NL-20-1312, Response to Request for Additional Information Related to Proposed Inservice Inspection Alternative VEGP-ISI-ALT-04-04 Version 2.0

From kanterella
Jump to navigation Jump to search

Response to Request for Additional Information Related to Proposed Inservice Inspection Alternative VEGP-ISI-ALT-04-04 Version 2.0
ML20329A302
Person / Time
Site: Vogtle  Southern Nuclear icon.png
Issue date: 11/23/2020
From: Gayheart C
Southern Nuclear Operating Co
To:
Document Control Desk, Office of Nuclear Reactor Regulation
References
NL-20-1312
Download: ML20329A302 (22)


Text

A Southern Nuclear Cheryl A. Gayheart Regulatory Affairs Director 3535 Colonnade Park\vay Birmingham , AL 35243 205 992 5316 cagayhea@southemco.com November 23, 2020 Docket Nos.: 50-424 NL-20-1312 50-425 U. S. Nuclear Regulatory Commission ATTN: Document Control Desk Washington, D. C. 20555-0001 Vogtle Electric Generating Plant, Units 1 & 2 Response to Request for Additional Information Related to Proposed lnservice Inspection Alternative VEGP..-IS I-ALT-04-04 Version 2.0 Ladies and Gentlemen:

By letters dated December 11, 2019 (Agencywide Documents Access and Management System (ADAMS) Accession No. ML193478105), and September 9, 2020 (ADAMS Accession No. ML20253A311 ), Southern Nuclear Operating Company (SNC) submitted a request for relief for the Vogtle Electric Generating Plant (VEGP), Units 1 and 2. SNC requests to increase the inspection interval for ASME Section XI, Table IWC-2500-1, exam Category CB, item number C2.21 and C2.22, exams from 10 years to 30 years through for the remainder of the 6th ISi Interval.

By email dated October 22 , 2020, the US NRC notified SNC that additional information is needed for the staff to perform their review. to this letter provides the SNC response to the NRC request for additional information (RAI). Attachment 1 provides supplemental information regarding Item 2.c.i of the NRC Audit of the PROMISE Version 1.0 Software held on July 27, 2020.

This letter contains no NRC commitments. If you have any questions, please contact Jamie Coleman at 205.992.6611.

Cheryl A. ay art Regulatory Affairs Director CAG/dsp/cbg

861XFOHDU5HJXODWRU\&RPPLVVLRQ

1/

3DJH





(QFORVXUH 61&5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ 5$, 



$WWDFKPHQW61&5HVSRQVHWR,WHPFL'XULQJWKH&RQWLQXDWLRQRIWKH15&$XGLWRIWKH

3520,6(9HUVLRQ6RIWZDUHRQ-XO\





FF5HJLRQDO$GPLQLVWUDWRU

 1553URMHFW0DQDJHU+/-9RJWOH 

6HQLRU5HVLGHQW,QVSHFWRU+/-9RJWOH 

 57\SH&9&





























9RJWOH(OHFWULF*HQHUDWLQJ3ODQW8QLWV 

5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ5HODWHGWR

3URSRVHG,QVHUYLFH,QVSHFWLRQ$OWHUQDWLYH9(*3,6,$/79HUVLRQ



(QFORVXUH



61&5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ 5$, 



















































(QFORVXUHWR1/

61&5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ 5$, 



5$,

,VVXH

6HFWLRQRIWKH(35,UHSRUWVWDWHVWKDWLWGLGQRWFRQVLGHUWHVWFRQGLWLRQVEH\RQG

DV\VWHPOHDNDJHWHVWLQWKHDQDO\VHVDQGWKDWVLQFHDQ\SUHVVXUHWHVWVZLOOEHSHUIRUPHGDW

RSHUDWLQJSUHVVXUHQRVHSDUDWHWHVWFRQGLWLRQVQHHGWREHLQFOXGHGLQWKHDQDO\VHVEHFDXVHWKH

WHVWFRQGLWLRQVDUHFDSWXUHGLQWKHRWKHUWUDQVLHQWVLQFOXGHGLQWKHDQDO\VHV(YHQWKRXJKWKH

WHVWFRQGLWLRQVDUHQRWLQFOXGHGLQWKHDQDO\VHVWKH15&VWDIIGHWHUPLQHGWKDWWKHDSSURSULDWH

WHPSHUDWXUHFRQGLWLRQVIRUDQXSSHUVKHOIIUDFWXUHWRXJKQHVV .,& YDOXHRINVL¥LQDVVXPHG

LQWKH(35,UHSRUWPXVWH[LVWGXULQJWKHVHFRQGDU\VLGHV\VWHPOHDNDJHDQGVHFRQGDU\VLGH

K\GURVWDWLFWHVWV7KH15&VWDIIQRWHGLQ6HFWLRQV1DQG1RIWKH

9RJWOH8QLWVDQG8SGDWHG)LQDO6DIHW\$QDO\VLV5HSRUW 8)6$5$'$06$FFHVVLRQ1R

0/& WKHPLQLPXPWHPSHUDWXUHRI)VSHFLILHGIRUWKHVHFRQGDU\VLGHV\VWHP

OHDNDJHDQGVHFRQGDU\VLGHK\GURVWDWLFWHVWV7KH15&VWDIIQRWHGWKLVPLQLPXP

WHPSHUDWXUHLVWRRORZIRUDQXSSHUVKHOI.,&YDOXHRINVL¥LQDVVXPHGLQWKH(35,UHSRUW

7KH15&VWDIIIXUWKHUQRWHGWKDWWKHYDOXHRIWKHSDUDPHWHU7+/-571'7XVHGLQFDOFXODWLQJWKH

$60(&RGH.,&YDOXHPXVWEHDWOHDVW)IRUWKHPDWHULDOWREHRQWKHXSSHUVKHOIDQGD

.,&YDOXHRINVL¥LQWREHDSSURSULDWH6HFWLRQRIWKH(35,UHSRUWVWDWHVWKDWLW

DVVXPHGDQ571'7YDOXHRI)IRUWKHVXEMHFWLRQ6*FRPSRQHQWV7KHUHIRUHWKH

WHPSHUDWXUH7LQ7+/-571'7PXVWEHDWOHDVW)) )LQRUGHUIRUD.,&YDOXHRI

NVL¥LQWREHDSSURSULDWH

5HTXHVW

&RQILUPWKDWZKHQWKHVHFRQGDU\VLGHV\VWHPOHDNDJHDQGVHFRQGDU\VLGHK\GURVWDWLFWHVWVDW

9RJWOH8QLWVDQGDUHSHUIRUPHGDWWKHPD[LPXPSUHVVXUHVVSHFLILHGIRUWKH

WHVWVWKHWHPSHUDWXUHLVOHDVW)

