But neither side is claiming victory yet - a hint that there may be more tussling ahead over how some hazardous wastes are handled at the site.
In addition, a few loose ends remain in the case that began nearly seven years ago, when the EPA went to court to force the company to take greater care with hazardous waste it produces when it transforms salty lake brine into magnesium metal alloys that are used to strengthen steel.
The federal government contends the company should comply with the Resource Conservation and Recovery Act, the nation's cradle-to-grave hazardous-materials-handling law, to protect the health of workers and the environment. But the company has insisted from the start that Congress exempted their processing waste from that law.
U.S. District Judge Dee Benson's decision largely validated the company's view. His Oct. 15 ruling noted in several places that, if EPA wanted to stop USMag from dumping the controversial wastes in outside ditches, it should have put a stop to the practice in the regulations developed nearly 20 years ago.
He also hinted that EPA could have tried to revoke the exemption, based on information that has surfaced over the years.
The EPA wouldn't say whether it might now try to rein in USMag's practices administratively or whether it might otherwise fight the ruling. But Andrew Lensink, an enforcement attorney for EPA's Denver region, indicated the case is not over.
One reason is that Benson did not rule on a part of the agency's case that deals with cancer-causing PCBs, which also have been found in excessive amounts in the USMag waste stream. In addition, the agency continues to be concerned about the company's waste practices.
"EPA is very disappointed with this decision," said Lensink, "particularly because the Great Salt Lake is in an area of great ecological importance. We will continue our efforts to bring this facility in compliance with the environmental laws to fully protect humans and the environment."
USMag also remains cautious.
“We're pleased with the judge's decision,” said Tom Tripp, technical services manager for the company. “It appears to be fairly thorough and well-reasoned. We're in the process of evaluating what the implications of that decision are.”
USMag is the only remaining primary magnesium producer in North America, and it has struggled mightily to remain viable in a market increasingly dominated by China.
About 400 people work at the company, which operates the processing plant 23 miles northwest of Grantsville.
fahys@sltrib.com
* The EPA files suit Jan. 16, 2001, against Magnesium Corporation of America over its handling of hazardous wastes, including hexochlorobenzene, a chemical that was outlawed as a poison in 1976 that is a by-product of the company's manufacturing process. The proposed fines total $902 million.
* MagCorp declares bankruptcy that summer and its owners, led by the controversial New Yorker Ira Rennert, buy back the Utah plant in what some feared was a move to wriggle from the lawsuit.
* Renamed U.S. Magnesium, the company completes a $40 million makeover, dramatically cutting its electric power costs and its emissions of chlorine gas.
* The EPA expands its suit against USMag in May 2005 to cover its handling of cancer-causing PCBs, polychlorinated biphenyls.
* Last year, negotiations between regulators and the company broke down and the suit went forward. U.S. District Judge Dee Benson largely sided with USMag in an Oct. 15 ruling.
