ML19351D327

Recommends That License Be Issued to GE for Export of 639 G U-235 & 26.2 G Pu,Contained in 7,864 G U,To Taiwan.Draft License Encl

ML19351D327
Person / Time
Issue date:	09/18/1980
From:	James Shea NRC OFFICE OF INTERNATIONAL PROGRAMS (OIP)
To:
References
TASK-CA, TASK-SE SECY-80-401A, NUDOCS 8010090541
Download: ML19351D327 (4)

Text

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1 COMMISSIONER ACTION Sectember 18. 1980

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SECY-80-401A For:

The Commissioners From:

James R. Shea, Director sf s

y Office of International Programs n.

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Thru:

Acting Executive Director for Operations l

Subject:

PROPOSED LICENSE TO EXPORT LOW-ENRICHED URANIUM AND DLUTONIUM TO TAIWAN (SECY-80-401) (XSNM-1542) 1

Purpose:

Cocaission review of proposed issuance of subject license to General Electric Company.

Review Dates:

60-day period expires on October 20.

120-day period expires on December 19.

Discussion:

In July 1979, General Electric Company applied for a license 7

to export to Taiwan 642 grams of U-235 and 34.1 grams of i

plutonium contained in 8,403 grams of irradiated uranium enriched to 10.3 percent, including one mixed oxide fuel rod.

In October 1979, General Electric revised its application to delete the mixed oxide rod. This deletion was made at the request of the Executive Branch in view of concerns regarding U.S.

pport of Taiwanese mixed oxide research l

activities.

Ih s the operative application is for 639 grams l

U-235 and 26.2 grams plutonium contained in 7,864 grams I

uranium.

The material, in the form of irradiated metal-J.ad

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experimental and prototypical fuel rods, will be used for post-irradiation examination and disposal.

General Electric originally sought DOE authorization to retransfer the caterial frem Norway to Taiwan.

However, we understand that, not l

having diplomatic relations with Taiwan, Norway declined the I

request to execute the required MB-10.

Thus, an import license was requested and issued.

This application is being forwarded to the Cc==ission in accordance with the July 28, 1980 Delegation of Authority.

Contact:

Willian Upshaw, I? (49-28153) 8010 0 905Y/

)

s The Commissioners 2

Discussion:

In connection with its review of this application, the (Continued)

Executive Branch has (1) concluded that the issuance of the license would not be inimical to the common defense and security of the United States; (2) confirmed that the material will be subject to the June 1979 Agreement for Cooperation between Taiwan and the U.S., as amended in June 1974; and (3) confirmed that Taiwan has adhered to the provisions of that Agreement.

International Staff has received assurances from the Executive Branch Safezuards that the Hot Cell in which the irradiated fuel will be and Physical tested is part of the hot lab that is included in the Security Facility Attachmant for the INER R&D Center. Further, Review:

the TRR facility in which the fuel will be stored is also safeguarded under a Facility Attachment.

Although there is insufficient information to completely evaluate the effectiveness of IAEA safeguards implemen-tation in Taiwan, staff believes control and accounting for the fuel on an item basis is within the capability of Taiwan and IAEA.

All nuclear materials in Taiwan are subject to IAEA safeguards as was discussed in SECY-79-220.

Staff has reviewed the physical security program in Taiwan and found it adequate for the purposes of this export.

==

Conclusion:==

Based upon our independent analysis of this case and the Executive Branch's views, IP has determined that the pro-posed export meets all of the relevant criteria of the Atomic Energy Act of 1954, as amended, and that the license should be issued.

IP also agrees with the Executive Branch that, in light of the quantity of material involved, and the removal of the mixed oxide rod, a detailed analysis is not necessary.

Additional copies of the Executive Branch views of August 19 and a copy of the license application are attached at Appendices A and B, respectively. A copy of the proposed license is attached at Appendix C.

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I The Commissioners 3

i Recommendation:

That the proposed license be issued to General Electric Company.

_ Coordination:

ELD has no legal object %n.

hMSS views are presented in the context of the 1..ernational Safeguards and Physical Security Reviei.

cru James Ra Shea, Director Office'df International Programs $EF l 't.,80 c

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Enclosures:

1.

