ALLEGED MISDEEDS OF U.S. FLAGGED RESEARCH VESSEL

C O N F I D E N T I A L MADRID 004060

SIPDIS

SENSITIVE

DEPARTMENT FOR OES/OA (LIZ TIRPAK) AND EUR/WE

E.O. 12958: DECL: 10/19/2014
TAGS: ENRG PREL MARR KRVC TPHY SP EWWTSP
SUBJECT: ALLEGED MISDEEDS OF U.S. FLAGGED RESEARCH VESSEL

Classified By: ECONCOUNS WHITNEY BAIRD PER 1.4 (B/D)


1. (C) The R/V Powell has been on U.S. Embassy Madrid's
radar screen since September, when it first contacted us for
assistance in processing a request to make a port call in a
Spanish harbor. Since our first contact with it, this vessel
has demonstrated a consistent pattern of ignoring and at
times trying to circumvent established U.S.-Spanish
mechanisms for processing port call requests. What had been
a relatively minor issue (complicating U.S.-Spanish port
visit cooperation),just ratcheted up a few notches with the
publication of several articles the Spanish press over the
weekend that alleged that the vessel, between its port calls
in Spanish harbors, had been exploring for oil in Spanish
Exclusive Economic Zone (EEZ) waters under contract to the
Moroccan Government.


2. (C) The press coverage to date appears to have been a mix
of truth and speculation. The truth part documents the
vessel's past history of ignoring/circumventing Spanish port
call procedures and the fact that it is currently illegally
berthed in Las Palmas port (its last entry permit having
expired on October 12). The Embassy can verify some of these
shenanigans. It also appears to be true (published
admissions by its owner/operator) that the vessel is under
contract to the U.S. oil firm Kerr-McGee, who in cooperation
with Shell, is exploring the area between the Canary Islands
and the disputed Western Sahara territory for oil. What is
not clear to us is Kerr-McGee/Shell's contractual
relationship with the Moroccan Government. The Spanish press
reports that Kerr-McGee has been under contact to the
Moroccan Government since November 2001 to explore for oil in
this area. It also reports that a Moroccan official was
aboard the Powell while it was conducting its activities.


3. (U) What appears to be speculation, at least for now, is
the allegation that the vessel has been taking samples in
Spanish EEZ waters. Press reporting of Spanish port/military
officials quote officials indicating that the vessel has had
administrative problems relating to its port visit requests.
The press line stating that the vessel may have been
exploring for oil in Spanish EEZ waters comes only from
"unnamed" military sources. Officials associated with TDI
Brooks, the owners of the vessel, are quoted in the press
asserting that their oil exploration activities were limited
to Moroccan waters. And remember that there is nothing in
customary international law to stop the Powell from sailing
in Spanish EEZ waters. If there is something to the
speculation, it may come down to whether the Powell actually
took samples in EEZ waters claimed by Spain.


4. (C) Part of the problem has been some confusion on all
sides (including the USG) regarding whether the Powell needed
a formal clearance to enter Spanish ports. The U.S. has
claimed it did not given its commercial vice scientific
mission. The Spanish authorities, who own the ports in
question and thus hold all the cards, have consistently said
the Powell does require such permits, given its
classification as a research vessel. In other words, the
vessel's classification and not its mission is the key point
for Spain. In the end, the U.S. side acquiesced and on
several occasions the Embassy interceded with Spanish
authorities to get the Powell the port calls it desired.
Notwithstanding the above, it has become readily clear to
both the Spanish and Embassy authorities involved that the
Powell has consistently played "fast and loose" in trying to
get itself into port.


5. (C) The story has not yet grown beyond the Canary Island
and Madrid economic press ("Expansion" article of October 16
- informal embassy translation emailed/faxed to OES/OA - Liz
Tirpak and EUR/WE - Morgan Hall). Nonetheless, given the
recent tensions in the U.S.-Spanish bilateral relationship,
we could easily see this story gaining traction and turning
into a "U.S. Government helping Morocco poach Spanish oil"
type of story line. However it goes, we will be happy to see
the stern of the Powell, whose representatives have been less
than friendly in their interactions with Embassy officials
and who have shown a unique ability to generate controversy
wherever they sail.
ARGYROS