Uranium deal with China to have strict safeguards: Australia

[Ulhas Joglekar <joglekarulhas@xxxxxxxx>]

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Sunday, April 2, 2006

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Uranium deal with China to have strict safeguards: Australia
http://www.hindustantimes.com/news/181_1664845,0005.htm

Agence France-Presse

Sydney, April 2, 2006

Australia expects China to adhere to rigorous nuclear safeguards in return
for uranium sales, Prime Minister John Howard said on Sunday.
Australia will also offer the Asian powerhouse no special deals on
investment in uranium projects.

Chinese Premier Wen Jiabao arrived in Australia late on Saturday for a visit
during which he is expected to sign a deal paving the way for uranium
exports to the communist giant.

Howard said China would be subject to the same laws as other countries in
relation to the sale of uranium.

Australia holds 40 per cent of the world's reserves of uranium. It insists
that nations wishing to purchase its uranium are signatories to the nuclear
non-proliferation treaty and abide by strict safeguards.

Wen and Howard are expected to sign off on these safeguards after a meeting
on Monday which follows months of negotiations.

"The safeguards that we have adopted are very rigorous and unless we are
going to declare to the world that we're not going to deal with anybody,
then ... in relation to uranium we have to assume a certain degree of good
faith," Howard told a commercial television.

"China is wanting world acceptance in many ways," he said. "China sees
herself as projecting influence and authority in the region. That's
understandable given her size and I don't think she's going to lightly give
up the fairly hard-won reputation that she's trying to get."

Howard said that any Chinese investment in uranium projects in Australia
would be subject to scrutiny by foreign investment officials.

"We're not talking about having a special deal for Chinese acquisitions in
Australia," he said.

"I'm not going to telegraph in advance, it would be improper to do that, I
simply would say to our Chinese friends, as I do to our Japanese and
American and British friends, if any of your companies ... want to buy
assets in Australia, they're subject to the foreign investment policy of
this country," he said.

Wen is the first Chinese premier to tour Australia since 1988 and the most
senior official since President Hu Jintao visited in October 2003.

© HT Media Ltd. 2006.