DEMARCHE REQUEST: BN350 BILATERAL TALKS

UNCLAS STATE 185480 SIPDIS SENSITIVE SIPDIS E.O. 12958: N/A TAGS: PGOV PREL MNUC PARM KNNP KZ SUBJECT: DEMARCHE REQUEST: BN350 BILATERAL TALKS REF: EMAILS COONEY-O'MARA-CURRY ¶1. (U) This is an Action Request: Chief of Mission (or highest appropriate official at post's discretion) is requested to approach the highest ranking Government of Kazakhstan (GOK) official available, as soon as possible, to convey U.S. request to establish ongoing senior and technical level discussions about permanent disposition for the BN-350 nuclear plant,s fast breeder reactor spent fuel (after long-term storage at the Baikal-1 site). Department suggests demarche to both Ministry of Energy and Mineral Resources and Ministry of Foreign Affairs on this topic. ¶2. (SBU) BACKGROUND: This action request follows GOK President Nursultan Nazarbayev's September 28, 2006 meeting in Washington, D.C. with Secretary of Energy Samuel Bodman. Secretary Bodman asked to open discussions about permanent disposition of the spent fuel and President Nazarbayev agreed. The USG has a long and successful history of cooperation on nuclear nonproliferation with the GOK. DOE would like to build on the Bodman-Nazarbayev good will as quickly as possible. A separate cable will follow containing text of letter to Minister of Energy and Mineral Resources Izmukhambetov from Ambassador Linton Brooks, Department of Energy Administrator, National Nuclear Security Administration (DOE/NNSA). Ambassador Brooks suggests Deputy Administrator William H. Tobey as head of delegation for the policy level group. The initial discussions will take place at senior policy levels to ensure political will and to better understand how the GOK intends to use the spent fuel. Washington believes a follow-on meeting of a Technical Level Working Group (TLWG) should take place very soon after the policy level discussion; this group would report to the policy level group. Ideally, the TLWG would begin discussion of options, including feasibility, cost and timelines for permanent disposition of BN-350 spent fuel with Kazakhstani counterparts in January-February 2007. These options would inform policy discussions and help the U.S. assess the potential for bilateral cooperation on permanent disposition. END BACKGROUND. ¶3. (SBU) As a way forward, the Department and DOE have agreed to the following steps: -- Open the discussion with the GOK about permanent disposition of BN-350 spent fuel materials (after long-term storage at Baikal-1) by senior level demarche. -- Request GOK concurrence with the visit of a Senior level policy delegation, led by senior officials from the Department of Energy's National Nuclear Security Administration (DOE/NNSA) and joined by officials from various agencies, including the State Department and participation by Embassy Astana. -- Senior Policy Delegation will visit as soon as possible after GOK concurrence, preferably in December 2006. -- With GOK concurrence the Technical Level Working Group will meet with appropriate GOK counterparts to begin discussion of available technical options for permanent disposition of BN-350 spent fuel. A copy of the points in para 4 may be left as a non-paper, at posts' discretion, to be shared with appropriate Ministry of Foreign Affairs and Ministry of Energy and Mineral Resources officials. ¶4. (SBU) BEGIN TEXT: -- President Nazarbayev and Secretary Bodman agreed to begin discussion of permanent disposition of the BN-350 reactor spent fuel during their meeting in Washington in September 2006. -- The ongoing U.S.-Kazakhstan cooperation over BN-350 has met significant project goals during the past year. We would like to build on the current successes. -- The U.S. remains committed to long-term storage of spent fuel at the Baikal-1 facility. However, in order to plan effectively for the permanent disposition of the spent fuel material after Baikal-1 we must begin to discuss opportunities for joint cooperation now. -- The U.S. proposes a joint, senior level policy group to establish a framework for future bilateral technical cooperation and terms of reference for permanent disposition of BN-350 spent fuel. -- The senior level policy group would also establish a joint bilateral technical working group to discuss our options at the expert level, reporting to the senior level policy group. -- We look forward to your response to this proposal and hope to be able to schedule the first discussions of the senior level policy group before the end of the year. END TEXT. ¶5. (U) MINIMIZE CONSIDERED. RICE