material produced in material obtained from the United States and is similar in this respect to the current agreements with Canada and the United Kingdom. Transfers of produced material outside Japan would require the approval of the United States. In addition to a guarantee by the United States of the peaceful use of produced material and equipment and devices transferred from Japan to the United States, the proposed agreement would extend this peaceful uses guarantee by the United States, as has been done in the case of the United Kingdom, to materials transferred to the United States. The peaceful uses guarantee of the United States in the agreement would thus be similar to that of Japan. Consistent with the "Private Ownership" legislation of 1964, Article VI of the agreement would permit arrangements to be made between either Party or authorized persons under its jurisdiction and authorized persons under the jurisdiction of the other for transfers of special nuclear material. Such arrangements would be in addition to the government-to-government transactions currently allowed and would be subject to the ceiling limit of 161,000 kilograms of U-235 in enriched uranium and 365 kilograms of plutonium which may be transferred to Japan under the agreement. Pursuant to proposed Article VII, as regularly incorporated in similar Agreements for Cooperation, the basic method for the supply of enriched uranium as to which there would be a transfer of title would, after December 31, 1968, be through uranium enrichment services for the account of the Japanese transferee requiring such service. Sale would continue to be possible under the proposed agreement if the Parties so desire. With respect to the provision of the enriching services, in the unlikely event the natural uranium required should not be reasonably available to Japan on the world market, the United States would be prepared under the proposed agreement to procure the necessary natural uranium on behalf of Japan. The amount of natural uranium which corresponds to the 161,000 kilograms of U-235 provided for in the agreement and which could be procured by the United States anywhere in the world, is approximately 30,500 short tons. Presently known and estimated United States reserves of natural uranium which can be produced at a price of $15 or less per pound are about 850,000 short tons. World reserves are, of course, much larger. In addition, uranium enriched to more than twenty percent in the isotope U-235 may be made available to Japan, at the discretion of the Commission, when there is an economic or technical justification for such a transfer. In keeping with stated Commission policy, Article VIII also includes language which assures comparability for domestic and foreign users of prices for enriched uranium and of charges for enrichment services performed, as well as of the advance notice required for delivery. The International Atomic Energy Agency is currently applying safeguards to materials and facilities transferred under the present Agreement for Cooperation and the proposed new agreement would provide that the International Atomic Energy Agency be requested to continue its application of safeguards to materials and facilities which would be subject to safeguards under the agreement. This would be accomplished through a revised safeguards agreement currently being negotiated among the United States, Japan, and the Agency. Following your approval, determination, and authorization, the proposed agreement will be formally executed by appropriate authorities of the Government of the United States of America and the Government of Japan. In compliance with Section 123c of the Atomic Energy Act of 1954, as amended, the agreement will then be submitted to the Joint Committee on Atomic Energy. Respectfully yours, Enclosure: (S) WILFRID E. JOHNSON, Acting Chairman. Proposed Superseding Agreement for Cooperation Between the Government of the United States of America and the Government of Japan. THE WHITE HOUSE, Washington, February 19, 1968. Hon. GLENN T. SEABORG, DEAR DR. SEABORG: In accordance with Section 123a of the Atomic Energy Act of 1954, as amended, the Atomic Energy Commission has submitted to me by letter dated February 15, 1968, a proposed superseding Agreement for Cooperation Between the Government of the United States of America and the 21-713 069-8 Government of Japan Concerning Civil Uses of Atomic Energy and has recommended that I approve the proposed Agreement, determine that its performance will promote and will not constitute an unreasonable risk to the common defense and security and authorize its execution. Pursuant to the provisions of 123b of the Atomic Energy Act of 1954, as amended, and upon the recommendation of the Atomic Energy Commission, I hereby : (a) approve the proposed Agreement and determine that its performance will promote and will not constitute an unreasonable risk to the common defense and security of the United States of America; (b) authorize the execution of the proposed Agreement on behalf of the Government of the United States of America by appropriate authorities of the Department of State and the Atomic Energy Commission. Sincerely, LYNDON B. JOHNSON. AGREEMENT FOR COOPERATION BETWEEN THE GOVERNMENT OF THE UNITED STATES OF AMERICA