ML19350F019
| ML19350F019 | |
| Person / Time | |
|---|---|
| Issue date: | 06/08/1981 |
| From: | Dircks W NRC OFFICE OF THE EXECUTIVE DIRECTOR FOR OPERATIONS (EDO) |
| To: | |
| References | |
| TASK-PINV, TASK-SE SECY-81-361, NUDOCS 8106240061 | |
| Download: ML19350F019 (6) | |
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3 me==5 POLICY ISSUE k,s [
June 8, 1981_
(Notation Vote)
SECY-81-361 For_:
The Commissioners From:
William J. Dircks Executive Director for Operations
Subject:
APPROVAL OF PROPOSED LICENSE TO EXPORT HIGH ENRICHED URANIUM TO FRANCE (LICENSE N0.
XSNM01787)
Purpose:
Commission review of proposed issuance of subject license to Union Carbide Corporation.
Review Dates:
60-day period expires on June 23, 1981.
120-day period expires on August 22, 1981.
Discussion:
On February 9,1981, Union Carbide Corporation filed an application for a license to export 10.8 kilograms of uranium, enriched to 93.15% U-235,to France.
The material, in the form of uranium metal,will be shipped to CERCA in France for fabrication of 55 fuel elements for linion Carbide's Sterling Forest reactor in Tuxedo, New York.
The Sterling Forest reactor, a 5 MW research and test facility, is used for solid state physics, radiochemical analysis and effects, materials irradiation, and medical radioisotope pro-duction.
In fact, the Sterling Forest reactor is currently the sole commercial supplier of a broad range of radiopharmaceuticals in the U.S.
There is no commercial manufacturer in the. U.S.
of the HEU fuel elements used by this reactor.
Union Carbide notes in its application that an unprecedented series of regulatory delays have extend 5d the fuel procurement process to seventeen months: twelve months to obtain an export license and ship the material and five months to fabricate the
Contact:
Janice Lee, IP 49-27984-8106240 M
2 Discu:sion:
material into reactor fuel elements. An export license is (Continued) requested by August 1981, so that the reactor can continue operating to assure a reliable supply of medical products for U.S. customers.
In response to our request for views, the Executive Branch has: (1) concluded that the requirements of the Atomic Energy Act of 1954, as amended by the Nuclear Non-Proliferation Act of 1978, have been met and that issuance of the proposed license would not be inimical to the common defense and security of the United States; (2) confirmed that the material will be suoject to all the terms and conditions of the U.S.-
EURATOM Additional Agreement for Cooperation; (3) noted that EURATOM has adhered to the provisions of its Agreement for Cooperation with the U.S.; and (4) advised that there ',ere no material changed circumstances since submission of its detailed
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analysis of December 8,1978 on proposed exports to EURATOM (see XSNM01212, SECY-78-639A; XSNM01232, SECY-78-640A; XSNM01238, SECY-78-641A; and XSNM01241, SECY-78-645A).
Among other things, the Executive Branch's April 23, 198), letter notes that:
--According to Union Carbide, a total of 11.22 kilograms of U-235 was on hand either at the reactor site or in fabrication at CERCA,as of February 1981. Since annual reactor fuel require-ment is approximately 5.4 kilograms of U-235, the inventory amount would permit operation until early 1983.
--The quantity of ma.terial now being requested would allow normal operation until late October 1984, when suitable lower-enriched fuels may be available for use.
The Executive Branch analysis on this export states that Argonne National Laboratory (ANL) has examined the conversion potential of the Sterling Forest reactor and concluded that it can be converted to use of 45 percent enriched fuel in the near term 3
and to use of 20 percent en,riched fuel in the longer term without redesign or substantial loss of performance. When silicide fuels become available, conversion to 20 percent fuel could be accomplished with little performance loss.
Union Carbide would prefer this approach.
Union Carbide notes in its application that the first scheduled demonstration of reduced enrichment fuel element funded by the DOE Reduced Enrichment Research and Test Reactor Program (RERTR) wi l come from prototype fuel elements to be fabricated by French l
and German manufacturers for the Ford Nuclear Reactor at the
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Discussion:
University of Michigan. The experimental fuel elements are not (Continued) scheduled to arrive until July 1981, and full core. testing _of the new elements will not begin until February 1982. Allowing time for in-core irradiation of the fuel and eval'1ation and presentation of its performance, a demonstrated low-enrichment technology is not expected before mid-1982.
t
. Based on the expectation that the new 20% enriched elements will l
reduce approximately 8% of the peak thermal neutron flux levels in the' Ford reactor, Union Carbide is of the opinion that the same reduc. tion in i.he Sterling Forest reactor flux would result in a definite performance loss.
