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South Carolina will sue to keep U.S. plutonium out



Index:



South Carolina will sue to keep U.S. plutonium out

RWE says Biblis fuel rod safely retrieved

Bush Urged Not to Scrap Recycle Ban

NRC to up inspections at Nebraska nuclear plant

Town assembly to discuss possible plebiscite on nuclear plant

Nuclear Plant to Be Sold to Entergy

New pro-nuclear US Energy legislation/Uranium spot price imp

Insurer Files Cell Phone Coverage Lawsuits

=====================================



South Carolina will sue to keep U.S. plutonium out

  

COLUMBIA, S.C. (Reuters) - South Carolina's attorney general, 

complaining that the state was being turned into a "nuclear dumping 

ground," vowed Thursday to sue to block federal plutonium shipments 

to a reprocessing plant. 



The lawsuit is the latest roadblock thrown up against a proposal by 

the U.S. Department of Energy to dispose of 50 tons of Cold War-era 

plutonium by processing the weapons-grade material into nuclear fuel 

or encasing it in ceramic at the plant. 



"Our message to the federal government is: We will not allow South 

Carolina to be turned into a nuclear dumping ground," state Attorney 

General Charlie Condon said. 



South Carolina Gov. Jim Hodges last week directed the state highway 

patrol to find a way to erect physical roadblocks around the so-

called Savannah River Site to block the planned shipments. 



The Energy Department plans to neutralize the weapons-grade plutonium 

by blending 33 tons with uranium to form mixed-oxide fuel and 

encasing the rest in ceramic for underground disposal at the proposed 

Yucca Mountain nuclear repository in Nevada. 



With the Yucca Mountain repository facing stiff political opposition 

from Nevada's congressional delegation, Condon said he was filing 

suit to keep the plutonium shipments from effectively being stranded 

in South Carolina. 



"The federal government has said one thing and is doing another," he 

said. "Until the DOE mission to store the plutonium is totally 

clarified and we know that South Carolina is not part of that 

mission, going to court is our best answer." 



Condon said the lawsuit would seek an injunction to block the 

shipments and a court order requiring the Energy Department to detail 

the environmental damage from storing the plutonium at the plant, 

which sits along the Savannah River on the Georgia-South Carolina 

border. 



A consortium led by Duke Energy Corp. and including a U.S. unit of 

French nuclear reprocessing firm COGEMA and contracting firm Stone & 

Webster Inc. was selected by the department to build a plant to 

reprocess the plutonium into mixed-oxide fuel, which would then be 

used at two Duke reactors in North Carolina. 



Environmentalists and anti-nuclear groups have petitioned the 

department, seeking to block the program. The groups argue that the 

plutonium shipments could easily be hijacked by terrorists and that 

the hotter-burning mixed-oxide fuel could lead to reactor meltdowns. 

----------------



RWE says Biblis fuel rod safely retrieved

  

FRANKFURT, Aug 16 (Reuters) - A fuel element dropped last week at the 

RWE's Biblis B nuclear reactor in Hesse state was successfully 

retrieved on Wednesday, the company said in a statement late on 

Wednesday. 



The element has been placed in a stable position next to a water 

storage pool in the presence of safety experts, it said. 



It was dropped on August 6 after it became detached from its head 

while being transferred to a transport container destined for 

reprocessing at the French La Hague facility. 



"We will decide on repair and disposal of the element after we have 

drawn up and assessed relevant plans," RWE said. 



The company said it has developed measures aimed at preventing a 

repeat of such an incident, which could be implemented immediately if 

safety authorities approved. 



RWE must submit a report to the industrial standards authority for 

southern Germany (TUeV-Sueddeutscdhland) to get the go-ahead for 

repair works. 



Germany's Green Party has said that its information showed this was 

the first incident of its kind in the western world. 



The German brand of the Friends of the Earth environmental lobby has 

called for the closure of the plant. 

---------------



Bush Urged Not to Scrap Recycle Ban



ARLINGTON, Va. (AP) - Environmentalists urged the Bush administration 

Thursday not to lift a Clinton-era ban on recycling scrap metals from 

Department of Energy nuclear facilities. 



They say allowing the metals to be recycled into other items puts the 

public's health at risk. 



