Liquid-Fluoride Thorium Reactor Development Strategy

1. Liquid-Fluoride Thorium Reactor Development Strategy Kirk Sorensen Flibe Energy Thorium Energy Conference 2013 October 28, 2013

2. Impending Coal-Fired Plant Retirements Large numbers of coal-fired power plants are also facing retirement, particularly in the Ohio River Valley and in the Carolinas.

3. EPA regulations are helping drive coal retirement The implementation of these regulations makes smaller, older coal plants inefficient and uneconomical, resulting in the loss of over 27GW. The loss of power places an urgency on utilities to plan for new, clean power solutions ahead of 2017. The window to plan for new clean generation sources fi ts perfectly with SMR development and offers a market opportunity of over $30bn for coal replacement alone.

4. “Renewable” options are limited in these regions

5. New reactors are under construction in the US and across the world.

6. The US Nuclear Retirement “Cliff” Beginning in 2028, nuclear power plant retirements will increase dramatically.

7. DOE sees Industry Leading Future Nuclear • “In the United States, it is the responsibility of industry to design, construct, and operate commercial nuclear power plants.” (pg 22) • “It is ultimately industry’s decision which commercial technologies will be deployed. The federal role falls more squarely in the realm of R&D.” (pg 16) • “The decision to deploy nuclear energy systems is made by industry and the private sector in market-based economies.” (pg 45)

8. Modular construction of nuclear reactors in a factory environment has become increasingly desirable to reduce uncertainties about costs and quality. Liquid-fluoride reactors, with their low-pressure reactor vessels, are particularly suitable to modular construction in a factory and delivery to a power generation site.

9. One-Fluid 1000-MWe MSBR Image source: ORNL-4832: MSRP-SaPR-08/72, pg 6

10. The Single Fluid Salt Processing Has Several Separation Steps Gaseous Fission Products/Nobel Metals Rare Earth Thorium Sep From Protactinium/Uranium Rare Earth Separation Pa Decay/U Separation Uranium Separation

11. Two-Fluid 250-MWe MSBR: August 1967 ORNL-4191, sec 5 ORNL-4528, sec 5

12. Two-Fluid 250-MWe MSBR: August 1967 ORNL-4191, sec 5 ORNL-4528, sec 5

13. How does a fluoride reactor use thorium? Uranium Absorption and Reduction UF4 UF6 UF6 Fluoride Volatility Fluoride Volatility Vacuum Distillation Fertile Salt Fuel Salt Fission Product Waste Recycle Fertile Salt Recycle Fuel Salt Core Blanket Two-Fluid Reactor

14. ORNL 1967 Two-Fluid 250-MWe Modular Reactors ORNL-4528, pg 20

15. 1967 ORNL Modular MSBR, Modern Renderings

16. Two-Fluid MSBR Dual Module Isometric View

17. Two-Fluid MSBR Dual Module Front View

18. Two-Fluid MSBR Reactor Module and Core Cutaway

19. Flibe Energy was formed in order to further develop liquid-fluoride reactor technology and to supply the world with affordable and sustainable energy, water and fuel.

20. We believe in the vision of a sustainable, prosperous future enabled by liquid-fluoride reactors producing electricity and desalinated water.

21. Located in Huntsville, Alabama

22. Water, Rail, and Air Freight Access to the World International Air Freight Extensive Rail Network Waterways to Gulf of Mexico and US Interior

23. Oak Ridge—birthplace of thorium/fluoride tech • Graphite Reactor—first thorium/U233 property measurements • Aircraft Reactor Experiment—first molten-salt reactor • Molten-Salt Reactor Experiment—20,000+ hours operation

24. Proximity to Oak Ridge National Laboratory • Accessible by the Tennessee River • 340km by road • Some MSRP retirees still live in area

25. Combustion Gas Turbine Technology established technology low-risk modular

26. Liquid-fluoride reactor produce high-temperature thermal power, enabling the use of new power conversion system technologies that reduce size and cost.