Furthennore, lowering enrichment in the Sterling Forest reactor to even 50% would remove Union Carbide's options for increasing the licensed power level or lengthening the core life. Union Carbide believes that the LEU technology best suited for the Sterling Forest reactor may be silicide or zirconium hydride,which will not be demonstrated for some time.
Based on the above, the staff has concluded that the Sterling l
Forest reactor may be converted to lower enriched fuels when such j
fuels are developed, demonstrated,' and available on a coninercial basis.
In the meantime, the material requested in application XSNM01787 is needed to assure normal operation, and, therefore, this interim shipment of 93.3% enriched uranium is justified.
l The staff notes that Union Carbide nuclear reactor personnel are presently considering extending fuel element lifetime by increasing the loading of highly-enriched uranium per element by utilizing burnable poisons. This technology has already been demonstrated and successful.
It is also appealina to Union Carbide because utilizing burnable poisons has financial advantages in tenns of J.
reducing fabrication, transportation, reprocessing, and security costs. Union Carbide notes that,if the RERTR's program of low enrichment is undertaken at Sterling Forest, the option for utilizing burnable poisons would not be avai'lable and,. consequently, 3
may result in a financial penalty to Union Carbide.
The staff notes that the President has issued Executive Order 12295, dated February 24, 1981. extending the exemption of EURATOM from certain requirements of Section 127 of the Atomic Energy Act, as amended, for a period of twelve months through March 10, 1982.
i
4 International France has signed a safeguards agreement with the IAEA. under Safeguards and_
its voluntary offer, but it is unlikely that it will be implemented Foreign physical in the near future.
Staff has no information on whether CERCA, Security Review:
which will do all of the fabrication work, will be listed as one of the eligible facilities for application of IAEA safeguards under this agreement. As a nuclear weapon state, France is not subject to full scope safeguards requirements.
Very little information on the application of IAEA safeguards. at French facilities is currently available and no information is available concerning the specific safeguards requirements imposed at CERCA by EURATOM.
EURATOM does have a resident inspector at CERCA.
Staff has reviewed the physical security program for CERCA and found it in accordance with the requirements of 10 CFR 110.4.2 and 110.43 for the purpose of this export.
==
Conclusion:==
The staff believes that there are no material changed circumstances concerning exports to EURATOM which would affect the Comission's consideration of licensing criteria and which have occurred since issuance of export licenses (e.g.,
XSNM01362, SECY-80-287, and XSNM01595, SECY-80-321) for material to EURATOM after Comission review. Accordingly, the staff believes that the proposed licenses should be issued.
This procedure is authorized by !il10.44(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.
Recomendation:
That the Comission authorize the issuance of the proposed license to Union Carbide Corporation.
William J. Dircks Executive Director for Operaticas
Enclosures:
1.
Appendix A - Application XSNM01787 dated 2/9/81 2.
Appendix B - Executive Branch ltr dtd 4/23/81 l
I
5 Commissioners' comments should be provided directly to the Office of the Secretary by c.o.b. Tuesday, June 16, 1981.
Commission Staff Off' comments, if any, should be submitted to the Commissioners NLT June 12, 1981, with cn information copy to the Office of the Secretary.
If the paper is of such a n=ture that it requires additional time for analytical review and comr. ant, the Commissioners and the Secretariat should be apprised of whef. comments may be expectad.
DISTRIBUTION:
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NEW YORK, NY 10036 FRANCE Nb.
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uLTiuATE CONSIGNEE. GIVE N AME ANo AcoRESS.
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- 5. (a/ Qu ANTITY To SE SHIPPEo (6) COMMOce?Y oESCRIPT1oM (Include chewncal ard physwW forwe for special nuclea meerial and C=.y s'See instructaons on haci) 6)pmduct matertet also spectly isotopic content.' t/ n a devsce, sdcrWify the devsce, snesut Jcturer.
