II 

116TH CONGRESS 

1ST SESSION S. 2338 

To prohibit the Export-Import Bank of the United States from financing 

the export of nuclear technology, equipment, fuel, materials, or other 

goods or services to Saudi Arabia, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JULY 30, 2019 

Mr. VAN HOLLEN (for himself, Mr. GRAHAM, Mr. MORAN, and Mr. 

MERKLEY) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs 

A BILL 

To prohibit the Export-Import Bank of the United States 

from financing the export of nuclear technology, equipment, fuel, materials, or other goods or services to Saudi 

Arabia, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Preventing Nuclear 

5 Proliferation in Saudi Arabia Act of 2019’’. 


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1 SEC. 2. PROHIBITION ON EXPORT-IMPORT BANK FINANC2 ING FOR EXPORT OF NUCLEAR TECHNOLOGY, 

3 EQUIPMENT, FUEL, MATERIALS, OR OTHER 

4 GOODS OR SERVICES TO SAUDI ARABIA. 

5 (a) FINDINGS.—Congress makes the following find6 ings: 

7 (1) The Export-Import Bank of the United 

8 States identifies global nuclear power as a key and 

9 growing industry in which the Bank has played an 

10 important role by financing the export of United 

11 States nuclear equipment, fuel, technology, and serv12 ices to foreign purchasers. 

13 (2) In September 2012, the Export-Import 

14 Bank authorized a $2,000,000,000 direct loan to the 

15 Barakah One Company of the United Arab Emirates 

16 to finance the export of United States equipment 

17 and service-expertise for the construction of a nu18 clear power plant in the United Arab Emirates, the 

19 first of its kind on the Arabian Peninsula. 

20 (3) The transaction to finance the construction 

21 of the Barakah nuclear power plant was enabled by 

22 the establishment of a bilateral nuclear cooperation 

23 agreement between the United States and the 

24 United Arab Emirates made pursuant to section 123 

25 of the Atomic Energy Act of 1954 (42 U.S.C. 

26 2153), in which the United Arab Emirates comVerDate Sep 11 2014 23:31 Aug 06, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S2338.IS S2338

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1 mitted to forgo uranium enrichment and reprocess2 ing on its territory and was obligated to bring into 

3 force an Additional Protocol to its Comprehensive 

4 Safeguards Agreement with the International Atom5 ic Energy Agency. 

6 (4) The nuclear cooperation agreement, which 

7 was signed on May 21, 2009, became known as the 

8 first ‘‘gold standard’’ civil nuclear agreement and 

9 was viewed as a step toward building a strong non10 proliferation framework in the region. 

11 (5) In accordance with that agreement, the 

12 United Arab Emirates reserves the right to amend 

13 its terms in the event the United States establishes 

14 a peaceful nuclear cooperation agreement with an15 other non-nuclear-weapon state in the Middle East 

16 that is less prescriptive in scope and effect than its 

17 agreement with the United States. 

18 (6) The Government of Saudi Arabia intends to 

19 develop an extensive civilian nuclear program, in20 cluding the construction of 2 nuclear power reactors 

21 and multiple small modular reactors. 

22 (7) For the construction of its first 2 nuclear 

23 power reactors, the Government of Saudi Arabia 

24 plans to issue a multi-billion dollar tender in 2020, 


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1 and among the potential suppliers is the United 

2 States. 

3 (8) The Government of Saudi Arabia currently 

4 has in place a Small Quantities Protocol to its Com5 prehensive Safeguards Agreement with the Inter6 national Atomic Energy Agency, an agreement that 

7 suspends the application of a number of safeguards 

8 requirements for a country with minimal nuclear 

9 material activities on its territory or under its juris10 diction. 

11 (9) Despite its plans to develop an extensive ci12 vilian nuclear program and interest in the United 

13 States as a supplier of nuclear technology and exper14 tise, the Government of Saudi Arabia has dem15 onstrated little willingness to accept strong non16 proliferation measures, such as an Additional Pro17 tocol to its Comprehensive Safeguards Agreement 

18 with the International Atomic Energy Agency, and 

19 has even expressed a desire for acquiring uranium 

20 enrichment technology. 

21 (10) Fully functional with a quorum and if re22 authorized beyond September 30, 2019, when its 

23 current charter lapses, the Export-Import Bank will 

24 regain its ability to finance United States nuclear 


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1 exports by extending loans and credit to foreign pur2 chasers. 