61&5HVSRQVH:LWKUHVSHFWWRVHFRQGDU\VLGHV\VWHPOHDNDJHWHVWVOHDNDJHWHVWV $60(

&RGH6HFWLRQ;,([DPLQDWLRQ&DWHJRU\&+ DUHFRQGXFWHGGXULQJHDFKLQVHUYLFHLQVSHFWLRQ

SHULRG DSSUR[LPDWHO\HYHU\RWKHUUHIXHOLQJRXWDJH 7KHVHFRQGDU\VLGHV\VWHPOHDNDJHWHVWV

DUHSHUIRUPHGLQSDUDOOHOZLWKWKH&ODVVOHDNDJHWHVWZKLFKLVSHUIRUPHGDWQRPLQDORSHUDWLQJ

WHPSHUDWXUHDQGSUHVVXUHDVDUHVXOWWKHVHFRQGDU\VLGHOHDNDJHWHVWIRUWKHVWHDPJHQHUDWRUV

6*V LVSHUIRUPHGDWQRPLQDORSHUDWLQJWHPSHUDWXUHDQGSUHVVXUH3HU8)6$57DEOH

WKH9RJWOH8QLWVDQG6*QRUPDORSHUDWLQJLQOHWIHHGZDWHUDQGRXWOHWPDLQVWHDP

WHPSHUDWXUHVDUH)DQG)UHVSHFWLYHO\7KHUHIRUHWKHVHFRQGDU\VLGHV\VWHP

OHDNDJHWHVWVDUHSHUIRUPHGDW6*WHPSHUDWXUHVZHOODERYHWKHWHPSHUDWXUHRI)