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WD URANIUM ENRICHED TO APPR0XIMATELY 93.15% IN THE ISOTOPE 10*8 KGS*
M=.1 U-235W/0 MAXIMUM
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/80Ndy N N (c) Snsee<Na ano,ncnana eRocEouRES taeeuired for speciat re.ctra masenat. see in truct.ons on sacs.)
5 WILL PACKAGE IN ACCORDANCE WITH FEDERAL REGULATIONS BY OAKRIDGE NATIONAL 2
LABORATORY a.d ti ENo USE oF CoMMoceflES CoVEREo BY THIS APPuCATloN: (Desenhe fully, staang uheJ well be proAced or maradactated, uhar servi
_,y well be rendered. on the nature of the reseech that as<ll be performed.) (See intructsons un back for special nuclear maternat.)
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To fabricate fifty five (55) cenventional Union Carbide nuclear reactor fuel elements
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- and return to Union Carbide Corporation, Tuxedo, NY.
Please refer to the following
==5 export licenses issued to Union Carbide previously: XSNM01354 and XSNM01595 h
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- 10. The applicant, wd any officiakerecuting this cestificate on behalf of the applicant named in item 4. certify that this app!icanon
....Z is pepared in confermiry wirfi-Title 10. Code of Federal Reputations. Parts 30 and 36 (if for byproduct material) or Part 40 (if for source material), or Part 70 (if for special nuclear matenal), and Part 71 (for transport of radaoace.ive material. if applicable)
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r and that all information contained herein, including any supplements attached hereto, as true and correct to the best of their knowledge and belief.
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woming: 18 U.S.C. 5.ction 1001; Act of June 25, 1948: 62 Stee. 749; mokaa it e criminal offense se make a willfully foise este.
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9 UNION CARBIDE CORPORATION
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February 10, 1981
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- a.t 'L STG,;3 Mr. R. N. Moore Office of International Programs Nuclear Regulatory Commission Maryland National Ban % Building Room 8211 Washington, D.C.
20555
SUBJECT:
SHIPMENT OF FULL" E;. RICHE 0 URANIUM 235 TO ;RANCE
Dear Mr. Moore:
Enclosed is a completed application, Fonn AEC-7 in triplicate, submitted on behalf of Union Carbide Subsidiary B, requesting authorization to export to C.E.R.C A.,
41 Avenue Montaigne, 75008 Paris, France 10.8 Kgs. of Fully Enriched (93.15".)
Uranium 235.
The uranium is to be fabricated by C.E.R.C.A. into fifty-five (55) conventional Union Carbide Nuclear Reactor fuel elements and returned to the United States. ~here will be a small loss during this fabrication.
Applications submitted in the past for similar transactions have been approved and all conditions set forth therein fully observed by Union Carbide Corporation. The latest license to be granted to us is Number XSNM 01354 and.XSNM 01595.
The Union Carbide Nuclear Reactor is this country's sole corr.nercial supplier of a broad range of radiopharmaceuticals.
We believe it tc be in the national interest to maintain a sufficient inventory of reacter fuel to assure the continued and timely supply of these materials for the medical comunity.
An unprecedented series of regulatory delays has extended our current fuel procurement process to 17 months; 12 months to export material to the foreign fabricator (since there is not a domestic comercial fabricator of the required type of fuel),_and.5 months to fabricate the material into reactor fuel elements.
We request that the export license be issued no later than August 1981 so that we can in turn assure the nation of a reliable supply of medical products.
I to maintain a one year supply of fuel.
This a_._
! uncsartainties in the fuel cycle and the ever L
DUPLICATE DOCUMENT 1ms of fuel manufacturars pulling out of the H
J insportation delays, and new U.S. and foreign p
Entire document previously could encounter.
These delays are accepta.ble q
entered into system under:
an adequate fuel inventory.
The circumstance
- r reactor operations and would cause a serious Bo3o3o93.7
-iltuation.
