ML19263D390
| ML19263D390 | |
| Person / Time | |
|---|---|
| Issue date: | 02/28/1979 |
| From: | James Shea NRC OFFICE OF INTERNATIONAL PROGRAMS (OIP) |
| To: | |
| Shared Package | |
| ML19263D391 | List: |
| References | |
| SECY-79-073A, SECY-79-73A, NUDOCS 7903290142 | |
| Download: ML19263D390 (3) | |
Text
Eebruary 28, 1979 SECY-79-73A COMMISSIONER ACTION For:
The Comissioners o
From:
James R. Shea, Director Office of International Programs Thru:
Executive Director for Operation
~~
Subject:
PROPOSED LICENSE TO EXPORT LOW-ENRICHED URANIUM TO JAPAN (XSNM-1285, SECY-79-73)
Purcose:
Commission review of proposed issuance of subject license to Mitsui and Company.
Review Dates:
60-day period expires on March 20, 1979 120-day period expires on May 19, 1979 Discussion:
In February 1978, Mitsui and Company applied for a license to export 1,897 kilograms of uranium, enriched to 3.85%
U-235 to Japan for use as reload in the Hamaoka Unit 2 reactor. The material, in the fcrm of uranium hexafluoride, will be shipped to Sumitomo Metal Mining for conversion, then transferred to'the Japan Nuclear Fuel Company Limited j
for fabrication into fuel assemblies.
The application was forwarded for Executive Branch review and comment on March 15, 1978. On January 17, 1979, the Executive Branch (1) advised NRC that issuance of the proposed license would not be inimical to the interests of the US, including the common defense and security; (2) confirmed that the material will be subject to all the terms and conditions of the US-Japan Agreement for Cooperation; (3) confirmed that Japan has adhered to the provisions of its Agreement for Cooperation; and (4) advised that there were no material changed circumstances since the submission of its detaileo analysis or December 12, 1978 on seven proposed exports of low-enriched
Contact:
J. Dunn Lee (492-7984)
G. G. Oplinger (492-7866)
. uranium discussed in SECY-79-64, classified, dated January 24, 1979.
Under 10 CFR 110.40(b)(2), the staff would normally be authorized to process this application as a routine reload without referral to the Commission. However, due to concerns raised by Commissioner Bradford as discussed in SECY-78-4980, SECY-79-32, SECY-79-64, SECY-79-648, and SECY-79-lli, all classified confidential, the subject application is being forwarded for Commission review.
It is the staff's understanding that the exchange of notes between Japan and the IAEA bringing into force the subsidiary arrangements to Japan's safeguards agreement may mean that all the facility attachments to the subsidiary arrangements have been completed. The staff has asked State for confirmation of this.
In any event, with regard.to facilities specific to this application (Hamaoka 2, Sumitomo Metal Mining, and Japan Nuclear Fuel Company Limited), the staff has recently received a cable which advises that facility attachments have been completed for these facilities.
The staff believes there are no material changed circuir-stances concerning exports to Japan which would affect the Comission!s consideration of licensing criteria and which have occurred since export license XSNM01244 was issued on July 5, 1978 for similar material for Japan after Comission review. Assuming that Comissioner Bradford's questions are resolved, the staff believes that this proposed export license may be issued. This procedure is authorized by section 110.44(a)(2) of Part 110 and is based on section 126(a)(2) of the AEA as amended by the Nuclear Non-Proliferation Act of 1978.
The following documents are forwarded for Commission review of the subject application (1) application of February 28, 1978 and letter amendment n# 9ptember 29, 1978 (Appendix A); (2) Executive Branch views of January 17, 1979 tsppendix B); and (3) copy of proposed license (Appendix C).
NMSS Technical No information has been received concerning the Jaoanese Review:
State system of accounting and control.
- Also, NMSS has received no information concerning IAEA implementation activities and problems in Japan other than from the source which was the basis for NMSS con-clus: ens reflected in Table '/III of the November 29, 1972 memorandum to Commissioner Gilinsky. The principal conclusion of the NMSS examinations is that the available information on IAEA implementation is insufficient to permit an evaluation of the effectiveness of IAEA safeguards in Japan.
NMSS has reviewed the physical security program in Jaoan and found it adequate for the purpose of this export.
Recommendation:
That the Comissioners aporove issuance of the orocosed license to Mitsui and Company subject to resolution of Comissioner Bradford's questions in regard to Criterion 4.
In view of the age of this application (almost a year),
the Comission may wish to oroceed to authorize issuance of this license if resolution of Commissioner Bradford's questions appear likely to require a protracted period.
Coordination:
ELD has no legal objection. NMSS views on the adequacy of the accounting and control system, the effectiveness of IAEA safeguards implementation, and the adequacy of the physical security program in Japan are as stated above.
[
V s.
James R. Shea,'
etor i C(fice of International Programs
Enclosures:
As stated Comissioners' comments should be provided directly to the Office of the Secretary by c.o.b. Friday, March 9,1979.
Comission Staff Office coments, if anv, should be submitted to the Comissioners NLT March 7,1979, with an infomation ency to the Office of the Secretary.
If the
- .c.;m is or such a nature that it requires additional time for analytical review and coment, the Commissioners and the Secretariat should be apprised of when comments may be expected.
DISTRIBUTICN Comissioners Commission Staff Offices Exec Dir for Operations Secretariat