ML20247M954

Forwards License Application for Export of Nuclear Grade Graphite to Brazil for Use as Electrical Discharge Machining Electrodes,For Review

ML20247M954
Person / Time
Issue date:	05/26/1989
From:	Peterson M NRC OFFICE OF GOVERNMENTAL & PUBLIC AFFAIRS (GPA)
To:	Heaberline C POCO GRAPHITE, INC.
References
NUDOCS 8906050201
Download: ML20247M954 (1)

Text

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k UNITED STATES

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Mr.. C. L. Heaberline

- Assistant to the President Poco Graphite, Inc.

- 1601 South State Street Decatur, TX 76234.

Dear Mr. Heaberline:

Attached.for your' review is.a copy of your export license application XMAT0323 for the export of. nuclear grade graphite to Brazil for use as electrical dircharge machining electroder,.

Please' review this application and advise whether or not Poco Graphite, Inc. is still actively pursuing the Brazilian order and still needs the' license, or whether the pending' application can be withdrawn.

Your prompt attention to this request would be greatly appreciated.

Sincerely,

.Marvin R. Peterson, Assistant Director for International Security Office of Governmental and Public Affairs

Enclosure:

ApplicationXMAT0323(Brazil) 8906050201 890526 D-PDR XPDRT XMAT-0323 PNU

NIC FO s 7 UA. tuCLE A3 CEruLATOR Y coemafWQff APPIOtrED BY OME 112C0 3 W 0027 to cFR tio APPLICATION FOR LICENSE TO EXPORT NUCLEAR E al:Es ta.aic7 MATERIAL AND EQUIPMENT (see Inameerions on ne.orsel

1. ArruCANrs [e. DATs or AraucATaoN o. ArrucAwT s seesRance a. NRC a coC Ar7 mo.

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a. ArcuCantsaAME AND ADDREu l Ris

4. suprLIER s NAME AND ADoREss h~

scenenee n enument a nort mooner er meernt)

Poco Graphite, Inc.

e STRE ET ADDRESS e.NAME 16m 9.

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s. CIT Y STATE IIP CODE

b. STREET ADDRESS Decatur TX 76P3h

c. T E LE PnON E NUM BE R (Arms Coar - Arumeer - Esawisen/

s. CITY STATE ZIP CODE (817) 627-2121

6. FIRST EHIPMENT

6. FINAL EH8PMENT 7. APPLICANr8 CONTRACTUAL 4. PROPOSED LICENSE

5. UA.DEPARTheENT OF ENEROY SCHEDULED BCHEDULED DELIVERY DATE EXPIRATION DATE CONTRACT NO. tif Kne=n/

See See Attachment I Attachment I See Attachment T 12/31/85

10. ULTIMATE CONSIGNEE l RS

. 11. ULTIMATE END USE l

(Jachens pawir er feenhty namel Multiple (See attachment III) y

o. sTMs E T ADDRESS Electrical Discharge Machining' Electrodes

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c. CIT Y - 5T ATE - COUNT R r lie. EST. DATE OF FIRST USE Oncoine

12. INTE RMEDI ATE CONSIGNE E l SGB

13. INTERMEDIATE END USE l

e N^ut Engemaq-Equipamentos Maquinas E Electronics S.A.

D. STRE E T ADDREES DR 11 b no %48q Py. Poetnl. 1N

c. CITY - ST ATE - COUNTR Y 3 100 Caxian Do Su] RS Brasil 13e EST DATE OF FlRST USE

14. INTERMEDI ATE CONSIGNEE l 95

15. INTERMEDIATE END USE l

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b. STREET ADDRESS

s. CITY - S T A T E - COUNTRY 15e. EST. DATE OF FIRST USE 16.

17. DESCRIPTION

18. MAX. ELEMENT 10. M AX. 20. MAX 21.

NRC linclua\\r themselamt phystal term of nucAner mantiel. pue sotter untae of USE nucasar envrpment emi commw I

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Graphite, Electrical Discharge Machining 202 lbs.

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SOURCE MATERIAL WHERE ENRICHED OR PRODUCED EAFE QUARDS (if Kinemn)

United States of America U.S.A.

2b. ADDITIONAL INFORMATION /useemperste sheerstnecessary)

Ceveral pieces of published literature to supplement description of uses of POCO graphite EDM material (See attachment IV)

28. The applacent eartefans that the appleesten le prepared an conformny erah Title 10, Code of Fenneral Regulatons, ard that all anforansteen en tens applesetsen as surrect to the best of hea/her knowledge.

27. AUTHOR 12ED OFFICIAL

s. SIGN UR 3 b. Tl 4 C, I l rx a i+ r c /

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Poco Graphite,Inc, n

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A Union Oil Company of California subsidiary c

1601 South State Street. Decatur, Texas 76234 Telephone (817) 627-2121

• TWX 910-890-5724 EXPORT IMPORT M@H INT'lSAFEGUARDS POCO October 16, 1985 PGI-SA-251:CLH 4

Mr. Marvin Peterson U.S. Nuclear Regulatory Commission h3h0 East-West Highway Bethesda, Maryland 20815

Dear Mr. Peterson:

Thank you very much for your time and effort in this matter. We appreciate this opportunity to resubmit our request for license to export our material.

to Brazil. As we have discussed previously, our specific request is to te granted license to export a stocking order of approximately 1h00 lbs. of material in various sizes and shapes to our newly appointed distributor in-

. Brazil.

