ML20244C371
| ML20244C371 | |
| Person / Time | |
|---|---|
| Issue date: | 06/13/1983 |
| From: | Dircks W NRC OFFICE OF THE EXECUTIVE DIRECTOR FOR OPERATIONS (EDO) |
| To: | |
| References | |
| TASK-PINV, TASK-SE SECY-83-231, NUDOCS 8307080763 | |
| Download: ML20244C371 (10) | |
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POLICY ISSUE June 13. 1983 SECY-83-231 (Notat. ion Vote)
For:
The Commissioners From:
William J. Dircks Executive Director for Operations
Subject:
PROPOSED LICENSE TO EXPORT DEPLETED URANIUM TO ISRAEL (XUO8569)
Purpose:
Comission review of proposed return of subject export license to Milco International, Inc.
This request is being referred to the Comission because of the quantity of material involved and the proposed country of destination.
Discussion:
On March 25, 1983, Milco International, Inc., applied for a license to export 440,000 pounds (200 metric tonnes) of depleted uranium tetrafluoride (UF ) to Israel (Appendix A).
4 The depleted uranium would be converted to metal for use in the fabrication of penetrator munitions.
Executive Branch Views:
In response to NRC's request for views on the proposed export, the Executive Branch returned the application without action on May 18,1983 (Appendix B) with the conclusion that it is unable to make the necessary determinations under the Atomic Energy Act, as amended, to permit a recommendation of approval for the proposed export.
In reaching its conclusion, the Executive Branch considered current circumstances and concerns related to the unsafeguarded nuclear activities in Israel.
Staff Assessment:
~
In accordance with 10 CFR'11(idd(c), ~the Comission must deny or return without action any export license application for which the Executive Branch judgment has not recomended approval.
While the staff normally would favor the denial approach, State prefers that the application be returned without action. A draft letter to Milco International returning the application without action is enclosed at Appendix C.
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? Recommendation:
That the Comission authorize the license. application;.be
. returned without action'to Milco International as proposed in the draft letter.
Scheduling:
The 60-day period for Comission review of this application expires ~ on July. 22,1983; the 120-day period expires on
. September 20, 1983.
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- Dirc Executive Director for Operations Appendices:
A - Appl. dtd. 3/25/83 B '- Ex.Br. views 'dtd. 5/18/83
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. Proposed ltr to applicant Commissioners' comments or consent should be provided directly to the Office of the Secretary by c.o.b.-Monday, June-20, 1983.
Commission' Staff Office. comments, if any, should be-submitted to the Commissioners NLT Thursday, June 16, 1983, with an information copy to the Office 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
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APPENDIX A l
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, CRC CRM 7 '
U.S. NUCLEAR PEGULATORY coMMISSitN APPROVED BY oMB 11241) 3150 4027 to cm.iio
- APPLICATION FOR LICENSE TO EXPORT NUCLEAR EXPIRES 114044 s
MATERIAL AND EQUIPMENT (seeInstructions on Reierse/
. APPLICANT *$ le. DATE OF APPL 8 CATION D. APPLICANT'S REFERENCE 2.NRC
- a. DOCKET NO.
b.LtCENSE N9 25 March 1983 8303-DU-514 usE
- _ b cm 3 t 6 \\
'(u o 85(A i uSE O. APPLICANT'S NAME AND ADDRESS l RlS
- 4. SUPPLIER *$ NAME AND ADDRESS lRIS. "
(Complete if applicant is not.tupplier of insterial)
- Milco International, InC.
Nuclear Meta s, J G. CITY STATE ZIP CODE
- b. STREET ADDRESS 2229 Main St,
!Huntington Beach CA 92649 P.O. Box E Concord, MA 01742 G. TF.LEPHON E NUMg E R (Area Coor - humber - Ortensson/
- c. CITY STATE ZIP CODE
( 7/4l 811 - ! 7 m Oakridge TN 37830 I
f O. FIRST SHIPMENT
- 6. FINAL SHIPMENT 7. APPLICANT'S CONTRACTUAL 8. PROPOSED LICENSE
- 9. U.S. DEPARTMENT OF ENERGY SCHEDULED SCHEDULED DELIVERY DATE EXPIRATION DATE CONTR ACT NO. (/f Known) g days aner m August 1983 August 1983 (final)
April 1984 clept of license
- 08. ULTIMATE CONSIGNEE l Ris it. ULTIMATE END USE l
Otfude plant or facility name)
Is b Military Industries to be converted to depleted uranjum metal derbles, cast into billets, extruded int,o, rods, and machined into penetrators as ant'i-armor Weapons
- c. CITY - ST AT E - COUNT RY Tel Aviv, Israel ita. EST. DATE OF FIRST USE
- 02. INTERMEDIATE CONSIGNEE l Rlt
- 13. INTERMEDIATE END US'E l
e.NAME Holi Trading, Ltd.
ts. ET RE ET ADDRESS k*D b Peo. Box 20026 (#29 Karlebach St.)
i.E. Dh;
- c. CITY - STATE - COUNTRY Vel Aviv, 61200 ISRAEL 13a. EST. DATE OF FIRST USE.
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- 94. INTERMEDI ATE CONSIGNEE l RIS
- 15. INTERME,MTDNDDSE I
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e.NAME t>. ST R E E T A DDR ESS I'
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,.': 'JCuYS
- c. CIT Y - STATE - COUNT RY 15a. EST. DATE OF FIRST uSE 16,
- 17. DESCRIPTION
- 18. MAX. ELEMENT 19. MAX. 20. MAX 21.
NRC (Inctues chemicalsndphysical form of nuclea materrat. gne dottar value of USE nuctear euvicmenLand components!
