Blow for Augean as nuclear waste disposal plan is blocked

The Wetherby-based company said Northamptonshire County Council's decision came after it submitted a planning application to allow its East Northants resource management facility to dispose of low level waste.

This would include construction waste, mainly soils and

rubble, with small amounts of radioactivity, arising from the demolition of offices and the decommissioning of power stations.

It would also include other sources such as hospitals and science and research facilities.

Analyst Charles Pick at FinnCap said that the planning application proved emotive, with at least 80 public objections known to have been made.

"This is even though the radioactivity levels of the waste concerned are extremely minute," he said.

The planning proposal was supported by planning officers of the county council and by the Environment Agency, who have been urgently seeking cheaper outlets for the low level nuclear waste arising from demolishing ancillary buildings at nuclear sites undergoing decommissioning.

"It is odds on that Augean will win on appeal," said Mr Pick.

In a statement, Augean said: "We believe that the refusal was not based on sound scientific or policy grounds and will update the market on the appeal process."

Mr Pick said the delays suffered will be a blow and could add pressure to this year's forecast.

Protesters said the landfill site was close to the source of Huntingdonshire's water supply .

The move was opposed by Peterborough City Council, Friends of the Earth and local residents.

Friends of the Earth said contamination leaks could pollute nearby rivers.

Earlier this year, Augean issued a profits warning following the bad weather and the effects of the recession.

It said profits for the year to December 31 would be significantly below expectations.

The group said it had a strong balance sheet and that it anticipated a boost to its trading as the economy strengthened.

Last year, the firm spurned a takeover approach from Irish investment company One51 and raised 13m through a share placing.