Nuscale Power Corporation · NYSE:SMR
Nuscale Power — Spring Valley Acquisition — SPAC Merger (March 2022)
48 slides from Nuscale Power's SPAC merger presentation, Mar 31, 2022
Slide 1: Analyst Day Presentation March 31, 2022
Analyst Day Presentation March 31, 2022
Slide 2: Forward-looking statements disclaimer
2 This presentation (“Presentation”) and any oral statements made in connection with the Presentation do not constitute an offer to sell or solicitation to buy any securities, nor the solicitation of a proxy, consent, or authorization in connection with the proposed business combination between NuSc
Slide 3: Non-GAAP financial measures and additional information
3 The Company uses certain financial measures that are not defined by generally accepted accounting principles in the United States (“GAAP”) to evaluate various aspects of its business, including EBITDA, Cash EBITDA and Cash Revenue (as defined herein). Non-GAAP financial measures are not measures o
Slide 4: Today's Agenda
4 Today’s Agenda 01 Introductions and History 8:00am – 8:15am John Hopkins, President and CEO 02 NuScale Technology 8:15am – 8:35am Jose Reyes, CTO and Co-Founder 03 Products, Services, & Customer Opportunities 8:35am – 8:55am Tom Mundy, CCO 04 Regulatory History 8:55am – 9:15am Tom Bergman, VP Regu
Slide 5: NuScale transformational small modular reactor
5 NuScale has developed a transformational small modular reactor ("SMR") that delivers scalable, safe and reliable carbon-free nuclear power essential to meeting global decarbonization targets
Slide 6: NuScale by the Numbers
6 NuScale by the Numbers 1st And Only SMR to Receive NRC Standard Design Approval 15 Years R&D and Testing Founded in 2007 $1.3bn Cumulative Capital Invested to Date 485+ Employees with Unparalleled Nuclear Experience 37 PhDs 167 Master in Engineering / Science Degrees 8 Strategic Investors Supporti
Slide 7: Company History and Key Milestones
7 Began NRC Pre-Application Note: Logos represent first investment in NuScale. (1) Represents cumulative capital invested through December 31, 2021. Includes funding received from the DOE cost-sharing program. Excludes any capital raised as part of a de-spac transaction. Company History and Key Mile
Slide 8: NuScale's Visionary Management Team
8 NuScale’s Visionary Management Team John Hopkins President & Chief Executive Officer Since 2012 Jose Reyes, Ph.D. Chief Technology Officer & Co-Founder Since 2007 UNITED STATES NUCLEAR REGULATORY COMMISSION Chris Colbert Chief Financial Officer Since 2011 Dale Atkinson Chief Operating Officer & Ch
Slide 9: NuScale Technology - Jose Reyes, CTO and Co-Founder
NuScale Technology 02 - Jose Reyes, CTO and Co - F o u n d e r
Slide 10: NuScale's Core Technology: the NuScale Power Module
10 NuScale’s Core Technology: the NuScale Power Module™ Reactor Core Reactor Pressure Vessel Steam Generators Pressurizer Containment 76 ft 15 ft Groundbreaking technology features a fully factory fabricated SMR referred to as a NuScale Power ModuleTM consisting of an integral nuclear steam supply s
Slide 11: IP Portfolio and Skilled Employee Base Key to Advantage
11 IP Portfolio and Skilled Employee Base Key to NuScale’s Advantage Growing Robust IP Portfolio 425 Issued Patents Globally 209 Pending Patents Software Developed In-House and Approved by the NRC Highly Cyber Secure FPGA Based Module Protection Highly Educated Workforce 485+ Employees 167 Master in
Slide 12: Key Enabling Features Dependent on Patented Technology
12 Key Enabling Features Dependent on Patented Technology Passive Safety System Integral Steam Generator Natural Circulation System Evacuated Containment Design 4 3 NuScale Power ModuleTM 2 1 Scalable Reactor Building Design 5 Cyber-secure FPGA Based Module Protection Digital Multi-Module Control Ro
Slide 13: Inherently Safe Design Sets New Industry Standards
13 Inherently Safe Design Sets New Industry Standards – Triple Crown of Nuclear Plant Safety™ Unlimited Coping Period for Reactors Only SMR that Supports U.S. NRC Site Boundary Emergency Planning Zone (“EPZ”) Unparalleled Capability and Performance Comparison of Reactor Coping Period Following an Ex
Slide 14: Well Suited for Applications Critical to the Energy Transition
14 NuScale is Well Suited for a Range of Applications Critical to the Energy Transition Enhancing the Power Grid Energy Transition-Specific Opportunities Grid Resiliency • Adverse weather conditions do not impact operations for a VOYGRTM Plant • A single module can be black-started and can power the
