NUCLEAR FUEL SUPPLY ASSURANCES

UNCLAS PRETORIA 003722 SIPDIS SENSITIVE SIPDIS E.O. 12958: N/A TAGS: ENRG KNNP PARM PREL SF SUBJECT: NUCLEAR FUEL SUPPLY ASSURANCES REF: STATE 129965 ¶1. (U) Sensitive but Unclassified; Protect Accordingly. Not for Internet Distribution. ¶2. (SBU) Incoming and outgoing Econ M/C's and Econoff presented August 31 reftel points and concept paper to Department of Mineral and Energy's Tseliso Maqubela, Chief Director, Nuclear Energy and Mahlatsi Koma, Deputy Director, International Relations. Noting that he had not previously seen the IAEA concept paper, Maqubela expressed several general reservations. He noted that a conventional nuclear energy program is a long-term undertaking, as much as 65 years, and the international environment could change dramatically in that period. He added that equity among countries was a key principle for South Africa and any arrangement should not perpetuate inequality. The concept sounded like a group even more closed than the Nuclear Suppliers Group. Personally, he thought the Generation IV structure represented a balanced approach. In closing, Maqubela stated that Minerals and Energy Minister Sonjica would present the offficial South African view of the concept during the IAEA Special Event on Assurances in Vienna. ¶3. (SBU) Asked about press reports that the Minister had stated that South Africa would enrich uranium, Maqubela said that the news media had not correctly quoted the Minister and provided econoffs with a copy of the Minister's August 25 speech, which he had helped write. Maqubela noted that news media were not present at the speech and that the Department of Minerals and Energy subsequently distributed the speech. Noting the expected rapid expansion of the nuclear energy industry worldwide and a predicted shortage of enriched uranium, Maqubela said South Africa would look at the uranium enrichment issue strictly in economic terms. In an August 25th conversation (septel) DFA DDG Abdul Minty told visiting USUNVIE COM Schulte that South Africa had made no decisions regarding possible uranium enrichment, but did not want to foreclose any options. (Note: in her August 25 speech at the launch of the South African Young Nuclear Professionals Society, the Minister said, inter alia, quote: I therefore believe that time has come for South Africa to conduct a cost benefit analysis into the beneficiation of uranium. I will soon be making certain announcements in this regard. It goes without saying that beneficiation of uranium comes with its own responsibilities and sensitivities and we would pursue this within our national and international obligations. End quote. Full text of speech sent to AF/S END NOTE). Bost