Identifier
Created
Classification
Origin
08UNVIEVIENNA590
2008-11-07 16:45:00
SECRET//NOFORN
UNVIE
Cable title:  

ANSWERING THE MAIL ON SUPPORT TO IAEA SAMPLE

Tags:  AORC KNNP IAEA ENRG TRGY 
pdf how-to read a cable
O 071645Z NOV 08
FM USMISSION UNVIE VIENNA
TO SECSTATE WASHDC IMMEDIATE 8646
DOE WASHDC IMMEDIATE
INFO AMEMBASSY PRAGUE IMMEDIATE 
AMEMBASSY VIENNA IMMEDIATE
S E C R E T UNVIE VIENNA 000590 

NOFORN

IO/T, ISN/MNSA COCKERHAM, IO/UNP, ISN CTR CURRY; NA-243
GOOREVICH, LOCKWOOD, OEHLBERT, BRUNS; NA-241 SIEMON,
O'CONNOR, LAMONTAGNE; NRC FOR OIP - DUNN LEE, HENDERSON,
SCHWARTZMAN; USDOC PASS NIST FOR DAVE SIMONS; AFTAC FOR
CHARLES BRENNAN

E.O. 12958: DECL: 11/07/2033
TAGS: AORC KNNP IAEA ENRG TRGY
SUBJECT: ANSWERING THE MAIL ON SUPPORT TO IAEA SAMPLE
ANALYSIS CAPABILITIES/SEIBERSDORF ANALYTIC LABORATORY

REF: UNVIE 00455

Classified By: AMBASSADOR GREGORY L. SCHULTE FOR REASONS 1.4 (B) AND (D)

S E C R E T UNVIE VIENNA 000590

NOFORN

IO/T, ISN/MNSA COCKERHAM, IO/UNP, ISN CTR CURRY; NA-243
GOOREVICH, LOCKWOOD, OEHLBERT, BRUNS; NA-241 SIEMON,
O'CONNOR, LAMONTAGNE; NRC FOR OIP - DUNN LEE, HENDERSON,
SCHWARTZMAN; USDOC PASS NIST FOR DAVE SIMONS; AFTAC FOR
CHARLES BRENNAN

E.O. 12958: DECL: 11/07/2033
TAGS: AORC KNNP IAEA ENRG TRGY
SUBJECT: ANSWERING THE MAIL ON SUPPORT TO IAEA SAMPLE
ANALYSIS CAPABILITIES/SEIBERSDORF ANALYTIC LABORATORY

REF: UNVIE 00455

Classified By: AMBASSADOR GREGORY L. SCHULTE FOR REASONS 1.4 (B) AND (D)


1. (S) Summary and Recommendation: The IAEA is proceeding
toward expansion of the Clean Laboratory at the Safeguards
Analytical Laboratories (SAL) in Seibersdorf to house an
Ultra-High Sensitivity (UHS-SIMS) mass spectrometer. The
Japanese Government has agreed to fund the UHS-SIMS machine,
and will release the money once commitments are made to fund
the clean lab extension. The IAEA is keen for other member
states, especially the United States, to reply positively to
its requests for funding the Clean Laboratory expansion. In
addition to the specific letters seeking funding and
assistance, IAEA sources advise the 2010-2011 budget proposal
to the Board of Governors will include SAL expansion as a
Core Activity Unfunded in the Regular Budget (CAURB).
Secretariat officials continue to stress that clean lab
expansion is essential for the IAEA to have an "independent"
analytic capability, and that such a capability is a high
priority for Director General ElBaradei. Secretariat
officials (including DDG Safeguards Heinonen) with the best
understanding of past, current, and anticipated IAEA
practices on environmental sampling, however, describe
"independence" as ensuring the integrity, and in some cases
timeliness, of results. They confirmed that in their view
"independence" does not/not mean that the IAEA would alter
its current practices vis--vis sending samples to the IAEA's
Network of Analytical Laboratories (NWAL),including (and
especially) to labs in the U.S. (Comment: Given the DG's
views, however, we doubt IAEA staff would be willing to put
that in writing. End Comment.)


