NGNP Industry Alliance and HTGR DeploymentDr. Finis SouthworthDr. Finis SouthworthChief Technology Officer

Presented to Community Advisory CouncilMay 3, 2012

©AREVA 2012

Topics

AREVA Overview

Nuclear Power Outlook

AREVA Reactors

HTGR

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Our Mission & VisionSpecializing in CO2-Free Energy Technologies

Our Mission:

To be the leader in safe, cost-effective clean energy technology solutions

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Our Vision :

To be number one in safety, quality, performance and delivery by being the best in everything we do.

What we doNuclear energy

� Uranium exploration, mining and concentration� Uranium conversion and enrichment� Nuclear fuel design and fabrication� Design and construction of nuclear reactors� Supply of products and services for nuclear power pl ant maintenance, upgrades

and operations� Recycling of used nuclear fuel� Project management and support for work in a radioactive environment

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� Project management and support for work in a radioactive environment� Nuclear site value development� Nuclear logistics

Renewable energies� Design and manufacture of high-capacity offshore win d turbines� Turnkey construction of bioenergy power plants� Concentrating solar power solutions for power genera tion and industrial steam

production� Development of solutions to produce hydrogen by wate r electrolysis and

electricity with fuel cells

AREVA in the United States FactsheetMore than 4,500 employees at 34 locations across the United States

No. 1 supplier of nuclear energy products and services in the U.S.� Over 40 years of providing energy solutions, jobs an d economic

support to local communities across the United States

AREVA is investing now in the future of the U.S. Nuclear Industry

Community Advisory Council, Lynchburg, Virginia Copyright May 2012 6

Industry� U.S. infrastructure investments and improvements

• AREVA Reactors and Services in Virginia• AREVA Fuel Fabrication in Washington State• AREVA Engineering in North Carolina• AREVA Eagle Rock Enrichment Facility in Idaho• AREVA CANBERRA in Connecticut and Tennessee• AREVA TRANSNUCLEAR in Maryland

� NNSA MOX Fuel Fabrication Facility in South Carolina

� Bellefonte Nuclear Plant Unit 1 in Alabama

(cont’d)

Full supply chain involving thousands of manufacturers and suppliers� o Building a network of specialized nuclear-qualified suppliers that

support AREVA projects in the United States and around the world• § Process of identifying and certifying new partner companies to supply, service

and build clean energy facilities.• § AREVA Supplier Days held in Maryland, Ohio, Idaho and Missouri

AREVA in the United States Factsheet

Community Advisory Council, Lynchburg, Virginia Copyright May 2012 7

Growing player in renewable energy� o AREVA Solar is headquartered in Mountain View, Cali fornia, with

manufacturing operations in Las Vegas, Nevada• § Focuses on Concentrated Solar Power (CSP) technology – specifically Compact

Linear Fresnel Reflector (CLFR)• § 5 MW Kimberlina facility in Bakersfield, California was the first new CSP facility

brought online in California in 20 years• § Export potential: In 2011, secured contracts or advanced development

commitments for 544 MW of new CSP projects outside the U.S. valued at

approximately $800 million

Global Prospects for Nuclear Power Pre-Fukushima

International institutions

GWe net installed Life extensions

Newbuild

635344

Scenario

AREVA nuclear projection is in line with international institutions forecasts

824: WEO - 2008- 450 ppm Policy Scenario

731: WNA - 2007- High Estimate

748: IAEA - 2008 – High Estimate

684: WEO- 2008- 550 ppm Policy Scenario

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2008 2030

Theoretical end of life

Life extensions

267

186

635

372

344

529: WNA - 2007 - Reference

473: IAEA - 2008 – Low Estimate

433: WEO - 2008 – Reference Scenario

498: DOE EIA - 2008 Reference Case

AREVA’s projection

As of February 2011

62*: Nuclear plants under construction (WNA)

158: Nuclear plants contracted or firm plans

324: Nuclear plants proposed

* China-27, Russia-10, India-5, So.Korea-5

The Fundamentals Have Not Changed

The World is Still Facing Major Challenges

Double by 2050

Declining fossil resources

Energy demand GHG emissionsOil & Gas availability

Must decrease by half

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by half by 2050

2005 2030 20501990 2010 20301960 204020202000198020502010

80 %

In US coal for electricity and oil for transportation produce about 3/4 of the man-made CO 2