A-Executive Branch Viewsof August 19 2.

B-License Application of October 1979 3.

C-Proposed Export License XShW-1542 Comissioners' coments should be provided directly to the Office of the Secreta c.c.b. Monday, Septenber 29, 1980.

ry by Comission Staff Office coments, if any, should be submitted to the Commissione September 25, 1980, with an information copy to the Office of the Secretary rs NLT comment, the Comissioners and the Secretariat should be If the may be expected.

DISTRIBUTION Commissioners Conmission Staff Offices Exec Dir for Operations Secretariat

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DEPARTM ENT OF STATE i..**

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BUREAU OF OCEANS AND INTERNATIDIJW3 23 fi:

s ENVIRONMENTAL AND SCIENTIFIC AFFAIRS e: :,:cn AUG 191SD g,w${37cras j(b f gy g / 5 911 Mr. James R.

Shea Director of International Programs United States Nuclear Regulatory Commission jpg yd A M Room 6714 - MNBB Bethesda, Maryland

Dear Mr. Shea:

Thi.3 letter is in response to the letters from your office dated July 20, and October 29, 1979, requesting Executive Branch views as to whether issuance of an ex-port license in accordance with the application, as amended, hereinaf ter described would 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 Nu-clear Non-Proliferation Act of 1978 (P.L.95-242):

NRC No. XSNM01542 -- Application by General Electric Company for authorization to export to Taiwan 639 grams of U-235 and 26.2 grams of plutonium contained in 7,864 grams of uranium enriched to 10.3 percent.

The mate-rial in the form of irradiated metal clad experimental and prototypical fuel rods will be utilized for post-irradiation examination.

The proposed export would take place pursuant to the applicable Agreement for Cooperation entered into pursuant to Section 123 of the Atomic Energy Act, as amended, as confirmed in a letter from the CCNAA, a copy of which is enclosed.

Taiwan has adhered to the provisions of the ap-plicable Agreement for Cooperation.

The Executive Branch has reviewed this application and concluded that the requirements of the Atomic Energy Act and P.L.95-242 have been met and that the proposed export will not be inimical to the common defense and se-curity of the United States.

A detailed analysis is not believed necessary in view of the relatively small quantity of material involved.

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APPENDIX A

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On the basis of the foregoing,'the Executive Branch recommends that the license be issued.

Sincerely,

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i ww / r,,s&W Louis V. N senzo Deputy Assista 't Secrhtary

Enclosure:

-Assurance letter

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Coordin.uien Council for North American Affairs Office in U.S.A.

5161 River Road, Wuhington, D.C. 20016 November 5, 1979 Mr. David Dean Chairman of the Board and Managing Director American Institute in Taiwan 1700 N. Moore St.,

17th Fl.

Arlington, Virginia 22209

Dear Mr. Dean:

I wish to refer to your two letters both dated Septembe'r 21, 1979 and my letter dated October 2, 1979 concerning the NRC application Nos. XSNM-01540 and XSNM-01542 for export of nuclear material to the Institute of Nuclear Energy Research in my country.

I have been authorized to confirm that:

(1)-

transfers of the above-mentioned materikis will be subject to all terms and conditions of the agreement for Cooperation on Civil Uses of the Atomic Energy signed between our two countries on April 4, 1972 and entered into force on June 2,

1972 and amended on March 15, 1974.

(2) physical security measure comparable to that set forth in IAEA INFCIRC/225/ Revision I will be strictly maintained; and (3)

Institute of Nuclear Energy Research is authorized to possess and receive the materials.

I shall' appreciate it very much if export licenses can be issued against the applications as soon as possible.

Sincerely yours, 1:H.?>

Konsin C.

