High Bridge Energy Development, LLC (HBED) Small Reactor Program January 2014
Currently Supporting Utility Licensee/Owner New Nuclear Planning, Scheduling, estimating,organizing, & Project Deployment Programs Various OEM/EPC New Nuclear Consortiums & Large Light Water Reactor (LLWR) Technologies: Areva/Bechtel EPR GE Hitachi/URS ESBWR Mitsubishi/URS APWR Toshiba/CB&I ABWR High Bridge - ew uclear Build Projects Westinghouse/CB&I AP1000 Various Small Modular Reactor (SMR) Technologies Supporting International Atomic Energy Agency (IAEA) Subject Matter Expert consulting for Project Management & Business Systems Integration for IAEA member nation training & development 2
SMR Development Model Studied market needs and small reactor/micro grid technologies Best fit solution for <100MWe applications Not a replacement option for base load coal, CCTG, or LLWR Created a SMR integrated development model HBED has a business vs. technology focus We focus on the business case model for SMR deployment Offering this private financing approach See more opportunity in advanced reactors with mature designs Developed relationships with SMR designers, fuel suppliers, EPC firms, nuclear fleet O&M firms, and customers We recognize small reactor project developers, integrators and licensees are essential to SMR project deployment 3
Project Framework Private Investors HBED Parent Environment/Nuclear Regulator Site Construction and Operating Licenses [Steam Offtaker] Sales Agreement Fuel Supplier(s) Fuel Supply Agreement Onsite or Remote Power Offtaker Sales Agreement NSSS SMR design Equipment Supply Agreement Technology Support Agreement High Bridge Energy Dev. Project Project Site Host Host Site Agreement Constructor EPC Agreement Services Agreement Wholesale Power Offtaker Sales Agreement Power Grid Operator Sales Agreement Interconnection Agreement Wheeling Agreement Lenders Loan Agreement Operator O&M Agreement 4 4
Small- and Medium-Sized Reactors Reactors MWe 12 module NuScale 300 MW GE PRISM Large Reactors 200 MW Westinghouse SMR Holtec SMR- 160 B&W mpower Medium Sized Reactors 700 MW 100 MW SMART Toshiba 4S Small Reactors 300 MW RADIX CAREM & GEN4 5
Advanced SMR Fundamentals Assumptions SMR customers want a solution do not want to get into the energy generation business do not want to own or operate SMRs Certain facilities need to be capable off-the-grid Technology Natural Gas is not an off-the-grid option SMRs are compact, robust technology Mature Small Modular Reactor types are being proposed by industry Many SMRs are too large for customers process needs Nuclear reactors are not economical load following devices Need A SMR technology that meets customer needs with a viable business case A delivery team that can design, license, construct and operate the SMR Mechanisms to facilitate and attract interested parties 6
Where is the money? Lets look at a generic 100 MWe SMR Assume $ 8000/kw Total Project Cost = $800 million which includes licensing, EPC and Owners costs 7% for development 12% for criteria engineering & licensing 15% for owners cost 66% for detailed Engineering Procurement and Construction 7
SMR Business Case Criterion To become an option SMR s need to do more! They need to : To be small Really - <100 MWe Generally not be in a market serviced by natural gas Offer products or services beyond basic electricity or heat Fuel cycle benefits Ancillary services Additional Products liquid fuel or water Provide dense energy production or the facility is huge and expensive Commercially viable from the FOAK Advanced reactors offer more possibilities! 8
Philip Moor Experience Summary Commercial uclear Power Owner, EPC, Development & Consulting for 38 Years Nuclear utility/licensee owners 18 years (GPU Nuclear & Jersey Central Power) EPC firms 7 years (Burns & Roe and Tetra Tech) Consulting/Developer firms 13 years (High Bridge, ABB Equity, General Physics, British Oxygen) Chairman of the American Nuclear Society (ANS) Committee on Small Modular Reactor (SMR) Licensing Issues comprised of representatives from SMR designers, developers, academia, industry, & government who are working to develop consensus on issues challenging the deployment of SMR technology. He is a frequent speaker at SMR & other nuclear technical conferences. High Bridge Associates, Inc. (HBA): Vice President, & Executive Consultant (2009 Present) Recognized nuclear industry supplier of project management consulting & support services assisting utility owners, engineer/constructors, & original equipment manufacturers. Revenue 2008 through 2011 averaged $50M per year & staffing level averaged 200 consultants/specialists, supporting owners/licensees (70%), engineer/constructors (20%), & original equipment manufacturers (10%). High Bridge Energy Development, LLC (HBED) As CEO for group structured to develop, integrate, own, license, and operate SMR plants., he leads the High Bridge SMR business model initiative to develop a reactor technology neutral approach to supply loads in the 10 MWE to 100 MWE range. He has assembled Project Deployment Teams comprised of nuclear industry leading firms for the EPC, reactor OEM, & plant operator roles. Tetra Tech (2007-2009) and Burns & Roe (2003 2007) As Tetra Tech Vice President of Commercial Nuclear Programs, he managed consulting services to AE s, reactor manufacturers, EPC firms, & specialists in the energy industry. He developed business cases & investor presentations for small reactor clients. As Burns & Roe Director of Project Development, he was responsible for new, existing,and small reactor projects. He provided business cases for numerous reactor projects & was Project Manager for the Toshiba 4S liquid metal Small Reactor Program for Galena Alaska. He developed solutions for commercial, quality, and technical issues for various nuclear NSSS suppliers. ABB Equity Ventures (1998 2002) As Project Director & Leader of Special Purpose Companies (SPC), he managed corporate governance, project development, economic evaluation, financing, marketing, & contract negotiation activities. He successfully developed $1billion 1500 MW gas fired facility in northern Illinois, & negotiated power purchase agreements, equipment contracts, & permits. He led development of coal, gas turbine, and wind turbine projects in Western US. GPU uclear (1985-1996) As Project Director, was responsible for company-wide nuclear plant modifications, budgets, and decommissioning program. Directed activities of 35 project management professionals at three locations with annual capital budgets of $50 million. Developed a technical services group that applied technical & management lessons learned from the Three Mile Island (TMI) Nuclear Unit #2 accident decontamination effort. This included Unit #1 planning/modifications for restart compliance with NRC Post-TMI #2 regulations. Education, Licenses, & Certifications Professional Engineer License, State of New Jersey M.S., Engineering Management, New Jersey Institute of Technology B.S., Mechanical Engineering, Fairleigh Dickinson University 9