WESic 4nt WT. %
ISOTOPE WT.
UNIT depleted uranium greensatt (UF )
2Mg W
(U235' 4
4 (440,000 lb)
(see attached spec.)
99.58'A 0.44 kg (less than 0.22%)
' der.y10..7andA; Q g g g,
D. COUNTRY OF ORIGIN.-
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- 23. COUNTRY OF ORIGINrSNM l
- 24. COUNTRIES WHICH ATTACH l
source MATERIAL WHERE ENRICHED OR PRODUCED S AF EGu ARDS (/f Known) y U.S.A.
U.S.A.
% ADD lTIONAL 1NF0RM ATION (Use separate sheet sf necessary1 End user has agreed to On-site inspection by U.S. government personnel for purposes Of verification Of end uSe.
(See end use certificate form DSP-83 attached -- original sent to Department of State) e f6. The rppbcant certifies that this apphcstion is preps.ed n conformitf with Title 10. Code of Federal Regulations. and ttist all information in this application is correct to the best of his/het knowledge., /
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E'* AuTHORe ?ED OF FICIAL,kCNAtuR E
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bilLC0 IllTERllA 10llALvillC.
15632 GRAHAM STREET TELEPHONE 714/8941717 lia HUNTINGTON BEACH, CA 92649 213/598 83 %
- @ (fi idI898h 3W7 m / F ; ;'tT r.y,k 25 March 1983 ATT: Elaine Henby Assistant Director for Exprt/Imprt and International Safeguards U.S. Nuclear Regulatory Comission 7735 Old Georgetown Road Bethesda, MD
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Subject:
Export License application for Depleted Uraniun (NRC fonn 7)
Reference:
Department of State Export License Application No. 191530
Dear Ms. Henby:
Please find enclosed the subject export license application (NRC form 7).
Rick Levit at the Department of State requested that we send this license application to you, in order to complete the licensing process.
We request
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that you try to expedite this license since we applied to the State Department for the export license on 22 February 1983, and we can not get delivery of the material until 90 days after your license approval.
Attached please find a specification for the material. Also attached is a photocopy of the Non-transfer ani Use Certificate (form DSP-83), the original /y, of which has been sent to the State Department with the referenced State Department license application.
MIICO plans to use Edlow International, Inc (contact: Norman Ravenscroft 202/833-8237) to provide the shipirg and handling of this material, since they are licensed by EbE to handle and ship depleted uraniun.
Goverment personnel familiar with this comodity ard this transaction are Mr. Ray 7horkildson cf the DoD and Mr. Joe Russel of the doe.
Dr. Smyth also discussed this transaction with Mr. Sma11done of the Department of State durire a visit in January 1983.
It is our understanding that the U.S. Army has jurisdiction over the military uses of this material.
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.s.v Please note that the erd user, Israel Military Industry /.~has agreed that a U.S. government representative may visit IMI to verify that the UF is being 4
used for the fabrication of anti-armor penetrators.
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t Feel-free to' contact'either Dr. Richhd K. '9nyth or the undersigned should '
you have any questions of' difficulties.
very truly yours,-
- MILCO INTERNATIONAL, <INC.'s',-
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' awn V..Snyth-
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O APPENDIX B
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United St:tes Department of Stato 1
Washington, D.C.
20520 msW BUREAU OF OCEANS AND INTERNATIONAL ENVIRONMENTAL AND SCIENTIFIC AFFAIRS g:ay18,1983 Mr. James R. Shea Director of International Progra'ms United States Nuclear Regulatory Commission Bethesda, Maryland
Dear Mr. Shea:
I refer to the letter from your office dated April 4,1983, 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. XUO8569 - Application by Mileo International, Inc. for authorization to export to Israel 440,000 pounds (200 metric tonnes) of depleted uranium in the form of greensalt (UF ). The 4
depleted uranium.is to be converted to metal for use in fabrication of penetrator munitions.
In view of current circumstances and concerns related to unsafeguarded nuclear activities in Israel, the Executive Branch is unable to make the necessary determinations under the Atomic Energy Act, as amended, to permit a recommendation of approval for the proposed export. The Executive Branch is, however, prepared to give favorable consideration to requests from Israel for supply of fabricated depleted uranium penetrator munitions, consistent with Israeli defense requirements. As you know, these exports would, under present procedures, be licensed by the Office of Munitions Control of the Department of State.
In light of the foregoing, it is the judgment of the Executive Branch that the referenced application should be returned without hetion to the applicant.
Sincerely, s
m James B. Devme Deputy Assistant Secretary J
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APPENDIX C
aseg'o UNITED STATES g
NUCLEAR REGULATORY COMMISSION.
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WASHINGTON, D. C. 20$55 -
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.i LMilco International, Inc.
ATTN: Dawn V. Smith
-15632 Graham Street.
Huntington Beach, California 92649
Dear Mrs. Sntyth:
This is in reference to your application dated March 25, 1983 for a license to
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export 440,000 pounds of depleted uranium tetrafluoride (UF ) to Israel for 4
' conversion to metal for use in the fabrication of penetrator munitions.
In view of current concerns related to unsafeguarded nuclear activities in Israel, the Executive Branch agencies have concluded that.it is not possible to make the necessary determinations under the Atomic Energy Act, as amended, to permit a reconinendation of approval for the proposed export. A copy of their letter is cnclosed.
Inasmuch as the necessary determinations cannot be made, your application is i
being returned without action.
Sincerely, i
i James R. Shea, Director Office of International Programs
Enclosure:
State Dept. ltr.
dtd. 5/18/83 l
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