ML21148A121

American Centrifuge Operating, LLC, Information Related to Foreign Ownership, Control, or Influence Information

ML21148A121
Person / Time
Site:	07007004
Issue date:	05/19/2021
From:	Karen Fitch American Centrifuge Operating
To:	Document Control Desk, Division of Security Operations
References
ACO 21-0025
Download: ML21148A121 (7)

Text

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<D e @ lil of Nuclear Power May 19, 2021 ACO 21-0025 ATTN: Document Control Desk Ms. Sabrina D. Atack, Director Division of Security Operations Office of Nuclear Security and Incident Response U.S. Nuclear Regulatory Commission Washington, DC 20555-0001 American Centrifuge Plant, Docket No. 70-7004; License No. SNM-2011

, Supplemental Information Related to Foreign Ownership, Control, or Influence Information INFORMATION TRANSMITTED HEREWITH IS PROTECTED FROM PUBLIC DISCLOSURE AS CONFIDENTIAL COMMERCIAL OR FINANCIAL INFORMATION AND/OR TRADE SECRETS PURSUANT TO 10 CFR 2.390 AND 9.17(a)(4)

Dear Ms. Atack:

In accordance to a commitment made within Reference 1, the -purpose of this letter is to submit American Centrifuge Operating, LLC's (ACO) unaudited financial information for calendar year 2020 for U.S. Nuclear Regulatory Commission review as Enclosure 1 of this letter.

Enclosure 1 contains Proprietary Information and ACO requests that Enclosure 1 be withheld from public disclosure pursuant to 10 Code of Federal Regulations (CPR) 2.390(a)(4). An affidavit required by 10 CPR 2.390(b)(l)(ii) is provided in Enclosure 2.

If any further information is needed to complete the. review of this supplemental information, please contact Michael Whitehurst at (301) 564-3475.

Sincerely, X.&; cY-Ji*ili Kelly L. Fitch Regulatory Manager Proprietary Information When separated from Enclosure 1, this cover letter is uncontrolled.

American Centrifuge Operating, LLC 3930 U.S. Route 23 South - P.O. Box 628 Piketon, OH 45661

Proprietary Information Ms. Sabrina D. Atack May 19, 2021 ACO 21-0025, Page 2

Enclosures:

As stated

Reference:

1. Letter ACO 20-0005 from L.B. Cutlip to M. Bailey (NRC) regarding Supplemental Information Related to Foreign Ownership, Control, or Influence Information, dated January 29,2020 cc (without enclosures unless otherwise noted):

K. Everly, NRC HQ (Enclosures)

Y. Faraz, NRC HQ (Enclosures)

S. Harlow, DOE NE J. Hutson, DOE NE Contractor M. McCune, DOE NE L. Pitts, NRC Region II (Enclosures)

K. Shears, DOE OR E. St. Clair, DOE ORO T. Vukovinsky, NRC Region II R. Womack, NRC Region II Proprietary Information When separated from Enclosu_re I, this cover letter is uncontrolled.

Enclosure 2 of ACO 21-0025 Affidavit Information Contained Within Does Not Contain Export Controlled Information Reviewing Official: #1014 Date: 05/19/2021

AFFIDAVIT OF LARRY B. CUTLIP SUPPORTING APPLICATION TO WITHHOLD FROM PUBLIC DISCLOSURE CERTAIN INFORMATION PROVIDED TO NRC IN LETTER ACO 21-0025 I, Larry B. Cutlip, of Centrus Energy Corp. (Centrus), having been duly sworn, do herby affirm and state:

1. I have been authorized by Centrus to (a) review the information owned by Centrus which ~s referenced herein relating to a supplement to the Foreign Ownership, Control or Influence (FOCI) information for Centrus described in letter ACO 21-0025, which Centrus seeks to have withheld from public disclosure pursuant to section 147 of the Atomic Energy Act (AEA), as amended, 42 U.S.C. § 2167, and 10 CFR 2.390(a)(4), and 9.l 7(a)(4), and (b) apply for the withholding of such information from public disclosure by the U.S. Nuclear Regulatory Commission (NRC) on behalf of Centrus.

