MAYAK TRANSPARENCY AGREEMENT: JULY ROUND POSSIBLE

C O N F I D E N T I A L MOSCOW 003232

SIPDIS

SIPDIS

DEPARTMENT ALSO FOR ISN/FM -- AMB. GUHIN AND MEGGEN WATT

E.O. 12958: DECL: 07/02/2017
TAGS: ENRG KNNP PREL PARM TRGY RS
SUBJECT: MAYAK TRANSPARENCY AGREEMENT: JULY ROUND POSSIBLE

REF: STATE 25072

Classified By: EST Counselor Daniel J. O'Grady. Reasons: 1.4 (b,d)


1. (C) Both in the meetings of the plutonium disposition
negotiations (June 19-20 in Moscow) and on their margins,
Ambassador Guhin raised the Mayak transparency agreement with
Rosatom Deputy Director Ivan Kamenskikh and Head of the
Department of International Relations Vladimir Kuchinov,
urging that negotiations be reconvened and completed promptly
in July, before Senator Lugar's visit in August. He noted
that the US provided comments on the entire package (umbrella
agreement, liability protocol, and technical annexes) in late
February (reftel) and need Russia's response, and that both
sides had an interest in concluding these negotiations
without delay.


2. (C) On the margins and then in the plenary (see below),
Kuchinov explained that Rosatom had just received comments
from the interagency, some of these went in different
directions, and this required Rosatom to sort them out before
responding to the U.S. He anticipated that Russian comments
would be ready soon, "surely by the end of June," and that
the Russian side would be ready to meet sometime in July. He
also noted that completing negotiations by the time of
Senator Lugar's visit could be difficult but not impossible,
but said signature by that time was not possible given the
formal and extensive ministerial-level review for
Presidential approval for signature once the text is
completed.


3. (C) In the plenary, Kamenskikh ruminated about the high
cost of operating the Mayak Fissible Material Storage
Facility (FMSF) -- some 450 million rubles per year -- and
appeared to suggest that the storage value was not
commensurate with the cost. In the meeting and particularly
on the margins, U.S. Rep stressed that this was a major,
important project and that the operational cost (really cheap
by U.S. standards) or extent of use of the facility should
not be in question. He privately asked Kuchinov if
Kamenskikh was suggesting otherwise and noted that, if so,
this would be a big problem. Kuchinov quickly responded that
Kamenskikh was not and that the facility was being and would
continue to be filled at least until 25 tons had been
secured. U.S. Rep maintained that the facility should be
utilized to the full extent.
RUSSELL