ML20128L183
| ML20128L183 | |
| Person / Time | |
|---|---|
| Issue date: | 07/11/1985 |
| From: | Dircks W NRC OFFICE OF THE EXECUTIVE DIRECTOR FOR OPERATIONS (EDO) |
| To: | |
| References | |
| TASK-PINV, TASK-SE SECY-85-245, NUDOCS 8507240355 | |
| Download: ML20128L183 (14) | |
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POLICY ISSUE (Notation Vote)
July 11. 1985 SECY-85-245 For:
The Comissioners From:
William J. Dircks Executive Director for Operations
Subject:
PROPOSED LICENSE TO EXPORT NUCLEAR GRADE GRAPHITE TO JAPAN (XMAT0318)
Purpose:
To request Comission review of the proposed license. This case is being referred to the Comission because the quantity of graphite exceeds 1,000 kilograms.
Discussion:
On May 28,1985, Union Carbide Corporation filed a license app'.ication (Appendix A) for the export of 6,360 pounds (2,890 kilograms) of auclear grade graphite, valued at S17,673, to Japan. The material will be used by the Japan AtomicEnergyResearchInstitute(JAERI)inthemanufacture of parts for the Hendel high-;ceperature gas reactor experimental ter.t loop currently under construction.
It is noted that the proposed export cow es similar material, and will be used for the same end use, as the material aporoved for export by Union Carbide Corporation in NRC export licenses XMAT0315, issued on March 19, 1985 after Comission review (SECY-85-79 dated fiarcn 9,1985), XMAT0290, issued on January 20, 1984 after Comission review (SECY-84-3 dated January 09,1984) and XMAT0304, issued on October 3, 1984 after Comission review (SECY-84-365 dated Septemcor 14, 1984).
Executive Branch Views and Staff Assessment:
In response to NRC's request for views on the preposed export, the Executive Branch, in a letter dated June 27, 1985(AppendixB),advisedthat:
Contact:
Elaine Hemby, 0!P (492-7984) hgp2gD 050711 03-24."1 pyn l
l The Commission !
l Discussion o The proposed export is consistent with the provisions (Continued) of the Atomic-Energy Act of 1954, as amended by the Nuclear Non-Proliferation Act of 1978.
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o The proposed export would not be inimical to the common
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defense and, security of the United States.
l o The proposed export meets the requirements of Criteria 1 and 2 of Section 109b of the Atomic Energy Act, as amended, because Japan, as an NPT party, has committed itself to maintaining IAEA safeguards on all of its to peaceful nuclear activities and has pledged not to produce or othemise acquire any nuclear explosive i
device.
The proposed export also meets Criterion 3 (agreement not l
o to retransfer any U.S.-supplied component or nuclear material without prior U.S. consent) by the receipt of an assurance letter from the Embassy of Japan, which is the subject of State's letters to the NRC dated October 20, 1978 and March 13,1979(AppendixB).
With respect to the previously issued export licenses for 7
graphite to Japan, Union Carbide Corporation has advised the i
staff that all of the material authorized for export under l
these licenses has been shioped. Union Carbide also indicated that earlier this year JAERI requested a price quote to sup,ily an additional 200,000 pounds of material; however, as of this date, JAERI only has placed one additional order with Union Carbide which is covered by this export application.
- International Japan, as an NPT party, has comitted itself to maintaining safeguards Review:
IAEA safeguards on all of its peaceful nuclear activities.
The staff has no infomation on the stage of construction of the Hendel facility. However, since Japan has been cooperative in bringing new facilities under IAEA safeguards and in negotiating facility attachments in a timely manner, the staff has no reason to expect there will be a problem in bringing the Hendel facility under safeguards at an appropriate time.
The graphite itself will not be subject to IAEA safeguards because the application of safeguards under Article III(2) of the NPT is limited to source and special nuclear material.
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Conclusion:==
Based upon the above considerations, the staff agrees with the Executive Branch judgment that the proposed export meets the three export licensing criteria of Section 109b of the Atomic Energy Act of 1954, as amended, and would not be inimical to the common defense and security of the United States.
- The Connission Recomendation:
That the Connission authorize issuance of license XMAT0318 to Union Carbide Corporation.
Scheduling:
The 60-day period for Comission review of application XMAT0318 expires on August 26, 1985. The 120-day period expires on October 25, 1985.
W1111anuJ. Dircks Executive Director for Operations Appendices:
A - Application dated S/28/85 B - State Department ltrs dtd 6/27/85, 3/13/79 w/ attach, and 10/20/78 w/ attach Commissioners' comments or consent should be provided directly to the Office of the Secretary by c.o.b. Monday, July 22, 1985.
