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Weapons of Mass Destruction (WMD)

FOR IMMEDIATE RELEASE
May 16, 1996

NEWS MEDIA CONTACT:
Joanne L. Johnson, 202/586-5806

DOE Approves U.S. Involvement in the Construction of Reactors in North Korea

The Department of Energy (DOE) recently authorized the participation of two U.S. firms in supplying two light water power reactors to North Korea under the U.S. - North Korea Agreed Framework that established the Korean Peninsula Energy Development Organization.

"These light water reactors mark important progress in the Clinton administration's effort to reduce the nuclear danger worldwide," said Secretary of Energy Hazel R. O'Leary. "Working cooperatively with the Korean Peninsula Energy Development Organization to improve the reliability of safe, electric power is a key element in this effort."

ABB Combustion Engineering Nuclear Systems (C-E), a wholly owned subsidiary of Norwalk, Connecticut-based ABB (Asea Brown Boveri) Inc., was authorized to provide a broad range of technology, equipment, and services for the design, construction, operation, and maintenance of the two reactors to be built in North Korea. Stone & Webster Engineering Corporation, an architect-engineering firm headquartered in Boston, Massachusetts, was authorized to provide technology and services related to conceptual design, engineering and design, procurement, project and construction management, quality assurance, testing and start-up, operations, and maintenance.

The North Korean reactors will be based largely on C-E technology, which already is incorporated in South Korea's Ulchin 3 and 4 nuclear plants now under construction. South Korea's Korean Electric Power Company (KEPCO), owner of the Ulchin plants, is prime contractor for the North Korean reactors and is using the Ulchin plants as the model for the North Korean reactors. C-E required Part 810 authorization to allow KEPCO and other C-E licensees in South Korea to use C-E technology for the North Korean reactors.

Authorization was given under DOE Regulations 10 CFR Part 810, which implement section 57.b. of the Atomic Energy Act. This requires that U.S. persons assisting in the production of special nuclear material in other countries must be authorized by the Secretary of Energy. As required by these regulations, the Secretary acted with the concurrence of the Department of State and after consulting with the Departments of Defense and Commerce, the Arms Control and Disarmament Agency, and the Nuclear Regulatory Commission.

The authorizations will be valid for an initial period of five years, renewable by the DOE in the light of experience and the circumstances at that time, and will be suspended, subject to reinstatement by the department, if either the United States or North Korea abrogates the Agreed Framework.

- DOE -

R-96-070




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