DSSOLFDEOHIRUWKHDVVXPHG.,&YDOXHRINVLLQFKLQWKH(35,VWXG\

LWKUHVSHFWWRVHFRQGDU\VLGHV\VWHPK\GURVWDWLFWHVWVWKHK\GURVWDWLFHYHQWVUHIHUUHGWRLQWKH

5$,IURPWKH9RJWOH8)6$5UHIHUWRWHVWVWKDWDUHSHUIRUPHGGXULQJFRQVWUXFWLRQSULRUWRSODQW

VWDUWXS)RUDQ\PDMRU6*UHSDLUVWKDWPD\RFFXULQWKHIXWXUH6HFWLRQ;,3DUDJUDSK,:$

 D UHTXLUHVDQRSHUDWLQJV\VWHPOHDNDJHWHVWRUDVHFRQGDU\VLGHV\VWHPK\GURVWDWLFWHVW

61&SHUIRUPVRSHUDWLQJV\VWHPOHDNDJHWHVWVUDWKHUWKDQVHFRQGDU\VLGHV\VWHPK\GURVWDWLF

WHVWVRQWKH9RJWOH6*VIROORZLQJUHSDLUDQGUHSODFHPHQWDFWLYLWLHVVRVHFRQGDU\VLGHV\VWHP

K\GURVWDWLFWHVWVDUHQRWDSSOLFDEOHDQGZHUHWKHUHIRUHQRWFRQVLGHUHGLQWKHVXSSRUWLQJ(35,

VWXG\

1HYHUWKHOHVVXVLQJWKHERXQGLQJ571'7YDOXHIURPWKH(35,UHSRUWRI)WKH.,&YDOXH

DSSOLFDEOHIRUD)ORZHUERXQGWUDQVLHQWWHPSHUDWXUHLV

.,&  H[S> 7+/-571'7 @



(QFORVXUHWR1/

61&5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ 5$, 



  H[S> +/- @

  NVLLQFK

6HFWLRQRIWKH(35,UHSRUWSUHVHQWVWKHUHVXOWVRIVHQVLWLYLW\VWXGLHVIRUIUDFWXUH

WRXJKQHVV7KHUHVXOWVRIWKRVHVHQVLWLYLW\VWXGLHVDUHSUHVHQWHGLQ7DEOHVDQGRIWKH

(35,UHSRUWIRUSUREDELOLWLHVRIUXSWXUHDQGOHDNDJHUHVSHFWLYHO\2QHRIWKHVHQVLWLYLW\UXQV

WKDWZDVPDGHXVHGD.,&YDOXHRINVLLQFK ZLWKDVWDQGDUGGHYLDWLRQRINVLLQFK 7KH

UHVXOWVRIWKDWVHQVLWLYLW\VWXG\UXQLQGLFDWHWKDWWKHSUREDELOLWLHVRIUXSWXUHDQGOHDNDJHIRUWKH

WZROLPLWLQJFDVHV )(:31DQG)(:3$ DUHDWOHDVWWKUHHRUGHUVRIPDJQLWXGHEHORZWKH

DFFHSWDQFHFULWHULDRI[SHU\HDUDVVXPPDUL]HGLQWKHWDEOHEHORZ

6XPPDU\RI5HVXOWVRIWKH)UDFWXUH7RXJKQHVV6HQVLWLYLW\6WXG\IRUD.,&9DOXHRI

NVLLQFKIRUWKH/LPLWLQJ&DVHVIURPWKH(35,5HSRUW

3UREDELOLW\RI5XSWXUH 3UREDELOLW\RI/HDNDJH

&DVH

&RPSRQHQW IURP7DEOHRIWKH IURP7DEOHRIWKH

,GHQWLILFDWLRQ

(35,5HSRUW  (35,5HSRUW 

HVWLQJKRXVH )(:31 ( (

)HHGZDWHU1R))OH

)(:  )(:3$ ( (



7KHUHIRUHWKHVHFRQGDU\VLGHV\VWHPOHDNDJHWHVWVDVGHILQHGLQWKH9RJWOH8QLWVDQG

8)6$5DUHDGGUHVVHGE\WKHVHQVLWLYLW\VWXGLHVLQFOXGHGLQWKH(35,UHSRUWZKLFKSURGXFH

DFFHSWDEOHUHVXOWV



5$,

,VVXH

1RWHLQ7DEOHRIWKH(35,UHSRUWVWDWHVWKDWWKH/RVVRI3RZHUWUDQVLHQWDIIHFWVRQO\WKH

IHHGZDWHUQR))OHDQGWKHUHIRUHZDVDSSOLHGRQO\WRWKHIHHGZDWHUQR))OHDQDO\VLV7DEOH$LQ

(QFORVXUHWRWKH6HSWHPEHUVXSSOHPHQWFRPSDUHVWKHWKUHHF\FOHVRIWKH/RVVRI

3RZHUWUDQVLHQWRI9RJWOH8QLWVDQGWRWKHF\FOHVDQDO\]HGLQWKH(35,UHSRUW7KH15&

VWDIIFRQGXFWHGDQDXGLWRIWKH3)0VRIWZDUHWKDWZDVXVHGIRUWKH3)0DQDO\VHVLQWKH(35,

UHSRUW7KH15&VWDIIH[SHFWVWRLVVXHWKHDXGLWUHSRUWVKRUWO\ $'$06$FFHVVLRQ1R

0/$ 'XULQJWKHDXGLWWKH15&VWDIIQRWHGWKDWWZRRIWKHRXWSXWILOHVIRUWKHOLPLWLQJ

IHHGZDWHUQR))OHFDVHFRQWDLQDOOWKHWUDQVLHQWVOLVWHGLQ7DEOHRIWKH(35,UHSRUWH[FHSWIRU

WKH/RVVRI3RZHUWUDQVLHQW ,WHPVHLDQGHLLRIWKHDXGLWUHSRUW 7DEOHLQGLFDWHVWKDW

GXULQJWKH/RVVRI3RZHUWUDQVLHQWWKHSUHVVXUHLVSVLJDQGWKHWKURXJKZDOOVWUHVV

GLVWULEXWLRQSORWVLQ)LJXUHVWKURXJKRIWKH(35,UHSRUWIRUWKHIHHGZDWHUQR))OHFOHDUO\

VKRZWKHUPDOWUDQVLHQWVWUHVVGLVWULEXWLRQVIRUWKH/RVVRI3RZHUWUDQVLHQWDW

VHFRQGV3UHVVXUHDQGWKHUPDOVWUHVVHVGXHWRWKH/RVVRI3RZHUWUDQVLHQWFRXOGOHDGWRDQ

DSSOLHGVWUHVVLQWHQVLW\IDFWRUWKDWH[FHHGV.,&$OVR7DEOHRIWKH(35,UHSRUWVXJJHVWV

WKDW/RVVRI3RZHUFRXOGKDYHODUJHSUHVVXUHDQGWHPSHUDWXUHIOXFWXDWLRQVODUJHSUHVVXUHDQG

WHPSHUDWXUHIOXFWXDWLRQVFRXOGKDYHDODUJHLPSDFWRQIDWLJXHFUDFNJURZWK7KHGHVFULSWLRQRI

WKH/RVVRI3RZHUWUDQVLHQWRQSDJHRIWKH(35,UHSRUWGRHVQRWSURYLGHVXIILFLHQWGHWDLOV

RQWKHWUDQVLHQW



(QFORVXUHWR1/

61&5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ 5$, 



7KH15&VWDIIDOVRQRWHGLQ,WHPVHLDQGHLLRIWKHDXGLWUHSRUWZKDWDSSHDUVWREHDORZ

WHPSHUDWXUHRYHUSUHVVXUH /723 HYHQWLQWZRRIWKHLQSXWILOHVIRUWKHOLPLWLQJIHHGZDWHUQR))OH

FDVH7KH15&VWDIIQRWHGWKDWWKH(35,UHSRUWGLGQRWFRQWDLQLQIRUPDWLRQRQ/723

DGGLWLRQDOO\WKH15&VWDIIQRWHGWKDWWKHGHVLJQEDVHVLQ6HFWLRQRIWKH9RJWOH8QLWV

DQG8)6$5 $'$06$FFHVVLRQ1R0/& VWDWHVWKDWWKHRYHUSUHVVXUHSURWHFWLRQ

IRUWKHVWHDPV\VWHPLVSURYLGHGE\WKH6*VDIHW\YDOYHVZKLFKVXJJHVWVWKHUHPLJKWEH/723

HYHQWVWKDWFRXOGDIIHFWWKHVXEMHFW6*FRPSRQHQWVRI9RJWOH8QLWVDQG7KHUHIRUHWKH

15&VWDIIUHTXHVWVWKHIROORZLQJUHJDUGLQJWKH/RVVRI3RZHUWUDQVLHQWDQG/723

5HTXHVW

D ([SODLQLIWKH/RVVRI3RZHUWUDQVLHQWZDVLQFOXGHGLQWKHIHHGZDWHUQR))OHVWUHVVDQDO\VHV

XVHGDVLQSXWWRWKH3)0DQDO\VHV,ILWZDVLQFOXGHGH[SODLQZK\LWLVQRWLQWKHRXWSXWILOHVIRU

WKHIHHGZDWHUQR))OHFDVH,IQRWLQFOXGHGH[SODLQZK\LQWHUPVRIWKHSUHVVXUHVSHFLILHGIRU

WKH/RVVRI3RZHUWUDQVLHQWLQ7DEOHRIWKH(35,UHSRUWWKHWKHUPDOWUDQVLHQWVWUHVV

GLVWULEXWLRQVLQ)LJXUHVWKURXJKRIWKH(35,UHSRUWWKHWRWDORIZKLFKFDQOHDGWRD

SRWHQWLDOH[FHHGDQFHRI.,&DQGSRVVLEOHSUHVVXUHWHPSHUDWXUHIOXFWXDWLRQVGXULQJWKLV

WUDQVLHQWWKDWZDUUDQWH[FOXVLRQIURPIDWLJXHFUDFNJURZWKFDOFXODWLRQV

E &ODULI\LI/723ZDVLQFOXGHGLQWKH3)0DQDO\VHVLQWKH(35,UHSRUWDQGH[SODLQZKHWKHU

/723LVDQHYHQWWKDWFRXOGDIIHFWWKHVXEMHFW6*FRPSRQHQWVRI9RJWOH8QLWVDQG

61&5HVSRQVH

D  7KH/RVVRI3RZHU /23 WUDQVLHQWLVGHVFULEHGRQSDJHRIWKH(35,UHSRUW7KLV

WUDQVLHQWLQLWLDWHVDWSRZHUDQGFDXVHVWKHLQLWLDWLRQRIFROG PLQLPXPRI) 

DX[LOLDU\IHHGZDWHUIORZLQWRWKHKRW ) 6*YLDWKHIHHGZDWHUQR))OHDWDFRQVWDQW

SUHVVXUHRISVLJ7KLVHYHQWZDVDVVXPHGWRRFFXURQFHSHU\HDUIRU\HDUVRI

RSHUDWLRQRUDWRWDORIF\FOHV7KH/23WUDQVLHQWZDVH[SOLFLWO\LQFOXGHGLQWKH

GHWHUPLQLVWLFIUDFWXUHPHFKDQLFV ')0 DQDO\VLVIRUWKHIHHGZDWHUQR))OHWKHUHVXOWVRI

ZKLFKDUHSUHVHQWHGLQ7DEOHRIWKH(35,UHSRUW,WZDVDOVRLPSOLFLWO\LQFOXGHGLQWKH

SUREDELOLVWLFIUDFWXUHPHFKDQLFV 3)0 DQDO\VHVLQWKH(35,UHSRUWDVGLVFXVVHGDWWKHWRS

RISDJHRIWKH(35,UHSRUWZKHUHLWLVVWDWHGWKDWWKHQXPEHURI/2/F\FOHVZDV

LQFUHDVHGIURPWRF\FOHVIRU\HDUVRIRSHUDWLRQWRDFFRXQWIRURWKHUWUDQVLHQWV

LQFOXGLQJWKH/23WUDQVLHQW



1HYHUWKHOHVVIRUWKHSXUSRVHVRIGHPRQVWUDWLQJWKHLQVLJQLILFDQFHRIWKH/23HYHQWDQ

DGGLWLRQDO3)0UXQZDVPDGHIRUWKH%DVH&DVH WKHUHVXOWVRIZKLFKDUHVKRZQLQ

7DEOHRIWKH(35,UHSRUW 7KH%DVH&DVHZDVUHUXQIRUWKHWZRFULWLFDO&DVH,'VIRUWKH

IHHGZDWHUQR))OH )(:31DQG)(:3$ ZLWKWKHLQFOXVLRQRIWKH/23WUDQVLHQW7KH

FRPSDULVRQRIWKHUHVXOWVZLWKDQGZLWKRXWWKH/23HYHQWLVVKRZQLQWKHWDEOHEHORZ

LWKRXW/237UDQVLHQW   :LWK/237UDQVLHQW

&DVH,' 3 5XSWXUH DW 3 /HDNDJH DW 3 5XSWXUH DW 3 /HDNDJH DW

\HDUV <HDUV \HDUV \HDUV

)(:31 ( ( ( (

)(:3$ ( ( ( (

1RWH  7KHVHUHVXOWVDUHDOVRUHSRUWHGLQ7DEOHRIWKH(35,UHSRUW

$VVKRZQLQWKHWDEOHWKHUHLVQRFKDQJHLQWKHSUREDELOLWLHVRIUXSWXUHRUOHDNDJHIRU&DVH

,')(:31(YHQWKRXJKWKHUHLVDFKDQJHLQWKHSUREDELOLW\RIOHDNDJHIRU&DVH,')(:

