VZCZCXYZ0003
RR RUEHWEB

DE RUEHNE #0622/01 0390706
ZNR UUUUU ZZH
R 080706Z FEB 07
FM AMEMBASSY NEW DELHI
TO RUCPDOC/USDOC WASHDC
RUEAHLC/HQ ICE IAO WASHINGTON DC
INFO RUEHC/SECSTATE WASHDC 2782

UNCLAS NEW DELHI 000622 
 
SIPDIS 
 
SIPDIS 
 
USDOC FOR 532/OEA/M. NICKSON-D/JAY HATFIELD 
USDOC FOR 3131/USFCS/OIO/ANESA/KREISSL 
USDOC FOR 4530/MAC/ANESA/OSA 
ICE HQ FOR STRATEGIC INVESTIGATIONS 
STATE FOR EB/ESP 
 
E.O. 12958: N/A 
TAGS: ETTC ETRD BEXP IN
SUBJECT: EXTRANCHECK: POST-SHIPMENT VERIFICATION: NATIONAL 
GEOPHYSICAL RESEARCH INSTITTUTE, HYDERABAD, LICENSE NO. D351494 
 
REF: (A) JAY HATFIELD EMAIL OF 01/10/2007 
 
(B) NEW DELHI 08209  (C) USDOC 06362 
 
¶1. Unauthorized disclosure of the information provided below is 
prohibited by Section 12(c) of the Export Administration Act. 
 
¶2. BIS requested a PSV at National Geophysical Research Institute 
(NGRI), a GOI entity under the Ministry of Science & Technology, 
Website: www.ngri.org.in.  NGRI was listed as the Ultimate Consignee 
for one Geotomographie borehole hydrophone controlled under ECCN 
6A001.  The license applicant was Geometrics Inc. (Geometrics), San 
Jose, CA. BIS New Delhi initially received the PSV request on August 
8, 2006 and as per End-Use Visit Agreement (EUVA) contacted MEA on 
August 11, 2006 for facilitating the PSV meeting.  On August 23, 
2006, MEA advised BIS New Delhi that the full shipment had not yet 
been received by NGRI.  According to MEA, the partial shipment that 
was received was not able to be inspected at that time, due to an 
agreement between the supplier's representative, Electrotek 
International Inc., Geo Division, Chennai (Electrotek); that 
agreement was in effect to avoid confusion relating to what products 
had been delivered and which were still awaiting delivery.  NGRI 
further stated to MEA at that time that NGRI expected the 
installation and commissioning of the system to be done by 
Geotomographie, Germany, during the month of September 2006, after 
the full shipment arrived. 
 
¶3. Acting Export Control Officer (ECO) David Nardella and BIS FSN 
Prem Narayan conducted a Post-shipment Verification (PSV) at NGRI, 
Hyderabad, on January 19, 2007. 
 
¶4. ECO along with FSN Narayan met with M.S.N. Murthy (Murthy), 
Controller of Administration and T. Seshunarayana (Seshunarayana), 
Scienntist 'F' and Deputy Director, NGRI.  Prashant Agrawal 
(Agrawal), Under Secretary (AMS), Americas Division, GOI Ministry of 
External Affairs (MEA), facilitated the meeting.  Agrawal was also 
present at the meeting. 
 
¶5. Murthy explained that the full shipment was received by NGRI in 
late December.  It was jointly installed, commissioned and tested in 
January 2007 by Geotomographie and Eletrotek.  In the first week of 
January 2007, MEA advised BIS New Delhi that NGRI had informed them 
that the equipment is operational and that the NGRI team is now 
ready for the verification.  BIS New Delhi sought permission from 
the BIS headquarters and permission was granted per ref (A) to 
conduct the PSV at NGRI. Begin Note: Since MEA could not schedule a 
PSV meeting within the timeframe prescribed in EUVA, in fact, it 
past the deadline by 89 days, an unfavorable PSV report was 
submitted by the then ECO Rufe per reftel (B). End Note. 
 
¶6. NGRI officials were aware of the BIS regulations.  They have been 
party to previous BIS export licenses.  Murthy stated that NGRI 
dealt with Eletrotek for this transaction.  Prior to shipment, 
Electrotek provided the BIS export license conditions to NGRI. 
Murthy provided a copy of NGRI Purchase Order, Form BIS-711, 
Geometrics Packing List, NGRI Receipt Voucher and Electrotek email 
requesting NGRI for acknowledgement and acceptance of the export 
license conditions. 
 
¶7. Murthy stated that as of the PSV date NGRI has not received any 
assignment for the equipment since it became operational only in the 
first week of January 2007.  He confirmed the stated end-use.  They 
have tested the equipment at two boreholes within the NGRI premises. 
 The boreholes are located at a five meters distance of each other 
and the depth is 100 meters.  He stated that the equipment would be 
used for research and development for coal exploration and mining. 
He further elaborated that the equipment will be used for R&D 
purpose to decipher the nature and extent of geological formations 
in boreholes with special emphasis in coal/lignite related 
structural features.  He stated that the equipment and software 
provided with it are also suitable to decipher the nature and extent 
of the geological formation in Indian coalfields. 
 
¶8. The hydrophone will be used at Jharia coalfields at Dhanbad, 
Singareni collieries at Kothagudem and also other mining related 
aspects.  In addition, it will be used to decipher other 
mineral/structural details in Indian geological formations. The 
equipment will also be used for the disaster prevention and 
management in old mines by identifying thickness of the barriers and 
water-bodies.  The funds for purchasing the equipment were 
sanctioned by the GOI's Council of Scientific and Industrial 
Research (CSIR), Ministry of Science and Technology under CSIR 
Network Project No. COR - 0019.  The title of the project is 
"Development of Comprehensive Technology for Disaster Prevention and 
Management in Jharia Coal Field, Dhanbad". 
 
¶9. After the meeting, ECO and FSN Narayan were given a tour of the 
two boreholes and the lockable shed where the equipment is stored. 
ECO and FSN Narayan saw the equipment and noted part and serial 
numbers of the unit and its accessories.  The NGRI building is 
guarded 24 hours a day. 
 
¶10. Established in 1961, NGRI is one of 38 laboratories of CSIR. 
NGRI is the premier geo-scientific institute engaged in carrying out 
various research and development activities including exploration of 
hydrocarbons, mineral exploration and engineering geophysics, 
exploration, assessment and management of groundwater resources, 
earthquake hazard assessment, lithosphere, earth's interior and 
paleo-environment, geo-environmental, geotechnical and 
geo-engineering studies and geophysical instrumentation.  NGRI 
employs 700 personnel including 180 scientific staff. 
 
¶11. Recommendation: Post recommends the National Geophysical 
Research Institute as a reliable recipient of the controlled 
U.S.-origin commodities.  All indications are that the listed 
commodities are being used in accordance with U.S. Export 
Administration Regulations. (DNARDELLA/PNARAYAN) Mulford