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Cablegate: Canada Confirms Collapse of Forsys Uranium Deal

VZCZCXRO5446
PP RUEHBC RUEHDE RUEHDIR RUEHGA RUEHHA RUEHKUK RUEHMT RUEHQU RUEHTRO
RUEHVC
DE RUEHOT #0662 2431905
ZNY SSSSS ZZH
P 311905Z AUG 09
FM AMEMBASSY OTTAWA
TO RUEHC/SECSTATE WASHDC PRIORITY 9794
INFO RUCNCAN/ALL CANADIAN POSTS COLLECTIVE PRIORITY
RUCNIRA/IRAN COLLECTIVE PRIORITY
RUEHKI/AMEMBASSY KINSHASA PRIORITY 0067
RUEHWD/AMEMBASSY WINDHOEK PRIORITY 0072
RUEAIIA/CIA WASHDC PRIORITY

S E C R E T OTTAWA 000662

SIPDIS

STATE FOR ISN/RA - J. ALLEN-CLOSE AND N. MENKHOFF, WHA, AF, L, AND T E.O. 12958: DECL: 08/31/2019

TAGS: PREL PARM MNUC KNNP EINV IR NA CA

SUBJECT: CANADA CONFIRMS COLLAPSE OF FORSYS URANIUM DEAL REF: A. OTTAWA 659 B. OTTAWA 639 C. OTTAWA 627 D. STATE 84119

Classified By: A/PolCouns Kurt van der Walde, reasons 1.4 (b) and (d)

1.(S) After close of business on August 28, George Forrest International (GFI) informed Industry Canada officials in writing that GFI had terminated its deal to acquire Forsys Metals Corporation and its Valencia uranium mine in Namibia, according to Sean Caza, Deputy Director for Disarmament and Non-Proliferation at the Department of Foreign Affairs and International Trade (DFAIT). Caza added that Industry Canada has closed its investigation, but DFAIT and Canadian intelligence agencies will continue liaison through established channels with U.S. and other allies to better understand the dynamics underpinning the relationship between GFI and Iran. Caza underlined that Canada will likely need to seek releasable information from the U.S. if GFI or another party seeks to resurrect the deal. He stressed, however, that he had no information that GFI was contemplating this course of action. Visit Canada,s North American partnership community at XXXXXXXXXXXX
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