(d) Definitions for terms which are listed in the agreement but are currently defined only by cross-reference to the Atomic Energy Act of 1954, as amended, have been incorporated in the agreement pursuant to Article XII of the amendment.

The amendment will enter into force on the date on which each Government shall have received from the other Government written notification that it has complied with all statutory and constitutional requirements for entry into force. Cordially,

Enclosures:

GLENN T. SEABORG, Chairman.

1. Amendment to Agreement for Cooperation Between the Government of the United States of America and the Government of the Kingdom of Denmark (3).

2. Letter from the Commission to the President (3).
3. Letter from the President to the Commission (3).

The PRESIDENT,
The White House.

MAY 21, 1968.

DEAR MR. PRESIDENT: The Atomic Energy Commission recommends that you approve the enclosed proposed amendment to the "Agreement for Cooperation Between the Government of the United States of America and the Government of the Kingdom of Denmark Concerning Civil Uses of Atomic Energy," determine that its performance will promote and will not constitute an unreasonable risk to the common defense and security, and authorize its execution. The Department of State supports the Commission's recommendation.

The proposed amendment, which has been negotiated by the Department of State and the Atomic Energy Commission pursuant to the Atomic Energy Act of 1954, as amended, would revise and extend the Agreement for Cooperation between the United States of America and the Kingdom of Denmark which was signed at Washington on July 25, 1955, as amended by the agreements signed on June 27, 1956, and on June 26, 1958.

The proposed amendment would extend the present agreement through July 24, 1973. Safeguards on materials and facilities transferred to Denmark under the current agreement would be administered by the International Atomic Energy Agency in accordance with the trilateral agreement signed on February 29, 1968. Pursuant to Article VII of the proposed amendment, the United States' bilateral safeguards rights would continue to be suspended to the extent and during the time Agency safeguards are in effect.

In addition to extending the agreement, the proposed amendment would increase the ceiling quantity of U-235 in enriched uranium which may be transferred to Denmark from fifty kilograms to two hundred kilograms. This larger quantity would accommodate fueling requirements of three Danish research reactors; it would also be available to accommodate fabrication and conversion services which Denmark may provide to third countries. In order to permit this latter intended use of the enriched material, Denmark requested that the necessary authority for "third country" fabrication and conversion services be added to the agreement. This is accomplished in proposed Article II, paragraph C.

In developing the amendment for these purposes, the opportunity was taken to bring other articles of the present agreement into conformity with those of more recent agreements. The more significant of these changes are as follows: (a) Proposed Article I updates and expands the formulation of language specifying types of information which may be exchanged. Information could be exchanged on health and safety related to all the areas of information specified in Article I, paragraph A, of the agreement rather than just to research reactors, as is presently the case.

(b) The disclaimer in paragraph B of Article I of the agreement concerning accuracy, suitability, and completeness of information transferred, would be extended to materials, equipment and devices.

(c) As has been done in recent amendments and agreements, proposed Article II provides for the transfer of uranium enriched to more than 20% in U-235 for use as fuel when the Commission finds there is a technical or economic justification for such a transfer. This will permit the transfer of fuel enriched above the current limitation of 90% in the present agreement.

(d) Provisions of the agreement respecting transfers of various materials, including special nuclear material other than that used as fuel, would be consolidated into proposed Article III, which is similar to the corresponding article

in recent agreements, such as those with Switzerland, Sweden, and Norway. (e) Article XII of the amendment would incorporate definitions for terms listed in Article X of the agreement, but currently defined only by cross-reference to the Atomic Energy Act of 1954, as amended.

As is regularly included in our new agreements and recent amendments, proposed Article V would reflect the "Private Ownership" legislation of 1964 permitting arrangements for the transfer of special nuclear material and performance of services to be made between either Party or authorized persons under its jurisdiction and authorized persons under the jurisdiction of the other Party. Such arrangements would be in addition to those between the Governments allowed under the current agreement and would be subject to the policies of Denmark and the United States concerning such transactions, as well as applicable laws, regulations, and license requirements.

Following your approval, determination, and authorization, the proposed amendment will be formally executed by appropriate authorities of the Government of the United States of America and the Government of the Kingdom of Denmark. In compliance with Section 123c of the Atomic Energy Act of 1954, as amended, the amendment will then be placed before the Joint Committee on Atomic Energy.

