INTELLIGENCE MONITORING OF NORTH KOREA'S IMPLEMENTATION OF THE US-DPRK AGREED F

Created: 6/4/1996

OCR scan of the original document, errors are possible

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Intelligence Report

Directorate of Intelligence

Intelligence Monitoring of North Korea's Implementation of the US-DPRK Agreed

thu memorandum was prepared by tnaly ttt throuthout ihc directorate of infblligence ami -a* coordlnMed wirkin ibe itaruicciwe community. thiionftly report (hat opamet policymaker* on (Uv^opmenB related to north kcna'i implementation ot the us-north korean nuclear agreement. information available atuneami inihw report- comment* quf-ci art "dciinif nnd may be ilirc.lm to

fcs se DATE:4

Implrmf nlation of Light-Witter Reactor (LWR) Agreement

The fifth KEDO survey learn visited the designated LWR site at Sinp'o fromprilay to evaluate infrastructurencluding harbor facilities, roads, and electric power supply, according to press. LedEDO technical adviser,member team included technicians from the Korean Electric Power Corporation, the designated prime contractor for the project.'

Negotiations on Privileges and Immunities. After six weeks of negotiations KEDO and North Korean representatives onay reached agreementrotocol on juridical issues, privileges and immunities, and consular protection. According to press, KEDO personnel will be entitled to diplomatic privileges and immunities in accordance with international law. The protocol provides, in part, that:

KEDO, its staff, and the representatives to KEDO of member countries

will hold diplomatic privileges and immunities similar to those granted international organizations and diplomats.

"KEDOncluding representatives and employees of the prim contractor and subcontractors, axe granted privileges and immunities identical to those granted KEDO staff with regard to property, assets, income, and activities. KEDO and North Korea will con*uk on the handling of cases where the North deems there has been an abuse of such privileges for an act not related to KEDO function!.

KEDO is empowered lo exercise consular protection functionsLWR project site, related locations such as seaports andtemporary or ad hoc locations used for meetings andassociated with the LWR project or emergencies.

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Negotiations on communications and transportation protocols. As ofay. North Korean negotiators continued to oppose the early csablishment of an independent satellitelink for KEDO.

The North proposed that KEDOystem two years aftercertificate is issued, assuming thr project was proceedingwould enable KEDO to

set up tne"Tien tner.crcic is potoatj during the plant construction phase. KEDO reportedly wznts to install the system six months after the site is certified, but is willing to link the startup date to the timing of physical construction work at the site. The North also agreed to grant KF.DO the use of cellular phones, but only if they are not connected to the satellite system.

Regarding transportation arrangements, the North Koreans agreedermit small cargo ships in addition to barges toautical mile-wide sea corridorautical miles offshore. KJHDO hasautical mile-wide corridor beginningautical miles offshore. The North also said it would agree to permit the transport of personnel via the high seas only when the LWR project requires it

The North agreed to permit cargo flights to fly non-stop from South Korea vis agreed lanes into North Korean air space via Japan and Russia. The North Koreans continued to insist that flights carrying KEDO or contract personnel woold be required to stop bi Niigata before proceeding on the existing Japan-North Korea air charter route.

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I or cover, the North statedKorean aire ran coma not ne trsea to transport personnel or materials untilair routes existed, the North remains adamandy opposed to opening

No progress was made in resolving differences over the use of flags and markings on ships and aircraft traveling to Norm Korean harbors and airports in support ot the |

US-North Korean Liaison Offices

There were no devdppmenis during the reporting period regarding the exchange of liaison offices. i

North-South Dialogue: Slow Circling

isit to Washington in early May. Yi Chong-hyok, Vice ChairmanKorea'sfic Peacewas "not

impossible' for Pyongyang to meet Seoul's conditions thai further food talks be

conducted between Government representatives and that the meetings take place on die Korean Peninsula. Yi said, however, that the arrangements would have to be worked out quietly in advance.

Yi also claimed that South Korean statements conditioningaid on the North's acceptance of the joint US-Southfor four-party peace talks had created "great anger"North Korean military and others.

North Korean media attacks against the Kim Yong-sam government continued during the reporting period. P'yongyang condemned joint US-South Korean air exercisesay as practice tor "surprise preemptive strikes" against North Korean targets. Media commentaries directed at the domestic North Korean audience rejected Kim Yong-sam's call for the resumption ol" North-Scuth dialogue ashe commentators accused Kim of blocking dialogue and 'trampling down" die North-South Agreement2 and the Joint Declaration on Denuclearization, and of trying to frustrate US-North Korean talks and the implementation of rhe Agreed Framework.

Beginning in late Apnl. Seoul began taking limited steps to lift resolutions on private North-South economic cooperation, non-official aid, and private travel,

onpril announced approval of three pending economic projectsotal investment in North Koreaillion, the

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leetsonvnanicabont center ar (he NajuvSonbong cial Economicineral water plant, and an electric appliance assembly facility.

A representative of the quasi-official Korea Overseas Trade and Investment OrganizationTRA) in late April also held private talks in Singapore with North Korean economic officials, according to press.

The Korean Red Cross onay deliverediters of cooking oi) to the North through the International Federation of the Red Cross and Red Crescent.

The government began lo quietly lift the ban on visits to Nor* Korea by religious groups and other non-governmentalstillouth Korean academic delegation from participating with North Korean officialsymposiumS university.

Seo'-it also announced it was moving forward with plans topeace city" in the DMZ that would serveenter lor Norih-Scuth exchange* of personnel and materials "pending national |

In spite of such gestures, senior South Korean officials involved in unification matters remained opposed to providing additional food aid unless Pyongyang agrees to participate in four-party peace talks or to resume the official North-South dialogue,

Yong-sam's fear ot criticism trom trie conservative "InamllWthe preoilection to modulate the government's

Korean policy for domestic political advantage were frustrating the desire of many South Koreansore flexible approach and the delinking of humanitarian assistance from inter-Korean politics.

Implc mentation of the North-South Denuclearization Declaration (NSDD)

No new developments to report.

Original document.

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