NuScale ConfidentialNuScale Confidential© 2015 NuScale Power LLC

1TM

© 2015 NuScale Power, LLC

TM

South Australia

Nuclear Fuel Cycle Royal Commission

Mike McGough

Chief Commercial Officer

Adelaide, South Australia

November 5th, 2015

NuScale Power

Small Modular Reactors

The Future of Nuclear Energy

A NuScale Power Module (NPM) includes the reactor vessel, steam generators, pressurizer and containment in an integral package that eliminates reactor coolant pumps and large bore piping (no LB-LOCA)

Each NPM is 50 MWe and factory built for easy transport and installation

Each NPM has its own skid-mounted steam turbine-generator and condenser

What is a NuScale Power Module?

Each NPM is installed below-grade in a seismically robust, steel-lined, concrete pool

NPMs can be incrementally added to match load growth - up to 12 NPMs for 600 MWe gross (~570 net) total output

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*Source: NRC

Size Comparison

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Coolant Flow Driven By Physics

Convection – energy from the nuclear reaction heats the primary reactor coolant causing it to rise by convection and natural buoyancy through the riser, much like a chimney effect

Conduction – heat is transferred through the walls of the tubes in the steam generator, heating the water (secondary coolant) inside them to turn it to steam. Primary water cools.

Gravity – colder (denser) primary coolant “falls” to bottom of reactor pressure vessel, cycle continues

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5

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Systems and Components Needed to Protect the Core: Reactor Pressure Vessel Containment Vessel Reactor Coolant System Decay Heat Removal System Emergency Core Cooling System Control Rod Drive System Containment Isolation System Ultimate Heat Sink Residual Heat Removal System Safety Injection System Refueling Water Storage Tank Condensate Storage Tank

Auxiliary Feedwater System Emergency Service Water System Hydrogen Recombiner or Ignition

System Containment Spray System Reactor Coolant Pumps Safety Related Electrical

Distribution Systems Alternative Off-site Power Emergency Diesel Generators Safety Related 1E Battery System Anticipated Transient without

Scram (ATWS) System

NuScale Safety Systems

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NuScale Announces Major Safety Breakthrough Wall Street Journal April 16, 2013

NuScale design has achieved the “Triple Crown” for nuclear plant safety. The plant can safely shut-down and self-cool, indefinitely, with:

No Operator Action

No AC or DC Power

No Additional Water

Safety valves align in their safest configuration on loss of all plant power.

Details of the Alternate System Fail-safe concept were presented to the NRC in December 2012.

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Reduced Core Damage Frequency

Source: NRC White Paper, D. Dube; basis for discussion at 2/18/09 public meeting on implementation of risk matrices for new nuclear reactors

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10-7

10-6

10-5

10-4

10-3

NRC Goal (new reactors)

Operating PWRs

Operating BWRs

New LWRs(active)

New PWRs(passive)

NuScale10-9

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More Barriers Between Fuel & Environment

Conventional Designs

1. Fuel Pellet and Cladding

2. Reactor Vessel

3. Containment

NuScale’s Additional Barriers

4. Water in Reactor Pool

5. Stainless Steel Lined Concrete Reactor Pool

6. Biological Shield Covers Each Reactor

7. Reactor Building

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Ground level

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Fuel Cladding

Reactor Vessel

Containment

Fuel Cladding

Reactor Vessel

Containment

Reactor Pool

Reactor Building

10 mi EPZ

NuScale Plant

Traditional PWR

• Passive Safety• Additional Fission Product Barriers• Significant Delay in Release of Fission Products

Site Boundary EPZ(depending on site characteristics)

NuScale Reactor Qualification Test Plan

NuScale Reactor Qualification Test Plan outlines Design Certification and First Of A Kind Engineering (FOAKE) projects for reactor safety code development, validation, reactor design and technology maturation to reduce First Of A Kind (FOAK) design risk.

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NuScale Integrated System Test (NIST) Facility

Full Length DHRS Condenser Test Section

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Reactor Pressure Vessel

• SS304 pressure vessel built in 4 sections: − heater shell− lower shell− SG coil− pressurizer

• Insulated

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Upper Module Mockup

OIW design figures

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UMM with ACRS Tour 7/22/15

Full-length Helical Coil Steam Generator successfully installed in the SIET facility

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Full-Scale Main Control Room Simulator

NRC Review of HFE Program and Site Visit 1/13

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Construction Cost Summary

Overall EPC Overnight Plant Costs($1,000,000)

Note: Delivered costs shown are in 2014 $’s.

$ 5,078 per kWe net

NuScale LCOE results of $98-$108/MWhr (2015 $’s)Key Assumptions:

– Financing is 55% debt (@5.5%) and 45% equity (@10.0%).

– Modeled as a 40 year project life, but the plant is designed for 60 years

– Excludes owner’s costs such as:– HR and management infrastructure, central office– COLA, permits, NRC and ITAAC inspections, and

legal fees– Switchyard– Owner's project development costs– Owner's engineering services (post-COLA)– Owner contingency

– Including an estimate of owners costs would add ~ $6/MWhr

NuScale Levelized Cost of Electricity Estimates (LCOE)

LCOE Breakdown

FOAK with Regulated Utility Financing (IOU)• 55% debt at 5.5%, 45% equity at 10%

FOAK with Municipal Financing • 100% debt at 3.5%, no equity

$ 108 USD $ 74 USD

Levelized Cost in 2015 US Dollars

Note: Capital costs reflect the Fluor SE estimate completed in 2014.

$52

$18

$24

$14

$-

$20.00

$40.00

$60.00

$80.00

$100.00

LCOE (USD)

Other

Decommissioning

Fuel and Fuel WasteCosts

Outage Costs

O&M

Taxes (Incl. PropertyTaxes)

Capital

$31

$26

$16

$-

$20.00

$40.00

$60.00

$80.00

$100.00

LCOE (USD)

Decommissioning

Fuel and Fuel WasteCosts

Outage Costs

O&M

Capital

Program WIN (Western Initiative for Nuclear)

• Western Initiative for Nuclear (WIN) is a multi-western state collaboration to deploy a series of NuScale Power Projects

• Involved Program

WIN participants: NuScale, UAMPS, Energy Northwest, ID, UT, OR, WA, WY, AZ, NM, MT?

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2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

Start COLA

Submit COLA

NRC Issue COL

Submit DCA

NRC Issue DC

Draft DSRS

Final DSRS

Module 12 COD

Start OperationalReadiness Program

Complete Operational Readiness Program

Module 1 COD

Operator Training Program Accreditation

Start Finalized Plant Design

Complete Final Plant Design

Reference Plant Design

ProjectDevelopment(see detail)

Operations

Deliver Module 12

Deliver Module 1

Start Module Fabrication

Order Modules

Overall UAMPS CFPP Project Schedule

Licensing

Construction and Fabrication

Design & Engineering

Site Selection

Site Use Agreements

Define Team Members and structure

Develop Business Model

Onboard Partners

Site Characterization

Site Prep & Mobilization

1st Fuel load

1st Safety Concrete Pour

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Disclaimer• “This material is based upon work supported by the Department of Energy

under Award Number DE-NE0000633.”• “This report was prepared as an account of work sponsored by an agency

of the United States (U.S.) Government. Neither the U.S. Government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its endorsement, recommendation, or favoring by the U.S. Government or any agency thereof. The views and opinions of authors expressed herein do not necessarily state or reflect those of the U.S. Government or any agency thereof.”

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The Element of Nu

Mike McGough

Chief Commercial Officer

MMcGough@nuscalepower.com

www.nuscalepower.com