Commission Staff Office comments, if any, should be submitted to the Commissioners NLT Wednesday, July 17, 1985, with an information copy to the OYfice of the Secretary.
If the paper is of such a nature that it requires additional time for analytical review and comment, the Commissioners and the Secretariat should be apprised of when comments may be expected.
DISTRIBUTION:
Commissioners OGC OPE OI OCA OIA OPA EDO ELD SECY f
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APPENDIX A I
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FO.iM NRC.7 I
J.S. NUCLEAA CECULATORY CCMMIS$13 APPROVED BY GAC c.7sl isCPn sto APPLICATION FOR LICENSE TO EXPORT NUCLEAR m 22 m s2 MATERIAL AND EQUIPMENT (see /mtructiom q',2Gir(EO
- e. APPLICANT'S REFERENCE 2.NRC
- e. DdCMf7 ND. A b
- e. LICENSE 780.
- 1. APPLICANT S la. DATE OF APPLICATsON 70 9109-10 uSE s g o.o 3 0 5 9 Y mnTo 3@
uSE 5/2R/85
- 3. APPLICANT *S NAME AND AOORESS l RIS
- 4. SUPPL,ere ao'S.N 1er&.
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a.NAME Union Carbide Corporation WWE 3 9;jg i giPCRI
- e. STREET ADDRESS e.NAME 39 Old Ridoebury Road
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- s. CITY STATE ZIP COQE
- e. STREET ADOMSS '
g Danbury CT 06817 l
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- o. T E LEPHON E NUM SE R lA#es Coce = hurncer = (aseruson/
- c. CITY STATE ZIP CODE 903 794-704R I
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E. FIRST SHIPMENT
- 4. FINAL SHIPMENT 7. APPLICANT'S CONTR ACTUAL 8. PROPOSED LICENSE
- 5. U.S. DEPARTMENT OF ENERGY l
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SCHEDULED SCHEDULED DELIVERY DATE EXPIR ATION DATE CONTR ACT NO. (if Knome,#
Sept.1935 Dec. 1985 to. ULTIM ATE CONSIGNE E l At3 *NiiNENdM.'"I 11. ULTIMATE END USE b E E!NW.~M.
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a.NAME Japanese Atomic Energy Research Institute
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- b. STREET ADDRESS l
Tokaimura Nakagun Ibaragi SEZ ATTACHED 1-
- c. CITY - STATE - COUNTRY UNKNOWN Prefecture Japan is.. EST. oATE OF FiRST uSE
- 12. IF TERMEDIATE CONSIGNEE l_ filS NTT-W"
- o 13. INTERMEDIATE END USE IfrA!P T-6.<++-
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- e..< Au E Tomoe Engineering Company Ltd.
SEE ATTACHED ak STREET ADDRESS 9-2'Nihonbasi 3-Chome
- s. CSTY - STATE - COUNTRY UNKNOWN Chou-Ku Tokyo Japan
,s.. EST. DaTE Or riRST uSE
- 14. INTERMEDIATE CONSIGNEE lRIS'M*M M.* 9
- 15. INTERMEDIATE END USE
[ v.?ll*'.t Ur =* -
a.NAME 8
In. STREET ADORESS
- s. CITY - STATE - COUNTRY 15e. EST. DATE OF FIRST USE se 15.
- 17. DESCRIPTION
- 18. MAX. ELEMENT 19. MAX. 20. MAX 21.
NRC (inca, ale eenacet arnitphysses# lbnn of nuclear sneena/;prio dottar verw of
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ISOTOPE WT.
UNIT W
USE nucAsar eauenerve and caramonwenf 74 P,.Jn 1 piece TS-1.843' Grade Unmachined Graphite 6,360 lbs.
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50" Diam. X 50" L c2 3 9 0 %
Total Value:
$17,673.00
- 22. COUNTRY OF ORIGIN.-
I_P-W
- 23. COUNTRY OF ORIGIN-SNM bW Ll 24. COUNTRIES WHICH ATTACH l ** ^
SOURCE MATERIAL WHERE ENRICHED OR PRODUCED SAFEGUAR DS (11KnoenJ
'U.S.A.
U.S.A.
- 25. ADDITIONAL INFORMATlON (Use asperste sheet //nacamanryl SEE ATTACHED
'Cepyte FDR 6 b-b N
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- 29. The apelleant cactifies that this appaication la prepared in conforenery wroth Title t o, Caele of Federal Resutstions, seus that all Information in this appliestion is entract to the best of his/her lineweedge, U' AUTHORIZED OFFICIAL
- s. SIGNATURE b.
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aJ The material will be tested by the Japanese Atomic Energy Research Institute (Jaeri) to evaluate its suitability as a fi,xed reflector, high temperature plenum block, lower plenum block, lower removable reflector and lower end block for the Hendel Reactor Core Support. The project is being managed by Fuji Co.
