 am]
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