2. (SBU) The future of the nuclear laboratory portion of
Seibersdorf that conducts destructive analysis of small
samples of nuclear material (vice analysis of environmental
samples),continues to be a lower priority for Secretariat

officials. However, the Secretariat still hopes Member
States will provide the estimated EURO 25 million to build a
new nuclear laboratory as well. Details continue to unfold
on the precise nature of a recent Czech offer of assistance,
but it appears to be for joint use of a Clean Lab to be
constructed in Rez. The EU-funded Rez lab already plans to
obtain UHS-SIMS of its own. The Secretariat will meet with
the Czechs to explore the offer, and the Government of
Austria has reportedly expressed a renewed interest in
possible assistance to Seibersdorf -- apparently prompted by
the possibility IAEA analytic activities could leave Austria.



3. (S) UNVIE recommends Washington provide EURO 500,000 to
assist in the conceptual design and engineering phases of the
clean lab extension. Given verbal assurances that the IAEA
will continue to submit environmental samples to the NWAL, we
should to also consider providing the additional necessary
EURO 3.4 million for expansion of the Clean Lab at
Seibersdorf, but only after full consideration of the Czech
offer, and on the condition that the IAEA also confirm that
moving ahead now on the Clean Lab/UHS-SIMS does not prejudice
a subsequent decision on where to locate the Nuclear Lab
(i.e., does not pre-judge that the Nuclear Lab must be
co-located at Seibersdorf). We remain concerned about the
Secretariat's lack of transparency and ElBaradei's emphasis
on the need for independence. UNVIE will continue to work
with the "friends of SAL" group, who agree that the
Secretariat must undertake an even-handed evaluation of all
options for the nuclear laboratory, including relocation, and
that the Secretariat should/can never be completely dependent
on its own lab. The Friends of SAL will brief the Geneva
Group on November 5 on the status of Secretariat activities
vis--vis SAL. End summary and recommendation.

--------------
Clean Laboratory
--------------


4. (SBU) In a meeting with MsnOffs, IAEA Safeguards
officials Andy Hamilton and Michio Hosoya advised on next
steps with regard to requested assistance at SAL. Hosoya
indicted the Secretariat was able to find EURO 500,000 from
regular budget funds and is proceeding with a conceptual
design to extend the Clean Lab and would appreciate
contribution from the U.S. of EURO 500,000 to do the
engineering designs for the extension. MsnOffs expressed
surprise that the Secretariat had made the decision to
proceed with the extension without Board agreement and
without specifically identifying a source for the additional
EURO 3.4 million that will be necessary for construction of
the extension. Hosoya and Hamilton indicated they were
following instructions from senior IAEA leadership, and that
the additional funds would be identified in the 2010-2011
budget request as a CAURB - (Core Activity Unfunded in the
Regular Budget). Note: CAURBs are activities the
Secretariat feels should either be part of the Agency's
regular budget program if funding permitted, or which involve
a degree of uncertainty as to whether they will be
implemented and were therefore not included in the regular
budget. CAURBs can include extrabudgetary CAURBs
(extrabudgetary funding is expected),and unfunded CAURBs
(for which no funding is yet foreseen).


5. (SBU) Hosoya further stated that he hopes to let an
engineering design contract in November 2008, for a March
2009 delivery date for the design. He indicated that the
delivery of the UHS-SIMS machine itself will take 18-24
months once ordered. As for support from Austria for this
extension, Hosoya indicated the IAEA already has access to
the land next to the clean lab to build the extension through
existing arrangements with the Government of Austria. SAL
officials told us that given the high water table in the area
the extension will require a pad of concrete 3-4 meters deep
to ensure the foundation remains stable.

--------------
Board Decision
--------------


6. (SBU) Hamilton was careful to add that the final decision
on whether to proceed with the Clean Lab project would indeed
be made by the Board via eventual Board approval of the
2010-2011 budget at its June 2009 meeting. Hamilton said the
Secretariat does not plan to submit to the Board either an
additional decision or information document other than the
budget proposal. Hamilton argued that document GOV/2007/59
the Secretariat issued on SAL prior to the November 2007
Board was sufficient for purposes of informing the Board.
MsnOffs laid down a clear marker that the U.S. may request
further specific reporting/dialogue with the Board on SAL,
aside from the coming budget process. In particular, MsnOffs
stressed that the U.S., and likely others, will want to be
integral to any decision process regarding the future of IAEA
sample analysis, especially when we are being asked to foot a
significant bill. In a subsequent meeting on October 29, the
Friends of SAL were very concerned about the Secretariat's
path, and suggested we find a way to force the Secretariat to
provide a new written update/report specific to its SAL
activities.