AND THE GOVERNMENT OF JAPAN CONCERNING CIVIL USES OF ATOMIC ENERGY Whereas the Government of the United States of America and the Government of Japan signed an "Agreement for Cooperation Between the Government of the United States of America and the Government of Japan Concerning Civil Uses of Atomic Energy" on June 16, 1958, which was amended by the Protocol signed on October 9, 1958 and the Protocol signed on August 7, 1963; and Whereas the Parties desire to pursue a research and development program looking toward the realization of peaceful and humanitarian uses of atomic energy, including the design, construction and operation of power reactors and research reactors, and the exchange of information relating to the development of other peaceful uses of atomic energy; and Whereas the Parties are desirous of entering into this Agreement to cooperate with each other to attain the above objectives; and Whereas the Parties desire this Agreement to supersede the "Agreement for Cooperation Between the Government of the United States of America and the Government of Japan Concerning Civil Uses of Atomic Energy" signed on June 16, 1958, as amended; The Parties agree as follows: ARTICLE I For the purposes of this Agreement: A. "United States Commission" means the United States Atomic Energy Commission. B. "Parties" means the Government of the United States of America, including the United States Commission on behalf of the Government of the United States of America, and the Government of Japan. "Party" means one of the above "Parties". C. "Atomic weapon" means any device utilizing atomic energy, exclusive of the means for transporting or propelling the device (where such means is a separable and divisible part of the device), the principal purpose of which is for use as, or for development of, a weapon, a weapon prototype, or a weapon test device. D. "Byproduct material" means any radioactive material (except special nuclear material) yielded in or made radioactive by exposure to the radiation incident to the process of producing or utilizing special nuclear material. E. "Equipment and devices" and "equipment or devices" means any instrument, apparatus, or facility and includes any facility, except an atomic weapon, capable of making use of or producing special nuclear material, and component parts thereof. F. "International organization" includes a group of nations associated for a common purpose. G. "Person" means any individual, corporation, partnership, firm, association, trust, estate, public or private institution, group, government agency, or government corporation but does not include the Parties to this Agreement. H. "Reactor" means an apparatus, other than an atomic weapon, in which a self-supporting fission chain reaction is maintained by utilizing uranium, plutonium, or thorium, or any combination of uranium, plutonium, or thorium. I. "Restricted Data" means all data concerning (1) design, manufacture, or utilization of atomic weapons; (2) the production of special nuclear material; or (3) the use of special nuclear material in the production of energy, but shall not include data declassified or removed from the category of Restricted Data by the appropriate authority. J. "Source material" means (1) uranium, thorium, or any other material which is determined by the United States Commission or the Government of Japan to be source material; or (2) ores containing one or more of the foregoing materials, in such concentration as the United States Commission or the Government of Japan may determine from time to time. K. "Special nuclear material" means (1) plutonium, uranium enriched in the isotope 233 or in the isotope 235, and any other material which the United States Commission or the Government of Japan determines to be special nuclear material; or (2) any material artificially enriched by any of the foregoing. L. "Superseded Agreement" means the Agreement for Cooperation Between the Government of the United States of America and the Government of Japan Concerning Civil Uses of Atomic Energy signed on June 16, 1958, as amended by the Protocol signed on October 9, 1958 and the Protocol signed on August 7, 1963. M. "Safeguards" means a system of controls designed to assure that any materials, equipment and devices committed to the peaceful use of atomic energy are not used to further any military purpose. ARTICLE II A. Subject to the provisions of this Agreement, the availability of personnel and material, and the applicable laws, regulations, and license requirements in force in their respective countries, the Parties shall assist each other in the achievement of the uses of atomic energy for peaceful purposes. B. Restricted Data shall not be communicated under this Agreement, and no materials or equipment and devices shall be transferred, and no services shall be furnished, under this Agreement, if the transfer of any such materials or equipment and devices or the furnishing of any such services involves the communication of Restricted Data. C. This Agreement shall not require the exchange of any information which the Parties are not permitted to communicate. ARTICLE III Subject to the provisions of Article II, the Parties shall exchange unclassified information with respect to the application of atomic energy to peaceful