ML20012C456

Requests Commission Review of Proposed License to Export 26,747.26 Kg Nuclear Grade Graphite to Japan

ML20012C456
Person / Time
Issue date:	03/16/1990
From:	James Shea NRC OFFICE OF GOVERNMENTAL & PUBLIC AFFAIRS (GPA)
To:
References
TASK-PINV, TASK-SE SECY-90-095, SECY-90-95, NUDOCS 9003210323
Download: ML20012C456 (6)

Text

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POLICY ISSUE March 16, 1990 SECY-90-095 TheCommissi{nNotation Vote)

For:

From:

James R. Shea, Director

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International Programs Office of Governmental and Public Affairs

Subject:

PROPOSED 1.lCENSE TO EXPORT NUCLEAR GRADE GRAPHITE TO JAPAN

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(XMAT0341) t

Purpose:

To request Commission review of the proposed license to export 26,747.26 kilograms of nuclear grade graphite to Japan. This request is being referred to the Commission because, according to 10 CFR 6110.40(a)(3), the Commission will review license applications of 1,000 kilograms or more of nuclear grade graphite.

Discussion:

In an application received on December 14, 1989 (Appendix A),

UCAR Carbon Company, Inc. of Danbury, Connecticut requested a license to export 152 pieces of nuclear grade graphite blocks weighing approximately 58,967 lbs. (26,747 kgs.) for use as side reflectors and plenum blocks in the High Temperature Engineering Test Reactor (HTTR) currently under construction in Japan by Fuji Electric Company.

Fuji is the general contractor of the reactor for the Japan Atomic Energy Research Institute, which will be the end user. The reactor site is located in 0arai-Machi, Ibaragi Prefecture, Japan.

Its intended power level is 30 Mw (Thermal), using 6 percent enriched uranium dioxide fuel.

Executive Branch Views:

l In response to NRC's request for views, the Executive Branch, in a letter dated January 25, 1990 (Appendix B), recommends that a license be issued to UCAR Carbon Company.

The letter notes that, as an NPT party, Japan has committed itself to maintaining IAEA safeguards on all of its peaceful nuclear activities and has pledged not to produce or otherwise acquire any nuclear explosive device, which satisfies Criteria (1)~ and (2) for exports of nuclear components, substances, and items under Section 109 of the Atomic Energy Act. The Executive Branch response further advises that the remaining criterion, 1

agreement not to retransfer any U.S. supplied component, substance, or item without prior U.S. consent, has been NOTE:

TO BE MADE PUBLICLY AVAILABLE

Contact:

Mike Congdon, GPA/IP WilEM THE SRM IS MADE AVAILABLE X20743 S

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l-I The Commission L satisfied by the receipt of a generic assurance letter from i

the Embassy of Japan. Accordingly, it is the opinion of the Executive Branch that the export will not be inimical to the

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common defense and security of the United States, and that this export is consistent with the provisions of the Atomic Energy Act of 1954, as amended by the Nuclear Non-Proliferation 1

Act of 1978. No other conditions have been placed on the f

export by the Executive Branch.

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S,taff Assessment:

Japan is a party to the NPT and, as such, accepts IAEA safeguards on all its source and special nuclear material in t

its nuclear activities. While nuclear grade graphite is not subject to IAEA safeguards in NPT countries under Article t

111(2) of the Treaty, the reactor (HTTR) will be so subject.

Information available to the staff indicates that the HTTR is an experimental pebble bed reactor which is expected to become operational in 1995. The latest IAEA Annual Report does not list the HTTR as having an IAEA Safeguards Facility Attachment (FA) in force or under negotiation.

In view of the early stages of its construction, however, this is not unusual.

The IAEA and Japan have historically negotiated Facility Attachments in a timely manner, and we expect negotiations to be carried out with respect to the HTTR in a similar manner.

There are no physical security requirements applicable to the material proposed for export.

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Conclusion:==

The staff concurs with the Executive Branch judgment that the proposed export would not be inimical to the common defense and security of the United States and also meets the three specific export licensing criteria of Section 109(b) of the~ Atomic Energy Act of 1954 as amended.

Recommendation:

That the Commission authorize the issuance of the requested license to UCAR Carbon Company, j

Scheduling:

The 60-day period for Commission review of application XMAT0341 expires on March 26, 1990. The 120-day period expires on May 25, 1990.

James R. Shea, Director

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International Programs Office of Governmental and Public Affairs Attachments:

Appendix A: Application dated 11/07/89 Appendix B:

Dept. of State t.tr. dated 1/25/90

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Commissioners' comments or consent should be provided directly l

to the Office of the' Secretary by COB Friday, March-23, 1990.

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' Commission Staff office comments, if any, should~be submitted to the. Commissioners NLT Tuesday,. March 20, 1990, with an information copy to the Office of the Secretary.

If the paper is of.such a nature _that it. requires additional time for

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e, analytical review and' comment,. the Commissioners and the SecretariatLshould be' apprised of when' comments may be expected.

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3o,.o weshinet n, o.c. 20s45 APPLICATION FOR LICENSE TO EXPORT

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i D ATE OF A PPLIC ATION 2 APPLIC AN T'S R EF ERE NC E N O 3 COUN'RY OF ULTlW ATE DESTIN ATION 11 /7/89 4 N AME OF APPLIC ANT

.6 ULTlWATE CON $lGNEE IN FOREIGN COUNTRY UCAR Carbon Conpanys Inc.

(hone end asidreasJ StaEET ADDaEslc/o Union Carbide Corp.