More specifically, the graphite will be used in l
the manufacture of thermal insulation parts in a high temperature gas cooled reactor which is currently under construction. This is similar to the reactor in Fort St. Vraine, Peach Bottom in the U.S. and is a multi-purpose reactor which will supply energy to steel and chemical companies.
Previous NRC licenses which were issued for this same application and I
customer are XMAT 0290, XMAT 0304 and XMAT 0315. The material covered in this application is the same as Grade PGX Graphite supplied previously but is processed for greater strength. Physical property specifications (with grain) are as follow :
i Bulk Density 1.70 Mg/m3 min.
Tensile Strength 1150 psi min.
T Compressive Strength 4600 psi min.
Flexural Strength 1860 psi min.
Ash 0.1%
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-_ wJm Uniteil State 3 Dejsartment of State
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'85 JtM 28 P1:05 g a ro 3g3 BUREAU OF OCEANS AND INTERNATIONAL
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EXPORT IMPORT ENVIRONMENTAL AND SCIENTIFIC AFFAIRS p,_o 3757 INT'LSAFEGUARDS f
June 27,1985 Mr. James R. Shea i
Director of International Programs United States Nuclear Regulatory Commission f
Bethesda, Maryland i
Dear Mr. Shea:
l I refer to the letter from your office dated June 5,1985, requesting Executive Branch views as to whether issuance of an export license in accordance with the application hereinafter described meets the applicable criteria in the Atomic Energy Act, as amended by the Nuclear Non-Proliferation Act of 1978:
NRC No. XMAT0318 - Application by Union Carbide Corporation to authorize export to Japan of one piece of TS-1843 nuclear grade graphite weighing 6,360 pounds and valued at $17,673.00 for manufacture of parts for the Hendel high temperature gas reactor experimental test loop currently under construction by the Japan Atomic Energy Research Institute.
It is the judgment of the Executive Branch that the export contemplated will not be inimical to the 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 Act of 1978.
As an NPT party, Japan has committed itself to maintaining 1AEA safeguards on all of its peaceful nuclear activities and has pledged not to manufacture or otherwise acquire any nuclear explosive device. It is therefore the judgment of the Executive Branch that Criteria (1) and (2) for exports of reactor components under Section 109 of the Atomic Energy Act, as amended, are met. The remaining criterion, agreement not to retransfer any U.S.-
supplied component without prior U.S. consent, has been satisfied by the receipt of an assurance letter from the Embassy of Japan, the subject of our letters to you dated October 20,1978 and March 13,1979.
On the basis of the foregoing, the Executive Branch recommends that the license be issued.
Sincerely, Mb, Dequ[y Assistant Secretary Iames B. Devine
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DEPARTM ENT OF STATE R
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W MAR 14 P4 :34 BUREAU OF OCEANS AhD INTERNATIONAI.
ENVIRONMENTA1. AND SCIENTIFIC AFFAIRS OFFICE Or i.
JNIERNAil0NAL 6
FROGRAtts i
March 13, 1979 t
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Mr. James R. Shea Director of International Programs U
United States Nuclear Regulatory Commission 1',
Room 6714 - MNBB
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Bethesda, Maryland
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Dear Mr. Shea:
I refer to my letter of October 20, 1978 transmitting a
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1etter from the Embassy of Japan confirming that nuclear com-ponents, specially designed and prepared for use in a nuclear facility, deuterita (including heavy water) and nuclear grade graphite, exported from the U.S. to Japan, would not be re-transferred beyond the jurisdiction of Japan without prior approval of the United States.
Enclosed for the information of the Commission is a copy of a letter dated February 28, 1979 from the Japanese Embassy, written under instructions of the Government of Japan, recon-firming that nuclear components, items and substances, as de-fined in Appendix A of 10 CTJt 110 published May 19, 1978, ex-ported to Japan from the United States, are subject to Article 10 A(3) of the Japan-U.S. Agreement for Cooperation which pro-vides that:
"no material, including equipment and devices, transferred to the Government of Japan or authorized persons under ~its jurisdiction pursuant to the said Agreement for Co-operation shall be transferred beyond the jurisdiction of the Government of Japan without the prior consent of the U.S.A."
Sincerely,
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r.Q Louis V. No enzo O Deputy Assistant Secretary
Enclosure:
As stated 0
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EMBASSY OF JAPAN 2520 MASSACHU3ETTS AVENUE, N.W.
WASHINGTON, D.C. 20008 tsom m 22sq I
February 28, 1979
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l Mr. Louis V. Nosenzo I
Deputy Assistant Secretary Bureau of Oceans and International j.
Environmental and Scientific Affairs Department of State 1-Washington, D.C.