``It's dispersing radioactivity into everyday items,'' said Diane 

D'Arrigo, radioactive waste project director at the Nuclear 

Information and Resource Service in Washington. ``It could be in the 

braces on your kid's teeth. It could be in the car you're riding 

in.'' 



Supporters of recycling say it is a useful way to dispose of 

materials as Cold War-era facilities are decommissioned. They argue 

levels of contamination are too low to pose a health threat. 



Both sides were represented Thursday at the latest in a nationwide 

series of public hearings on the subject that the Bush administration 

is holding to gather testimony as it decides whether to lift the ban.



The Energy Department estimates surplus metals currently in its 

inventory and materials generated over the next 35 years will total 

more than a million tons. 



The department could probably save money by recycling and selling the 

metals rather than disposing of them in some other way, said Richard 

Meehan, an Energy Department official at the nuclear facility in Oak 

Ridge, Tenn. 



But Meehan said the savings wouldn't be so great as to give the 

agency a profit. ``Clearly there is not a pot of gold at the end of 

the rainbow,'' he said. 



The Energy Department says the largest amount of surplus metals comes 

from uranium enrichment plants in Oak Ridge as well as Kentucky's 

Paducah plant and a Piketon, Ohio, facility. The agency says the most 

common types of metals found there are carbon steel, stainless steel 

and nickel. 



Representatives of those metal industries also spoke out against 

recycling scrap metal from nuclear sites Thursday. 



``While health physicists and government officials may be convinced 

that public perceptions of radioactive risk are exaggerated, these 

perceptions are very real,'' said Neil King, an attorney who 

represents the nickel industry. King added that such perceptions 

would influence consumer decision-making. 



On the Net: 



Energy Department: http://www.energy.gov/ 

-----------------



NRC to up inspections at Nebraska nuclear plant

  

SAN FRANCISCO, Aug 16 (Reuters) - The U.S. Nuclear Regulatory 

Commission (NRC) said on Thursday it will increase its inspections at 

the 781-megawatt Cooper Nuclear Station near Brownville, Nebraska, in 

response to errors made during an emergency exercise that were not 

corrected. 



"The NRC concluded that the issue was of low to moderate safety 

significance and thus constituted a 'white' finding under the 

agency's new reactor oversight process, and issued a Notice of 

Violation," the commission said in a statement. 



During an emergency procedures exercise in August of last year, 

simulated radiation exposure to the public was calculated incorrectly 

and as a result incorrect protective actions were recommended to 

state and local authorities. 



Although Nebraska Public Power District (NPPD), which operates the 

Cooper plant, tried to fix the problem through revised procedures and 

personnel training, the same errors were repeated during a drill in 

April. 



An NRC inspection ending in June concluded that NPPD failed to 

correct "identified weaknesses" as required under NRC regulations, 

the statement said. 



"NPPD did not contest the proposed NRC action," it said. 



Under the commission's performance assessment process, the safety 

significance of each NRC inspection finding is characterized by a 

color -- green, white, yellow, or red. A green finding receives 

normal NRC oversight, while white, yellow, or red assessments result 

in increasing NRC involvement, including additional inspections. 



Commission spokesman Breck Henderson said this would mark the third 

white finding this year in Region IV, the NRC region which covers 21 

reactors west of the Mississippi River. 



He noted that the color-coded safety findings and Notice of 

Violations are separate and not necessarily issued at the same time. 



NPPD has 30 days to respond with planned corrective actions under the 

Notice of Violation, which in this instance does not come with a 

fine. "Every plant has a few (Notice of Violations) each year, 

depending on what goes on," Henderson said. 



"The increased level of NRC inspection during the coming year will 

focus on problem identification and resolution in the emergency 

preparedness program," the statement said. 

------------------



Town assembly to discuss possible plebiscite on nuclear plant



TSU, Japan, Aug. 16 (Kyodo) - A Miyama town assembly panel in Mie 

Prefecture is expected to discuss next Wednesday whether the town 

should hold a plebiscite on hosting a nuclear power plant that other 

prefectural towns have rejected, assembly officials said Thursday. 



Chubu Electric Power Co. originally intended to set up a nuclear 

power plant in the Ashihama area, which stretches along the coast 

between the towns of Kisei and Nanto. 



The plan for an Ashihama nuclear power plant was first conceived in 

1964 but the firm gave up on the plan in February last year due to 

strong local opposition. 



