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June 27, 1966

Amending the Agreement signed at Washington 27 July 1955;

Instrument of ratification signed by the President of the Philippines 10 October 1966;

Entered into force 21 October 1966.

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

The Government of the United States of America and the Government of the Republic of the Philippines,

Desiring to amend the Agreement for Cooperation between the Government of the United States of America and the Government of the Republic of the Philippines Concerning Civil Uses of Atomic Energy, signed at Washington on July 27, 1955^[1] (hereinafter referred to as the "Agreement for Cooperation"), as amended by the Agreement signed at Washington on June 11, 1960,^[2] and the Agreement signed at Washington on August 7, 1963,

Agree as follows:

ARTICLE I

A. Article II, Paragraph B, of the Agreement for Cooperation, as amended, is amended by adding at the end thereof the following new sentence:

"The United States Commission, however, may, upon request, make available all or a portion of the enriched uranium supplied hereunder as material containing more than twenty per cent (20%) by weight of the isotope U-235 when there is a technical or economic justification for such a transfer."

B. Article II, Paragraph C, of the Agreement for Cooperation, as amended, is amended to read as follows:

"C. It is agreed that 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 shall not be altered after its removal from the reactor and prior to delivery to the Commission or the facilities acceptable to the Commission for reprocessing."

 

C. Article II, as amended, is further amended by adding the following new paragraphs E and F:

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

"F. With respect to any special nuclear material not subject to the option referred to in paragraph E of this Article and produced in reactors fueled with materials obtained from the United States of America which is in excess of the need of the Republic of the Philippines for such material in its 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."

ARTICLE II

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

"With respect to the subjects of agreed exchange of information referred to in Article I, 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 for the transfer of materials, including special nuclear material, and equipment and devices, and for the performance of services. Such arrangements shall be subject to:

(1) the limitations applicable to transactions between the Parties under Article II,

(2) Article V, and

(3) applicable laws, regulations, policies, and license requirements of the Parties."

ARTICLE III

Paragraphs A, B, and C of Article VI of the Agreement for Cooperation, as ended, are amended to read as follows:

"A. The Government of the United States of America and the Government of the Republic of the Philippines emphasize their common interest in assuring that any material, equipment, or device made available to the Government of the Republic of the Philippines or any person under its jurisdiction pursuant to this Agreement shall be used solely for civil purposes.

"B. Except to the extent that the safeguards provided for in this Agreement are supplanted, by agreement of the Parties as provided in Article VII (A), by safeguards of the International Atomic Energy Agency, the Government of the United States of America, notwithstanding any other provisions of this Agreement, shall have the following rights:

" (1) With the objective of assuring design and operation for civil purposes and permitting effective application of safeguards, to review the design of any

(a) reactor, and

(b) other equipment and devices, the design of which th United States Commission determines to be relevant to the effective application of safeguards,

which are, or have been, made available to the Government of the Republic of the Philippines or any person under its jurisdiction under this Agreement, or which are to use, fabricate, or process any of the following materials so made available: source material, special nuclear material, moderator material, or other material designated by the United States Commission;

"(2) With respect to any source or special nuclear material made available under this Agreement to the Government of the Republic of the Philippines or any person under its jurisdiction by the Government of the United States of America or any person under its jurisdiction and any source or special nuclear material utilized in, recovered from, or produced as a result of the use of any of the following materials, equipment or devices so made available:

(a) source material, special nuclear material, moderator material, or other material designated by the United States Commission,

(b) reactors,

(c) any other equipment or device designated by the United States Commission as an item to be made available on the condition that the provisions of this subparagraph B (2) will apply,

(i) to require the maintenance and production of operating records and to request and receive reports for the purpose of assisting in ensuring accountability for such materials; and

(ii) to require that any such material in the custody of the Government of the Republic of the Philippines or any person under its jurisdiction be subject to all of the safeguards provided for in this Article and the guarantees set forth in Article VII;

"(3) To require the deposit in storage facilities designated by the United States Commission of any of the special nuclear material referred to in subparagraph B (2) of this Article which is not currently utilized for civil purposes in the Philippines and which is not purchased or retained by the Government of the United States of America pursuant to Article II of this Agreement, transferred pursuant to Article II, paragraph F (b), or otherwise disposed of pursuant to an arrangement mutually acceptable to the Parties;

"(4) To designate, after consultation with the Government of the Republic of the Philippines, personnel who, accompanied, if either Party so requests, by personnel designated by the Government of the Republic of the Philippines, shall have access in the Philippines to all places and data necessary to account for the source and special nuclear materials which are subject to subparagraph B (2) of this Article, to determine whether there is compliance with this Agreement, and to make such independent measurements as may be deemed necessary;

"(5) In the event of non-compliance with the provisions of this Article or the guaranties set forth in Article VII and the failure of the Government of the Republic of the Philippines to carry out the provisions of this Article within a reasonable time, to suspend or terminate this Agreement and to require the return of any materials, equipment, and devices referred to in subparagraph B (2) of this Article;

"(6) To consult with the Government of the Republic of the Philippines in the matter of health and safety.

"C. The Government of the Republic of the Philippines undertakes to facilitate the application of the safeguards provided for in this Article."

ARTICLE IV

Article VII, Paragraph B, of the Agreement for Cooperation is amended by adding the words, "or group of nations", following the word, "nation", wherever it appears.

ARTICLE V

Article VII(A) of the Agreement for Cooperation, as amended, is amended by deleting the reference, "paragraph C", and the commas preceding and following such reference.

ARTICLE VI

This Amendment shall 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 the entry into force of such Amendment and shall remain in force for the period of the Agreement for Cooperation, as amended.

IN WITNESS WHEREOF, the undersigned, duly authorized, have signed this Amendment.

DONE at Washington in duplicate, this twenty-seventh day of June, 1966.