-------------- -
Independence Really Means Integrity of Results
-------------- -


7. (S) In preparation for the above meeting with Hosoya and
Hamilton, MsnOffs called on AMCIT Diane Fischer separately to
discuss the issue of "independence" of environmental samples.
Fischer, formerly of AFTAC, is a Cost Free Expert in the
Division of Safeguards Information Management, where she
evaluates data results from environmental samples. MsnOffs
raised the issue of "independence," noting that we found the
IAEA's discussion on this front confusing given that the NWAL
operation was already constructed to give the Agency such
independence (via provision of "blind" samples to NWAL).
MsnOffs asked whether the Secretariat believes it could
construct a sampling analysis regime that is "independent" of
the NWAL. Moreover, given that basic analytic quality
control dictates that at least two labs must analyze every
sample, wouldn't over-reliance on any single IAEA-owned
laboratory" actually undercut the integrity of the IAEA
sample analysis process?


8. (S) Fischer responded in strong agreement with MsnOff's
characterization and said she sees no prospect that
acquisition of a UHS-SIMS capability would significantly
change the standing procedures for handling environmental
samples within the IAEA and NWAL. She added that two-lab
analysis is part of the quality control of the sampling
system and good lab practices will continue to be followed.
MsnOff raised the case of the Iranian-related IAEA
investigation in which a participating member state asked
that centrifuge components it was providing be tested only by
SAL. Fischer, in the strictest of confidence (strictly
protect),noted that even though such confidentiality
assurances were given, samples from the components were still
sent to the NWAL for purposes of quality assurance.


9. (S) Fischer added that once operational, the UHS-SIMS
would have a capacity of approximately 120 samples per year,
which is not nearly enough capacity to see all environmental
samples collected by the Agency. In addition, the
Secretariat will have a steep learning curve in the use of
this machine and in evaluating the results, as the IAEA will
be new to using a UHS-SIMS. Fischer expects the UHS-SIMS
will improve data quality over the current SIMS. In the end,
however, Fischer thought the IAEA would never achieve a level
of expertise comparable to AFTAC, for example, because the
IAEA is not in position to re-create the system of
expert/personnel longevity that makes AFTAC so skillful.


10. (S) Fischer passed MsnOffs a draft internal document
entitled "Assessment of the International Atomic Energy
Agency Environmental Sampling Process." (Mission is
forwarding the document to IO, ISN, and NNSA/DOE.)
Commenting in confidence on the internal IAEA dynamic with
regard to the IAEA's handling of the SAL issue, Fischer
expressed firm agreement that some in the Secretariat are
misusing and mischaracterizing the term "independence."
Fischer said she and other safeguards Department experts have
had a long-running battle with officials from SAL and the
Department of Nuclear Applications (which manages SAL) trying
to persuade them to stop using the term in a way that implies
the process on sample analysis heretofore has not been
"independent." She expressed frustration that some of the
non-experts seemed to have seized on the "independence"
rationale because they think it appeals to the Director
General and might therefore help them win bureaucratic
battles as to the future of SAL. MsnOffs encouraged Fischer
to keep up her efforts to set the record straight on
"independence." Comment: It is important to recall that
until now, the Secretariat has not provided a complete answer
to a specific question from the Geneva Group in regard to
"independence." End comment.


11. (C) In a subsequent lunch meeting with DDG Heinonen,
MsnOff reiterated the questions above regarding
"independence" and noted the confusion the Secretariat has
caused vis--vis its plans for how it would use any upgraded
SAL. Heinonen said that for him "independence" meant that he
would have the capability to set priorities for a "quick
first look" at select high interest samples without having to
compete with other, national, non-NWAL priorities that
non-IAEA NWAL labs must also necessarily juggle. He noted
the ongoing case of samples from Syria as an example. He did
not foresee any change in the "two lab rule" for analyzing
samples, or any less reliance on NWAL generally, but clearly
was interested in a UHS-SIMS capability being at his own
disposal for those samples on which he wanted a "first look"
quickly. MsnOff reiterated U.S. support for strong and
timely sample analysis procedures, so long as the integrity
of the analysis was maintained, i.e., speed was not allowed
to trump quality in the end. Heinonen did not disagree.


