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Show A spokesman for Rimrock Incorporated, with offices in Reno, Nev., and a subsidiary of Rimrock Mining Corp. of Calgary, Alberta, Canada announced this week that they have drilled into a 40-ft. zone of .22 uranium in the Shinarump formation 18 miles south of Hanksville (T28S, R12E). Signal Oil Services of Farmington, N.M. was at a depth of 2170 feet when the discovery was made. Haliburton Services, Grand Junction, Colo., verified the deposit with gamma ray logging, according to a report from T-I Hanksville reporter, Barbara Ekker. Geologist for the Corporation, Stanley Mouritson, from Calgary, who just returned from a World Conference in Australia as one of the two geologists from North America invited, confirmed the discovery. The company spokesman states that their company had the oil and gas lease on a "farm out" from another company but own 5700 acres of uranium claims. This operation has been several years in the making since the company found from drilling logs made by Great Western and Tennessee Gas and Transmission during 1956 that considerable amounts of uranium were showing. This present well was drilling for confirmation. The well was also drilled for oil and gas. The drilling program began early in February. A more extensive drilling program is now planned, north and east of the present site for uranium and south for the oil and gas because of the unique discovery. The Rimrock Corporation owns about 40,000 acres of oil and gas leases in Wayne and Garfield Counties. This uranium discovery was made in Garfield County just over the county line from Wayne so they will have drilling programs in both counties. o Uranium industry officials are watching Washing- ton closely as congress begans reviewing President Jimmy Carter's plans for creation of a new Energy Administration., That administration would absorb the Energy Research and Development Administration (formerly the AEC) and there are fears that the ERDA function will be dilluted in light of the administration's feeling that the nuclear energy industry should be de-emphasized in the U.S. o General Electric has spent half a million dollars in the Naturita area of the Uravan Mineral Belt, building an ore-buying station and setting up contracts, according to information this week in the San Miguel Basin Forum. The company is now paying out a quarter of a million dollars a month for uranium ore to be milled later. That's for only 3,000 tons of ore a month, when they would like to get 20,000 tons. The goal, according . to the Forum, is a million pounds of uranium oxide out of perhaps 200,000 tons of ore. In order to get the ore, GE is offering miners some haulage costs and loans of up to 820,000 that don't have to be repaid if no uranium is found. o In June, 1976, Rio Algom Corporation was served with a subpoena in aid of an inquiry being carried on by a Grand Jury convened by the U.. Department of Justice, an interim report from the? corporate offices stated this week. The stated purpose of the inquiry is to investigate into the world-wide practicesin-t uranium production and marketing. Rio Algom Corppas replied to the subpoena. Subsequently, in October 1976, Westinghouse Electric Corp. commenced an action in the U. S. District Court for the Northern District of Illinois in which 29 defendants are named, including Rio Algom Limited and Rio Algom Corp. The complaint filed by Westinghouse alleges illegal combinations and conspiracies among the defendants to restrain both the interstate and foreign commerce of the United States in violation of the Sherman Antitrust and Wilson Tariff Acts. On the advice of counsel, Rio Algom Limited did not appear in the action and the resulting default has been noted on the court record. Rio Algom Corp. has filed an appearance to the action and will contest Westinghouse's complaint. |
