UAE: SATELLITE REMOTE SENSING COOPERATION

C O N F I D E N T I A L SECTION 01 OF 02 ABU DHABI 000138

SIPDIS

STATE FOR IS, NEA/ARPI
DOD FOR JCS, OSD/NII, AND NRO
COMMERCE FOR NOAA

E.O. 12958: DECL: 01/18/2015
TAGS: ETTC KSTC PARM PREL AE
SUBJECT: UAE: SATELLITE REMOTE SENSING COOPERATION

REF: A. 04 STATE 136451

B. 03 ABU DHABI 5312

Classified By: AMBASSADOR MICHELE J. SISON, REASONS 1.4 (B) AND (D).


1. (C) Summary: Two years after a USG interagency team
visited the UAE to discuss an agreement on remote sensing,
the UAE's chief proponent of acquiring a remote sensing
system, UAE Chairman of Space Reconnaissance Programs Colonel
Mahash al-Hameli, says there is still a strong desire to work
with the USG to procure a satellite from a U.S. supplier. On
January 15, al-Hameli told J. Christian Kessler, director of
the Office of Conventional Arms Threat Reduction in the
International Security and Nonproliferation Bureau, that he
wants to be able to speak with U.S. suppliers about technical
details of the satellite. He also cleared up a
misunderstanding within the USG and among some U.S. vendors
about the UAE's interest in remote sensing, stressing that
the bilateral remote sensing program was entirely separate
from the "Hudhud Remote Sensing System" involving the UAE,
Saudi Arabia, and Qatar. End Summary.

Background
--------------


2. (C) On January 15, J. Christian Kessler, director of the
Office of Conventional Arms Threat Reduction in the
International Security and Nonproliferation Bureau, met with
UAE Chairman of Space Reconnaissance Programs Colonel Mahash
al-Hameli at the Space Reconnaissance Center located at
al-Dhafra Air Base. Col. al-Hameli was accompanied by Major
Sultan al-Ketbi, who was introduced as the head of Air Force
intelligence. Kessler was accompanied by Embassy Abu Dhabi
political officer and Deputy DATT.


3. (C) The meeting was the first between Col. al-Hameli and
Kessler since November 18, 2003, when Kessler led a
six-person USG interagency team to Abu Dhabi to discuss a
draft Government*to-Government Agreement (GTGA) that the USG
had presented to the UAE in May 2003 (ref A). At that
meeting, the UAE provided a counter-draft to the original
U.S. draft, dropping certain provisions from the U.S. text,
and adding some provisions to address additional types of
remote sensing technologies not included in the original U.S.
proposal, and to establish an option for the UAE to lease
rather than purchase a satellite or satellites. The USG
developed a new draft text of the agreement which sought to
address new UAE proposals (ref B). Embassy delivered the new
U.S. draft on June 29, 2004 to the MFA, and on June 30, 2004
to Col. al-Hameli. For the next 18 months, al-Hameli did not
respond to the USG's invitation to come to Washington to
further discuss the text. In the meantime, the UAE began, as
Col. Al-Hameli had privately informed Kessler would be
necessary for political reasons, consulting with its Gulf
Cooperation Council partners on a collective program pursuing
a remote sensing system. This latter program became known as
"Hudhud," and as it reached formal consultations with
vendors, Bahrain, Kuwait, and Oman dropped out, leaving the
UAE, Saudi Arabia, and Qatar. As Hudhud was actively
soliciting tenders from U.S. and other satellite vendors,
while the UAE remained silent on the bilateral agreement, USG
and some U.S. vendors interested in selling a remote sensing
system to the UAE were under the impression that the Emiratis
were only talking about one program.

Bilateral Remote Sensing Agreement
--------------


4. (C) Col. al-Hameli stressed to Kessler that the U.S.-UAE
bilateral remote sensing agreement was separate from the
Hudhud program it was pursuing under the aegis of the Gulf
Cooperation Council. Al-Hameli said the UAE has had a
"strong desire" to proceed bilaterally on an agreement to
procure a remote sensing system from the U.S. since 2002.
When Kessler attempted to learn more about Hudhud, al-Hameli
said he was not empowered to discuss it. "I cannot discuss
it legally. You will have to discuss it with the GCC."
Kessler explained his concern that if the Emiratis were
partnering with the Saudis and Qataris on a remote sensing
agreement involving U.S. satellite technology, then the U.S.
would have to reach an agreement that included all three
countries. The USG did not want to initiate discussions with
Saudi Arabia and Qatar unless this was the course the USE
desired for its remote sensing program. (Note: Raytheon Vice
President in the Middle East Robert Lunday (PLEASE PROTECT)
provided Embassy with a white paper for the "Hudhud Remote
Sensing System for the Cooperation Council of the Arab States
of the Gulf ) UAE, Saudi Arabia, Qatar." To our knowledge,
the Raytheon-led team is the only U.S. vendor to bid in the
GCC Hudhud process. End note.)


5. (C) Col. al-Hameli said that as far as he was concerned,
the draft GTGA required a single amendment before being
signed. The UAE would like to add a clause under Article 3.1
of the agreement stating that the UAE could purchase an
Electro Optical System with a 0.5-meter resolution. Col.
al-Hameli seemed to interpret the absence of any
specification of resolution in this Article as possibly
implying that the USG would limit the UAE a system with a
1-meter resolution. Kessler emphasized to al-Hameli that
such was not the case, and that in fact we were prepared to
consider such a clause but wanted to ensure that doing so
would not foreclose the UAE obtaining a higher resolution
(such as 0.25-meter) in the future. Col. al-Hameli responded
to the effect that for now they want a 0.5-meter system to
start their program.


6. (C) Col. al-Hameli added that he was keen on meeting with
U.S. vendors to discuss technical aspects of the satellite,
but said the companies told him they could not talk about a
system with a half-meter resolution until they obtained the
necessary clearances from the State Department. Kessler said
that if the UAE alone is planning to purchase a satellite,
then there is a basis for an agreement, and U.S. vendors can
then discuss the system's technical aspects. Kessler said
that when he returned to the United States, he would convene
all the interested vendors in one meeting to explain that the
bilateral and Hudhud remote sensing programs were separate
and that they could proceed with obtaining the necessary
marketing licenses enabling them to hold technical
discussions with the UAE. That process can take place before
the GTGA is signed, Kessler added. The GTGA will need to be
signed before any sales occur.

Comment:
--------------


7. (C) Col. al-Hameli appeared to favor the bilateral
agreement with the U.S, but some in the UAE leadership may be
pursuing the Hudhud remote sensing program for GCC-related
political reasons. Ambassador will discreetly raise this
issue with Abu Dhabi Crown Prince and Deputy Supreme
Commander of the UAE Armed Forces Sheikh Mohammed bin Zayed
upon his return from his trip abroad later this month.


8. (U) Towards the end of the discussion, Col. al-Hameli
asked whether the U.S. might provide a "consultant" on export
controls to help them develop an effective national system.
Kessler responded that there were mechanisms by which the USG
could provide assistance, and promised to have the Embassy
pursue this matter separately.


9. (U) Kessler has cleared this cable.
SISON