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### Viewing cable 09ABUDHABI1151, ABU DHABI CROWN PRINCE WARNS DOE DEPSEC PONEMAN ABOUT IRAN

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Reference ID | Date | Classification | Origin
--- | --- | --- | ---
09ABUDHABI1151 | 2009-12-17 13:01 | SECRET//NOFORN | Embassy Abu Dhabi

`

    VZCZCXYZ0000
    RR RUEHWEB

    DE RUEHAD #1151/01 3511307
    ZNY SSSSS ZZH
    R 171307Z DEC 09
    FM AMEMBASSY ABU DHABI
    TO RUEHC/SECSTATE WASHDC 0042
    INFO GULF COOPERATION COUNCIL COLLECTIVE
    RHMFISS/CDR USCENTCOM MACDILL AFB FL
    RHMFISS/DEPT OF ENERGY WASHINGTON DC

` `

    S E C R E T ABU DHABI 001151

    NOFORN
    SIPDIS
    STATE FOR NEA/FO AND NEA/ARP
    ENERGY FOR S1, S2, O???CONNOR AND SANDOLOW

    E.O. 12958: DECL: 2019/12/17
    TAGS: PGOV PREL PARM ENRG IR YM AE
    SUBJECT: ABU DHABI CROWN PRINCE WARNS DOE DEPSEC PONEMAN ABOUT IRAN

    CLASSIFIED BY: Richard G. Olson, Ambassador, State, US Embassy Abu
    Dhabi, UAE; REASON: 1.4(B), (D)

    ¶1. (S/NF) Summary: During a December 9 meeting in Abu Dhabi (other
    meetings reported septel), Deputy Secretary of Energy Daniel
    Poneman told Abu Dhabi Crown Prince Mohammed bin Zayed (MbZ) that
    the USG shared many energy policy priorities with the UAE,
    including renewable energy development and the importance of
    critical energy infrastructure protection.  Poneman briefed MbZ on
    the Teheran Research Reactor (TRR) proposal and Vienna talks.  MbZ
    said he would be surprised if Iran accepted the P5+1/IAEA proposal
    and warned that Iran was already acting like a nuclear power.
    Further, and more dangerously, Iran is establishing "emirates"
    across the Muslim world, including South Lebanon and Gaza, sleeper
    "emirates" in Kuwait, Bahrain, and the Eastern Province of Saudi
    Arabia, the mother of all "emirates" in Southern Iraq, and now
    Saada in Yemen.  MbZ suggested that the U.S. is misreading the
    situation in Yemen and failing to recognize strong evidence of
    Iranian support.  End Summary.

    POTENTIAL COOPERATION:

    RENEWABLES, INFRASTRUCTURE PROTECTION

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

    ¶2. (SBU) The Crown Prince asked DepSec Poneman several questions
    about U.S. energy development plans, including the outlook for the
    next 25 years.  Poneman explained President Obama and Secretary Chu
    have a strategic vision of a new energy economy with a low carbon
    profile.  In the short term, Poneman said DOE is investing Recovery
    Act funds to improve efficiency and support new technologies, but
    that the USG seeks to facilitate energy development through a
    portfolio approach, not dictate what the market should pursue. On
    nuclear, MbZ specifically asked what progress could be expected
    within the next three years.  Poneman said there are a number of
    active deals under development, and strong public support for
    nuclear power, but that capital costs continue to be a challenge.
    (Comment:  MbZ pressed hard on US plans for a nuclear renaissance,
    suggesting to us that he is worried we may compete with his program
    in the hunt for nuclear engineering and technical talent. End
    Comment.) Turning to renewable energy and efficiency, the DepSec
    noted that USG goals are very much in line with Abu Dhabi's own
    Masdar (Abu Dhabi Future Energy Company) and that he looked forward
    to greater DOE-Masdar cooperation (septel).

    ¶3. (SBU) Poneman also told MbZ that the USG is interested in
    supporting Abu Dhabi's critical energy infrastructure protection
    (CEIP) plans and said a DOE team was discussing cooperation
    potential with the Critical National Infrastructure Authority
    (CNIA, reported septel).  Learning from Hurricane Katrina, DOE was
    focused on survivability of assets, resiliency and recovery.  MbZ
    said he was personally very interested in greater cooperation with
    the U.S. on CEIP, through DOE, other USG entities and/or the
    private sector.  He stressed that citizens' confidence in their
    government was very important, noting "We're doing our best to make
    them feel secure."  MbZ added that while UAE is a small country, it
    has the resources to protect itself, and is willing to invest in
    top-quality infrastructure protection.

    IRAN

    ----

    ¶4. (S/NF) DepSec Poneman briefed MbZ on the international proposal
    for Iran to ship 1,200 kg of Low Enriched Uranium produced at
    Natanz to a location outside Iran and where it would be enriched to
    20 percent for use to produce medical radioisotopes at the Tehran
    Research Reactor.  Poneman stressed that the IAEA, the Russians,
    and the U.S. had all taken every possible step to address stated
    Iranian concerns, including a first-ever official USG statement of
    support for the proposal.  He stressed that the offer would not
    remain open indefinitely; as DG El Baradei had said, this is a
    "fleeting" opportunity.  He also explained that the extra effort
    had strengthened international cooperation, with Russia and China
    supportive of the recent IAEA Board of Governors resolution.

    Poneman stressed that the deal was not offered out of naivete, but
    rather out of the view that if Iran agreed it would remove a
    significant amount of LEU from Natanz and if Iran refused it would
    help build international support - beginning with Russia and China
    - for tougher sanctions.

    ¶5. (S/NF) The Crown Prince said he would be "very surprised" if a
    deal was possible, as Iran's nuclear program is not an issue of
    internal conflict but rather one of national pride for the vast
    majority of Iranians.  He stressed that Iran is not North Korea,
    because 1) it is looking to reestablish a Persian empire in the
    21st century, 2) Iran has resources and lacks neighbors, including
    the UAE, who can pressure it, 3) the leadership has not changed (it
    is the same people who seized Embassy Tehran in 1979) , and 4) Iran
    believes itself to be a superpower.  Poneman said the USG does not
    disagree with MbZ's analysis, but believes pride makes the Iranian
    leadership more susceptible to the pressure of the world community
    uniting against them, whereas North Korea revels in its own
    isolation.  MbZ agreed, and emphasized the strategic importance of
    creating a Palestinian State (i.e., resolving the
    Israeli-Palestinian conflict) as the way to create genuine Middle
    Eastern unity on the question of Iran's nuclear program and
    regional ambitions.

    YEMEN

    -----

    ¶6. (S/NF) MbZ said Iran already acts like a superpower and
    explained that, while the UAE is a federation of emirates, Iran's
    "emirates" have a larger army and budget that the UAE.  In addition
    to Iran's established emirates in South Lebanon and Gaza, sleeper
    emirates in Kuwait, Bahrain, the Eastern Province of Saudi Arabia,
    and the mother of all emirates in Southern Iraq.  Now Iran has an
    emirate in Saada.  MbZ told Poneman, "We believe you don't want us
    to believe" the mounting evidence of Iranian involvement in Yemen.
    He stressed that he doesn't believe Ali Abdullah Saleh either, but
    this is "not like cracking the enigma code" (in World War II),
    there are Iranian ships unloading weapons for the Houthis, and "you
    have the capability to track this."  He warned, "We know your
    priority is Al-Qaeda, but don't forget Iran. Al-Qaeda is not going
    to get a nuclear bomb; Iran is a matter of time."

    ¶7. (SBU) DepSec Poneman has cleared this cable.
    OLSON

`