Slide 15: 16,000+ GW of new capacity must come from clean baseload
15 Much of the 16,000+ GW of new capacity must come from clean baseload generation of which nuclear is the only viable option Nuclear SMR Only Viable Zero-Emission Baseload Technology Traditional Baseload Renewables Baseload Capable Dispatchable and load-following capable Zero-Emission / Clean 100%
Slide 16: Competitive Landscape: Key Differentiators
16 Competitive Landscape: Key Differentiators Selected Differentiators Small Modular Reactor Competitors Other Light Water Reactors Non-Light Water Reactors(1) Underlying Technology Track Record Light water reactor (LWR) 50+ years history Same as NuScale Relatively limited Fuel Supply Infrastructure
Slide 17: Products and Services – Tom Mundy, CCO
Products and Services 03 – Tom Mundy, CCO
Slide 18: Diversified, Low Capex Model with Significant Competitive Moat
18 NuScale has a Diversified, Low Capex Model with Significant Competitive Moat NuScale VOYGRTM Power Plants Services Sale of NuScale Power ModulesTM Provision of a diversified suite of services including licensing support, testing, training, fuel supply, program management, etc. Revenue Source Sale
Slide 19: NuScale VOYGR Power Plants
19 NuScale VOYGRTM Power Plants NuScale sells its NuScale Power ModulesTM (77 MWe each) as well as its standard plant designs and licensing basis to utility and industrial customers globally Three Power Plant Size Offerings To Meet Customer Power Needs, Infrastructure/Grid Limitations, and Economics
Slide 20: Critical Services Over the Life Cycle of the Plant
20 Footer NuScale Offers Critical Services Over the Life Cycle of the Plant Recurring and diversified High penetration rates Revenue opportunity begins ~8 years pre-COD and extends over the 60+ year life of the plant Select NuScale Services T-8 T-7 T-6 T-5 T-4 T-3 T-2 T-1 COD T+1 T+2 T+3 T+4 T+5 Lic
Slide 21: Customer Opportunities – Tom Mundy, CCO
Customer Opportunities 04 – Tom Mundy, CCO
Slide 22: Customer View on Economics
22 Solar Wind Storage Other SMR 0 20 40 60 80 100 120 RE + Storage + NuScale SMRs Capacity (GW) Customer View on Economics Total system cost in customer Integrated Resource Plan is the applicable benchmark (1) Source: NREL, U.S. Solar Photovoltaic System and Energy Storage Cost Benchmarks: Q1 2021 (
Slide 23: Robust and Diversified Global Customer Pipeline
23 Potential customers include governments, political subdivisions, state-owned enterprises, public and investor- owned utilities, and other commercial and industrial companies, in domestic and international markets Robust and Diversified Global Customer Pipeline Class 2 (8) Committed to Proceed wit
Slide 24: UAMPS among first commercial deployments of NPMs
24 Utah Associated Municipal Power Systems (“UAMPS”) will be among the first commercial deployments of NPMs NuScale Customer Poised to Deploy NPMs in 2029 UAMPS Overview First commercial deployment will be a VOYGRTM-6 power plant at the Idaho National Laboratory (“INL”) for the UAMPS Carbon Free Pow
Slide 25: Romania potential first SMR deployment in Europe
25 In partnership with NuScale, Romania has the potential to be the first deployment of SMRs in Europe NuScale and Nuclearelectrica Partnership November 2, 2021 The United States and Romania will announce today plans to build a “first-of-a-kind” small modular reactor (SMR) plant in Romania in partne
Slide 26: Agreement with KGHM for first SMR in Poland
26 NuScale announces a historic agreement with KGHM to initiate the deployment of the first SMR in Poland NuScale and KGHM Partnership February 14, 2022 KGHM is proud to lead the initiation of a 100% carbon free energy project, delivering on its commitment to lead efforts to decarbonize. The SMR tec
Slide 27: Our Strategic Partners
27 Our Strategic Partners NuScale Partner Key Roles Fluor Corporation (NYSE: FLR) Majority investor in NuScale, collaborator on plant design, and provider of engineering, project management, procurement, and construction services U.S. Department of Energy Supporter and provider of four NuScale cost-
Slide 28: Regulatory History – Tom Bergman, VP Regulatory Affairs
Regulatory History 05 – Tom Bergman, VP Regulatory Affairs
Slide 29: First SMR to Undergo Licensing in the U.S.
