Morning Briefing - March 20, 2019
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March 20, 2019

WIPP Subcontractor Buys Carlsbad-Area Hotel Amid Oil Boom

By ExchangeMonitor

Anyone visiting the Energy Department’s Waste Isolation Pilot Plant (WIPP) in New Mexico these days should not count on finding a cheap hotel room around Carlsbad, N.M.

Rooms are scarce and midweek rates can run from $148 per night at the Super 8, to $289 at the Days Inn, to $409 at the La Quinta Inns and Suites, according to an Internet search. The rates are fairly eye-popping for a largely rural area, acknowledged Donavan Mager, spokesman for WIPP prime contractor Nuclear Waste Partnership.

The high room cost, driven mainly by workers drawn by a local oil and gas boom, prompted the subcontractor building WIPP’s new ventilation system to buy a local hotel to ensure it will have somewhere for its employees to stay, Mager said Tuesday. If it chooses the contractor could likely resell the property after the ventilation project is done.

Critical Applications Alliance (CAA) in November received a $135 million contract to build a new underground ventilation system at the underground disposal facility for the Energy Department transuranic waste. Comprised of Christensen Building Group and Kilgore Industries, both of Houston, Texas, the contractor purchased a local “mom and pop” hotel that came on the market and is refurbishing it for employee use, Mager said.

The booming oil and gas business is also increasing WIPP’s competition for labor, and the traffic around the facility.

About 1,555 vehicles per day of non-WIPP traffic now uses an access road near the DOE facility. Roughly two-thirds of the outside traffic consists of oil and gas industry trucks, according to an October 2018 department environmental assessment for a new stretch of WIPP bypass road. An additional 3,400 trucks could be added by 2021 when the southeastern New Mexico oil and gas boom is expected to peak.

The new ventilation system, expected to be operational in 2021 to 2022, is expected to triple airflow in the WIPP underground and enable full waste emplacement and mining operations for the first time since a 2014 accident.

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NEW: Via public records request, I’ve been able to confirm reporting today that a warrant has been issued for DOE deputy asst. secretary of spent fuel and waste disposition Sam Brinton for another luggage theft, this time at Las Vegas’s Harry Reid airport. (cc: @EMPublications)

DOE spent fuel lead Brinton accused of second luggage theft.



by @BenjaminSWeiss, confirming today's reports with warrant from Las Vegas Metro PD.

Waste has been Emplaced! 🚮

We have finally begun emplacing defense-related transuranic (TRU) waste in Panel 8 of #WIPP.

Read more about the waste emplacement here: https://wipp.energy.gov/wipp_news_20221123-2.asp

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