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WARHEADS ELIMINATEDConcept to convert highly enriched uranium (HEU) from nuclear warheads into low enriched uranium (LEU for use in fabricating fuel for nuclear reactors is discussed in the United States and Russia.
January: United States and Russia begin an 18-month negotiation process to develop an agreement on U.S. purchases of Russian HEU.
October: Energy Policy Act creates the United States Enrichment Corporation (USEC) to take over all uranium enrichment activities of the government. Authorizes USEC to negotiate the purchase of all HEU made available under a government-to-government agreement between the United States and Russia.
February:The United States and the Russian Federation sign a government-to-government agreement concerning the disposition and purchase of 500 metric tons (MT) of HEU extracted from nuclear weapons and converted into LEU.
March:The U.S. Department of Energy (DOE) and the Ministry of Atomic Energy of the Russian Federation (MINATOM) sign Protocol working out specific transparency procedures to ensure the LEU provided comes from HEU derived from nuclear weapons. DOE is responsible for monitoring transparency activities.
May:The Department of State for the U.S. government and MINATOM for the Russian Federation sign the Basic Principles of the HEU contract at ceremonies in Vancouver, British Columbia. The Principles list the major terms, including price, to be included in the HEU implementing contract under the government-to-government agreement.
July: USEC begins operations.
September: The U.S. and Russian governments sign a Memorandum of Understanding (MOU) related to transparency and additional arrangements to ensure that the LEU is derived from HEU from nuclear weapons dismantled in Russia.
January: Leaders of the United States, Russia and Ukraine sign the Trilateral Agreement at the Presidential Summit in Moscow. In the Agreement, Ukraine agrees to dismantle its nuclear weapons and send them to Russia for deactivation of the nuclear warheads. In return, Ukraine would receive commercial nuclear reactor fuel.
Commercial implementing contract for the Russian HEU purchase program is signed in Moscow by the Executive Agents for the U.S. and Russian governments: USEC and Techsnabexport (TENEX), respectively. The contract establishes commercial terms for orders, quantities, deliveries and payments for converting 500 MT of Russian HEU from dismantled nuclear warheads into LEU to be purchased by USEC over a period of 20 years. This commercial program has come to be known as "Megatons to Megawatts".
March-June: Under the HEU Contract, USEC advances a $60 million payment ($15 million each month from April through July) to Russia against future shipments of LEU derived from weapons HEU, as part of a commitment made by President Bill Clinton to the leaders of Russia and Ukraine in the Trilateral Agreement.
Mid-1994: USEC, MINATOM and TENEX meet frequently to discuss matters in support of smooth, effective contract implementation.
October: Russia completes test runs to convert and dilute HEU to LEU according to technical specifications. USEC provides technical assistance to help Russia meet acceptable purity specifications.
December: USEC places first order for LEU derived from about 6 MT of HEU for calendar year 1995, the maximum amount Russia is capable of processing for delivery in 1995. USEC provides all shipment hardware, including product cylinders, sample containers and shipping containers.
June: For the first time in history, uranium in nuclear warheads from the former Soviet Union is transformed into LEU for use in fabricating fuel for commercial nuclear power plants. The first shipments of LEU derived from Russian HEU arrive at USEC’s Portsmouth, Ohio plant. Shipment #1 arriving on June 23 consists of 16 cylinders holding 24 MT of LEU derived from 0.786 MT of HEU. Shipment #2 consists of 12 cylinders holding 18 MT of LEU derived from 0.59 MT of HEU.
William H. Timbers, President and CEO of USEC, and Viktor N. Mikhailov, Minister of MINATOM, sign Protocol reconfirming that both parties are committed to the successful implementation and sustained execution of the contract. Key elements of the Protocol are as follows:
July: USEC advances $100 million to Russia against calendar year 1996 and 1997 shipments.
December: USEC reports on the successful completion of the first year of the Megatons to Megawatts program. USEC and TENEX also reach agreement regarding USEC's order for material for 1996.
1995 shipments: USEC receives material equivalent to about 244 nuclear warheads (186 MT of LEU derived from 6 MT of HEU).
Running total: 244 warheads eliminated
March: First 1996 shipment arrives at USEC's Portsmouth, Ohio facility.
