world’s largest producers to abandon its operations.

French company Areva Resources has vented its frustration over Labor’s intention to reinstate the ban on uranium mining by turning its back on exploration in the state.

Areva had been exploring in the Karumba and Carpentaria basins since about 2012 and spent almost $10 million in exploration.

Areva Resources Australia managing director Joe Potter said the company would not apply for new exploration tenements in Queensland in the near future.

Areva held more than 75 exploration licences covering about 20,000 square kilometres of the Gulf Country region with regional reconnaissance drilling programs across the area since 2012.

The company had been exploring in the region since the former LNP government overturned the ban in 2012 but conceded the results had been underwhelming.

“Areva has been exploring in Queensland since the uranium mining ban was overturned,” he said.

 “The results of the drilling on the tenement portfolio we held during the past four years has been disappointing.”

“We have decided to discontinue exploring these tenements on technical grounds.”

“We have decided to cease uranium exploration in Queensland until there is stability in the mining policy.”

Minister for State Development, Natural Resources and Mines Anthony Lynham said his party will reinstate the ban, a move which does not invoke confidence for uranium miners and investors.

“It does not provide confidence for any company to invest in uranium exploration in Queensland,” Mr Potter said of the change in policy.  

“AREVA has been a pioneer in uranium exploration and discovery since the 1960s and still aims to become a uranium producer in Australia in the future.”

Mr Potter said Areva Resources Australia employed an in-house team of three exploration geologists full time, plus support staff and contractors to conduct the drilling programs.  

“Generally speaking each drilling program directly employed approximately 10-12 people,” he said.

“AREVA uses local contractors wherever possible, for example the main drilling contractor was north Queensland-based.”

 “All food, fuel and other consumables are derived from the local region for our exploration programs.”

Mr Potter said the company would consider returning to Queensland  “once there is stable policy and investment confidence is returned”.

Australian Conservation Foundation Northern Australia campaigner Andrew Picone praised Areva’s decision to abandon its projects in Queensland.

“The fact that Areva have pulled up stumps in Queensland’s Cape region and Gulf country only illustrates the market’s global contraction and the push by the Queensland Resources Council is ill-informed and ideologically driven,” he said. 

“It is economically negligent to pin a region’s hopes to an industry in decline, unlikely to ever eventuate.”

Mr Picone said the Gulf region needed to target better opportunities to boost the economy.

“Regions like the Gulf need realistic economic opportunities, not the radioactive fantasies of uranium industry apologists,” he said.