Identifier
Created
Classification
Origin
08OTTAWA673
2008-05-16 20:58:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Ottawa
Cable title:
CANADA'S NUCLEAR SECTOR: AECL SCRAPS ISOTOPE REACTOR PROGRAM
VZCZCXRO6675 RR RUEHGA RUEHHA RUEHQU RUEHVC DE RUEHOT #0673 1372058 ZNR UUUUU ZZH R 162058Z MAY 08 FM AMEMBASSY OTTAWA TO RUEHC/SECSTATE WASHDC 7872 INFO RHEBAAA/HQ DEPT OF ENERGY WASHDC RUEAEPA/HQ EPA WASHDC RUEAUSA/DEPT OF HHS WASHDC RUCPDOC/USDOC WASHDC RUCNCAN/ALL CANADIAN POSTS COLLECTIVE
UNCLAS OTTAWA 000673
SENSITIVE
SIPDIS
DEPARTMENT FOR WHA/CAN, OES, EB/ESC, AND ISN
DOE FOR P&I, NE AND NNSA
EPA FOR OFFICE OF THE ADMINISTRATOR AND INT'L AFFAIRS
COMMERCE FOR 4320/ITA/MAC/WH/ONIA - WORD
HHS for Office of Global Health Affairs
E.O. 12958: N/A
TAGS: TRGY, TBIO, PGOV, ENRG, CA
SUBJ: Canada's Nuclear Sector: AECL scraps isotope reactor
program
REF: OTTAWA 0156
Sensitive, but unclassified. Not for distribution outside USG
channels.
UNCLAS OTTAWA 000673
SENSITIVE
SIPDIS
DEPARTMENT FOR WHA/CAN, OES, EB/ESC, AND ISN
DOE FOR P&I, NE AND NNSA
EPA FOR OFFICE OF THE ADMINISTRATOR AND INT'L AFFAIRS
COMMERCE FOR 4320/ITA/MAC/WH/ONIA - WORD
HHS for Office of Global Health Affairs
E.O. 12958: N/A
TAGS: TRGY, TBIO, PGOV, ENRG, CA
SUBJ: Canada's Nuclear Sector: AECL scraps isotope reactor
program
REF: OTTAWA 0156
Sensitive, but unclassified. Not for distribution outside USG
channels.
1. (SBU) In a stunning reversal, Atomic Energy of Canada Limited
(AECL) announced on May 16 it is discontinuing development of two
new reactors which were meant to lay the foundation for renewing
Canada's medical isotope business. That business had been severely
shaken when the half-century old "NRU" reactor currently in use was
shut down for over a month in November-December 2007 by the CNSC,
Canada's nuclear regulator, for safety reasons (reasons later
contested by the government) (reftel).
2. (U) The proposed Maple 1 and Maple 2 reactors were more than
eight years behind schedule and well over budget. AECL had invested
over C$500 million in them, and as recently as late January they
were still expected to enter service within a year.
3. (U) Production of molybdenum-99, the input for medical isotope
exports by AECL customer MDS Nordion, will now rely solely on the
55-year-old NRU reactor in Chalk River, Ontario (two hours west of
Ottawa). This AECL-MDS relationship is the origin of about half of
all isotopes used in diagnostic nuclear medicine procedures
worldwide. Such isotopes have half-lives of a few days or less, so
stockpiling is impossible and prolonged interruptions in reactor
service can create shortages in health care systems.
4. (SBU) AECL's odds of participating in the pending
nuclear-industry renaissance have been hampered by a lack of
confidence in the money-losing, government-owned reactor firm to
deliver on promises and stay in the game for the long term.
Cancellation of the Maple project not only represents a huge
financial loss, but also a huge loss of credibility for AECL as a
supplier, and may even spell the beginning of the end of Canada's
reactor industry. Embassy will follow up with further analysis.
WILKINS
SENSITIVE
SIPDIS
DEPARTMENT FOR WHA/CAN, OES, EB/ESC, AND ISN
DOE FOR P&I, NE AND NNSA
EPA FOR OFFICE OF THE ADMINISTRATOR AND INT'L AFFAIRS
COMMERCE FOR 4320/ITA/MAC/WH/ONIA - WORD
HHS for Office of Global Health Affairs
E.O. 12958: N/A
TAGS: TRGY, TBIO, PGOV, ENRG, CA
SUBJ: Canada's Nuclear Sector: AECL scraps isotope reactor
program
REF: OTTAWA 0156
Sensitive, but unclassified. Not for distribution outside USG
channels.
1. (SBU) In a stunning reversal, Atomic Energy of Canada Limited
(AECL) announced on May 16 it is discontinuing development of two
new reactors which were meant to lay the foundation for renewing
Canada's medical isotope business. That business had been severely
shaken when the half-century old "NRU" reactor currently in use was
shut down for over a month in November-December 2007 by the CNSC,
Canada's nuclear regulator, for safety reasons (reasons later
contested by the government) (reftel).
2. (U) The proposed Maple 1 and Maple 2 reactors were more than
eight years behind schedule and well over budget. AECL had invested
over C$500 million in them, and as recently as late January they
were still expected to enter service within a year.
3. (U) Production of molybdenum-99, the input for medical isotope
exports by AECL customer MDS Nordion, will now rely solely on the
55-year-old NRU reactor in Chalk River, Ontario (two hours west of
Ottawa). This AECL-MDS relationship is the origin of about half of
all isotopes used in diagnostic nuclear medicine procedures
worldwide. Such isotopes have half-lives of a few days or less, so
stockpiling is impossible and prolonged interruptions in reactor
service can create shortages in health care systems.
4. (SBU) AECL's odds of participating in the pending
nuclear-industry renaissance have been hampered by a lack of
confidence in the money-losing, government-owned reactor firm to
deliver on promises and stay in the game for the long term.
Cancellation of the Maple project not only represents a huge
financial loss, but also a huge loss of credibility for AECL as a
supplier, and may even spell the beginning of the end of Canada's
reactor industry. Embassy will follow up with further analysis.
WILKINS