Substitution of Substitution of Substitution of Substitution of electricity from electricity from electricity from electricity from nuclear for coal and nuclear for coal and nuclear for coal and nuclear for coal and hydrogen from hydrogen from hydrogen from hydrogen from nuclear for oil would nuclear for oil would nuclear for oil would nuclear for oil would reduce COreduce COreduce COreduce CO release release release release

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reduce COreduce COreduce COreduce CO2222 release release release release by 2/3by 2/3by 2/3by 2/3

Process heat from Process heat from Process heat from Process heat from nuclear could nuclear could nuclear could nuclear could eventually replace the eventually replace the eventually replace the eventually replace the remaining 1/3remaining 1/3remaining 1/3remaining 1/3

The AREVA Reactors Portfolio Evolutionary Reactor Designs

Fast Breeders

RESEARCH & DEVELOPMENT

1600+ MWe PWR

TM

OFFERED TODAY

1200+ MWe BWR

COMPLETING DESIGN

Generation IV

Reactors

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AREVA has the reactor range and expertise to meet diverse customer needs

High Temperature

1000+ MWe PWR

AREVA Reactors

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AREVA Reactors

Reactor Technology

Early PrototypeReactors

Generation I

Commercial Power

Reactors

Generation II

Generation IV

Aspire to further improve safety and economics,

AdvancedLWRs

Generation III

Generation III+

Generation III Evolutionary Designs Offering Improved

Reactors

Community Advisory CouncilCommunity Advisory Council

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- Shippingport- Dresden, Fermi I- Magnox - LWR-PWR, BWR

- CANDU- AGR

1950 1960 1970 1980 1990 2000 2010 2020 2030

economics, minimize waste and co-produce hydrogen

- PBMR- HTGR- Molten salt

- ABWR- System 80+- AP600

Gen I Gen II Gen III Gen III+ Gen IV

Improved Economics

- AP1000- ESBWR- U.S. EPR

Community Advisory CouncilCommunity Advisory Council

Size of the potential marketPetrochemical, Refining, Fertilizer/Ammonia market and other

� Co-generation• 75 GWt (125 – 600 MWt modules)

Oil Sands

� Steam, Electricity & Hydrogen• 36 GWt (60 -- 600 MWt modules)

Existing Plants – Assuming 25% Penetration of Potential Process Heat & Power Market -- 2.7 quads*

The Opportunity — Integrating Nuclear High Temperature

Process Heat with Industrial Applications

Petrochemical

(170 plants in U.S.)

Fertilizers/Ammonia

(23 plants in U.S.–NH3 production)Petroleum Refining

(137 plants in U.S.)

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Hydrogen Merchant Market

• 40 GWt (67 – 600 MWt modules)

Synthetic Fuels & Feedstock

� Steam, electricity, hydrogen• 249 GWt (415 – 600 MWt

modules)

Electricity

� 110 GWt; ~180 – 600 MWt modules� 10% of the nuclear electrical supply

increase required to achieve pending Government objectives for emissions reductions by 2050

14

Coal-to-Liquids (24 – 100,000 bpd new plants )

(170 plants in U.S.)(23 plants in U.S.–NH3 production) (137 plants in U.S.)

Oil Sands/Shale

43 - 56,000 bpd

plants

* Quad = 1x1015 Btu (293 x 106 MWth) annual energy consumption

Hydrogen Production

60 plants

Growing and New Markets – Potential for 9.3 quads of HTGR Process Heat & Power

Rockville, MD April 12, 2011 p.14 Copyright AREVA Inc.

EPRTM, ATMEA1, KERENAAREVA’s evolutionary reactors stand for

� Certainty and predictability� GEN III+ evolutionary designs

� Airplane crash resistance� Severe accident management� Safety systems with multiple redundancy and diversit y� Respect of natural resources and environment

� Fuel cycle flexibility: cycle length, Mox-ability� Reduced collective dose and minimal environmental im pact

� Safety and environment

Reactors

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� GEN III+ evolutionary designs� Maximized standardization to simplify licensing in a ny country� AREVA continous engineering, manufacturing and suppl y chain� AREVA’s in-house manufacturing capabilities for prim ary circuit� I&C technology – leading and proven

� Performance and profitability

� Maximized plant availability: design target above 92 %� High plant efficiency� Low O&M costs