uses and the problems of health and safety connected therewith. The exchange of information provided for in this Article shall be accomplished through various means, including reports, conferences, and visits to facilities, and shall include information in the following fields: (1) Development, design, construction, operation, and use of research, materials testing, experimental, demonstration power, and power reactors and reactor experiments; (2) The use of radioactive isotopes and source, special nuclear, and byproduct material in physical and biological research, medicine, agriculture, and industry; and (3) Health and safety problems related to the foregoing. ARTICLE IV A. Materials of interest in connection with the subjects of agreed exchange of information, as provided in Article III and subject to the provisions of Article II, including source material, heavy water, byproduct material, other radioisotopes, stable isotopes, and special nuclear material for purposes other than fueling reactors and reactor experiments, may be transferred between the Parties for defined applications in such quantities and under such terms and conditions as may be agreed when such materials are not commercially available. B. Subject to the provisions of Article II and under such terms and conditions as may be agreed, specialized research facilities and reactor materials testing facilities of the Parties shall be made available for mutual use consistent with the limits of space, facilities, and personnel conveniently available when such facilities are not commercially available. C. With respect to the subjects of agreed exchange of information as provided in Article III and subject to the provisions of Article II, equipment and devices may be transferred between the Parties under such terms and conditions as may be agreed. It is recognized that such transfers will be subject to limitations which may arise from shortages of supplies or other circumstances existing at the time. ARTICLE V The application or use of any information (including design drawings and specifications) and any material, equipment and devices, exchanged or transferred between the Parties under this Agreement or the superseded Agreement shall be the responsibility of the Party receiving it, and the other Party does not warrant the accuracy or completeness of such information and does not warrant the suitability of such information, material, equipment and devices for any particular use or application. ARTICLE VI A. With respect to the application of atomic energy to peaceful uses, it is understood that arrangements may be made between either Party or authorized persons under its jurisdiction and authorized persons under the jurisdiction of the other Party for the transfer of materials, other than special nuclear material, equipment and devices and for the performance of services with respect thereto. B. With respect to the application of atomic energy to peaceful uses, it is understood that arrangements may be made between either Party or authorized persons under its jurisdiction and authorized persons under the jurisdiction of the other Party for the transfer of special nuclear material and for the performance of services with respect thereto for the uses specified in Articles IV and VII and subject to the relevant provisions of Article VIII and to the provisions of Article IX. C. The Parties agree that the activities referred to in paragraphs A and B of this Article shall be subject to the provisions of Article II and to such contracting policies generally applicable to private transactions as the Parties may adopt. ARTICLE VII A. During the period of this Agreement, the United States Commission will supply to the Government of Japan or, pursuant to Article VI, paragraph B, to authorized persons under its jurisdiction, under such terms and conditions as may be agreed, all of Japan's requirements for uranium enriched in the isotope U-235 for use as fuel in the power reactor (including merchant marine propulsion) program described in the Appendix to this Agreement, which Appendix, subject to the quantity limitation established in Article IX, may be amended from time to time by mutual consent of the Parties without modification of this Agreement. (1) The United States Commission will supply such uranium enriched in the isotope U-235 by providing after December 31, 1968, for the production of enrichment, or both, of uranium enriched in the isotope U-235 for the account of the Government of Japan or such authorized persons. (Upon timely advice that any natural uranium required with respect to any particular delivery of uranium enriched in the isotope U-235 under such service arrangements is not reasonably available to the Government of Japan or to such authorized persons, the United States Commission will be prepared to furnish the required natural uranium under such terms and conditions as may be agreed.) (2) Notwithstanding the provisions of paragraph A(1), if the Government of Japan or such authorized persons so request, the United States Commission, at its election, may sell the uranium enriched in the isotope U-235 under such terms and conditions as may be agreed. B. As may be agreed, the United States Commission will transfer to the Government of Japan or to authorized