NEW YORK The U.S. Forest
Service has completed a review of the operational plan for U.S.
Energy Corp.s proposed Mount Emmons molybdenum project in
Gunnison County, Colo., allowing the company to begin scoping
and analysis under the National Environmental Policy Act.
An environmental impact
statement will now be prepared for the project, which will
subsequently be subject to public review and comment.
"We are very pleased to have met
this major project milestone," Keith Larsen, chief executive
officer of the Riverton, Wyo.-based company, said in a
statement. "This key step will allow us to share the detailed
mine plan with the local communities and to discuss the
significant economic benefits associated with the project."
The Mount Emmons Mine is
expected to produce 8,500 tons of ore per day in its first year
of operation and ramp up to 12,600 tons per day by its fourth
year. Its operational life is estimated at 33 years.
Initial development of the
higher-grade ore is expected to produce 22 million pounds of
molybdenum in its first year, ramping up to 27 million pounds
by the third year and then averaging 17 million to 20 million
pounds annually thereafter.
Mine, mill and infrastructure
development is expected to take between three and four