29 First SMR to Undergo Licensing in the U.S. DCA Statistics • 12,000+ pages • 14 topical reports • >2 million labor hours • >800 people • >50 supplier/partners • Over $500M invested to-date on licensing NuScale Power Makes History as the First Ever Small Modular Reactor to Receive U.S. Nuclear Regu
Slide 30: US Licensing – First Deployment Roadmap
30 US Licensing – First Deployment Roadmap 2022 NRC Approval of NuScale EPZ Size Method Complete SDAA for VOYGRTM-6 (77 MWe-per-NPM design) 2023 2024 Complete CFPP COLA NRC Issues SDA 2025 NRC Review of CFPP COLA 2026 NRC Issues CFPP COL NRC Review of SDAA
Slide 31: Regulatory Strategy and International Deployment
31 Regulatory Strategy and International Deployment International Deployment Engaged with UK Office of Nuclear Regulation during its 2018 – 2019 SMR regulatory workshops Leverage NRC approval of design through bilateral agreements with other regulators Canada Romania Promote standardization of desig
Slide 32: Q&A Session #1
Q&A Session #1 2 0 M i n u t e s
Slide 33: Break
Break 5 M i n u t e s
Slide 34: Supply Chain Development – Scott Bailey, VP Supply Chain
Supply Chain Development 06 – Scott Bailey, VP Supply Chain
Slide 35: Manufacturing and Supply Chain – Key Tenets
35 NuScale Manufacturing and Supply Chain – Key Tenets Few first-of-a-kind components Flexible approach to scale production quickly • Supply chain development • Global supply chain Protection of intellectual property Manufacturer agnostic – build to print Proven manufacturing partners Asset-light mo
Slide 36: Established Supply Chain Ecosystem
36 Established Supply Chain Ecosystem NuScale Power ModulesTM Fuel Assemblies(1) Control Systems Reactor Building Crane Module Protection System Sensors and Instrumentation (1) Fuel assembly image provided by Framatome Inc. and used by permission.
Slide 37: NPM Manufacturing Readiness
37 NPM Manufacturing Readiness F6NM Material Forging F6NM Material Forging Cladding Distortion SG Tube Bending Completed Design for Manufacturing Manufacturing Trials Manufacturer feedback to optimize design and lower costs Manufacturing plan development Preliminary drawings Performed by Doosan and
Slide 38: Quality Assurance & ASME, Manufacturing Program & PLM
38 Quality Assurance & ASME Manufacturing Program & PLM Supplier Readiness Manufacturing Trials PLM Software Established Quality Assurance Program Product Lifecycle Management System for integration of design, manufacturing, testing, and turnover to a customer Full scale manufacturing trials in prog
Slide 39: VOYGR Plant Supply Chain Division of Responsibility
39 VOYGRTM Plant Supply Chain Division of Responsibility VOYGRTM Plant NuScale Scope-of-Supply EPC Scope-of-Supply NuScale Power ModulesTM Site Construction Fuel Balance-of-Plant (“BOP”) Mechanical Equipment Mechanical Handling BOP Electrical and Control Equipment I&C Buildings and Structural Materi
Slide 40: Commercialization – Karin Feldman, VP Program Management
Commercialization 07 – Karin Feldman, VP Program Management
Slide 41: Progress to Date
41 Progress to Date Completed 15 years of technology development, including 7+ years of DOE-cost shared effort, resulting in regulatory approvals and completion of critical testing programs for design validation Successfully matured critical technologies and FOAK design elements to achieve an averag
Slide 42: Commercialization Readiness
42 Commercialization Readiness NuScale Commercial Readiness Start-Up and Operations Design Finalization Licensing Plant Design Supply Chain Readiness NRC Standard Design Approval for VOYGRTM-6 configuration Approved NRC topical reports for unique NuScale methods and capabilities All technologies at
Slide 43: Financial Profile – Chris Colbert, CFO
Financial Profile 08 – Chris Colbert, CFO
Slide 44: Financial Summary
44 $ in millions Financial Summary “Cash Revenue”(1) Free Cash Flow(3) NPM COD Forecast “Cash EBITDA”(2) (1) “Cash Revenue” reflects GAAP revenue plus (or minus) any increases (or decreases) in deferred revenue during the year. (2) “Cash EBITDA” reflects net income before interest, tax, depreciation
Slide 45: Energy Transition Nuclear Operational Benchmarking
45 Energy Transition Nuclear Operational Benchmarking Revenue CAGR (1) Source: FactSet as of March 14, 2022, public filings. (1) NuScale financials represent Cash metrics. Nuclear EBITDA Margin (1) Energy Transition 2021E – 2024E 2021E – 2024E 2025E 2022E 2024E – 2026E 2026E Median: 34% Median: 4% M
Slide 46: Transaction Overview
46 $ in millions Transaction Overview Sources Pro Forma Ownership (%) at Closing(3) Uses Pro Forma Capitalization Note: Assumes no redemptions from Spring Valley Acquisition Corp.; assumes new shares issued at a price of $10.00. (1) Comprised of 187.5mm shares owned by existing NuScale shareholders,
Slide 47: Q&A Session #2
Q&A Session #2 3 0 M i n u t e s
Slide 48: Thank You
Thank You ******* No Offer or Solicitation This presentation does not constitute an offer to sell or a solicitation of an offer to buy, or the solicitation of any vote or approval in any jurisdiction in connection with a proposed potential business combination among Spring Valley and NuScale or any