EPR™The path of greatest certainty

�The most advanced Gen III+ PWR

� built in Finland, France, China

� under licensing in USA, UK

�Evolutionary design based on Konvoi & N4

�Maximized benefit from size effect

�Technical features

� 1600+ MW / 4500+ MW

TM

Reactors

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� 1600+ MWe / 4500+ MWth

� 4-Loop

� SG pressure 77bar at 100% power

� 4x100% redundancy of active safeguard systems

� backup in case of total loss of safety function

� Safety and environment

KEY BENEFITS

� Certainty and predictability

� Performance and profitability

ATMEA1Reliable mid-sized generation III+ PWR

�Medium-size Gen III+ PWR

� designed for licensability in USA, Japan, Europe

�Evolutionary design based on AREVA and MHI

�Technical features

� 3-Loop

Reactors

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� 2860-3150MWth

� SG pressure 71bar at 100% power

� 3x100% redundancy of active and passive safety systems and additional backup cooling chain

� backup in case of total loss of safety function

� Safety and environment

KEY BENEFITS

� Certainty and predictability

� Performance and profitability

KERENAThe safe and economic Gen III+ mid-sized BWR

� Medium-size Gen III+ Boiling Water Reactor

� developed together with operators

� basic design completion in cooperation with a major utility

�STUK preliminary safety assessment and EUR compliance

� Evolutionary design based on Gundremingen

� Technical features

Reactors

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� Technical features

� 1250+ MWe / 3370+ MWth

� recirculation pumps ensure dynamic and flexible operation

� steam pressure 75bar at 100% power

� full passive 4x50% redundant safety systems

� backed by 2x100% redundant active safety systems

� Safety and environment

KEY BENEFITS

� Certainty and predictability

� Performance and profitability

QUALITY

SAFETY

Operational excellence

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PERFORMANCE

DELIVERY

Metrics used to quantify performance results Action plans to improve

The NGNP Industry Alliance

Alliance formed to advance development, demonstration, and deployment of commercial HTGR technology

Alliance includes broad membership� End users

� Operators

� Vendors

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� Vendors

Several Helium Cooled HTGRs Built World-Wide

Power Reactors Research Reactors

Peach Bottom 1 Fort St Vrain THTR Dragon AVR HTTR HTR-101966-1974 1976-1989 1986-1989 1966-1975 1967-1988 2000- 2003-

Power Level:

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MW(t) 115 842 750 20 46 30 10MW(e) 40 330 300 - 15 --

Coolant: Pressure, Mpa 2.5 4.8 4 2 1.1 4 3 Inlet Temp, oC 344oC 406oC 250oC 350oC 270oC 395oC 250oC/300oC

Outlet Temp, oC 750oC 785oC 750oC 750oC 950oC 850oC/950oC 700oC/900oCFuel type (U-Th)C2 (U-Th)C2 (U-Th)O2 (U-Th)C2 (U-Th)O2 (U-Th)O2 (U-Th)O2

Peak fuel temp, oC ~1000oC 1260oC 1350oC ~1000oC 1350oC ~1250oCFuel form Graphite

compacts in hollow rods

Graphite Compacts in Hex

blocks

Graphite Pebbles Graphite Hex blocks

Graphite Pebbles

Graphite compacts in Hex

blocks

Graphite Pebbles

Two Research HTGRs Are Currently Operating in Asia

Prismatic-Block

HTTR in Japan

Pebble-Bed

HTR-10 in China

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HTTR reached outlet temperature of

950°C at 30 MW on April 19, 2004

Reached full power with 750°C

outlet temperature in Jan 2003

AREVA Prismatic HTGR Design ConceptCurrent parameters:

Reactor 625 MWt

SGs – 2 x 315 MWt

Circulators – 2 x 4.0 MWeSimple HTGR heat source

Delivers steam at 550°C for variety of applications� Electricity

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� Electricity� Process heat� Cogeneration

NGNP Industry Alliance RecognizesValue of HTGR Technology

Industrial heat and transportation fuels use large fraction of energy

HTGR can displace fossil fuels in these sectors

Addresses key energy policy issues� National energy security� Carbon footprint

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� Carbon footprint� Price volatility� Jobs

Neutral cost without cost of carbon

Inherent safety characteristics

� Excellent public safety

� Low investment risk

Existing LWR technology is not well suited to non-electric energy markets

High temperature process steam (up to 560°C) (near- term)� Chemical plants

� Refinery

� Heavy oil recovery

� Cogeneration

� CTL

Target Energy Markets for HTGR

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� CTL

Very high temperature process heat (up to 900°C) (l ong-term)� Chemical plants

� Synthetic fuels

� H2 production

Niche market electricity production

Background and Path Forward

Large steam cycle HTGR systems built in 1980s (Fort St. Vrain, THTR)

