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Talks Proceed on Proposed International Uranium Enrichment Centre
http://www.iaea.org/NewsCenter/News/2007/russiatalks.html

Fact-Finding Discussions in Russia Focus on Site in Siberia

Staff Report
22 March 2007

IAEA Director General Mohamed ElBaradei has proposed putting enrichment 
under multinational control to assure supplies of nuclear fuel and to reduce
proliferation risks. Nuclear fuel pellets at a fabrication plant. (Photo: D.
Calma/IAEA)

Fact-finding talks between experts from the IAEA and Russia to explore the
establishment of an international uranium enrichment centre in Siberia have
ended with a joint agreement to set up a working group and continue
developing the proposal.

The discussions were held this month in Siberia at the headquarters of the
Angarsk Electrolysis Chemical Complex, a manufacturer of low-enriched
uranium - the fuel for nuclear power plants - that Russia is proposing
should be the site of an international centre.

After the talks ended in Angarsk 18 March, IAEA Deputy Director General Yury
Sokolov told a press conference that the Agency's main point of concern
about proposals discussed with Russia was provision of a mechanism that
would ensure that States cut off for political reasons continue to receive
nuclear fuel. Russian officials told the press conference that the talks had
made positive progress. Russia is currently in negotiations with Kazakhstan
to establish a joint enrichment facility at the Angarsk complex, which is
north of Irkutsk in south eastern Siberia.

Both Mohamed ElBaradei, Director General of the IAEA, and Vladimir Putin,
the President of the Russian Federation, have proposed putting enrichment
under multinational control to reduce proliferation risks. The system would
provide assurance of supply to States considering developing nuclear power
and avoid the need for them to build their own nuclear fuel production
capability.

The so-called front end of the nuclear fuel cycle, when fuel is enriched, as
well as the back end - the reprocessing of spent fuel - provides points that
pose proliferation risks because material can be potentially diverted and
used to produce weapons.

A cornerstone of Dr. ElBaradei´s proposal is a fuel bank of last resort that
would offer users of the system the insurance of guaranteed delivery if
their regular supplies were interrupted.

In September 2006, a donation of US $50 million was made to the proposed
fuel bank by the Nuclear Threat Initiative, provided by the US billionaire
Warren Buffet, with the provision that the contribution is matched by an
amount of $100 million.

The inititatives to develop international uranium enrichment centres are
being proposed amid a revival of interest in nuclear power as a means of
generating electricity and fears about the proliferation of nuclear weapons.
A paper about assurance of supply is to be presented by the Director General
to the next meeting of the IAEA´s Board of Governors in June.

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