12. (S) MsnOffs also spoke with DG Special Advisor Graham
Andrew and expressed concerns that some of the DG's recent
statements, including in his speech to the UN General
Assembly, could be read to imply that the IAEA's sample
analysis procedures were somehow compromised. Andrew
(strictly protect) agreed that the "interpretation" of the
DG's comments on "independence" are being
misinterpreted/misused by some. He stressed that his own
view, and in the view of the technical staff, "independence"
meant having at least "some" capability of its own to conduct
the sort of work for which the IAEA currently must rely
solely on the NWAL. Andrew also explained at length the DG's
concern-which Andrew said he shared-about the possible optics
that could be exploited by the likes of Iran and Syria so
long as the Agency relies solely on the NWAL-especially if
the NWAL labs are in U.S. or other western states. In
response to MsnOffs' concerns that the IAEA keep the Board
apprised of its plans on SAL, Andrew said the Secretariat
would be issuing a 2-page "GOV/INF" doc on SAL before the
November 27 IAEA Board meeting. MsnOffs said that was
welcome news and urged Andrew to use that document to make
clear what is meant by the IAEA's reference to
"independence." Finally, in a brainstorming session on next
steps, Andrew said he would welcome consideration of the U.S.
funding a consultant who could help take forward appropriate
planning and implementation of the desired UHS-SIMs and clean
lab and help the Secretariat coordinate the next steps for
the nuclear lab, Czech offer, Austrian Government, etc.

--------------
The Czech Connection
--------------


13. (SBU) In the meeting with Hosoya and Hamilton, they
admitted there is much work yet to be done to determine the
best course of action for the Nuclear Laboratory. They
agreed that the recent offer by the Czech Republic was an
additional factor for consideration. They also noted that
the SAL staff had been ready to dismiss any notion of
relocating any portion of SAL, but with a serious offer now
on the table, they would have to reconsider their options.

14. (SBU) Specifically, the Czech Republic has recently
shown renewed interest in assisting the Agency's
environmental and nuclear sampling capabilities. The Czech
statement at the 2008 IAEA General Conference offered Czech
"premises and capacities for analyzing samples in the near
future." The Czech Republic has subsequently followed up
with a note verbale to the IAEA, which it may circulate as an
INFCIRC, clarifying its intentions; text of the note is
repeated below in para 18. A Czech Mission official has
raised with UNVIE MsnOff on several occasions Czech concern
about the wisdom of the IAEA asking Member States to make a
large investment to build a new laboratory in Austria - a
country that is not positively inclined toward nuclear
energy, etc. Moreover, according to the Czech official, the
Rez facility already has a research reactor on the premises.
In a recent discussion in the Friends of SAL (which now
includes the Czech Republic),Czech officials from Rez and
the Mission described plans to expand Rez, including a clean
lab with a UHS-SIMS. Prague is reportedly prepared to offer
the IAEA use of its laboratories once completed - although
the offer is focused on the clean lab at this time, vice the
nuclear lab. At this time it is not entirely clear whether
the Czech Republic could actually allow the IAEA to have full
use of a portion of the lab, or if it would have to be
shared, but it seems to be the latter. The Czechs will put
together a more detailed package of information on their
plans. Part of the funding for this expanded capability in
Czech will come from EU infrastructure monies set aside for
newly admitted Eastern European partners as part of the EU
accession process.


15. (SBU) We understand Czech motivation for making the
offer to be the following:

-- Czech Republic has a nuclear capability and supports
expansion of the Secretariat's safeguards analytical
capabilities;

-- GOCR is slated to receive $8 million from the European
Union for infrastructure upgrade that it intends to use at
Rez (which could help underwrite infrastructure development
for an IAEA lab); and

-- The need for upgrades at SAL and the recent accident there
involving plutonium brought a realization in Czech that their
laboratory at Rez may be a better option, even if it needs
some improvements to accommodate the IAEA.