April 26: President Clinton signs into law the USEC Privatization Act which, among other things, provides for the delivery of natural uranium to the Russian executive agent (i.e., TENEX) equivalent to the natural uranium component of the LEU received by USEC. The Act facilitates Russia's disposition of the natural uranium beginning in January 1997.
September: USEC and TENEX sign contract amendment in London implementing provisions of the USEC Privatization Act, including provisions to: (i) free USEC (from 1997) of responsibility for paying for the natural uranium component of the LEU delivered to USEC related to the shipments, and (ii) obligate USEC to deliver an equivalent quantity of natural uranium to TENEX in the United States on the same day it receives LEU in Russia.
November: USEC and TENEX sign contract amendment in Moscow that implements agreement for five years on quantities and prices. The agreement provides for USEC to purchase the enrichment component of LEU derived from 18 MT of HEU in 1997, 24 MT in 1998, 30 MT in 1999, 30 MT in 2000 and 30 MT in 2001. This stable process speeds up the purchases over these years from previous goals by approximately 50 percent and accounts for nearly one-third of the 500 MT covered by the original agreement, including 1995 and 1996 shipments.
December: USEC announces the transfer to DOE, at no cost, of the equivalent of about 14 million pounds of U3O8, representing the natural uranium purchased in 1995 and 1996 from the Russian government under the Megatons to Megawatts contract. USEC paid $160 million for this product.
USEC advances $100 million to Russia against future deliveries (calendar years 1998-99) subsequent to the U.S.-Russian agreement on enhanced transparency.
The United States and Russia complete enhanced transparency agreement.
1996 shipments: USEC receives material equivalent to about 479 nuclear warheads (371 MT of LEU derived from 12 MT of HEU).
Running total: 723 warheads eliminated
April: February and March 1997 shipments arrive at USEC's Portsmouth, Ohio facility.
Russia (i.e., TENEX) informs USEC that the deliveries scheduled for April, May and June will be delayed pending resolution by Russia of arrangements with third parties to sell the natural uranium received by Russia for the natural uranium component of LEU derived from HEU. Processing of LEU from weapons HEU will continue in Russia and then be combined with deliveries that the Russians anticipate making from July through November.
June: Though a final Russian sales agreement with third parties is still pending for the natural uranium received by Russia for the natural uranium component in LEU derived from HEU, Russia (i.e., TENEX) informs USEC that April, May and June deliveries will be shipped starting in mid-July.
July: Russia resumes shipments to USEC.
August: Russia reaches agreement in principle with Cameco, Cogema and Nukem for their purchase of part of the natural uranium received by Russia for the natural uranium component of all Megatons to Megawatts LEU delivered to USEC in Russia for the next 10 years. But the agreement is not signed. Late in 1997, the Russians announce plans for alternative arrangements, but these do not materialize. Discussions with the three Western companies resume in 1998.
1997 shipments: USEC receives material equivalent to about 718 nuclear warheads (480 MT of LEU derived from 18 MT of HEU).
Running total: 1,441 warheads eliminated
October: U.S. legislation passed on October 31, 1998, allows the DOE Secretary to request an emergency appropriation of up to $325 million to buy the natural uranium delivered to TENEX for the natural uranium component of Russia's 1997 and 1998 LEU deliveries (28 million lbs. U308 equivalent) once the Russian government has entered into an agreement with "commercial partners" (i.e., Cameco, Cogema, and Nukem) to buy post-1998 deliveries.
December: Russia had unilaterally slowed shipments to USEC during 1998 and now suspends them. The Russians continue to negotiate a uranium purchase arrangement with Cameco, Cogema and Nukem.
1998 shipments: Calendar year 1998 shipments total about 580 nuclear warheads (450 MT of LEU derived from 14.5 MT of HEU). Part of 1998 order is delayed by Russia pending agreements with the U.S. government and three Western companies on the disposition of the natural uranium received from USEC for the natural uranium component of the LEU.
Running total: 2,403 warheads eliminated
March: The United States and Russia sign a government-to-government agreement that:
Concurrently, Russia signs a long-term contract, with market-based pricing, to sell a portion of the natural uranium to three companies: Cogema, Cameco and Nukem. Shipments of LEU to USEC resume.
July: Shipment of CY 1998 order to USEC is completed. Shipments begin of CY 1999 order.
