Sunday, February 27, 2005

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Five facts about Iran-Russia nuclear deal

27 Feb 2005 12:16:42 GMT
Source: Reuters
TEHRAN, Feb 27 (Reuters) - Iran and Russia signed a nuclear fuel supply deal on Sunday which will allow Tehran to start up its first nuclear power plant in 2006.

Here are some facts about the deal.

* Under the deal, Russia will supply Iran with enriched uranium for Iran's first nuclear reactor in Bushehr on Iran's southern Gulf coast.

* The first fuel is expected to be delivered to Iran from Siberia in mid-2006. Bushehr will be commissioned in late-2006.

* To allay concerns of Washington, which is bitterly opposed to the deal, Iran will return spent fuel from the reactor to Russia. Spent nuclear reactor fuel can be reprocessed to make bomb-grade plutonium. Iran denies U.S. charges that it is secretly developing nuclear arms.

* Bushehr will have an operating capacity of 1,000 MW. Iran says it wants to generate 7,000 MW of its growing electricity needs from nuclear reactors by 2021. Iran and Russia are currently in talks over the construction of a second reactor at Bushehr.

* Construction of Bushehr was begun with the help of German and French scientists by the U.S.-backed Shah before the 1979 Islamic revolution. The plant was badly damaged during the 1980-1988 Iran-Iraq war. The project was later revived with Russian help and has cost about $800 million to build.

Iran, Russia Sign Key Nuclear Fuel Deal
Sun Feb 27, 2005 05:58 AM ET
By Paul Hughes

TEHRAN (Reuters) - Russia and Iran signed a nuclear fuel supply deal long opposed by Washington on Sunday which will pave the way for the Islamic state to start up its first atomic power plant next year, state media reported.

The agreement, signed by the two countries' nuclear energy chiefs at the Bushehr atomic reactor in southern Iran, came as Tehran faced heightened pressure from the United States, which accuses it of secretly developing nuclear weapons.

Iran denies the charge and has received strong backing from Moscow, which is keen to extend its commercial interest in Iran's drive to produce electricity from nuclear reactors.

"This is a very important incident in the ties between the two countries and in the near future a number of Russian experts will be sent to Bushehr to equip the power station," Iranian state television quoted Alexander Rumyantsev, head of Russia's Federal Atomic Energy Agency, as saying.

A key part of the agreement is aimed at addressing U.S. concerns, obliging Tehran to repatriate all spent nuclear fuel to Russia.

Moscow hopes this will allay U.S. worries that Tehran may use the spent fuel, which could be reprocessed to make bomb-grade material, to develop arms.

Details on the timing for the supply and repatriation of fuel were not disclosed. Iranian officials said on Saturday disagreements over when Russia would send the first shipment of fuel to Iran had delayed the deal's signing by 24 hours.

Rumyantsev said the first batch of enriched uranium for Bushehr, which is surrounded by anti-aircraft defenses against possible attack, was ready to go.

Gholamreza Aghazdeh, head of Iran's Atomic Energy Organization, said Bushehr would be ready to go on-line some time after March 2006.

"Based on the agreement, the installation and assembly of the power station's equipment will finish in the next 10 months and six months after that ... the official launching of the power station starts," television quoted him as saying.

When operational Bushehr will generate 1,000 MW of electricity. Initiated before Iran's 1979 Islamic revolution and badly damaged during the 1980-88 Iran-Iraq war, the project was later revived with Russian help in the late 1980s and has cost about $800 billion.

Iran has announced plans to build several more power plants, generating 7,000 MW from nuclear power by 2021. Russia hopes to claim a significant share of this new business.

The Bushehr power station has aroused less concern in the West than Iran's plans to produce its own nuclear fuel for future reactors using uranium mined, processed and enriched inside the country.

The European Union and United States want Iran to scrap its uranium enrichment plans entirely. Iran has refused but has suspended enrichment while it tries to reach a negotiated settlement with the European Union.

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