3$WKHSUREDELOLW\RIOHDNDJHYDOXHVZLWKDQGZLWKRXWWKH/23WUDQVLHQWDUHWKHVDPH

RUGHURIPDJQLWXGHDQGWKH\DUHWKUHHRUGHUVRIPDJQLWXGHEHORZWKHDFFHSWDQFHFULWHULDRI



(QFORVXUHWR1/

61&5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ 5$, 



[IDLOXUHV\HDU1RWHDOVRWKDWWKHQXPEHURI/2/HYHQWVZDVQRWGHFUHDVHGIRUWKLV

UXQVRWKHQXPEHURIF\FOHVXVHGIRUWKH/2/HYHQWVWLOOFRQVHUYDWLYHO\LQFOXGHVWKH/23

F\FOHV7KHUHIRUHWKH/23HYHQWKDVDQLQVLJQLILFDQWLPSDFWRQWKH3)0UHVXOWV

)RUUHIHUHQFHWKHUHOHYDQWSRUWLRQVRIWKH3520,6(RXWSXWILOHVIRUWKHVHWZRUXQVDUH

LQFOXGHGEHORZIRU&DVH,')(:317KHLWDOLFL]HGDQGEROGIDFHG

KLJKOLJKWLQJIRUWKHVHFRQGRXWSXWILOHLQGLFDWHVWKHLQSXWVIRUWKH/23HYHQW



&DVH,')(:31 :LWKRXW/237UDQVLHQW 

)($&DVH

7UDQVLHQW&DVH,'81/2$'

)($)LOH675B81/'B0$3B3&69

&ROXPQIRU; 

&ROXPQIRU$[LDO6WUHVV 

&ROXPQIRU+RRS6WUHVV 

0XOWLSOLHUWR&RQYHUWWRNVL 

8QFHUWDLQW\7\SH$OHDWRU\

'LVWULEXWLRQ7\SH1RUPDO

0HDQ 

6WDQGDUG'HYLDWLRQ 

'HWHUPLQLVWLF9DOXH 

0LQLPXP&XWRII 

0D[LPXP&XWRII 



1RRI/RDG&DVHVFUHDWHG 



3UREDELOLW\RI5XSWXUH .RS!.,& 

7LPH4XDQWLOHV

0HDQ



(((

(((

(((

(((



3UREDELOLW\RI7KURXJK:DOO D!W 

7LPH4XDQWLOHV

0HDQ



(((

(((

(((

(((



)(:31 :LWK/237UDQVLHQW 

)($&DVH

7UDQVLHQW&DVH,'81/2$'

)($)LOH675B81/'B0$3B3&69

&ROXPQIRU; 

&ROXPQIRU$[LDO6WUHVV 

&ROXPQIRU+RRS6WUHVV 

0XOWLSOLHUWR&RQYHUWWRNVL 

8QFHUWDLQW\7\SH$OHDWRU\

'LVWULEXWLRQ7\SH1RUPDO

0HDQ 

6WDQGDUG'HYLDWLRQ 



(QFORVXUHWR1/

61&5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ 5$, 



'HWHUPLQLVWLF9DOXH 

0LQLPXP&XWRII 

0D[LPXP&XWRII 



)($&DVH

7UDQVLHQW&DVH,'/23

)($)LOH675B/23B0$3B3&69

&ROXPQIRU; 

&ROXPQIRU$[LDO6WUHVV 

&ROXPQIRU+RRS6WUHVV 

0XOWLSOLHUWR&RQYHUWWRNVL 

8QFHUWDLQW\7\SH$OHDWRU\

'LVWULEXWLRQ7\SH1RUPDO

0HDQ 

6WDQGDUG'HYLDWLRQ 

'HWHUPLQLVWLF9DOXH 

0LQLPXP&XWRII 

0D[LPXP&XWRII 



1RRI/RDG&DVHVFUHDWHG 



3UREDELOLW\RI5XSWXUH .RS!.,& 

7LPH4XDQWLOHV

0HDQ



(((

(((

(((

(((



3UREDELOLW\RI7KURXJK:DOO D!W 

7LPH4XDQWLOHV

0HDQ



(((

(((

(((

(((



E  7KH3520,6(3)0VRIWZDUHKDVWKHDELOLW\WRHYDOXDWH/723HYHQWVIRUWKRVHFRPSRQHQWV

ZKHUH/723LVDSSOLFDEOH/723HYHQWVDUHDSSOLFDEOHWRWKHSULPDU\VLGH UHDFWRUFRRODQW

V\VWHPLQFOXGLQJWKHUHDFWRUSUHVVXUHYHVVHO 15&JXLGDQFHIRURYHUSUHVVXUHSURWHFWLRQLV

SURYLGHGLQ6HFWLRQRI185(*³6WDQGDUG5HYLHZ3ODQIRUWKH5HYLHZRI6DIHW\

$QDO\VLV5HSRUWVIRU1XFOHDU3RZHU3ODQWV/:5(GLWLRQ'3DUDJUDSKXQGHU653

$FFHSWDQFH&ULWHULDLQ6HFWLRQRI185(*LGHQWLILHVWKDW3:5VRSHUDWLQJDWORZ

WHPSHUDWXUHVVKRXOGEHGHVLJQHGLQDFFRUGDQFHZLWK%UDQFK7HFKQLFDO3RVLWLRQ %73 

³2YHUSUHVVXUH3URWHFWLRQRI3UHVVXUL]HG:DWHU5HDFWRUV:KLOH2SHUDWLQJDW/RZ

7HPSHUDWXUHV'3DUDJUDSK,&RI6HFWLRQRI185(*LGHQWLILHVWKDWWKH

DSSOLFDEOHDUHDVIRU/723SURWHFWLRQDUHWKHSUHVVXUL]HUVDIHW\UHOLHIYDOYHV 659V DQG

WKHSLSLQJIURPWKHVHYDOYHVWRDTXHQFKWDQNRUWRFRQWDLQPHQWDWPRVSKHUHRQWKHSULPDU\

VLGHDVZHOODV6*659VRQWKHVHFRQGDU\VLGH7KHUHIRUHWKH6*LWVHOILVSURWHFWHGIURP

/723HYHQWVIURPWKHSULPDU\VLGHE\WKH6*659V$VDUHVXOWWKH/723HYHQWZDVQRW

FRQVLGHUHGLQWKH(35,UHSRUWDQGWKHVXSSRUWLQJHYDOXDWLRQVIRUWKH6*ZHOGVLQFOXGHGLQ

61&¶V5HTXHVWIRU$OWHUQDWLYH



(QFORVXUHWR1/

61&5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ 5$, 





5$,

,VVXH

6HFWLRQRIWKH(35,UHSRUWVWDWHVWKDWWKHSUREDELOLW\RIGHWHFWLRQ 32' FXUYHXVHGLQ

WKHDQDO\VHVLVIURPWKH3)0DQDO\VHVSHUIRUPHGLQSURSULHWDU\UHSRUW%:59,3%:5

>%RLOLQJ:DWHU5HDFWRU@9HVVHODQG,QWHUQDOV3URMHFW7HFKQLFDO%DVLVIRUWKH5HGXFWLRQRI

,QVSHFWLRQ5HTXLUHPHQWVIRUWKH%RLOLQJ:DWHU5HDFWRU1R))OHWR9HVVHO6KHOO:HOGVDQG

1R))OH%OHQG5DGLL2FWREHU7KH15&VWDIIQRWHGWKDWWKH19:VDQG1,5VHFWLRQV

DQDO\]HGLQ%:59,3ZHUHDVVRFLDWHGZLWKWKHUHDFWRUSUHVVXUHYHVVHODQGWKDWWKH32'