The Nagoya-based company has not yet decided an alternative site for 

the plant, a company spokesman said, and it will wait to study the 

outcome of the proposed Miyama plebiscite before making a decision. 



Fumio Kawaguchi, the company president, said the firm must obtain the 

support of local residents before selecting a location. 



If Miyama's special assembly panel, set up in March, agrees to 

conduct the plebiscite, it will submit an ordinance in the September 

assembly session. The majority of the 17-member panel already 

supports the nuclear power plant. 



If the assembly passes the ordinance and the town carries out a 

plebiscite, it would be the first time for a local government to 

survey public opinion before a power company decides on a location 

for setting up a nuclear power plant. 



The panel is currently deliberating petitions that respectively 

support and oppose the plant. 



In February about 5,600 Miyama residents, or 64% of eligible voters, 

filed a petition supporting the plant and anti-nuclear power 

residents filed a petition opposing it. 



Miyama Mayor Tatsuo Shiotani has said he is willing to accept a 

nuclear power plant in the town as he believes it would help 

stimulate the local economy. 

----------------



Nuclear Plant to Be Sold to Entergy



MONTPELIER, Vt. (AP) - Entergy Corp. announced a deal to buy the 

Vermont Yankee nuclear power plant for $180 million. 



Vermont Yankee and Entergy said the cash deal includes $145 million 

for the plant and its assets and $35 million for its nuclear fuel. 



The face value of the deal is worth nearly twice what AmerGen Energy 

Co. of Kennett Square, Pa., bid in February for Vermont's only 

nuclear reactor. That deal was rejected by Vermont regulators, who 

said the price was inadequate and questioned the long-term power 

purchase agreement it contained. 



Vermont Yankee, owned by a consortium of New England Utilities, ended 

up abandoning that deal and put the plant, located in Vernon, up for 

sale through an auction, which Entergy won. 



Officials said comparisons of the two deals were difficult because 

each included different offers for nuclear fuel and power purchase 

contracts, among other details. 



If state and federal regulators approve the sale, Yankee would become 

the 10th nuclear plant owned by New Orleans-based Entergy, the fifth 

in the Northeast. 



``We expect to realize significant operating efficiencies since 

Vermont Yankee is a sister plant to our Pilgrim plant in Plymouth, 

Mass., and our FitzPatrick plant in Oswego County, N.Y.,'' Wayne 

Leonard, Entergy's chief executive, said in a statement announcing 

the sale. 



Entergy said it would keep Vermont Yankee's 450 employees on staff at 

their current salaries and with comparable benefits. 



The plan calls for Entergy to continue operating the 540-megawatt 

Yankee plant through 2012, when its current operating license 

expires. It also requires Entergy to commit to selling electricity to 

Yankee's current utility owners at average annual prices ranging from 

$39 to $45 per megawatt hour through the life of the current license.



That would also commit those utilities to purchasing electricity from 

Yankee, although the sales contract provides an adjustment if 

wholesale power prices should fall significantly. 



Entergy officials said they would be likely to seek to extend the 

Yankee license beyond 2012. 



The deal still needs to be reviewed and approved by the Vermont 

Public Service Board, the U.S. Nuclear Regulatory Commission, the 

Federal Energy Regulatory Commission and other regulatory agencies. 

Entergy and Yankee said they expected the sale to be completed by 

next spring. 

------------------



New pro-nuclear US Energy legislation/Uranium spot price imp



New pro-nuclear US Energy legislation/Uranium spot price imp

The US House of Representatives has passed The Securing of America's

Future Energy Act 2001. This comprehensive bill includes provisions

for supporting construction of new nuclear power capacity, boosting

university nuclear science and engineering programs, and funding

nuclear energy R&D and is in keeping with earlier announcements by

the Bush Administration that nuclear energy must form a major plank

of the energy policies of that country.

This signifies a major development and basis for growth of nuclear

energy for the production of electricity. This new acceptance

acknowledges the essential role of nuclear energy to manage the

enormous growth necessary in global electricity while trying to limit

the dangerous effects of greenhouse gas emissions.

This industry confidence is being reflected with the continuing

improvement of the uranium spot price, which has this week risen to

US$9.10 per lb up from a low of US$6.90 in November 2000.

