1 This material is based upon work supported by the Department of Energy under Award Number DE-NE This report was prepared as an account of work sponsored by an agency of the United States Government. Neither the United States Government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its endorsement, recommendation, or favoring by the United States Government or any agency thereof. The views and opinions of authors expressed herein do not necessarily state or reflect those of the United States Government or any agency thereof. © 2013 Babcock & Wilcox mPower, Inc. All Rights Reserved. This document is the property of Babcock & Wilcox mPower, Inc. (B&W mPower) and is "CONFIDENTIAL AND PROPRIETARY" to B&W mPower. Recipient and/or its representatives have, by receiving same, agreed to maintain its confidentiality and shall not reproduce, copy, disclose or disseminate the contents, in whole or in part, to any person or entity other than the Recipient and/or Recipient’s representatives without the prior written consent of B&W mPower. This is a pre-application document and includes preliminary B&W mPower TM Reactor design or design supporting information and is subject to further internal review, revision, or verification. The Future of Energy in Hampton Roads Doug Lee Manager, Development & Testing, mPower TM NSSS Technology

2 Charlotte, NC headquarters $3B revenue 13,000 employees plus 10,000 joint venture employees Ticker symbol Fossil Nuclear Renewables Power Generation Naval Reactors U.S. DOE Government Operations Federal and Environmental Services 21 US government sites Management and operations The Babcock & Wilcox Company

3 A Shifting Nuclear Landscape Geopolitical Motivators Climate Change legislation Energy independence Strained supply chain Field craft labor availability Transmission capacity Water and land rights Tight capital markets Modular Design Project Financing Licensing History Base Load Impact NSSS supply chain Cost Efficiency 10 MWe 100 MWe 1000 MWe Ideal modular nuclear plant size Traditional large reactors Small, GEN IV reactors One size does not fit all …

4 Develop and deploy, by 2022, an SMR that offers: Lower capital cost Schedule & cost certainty Competitive LCOE pricing within the constraints of: Proven: GEN III+, established NRC regulation Safe: Robust margins, passive safety Practical: Standard fuel, shorter construction and simpler operation & maintenance Benign: Underground, small footprint Goal and Value Proposition

5 High-Level Requirements Primary Conditions 2060 psia 606°F Core outlet 31 Mlbm/hr Secondary Conditions Steam 571 o 825 psia) 50 o F Superheat (BOL) Feedwater 414 o F 2.12 Mlbm/hr 180 MWe nominal output per module 60-year plant life NSSS forging diameter allows:  Greater sourcing options  Rail shipment Standard fuel (<5% 235 U) Long fuel cycle, 4-year core life Long-term coping time without off-site support Minimize emergency planning zone Spent fuel storage on site Conventional/off-the-shelf balance of plant systems Accommodate air-cooled or water-cooled condensers Flexible grid interface (50 hz or 60 hz) Digital I&C compliant with NRC regulations Power maneuvering

6 2 x 180MWe units Compact, low profile, <40-acre site footprint Below-grade design enhances safety Optimized for minimum staff and operations & maintenance Water- or air-cooled condenser option Conventional steam cycle components 3-year construction schedule © 2010 Babcock & Wilcox Nuclear Energy, Inc. All rights reserved. mPower “Twin Pack” Site Layout with Water-Cooled Condenser Patent Pending mPower Plant Security – Informed Site Layout

7 Nuclear Island Independent safety trains Common non-safety systems Underground

8 Turbine Cycle

9 B&W mPower™ Integral Reactor Traditional 2 Loop NSSS

10 Integral Reactor Simplified – integrated, pressurized water reactor No RCS large bore external piping Internal control rod drive mechanisms Internal RCP impellers – external canned motors Control rods versus boron shim for reactivity control Load following capability – up to 10%/min Passive safety  Emergency diesel generator power not required  Core remains covered during small break LOCA accident Performance of critical functions by multiple systems for improved reliability and plant safety Multiple module plants – BOP equipment not shared

11 Nuclear Island Systems Safety Strategy

12 Full Protection Against “Fukushima-type” Events Multi-layer defense … mitigates extreme beyond-design basis challenges

13 Conclusion mPower is designed to offer more schedule and cost certainty Basic PWR technology is employed in Integral reactor design Robust margins throughout reactor and plant design Security is an integral part of the design process Nuclear Island employs “Defense-in-Depth” relative to safety system design