16. (C) Speaking with the Czech Ambassador and DCM, DCM
encouraged Prague to use the November 10-11 visit of DG
ElBaradei and EXPO Director Vilmos Cserveny to lay out a
clear concept of what the Czech Republic can offer-and to
address the IAEA desire for a proprietary laboratory
capability.

--------------
Comment and Recommendation
--------------


17. (S) The IAEA is attempting to move ahead now -- with or
without a U.S. funding commitment -- on the Clean Laboratory
extension that would house the Japanese funded UHS-SIMS.
While Mission questions the Agency's priority in focusing on
the Clean Laboratory first (rather than the Nuclear
Laboratory),we are reassured by the fact that the Clean Lab
extension will not affect the environmental samples sent to
the NWAL. Support for high quality and timely UHS-SIMS
sample analysis of the sort described by Fischer and Heinonen
above seems consistent with U.S. support for a strong
safeguards regime. In that light, as a follow-on to reftel,
and to help maintain continued U.S. influence and leverage on
IAEA sample analysis practices, UNVIE recommends Washington
support in principle the IAEA's plans for the UHS-SIMS and
the accompanying Clean Lab. UNVIE recommends Washington
provide EURO 500,000 to assist in the conceptual design and
engineering phases of the clean lab extension. Given verbal
assurances that the IAEA will continue to provide
environmental samples to the NWAL, we would also recommend
serious consideration of the additional EURO 3.4 million for
expansion of the Clean Lab at Seibersdorf, after full
consideration of the Czech offer, and on the condition that
the IAEA also confirm that moving ahead now on the Clean
Lab/UHS-SIMS does not prejudice a subsequent decision on
where to locate the Nuclear Lab (i.e., does not pre-judge
that the Nuclear Lab must be collocated at Seibersdorf).


18. (S) With respect to the Nuclear Lab, UNVIE recommends we
work with the friends of SAL to keep the Secretariat focused
on a serious evaluation of the options for the nuclear
laboratory including relocation. At the very least, the
Czechs' offer will force the Secretariat to give serious
consideration to alternate locations for the nuclear
laboratory, if not for SAL itself -- something staff have
thus far been reluctant to do. This will be an important
piece of the puzzle in deciding how to answer the
Secretariat's broader request for funds for both the Clean
Lab extension and the Nuclear Lab. We would also welcome
views from Embassy Prague on Rez, and may wish to consider
adding this issue of IAEA support to our bilateral agenda
with the Czech government.

--------------
Czech Note Verbale
--------------


19. (SBU) Begin text of Czech note verbale 1616/2008, dated
26 September 2008:

The Permanent Mission of the Czech Republic to the United
Nations, OSCE and other International Organizations in Vienna
presents its compliments to the International Atomic Energy
Agency and has the honor to refer to the report of the
Director General on Safeguards Analytical Laboratory:
Sustaining Credible Safeguards.

Recognizing the need for strengthening the Agency's
analytical capabilities and in reaction to urgent calls for
modernization of the Safeguards Analytical Laboratory (SAL)
in Seibersdorf, the Czech Republic would like to announce its
intention to offer the Agency its own premises and capacities
for safeguards purposes. The Czech Nuclear Research
Institute at Rez near Prague (NRI),a member of the Network
of Analytical Laboratories, has launched a large structural
project entitled "Sustainable Energy" in cooperation with the
European Union. One of its parts is devoted to the upgrading
of the NRI Central Analytical Laboratory (CAL). Its aim is to
extend CAL activities also to the analysis of environmental
samples in order to enable control over non-proliferation of
nuclear weapons and misuse of dangerous materials.

The Czech Republic strongly believes that cooperation with
the Agency in this field will enhance the Agency's ability to
ensure independent and timely analysis of safeguards samples.
Furthermore, a certain degree of decentralization in terms
of use of and investment in adequate capacities of the
countries in the vicinity of the Agency's Headquarters could
help the Agency solve the problem with the aging of SAL in a
cost effective way. The Czech Republic fully supports the
Agency's efforts to strengthen its analytical capabilities
while implementing the safeguards and looks forward to
further dialogue with the Secretariat in this regard.

Complementary closing.


SCHULTE