Respectfully yours,

W. E. JOHNSON,
Acting Chairman.

Enclosure: Proposed Amendment to Agreement for Cooperation Between the Government of the United States of America and the Government of the Kingdom of Denmark.

THE WHITE HOUSE, Washington, June 1, 1968.

Hon. GLENN T. SEABORG,

U.S. Atomic Energy Commission,
Washington.

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 May 21, 1968, a proposed amendment to the "Agreement for Cooperation Between the Government of the United States of America and the Government of the Kingdom of Denmark Concerning Civil Uses of Atomie Energy" and has recommended that I approve the proposed amendment, 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 Section 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 amendment 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 amendment 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.

AMENDMENT TO AGREEMENT FOR COOPERATION BETWEEN THE GOVERNMENT OF THE UNITED STATES OF AMERICA AND THE GOVERNMENT OF THE KINGDOM OF DENMARK CONCERNING CIVIL USES OF ATOMIC ENERGY

The Government of the United States of America and the Government of the Kingdom of Denmark,

Desiring to amend the Agreement for Cooperation Between the Government of the United States of America and the Government of the Kingdom of Denmark Concerning Civil Uses of Atomic Energy, signed at Washington on July 25, 1955, as amended by the Agreements signed on June 27, 1956, and on June 26,

Agree as follows:

ARTICLE I

Article I of the Agreement for Cooperation, as amended, is amended to read as follows:

"A. Subject to the provisions of Article V, 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) Design, construction, operation and use of research reactors, materials testing reactors, and reactor experiments;

"(2) The use of radioactive isotopes and source material, special nuclear material, and byproduct material in physical and biological research, medicine, agriculture, and industry; and

"(3) Health and safety problems related to the foregoing.

"B. 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 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 II

Article II of the Agreement for Cooperation, as amended, is amended to read as follows:

"A. As may be agreed, the Commission will transfer to the Government of the Kingdom of Denmark or authorized persons under its jurisdiction, uranium enriched in the isotope U-235 for use as fuel in defined research applications, including research reactors, materials testing reactors, and reactor experiments, which the Government of the Kingdom of Denmark decides to construct or operate or authorizes private persons to construct or operate in Denmark. Contracts setting forth the terms, conditions, and delivery schedule of each transfer shall be agreed upon in advance.

"B. The net amount of U-235 in enriched uranium transferred under this Article during the period of this Agreement shall not at any time exceed two hundred (200) kilograms. This net amount shall be the gross quantity of such contained U-235 in uranium transferred to the Government of the Kingdom of Denmark during the period of this Agreement less the quantity of such contained U-235 in recoverable uranium which has been resold or otherwise returned to the Government of the United States of America during the period of this Agreement or transferred to any other nation or group of nations with the approval of the Government of the United States of America.

"C. The Commission may also transfer to the Government of the Kingdom of Denmark or to authorized persons under its jurisdiction, under such terms and conditions with respect to each transfer as may be agreed, special nuclear material for the performance in the Kingdom of Denmark of conversion or fabrication services, or both, and for subsequent transfer to another nation or group of nations with which the Government of the United States of America has an Agreement for Cooperation within the scope of which such subsequent transfer falls.

"D. Within the limitations contained in paragraph B of this Article, the quantity of uranium enriched in the isotope U-235 transferred under this Article and under the jurisdiction of the Government of the Kingdom of Denmark for the fueling of reactors or reactor experiments shall not at any time be in excess of the quantity thereof necessary for the loading of such reactors or reactor experiments, plus such additional quantity as, in the opinion of the Commission, is necessary to permit the efficient and continuous operation of such reactors or reactor experiments.

"E. The enriched uranium supplied hereunder may contain up to twenty percent (20%) in the isotope U-235. All or a portion of the foregoing special nuclear material may be made available as uranium enriched to more than twenty percent (20%) by weight in the isotope U-235 when the Commission finds there is a technical or economic justification for such a transfer for use in research reactors, materials testing reactors, and reactor experiments, each

capable of operating with a fuel load not to exceed eight (8) kilograms of the isotope U-235 contained in such uranium.

"F. When any source or special nuclear material received from the United States of America requires reprocessing, such reprocessing shall be performed at the discretion of the Commission in either Commission facilities or facilities acceptable to the Commission, on terms and conditions to be later agreed; and it is understood, except as may be otherwise agreed, that the form and content of any irradiated fuel elements shall not be altered after removal from a reactor and prior to delivery to the Commission or the facilities acceptable to the Commission for reprocessing.

