INFORMATION ON TAJIKISTAN'S PLANS TO PURSUE NUCLEAR ENERGY

UNCLAS SECTION 01 OF 02 DUSHANBE 001553

SIPDIS
SENSITIVE

E.O. 12958: N/A
TAGS: ENRG TRGY BEXP BTIO TI
SUBJECT: INFORMATION ON TAJIKISTAN'S PLANS TO PURSUE NUCLEAR ENERGY

REF: STATE 00127423


1. (SBU) Enclosed is Post's response to questions posed in reftel.

GENERAL SITUATION

-- Plans for the development of nuclear power; existing or planned
nuclear power related facilities; foreseen expansion of these
facilities?

President Rahmon recently announced that his government would seek
opportunities to develop Tajikistan's commercial uranium mining and
processing potential. During the Soviet period, Tajikistan produced
yellow cake at Vostokredmet, a facility in Chkalovsk (Northern
Tajikistan),from raw materials that had been extracted from sites
in Tajikistan or was shipped in from Uzbekistan, Kazakhstan, and
Kyrgyzstan. The yellow cake would then be sent on elsewhere in the
Soviet Union. Tajik authorities estimate that there are 57 million
tons of waste left over from these operations.

While Tajik authorities have not developed specific plans to develop
this sector, any such plans would involve using new technology to
extract uranium from waste already stored in the country; exploring
possible uranium deposits in the country; and renovating the
Chkalovsk facility.

The Chkalovsk facility falls under the direct control of
Tajikistan's Ministry of Energy and Industry; it has been largely
dormant since 1992. Kazakhstan continued to send some materials for
processing after that time, but this stopped in 1996, when
Uzbekistan refused to allow the transportation of nuclear materials
to and from Tajikistan. The Chkalovsk facility is now used
primarily for storage of ionized emission sources.

The Ministry of Energy and Industry has identified three main areas
with potential uranium deposits: the Gissar area; the Rasht Valley;
and in the Pamir Mountains, particularly the area covered by Lake
Sasikul.

-- Underlying motivations for pursuit of nuclear power.

Tajikistan's primary motivation is economic. The economy is
extremely weak, and Tajik authorities are searching for new sources
of revenue and ways to diversify the economy.

-- Anticipated government role in the financing of civil nuclear
sector.

All current facilities are state-owned, and will likely remain in
government hands. We expect any funding for commercial projects to
come from other sources.

-- Names and titles of the key nuclear decision making government
bodies and top officials?

The prime nuclear decision making authority is the Inter-Ministerial
Commission on Energy Issues, which is headed by First Deputy Prime
Minister Asadullo Gulomov. The Ministry of Energy and Industry is
responsible for developing the country's commercial nuclear
capacity; Deputy Minister Makhmadsharif Khakdodov is responsible for
the defense and nuclear sectors within the Ministry.

-- Existing nuclear regulatory authority; inspection/enforcement
powers?

The Nuclear and Radiation Safety Agency (NRSA),established in 2003,
is Tajikistan's state regulatory authority, and its director is
Prof. Ulmas Mirsaidov. Its functions are to investigate, control
and regulate sources or radioactivity; monitor the environmental
impact of radiation; investigate and research nuclear and hydrogen
power engineering; and cooperate with international organizations
and foundations, especially the IAEA. There are five departments
(Research, Information and Analysis, Licensing and Control, Exposure
Regulation, Research and Technology) and a branch office in
Chkalovsk.

-- Does Tajikistan have a domestic nuclear liability law?
Q-- Does Tajikistan have a domestic nuclear liability law?

Tajikistan passed legislation after ratifying the IAEA statute in

2001. The Laws on Radiation Safety (2003) and Use of Atomic Energy
(2004) established a regulatory framework, but there does not appear
to be a specific nuclear liability law.

-- Is the manufacturing base involved in nuclear-related products or
services? Does it seem likely that any components or contracting
services for new plants could be sourced locally, or would the
majority of these need to be imported?


DUSHANBE 00001553 002 OF 002


It is not involved in such activities. Tajikistan would have to
rely very heavily - if not completely - on imports for components or
contracting services.

-- How extensive is the nuclear-trained workforce?

There are no programs in place to train domestic personnel for civil
nuclear power. The talent base generally for the civil nuclear
sector is extremely small. There are very few skilled engineers, no
high precision manufacturing, and few quality assurance programs.
Domestic construction capacity is of very low quality in every
aspect. There are still some Soviet-trained scientists affiliated
with the Academy of Sciences and the NRSA; they are, for the most
part, not being replaced as they retire.

OPPORTUNITIES FOR US INDUSTRY

-- Any current or anticipated nuclear-related tenders?

At this time there are none.

-- What nuclear sector opportunities do you foresee for U.S.
industry (e.g., feasibility studies or other consulting services,
plant construction management, reactor sales, fuel cycle service
provision, plant operations, waste management, or logistics)?

There may be scope for feasibility studies on possible uranium
deposits, and on extracting uranium from existing nuclear waste.
The NRSA Director, Mirsaidov, was extremely pessimistic about
Tajikistan's ability to develop uranium mining operations, or to
convince investors that such undertakings would be worthwhile. He
doubted that there were significant uranium deposits, and he thought
the expense of researching and extracting uranium would be
prohibitive.

-- If applicable, what are the primary companies (domestic and
foreign) involved in (or considering involvement in) the civil
nuclear sector?

Domestically, the most important actor is the Ministry of Energy and
Industry. Vostokredmet, a state-owned company under the direction
of the Ministry of Energy and Industry, is engaged in mining
activities, although it has not recently been involved in mining
uranium. In the past, Vostokredmet had an arrangement with
Kazakhstan's State Corporation for Nuclear Energy and Industry
wherein Kazakhstan supplied uranium ore to Vostokredmet for
processing into yellow cake. There have been reports that a Russian
enterprise, Atomredmetzoloto, and a Chinese enterprise, Sino Hydro,
have explored uranium waste reprocessing in Tajikistan.

FOREIGN COMPETITORS

-- Are there other nuclear supplier countries engaging your country?


According to the NRSA Director, Kazakhstan stopped sending raw
materials to Tajikistan in 1996. Media reports have mentioned
Russia and China as sources of interest in the nuclear sector, but
there are no concrete projects. Chinese Embassy officials have
denied knowledge of any concrete Chinese interest in this sector;
they did, however, say that a Chinese firm (possibly Sino Hydro)
researched uranium mining possibilities in late 2008 and concluded
that it would not be economically feasible based on Tajikistan's
limited deposits of uranium. In February 2008, a former President
of India, APJ Abdul Kalam, said that India is "very interested" in
Tajikistan's uranium mining possibilities; Post has not seen
evidence of such interest beyond his statement, however. The media
have also mentioned Iran as a source of interest, but post has found
no evidence of any discussions or plans.

-- Are there any political considerations your country may take into
account when choosing to cooperate with competing nuclear supplier
Qaccount when choosing to cooperate with competing nuclear supplier
states?

Tajikistan maintains a complicated "multi-vectored" foreign policy,
attempting to balance relationships with the United States, Russia,
China, Iran, and immediate neighbors. These relations are a factor
in major economic decisions.


2. (U) Point of contact on this issue is PolOff Greg Naarden,
NaardenGL2@state.gov.

JACOBSON