Nuclear Power Plants in Korea

Competitiveness ofKorean Nuclear Power PlantsMarch 30, 2009+82-31Kye-KwangKwang JEE31-289-3480,kkjee@kopec.co.kr

123Status of Korean Nuclear PowerKorean Nuclear IndustryStrengths of Korean NPPs

Chapter1Status of Korean Nuclear Power

Status of Korean Nuclear PowerNuclear Power Plants in KoreaUlchin8 units`In operation20 units(17,716 MW)Wolseong6 unitsUnder`construction8 units(9,600 MW)`Radioactive WasteDisposal Facility(Under construction)SeoulKori8 units`Underplanning10 units(15,400 MW)Yong-gwang6 unitsIn OperationUnder Construction

Chapter2Korean Nuclear Industry

Korean Nuclear IndustryNuclear Organizations in KoreaKHNPOperation &ManagementManufacturingDoosan & BOP VendorNuclear FuelRegulatory BodyMinistry of Education,Science & TechnologyMaintenance &ServicesConstructionDesign &EngineeringDaewoo, Doosan, Samsung, Hyundai, etc

Project Management & OperationKorea Hydro & Nuclear Power Co., Ltd.Nuclear Power Generation27% of National Generation Facilities and39% of Electricity Supply20 Nuclear Power Plants in OperationProject Management for Nuclear FacilitiesNew NPP Construction (8 Units)Radioactive Waste Disposal FacilityHydro Power Generation9 Hydro Power Plants in Operation

NPPs in OperationNPPs in OperationKorea has accumulated experience by building various type of NPPs 20 units (17,716 MW)PlantReactorTypeCapacity(MW)NSSSSupplierPlantA/ECommercialOperationKori#1#2#3#4PWRPWRPWRPWR650587950950W/HW/HW/HW/HGilbertGilbertBechtel/KOPECBechtel/KOPECApr. ’78July ’83Sep. ’85Apr. ’86Wolsong#1#2#3#4PHWRPHWRPHWRPHWR679700700700AECLAECL/DOOSANAECL/DOOSANAECL/DOOSANAECLAECL/KOPECAECL/KOPECAECL/KOPECApr. ’83Jun ’97Jun. ’98Sep. ’99Yonggwang#1#2#3#4#5#6PWRPWRPWRPWRPWRPWR9509501,0001,0001,0001,000W/HW/HDOOSANDOOSANDOOSANDOOSANBechtel/KOPECBechtel/KOPECKOPECKOPECKOPECKOPECAug. ’86Jun ’87Mar. ’95Jan. ’96May. ’02Dec. ’02Ulchin#1#2#3#4#5#6PWRPWRPWRPWRPWRPWR9509501,0001,0001,0001,000FramatomeFramatomeDOOSANDOOSANDOOSANDOOSANFramatomeFramatomeKOPECKOPECKOPECKOPECSep. ’88Sep ’89Aug. ’98Dec. ’99July. ’04Apr. ’05NSSS: Nuclear Steam Supply System, A/E: Architectural Engineering

Average capacity factor of Korean nuclear power plant ismore than 10% compare to the world average.‣ Average capacity factor maintained higher than 90% for consecutive 8 years.Unplanned shutdown is around 0.35 time per year, as of 2008.

Comparison of Capacity FactorCapacityFactor(%)Year* Source : Nucleonics Week

Comparison of Outage DurationSource : IAEA PRIS 2007103(Average days)32.633.34043.648.3Belgium Korea USA Germany France Japan

Plant Design & EngineeringEngineering and Design ServicesPower Plants (Nuclear, Thermal, Hydro)Transmission & DistributionEnvironmental FacilitiesTransportation & Industrial InfrastructureOperation & Maintenance of Power PlantsLife Extension & Restart of Power PlantsResearch & Development

Qualification of Manpower• Professional Qualification(No. of registration)• Academic QualificationPE in Korea281PE in USAand PMP488Others174Doctorate95448MS1149- PE : Professional Engineer- PMP : Project Management ProfessionalTOTAL : 769BSTOTAL : 1,866

Development of OPR1000 (Optimized Power Reactor 1000)• Strategy of Design Improvement– Enhance safety level over the previous units– Improve plant operability and maintainability– Enhance constructability by Implementing area completion concept• Construction Period of OPR1000– First concrete to fuel loading: 46 months– First concrete to commercial operation: 52 months

