New nuclear project financing Warsaw, June 26, 2013 p. 1



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New nuclear project financing Warsaw, June 26, 2013 p. 1

The EPR design: a reference technology Loïc ELOY Director of New Builds Offers Poland Platts Conference Warsaw, 26 June 2013

EPR reactor design EPR reactor project delivery European partnerships

EPR reactor the best from French and German technology KONVOI ~1,300 MWe N4 ~1,500 MWe Emsland ( 88) Isar 2 ( 88) Neckar 2 ( 89) Chooz 1&2 ( 99) Civaux 1&2 ( 00) Proven and evolutionary technology New nuclear project financing Warsaw, June 26, 2013 p. 4

EPR reactor main characteristics Power: 4,590 MWth (core thermal power) About 1,650 MWe (generated electrical power) High efficiency: up to 37% Target Design Availability: 92% (EUR methodology) Short outages Radiation Protection Low collective dose: < 0.5 man.sievert/yr Fuel cycle length: up to 24 months Design service life: 60 years Reduced operating costs New nuclear project financing Warsaw, June 26, 2013 p. 5

Heavy neutron reflector Comparison of environmental footprints EPR versus Gen 2 reactors* -5% -15% -25% Land use -25% Large core Core barrel Thermal release Uranium consumption -12% -15% Heavy reflector

CHRS (2x) x spreading compartment spray nozzles melt flooding via cooling device and lateral gap x passive flooding device in-containment refueling water storage tank x x water level in case of water injection into spreading compartment FL flow limiter EPR reactor Safety approach The Design of the Safety Systems is based on Redundancy, Diversity and Complementarity Diversified Emergency Diesel Generators Core Catcher & Containment Spray Diversity (against Common Cause Failures) Complementarity (between active and passive systems) Redundancy (against single failure) 2 3 4 1 4 train systems in 4 Safeguard Buildings The EPR reactor is designed to resist to exceptional events and prevent damage to the surroundings New nuclear project financing Warsaw, June 26, 2013 p. 7

Common raft for nuclear island

The EPR Reactor: Designed to Meet the Most Demanding Nuclear and Industrial Safety Standards Robustness of cooling functions EFWS1 tanks (4x400 m3) Fire fighting tank (2600 m3) IRWST2 (1800 m3) 1: EFWS Emergency Feed Water System 2: IRWST In Containment Refueling Water Storage Tank More than 7 days of autonomy in case of loss of grid and loss of access to the heat sink

EPR reactor design EPR reactor project delivery European partnerships

4 EPR Reactor Units Under Construction Olkiluoto 3 Taishan 1&2 The World s First Advanced Fleet to be deployed Flamanville 3 New nuclear project financing Warsaw, June 26, 2013 p. 11

Site connected to national grid 2012 New nuclear project financing Warsaw, June 26, 2013 p. 12

Olkiluoto 3 moving towards completion: Commissioning phase March 13 CRDM installation on-going April 13 Refueling machine electrical installation on-going New nuclear project financing Warsaw, June 26, 2013 p. 13

Flamanville 3 Major Milestones Copyright EDF Installation of Safeguard system piping 1 st supports in safeguard buildings welding RPV support ring installation Signature of the contract First concrete pouring Delivery of the first embedded tank Start of Piping Erection 1 st operational cabinet installed 2007 2008 2009 2010 2011 2012 2013 New nuclear project financing Warsaw, June 26, 2013 p. 14

Flamanville 3 May 13 Introduction of the first CVCS heat exchanger October 12 4 Steam Generators ready & stored in AREVA s Chalon site New nuclear project financing Warsaw, June 26, 2013 p. 15

copyright TNPJVC FSAR submitted TS1: All heavy components welded 2013 New nuclear project financing Warsaw, June 26, 2013 p. 16

Taishan 1 Heavy equipment installation Copyright TNPJVC September 12 First Steam Generator installation December 12 All heavy components installed & primary loop welded New nuclear project financing Warsaw, June 26, 2013 p. 17

The value of experience: Licensing track-record 2005 2007 2009 2012 2015 国 家 核 安 全 局 NNSA ONR The EPR design is the only Gen3 reactor licensed in Europe and submitted to the European «Stress tests» STUK: [Protection against] Earthquakes and flooding are included in the design to ensure safety functions to a high level of confidence Latest EDF-AREVA success: UK Generic Design Assessment completed in December 12 New nuclear project financing Warsaw, June 26, 2013 p. 18

EPR reactor: unique experience applied to ongoing projects Unique lessons learnt between OL3 and Taishan Organization 50% of the project directors/team leaders, 50% of the technical staff and 90% of the buyers for Taishan worked on the OL3 and/or FA3 project Engineering Number of engineering hours needed to complete the Nuclear Steam Supply System - 60% Procurement Lead time for heavy component manufacturing - 40% Towards standardization of the EPR reactor Construction Construction schedule (from 1 st concrete to dome placement) - 50% Total Total construction time (1 st concrete to 1 st divergence) - 40% New nuclear project financing Warsaw, June 26, 2013 p. 19

