As part of continuing efforts to reduce the threat of nuclear weapons proliferation and to aid countries in fulfilling their obligations under the Lisbon Protocol to START and other arms control agreements, the Department of Defense recently concluded several amendments to the Cooperative Threat Reduction Implementing Agreements. The amendments which authorize key project areas with Ukraine, Kazakhstan and Russia were signed by Special Coordinator Laura Holgate on behalf of DoD in June and July.

With these amendments, DoD is allocating up to $76.7 million in additional funds to further the elimination of strategic nuclear arms on Ukrainian soil. Since the program's inception and including these amendments, DoD has earmarked $520 million for threat reduction programs in Ukraine.

The CTR program has already resulted in the elimination of 85 SS-19 intercontinental ballistic missiles (ICBM) and 112 SS-19 missile silos. This new funding will support the SS-19 and SS-24 ICBM elimination projects; projects for the elimination of SS-19 and SS-24 silo launchers, training silos, and launch control centers; the disposal of liquid rocket propellant; and the elimination of approximately 40 strategic nuclear bombers and over 1,000 air-launched cruise missiles. Several American companies are involved in the project, including Raytheon, Morrison-Knudsen, and Bechtel. More than 150 major Ukrainian companies are involved, including Yuzhnoye Design Bureau, Yuzhmash Production Plant, Pavlograd Chemical Plant, and STROOM Innovative Enterprise.

As part of a re-allocation of prior year funds, DoD is adding up to $630,000 towards the establishment of an effective export control regime to prevent the proliferation of weapons of mass destruction. An additional $730,000 will go towards continuing the conversion of Ukraine's military-industrial complex to civilian production. These and similar projects will allow Ukraine to pursue its goal of eliminating all nuclear weapons delivery systems and their accompanying infrastructure.

Since the CTR program's inception and including these amendments, DoD has earmarked $172 million for threat reduction programs in Kazakhstan.

Savings realized in the project to eliminate strategic offensive arms in Kazakhstan will be applied in part to cover unanticipated costs in the installation of a government-to-government communications link. Up to $300,000 will be applied to logistics support for the previously purchased communications link. The communications link allows the United States to cooperate with the government of Kazakhstan in safeguarding against proliferation of weapons of mass destruction and related equipment from Kazakhstan.

For threat reduction programs with the Russian Federation, DoD has earmarked $1.1 billion since the CTR program's inception and including these recent amendments. DoD is adding up to $79.9 million to the program of cooperation in the elimination of strategic offensive arms. These funds will be used to continue the work involved in eliminating and safely disposing of a variety of nuclear weapons delivery systems, including ICBMs and SLBMS.

Up to $7 million has been added for the procurement of fissile material containers and related services for use at the fissile material storage facility, currently under construction in a joint CTR project, in Mayak, Russia. Upon completion, the Mayak facility will be able to safely and securely store 25,000 fissile material containers.

DoD is adding up to $41 million to continue the modification of the Seversk and Zheleznogrosk plutonium production reactors. These reactors currently produce up to 1.5 metric tons of weapons-grade plutonium per year while providing much needed energy to local residents and industry. The core conversion project seeks to maintain the energy production capacity of the facilities while ceasing the production of weapons of grade plutonium.

Private sector companies such as American firms Lockheed Martin, Thiokol, and Allied Signal; and Russian firms Tenzorv, Energomachexport, Diamond K Technology, and East Urals Construction Co., have been active in completing this important work.

The additional funding for FY 1998 represents DoD's continued commitment to the goals of reducing nuclear proliferation, ensuring a stable international environment, and deepening strategic relations in the region.