"G. Special nuclear material produced as a result of irradiation processes in any part of fuel leased hereunder shall be for the account of the lessee and, after reprocessing as provided in paragraph E of this Article, shall be returned to the lessee, at which time title to such material shall be transferred to the lessee, unless the Government of the United States of America shall exercise the option, which is hereby granted, to retain, with a credit to the lessee based on the prices in the United States of America referred to in paragraph H of this Article, any such special nuclear material which is in excess of the needs of the Kingdom of Denmark for such material in its program for the peaceful uses of atomic energy.

"H. With respect to any special nuclear material not owned by the Government of the United States of America produced in reactors while fueled with materials obtained from the United States of America by means other than lease which is in excess of the needs of the Kingdom of Denmark for such material in Denmark's program for the peaceful uses of atomic energy, the Government of the United States of America shall have and is hereby granted (a) a first option to purchase such material at prices then prevailing in the United States of America for special nuclear material produced in reactors which are fueled pursuant to the terms of an Agreement for Cooperation with the Government of the United States of America, and (b) the right to approve the transfer of such material to any other nation or group of nations in the event the option to purchase is not exercised.

"I. Some atomic energy materials which the Commission may be requested to provide in accordance with this Agreement are harmful to persons and property unless handled and used carefully. After delivery of such materials, the Government of the Kingdom of Denmark shall bear all responsibility, insofar as the Government of the United States of America is concerned, for the safe handling and use of such materials. With respect to any source or special nuclear material or reactor materials which the Commission may, pursuant to this Agree ment, lease to the Government of the Kingdom of Denmark or to any private individual or private organization under its jurisdiction, the Government of the Kingdom of Denmark shall indemnify and save harmless the Government of the United States of America against any and all liability (including third party liability) for any cause whatsoever arising out of the production or fabrication, the ownership, the lease, and the possession and use of such source or special nuclear material or reactor materials after delivery by the Commission to the Government of the Kingdom of Denmark or to any private individual or private organization under its jurisdiction."

ARTICLE III

Article III of the Agreement for Cooperation is amended to read as follows: "A. Materials of interest in connection with the subjects of agreed exchange of information as provided in Article I and subject to the provisions of Article V, 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 V 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 I and subject to the provisions of Article V, equipment and devices may be transferred from one Party to the other 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 IV

Article III bis of the Agreement for Cooperation, as amended, is deleted in its entirety.

ARTICLE V

Article IV of the Agreement for Cooperation is amended to read as follows : "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 equipment and devices and materials other than special nuclear material and for the performance of services.

"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 II and III and subject to the limitations of Article II, paragraph B.

"C. The Parties agree that the activities referred to in paragraphs A and B of this Article shall be subject to the limitations in Article V and to the policies of the Parties with regard to transactions involving the authorized persons referred to in paragraphs A and B."

ARTICLE VI

Article V of the Agreement for Cooperation is amended to read as follows: “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 cooperate with 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 equip ment 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 VII

Article V bis of the Agreement for Cooperation, as amended, is amended to read as follows:

"A. The Government of the United States of America and the Government of the Kingdom of Denmark note that, by an Agreement signed by them and the International Atomic Energy Agency on February 29, 1968, the Agency has been applying safeguards to materials, equipment and facilities subject to safeguards under this Agreement. The Parties agree that Agency safeguards shall continue to apply to such materials, equipment and facilities as provided in the trilateral Agreement, as it may be amended from time to time or supplanted by a new trilateral, recognizing that the safeguards rights accorded to the Government of the United States of America by Article VI of this Agreement are suspended during the time and to the extent that Agency safeguards apply to such materials, equipment and facilities.

"B. In the event that the trilateral Agreement referred to in paragraph A of this Article should be terminated prior to the expiration of this Agreement and the Parties should fail to agree promptly upon a resumption of Agency safeguards, either Party may, by notification, terminate this Agreement. In the event of termination by either Party, the Government of the Kingdom of Denmark shall, at the request of the Government of the United States of America, return to the Government of the United States of America all special nuclear material received pursuant to this Agreement and still in its possession or in the possession of persons under its jurisdiction. The Government of the United States of America will compensate the Government of the Kingdom of Denmark or the persons under its jurisdiction for their interest in such material so returned at the Commission's schedule of prices then in effect in the United States of America."