PLG Provides Industry Update to Stifel Nicolaus Investors
nucleonicsweek
1. Volume 54 / Number 28 / July 11, 2013
Inside this issue
DOE uranium sales, transfers
expected to rise 52% in 2013: report 2
Public comment period for
Taiwan stress tests extended 3
California commission hears testimony
on power prices, seismic issues 4
Atmea1 passes first of three-phase
Canadian design approval 5
Notes to Nucleonics Week’s
generating table for May 2013 11
www.platts.com
NUCLEONICS WEEK
[NUCLEAR ]
Russia is well positioned to be
among the first nations to deploy a
small modular reactor and is poised to
be a top contender for market share
in the emerging industry as an array
of small modular reactor designs are
expected to enter commercial operation
in the 2020s, analysts said.
Small modular reactors, or SMRs,
are defined by DOE as reactors with less
than 300 MW that are manufactured in
factories and shipped by rail, barge or
truck to utilities as demand arises.
Russia likely to be among top contenders in SMR race: analysts
“Russia is currently the most suc-
cessful in terms of worldwide nuclear
reactor sales, with projects in China,
India, Slovakia, Vietnam, Turkey, and
Bangladesh,” Jonathan Hinze, senior
vice president, international at Ux
Consulting, said in an email July 8.
He also noted prospects for additional
Russian reactor sales in Finland and the
Czech Republic.
“It should be no surprise that Russia
is also aggressively pursuing the emerg-
ing SMR marketplace, and US vendors (continued on page 5)
Low natural gas prices and slack
demand for electricity in the US have
made it unclear whether new nuclear
power plants will be ordered this
decade, but some projects are continu-
ing licensing efforts, with utilities con-
sidering “banking” permits until busi-
ness conditions improve.
Analysts and industry officials said
prospects for new orders are uncertain,
and might depend on the progress
being made on four reactors in vari-
New US nuclear plant orders uncertain, but licensing continues
ous stages of construction at two sites.
Further delays at Southern Nuclear
Operating Co.’s Vogtle project and
South Carolina Electric & Gas’ Summer
might curb future development, where-
as completion of those project could
boost prospects for orders later this
decade, they said.
“If there aren’t too many more
delays and cost overruns on those
plants, that might provide an impe-
tus for others to move forward,” said (continued on page 6)
The pace of nuclear uprate work
in the US is clearly slowing as reactor
owners, facing new and long-term com-
petition from natural gas-fired power,
question the economic rationale of
investing hundreds of millions of dol-
lars in incremental nuclear capacity,
industry representatives and analysts
said in interviews in late June.
Further, some said, the likelihood
of a rebound in uprate work will shrink
over the next few years as the nation’s
nuclear units move closer toward the
Outlook for uprates downbeat, analysts say
end of 60-year operating lifetimes.
As the nation’s oldest reactors
enter their fifth decade of operation,
and with life extension beyond 60
years uncertain, the business case for
spending money on uprates dimin-
ishes, they said.
NRC spokesman David McIntyre
said in a June 25 email, “We have been
notified by licensees that 10 uprate
applications that were intended to be
submitted over the next three years are
(continued on page 9)
Michael Haggarty, senior vice president
of Moody’s Investors Service, in an
interview June 24.
First nuclear concrete was poured
at Vogtle in Georgia and Summer in
South Carolina in March. At the same
time, work advanced on the comple-
tion of a reactor in Tennessee, Watts
Bar-2, on which construction had
stopped in the 1980s.
If any US orders are received this
along with others around the world
should take Russia’s ability to deliver on
SMRs very seriously,” Hinze said.
Russia has three SMR designs with
the potential for near-term deploy-
ment — Akme-Engineering’s SVBR-100
and OKBM Afrikantov’s KLT-40S and
VBER-300. Akme Engineering is a joint
venture Russian state nuclear corpora-
tion Rosatom formed in 2009 with En+
Group, a diversified mining, metals and
energy group. Afrikantov is a nuclear