Paladin with its quality uranium projects in Australia and Africa is

well positioned to take advantage of this emerging renaissance in the

nuclear industry.

------------------



Insurer Files Cell Phone Coverage Lawsuits; AT&T Wireless Files Its 

Own Coverage Action As Well, Reports Mealey Publications

  

KING OF PRUSSIA, Pa., Aug. 15 /PRNewswire/ -- A trio of insurance 

coverage lawsuits related to cell phone personal injury litigation 

have been filed in recent weeks, Mealey Publications has learned. 



Zurich-American Insurance Co. on July 23 filed actions in New York 

and Texas state courts seeking declaratory relief and contribution in 

connection with putative class actions involving cell phone claims. 



Both Zurich-American actions are premised upon Audiovox Corp.'s and 

Nokia Inc.'s requests for coverage of putative class actions in New 

York, Georgia, Louisiana, Maryland and Pennsylvania by cell phone 

users against cell phone manufacturers, retailers and related service 

providers. 



AT&T Wireless, also named in the underlying lawsuits, allegedly 

promoted and sold the cell phones.  It seeks coverage from several 

insurance companies: Fireman's Fund Insurance Co.; Employers 

Insurance of Wausau; Travelers Property Casualty Insurance Co.; 

Travelers Casualty and Surety Co.; Federal Insurance Co.; The 

American Insurance Co.; ACE American Insurance Co.; International 

Insurance Co.; Greenwich Insurance Co.; Royal Insurance Co. of 

America; Insurance Company of North America; TIG Insurance Co. and 

National Surety Corp. 



The underlying claimants allege that the cell phones are defective 

because they emit radio frequency radiation and implicate the 

industry in a conspiracy to withhold information as to the defects 

and failure to provide headsets for use in mitigating their exposure. 

 The class actions further charge the insureds with knowledge of 

reasonable and economical methods to insulate cell phone users from 

exposure to the radiation.  They charge the insureds with strict 

liability for the failure to warn and design/manufacturing defects, 

breach of implied warranties and fraud. 



In its complaint filed in the New York County Supreme Court, Zurich 

seeks a declaration that it has no duty to defend or indemnify 

Audiovox Corp. against these suits. 



Zurich also seeks a declaration as to the obligations of Audiovox's 

insurers, Royal Indemnity Co., National Surety Co., Vigilant 

Insurance Co. and St. Paul Cos.  Should the court determine that 

Zurich owes defense or indemnification to or on behalf of Audiovox, 

Zurich seeks equitable contribution and subrogation from Audiovox and 

its insurers. 



Zurich insured Audiovox under two primary general liability policies 

in effect from July 1998 to July 1999.  The policies require Zurich 

to pay for "all sums" that Audiovox may become legally liable to pay 

"because of bodily injury and property damage" covered under the 

policies.  The policies contain several exclusions relating to 

injury, the insured's product, impaired property and recall of 

products. 



Zurich sued Nokia in the Dallas County District Court in Texas, 

seeking the same declaratory relief as in the New York action.  

Zurich also seeks a judgment against Nokia's insurers, Home Insurance 

Co., National Union Fire Insurance Co. of Pittsburgh, Pa. and Federal 

Insurance Co. 



Zurich issued six primary general liability policies to Nokia for the 

periods from 1987 to 1988 and 1995 to March 2000.  These policies 

also provide Nokia with "all sums" coverage; however, each policy 

contains varying definitions of "bodily injury," "property damage" 

and "occurrence."  Certain exclusions pertaining to the insured's 

product, work, impaired property and product recall are also included 

in Nokia's policies. 



For information regarding Mealey's Litigation Report: Insurance, call 

1-800-MEALEYS or visit www.mealeys.com. 





------------------------------------------------------------------------

Sandy Perle					Tel:(714) 545-0100 / (800) 548-5100   				    	

Director, Technical				Extension 2306 				     	

ICN Worldwide Dosimetry Service		Fax:(714) 668-3149 	                   		    

ICN Pharmaceuticals, Inc.			E-Mail: sandyfl@earthlink.net 				                           

ICN Plaza, 3300 Hyland Avenue  		E-Mail: sperle@icnpharm.com          	          

Costa Mesa, CA 92626                    



Personal Website: http://www.geocities.com/scperle

ICN Worldwide Dosimetry Website: http://www.dosimetry.com



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