Our product is utilized in the process of Electrical Discharge Machining (EDM).

EDM is a technology for electrically eroding metals similar to con-ventional machining which mechanically cuts metal.

Intricate detail and very close tolerances are achieved via EDM technology. Various materials such as copper, tungsten, and graphite, including POCO graphite, are used as the cutting tools (electrodes), in EDM machines.

POC0 graphite is recognized as the finest EDM material in the United States and Europe, superior to such international manufacturers as Toyo Tanso and Ibiden of Japan, Ringsdorff of West Germany, and Le Carbonne Lorraine of France.

These same graphite manufacturers are currently supplying their EDM materials to Brazil, the largest market for EDM materials in South America.

Our company, Poco Graphite, Inc., currently has an opportunity to distribute our EDM materials through Engemaq-Equipamentos, Maquinas E Electronics S.A., a Brazilian manufacturer of EDM machines. Over two years of company time and resources have been devoted to the development of this important market.

We encourage you to consider this request not only on the basis of ' potential misuse' but on the situation as it currently exists in Brazil.

Similar ma-terials in virtually unlimited quantities and sizes are currently being sold into Brazil by our foreign competitors. We believe that, for purposes of

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your consideration, there would be no significant impact on the availability of nuclear grade graphites in Brazil as a result of POCO's entry into the

. market. We thank you again for your consideration and eagerly avait your timely reply.

Very truly yours, i z/AA C C.L. Henberlin Assistant to President CLH:dw Enclosures G

.P PGI-SA-251:CLH Attachment II Page,1 of 2 PROPOSED SHIPMENT QTY' GRADE SIZE (mm) 9 EDM-3 25 x 100 x 300 8

EDM-3 50 x 150 x h50 9

EDM-3 100 x 125 x h50 10 EDM-3 12 dia. x 300 5

EDM-3 20 dia. x 300 3

EDM-3 50 dia. x 300 2

EDM-3 100 dia. x 300 1

EDM-3 150 dia. x 300 10 EDM 3 dia. x'150 w/1 dia. I.D. EDM-3 h dia. x 150 w/1 dia. I.D.

10 EDM-3 5 dia. x 150 v/1.5 df.s. I.D.

10

.EDM-3 6 dia. x 150 w/3 dia. I.D.

10 EDM-3 8 dia. - x 150 w/5 dia. I.D.

10 EDM-3 10 dia, x 150 w/6 dia. I.D.

10 EDM-3 12 dia. x 150 w/9.5 dia. I.D.

5 EDM-3 h x 100 x 150 5

EDM-3 5 x 100 x 150 5

EDM-3 6 x 100 x 150

{

5 EDM-3 10 x 100 x 150 5

EDM-3 12 x 100 x 150 5

EDM-3 1S x 100 x 150 5

EDM-3 18 x 100 x 150 5

EDM-1 25 x 100 x 300 6

EDM-1 50 x 150 x h50 5

EDM-1 100 x 125 x h50 5

EDM-1 h x 100 x 150 l

- 5 EDM-1 5 x 100 x 150 5

EDM-1 6 x 100 x 150 1

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4 2

PGI-SA-251:CLH-Page 2 of Attachment II 4

5 EDM-1 10 x 100 x 150 5

EDM-1 12 x 100 x 150 5

EDM-1 15 x 100 x 150-

.5 EDM-1 18 x 100 x 150 l'

EDM-5000 100 x 500 x 600 1

EDM-5000 150 x-500 x 600 1

EDM-2000 100 x 500 x 600 1

EDM-2000 150 x 500 x 600 SHIPMENT SCHEDULE In order to determine the ' specific dates requested in the above referenced blocks, final determination from your office must be received.

For our part, the materials to be sent are stock items, ready to be shipped very shortly after receipt of a go ahead.

Our customer, Engemaq, has already

. applied for. import license and no trouble is foreseen at their end.

Engemaq har been very patient and sympathetic to our situation and has not insisted. on a specific contractual delivery date (block 7).

In addi-tion, since this request concerns only a single shipment, the dates in blocks-5 and 6, although unspecified, vill be the same.

This leaves block 8, the license expiration date, as the key.

We believe, due to the nature of the ~ material being shipped and' the cooperation from our customer, that an expiration date of December' 31, 1985, would provide sufficient time for Poco Graphite, Inc. and Engemaq to complete our transaction under the pro-posed license.

CONSIGNEE Our customer, Engemaq-Equipamentos, Maquinas E Electronics S.A.,

is a manufacturer of EDM machines and has agreed to distribute POCO graphite for Poco Graphite, Inc. in Brazil. As a distributor of our graphite EDM material, Engemaq will be selling to a variety of end users comprised of industrial plants and machine shops. Because Engemaq vill be maintaining a stock of our materials from which to sell, the ultimate consignee for these materials cannot be identified at this time.

l

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