1999 shipments: In July 1999, TENEX completes its calendar year 1998 scheduled deliveries of blended-down HEU. These deliveries make the total 1998 order equivalent to about 962 warheads. Shipments also begin of USEC's calendar year 1999 order, which is for 624 MT of LEU derived from 21.3 MT of HEU.
Running total: 3,254 warheads eliminated
February: TENEX completes delivery of USEC's 1999 order.
April: TENEX begins delivery of CY 2000 order.
May 5: USEC and TENEX reach an agreement in principle to amend the HEU contract and adopt market-based payment terms starting in calendar year 2002. U.S. and Russian government approval is needed to execute the amendment.
October: USEC announces milestone of 4,000 warheads eliminated through the Megatons to Megawatts program.
December: TENEX completes delivery of USEC's CY 2000 order.
2000 shipments: In February 2000, TENEX completes delivery of USEC’s calendar year 1999 order, equivalent to about 851 warheads. Shipments begin of calendar year 2000 order for material equivalent to about 1,200 nuclear warheads (858 MT of LEU derived from 30 MT of HEU).
Running total: 4,454 warheads eliminated
September: USEC and TENEX achieve milestone of 5,000 warheads eliminated through the Megatons to Megawatts program.
November: After reviewing the May 2000 agreement in principle, the U.S. government authorizes USEC to continue negotiations on modified contract terms with the Russian executive agent, TENEX, for calendar year 2002 and beyond.
December: TENEX completes delivery of USEC's CY 2001 order.
2001 shipments: USEC receives material equivalent to about 1,200 nuclear warheads (904 MT of LEU derived from 30 MT of HEU).
Running total: 5,655 warheads eliminated
February: Modified contract terms are agreed to in Moscow by USEC and TENEX. A signed contract amendment is referred to the U.S. and Russian governments for approval.
June: The U.S. and Russian governments approve implementation of the contract amendment for the remaining 12 years of the program. The new, market-based pricing terms will go into effect in January 2003. (See USEC's June 19, 2002, press release.)
September: USEC and TENEX achieve milestone of 6,000 warheads eliminated through the Megatons to Megawatts program.
October: USEC TENEX and the electric utilities that use fuel fabricated from the LEU from the Megatons to Megawatts program are honored at the Demiurgus Peace International Award Ceremony in Zug, Switzerland. The event recognizes individuals and organizations for their outstanding achievements in strengthening peace among nations. The event is organized and sponsored by the World Council of Former Foreign Ministers and the Nuclear Disarmament Forum.
2002 shipments: USEC receives material equivalent to about 1,200 nuclear warheads (879 MT of LEU derived from 30 MT of HEU).
Running total: 6,856 warheads eliminated
February: MINATOM announces 10th anniversary of HEU-LEU Agreement on which the Megatons to Megawatts program is based.
April: USEC announces another Megatons to Megawatts program milestone: bomb material equivalent to 7,000 warheads has been eliminated.
2003 shipments: USEC receives material equivalent to about 1,203 nuclear warheads (906 MT of LEU derived from 30 MT of HEU).
Running total: 8,059 warheads eliminated
January: USEC and TENEX mark the 10th anniversary of commercial implementation of the Megatons to Megawatts program and announce the elimination of bomb material equivalent to 8,000 warheads. The companies also issue a Joint Statement.
October: USEC announces that weapons-grade material equivalent to 9,000 warheads has been eliminated.
2004 shipments: USEC receives material equivalent to about 1,202 nuclear warheads (891 MT of LEU derived from 30 MT of HEU).
Running total: 9,261 warheads eliminated
September: USEC announces that weapons-grade material equivalent to 10,000 warheads has been eliminated.
2005 shipments: USEC receives material equivalent to about 1206 nuclear warheads (846 MT of LEU derived from 30.1 MT of HEU).
Running total: 10,467 warheads eliminated
June: USEC announces that weapons-grade material equivalent to 11,000 warheads has been eliminated.
2006 shipments: USEC receives material equivalent to about 1206 nuclear warheads (870 MT of LEU derived from 30.1 MT of HEU).
Running total: 11,674 warheads eliminated
April: USEC announces that weapons-grade material equivalent to 12,000 warheads has been eliminated.
2007 shipments: USEC receives material equivalent to about 1211 nuclear warheads (833 MT of LEU derived from ~30 MT of HEU).
Running total: 12,885 warheads eliminated