3 (b) SENSE OF CONGRESS.—It is the sense of Con4 gress that— 

5 (1) any provision of financing assistance by the 

6 Export-Import Bank of the United States to Saudi 

7 Arabia for the import of United States nuclear tech8 nology, equipment, fuel, materials, or goods or serv9 ices should be conditioned on the commitment of the 

10 Government of Saudi Arabia to renounce uranium 

11 enrichment and reprocessing on its territory and its 

12 adoption and implementation of an Additional Pro13 tocol to its Comprehensive Safeguards Agreement 

14 with the International Atomic Energy Agency as a 

15 way to advance United States nonproliferation and 

16 nuclear cooperation objectives in the region; and 

17 (2) to further bolster nonproliferation efforts in 

18 the region, the United States should oppose, through 

19 the Nuclear Suppliers Group, the export of nuclear 

20 technology to Saudi Arabia until the Government of 

21 Saudi Arabia has— 

22 (A) committed to renouncing uranium en23 richment and reprocessing on its territory; and 

24 (B) signed and implemented an Additional 

25 Protocol to its Comprehensive Safeguards 


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1 Agreement with the International Atomic En2 ergy Agency. 

3 (c) PROHIBITION.—The Export-Import Bank of the 

4 United States may not guarantee, insure, or extend (or 

5 participate in the extension of) credit in connection with 

6 the export of nuclear technology, equipment, fuel, mate7 rials, or other goods or services to Saudi Arabia unless— 

8 (1) the Government of Saudi Arabia— 

9 (A) has in effect a nuclear cooperation 

10 agreement pursuant to section 123 of the 

11 Atomic Energy Act of 1954 (42 U.S.C. 2153); 

12 (B) has signed and implemented an Addi13 tional Protocol to its Comprehensive Safeguards 

14 Agreement with the International Atomic En15 ergy Agency; and 

16 (C) has committed not to possess sensitive 

17 nuclear facilities within its territory or other18 wise to engage in activities relating to the en19 richment or reprocessing of nuclear material; 

20 and 

21 (2) not less than 30 days before the Board of 

22 Directors of the Bank provides final approval to the 

23 guarantee, insurance, or extension (or participation 

24 in the extension) of credit, the Bank, in coordination 

25 with the Secretary of State and the Chairman of the 


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1 Nuclear Regulatory Commission, submits to the ap2 propriate congressional committees a report that in3 cludes— 

4 (A) a detailed description of, and an expla5 nation for providing the guarantee, insurance, 

6 or extension (or participation in the extension) 

7 of credit for, the transaction; 

8 (B) a description of the nuclear tech9 nology, equipment, fuel, materials, or other 

10 goods or services that will be exported to Saudi 

11 Arabia; 

12 (C) the name, address, and place of incor13 poration or other legal organization of the im14 mediate parent, the ultimate parent, and each 

15 immediate parent, if any, of the foreign entities 

16 that are parties to the transaction; 

17 (D) the name of all United States busi18 nesses that are parties to the transaction; and 

19 (E) the name of any and all other financial 

20 institutions involved in the transaction, includ21 ing as advisors, underwriters, or a source of fi22 nancing for the transaction. 

23 (d) TREATMENT OF CONFIDENTIAL INFORMATION.— 

24 If the Export-Import Bank of the United States deter25 mines that any information required to be included in the 


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1 report under subsection (c)(2) should be made confiden2 tial, that information may be submitted in a separate and 

3 confidential report to the chairmen and ranking members 

4 of the appropriate congressional committees. 

5 (e) DEFINITIONS.—In this section: 

6 (1) APPROPRIATE CONGRESSIONAL COMMIT7 TEES.—The term ‘‘appropriate congressional com8 mittees’’ means— 

9 (A) the Committee on Banking, Housing, 

10 and Urban Affairs and the Committee on For11 eign Relations of Senate; and 

12 (B) the Committee on Financial Services 

13 and the Committee on Foreign Affairs of the 

14 House of Representatives. 

15 (2) SENSITIVE NUCLEAR FACILITY.—The term 

16 ‘‘sensitive nuclear facility’’ means any facility de17 signed or used primarily for uranium enrichment, re18 processing of nuclear fuel, heavy water production, 

19 or fabrication of nuclear fuel containing plutonium. 

Æ 


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