Greece and will soon start negotiations with Italy. “Turkey cannot block the Azerbaijan-Europe partnership.” Aliyev said Finance Minister Samir Sharifov’s proposal for USTDA technical assistance to review best international practice in transit agreements was a good one. Azerbaijan wants the transit agreement with Turkey to be based on best international practice, not to “invent something new.” He encouraged the U.S. to consider the technical assistance.

Turkmenistan and Trans-Caspian Gas

7. (C) Aliyev pointed to Turkmen President Berdimuhamedov’s statement that he would “sell gas to Europe at Turkmenistan’s border,” adding, however, that he had failed to specify which border he was referring to – that with Russia, Iran, or the Caspian Sea? Aliyev said it was his sense that Turkmenistan wants the trans-Caspian option to be implemented but “wants to hide it from Russia.” Azerbaijan, he said, has shown “maximum constructiveness – we offered all our infrastructure; we said we’d be a purely transit country, not do like Turkey is trying to do. But we will not be more interested than they. I will not initiate a meeting with Berdimuhamedov – it is not right to do.” Azerbaijan, he repeated, “will not initiate discussions with Turkmenistan because we do not need its gas – we cannot be seen to want it (the trans-Caspian option) more than they do.”

Odessa-Brody- Plotsk

8. (C) Azerbaijan has finalized its energy plan, Aliyev said. Azerbaijan supported the Krakow Summit and the proposed Odessa- Brody-Plotsk oil pipeline “even though the project is seen as anti-Russian” because Ukraine, Poland and Georgia are friendly to Azerbaijan. Aliyev said that the key is for Odessa-Brody-Plotsk to be “commercially feasible.” For this reason, he had asked Energy Minister Natiq Aliyev to prepare a concrete proposal for discussion in Vilnius. This will include Azerbaijan’s joining as a shareholder in the Sarmitia pipeline, and the launch of a feasibility study. In addition, a joint trading company for Black Sea oil will be created. With Supsa and Novorossisk, there is a great deal of Black Sea oil available, Aliyev said. The key, he repeated, is to make the Odessa- Brody-Plotsk project commercially feasible. Azerbaijan supports it “more to show political support than any urgent need” economically.

BAKU 00001227 003 OF 003

Three-way Summit

9. (C) Aliyev said that Lithuanian PM Adamkus had told him in Vilnius last month that Kazakhstan would not attend the Vilnius Summit. He said, again with some frustration, that the idea of a 3- way Azerbaijan- Turkmenistan-Kazakhstan summit was Nazarbayev’s idea, but there has been no further progress on taking it forward to his knowledge. With the clear implication that Kazakhstan should take its idea forward, Aliyev said he still believes such a trilateral meeting “would send a good signal, strengthening our relations and could be a positive thing.”

10. (C) Comment: Aliyev was clearly frustrated and uncharacteristically sharp in discussing Turkey, Turkmenistan and especially BP, and disappointed with what he sees as Kazakhstan’s equivocation. He repeated throughout the conversation that Azerbaijan’s interest in delivering gas to Europe is strategic, driven by Azerbaijan’s desire for a deeper partnership with Europe. He also underscored, in a clear reference to Russia, that Azerbaijan “cannot be seen” to be more in the lead than others in the region on gas issues. It will be important to reassure Aliyev in Vilnius of the USG’s commitment to the southern corridor and to working closely with Azerbaijan to realize it, and to encourage him to find a productive way forward, in practical terms, with Turkey, Turkmenistan and BP. Septel will provide further insights from both BP and SOCAR on both the state of GOAJ-AIOC negotiations and Azerbaijan’s ability to provide gas to Georgia this winter. End comment.

FEARS OVER SAFETY OF PAKISTAN’S

NUCLEAR WEAPONS

Tuesday, 22 September 2009, 14:13

SECRET SECTION 01 OF 05 LONDON 002198

NOFORN

Classified By: Political Counselor Robin Quinville for reasons 1.4 (b) and (d).

1. (S/NF) Summary: Under Secretary Tauscher held meetings in London on September 2-4 on the margins of the P5 Conference on Confidence Building Measures Towards Nuclear Disarmament with Foreign Secretary David Miliband, Simon McDonald, Head of the Foreign and Defence Policy Secretariat at the Cabinet Office, Mariot Leslie, Director General, Defence and Intelligence, Foreign and Commonwealth Office (FCO), and Jon Day, MOD Director General for Security Policy. The UK interlocutors expressed broad support for USG goals with regard to nonproliferation and disarmament and highlighted the need for close P3 and P5 coordination in the lead-up to the UNSC Heads of Goverment Summit and the Nuclear Nonproliferation Treaty (NPT) Review Confererence (RevCon). They also predicted that UK arms control policy would not be affected either by next year’s elections or the upcoming Strategic Defense Review. McDonald cited the need to get tough with Iran if it did not respond to overtures by the end of September. U/S Tauscher expressed continued commitment to ratification of the Defense Trade Treaty and noted that she is working with the Senate to resolve questions concerning implementation. End Summary

Welcoming U.S. Leadership

2. (S/NF) While in London for the September 3-4 P5 Conference on Confidence Building Measures Towards Nuclear Disarmament, U/S Tauscher held separate meetings September 2-4 with Foreign Secretary David Miliband, Simon McDonald, Head of the Foreign and Defence Policy Secretariat at the Cabinet Office, Mariot Leslie, Director General, Defence and Intelligence, Foreign and Commonwealth Office (FCO), and Jon Day, MOD Director General for Security Policy. The British interlocutors underscored that the UK welcomes U.S. leadership on nonproliferation, disarmament and arms control. FS Miliband expressed appreciation for President Obama’s Prague speech, observing that the process for getting to “a world at or close to zero in terms of nuclear arms is not a straight line” but is long and complex. McDonald said that for the last forty years the nuclear states have downplayed the obligation to spread civil nuclear power and to disarm; President Obama’s leadership presents an opportunity to change that dynamic. DG Leslie observed that UK decision makers are “fired up by how the President has made the (nonproliferation) agenda his own.” Prime Minister Brown wants to “refresh and refurbish” the Nuclear Nonproliferation Treaty (NPT), she said. DG Day said he was “delighted” that the U.S. has “resumed leadership” on nonproliferation, arms control and disarmament.

Maintaining P3 and P5 Unity

3. (S/NF) Leslie stressed that the UK position is “really very similar to your Administration on nearly everything.” The UK’s goal is for the P5 to work well together but we should “not scare the horses,” which means “not scaring off the French” and “keeping the Chinese and Russians on board.” She acknowledged that it was “hard to get everyone together” for the 9/3-4 P5 Conference, but expressed hope that it would help cement P5 unity in the lead-up to the NPT Review Confererence (RevCon). Day acknowledged that the 9/3-4 P5 Conference was not a vehicle designed to make progress by “leaps and bounds.” He stressed that “the engagement is valuable” and would help cement P5 unity.

4. (S/NF) We need a strong, but unanimous, signal from the UN Security Council (UNSC) at the UNSC Heads of Government Summit, Simon McDonald stressed, noting that the first draft resolution was a disappointment. The UK interlocutors agreed on the importance of P5 unity at the summit, as well as on the importance of close P3 and P5 coordination in the lead-up to the summit and to the NPT RevCon. McDonald also observed that Libya was on the UNSC and that the P5 should take positive note of the fact that Libya has made a “strategic shift” on nuclear proliferation.

France and P3 Unity

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