20520
Dear Mr. Nosenzo:
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With reference to your letter dated October 20, 1978, I should like to re-confirm, under the instructions of sj i
my home government, that in accordance with Article 10 A(3) 1 of the Agreement for Cooperation between the Government of.
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Japan and the Government of the U.S.A. Concerning Civil Uses of Atomic Energy, no material, including equipment -
i and devices, transferred to the Govenunent of~ Japan or
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authorized persons under its jurisdiction pursuant-to the said Agreement for Cooperation shall be transferred beyond the jurisdiction of the Government of Japan without the prior consent of the U.S.A.
In addition, I should like
- _ to inform you of the understanding of my home governtnant l-that nuclear components, items and substances as defined in Appendix A of 10. CFR 110 of the U.S.A., published on May 19, 1978, are subject to the said Agreement when they are: transferred to the Government of Japan or to authorized persons under its jurisdiction.
Sincerley yo s,
l.
Ka uo Suzuki First Secretary (Scientific)
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October 20, 1978 j.
,TC,u::L:'T Mr. James R. Shea
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Director of International Programs United States Nuclear Regulatory Commission Room 6714 - MNBB j
Bethesda, Maryland
Dear Mr. Shea:
Enclosed is a copy of a letter dated October 5, 1978 N
from the Embassy of Japan in answer to our letter of ij September 19, requesting confirmation that nuclear com-ponents specially designed and prepared for use in a nu-clear facility, deuterium (including heavy water) and nu-clear grade graphite, exported f rom the U.S. to Japan, would not be retransferred beyond the jurisdiction of Japan without the prior approval of the United States.
In its response, the Government of Japan confirms in accordance with Article 10 A (3) of the U.S.-Japan Agree-ment for Cooperation, that no material including equipment 4
and devices will be transferred beyond the jurisdiction of Japan without the prior consent of the United States.
We believe it is clear that the Government of Japan considers their October 5 letter a confirmation of the undertaking sought in the U.S.
request of September 19, that Japan will treat the components, items and substances referred to in the U.S. letter as constituting " material, including equipment and devices" transferred pursuant to the Agreement and thus subject to U.S. retransfers ap-proval.
However, to remove any possibility of ambiguity in this regard, we have advised the Government of Japan that it is our understanding these components, items and substances will be exported to Japan pursuant to our agree-ment for cooperation.
Thus, it is the judgment of the Executive Branch that the third criterion in Section 109 b. of the Nuclear Non-proliferation Act of 1978 is met.
It is also the view of the Executive Branch that the first two criteria of Section 109 b. of: the NNPA -- IAEA safeguards and no nuclear explosive use -- are met by Japt.n's adherence to the NPT.
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j 2-On the. basis of the above, it is the judgment of the
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Executive Branch that the issuance of export licenses for the export of these components, items and substances to 1
Japan will not be inimical to the common defense and secur-1; ity.
~ Therefore, it is the view of the Executive Branch thct, in the absence of a material change in circumstances, cl1 statutory. requirements are satisfied for export licens-ing of nuclear components, substances and items to Japan.
P Sincerely,
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Louis V.
N senzo
.j Deputy Assistant Secretary
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EMBASSY OF JAPAN 2520 MASSACHUSETTS AVENUE, N.W.
WASHINGTON. D.C. 20008 I
(202J 234-2266 l
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October 5, 1978 jr I
Mr. Louis V. Nosenzo
-i Deputy Assistant Secretary Bureau of Oceans and International Environmental and Scientific Affairs Department of State Washington, D.C.
20520
Dear Mr. Nosenzo:
With reference to Mr. Hoyle's letter dated September 19, 1978, I should like to confirm to you, under instructions from my home government, that, in accordance with Article 10 A (3) of the Agreement for Cooperation between the Government of Japan and the Government of the U.S.A. concerning civil uses of atomic energy, no material including equipment and devices, transferred from the U.S.A.
to Japan, shall be transferred beyond the jurisdiction of the Government of Japan without the prior consent of the U.S.A.
Thank you for your cooperation in this matter.'
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Sincerely yours, Fl-r Kazuo SUZUKI First Secretary (Scientific)
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'o UNITED STATES NUCLEAR REGULATORY COMMISSION
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July 17, 1985 OFFICE OF THE SECRETARY MENDRANDUM EDR:
Betsy Shelburne, Chief Public Document Roca Branch THRU:
Thcmas R. Ccambs, Chief Correspondence & Records Branch FBOM:
tes, Chief Operations Branch
SUBJECT:
SECY-85-245 Attached for placement in the Public Doctnent Rocm is a copy of SECY-85-245, a copy is also being sent to the DCS. If you have any questions, please contact me on extension X41400.
Attachment:
As Stated cc: w/ attach.
DCS e
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