a Media Department  of Trade and  Resourcesfit ___________  -XL.10.71RANGER URANIUM PROJECT(Statement by the Deputy Prime Minister and Minister for Trade and Resources, the Rt Hon.  J.D. Anthony, M.P.) . Â·_____ _______________________________________________________ Ã¢ÂÂ  __________________________________________________________________________ ___________________ i ________________ f >.  fFollowing the examination that has so far been made of the proposals received from both Australian and foreign organisations to acquire the Government's interests in the Ranger uranium project, the,.Government has decided to have discussions with the following "organisations:.  Agip Australia Pty. Ltd..  Australian United Corporation Ltd. ..  Brambles Industries Limited'  .  British Civil Uranium Procurement Organisation/.  Urangesellschaft.  Cogema/Electricite.de France.  CSR/Minatome (France)/Korea Electric and Samsung (Korea) .. Denison Mines (Canada).  Esso Australia Ltd. ..  Mary Kathleen Uranium Ltd. '.  Newmont Proprietary Limited.  Peko-Wallsend Ltd. (encompassing Japaneseand other utilities).  Phillips Uranium Corporation (USA).  Union Carbide Corporation (USA).  Utah Development Co. .As the proposals received are very diverse in their .  nature, these discussions will be directed to clarifying and refining the proposals submitted by those, organisations.  This will enable the Government to assess in more detail the value of the proposals and to make a decision in due course on whether or not to divest.. . ./2

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It is the Government's desire to resolve this matter  as promptly as possible so that there will be no unnecessary  uncertainty in the market for Australian uranium.

The discussions will be held on the basis that, if  the Government does decide in favour of divestment -Ã¢ÂÂ¢  .  the whole of the Australian Atomic Energy Commission's interest in the project would be

assigned to a single assignee, whether this  be a single organisation or a consortium  constituted as a corporate body;

Ã¢ÂÂ¢  .  the whole of the Commonwealth's entitlement to  uranium and any other minerals produced at  Ã¢ÂÂ   Ranger would be assigned;  and

.  the level of foreign participation in the Ranger  project would be limited to a maximum of 25%,  in accordance with the basic objective of the  '  Government's foreign investment guidelines and  '  that for its part the. Government would not

dispose of more than 25% of its interests to  foreign organisations - that is not more than , 12^% of the total prefect.

The Government would, of course, be looking to any  potential assignee to accept not only the financial obligations  to the project of the AAEC, but also the other financial  obligations presently being borne by the Commonwealth Government.

Should the Government decide to divest, any assignment  would ensure that the Government's obligations to the  Aboriginal people in respect of the Ranger project would not  be affected by the Government's decision. Those obligations  would continue to devolve upon the Commonwealth and would be

honoured, without qualification. The Government would also  ensure that the environmental requirements of the project were  fully carried out. Similarly, the Government's policies in .

relation to mining,  marketing and safeguards matters would not  be affected.  Like any other producer of uranium in Australia,  any assignee would be required to comply in full with these  policies and to seek my approval before making any firm offers,   or entering into any legal commitments, to export uranium from  the Ranger mine.

Before any final arrangements could be made to divest,  Peko-Wallsend Ltd. and the Electrolytic Zinc Company of  Australasia Ltd., would be given the opportunity, as is provided  for in the Ranger Government Agreement,  to exercise their first  right of refusal over the AAEC interest in the project.

Canberra, 26th October, 1979