Fuji Electric Company Ltd.

39 C 2 Ridgebury Road KaWasaki Factory CITV. ST ATE. AND tlP C ODE KaWasakie dapah Rn

6. INT E R WEDi& TE CON SIGN E E IN e ORE BON C OUNT h y 468t9 nenf T IF PURCM ASER IN FOm tlON COUNTMV 18 OTM ER TM AN and ediaress. I/ sene as utsemate evnsignee. stase "$ene. ">

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None Fuji Electric Companye Ltd.

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Chiyoda-Ku, Tokyo 100, Japan 6 tai OU ANTITY TO DE SMlPPE D p J)) gs eg galso eres > usaroper corum: si un a msce admuty the dev.ce, m COWWOCIT V DESCRIPTION frarlude chentical pulphyssca/ /arne for Weetal ma' lee nearenal and t5ee,mstrucasons on sacs >

152 pieces Nuclear Graphite B'ocks Grade P6X (58.967lbsf)

See attached for h e e n t A r.

(cf 5MIPPING AND PACKING PROCEDU AES fReguared for special snaclee merenal. See anstructions on har&.)

Not applicable.

Commodity is not special nuclear material.

9 END USE OF COMMODtTIES COVERED Ev TMis a PPLIC ATION- (Desen$e fullt stating heat eg/f 6e proghaceg er messfactwed, g4g semge osit be rendered, or the nature of the resenach that ssell be performed.) 45er enstrucanons on bach for neenat onartee merenet.)

Permanent side reflectors and plenum blocks in high temperature engineering test reactor to The applicant, and soy official executinE this certificate on behalf of the applicant named in item 4. certify that this application is prepared in conforioiry with Title 10. Code of Federal Regulations. Parts 30 and 36 (if for byproduct material) or Part 40 (if for source material), or Poet 70 til for special nuclear materia 1), and Part 71 (for trensriott of radioactive metenal, if applicable) and that all information contained herein, including any suppleteents attached hereto, le true and correct to the best of their i

knowledge end belief.

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v Export Control Administrator (Tatte of certifyene eller'ai esthunned to act on besait of set eplaceiv

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p-~1 APPENDIX A Verning: 18 U.S c. section 1001; Act of June 25, 1948: 62 stot. 749; makes it e criminol effense to make a willfully false state.

ment or representation to any deportment or esency of the United States on to any mattee within its lueisdiction

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MU! BLSCTRIC COMPANY, LTD, i

WOMINAL AppROXINATE NET 8!858 (NM)

QU.\\NTITY ttEIGHT/p!ECE 1200 diameter a 350 8 pieces 3,213 pounds i

1200 diameter x 300 8 pieces 1,649 pounds 1300 diameter u 400 8 pieces 3,143 pounds 1200 diameter a 450 4 pieces 3,474 pounds 1200 diameter u 750 I ptecas 4,135 pounds l

1300 diameter x 1000 34 pieces 6,063 pounds 1300 diameter x 1100 7 pleoes 6,790 pounds 1300 diameter a 1400 15 pleoes 8,609 pounds 1400 clameter u 1000 36 pieces 7,033 pounds 1400 diameter x 1100 7 pieets 7,760 pounds 1500 diameter x 1400 15 pieces

'11,0$0 pounds

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i End Use These are nuclear graphite bicoks Grade p0x for use as permanent side reflector and flenum block in High Temperature Engineering Test Reactor (HTTR).

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BUREAU OF OCEANS AND INTERN ATION AL

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ENVIRONMENTAL AND SCIENTIFIC AFFAIRS MP January 25, 1990 KH Mr. James R. Shea Directa dInternadonal Programs CB -

United States Nuclear Regulatzry Com miadon BLW _

1 Rockville, Maryland Dear Mr. Shea I refer to the letter from your effice dated December 21, 1989, requesting Executive Branch views as to whether issuance d an exportlicense in accordance with the application hereinafter Whad meets tl.e applicable criteda in the Atomic Energy Act, as amended by the Nuclear Non-Proliferation Act d 1978:

NRC No. XM AT0341 - Application by UCAR Carbon Company, Inc. to authorize export to Japan of 152 pieces d nuclear grade graphite weighing a totalof 58,967lbs for use as reflecta material in a High Temperature Engineedng Test Reacta currently under construction as part of the Japanese Atomic Energy Research Institute at Tokai M ura.

It is the judgment d the Executive Branch that the contemplated expcrt will not be inimicat to the com mon defense and security d the United States, and that this exportis consistent with the provisions d tim Atomic Energy Act af 1954, as amended by the Nuclear Non-Proliferation Act af 1978.

As an NPT party, Japan has committed itself to maintaining IAEA safeguards on an1 d its peaceful nuclear activities and has pledged not to produce or otherwise acquire any nuclear expksive device. Itis therefore the i

judgment d the Executive Branch that Critada (1) and (2) for exports d nuclear components, sutstances and items under Section 109 of the Atomic Energy Act, as amended, are met. The remaining criterion, agreement not to retransfer any U.S.-supplied component, substance or item without triar U.S.

consent, has been satisfied by the receipt of a genetic assurance letter from the Embassy d Japan, the subject d outletters to you dated October 20,1978 and March 13,1979.

On the basis of the foregoing, the Executive Branch recommends that thelicense be immed.

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%kpmEuchv thk Richard J. X. Stratford h' ~:g g g4, b Deputy Assistant Secretary Nuclear Energy & Energy Technology Affairs hjo MM

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