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Cablegate: Argentina's Role in Upgrading Libyan Nuclear

VZCZCXYZ0000
RR RUEHWEB

DE RUEHBU #2696 3401400
ZNR UUUUU ZZH
R 061400Z DEC 06
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC 6694
INFO RUEHBR/AMEMBASSY BRASILIA 5635
RUEHUNV/USMISSION UNVIE VIENNA 0150

UNCLAS BUENOS AIRES 002696

SIPDIS

SENSITIVE
SIPDIS

STATE FOR WHA/BSC AND ISN/NESS DR. DAN FENSTERMACHER
DOE FOR HE-1 AND HE-23
NRC FOR OIP

E.O. 12958: N/A
TAGS: KNNP ENRG IAEA OTRA PREL AR
SUBJECT: ARGENTINA'S ROLE IN UPGRADING LIBYAN NUCLEAR
REACTOR

REF: A. BUENOS AIRES 2580
B. FENSTERMACHER/SCHANDLBAUER EMAIL 12/04

1. (U) This telegram is sensitive but unclassified, and not
for Internet distribution.

2. (SBU) A December 3 article in a local daily reported that
Argentine high technology firm INVAP (Ref A) had won a
contract to upgrade a Libyan nuclear power plant. For
clarification and details, the Embassy spoke with Argentine
Atomic Energy Commission Head of International Relations
Dario Jinchuk and with INVAP's Nuclear Strategic Operations
Manager Marcelo Salvatore, who provided the following
information:

-- The Libyan reactor in question is a research reactor that
has been undergoing a conversion (under the Global Threat
Reduction Initiative) from using highly enriched uranium for
fuel to the use of low-enriched uranium. As the conversion
proceeded, Libya requested additional improvements.

-- Among those requested improvements was a refurbishment of
the nuclear portion of the plant's instrumentation and
control infrastructure. That is the contract that the IAEA
has informed INVAP it will be granted. INVAP will not be
performing any work on the reactor's core. INVAP's only
competition had been a Russian firm, according to Salvatore.

-- The work will be done under the auspices of the IAEA's
Technical Cooperation Section, with Libya contributing a
portion of the funding and the IAEA the rest.

3. (SBU) Embassy POC is ESTH Counselor Alfred Schandlbauer
(54 11 5777 4263). Addressees: please advise if any
questions remain about this arrangement.
MATERA

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