Modular HTGR concepts with inherent safety characteristics pursued in 1980s

Gen IV program recognized potential of VHTR concept

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Energy Policy Act of 2005 laid foundation for NGNP program� Called for partnership between industry and governme nt

NGNP program launched� Initial focus on VHTR for H 2 production

� Shifting near-term emphasis to steam cycle

NGNP Industry Alliance formed

Current DOE NGNP activity limited to R&D

NGNP Industry Alliance still desires partnership with DOE

In meantime, NGNP Alliance resolves to continue HTGR technology without DOE

NGNP Alliance will down select HTGR

Current NGNP Alliance Activity

Reactor

Circulator

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NGNP Alliance will down select HTGR technology to the prismatic core steam cycle

Alliance has prepared RIS submittal to NRC to support licensing activity by Entergy/AREVA

Alliance meeting with policy makers (Congress, NRC)

Steam Generator

Prismatic block annular core

Conventional steam cycle

Modular reactors

Inherent safety characteristics� Passive decay heat removal

Key Features of AREVA Near-Term HTGR

Reactor

Circulator

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� Large thermal inertia

� Negative reactivity feedback

Minimal reliance on active safety systems

Sized to minimize steam production cost

Fully embedded reactor building� Partially embedded alternative possible Steam

Generator

Technology Development – Fuel qualification, graphite qualification, methods qualification

Licensing� Regulatory framework needed

� New technology for NRC-not LWR

Key Deployment Risks

Reactor

Circulator

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� Modular plants

Project Complexity and Duration

Steam Generator

Fuel type TRISO particle

Core geometry102 column annular

10 block highReactor power 625 MWt

Reactor outlet temperature 750°C

Nominal Operating Parameters

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Reactor inlet temperature 325°C

Primary coolant pressure 6 MPa

Vessel Material SA 508/533

Number of loops 2

Steam generator power 315 MWt (each)

Main circulator power 4 MWe (each)

Main steam temperature 566°C

Main steam pressure 16.7 MPa

Permanent Reflector

Replaceable Reflector

Annular Core Arrangement

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Metallic Core Barrel

Control Rods

Reserve Shutdown Channels

Fuel Columns

Main heat transport system� Established helical coil steam

generator technology

� Electric motor circulator with magnetic bearings

Shutdown cooling system� Active system

Cooling Systems Optimized for Reliability, Safety

Water Storage

Tank

Cooling Panel

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� Active system

� Maximizes plant availability• Maintenance• Rapid accident recovery

Reactor cavity cooling system� Safety related heat removal system

� Passive cooling of vessel and surrounding cavity (operates continuously – safety-related)

� Active cooling of water storage tank during normal operation (non-safety)

Natural Convection Flow

Forced flow

Reactor Vessel

Red shows safety-related cooling loop .

Black shows non-safety related.

One of two redundant loops shown.

Single Reactor Module DesignSupports Many Applications

GeneratorHTGR Reactor

Core

750°C

S.G.

Primary Loop Steam

turbine

Steam isolation valves

~550°C

HP Process Steam

Water/steam headers to other reactor modules

Generic cogeneration plant� Electricity� High pressure process steam� Low pressure process steam

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He

Circulator

Water/steam

Condenser

LPReboiler

HPReboiler

LP Process Steam

Steam

Process CondensateReturn

ProcessWater

Cleanup

Makeup

Process water/steam

One of two heat transport loops

shown for simplicity

Steam cycle builds directly on the experience from past operating HTGRs

Incorporates safety characteristics of recent modular HTGR concepts

Prismatic block reactor is based on AREVA’s ANTARES concept

AREVA HTGR Concept Combines Past Experience and Recent Developments

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concept

Minimizes need for advanced materials development

Components technology well understood

Based on current fuel development programs

Near-TermTechnology Development Needs

Qualification of TRISO coated particle fuel

Graphite� Irradiation database

� Thermal properties (including irradiation and anneal ing effects)

� Oxidation database

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Alloy 800H (extended temperature range would be beneficial)

SA508/533 (HTGR operating environment)

Ceramic composites (optional – beneficial for a few details)

Fuel process control and quality control development� Improved methods

� Increased automation

Near-term HTR deployment needed to reduce process heat dependence on fossil fuels

NGNP Industry Alliance is actively pursuing path for HTGR development

Active participation from end users, vendors, operators

HTGR concept tentatively selected for deployment

Summary

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� Prismatic block core

� Steam supply configuration

Near-term focus improves risk management

Flexibility supports variety of process heat, electricity and cogeneration applications

NGNP Alliance independently pursing HTGR concept