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ATOMIC ENERGY


to provide an alternate source of uranium ore in Maddition to the Bel-
gian Congo needs no amplification.
  2. The various recent disturbing disclosures related to the atomic:
energy field and the uncerttainties of the future are compelling reasons
for making positive that the results achieved through negotiations
with the South Africans are precisely tailored to meet U.S. needs.,
Accordingly, I 'am suggesting below certain policy guidance for U.S.
negotiators which, from a national defense point of view, appear
logical, sound and reasonable.
  a. Negotiations with the South Africans -o take place in an atmos-
phere of a straight business transaction between the U.S. and the
Union of South Africa only.
  b. Due considera'tion be given to the capital investments of the
U.S. in this project and to U.,S. funds expended in research and devel-
opment with the, end in view that third countries will not unduly
profit by such U.S. expenditures. Some relationship should exist be-
tween the price of ore charged to third countries and the U.S. invest-
ments which rendered a proffer of such ore feasible.
  c. No inherent right exists for third country participation in ques-
tions relating to allocation of ore.
  d. The Belgian agreement is separate and distinct, and in-no way
acts as a precedent for these negotiations.
  e. Ore will be stockpiled in the U.S.,
  3. I am forwarding a copy of this memorandum to the Acting&amp;
Chairman, Atomic Energy Commission, for his information.
                                                   Louis JOHNSON

950.7138/3-1650: Telegram
    The Charge' in Norway (Villard) to the Secretary of State

TOP SECRET                           OSLO, March 16, 1950-4 p. m.
  236. For Arneson. Randers     informs me following return from
Paris that unofficial and informal discussions have taken place for
Union of Western European countries interested in atomic energy
development. Project apparently originated in Amsterdam last De-
cember at :inauguration of Dutch cyclotron and conversations so far
involve- Norwegians, Dutch and French, Randers also mentioned
Switzerland, Portugal and Sweden as potential members of group
which would be formed mainly for purpose of exchanging raw ma-
terials and technical skill. Subject will now be referred to government.
officials for study and approval and formal Norwegian position will
probably be determined in next few weeks.

  Dr. Gunnar Randers, Director of the Norwegian Institute for Atomic Energy
Studies.


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