FXUYHZDVWKHUHIRUHGHYHORSHGEDVHGRQWKHXOWUDVRQLFWHVWLQJ 87 UHTXLUHPHQWVLQ$60(

&RGH6HFWLRQ;,$SSHQGL[9,,,7KH19:VDQG1,5VHFWLRQVLQWKH(35,UHSRUWDUH

DVVRFLDWHGZLWKWKH6*YHVVHOIRUZKLFKWKH87UHTXLUHPHQWVRI$60(&RGH6HFWLRQ9

DSSO\7KH15&VWDIIQRWHGWKDWLQSUDFWLFHWKH32'FXUYHEDVHGRQWKH87UHTXLUHPHQWVRI

$60(&RGH6HFWLRQ9FRXOGEHORZHUWKDQWKH32'FXUYHEDVHGRQWKH87UHTXLUHPHQWVRI

$60(&RGH6HFWLRQ;,$SSHQGL[9,,,6LQFH$60(&RGH6HFWLRQ9LVXVHGIRUWKH87

H[DPLQDWLRQRI6*YHVVHOFRPSRQHQWVDSSO\LQJWKH$60(&RGH6HFWLRQ;,$SSHQGL[9,,,

EDVHG32'FXUYHWRWKH3)0DQDO\VHVRI6*YHVVHOFRPSRQHQWVFRXOGEHQRQFRQVHUYDWLYH

5HTXHVW

([SODLQKRZWKH$60(&RGH6HFWLRQ;,$SSHQGL[9,,,EDVHG32'FXUYHLVVXIILFLHQWIRUWKH

3)0DQDO\VHVRIWKHVXEMHFW6*YHVVHOFRPSRQHQWVLQWKH(35,UHSRUW

61&5HVSRQVH

7KH(35,UHSRUWXVHGD6HFWLRQ;,$SSHQGL[9,,,EDVHG32'FXUYHLQWKH3)0HYDOXDWLRQ

EHFDXVHPRVW,6,H[DPLQDWLRQVRIPDMRUSODQW&ODVVDQG&ODVVFRPSRQHQWVDUHSHUIRUPHG

XVLQJ$SSHQGL[9,,,SURFHGXUHV+RZHYHUIRU&ODVVFRPSRQHQWVWKHXVHRI$SSHQGL[9,,,

SURFHGXUHVLVSODQWVSHFLILF0DQ\SODQWVDGRSWDQGWKHXVHWKHLU$SSHQGL[9,,,SURFHGXUHVIRU

PDMRU&ODVVFRPSRQHQWV VXFKDV6*V IRUFRQVLVWHQF\DFURVVDOOWKHLUH[DPLQDWLRQV,QWKH

FDVHRI9RJWOH8QLWVDQG61&GRHVQRWXVH$SSHQGL[9,,,SURFHGXUHVIRUDOORIWKH

H[DPLQDWLRQFDWHJRULHVLQFOXGHGLQWKH61&VXEPLWWDOVRXVHRIWKH$SSHQGL[9,,,32'FXUYH

PD\QRWEHDSSURSULDWHIRUDOORIWKHLWHPV+RZHYHUDVVKRZQEHORZWKH(35,UHSRUW

GHPRQVWUDWHVWKDWWKH\HDULQWHUYDOLVVXSSRUWHGIRUWKHVHZHOGVUHJDUGOHVVRIWKH32'