Our country's sole supplier of p
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[ID0jg77 United States Nuclear Regulatory Commission Room 6714 - MNBB Bethesda, Maryland Sb, H ELA F
Dear Mr. Shea:
his letter is in response to the letter from your office dated February 26, 1981, re. questing Executive Branch views as to whether issuance of an export license in accordance with the application hereinafter described would i
be inimical to the common defense and security of the United States and whether the proposed export meets the applicable criteria of the Atomic Energy Act of 1954, as amended by the Nuclear Non-Proliferation Act of 1978:
NRC No. XSNM01787 - Application by Union Carbide Corporation for authorization to export to France 10.06 kilograms of U--235 contained in 10.8 kilograms of uranium in the form of uranium metal enriched to a maximum of 93.15 percent.
His highly-enriched uranium is to be used in the fabrication of fuel elements by CERCA, Romans, France, for the Union Carbide Sterling Forest Reseach Reactor in the United States.
De proposed export to France for fabrication of fuel elements would take place pursuant to the Additional Agreement for Cooperation Between the United States and the European Atomic Energy Community (EURATOM) as confirmed in a letter from the Delegation of the Commission of the European Communities, a copy of which is enclosed. EURATOM has adhered to the provisions of its Agreement for Cooperation with the United States.
De Executive Branch has reviewed the application and concluded that the requirements of the Atomic Energy Act, as amended by the Nuclear Non-Proliferation Act of 1978, have been met and that the proposed export will not be inimical to the common defense and security of the United States. A detailed analysis for EURATOM was submitted December 8.1978 for NRC application Nos. XSNM01212, -01232, -01238 and -01241. In view of Executive Order 12295, extending the duration of the period specified in the first proviso to Section 126e.(2) of the Atomic Energy Act of 1954, as amended, to March 10, 1982, that detailed analysis remains valid.
Dere has been no other i
material change in circumstances since that submission.
De Union Carbide Research Reactor is a 5 MW research and test facility located at Sterling Forest, New Yor': and owned and operated by the l
Union Carbide Company.
It is used for solid state physics, radiochemical Lp / o50 #8
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. analysis and effects, materials irradiation and medical radioisotope production.
It is currently the sole commercial production source in the United States of many radiopharmaceuticals.
'Ihere is at this time no commercial manufacturer in the U.S. of the HEU fuel elements used by this reactor.
'Ihe Argonne National Laboratory has examined the possibility of conversion of this reactor to use of lower enriched fuel and concluded that it could be converted to use of 45 percent enriched fuel in the near term and to use of 20 percent enriched fuel in the longer term without redesign or substantial loss of performance.
When silicide fuels become available, conversion to 10 percent fuel could be accomplished with little performance loss. Union Carbide would prefer this approach.
According to Union Carbide, a total of 11.22 kilograms of U-235 in irradiated HEU was on hand either at Sterling Forest, USA, or in fabrication at CERCA as of Februa,y 1981.
'Ihe annual reactor fuel requirement is approximately 5.4 kilograms of U-235. 'Ihe elements on hand or in process of fabrication at CERCA will permit operation until early 1983.
The current request of 10.06 kilograms U-235 should allow for operation of the reactor untillate October 1984, when suitable lower-enriched fuels may be available for use.
On the basis of the foregoing, the Executive Branch recommends that the license be issued.
Sincerely, e
m / b, Louis V. N enz Deputy Assistayt Secre ary
Enclosure:
Assurance letter i
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DELEGATION OF THE COMMISSION OF THE EUROPEAN COMMUNITIES March 25, 1981 JM/aks Mr. John A. Griffin Director, Division of Politico-Military security Affairs Officeof International Security Affairs Department -if Energy Washington, D.
C.
20585
Dear Mr. Griffin:
Subject:
Union Carbide Corporation's application no. 281, dated February 9, 1981 for France -XSNM 0 1787 We certify that the material mentioned in this application, namely 10.8 kg of U enriched to approximately 93.15% in U-235'and the transfer of this material will be subject to'all terms and conditions of the Additional Agree-ment for Cooperation, dated July 25, 1960, as amended.
Further, we certify that CERCA, Paris, France, as ultimate consignee, is authorized by EURATOM to receive and possess this material pursuant to the afore-mentioned Agreement for Cooperation.
The material will be used to fabricate 55 fuel elements, and returned to Union Carbide, USA.
Sincerely, k6 J. Marchal Secretary Nuclear Supply
/
cc:#Mr. Robin De LaBarre, Department of State Ms. Betty Wright, Nuclear Regulatory Commission Mr. C. G. Balelis., Union Carbide Corporation i
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