EXTRANCHECK: PRE-LICENSE CHECK: TETIS PRO,

UNCLAS MOSCOW 011261

SIPDIS

USDOC FOR 532/OEA/MHAMES/DMUSLU
USDOC FOR 3150/USFCS/OIO/CEENIS/MCOSTA
USDOC FOR 532/OEE/MO'BRIEN
SIPDIS

E.O. 12958: N/A
TAGS: BEXP ETRD ETTC RS
SUBJECT: EXTRANCHECK: PRE-LICENSE CHECK: TETIS PRO,
MOSCOW, RUSSIA, LICENSE NO. D363236

REFTEL: USDOC 04979


1. Unauthorized disclosure of the information provided
below is prohibited by Section 12C of the Export
Administration Act.


2. Reftel requested a Pre-license check to determine
the legitimacy and reliability of the end-user, Tetis
Pro, Moscow, Russia. The company is listed on BIS
license application D363236 as the ultimate consignee
of a modular multibeam echosounder system. These items
are controlled for national security reasons under
ECCN 6A001. The licensee is Reson, Inc., 100 Lopez
Road, Goleta, Ca 93117.


3. On September 29, 2006, Export Control Attache
Donald Pearce and FSN Natalya Shipitsina conducted the
requested pre-license check at the offices of Tetis
Pro, Ozernaya st., 42, Moscow, Russia. The export
control team met with Alexander Yakovlev, Head of the
Remote Operated Vehicles Department.


4. Tetis Pro, founded in September 1991, is a supplier
of commercial diving equipment and technical services
for underwater operations. The main clients of Tetis
are the Ministry for Emergency Situations (Russian
abbreviation MChS, sometimes referred to as EMERCOM)
who are responsible for underwater search and rescue,
the Ministry of Internal Affairs (Russian abbreviation
MVD) who are responsible for law enforcement divers,
and oil and gas companies such as Lukoil and Gazprom.
Tetis Pro is also building a deep-water rescue vehicle
for the Russian Navy. Commercial dive equipment is
not produced in Russia, so the company imports almost
all equipment from outside of Russia. Tetis Pro has
working relationships with several U.S. companies,
such as Bauer-Poseidon, Stanley Tools, and Ocean
Technical Systems, among others. Over the past two to
three years, Tetis Pro has seen profits of around
2,000,000 USD, making it the leading commercial diving
supplier in Russia.


5. The echosounder in reftel will be utilized in an
oceangoing system for search and rescue. Tetis Pro is
designing the system for the Ministry for Emergency
Situations (Russian abbreviation MChS, also known as
EMERCOM). Tetis began working with Reson four years
ago, through their Denmark headquarters. The company
bought several single-beam echosounders for the
Transneft company, the Russian state unitary company
responsible for pipelines. Those Echosounders are used
in shallow water for survey purposes.


6. The echosounder will be stored at Tetis Pro prior
to its delivery to the MChS. Tetis Pro has a storage
facility on site, with a 24 hour attendant security
guard. The storage area is alarmed, and access is
limited to company personnel with responsibilities in
the warehouse. As the company is a government
contractor, all personnel are required to go through
an FSB First Directorate background check. When
transferred to MChS, the system will be in the
possession of the Central Squadron Special Operations
group, who is responsible for waterborne operations.


7. Tetis Pro took delivery of a multi-beam echosounder
of similar specifications from Reson in May. The unit
was used by Mr. Yakovlev during a rescue operation for
a downed Russian airliner in the Black Sea, and
successfully located the site of the debris field.
Mr. Yakovlev showed the team a Reson system with a
Federal Acoustics echosounder, model EM-7187, Serial
Number 0806139.


8. Recommendations: Post recommends Tetis Pro, Moscow,
Russia, as reliable recipients of sensitive U.S.
origin commodities. It is requested that post be
notified of final disposition of the application, and
of any shipments for this organization in order to
conduct appropriate FCS follow-up and statistical
reporting.
(FCS MOSCOW/SBOZEK/DPEARCE)
BURNS