2. Consistent with the provisions of 10 CFR 2.390(b)(4) of the Commission's regulations, the following is furnished for consideration by the Commission in determining whether the information sought to be withheld from public disclosure should be withheld.

1. The information sought to be withhel<:{ from public disclosure is owned and has been held in confidence by Centrus.

11. The information is of a type customarily held in confidence by Centrus and not customarily disclosed to the public. Centrus has a rational basis for determining the types of information customarily held in confidence by it and, in that connection, utilizes a system to determine when and whether to hold certain types of information in confidence.

, ,J The application of that system and the substance of that system constitute Centrus policy 0

and provide the rational basis required. Under that system, information is held in

confidence if it falls in one or more of several types, the release of which might result in the loss of an existing or potential competitive advantage, as follows:

a) The information reveals the distinguishing aspects of a process (or component, structure, tool, method, etc.) where presentation of its use by any of Centrus'I competitors without license from Centrus constitutes a competitive economic advantage over other companies.

b) It consists of supporting data, including test data, relative to a process (or component, structure, tool, method, etc.), the application of which data secures a competitive economic advantage (e.g., by optimization or improved marketability).

c) Its use by a competitor would reduce theh expenditure of resources or improve their competitive position in the design, manufacture, shipment, installation, assurance of

• quality, or licensing a similar product.

d) It reveals cost or price information, production capacities, budget levels, or commercial strategies of Centrus, its customers or suppliers.

e) It reveals aspects of past, present, or future Centrus or customer funded development plans and programs of potential commercial value to Centrus.

t) It reveals information concerning the terms and conditions, work performed, administration, performance under or extension of contracts with its customers or suppliers.

iii. There are sound policy reasons behind the Centrus system which include the following:

a) The use of such information by Centrus gives Centrus a competitive advantage over its competitors. It is, therefore, withheld from disclosure to protect the Centrus I

competitive position.

b) It is information, which is marketable in many ways. The extent to which such information is available to competitors diminishes Centrus' ability to sell products and services involving the use of the information.

c) Use by our competitors would put Centrus at a competitive disadvantage by reducing J

their expenditure of resour~es at Centrus expense.

d) Each component of proprietary information pertinent to a particular competitive advantage is potentially as valuable as the total competitive advantage. If competitors acquire components or proprietary information, any one component may be the key to the entire puzzle, thereby depriving Centrus of a competitive advantage.

e) Unrestricted disclosure would jeopardize the position of prominence of Centrus in the world market, and thereby give a market advantage to the competition of those countries.

f) The Centrus capacity to invest corporate assets in research and development depends upon the success in obtaining and maintaining a competitive advantage.

, iv. The information is being transmitted to the Commission in confidence and, under the provisions of 10 CFR Section 2.390, it is to be received in confidence by the J

Commission.

v. The information sought to be protected is not available in p1fblic sources or available information has not been previously employed in the same original manner or method to the best of our knowledge and belief.

3. The proprietary information sought to be withheld is contained in Enclosure 1 of ACO 21-0025. This letter provides NRC with subsidiary company financial information. This information is part of that which will enable ACO to ensure adequate funding is available

to continue the deployment of ACO's high-assay low enriched uranium (HALEU)

\

Demonstration Program.

) Further the deponent sayeth not.

Larry B. Cutlip, having been duly sworn, hereby confirms that I am the Senior Vice President, Field Operations of Centrus, that I am authorized on behalf of Centrus to review the information attached hereto and to sign and' file with the U.S. Nuclear Regulatory Commission this affidavit and the attachments hereto, and that the statements made and matters set forth herein are true and correct to the best of my knowledge, information, and belief.

On this 19th day of May 2021, Larry B. Cutlip persona ppeared before me, is known by me to be the person whose name is subscribed to within the instrument and acknowledged that he executed the same for the purposes therein contained.

In witness hereof I hereunto set my hand and official seal.

~

Kathy Richer State of Tennessee Notary Public Anderson County My commission expires October 26, 2024