Development of APR1400 (Advanced Power Reactor 1000)• APR1400 Development– Project period : ’92.12 ~ ’01.12 (9 yrs)• Advanced Design Features (ADFs) Implemented– Severe accident mitigation– In-Containment Refueling Water Storage Tank design– Quadrant divisional separation– Advanced Man-Machine Interface System (MMIS) implementation• Construction Period of APR1400– First concrete to fuel loading: 42 months– First concrete to commercial operation: 48 months

Equipment Design & ManufacturingDoosanHeavy Industries Co., Ltd.Nuclear Steam Supply SystemReactor VesselReactor InternalsControl ElementDrive MechanismIntegrated HeadAssemblySteam GeneratorPressurizerPrimary PipingFuel HandlingSystem Equipment,etcFuel StorageNew and Spent Fuel RacksSpent Fuel Transportation Cask / CanisterBalance of PlantHeat ExchangersPressure Vessels & TanksGas StripperBoric Acid ConcentratorMoisture Separator Reheater, etc.

Doosan Role in Korea Nuclear ProgramBOP SYSTEMKEPCO(KHNP)NUCLEAR STEAM SUPPLY SYSTEMKEPCO(KHNP)TG SYSTEMKEPCO(KHNP)KOPECA/ESDDOOSANPrime contractorCD/ESDOOSANPrime contractorKOPECDOOSANGEDOOSANSubsupplierWECWECSubsupplierKHNP: Korea Hydro & Nuclear Power Co.; KOPEC: Korea Power Engineering Co.; WEC: Westinghouse Electric Co.;SD: System Design; CD: Component Design; ES: Equipment Supply

Forging and Foundry Shops(1) Forging Press : 13,000 tons(1) Forging Press : 4,200 tons(1) Forging Press : 1,600 tons(3) Forging Manipulator : Max. 400 tons(1) Electric Arc Furnace : 100/120 tons(1) Electric Arc Furnace : 30/35 tons(1) Vacuum Ladle Refining & Holding Furnace : 20/155 tons(1) Vacuum Stream Degassing Equipment : 30/530 tons

Nuclear Shops(1) 800 tons Over Head Crane(1) Semi Gantry Welding Machine(7) SAW Strip Cladding Machine : 4", 2", 1"(2) 3 Spindle Deep Hole Drilling Machine :Φ2.36” 21’4”(X) x 14’5”(Y) x 3’7”(Z)Φ2.36” 26’3”(X) x 17’5”(Y) x 3’7”(Z)(1) 6-Spindle Broaching MachinΦ13’21” (Broaching Station: 6)(1) Vertical Boring Machine :72’2” Dia x 26’3” H x 500 tons(1) Horizontal Boring Machine :49’2”(X) x 26’3”(Y) x 8’10”(Z)(3) Automatic J Groove Welding Machine

Nuclear ShopsSteam Generator Tubing

Long Lead Manufacturing Schedule201120122013 2014 2015 2016 2017 2018 20192020Project Schedule1 2 3 4 56Reactor Vessel(40 Months)Booking Long Lead Materialin 2011Forging(6M)Fabrication(34M)2017.8 (ex-works)2017.9 (ex-works)Steam Generator(44 Months)Forging(6M)Fabrication(38M)1 Project start (D); 2 Excavation (D+43); 3 First Concrete Pouring (D+51); 4 Set Reactor Vessel (D+73);5 Fuel Loading (D+102); 6 Completion (D+109)

Fuel Design & FabricationDesign & Fabrication of PWR and CANDU fuelsCore Design and Safety AnalysisManufacturing of Fuels and ComponentsFuel Maintenance and ServicesNuclear Fuel DevelopmentLicensing and Operation Support for PWR

Nuclear Fuel Supply in KoreaPWR Capacity : 400 ⇒ 550 MTU/y (700MTU/y)MTU400350300250200150100500CANDU'89 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 YearMTU5004003002001000• 5,116 MTU (As of December, 2008)Capacity : 400 MTU/y'98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 Year• 4,511 MTU (As of December, 2008)

Nuclear Fuel Features

Nuclear Fuel Features (New)• Top Nozzle- Reconstitutable Integral T/N- Optimized On-off Holddown Spring• Fuel Rod- High Performance HANA Cladding- Large Grain Pellet- Long Solid Bottom End Plug• Guide Thimble and•Instrumentation Tube- High Strength Duplex Guide Thimble- Optimized-Dimple Inst. Tube• Bottom Nozzle- Rectangular Flow Hole- Low Pressure Drop Flow Plate• Top Grid- Reduced Rod Bow- Laser Welded Inconel Grid• Mid Grid- Mixing Vane- Fretting Wear Resistance-0.3g Seismic- Anti Hang-up Outer Strap• IFM Grid- Mixing Vane- Anti Hang-up Outer Strap• Bottom Grid- Debris Filter Grid- Laser Welded Inconel GridUpper JointsLower JointsGT ConnectionGrid Connection