27. Nuclear-Heated Gas Turbine Propulsion Liquid-Fluoride Reactor

28. How does a fluoride reactor make electricity? The turbine drives a generator creating electricity Hot fuel salt Hot coolant salt Hot gas Turbine Salt / Salt Heat Exchanger Salt / Gas Heat Exchanger Warm gas Warm gas Compressor The gas is cooled and the waste heat is used to desalinate seawater Warm coolant salt Warm fuel salt Reactor containment boundary

29. How does a fluoride reactor use thorium? Uranium Reduction Fluoride Volatility 238U Thorium tetrafluoride Fertile Salt Recycle Fuel Salt Core External “batch” processing of core salt, done on a schedule Uranium Absorption- Reduction UF6 Blanket Fuel Salt UF6 Recycled 7LiF-BeF2 Hexafluoride Distillation Recycle Fertile Salt F2 H2 xF6 “Bare” Salt HF Fluoride Volatility Vacuum Distillation HF Electrolyzer MoF6, TcF6, SeF6, RuF5, TeF6, IF7, Other F6 Fission Product Waste

30. Liquid fuels enable enhanced safety In the event of TOTAL loss of power, the freeze plug melts and the core salt drains into a passively cooled configuration where nuclear fission and meltdown are not possible. The reactor is equipped with a “freeze plug”—an open line where a frozen plug of salt is blocking the flow. The plug is kept frozen by an external cooling fan. Freeze Plug Drain Tank

31. Today’s Nuclear Approach Plutonium/TRU Uranium 0.3% (depleted) 0.7% (natural) 3-5% (LEU) 93% (HEU) Thorium Weapons-Grade Plutonium Depleted Uranium Stockpiles HEU Downblending Facility Highly-Enriched Uranium Stockpiles Thorium Stockpiles Uranium Enrichment Facility LEUO2 Fuel Fabrication Facility Existing U233 Inventory NUO2 to NUF6 Conversion Facility LEUO2-Fueled Light-Water Reactor Reactor-Grade Plutonium Uranium Mill Uranium Mine Yucca Mountain Facility NUO2 = Natural Uranium Dioxide NUF6 = Natural Uranium Hexafluoride LEUO2 = Low-Enrichment Uranium Dioxide

32. Conventionally-Proposed Nuclear Approach Plutonium/TRU Uranium 0.3% (depleted) 0.7% (natural) 3-5% (LEU) 93% (HEU) Thorium Weapons-Grade Plutonium Depleted Uranium Stockpiles HEU Downblending Facility Highly-Enriched Uranium Stockpiles Thorium Stockpiles MOX Fuel Fabrication Facility Uranium Enrichment Facility LEUO2 Fuel Fabrication Facility MOX-Fueled Light-Water Reactor NUO2 to NUF6 Conversion Facility LEUO2-Fueled Light-Water Reactor Existing U233 Inventory Uranium Mill Aqueous Reprocessing Plant Uranium Mine Yucca Mountain Facility Dispose in WIPP NUO2 = Natural Uranium Dioxide NUF6 = Natural Uranium Hexafluoride LEUO2 = Low-Enrichment Uranium Dioxide MOX = Mixed Oxide Fuel (contain plutonium)

33. Transition to Thorium Proposed Nuclear Approach Plutonium/TRU Uranium 0.3% (depleted) 0.7% (natural) 3-5% (LEU) 93% (HEU) Thorium Weapons-Grade Plutonium Stockpiles Depleted Uranium Stockpiles Uranium Reserves and Imports LEUO2-Fueled Light-Water Reactors Highly-Enriched Uranium Stockpiles Thorium Stockpiles & Rare Earth Mining Reactor-Grade Plutonium XUO2 Fluorination Facility Liquid-Fluoride Thorium Reactors (HEU start) TRU U233 DUF6 TRU-Fueled Liquid-Chloride Reactors U233 Inventory U233 DUF6 to DUO2 Conversion Facility F2 Liquid-Fluoride Thorium Reactors (U233 start) F2 F2 LEUO2 = Low-Enrichment Uranium Dioxide XUO2 = Exposed Uranium Dioxide Fuel TRU = Transuranics (Pu, Am, Cm, Np) DUF6 = Depleted Uranium Hexafluoride DUO2 = Depleted Uranium Dioxide F2 = Gaseous Fluorine DUO2 Underground Burial

34. “During my life I have witnessed extraordinary feats of human ingenuity. I believe that this struggling ingenuity will be equal to the task of creating the Second Nuclear Era.” “My only regret is that I will not be here to witness its success.” —Alvin Weinberg (1915-2006)