FXUYHXVHG

7KH$60(&RGH6HFWLRQ;,LQVHUYLFHLQVSHFWLRQ ,6, &RGHRIUHFRUGIRUERWK9RJWOHXQLWVLVWKH

(GLWLRQLQFOXGLQJWKH$GGHQGD$60(&RGH6HFWLRQ;,0DQGDWRU\$SSHQGL[,,

³2WKHU9HVVHOV'LQGLFDWHVWKDWXOWUDVRQLFH[DPLQDWLRQRIDOORWKHUYHVVHOVJUHDWHUWKDQ

LQFKHVLQWKLFNQHVVVKDOOEHFRQGXFWHGLQDFFRUGDQFHZLWK6HFWLRQ9$UWLFOH+RZHYHU,

³0DQGDWRU\$SSHQGL[9,,,([DPLQDWLRQ'VWDWHVWKDWIRUFRPSRQHQWVWRZKLFK$SSHQGL[

9,,,LVQRWDSSOLFDEOHWKHH[DPLQDWLRQSURFHGXUHVSHUVRQQHODQGHTXLSPHQWTXDOLILHGLQ

DFFRUGDQFHZLWK$SSHQGL[9,,,PD\EHDSSOLHGSURYLGHGHDFKRIWKHFRPSRQHQWVPDWHULDOV

VL]HVDQGVKDSHVDUHZLWKLQWKHVFRSHRIWKHTXDOLILHGSURFHGXUHV

)HHGZDWHU1R))OH,QQHU5DGLXV & 

7KH9RJWOH6*IHHGZDWHUQR))OHLQQHUUDGLXVVHFWLRQVPDWHULDOVVL]HVDQGVKDSHVLQFOXGHGLQ

61&¶V5HTXHVWIRU$OWHUQDWLYHDUHZLWKLQWKHVFRSHRITXDOLILHG$SSHQGL[9,,,SURFHGXUHVDQG

WKRVHSURFHGXUHVDUHXVHGWRH[DPLQHWKHDSSOLFDEOH6*IHHGZDWHUQR))OHLQQHUUDGLLVHFWLRQV



(QFORVXUHWR1/

61&5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ 5$, 



7KHUHIRUHWKH$SSHQGL[9,,,32'FXUYHVDUHDSSOLFDEOHWRWKH9RJWOHIHHGZDWHUQR))OHLQQHU

UDGLLH[DPLQDWLRQVDQGDOOUHVXOWVLQWKH(35,UHSRUWIRUWKHVHFRPSRQHQWVDUHDSSOLFDEOHWRWKH

9RJWOH6*IHHGZDWHUQR))OHLQQHUUDGLXVVHFWLRQV

0DLQ6WHDP1R))OH,QQHU5DGLXV & 

7KH9RJWOH6*PDLQVWHDPQR))OHGRHVQRWKDYHDQLQQHUUDGLXVVHFWLRQVRWKHLQQHUUDGLXV

H[DPLQDWLRQLVQRWDSSOLFDEOHIRUWKLVFRPSRQHQW

)HHGZDWHUDQG0DLQ6WHDP1R))OHWR6KHOO:HOGV & 

7KH9RJWOH8QLWVDQGIHHGZDWHUDQGPDLQVWHDPQR))OHWRVKHOOZHOGH[DPLQDWLRQVDUH

SHUIRUPHGLQDFFRUGDQFHZLWK6HFWLRQ9$UWLFOHUHTXLUHPHQWVVRDSSOLFDWLRQRIWKH$SSHQGL[

9,,,32'FXUYHVPD\QRWEHDSSURSULDWHQRUFRQVHUYDWLYHIRUWKHVHZHOGV6HFWLRQ9

H[DPLQDWLRQVGRQRWKDYHHVWDEOLVKHG32'FXUYHV+RZHYHUWKH(35,UHSRUWGHPRQVWUDWHV

WKDWWKH\HDULQWHUYDOLVVXSSRUWHGIRUWKHVHZHOGVEHFDXVHWKHUHVXOWVRIWKH%DVH&DVH

ZKHUHRQO\SUHVHUYLFHLQVSHFWLRQ 36, ZDVDVVXPHGZLWKRXWWKHEHQHILWRIDQ\IROORZRQ,6,

H[DPLQDWLRQVDUHDFFHSWDEOH$Q\1'(H[DPLQDWLRQVSHUIRUPHGDIWHU36,H[DPLQDWLRQV

LQFOXGLQJWKRVHSHUIRUPHGLQDFFRUGDQFHZLWK6HFWLRQ9RQO\VHUYHWRVWUHQJWKHQWKRVHUHVXOWV

$VH[SODLQHGLQWKHUHVSRQVHWR,WHPFLGXULQJWKHFRQWLQXDWLRQRIWKH15&DXGLWRIWKH

3520,6(9HUVLRQVRIWZDUHRQ-XO\ LQFOXGHGDV$WWDFKPHQW 36,H[DPLQDWLRQV

ZHUHSHUIRUPHGRQWKHIHHGZDWHUDQGPDLQVWHDPQR))OHWRVKHOOZHOGVXVLQJUDGLRJUDSKLF

WHVWLQJ 57 7KH$SSHQGL[9,,,32'FXUYHIRUXOWUDVRQLFWHVWLQJ 87 H[DPLQDWLRQVXVHGLQWKH

3520,6(DQDO\VHVIRUERWK36, RQO\ DQG,6,H[DPLQDWLRQFDVHVLVFRQVLGHUHGPRUH

FRQVHUYDWLYHWKDQWKH5732'FXUYH$VGLVFXVVHGRQSDJHRIWKH(35,UHSRUWE\

SHUIRUPLQJ36,H[DPLQDWLRQRQO\WKHDFFHSWDQFHFULWHULDLVPHWIRU\HDUV7KHUHIRUHDQ\

DGGLWLRQDO1'(H[DPLQDWLRQVSHUIRUPHGDIWHUWKH36,H[DPLQDWLRQUHJDUGOHVVRIWKH32'FXUYH

XVHGZLOOUHGXFHWKHSUREDELOLW\RIIDLOXUHQXPEHUVUHSRUWHGIRUWKHIHHGZDWHUDQGPDLQVWHDP

QR))OHWRVKHOOZHOGVDQDO\]HGIRUWKH36, RQO\ FDVH

7DEOHRIWKH(35,UHSRUWSURYLGHVWKHSUREDELOLWLHVRIUXSWXUHDQGOHDNDJHIRU36,

H[DPLQDWLRQVRQO\ ZLWKQRIROORZRQ,6,H[DPLQDWLRQV 7KHIROORZLQJREVHUYDWLRQVDUHUHSHDWHG

IURPSDJHRIWKH(35,UHSRUWEDVHGRQWKHUHYLHZRIWKHUHVXOWVLQ7DEOH

x 7KHSUREDELOLW\RIUXSWXUHLVEHORZWKHDFFHSWDQFHFULWHULDDWDOOORFDWLRQVIRUDOO

1666GHVLJQW\SHVE\DERXWWKUHHRUGHUVRIPDJQLWXGHDIWHU\HDUVRIRSHUDWLRQ

x 7KHSUREDELOLW\RIOHDNDJHLVEHORZWKHDFFHSWDQFHFULWHULDIRUDOO% :DQG

HVWLQJKRXVH06QR))OHVDIWHU\HDUV

x )RUWKH:HVWLQJKRXVH):QR))OHVILYHRXWRIVL[ORFDWLRQVDUHEHORZWKHDFFHSWDQFH

FULWHULDE\DERXWWKUHHRUGHUVRIPDJQLWXGHIRU\HDUV7KHUHPDLQLQJORFDWLRQ

)(:3$ LVEHORZWKHDFFHSWDQFHFULWHULDIRUDOPRVW\HDUV

x 7KHDFFHSWDQFHFULWHULDH[FHHGDQFHIRUOHDNDJHDWWKHRQH):QR))OHORFDWLRQ

)(:3$ LQFUHDVHVWKHOLNHOLKRRGRIOHDNDJHEXWGRHVQRWFRPSURPLVHSODQWVDIHW\

DVOHDNDJHRIWKHSUHVVXUHERXQGDU\LVGHWHFWDEOHE\SODQWRSHUDWRUVDQGSODQW

SURFHGXUHVDOORZIRUVDIHSODQWVKXWGRZQXQGHUOHDNLQJFRQGLWLRQV

%DVHGRQWKHDERYHREVHUYDWLRQVWKH3)0WHFKQLFDODVVHVVPHQWVFRQFOXGHWKDWSHUIRUPLQJ

RQO\WKH36,H[DPLQDWLRQZLWKRXWDQ\RWKHUIROORZRQ,6,H[DPLQDWLRQVLVDFFHSWDEOHIRUXS

WR\HDUVRIRSHUDWLRQZKLOHVWLOOPDLQWDLQLQJSODQWVDIHW\



(QFORVXUHWR1/

61&5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ 5$, 



7KH3)0DQDO\VHVDUHDOVRVXSSRUWHGE\WKHUHVXOWVRIWKHGHWHUPLQLVWLFIUDFWXUHPHFKDQLFV

')0 HYDOXDWLRQVVKRZQLQ7DEOHRIWKH(35,UHSRUW7KH')0UHVXOWVGHPRQVWUDWHWKDWLW