Nuclear Fuel Features (New)Commercial Fuel SupplyCommercial Fuel SupplyItemYear’05’06 ’07 ’08 ’09 ’10 ’11 ’12 ’13 ’14 ’15 ’16Fuel Development Concept & Detail Design Out-of-Pile TestsIn-Reactor Verification LTA Fabrication & Loading License LTA In-Pile TestsPoolside ExaminationLicense and Commercial Supply License Core Design and Safety Analysis Qualification and Fuel Fabrication Commercial Supply

Maintenance & ServicesKorea Plant Service & Engineering Co., Ltd.Service during the CommissioningRoutine MaintenanceOutage ServiceSpecialized Engineering ServicesNuclear Technology Service CenterService Information Management Program

Construction Companies capable of building NPPs

DAEWOO E&C’s Comprehensive Construction CapabilitiesRanked No. 1 among South Korean Builders for Three (3) Consecutive Years By theMinistry of Land, Transport and Maritime Affairs of KoreaUnit : US$ Mil2006 2007 2008Daewoo E&C1’st(6,495)1’st(7,588)1’st(8,839)Samsung Corp2nd(6,197)2nd(6,748)2nd(7,657)GS E&C4th(5,291)3rd(6,099)4th(6,699)Hyundai E&C3rd(5,428)4th(6,058)3rd(6,669)Daelim Industrials5th(5,148)5th(5,349)5th(6,088)Note : Construction Capability Value is composite value including construction project results, financial status, technical capabilities.

DAEWOO E&C’s Overseas Project SitesDaewoo E&CHQ in Seoul, KoreaAlgeriaLibyaNigeriaQatarOmanYemenChinaVietnamRussiaPhilippinesSaipanMalaysiaAfricaMiddle EastAsia & OceaniaNigeria (8)Libya (3)Algeria (2)Qatar (3)Yemen (1)Oman (1)Philippines (1)Vietnam (2)Saipan (1)Russia (1)China (1)Malaysia (1)Total: 25

DAEWOO E&C’s Nuclear ExperienceWolsong Nuclear Power Plant Unit No. #3, 4Location : Wolsong, KoreaClient : Korea Electric Power Corp.Contract Amount : US$ 989,000,000Construction Period : Feb 1992 ~ Jun 1999Scope of Work• 2 Units of 700MW Nuclear Power Plant• Reactor Bldg., Service Bldg., Turbine &Generator Bldg., Seawater Intake, 345KVSubstation, Ancillary Facilities Civil & ErectionWorksTechnology : CANDU 6 3-D Model

DAEWOO E&C’s Nuclear ExperienceWolsong Nuclear Power Plant Unit No. #3, 4

DAEWOO E&C’s Nuclear ExperienceShin-Wolsong Nuclear Power Plant #1, 2Location : Wolsong, KoreaClient : Korea Hydro & Nuclear Power Co.Contract Amount : US$ 730,900,000Construction Period : Sep 2003 ~ Oct 2010Scope of Work• Capacity : 1,000 MW X 2 Units• BOP Material Supply, Civil & Architecture Work• M&E, Instrument Erection Works

DAEWOO E&C’s Nuclear ExperienceQinshan Nuclear Power Plant Project Phase IIILocation : Haiyan, ChinaClient : Third Qinshan Power CompanyContract Amount : US$ 3,900,000Construction Period : Feb 1997 ~ Oct 2003Scope of Work• Technical Assistance Services for Project Control,Design and Engineering for 700MW x 2 Units(CANDU) NPP• Supply of Bulk Materials such as Insulationmaterial, Epoxy paint, etc.