Shah Representative I?23 AUG 22 p-r j sa

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.S. NUCLEAR r.EGULATORY COMMIS$10N APPROVED BY GAO m22stROss21 N/R no APPLICATION FOR LICENSE TO EXPORT NUC IAR MATERtAL AND EQUIPMENT (SeeInstructions on Reverse) 2.NRC 4 UCEMsE NO.

b. DOCK ET No APPLICANT'S {e. DATE OF APPLICATION

t. APPLIC ANT *S REFERENCE 10/2/79 BR.' -79223 uSE 2X 5 9 m o / S</.a

!//440 7 /4 uSE A1PLICANT*S NAME AND ADDRESS l RIS

4. SUPPLIER'S NAME AND ADDRESS lRIS ccomposta if apoi, cont,s naooi,er of ma viais 3eneral Electric CO.

Attn: B.D. Wilson M/C 838 STHEET ADDRESS e.NAME 175 Oartner Avenue CITY STATE ZIP CODE D. STRE ET ADDR ESS San Jose Ca 95125 T E:.ErMON E NUM SE R (A sa Coor -lWumoer - Estensions

c. CITY STATE ZIP CODE 408-925-1380 F1,.ST SHIPMENT

6. FIN AL SHIPMENT '7. APPLICANT'S CONTRACTUAL 8. PROPOSEU LICENSE

9. U.S. OEPARTMENT OT ENERGY SCHEDULED SCHEDULED DELIVERY DATE EXPIRATION DATE CONTR ACT NO. /// Kaw nl Dec. 1, 1979 N/A N/A Dec. 1, 1980 N/A

' 11. ULTIMATE END USE l

O. ULTIMATE CONStGNEE l 33 (inCluol plaftt or f>Ciirty namel Institute of Nuclear Energy Research Post irradiation examination and disposal, (Exams include dimensional measurements,

b. STMET ADDRESS fission gas analyses, burn up determinations etc., and metallography.

c. CITY - STATE - COUNTRY Lung-Tan, Taiwan us. EST.OATE Os piRST uSE w - ~ 15. 10pn it. INTERMEDI ATE CONSIGNEE

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' 13. INTERMEOlATE END USE 1

s.NAME

b. ST R E ET A C O R ESS

c. CITY - STATE - COUNTRY 13a. EST. D ATE On FIRST USE

15. INTERMEDIATE END USE l

14. INTERMEDI ATE CONSIGNEE l A88

a. NAME

e. STilEET ADDRESS

c. CITY - STATE - COUNTR Y 15a. EST. DATE OF FIRST USE 16.

17. DESCRIPTION

18. MAX. ELEMENT 19. MAX. 20. MAX 21.

NRC (Include ctremical and otrysicat form oinuclear matorsal; gree dottar vatur of wElGHT WT. %

ISOTOPE wT.

UNIT USE nucles' ecuroment and comoonents) 17 Metal clad experimental and prototypical 7,864 U 10.3 639 U-23o grams fuel rods 26.2 Pu DECEIVED

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"fr 1579 a:T 9 /0949 Ql 7-g_y 9 F

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22. COUNTRY OF ORIGIN.-

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23. COUNTRY OF ORIGIN-SNM *l

. 24. COUNTRIES WHICH ATTACH I

SOURCE MATERIAL INLun6 L0 -GRWHERE ENRICHED OR PRODUCED SAFEGUARDS (if Known/

U.S.

U.S. and Norway

25. ADDITIONAL INFORMATIGN (use separare steerif neesssaryl This application amends that submitted 7/11/79 (BDW 79187). One rod, initially composed of (U+Pu)0, is deleted from the export application.

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{26. The apolicent eartsfies that this application is preoered in seniormity wrth Thie 10. Coos of Federal Regulations, and that oil information in this 1,

epolication is correct to the best of his/her know6 edge.

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I d, Ntither this license t'or any right under this license shed be assigned of THIS LICENSE IS INV Allo UNLESS SIGNED BELOW SY AUTHORIZED NRC REPRESENTAT*VE otherwi:e transferred a.n violat;cn of the provisions of the Atomic Energy g +; ( g j 3 g., g j g g y g e y Act of 1954, as amended and the Energy Reorganization Act of 1974.

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.Q(; sioes Jf said Ac s. new or hereafter in effect and to a.l vas4 rules and 7

regulations of the Nuclear Regulatory C0,mmcssen.

D ATE CF ISSU ANCE m

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