ZRXOGWDNHDYHU\ORQJRSHUDWLQJSHULRG PRUHWKDQ\HDUV IRUDSRVWXODWHGLQLWLDOIODZZLWKD

GHSWKHTXDOWRWKH$60(&RGH6HFWLRQ;,DFFHSWDQFHVWDQGDUGVWRSURSDJDWHWKURXJKZDOODQG

FDXVHOHDNDJHZLWKRXWSHUIRUPLQJDQ\VXEVHTXHQWLQVSHFWLRQV$IWHU\HDUVDQGZLWKRXWDQ\

VXEVHTXHQWLQVSHFWLRQVWKHPD[LPXP.REWDLQHGIURPWKHDQDO\VLVLVEHORZRUFORVHWRWKH

$60(&RGH6HFWLRQ;,DOORZDEOHIUDFWXUHWRXJKQHVVLQFOXGLQJWKH6HFWLRQ;,$SSHQGL[*

VWUXFWXUDOIDFWRUIRUSULPDU\VWUHVVZKLFKLQGLFDWHVWKDW$60(&RGH6HFWLRQ;,VWUXFWXUDO

PDUJLQVKDYHEHHQVDWLVILHG

7KHUHIRUHWKHIHHGZDWHUDQGPDLQVWHDPQR))OHWRVKHOOZHOGVDUHDFFHSWDEOHIRUWKH\HDU

LQVSHFWLRQLQWHUYDOUHTXHVWHGLQ61&¶VVXEPLWWDOEDVHGRQWKH36, RQO\ H[DPLQDWLRQFDVH3)0

DQDO\VHV:KHQDGGLWLRQDO1'(H[DPLQDWLRQVDUHSHUIRUPHGDQGDSSOLHGWRWKHDQDO\VHVQR

PDWWHUWKHPHWKRGSURFHGXUHRUWHFKQLTXHWKH\IXUWKHULPSURYHWKHDQDO\WLFDOUHVXOWV



5$,

,VVXH

6HFWLRQRIWKH(35,UHSRUWVWDWHVWKDWWUDQVLHQWVWUHVVHVDUHQRUPDOO\GLVWULEXWHG7KH

15&VWDIIQRWHGWKDWWKLVLVFRQVLVWHQWZLWK7DEOHRIWKH(35,UHSRUWZKLFKLQGLFDWHVD

QRUPDOGLVWULEXWLRQIRUWUDQVLHQWVWUHVVHV+RZHYHULQWKHOLVWRILQSXWVIRUWKH3)0EDVHFDVHV

LQ7DEOH(35,VWDWHGWKDWWKHXQFHUWDLQWLHVRQWUDQVLHQWVDUH1RQHZKLFKLPSOLHVWKDW

WKHUHLVQRVWDWLVWLFDOGLVWULEXWLRQRQWUDQVLHQWVWUHVVHV'XULQJWKHDXGLWRIWKHVRIWZDUHXVHGLQ

WKH3)0DQDO\VHVLQWKH(35,UHSRUWWKH15&VWDIIUHYLHZHGRQHRIWKHLQSXWILOHVZKLFK

VHHPHGWRLQGLFDWHWKDWWKHWUDQVLHQWVWUHVVHVKDYHDVWDWLVWLFDOGLVWULEXWLRQ

5HTXHVW

&ODULI\ZKHWKHUWUDQVLHQWVWUHVVHV SUHVVXUHDQGWKHUPDO ZHUHUDQGRPRUQRW,IUDQGRP

SURYLGHDQGMXVWLI\WKHPHDQDQGVWDQGDUGGHYLDWLRQYDOXHV

61&5HVSRQVH

$VLGHQWLILHGLQ7DEOHRIWKH(35,UHSRUWDQGGLVFXVVHGGXULQJWKH15&¶VDXGLWRIWKH

3520,6(VRIWZDUHWUDQVLHQWVWUHVVHVDUHLQSXWWRWKH3520,6(VRIWZDUHDVUDQGRPYDULDEOHV

+RZHYHUWKHWUDQVLHQWVWUHVVHVZHUHWUHDWHGDVFRQVWDQWIRUWKH3)0DVVHVVPHQWVLQWKH(35,

UHSRUW$VDQH[DPSOHWKHUHOHYDQWSRUWLRQRIWKH3520,6(VRIWZDUHLQSXWILOH³)(:

3$YQ]'IRUWKH/RVVRI/RDGWUDQVLHQWLVUHSURGXFHGEHORZ

/2/

675B/2/B0$3B3&69



$OHDWRU\

1RUPDO





7KHIROORZLQJWDEOHGHVFULEHVHDFKRIWKHOLQHLWHPVLQWKHDERYH3520,6(LQSXWILOHIRUWKH

/RVVRI/RDGWUDQVLHQW





(QFORVXUHWR1/

61&5HVSRQVHWR5HTXHVWIRU$GGLWLRQDO,QIRUPDWLRQ 5$, 



/LQH1R /LQH&RQWHQW 'HVFULSWLRQ  

 /2/ 5HFRUGF/RDG&DVH,'

 675B/2/B0$3B3&69 5HFRUGG)LOHQDPHIRUWKH/RDG&DVH

7KLVILOHFRQWDLQVWKURXJKZDOOVWUHVVSURILOHVDWYDULRXVWLPH

VWHSV7KHPDLQILHOGVLQWKHILOHDUHWLPH[FRRUGLQDWHVWUHVVHV

6[6\6] DQGWHPSHUDWXUH

  5HFRUGH6WUXFWXUHRIWKH)($ILOH

)LUVW1XPEHU+/-&ROXPQQXPEHURIWKH[FRRUGLQDWH DOZD\V 

6HFRQG1XPEHU+/-&ROXPQQXPEHUIRUWKHD[LDOVWUHVV

7KLUG1XPEHU+/-&ROXPQQXPEHUIRUWKHKRRSVWUHVV

)RXUWK1XPEHU+/-&ROXPQQXPEHUIRUWKHWHPSHUDWXUH

)LIWK1XPEHU+/-6WUHVVPXOWLSOLHU SVLWRNVL 

5HFRUGI'LVWULEXWLRQIRUWKHUDQGRPPXOWLSOLHU

 $OHDWRU\ 3DJH$8QF7\SH 8QFHUWDLQW\7\SH

 1RUPDO 3DJH$DHS'7 'LVWULEXWLRQ7\SH

7KHGLVWULEXWLRQIRUWKHVWUHVVPXOWLSOLHU

  3DJH$DHSDHS WKHPHDQDQGVWDQGDUGGHYLDWLRQIRU

WKHPXOWLSOLHUGLVWULEXWLRQ

  3DJH$GHW9DOXHPLQ9DOXHPD[9DOXH

GHW9DOXH 0XOWLSOLHUIRUWKHGHWHUPLQLVWLFDQDO\VLV

PLQ9DOXH /RZHUFXWRIIYDOXHIRUWKHVDPSOHGYDOXHRIWKH

PXOWLSOLHU

PD[9DOXH 8SSHUFXWRIIYDOXHIRUWKHVDPSOHGYDOXHRIWKH

PXOWLSOLHU

1RWH  7KH5HFRUGDQG3DJHQXPEHUVLQFOXGHGLQWKLVFROXPQUHIHUWRWKH3520,6(9HUVLRQ

8VHU¶V0DQXDO

$VLQGLFDWHGE\WKHGHVFULSWLRQVLQWKHDERYHWDEOHWKHLQSXWVIRU5HFRUGILGHQWLI\WKDWWKH

/RVVRI/RDGWUDQVLHQWZDVLQSXWDVDQRUPDOO\GLVWULEXWHGUDQGRPYDULDEOHZLWKDPHDQYDOXH

RIDQGDVWDQGDUGGHYLDWLRQRI7KLVLVHTXLYDOHQWWRDFRQVWDQWLQSXW

 































$WWDFKPHQW

61&5HVSRQVHWR,WHPFL'XULQJWKH&RQWLQXDWLRQRIWKH15&$XGLWRIWKH3520,6(

9HUVLRQ6RIWZDUHRQ-XO\





Attachment 1 to NL-20-1312 SNC Response to Item 2.c.i During the Continuation of the NRC Audit of the PROMISE Version 1.0 Software on July 27, 2020 2.c.i: Tee ical ec of O E Versio 1.0 - o abili yo De c ion POD) an lnservice Inspection (ISi) - t e EPRI Tee nic Basis Repor does ot disc ss e in er c io e een he POD c rve a d ISi. S o hov POD n ISi a e i le ente into e PRO SE Ver i n .0 code by sho i g e sof re requiren e s for th* f atu e and n n in some e a pie proble s. ef r o Sec ions 8.2.2.3 n 8.2.2.8 of he EPR Tee nical Basis Re ort Op I e s: I A. Provide the ra ionale for the se of the san1e POD c rve or bo ISi and PS.