DAEWOO E&C’s Nuclear ExperienceLungmen Nuclear Power Plant Unit 1 & 2Location : Taipei, TaiwanClient : Taiwan Power CompanyContract Amount : US$ 22,264,000Construction Period : Oct 1998 ~Scope of Work• Technical Assistance Services for Civil,Mechanical & Piping Works for 1,350MW x 2Units (ABWR) NPP• Acquisition of ASME (NA & NPT) Certificates andtheir Renewal

DAEWOO E&C’s Nuclear ExperienceWolsong Tritium Removal Facilities ProjectLocation : Wolsong, KoreaClient : Korea Hydro & Nuclear Power Co.Contract Amount : US$ 35,000,000Construction Period : Jan 2003 ~ Jun 2005Scope of Work• Construction of Tritium Removal Facilities forWolsong NPPs including;- Heavy Water Feed System- Deuterium Purification System- Tritium Handling & Storage System- Air Cleanup System, etc.

DAEWOO E&C’s Nuclear ExperienceLow & Intermediate Level Rad-waste Disposal FacilityOverview of TunnelOverview of Vertical Access Shaft

Chapter3Strengths of Korean NPPsPlentiful Construction ExperiencesCost CompetitivenessWorld-Class Operation PerformanceOptimized Construction PeriodExcellent Human ResourcesRobust Supply Chain

Plentiful Construction ExperiencesCompletion ofKori Unit1 (’78)Completion ofFirst OPR1000 (’95)Completion ofFirst APR1400 (’13)1970s1980s 1990s 2000sIntroduction ofNuclear PowerTechnologyAccumulationDevelopmentof OPR1000Developmentof APR1400Units complete: 8 unitsUnits complete : 7 unitsUnits complete : 4 unitsFirst Unit completeUnits under construction:8 units

Cost CompetitivenessUnit Construction Cost ($/($/kWe)$3,582$3,050$2,900$2,900$2,800$2,050USA RUS JPN FRA CAN KORAP1000 VVER1000 ABWR EPR ACR1000APR1400as of 2008Overnight EPC Cost※ Source: World Nuclear News (World Nuclear Association, 2008)

Cost CompetitivenessUnit Generation Cost (cents/kWh)6.86¢4.65¢3.17¢3.93¢3.71¢3.03¢USA RUS JPN FRA CAN KORAP1000 VVER1000 ABWR EPR ACR1000APR1400※ Source: Projected Costs of Generating Electricity (OECD/NEA, 2005)

Cost CompetitivenessAbout 20% of capital cost reduction is realized through design improvements,localization and standardization & repetitive constructionIn OperationUnder Construction100%1009390%80%83807876-24%70%60%1995199920022005201120131 st Project 2 nd Project 3 rd Project 4 th Project 5 th Project 6 th Project

World-Class Operation PerformanceOutstanding Performance in NPP OperationYear 2008Capacity Factor93.3%79.4%Year 200893.359.266.773.176.189.9KoreaWorld Avg.Korea Japan Canada Russia France USA※ Source: Nucleonics Week, February 2009

Optimized Construction PeriodProject Schedule for an APR1400Y+0 Y+1 Y+2 Y+3 Y+4 Y+5 Y+6 Y+7Y+8Pre-project WorkLicensingSite Data ReviewDetailed Site InvestigationER PreparationER ReviewEngineeringProcurementPSAR PreparationPSAR ReviewPlant Design, Spec. & Drawing IssueDesign Manufacturing, DeliveryTarget Schedule48 monthsFOAKE Project Schedule(from F/C to COD)58 monthsConstruction &CommissioningSite PreparationF/C Set R/V CHT F/LCODExcavation

Excellent Human ResourcesConstruction &Project ManagementEquipment design& Manufacturing5,000 people1,100 peopleOperation5,400 peopleMaintenance& Repair4,000 peopleNuclear FuelDesign & Fabrication600 peopleDesign &Engineering2,000 peopleKorea possesses highly skilled manpower in the various fields of nuclear powerbased on its continuous NPP construction and operation.

Robust Supply Chain30 years of repetitive construction fostered competitive domestic suppliers in the entire nuclear cycleManufacturingEngineeringConstructionConstructionPlanningEnrichmentFuel FabricationCommissioningDistributionConversionRefiningTransmissionOperation &MaintenanceDecommissioningRadwaste Management

Robust Supply ChainDesign & EngineeringManufacturingConstructionKEPCO and its nuclear family swiftly join together to organizea Task Force Team and carry out efficient project managementCommissioning& OperationNuclear FuelMaintenance

Robust Supply ChainStable Equipment Supply Chain Major Equipment Famous for Worldwide Rx & T/G supplier Possess the world’s top manufacturing facilities Countries with reactor manufacturing capabilities:Korea, France, Japan, etc. Other Equipment (pump, valve, pipes, etc.) Supply most of the items for itself Manage Qualified BOP Vendors