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Page last updated at 04:56 GMT, Thursday, 18 September 2008 05:56 UK

Australia MPs oppose uranium sale

Undated BHP Billiton photo of the Olympic Dam copper and uranium operation in Roxby Downs, Australia
Australia has 40% of the world's known uranium resources

Australia should not sell uranium to Russia, a parliamentary committee says.

It said the $800 million deal should not go ahead until Russia assuaged doubts about the separation of its civilian and military uses of uranium.

The deal was signed by former Prime Minister John Howard and Russian leader Vladimir Putin last year.

The committee said assurances were needed on Russia's compliance with, and long-term commitment to, the Nuclear Non-Proliferation Treaty.

Opposition members of parliament supported the uranium sales. They argued Australia would benefit from the trade, and said safeguards against any future military use of the uranium were adequate.

But the report presented to parliament on Thursday recommended that "further consideration is given to the potential ramifications for this agreement".

The committee said any facilities taking Australian uranium should be inspected by the International Atomic Energy Agency.

Russia has insisted that it would only use Australian uranium for civilian purposes, to generate power at home, and would not export it for use elsewhere.

Some reports of the committee's findings suggested that opposition to the deal was strengthened by Russia's recent incursions into Georgia.

Australia's Foreign Minister Stephen Smith warned earlier this month that if Russia failed to withdraw its troops from neighbouring Georgia, Australia might withhold approval of the new agreement.

Australia has 40% of the world's known uranium resources and exports the product to more than 30 countries under strict conditions.


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