persons under its jurisdiction uranium enriched in the isotope U-235 for use as fuel in defined research applications, including research, materials testing, and experimental reactors and reactor experiments. The terms and conditions of each transfer shall be agreed upon in advance, it being understood that, in the event of transfer of title of uranium enriched in the isotope U-235, the United States Commission shall have the option of limiting the arrangements to undertakings such as those described in paragraph A(1) of this Article. C. The United States Commission may also transfer to the Government of Japan or to authorized persons under its jurisdiction, under such terms and conditions with respect to each transfer as may be agreed, special nuclear materials for the performance in Japan of conversion or fabrication services, or both, and for subsequent return to the United States of America or for subsequent transfer to another nation or international organization in accordance with the provisions of Article X, paragraph A(3). It is understood that, in the event of transfer of title of uranium enriched in the isotope U-235 by the United States Commission, it shall have the option of limiting the arrangements to undertakings such as those described in paragraph A(1) of this Article. D. As may be agreed, the United States Commission will transfer to the Government of Japan or to authorized persons under its jurisdiction plutonium for use as fuel in reactors and reactor experiments. The terms and conditions of each transfer shall be agreed upon in advance. ARTICLE VIII A. With respect to transfers by the United States Commission of uranium enriched in the isotope U-235 provided for in Article VI, paragraph B and Article VII, it is understood that: (1) Contracts specifying quantities, enrichments, delivery schedules, and other terms and conditions of supply or service will be executed on a timely basis between the United States Commission and the Government of Japan or persons authorized by it. (2) Prices for uranium enriched in the isotope U-235 sold or charges for enrichment services performed will be those in effect for users in the United States of America at the time of delivery. The advance notice required for delivery will be that in effect for users in the United States of America at the time of giving such notice. The United States Commission may agree to supply uranium enriched in the isotope U-235 or perform enrichment services upon shorter notice, subject to assessment of such surcharge to the usual base price or charge as the United States Commission may consider reasonable to cover abnormal production costs incurred by the United States Commission by reason of such shorter notice. B. Should the total quantity of uranium enriched in the isotope U-235 which the United States Commission has agreed to provide pursuant to this Agreement and other Agreements for Cooperation reach the maximum quantity of uranium enriched in the isotope U-235 which the United States Commission has available for such purposes, and should contracts covering the adjusted net quantity specified in Article IX not have been executed by the Government of Japan or persons authorized by it, the United States Commission may request, upon appro priate notice, that the Government of Japan or such persons execute contracts for all or any part of such uranium enriched in the isotope U-235 as is not then under contract. It is understood that, should contracts not be executed in accordance with a request by the United States Commission hereunder, the United States Commission shall be relieved of all obligations with respect to the uranium enriched in the isotope U-235 for which contracts have been so requested. C. The uranium enriched in the isotope U-235 supplied hereunder may contain up to twenty percent (20%) in the isotope U-235. A portion of the uranium enriched in the isotope U-235 supplied hereunder may be made available as material containing more than 20% in the isotope U-235 when the United States Commission finds there is a technical or economic justification for such a transfer. D. It is understood, unless otherwise agreed, that in order to assure the availability of the entire quantity of uranium enriched in the isotope U-235 allocated hereunder for a particular reactor project described in the Appendix, it will be necessary for the construction of the project to be initiated in accordance with the schedule set forth in the Appendix and for the Government of Japan or persons authorized by it to execute a contract for that quantity in time to allow for the United States Commission to provide the material for the first fuel loading. It is also understood that if the Government of Japan or persons authorized by it desire to contract for less than the entire quantity of uranium enriched in the isotope U-235 allocated for a particular project or terminate the supply contract after execution, the remaining quantity allocated for that project shall cease to be available and the maximum adjusted net quantity of U-235 provided for in Article IX shall be reduced accordingly, unless otherwise agreed. E. Within the limitations contained in Article IX, the quantity of uranium enriched in the isotope U-235 transferred under Article VI, paragraph B or |