B. Provide the r s I sofa PRO ISE run using a Ii 11ng case ith an ass mp io of 0% ISJ cover g .

Al-1

Attachment 1 to NL-20-1312 SNC Response to Item 2.c.i During the Continuation of the NRC Audit of the PROMISE Version 1.0 Software on July 27, 2020

. . . , Response tb Open,:Audit-1tem 2.c.i.A (2 of 9)

. ,- " . " { .. ~ . ~ ~ * ' ' . -= ," . !

  • In Section 8.2.4.1. oft e EPRI r par . SI refers o t, col ec ive 1n1 1 I AS . E Code S c ion IU and ec *on XI e ami
  • AS E Co e Secfon I I e u*res 001/c co erage or Te ams AS E C de Secfon SI e mina io s in ,of :n ra iograp ic tes in (R ) we e pe or e and fo nd accep abl for the a e e welds of he VEGP Jnits 1 a d 2 S an ozz es

- The cce a iii" oft e S E Cod . n ions in ica s th t 100° coverage as ac ved uri g h se mina ion

  • In a d*r on. S cti XI PS (UT) exa s w re pe orm some i h Ii i e co ,er ge
  • Co lectively. bot ex mi a ions co e ed 100 3/4 o he eld Al-2

Attachment 1 to NL-20-1312 SNC Response to Item 2.c.i During the Continuation of the NRC Audit of the PROMISE Version 1.0 Software on July 27, 2020

  • Fro EG/CR-720 D C o fla s u itizing 10
  • IS Se c1ve

,a I re 3.6 of -19086 prov* es h or ica rob bility of ves or RT e min ions

  • of the POD cur o - 908 c e for UT i u e -2 R e o =B curve
  • Th OD c mparison is s o n on the n slid

'Ce for ex rem ly s

  • all fl s (less ha
  • 0.0 c es e POD cu --ve se
  • ech ic l basis ca e co se a 1 ,e ya xa i atio s ninim m la I e P O ISE *i ul ions *s 0.075 inches hie is gr ater ha e fl w dep hs a w ic RT o erns Al-3

Attachment 1 to NL-20-1312 SNC Response to Item 2.c.i During the Continuation of the NRC Audit of the PROMISE Version 1.0 Software on July 27 , 2020 1.

0.8 OA 0.2 POD C rv 8 s don RT (Mo onserva ive from Figure 3.6 f Ref )

o,.o ____....._______.__ _....__ __.__ ____..._________.....__......__ __,,

0 0.1 0.3 0.4 0.5 Crack oe,pttl1( n)

No ,e : Reference [1 , = EPRI report. and Reference [4] = PN NL 19086.

8 Al-4

Attachment 1 to NL-20-1312 SNC Response to Item 2.c.i During the Continuation of the NRC Audit of the PROMISE Version 1.0 Software on July 27, 2020 of 9)

  • F o S C tive VEG, -AL T-0 -04

- For VEGP is 1a d 2 i

  • io to PSI x mi o s. o r ISi e ami a io ave een p rforme fo e S ozzle-to-s ell *, nd ree ISi e a 1n ions h 1e been performed for e F nozzle- o-s el e ds II St i atio s o I em C2.2 for h Sa F no 7 z s ha lim* cove e r~ngin from -o 3/4 to 801/o.

- I m o. C2.22 er radii re om IS

- I em o. C2.22 nozzle in e r ii h d 100% S co era e for I pa ISi ex mi a ions eeoe SI over ge a a 10 pe e f C2 2 a . ss 50o/c I I cove 9

Al-5

Attachment 1 to NL-20-1312 SNC Response to Item 2.c.i During the Continuation of the NRC Audit of the PROMISE Version 1.0 Software on July 27 , 2020 Eva Pe Table 8-9 1 e EP Repo . is t e Ii i in . loca *o for e se case y

  • Evalua *o a pe o or Ca e ID E -P3 lte o.

C2.21 s*ng e O Versie .0 sof e PSI 00°/o cove a e a d subseq n * (SI co e as as e T see r os e e co s* ered*

The c rre E Code Sec io Ie in t n rt; tr me .

hich i volves 10- ea in erva exam*na ions after he S na 10n

  • SI a 0. _Q 0. 0. -o. 60. and 70 ye rs tern ive e or VE U Is n 2 ree -ye ions ar pe or ed ert e amina ion, fo o aminatio on '"'0-yea in erval ISi a 10 _Q_ 30, n 60y 0

Al-6

Attachment 1 to NL-20-1312 SNC Response to Item 2.c.i During the Continuation of the NRC Audit of the PROMISE Version 1.0 Software on July 27, 2020 PmbabUity of' Rupture Probability of Leakage (pe*r Year at 80 years . {per Year ,at 80 years Cas ID S en- rio PSI ISi S h dule

  • The p o of rup ure for 00 ISi ov r ge n 5 t are iden remain unchange rom he es I s r e only
  • e pro c io I I 1 0 rn ISi /+ 0 30+60 seen rios assu 1 . re ess lye I a 5.9x, o- .

ic is s ightfy ab ept rit non

- heP.=-lo1y 1 i i r1 i t, Jir1 i Cl iii I

  • T e p ob o leaka e vs. time for e oinvesigated ISi scena iosis ne riv id over s e nex slide)

Al-7

Attachment 1 to NL-20-1312 SNC Response to Item 2.c.i During the Continuation of the NRC Audit of the PROMISE Version 1.0 Software on July 27 , 2020 Response to Open Audit Item 2.c.i.B (8 of 9)

I FEW~P3A Cum Prob. Of leak 0*1 -..........

20

-....--ii...........---~----"---~---.......1----..,,_J 40 Time (Y ),

Al-8

Attachment 1 to NL-20-1312 SNC Response to Item 2.c.i During the Continuation of the NRC Audit of the PROMISE Version 1.0 Software on July 27, 2020

  • Limi ed co a e of as low as 50% or the 2 vG S nd - ozzle-to-s II elds is ccep le fo ed operation for the a terna i e reques e by S OC The ro a ilitie o r p re or 50°/c ov r e or h r 1ng c are h ee or e s of magni ude betow ri for 80 y ars f he r ability o I ak ge for e rmiti g c se u ing he alterna iv IS sc ario (P I 10 0 0 60 is sit h y ove he acce c cri rion 5.9-x10-6 vs. 1 10- )*ho
  • v r is pr ability o leak _g is air os iden *c I o he seen rio vhere he AS E Code.Section I 10-y r ISi examina ions are conti d hrough 70 years o o era ion .93x 1o- 6

- The sli ht exceedance o he robabili ' o leakage o no compro 1i e pl n sa e y because press re bou d ry I aJ ge i e c able by plan p a ors n pl n proce ures alto for safe t s u o once a y leak g is detec e , as escribed in Section 8...... 4.1.1 o he EP I p 3

Al-9