Construction duration: 1 st concrete to first criticality 1 Base 100 for the first unit - ~30% - ~50% - ~20% - ~40% ~90 ~60 ~60 GEN 2 - N4 1,500 MWe GEN 2 GEN2 - export GEN3 - EPR 1,400 MWe 2 1,000 MWe 1,650 MWe 1. First four units per technological steps 2. First 3 plants are pre-konvoi designs (Brokdorf, Grohnde, Philippsburg 2) and fourth plant refer to the average of the 3 KONVOI units started simultaneously Source: IAEA; AREVA; EDF; CGNPC

EPR reactor design EPR reactor project delivery European partnerships

Real life experience: AREVA Track Record Experience and Localization worldwide SOUTH KOREA a relationship that began over 30 years ago CHINA: a total cooperation for nuclear energy self-reliance BRAZIL: Renewing a long-standing partnership for greater self-reliance Worldwide JAPAN: La Hague to Rokkasho-Mura reprocessing plant, from knowledge to self-confidence SOUTH AFRICA: a fuel technology transfer that resulted in indigenous fabrication of fuel reloads for Koeberg NPP and more to come New nuclear project financing Warsaw, June 26, 2013 p. 22

UK supply chain development for a new generation of EPR in UK Several majors MoUs signed for global partnerships Balfour Beatty Vinci Rolls Royce Civil construction work Manufacturing Collaboration on potential recycling projects in UK Collaboration on international projects Over 400 UK companies already identified Group of 50 companies assessed for sub-contracting AREVA s scope on Hinkley Point C: on December 12 th, 2012: MOUs signed with 24 pre-qualified companies Darchem RPV insulation Babcock International Installation work Vessel manufacturing AREVA relies upon its Global Supply Chain and develops UK partnerships New nuclear project financing Warsaw, June 26, 2013 p. 23

Finnish supply chain development for a new generation of EPR 100 Finnish suppliers qualified for nuclear including 40+ qualified suppliers for safety-class items Civil & installation works Technip Offshore Finland Oy Steel platforms manufacturing Skanska Talonrakennus Oy Concrete and grounding works Kone Hissit Oy Site support Vesi-Vasa NI-buildings elevators Water works Olkiluoto 3, 2010 Are TelineRami & Telinekataja Electrical works Scaffolding New nuclear project financing Warsaw, June 26, 2013 p. 24

Partnership with Polish industry: 25 companies involed in Olkiluoto 3 Polimex Mostostal Manufacturing of Containment Steel Liner Detail manufacturing design of liner Material supply and pre-fabrication in Poland Oversea transportation from Gdynia harbor in Poland to OL3 Site Elektrobudo wa SA KMW Engineering Installation of all electrical and I&C equipment at OL3 All electrical and I&C Equipment at OL3 EPR project Nuclear Installation Contracts from AREVA for other Projects e.g. Project PLEX in Oskarshamn/Sweden Engineering, Pre-fabrication and installation HVAC Installation (consortium Brochier/KMW) all HVAC ducts manufactured in Poland installing all HVAC equipment [dampers, fans, filters, air handling units, etc.] Polbau Civil Works for OL3 for TI and NI Working as subcontractor of Heitkamp also for TI Several hundred Civil Construction worker from Poland have been involved at OL3 Construction Site New nuclear project financing Warsaw, June 26, 2013 p. 25

Partnership with Polish industry: Going further Our objectives are to build long term partnerships with Polish companies: June 2011: Memorandum of Understanding (MOU) signed with Polimex Mostostal: Getting a common understanding of possible cooperation areas. Studying the PXM potential activities for a NPP project. Studying the way to develop a local Polish Supply Chain. Studying the way to promote skills development. October 2012: Memorandum of Understanding signed with Energoprojekt Warszawa: Getting support for engineering activities. General designer of the main technological and auxiliary systems along with civil & structure part. Supplier of comprehensive technical documentation of the power plant. October 2014: Objectives are to sign 20 MOUs with Polish partners: Partnership agreements will be built with key Polish companies in civil works, in mechanical and electrical equipment and installation to structure the supplier chain. Partners can be involved in the costing and scheduling of the construction. New nuclear project financing Warsaw, June 26, 2013 p. 26

Wrap-up The EPR design is the only Gen3+ reactor: Licensed in Europe In construction in Europe Submitted to the European «Stress tests» The EPR reactor: Is based on proven and evolutionary technology Is designed to resist to exceptional events and prevent damage to the surroundings Leads to reduced operating costs The four EPR reactor units under construction provide a unique return of experience, clearly benefiting the current and future EPR projects AREVA has extensive experience and competencies in partnership and localization. For the Polish project, we will provide a high level of localization thanks to our field experience with the Polish industry combined with early qualification actions New nuclear project financing Warsaw, June 26, 2013 p. 27

Back-up

Number of engineering hours for NSSS completion (for Taishan: estimate) Duration of heavy components manufacturing - 60% OL3 TSN NSSS engineering standardized and streamlined April 2012: First two steam generators delivered on Taishan site