Working on Wylfa Newydd: Construction

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1 XE-GD-0134 Rev.0 Working on Wylfa Newydd: Construction 23 rd July 2015 Katsunori Mizukami Director, Procurement & Sourcing Department, Hitachi GE Nuclear Energy, Ltd.

2 Contents 1. Introduction 2. Construction Supply Chain Development for UK-ABWR 3. Some Key Objectives 4. Major FY2015 Activities 5. Timeframe Expected 6. Abbreviations 2

3 1-1. Introduction: Power Business in Hitachi, Ltd. (Five Main Segments) Power Systems Company Energy Solutions Company[ ] Since Apr Nuclear Power (HGNE) Boiling Water Reactor Nuclear Power Plants (ABWR, ESBWR) Transmission & Distribution Maintenance Services, Nuclear Fuel Cycle, etc. Power Gen. Solutions 26% 21% 15% 473B\ (Revenues) FY % Services & Others 15% Gas Insulated Switchgear High Voltage Transformer Renewables Solar Power Generation Systems Preventive Maintenance of GTCC Plants, etc. Remote Monitoring System Wind Power Generation Systems Collaboration with Mitsubishi-Hitachi Power Systems, Ltd. (since 2014) 3

4 1-2. Introduction: ABWR A Proven Technology Safe, Reliable & Cost Competitive Constructed to Time & to Budget Modular Construction Techniques for Ease of Site Installation & Commissioning Licensed in Japan, Taiwan, USA Operational Kashiwazaki-Kariwa-6/7 Hamaoka-5 Shika-2 Under Construction Lungmen (Taiwan) Shimane 3 Ohma Source: 4

5 1-3. Introduction: Project Structure Hitachi, Ltd. (Investor) Horizon Nuclear Power (Site License Holder & Operator) Potential O&M Partners Tier-1 Delivery Team (led by HGNE & UK Team) HGNE as Technology Leader GDA Requesting Party GNF (Nuclear Fuel Supply) Tier-2 Engineering & Other Services Tier-2 Construction (C&B + Installation) Tier-2 Hardware Supply 5

6 2-1. Construction Supply Chain Development for UK-ABWR: Tier-1 Delivery Team Tier-1 Delivery Team (Indicative) Management Organisation (let by HGNE & UK Team) Core Engineering, Manufacturing, & Hardware Purchase Construction & Bulk / Other Hardware Purchase -Engineering -RPV, RIN, RCCV -Pedestal, Drywell -Tb. / Gen. -SRV, MSIV -Safety Pipe -Main I & C -Main Trans., etc. -RCIC Pump -Filter Vent Equip. -EDG -SFP / DSP Lining etc. -Construction -HGNE to directly participate in the installation of core portion of the reactor island. -Non Safety Piping & Valves -Various Tanks & Heat Exchangers -Cable Tray & Conduit -Radwaste Facilities, etc. HGNE or Hitachi, Ltd. UK or European Suppliers UK Construction Subcontractors UK or European Suppliers 6

7 2-2. Construction Supply Chain Development for UK-ABWR: Tier-2 Joint Studies Tier-2 Construction Joint Studies Developing HGNE understanding of UK construction landscape Have worked with a range of UK Tier 2 subcontractors, aiding ABWR knowledge transfer and building effective long-term relationships Three phases: JS1 (FY2013) / JS2 (FY2014) / JS3 (FY2015) Joint Study Scope Civil & Building Mechanical, Electrical & HVAC Electrical Others Joint Study Partners Balfour Beatty ConstructEnergy JV Kier Bam JV Doosan Babcock Cavendish Nuclear Balfour Beatty Bailey JV Boulting M+W Hargreaves (HVAC) Bilfinger (Mechanical Piping) 7

8 3. Some Key Objectives 1. Timely construction price firming for Horizon Early determination of major Tier-2 subcontractors Front-loaded construction engineering with the reflection of UK specials, the progress of GDA and various hardware engineering Generation of detailed scheduling with manpower loading Maximising local contents Value for money 2. Transfer of HGNE s ABWR construction principles Inside Tier-1 team & among all parties under Tier-2 Development of construction management manual Formation of the team of QA/QC Oversight 8

9 4. Major FY2015 Activities 1. Major Tier-2 Qualification by HGNE or Tier-1 Joint Study-3 (by HGNE) RFP Activities for Partial Scopes)(by HGNE) Tier-2 Selection (by Tier-1) Preliminary Scope Determination High Level Commercial Terms Negotiation Review on Safety Culture & Culture of Continuous Improvements Capacity & Right First Time Capability Review Financial Review Review on Compliance and Pending Legal Issues, etc. 2. Sourcing for Project Control Third Parties Such as for QA/QC Oversight 3. Start Sourcing Maintenance Partners Not only for construction scope but also for a variety of hardware supply by HGNE from Japan 9

10 Tier-2 & under Tier-1 Construction 5. Timeframes Expected GDA (Completed) COD: first half of 2020 s Step-3 Step-4 Construction + Commissioning FNC range (First Unit) Including Major Tier-2 Selection JS Project Preparation Price Firming Limited Prep. Work EPC Project Execution Full Work NTP EPC Project Execution Full Work NTP by Scope Only with Major Tier-2 Final Commitment for Oder by Tier-1 over Major Tier-2 Subs Selection & Commitment for Order by Tier-1on other Important Tier-2s Tier-2 Commitment for Order with important Hitachi-GE Tier-3 Nuclear and Energy, other Ltd. Proprietary Subs Information 10

11 6. Abbreviations ABWR=Advanced Boiling Water Reactor C&B=Civil & Buildings COD=Commercial Operation Date DSP=Dryer Separator Pool EDG=Emergency Diesel Generator EPC=Engineering, Procurement and Construction ESBWR=Economic Simplified Boiling Water Reactor FD=Fuel Loading FID=Final Investment Decision FNC=First Nuclear Construction FY=Fiscal Year (April to the following March for HGNE) GNF=Global Nuclear Fuels Americas I&C=Instrument & Control JS=Joint Study MSIV=Main Steam Isolation Valve NTP=Notice to Proceed RCCV=Reinforced Concrete Containment Vessel RCIC=Reactor Core Isolation Cooling RFP=Request for Proposal RIN=Reactor Internals RPV=Reactor Pressure Vessel SFP=Spent Fuel Pool SRV=Safety Relief Valve 11

12 XE-GD-0134 Rev.0 Thank you for listening

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