JORDANIAN THINK TANK ADVOCATES REGIONAL NUCLEAR

C O N F I D E N T I A L AMMAN 002233 SIPDIS STATE FOR NEA/ELA, ISN/NESS, ISN/RA E.O. 12958: DECL: 10/05/2019 TAGS: ENRG ECON EMIN TRGY KNNP PARM JO SUBJECT: JORDANIAN THINK TANK ADVOCATES REGIONAL NUCLEAR FUEL BANK REF: A. AMMAN 1690 ¶B. AMMAN 1570 ¶C. AMMAN 1480 ¶D. AMMAN 1394 ¶E. AMMAN 1319 Classified By: Ambassador R. Stephen Beecroft for reasons 1.4(b) and (d ) ¶1. (SBU) Nuclear physicist and Director of Jordan's Arab Institute for Security Studies, Ayman Khalil, recently advocated to EconCouns the benefits of a regional Arab nuclear fuel bank. Khalil's think-tank, located at the University of Jordan, sponsored in June 2009 an international "Nuclear Proliferation and Nuclear Energy conference," that touched on the same theme (ref C). Khalil, whose views are academic and do not reflect Government of Jordan (GOJ) policy, stressed that regional Arab, academic discussions on the nuclear energy issue converged on support for regional nuclear energy proliferation as a long-term answer to the region's energy needs, and particularly those of Jordan, as one of the region's poorest in current energy resources. ¶2. (C) Khalil further said that regional academics working in the Arms Control and Regional Security field saw a distinction between the sharing of information and technology needed to develop a nuclear fuel cycle and establish a regional fuel bank, and nuclear weapons proliferation, asserting that discussing and sharing technology on peaceful nuclear energy should not be considered "proliferation." Khalil viewed the development of a regional nuclear fuel bank as a way to resolve the deadlock with Iran's nuclear program, though he conceded that there was a sharp debate and no regional consensus on Iranian participation. Options being debated include having Iran as an integral part of the regional fuel bank, as well as focusing on a robust Arab fuel bank as a way to balance Iran's emerging nuclear capabilities. He also pointed to possible fissures within the Arab sphere, speculating that the Gulf Cooperation Council countries might look more favorably at going it alone and pursuing their own fuel bank. Despite these ongoing challenges, the regional fuel bank Khalil envisions would regulate the spread of enrichment facilities and would mirror the European Atomic Energy Community model and be in line with the U.S. Global Nuclear Energy Partnership statement of principles. ¶3. (C) Though Khalil admitted that there was a disconnect between academic views on nuclear energy and the actual policies of the governments in the region, he said that Egypt and the Arab League secretariat were active participants in the discussion and held similar views to those he outlined. He told EconCouns that a host for a regional fuel bank would have to be politically stable, have a strong security infrastructure, have domestic uranium reserves and be seismically stable and that therefore Egypt, Saudi Arabia and Jordan were candidates to host a regional nuclear enrichment hub. ¶4. (SBU) In related developments, Jordan on September 22 signed a nuclear cooperation agreement with Argentina, and announced the first of several expected contracts awarded for studies related to its nuclear energy project (refs A and B). The first site-study contract, worth $12 million, went to Belgium-based Tractebel Engineering. In another first, press reports on October 4 highlighted the presentation to King Abdullah of a sample of uranium yellowcake produced by the Jordan Phosphate Mines Company, which will, according to the reports, be manufactured for commercial purposes "soon" (further reporting septel). Visit Amman's Classified Website at: http://diplopedia.state.sgov.gov/index.php?ti tle=Embassy Amman Beecroft