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