VZCZCXRO9327
OO RUEHBC RUEHDIR RUEHKUK
DE RUEHDE #0442/01 3301526
ZNY SSSSS ZZH
O P 251526Z NOV 08
FM AMCONSUL DUBAI
TO RUEHC/SECSTATE WASHDC IMMEDIATE 6284
INFO RHMFISS/DEPT OF ENERGY WASHINGTON DC
RUEHAD/AMEMBASSY ABU DHABI PRIORITY 3310
RUEHDE/AMCONSUL DUBAI PRIORITY 9501
RUEHZM/GULF COOPERATION COUNCIL COLLECTIVE
RUCNIRA/IRAN COLLECTIVE

S E C R E T SECTION 01 OF 02 DUBAI 000442 
 
NEA/ARP FOR BMASILKO; ISN FOR PMCNERNEY; DOE FOR WTOBEY; SIPDIS 
 
E.O. 12958: DECL:  11/19/2018 
TAGS: PREL IR ENRG ETTC ECON KNNP KCEM KOMC AE
SUBJECT: AA/S MCNERNEY'S MEETINGS WITH MAJOR GENERAL MOHAMMED AL 
QEMZI AND MINISTER OF STATE REEM AL HASHIMY 
 
DUBAI 00000442  001.2 OF 002 
 
 
CLASSIFIED BY: Paul Sutphin, U.S. Consul General Dubai, Exec, 
Department of State. 
REASON: 1.4 (b), (d) 
 
 _____ 
 
 
 
¶1. (S) Summary: On October 16, Acting Assistant Secretary of 
State for International Security and Nonproliferation Patricia 
McNerney visited Dubai to discuss export control issues related 
to Iran with government officials and the private sector (see 
septel for other meetings).   McNerney met with Major General 
Mohammed Al Qemzi, Chairman of the UAE Counterproliferation Task 
Force and Director of Dubai's General Department of State 
Security; their discussion touched on the upcoming 
Counterproliferation Task Force (CTF) meeting in December, and 
reviewed progress on counterproliferation cooperation, the 
disposition of seized equipment, and enforcement of the UAE's 
recently passed export control law.  McNerney also met with 
Minister of State Reem Al Hashimy and touched on a variety of 
issues including nuclear energy security and Iran.  End Summary. 
 
¶2. (S) McNerney, accompanied by Department of Energy's National 
Nuclear Security Administration Deputy Administrator Will Tobey 
and the Consul General, met with Major General Al Qemzi and 
several of his staff officers.   The meeting touched on the 
upcoming CTF, with both sides agreeing to work on an agenda that 
met the concerns of both sides.  The discussion turned to the 
disposition of controlled items bound for Iran seized by the UAE 
government over the past several years in coordination or at the 
behest of the USG.  McNerney noted to Al Qemzi the USG may be 
able to provide funding for the removal of goods languishing in 
Jebel Ali Port.  She also discussed the possibility of either 
the USG taking and redistributing the equipment or auctioning 
it.  Al Qemzi thought this would be a positive step and 
requested additional information. 
 
¶3. (S) Al Qemzi noted the 2007 passage of the export control law 
as a major step forward in the UAE's efforts to secure its 
borders and prevent movement of sensitive materials to Iran.  He 
admitted, however, that significant work remains to be done to 
effectively enforce it.   Nonetheless, there are positive steps 
forward.  Al Qemzi described, for example, a computer system 
currently utilized by Dubai Customs in which alarms are set off 
by key words (NFI).  This system successfully identified five 
shipments of interest during September 2008.  These shipments 
included titanium sheets, equipment used to freeze chemicals, 
and valves. 
 
¶4. (S) McNerney pressed Al Qemzi to publish the names of 
companies against whom the UAE has taken action for export 
control violations.  Clearly reflecting UAEG policy, Al Qemzi 
expressed his preference for not publicizing these names as this 
sort of publicity could impact negatively on Dubai's economy, of 
which trade with Iran is a significant component.  He emphasized 
that the focus should be on enforcing UN sanctions and that as 
long as the UAE prevents sensitive materials from reaching Iran, 
publicizing the names of these companies is unnecessary.  With 
regard to the Mayrow case, Al Qemzi denied recent press reports 
(note: presumably the recent story in the UK's "Daily 
Telegraph") that Mayrow continues to operate in the UAE.   He 
said the UAE continues to monitor individuals associated with 
Mayrow, but confirmed that the company itself remains closed. 
Despite Al Qemzi's preference for quiet actions, he expressed 
some concern that the UAE's cooperation with the U.S. on export 
control issues has not been sufficiently acknowledged. 
 
¶5. (S) McNerney also met with Minister of State Reem Al Hashimy 
and touched on a variety of issues including the UAE's 
contribution to the Nuclear Threat Initiative (NTI) Fuel Bank, 
nuclear energy, and Iran.  Again, McNerney pressed for the UAE 
to publicize the names of companies that the UAE has taken 
actions against for violations of their export control law.  Al 
Hashimy noted the UAE's preference for discretion in these 
matters.  McNerney further noted that the letter Yousef 
Al-Otaiba had sent to UAE industry about U.S.-UAE cooperation in 
this area had been very helpful. McNerney thanked Al Hashimy for 
UAE's $10 million commitment to the NTI/IAEA Fuel Bank and for 
the UAE's leadership in showing the region the importance of 
pursuing nuclear power safely by securing international fuel 
sources. 
 
¶6.  (S) Turning to civil nuclear cooperation, McNerney solicited 
Al Hashimy's views.  Al Hashimy noted that while at first she 
could not understand why the UAE would need nuclear energy, she 
noted that in order to keep up with development the UAE would 
need to find additional energy sources,  Al Hashimy commented 
that the UAE is showing a transparent way of obtaining nuclear 
 
DUBAI 00000442  002.2 OF 002 
 
 
energy.  McNerney suggested that the UAE could play a pioneering 
role in the development of a regional energy grid. 
 
¶7. (S)  McNerney and Al Hashimy's discussion transitioned to the 
UAE's relationship with Iran.  Regarding proliferation finance, 
McNerney suggested that the UAE should take more aggressive 
action against Iranian banking in the UAE.  While Al Hashimy 
cautioned that the UAE needed the cover of United Nations 
Security Council Resolutions, McNerney noted that the UAE should 
read the UNSCRs more broadly. McNerney suggested that in the 
area of additional UN sanctions on Iran, progress is slow and 
Iran is trying to wait out this administration.  Al Hashimy 
noted that the UAE approaches the topic of Iran with a measure 
of caution as there needs to be a balance.  On one hand, Iran is 
a major trading partner, so it is not in the UAE's interest to 
jeopardize this relationship.  In addition, the UAE is neighbors 
with Iran and Dubai is also home to many Iranians.  On the other 
hand, a nuclear-armed Iran is a cause for concern for the UAE. 
Al Hashimy emphasized that the UAE supports the UN resolutions, 
but that the UAE cannot stick its head out on it. 
SUTPHIN