NOC-AE-07002190, Supplement to Application for Order Approving Indirect Transfer of Control of Licenses

Supplement to Application for Order Approving Indirect Transfer of Control of Licenses

ML072120342
Person / Time
Site:	South Texas
Issue date:	07/23/2007
From:	Sheppard J South Texas
To:	Dyer J Office of Nuclear Reactor Regulation
References
D43.02, NOC-AE-07002190, STI: 32186297
Download: ML072120342 (10)

Text

Attachment 2A is Considered Exempt from Public C3PD P/7 Disclosure in Accordance with 10 CFR 2.390.

Nuclear Operating Company South Texas Pro/ect Electric GeneratingStation PO. Bat 289 Wadsworth Texas 77483 /

u!.y ',2"3, 20-07 NOC-AE-07002190 File No.: D43.02 10 CFR 50.80 10 CFR 2.390 U. S. Nuclear Regulatory Commission Attention: James E. Dyer Director, Office of Nuclear Reactor Regulation One White Flint North 11555 Rockville Pike Rockville, MD 20852-2738 South Texas Project Units 1 and 2 Docket Nos. STN 50-498, STN 50-499 Supplement to Application for Order Approving Indirect Transfer of Control of Licenses On May 3, 2007, STP Nuclear Operating Company (STPNOC), acting on behalf of NRG South Texas LP (NRG South Texas) and its corporate parent NRG Energy, Inc. (NRG Energy),

submitted an Application (ML071130024) seeking consent of the Nuclear Regulatory Commission (NRC) to the indirect transfer of control of NRG South Texas's licenses to own a 44% interest in the South Texas Project, Units 1 and 2 (STP). In support of that Application, STPNOC submits the enclosed supplemental information provided in Attachment 2A (revised),

which includes financial projections for the six-year period from 2007-2012, as requested by the NRC.

Attaclmient 2A (revised) contains confidential commercial or financial information. NRG Energy requests that Attachment 2A (revised) be withheld from public disclosure pursuant to 10 CFR 2.390, as described in the Affidavit of Thad Hill, provided in Attachunent I to this letter.

A non-proprietary version of Attaclmuent 2A suitable for public disclosure is provided as to the Application.

There are no commitments in this letter.

If NRC requires additional information concerning this license transfer request, please contact Mr. Scott Head, STPNOC Licensing Manager, at (361) 972-7136.

J.J.

Sheppar President & Chief Executive Officer PLW Attachment 2A is Considered Exempt from Public STI: 32186297 Disclosure in Accordance with 10 CFR 2.390. AD01

NOC-AE-07002190 Page 2 of 4

Enclosures:

Affinrmation of Thad Hill - 10 CFR 2.390 Affidavit of Thad Hill (revised) - Non-Proprietary Version Attachunent 2A (revised) - Proprietary Version

NOC-AE-07002190 Page 3 of 4 cc: w/o proprietary Attachment 2A (revised) except

• Regional Administrator, Region IV A. H. Gutterman, Esq.

U.S. Nuclear Regulatory Commission Morgan, Lewis & Bockius LLP 611 Ryan Plaza Drive, Suite 400 I II Pennsylvania Avenue, N.W.

Arlington, TX 76011-8064 Washington, DC 20004 Senior Resident Inspector Environmental and Natural Resources U.S. Nuclear Regulatory Commission Policy Director P.O. Box 289, Mail Code: MN116 P.O. Box 12428 Wadsworth, TX 77483 Austin, TX 78711-3189

• U. S. Nuclear Regulatory Commission J. J. Nesrsta/R. K. Temple Attention: Document Control Desk E. Alarcon/Kevin Pollo One White Flint North City Public Service Board 11555 Rockville Pike P.O. Box 1771 Rockville, MD 20852 San Antonio, TX 78296

• U. S. Nuclear Regulatory Commission C. M. Canady Attention: Susan Uttal City of Austin One White Flint North Electric Utility Department 11555 Rockville Pike 721 Barton Springs Road Rockville, MD 20852 Austin, TX 78704J.

Director Mohan C. Thadani Division of Compliance & Inspection Senior Project Manager Bureau of Radiation Control U.S. Nuclear Regulatory Commission Texas Department of State Health Services One White Flint North (MS DI) 1100 West 49th Street 11555 Rockville Pike Austin, TX 78756 Rockville, MD 20852 INPO Jon C. Wood Records Center Cox, Smith & Matthews 700 Galleria Parkway 112 East Pecan, Suite 1800 Atlanta, GA 30339-3064 San Antonio, TX 78205 Mr. Glenn Adler Steve Winn/Christie Jacobs Senior Research Analyst Eddy Daniels/Marty Ryan Service Employees International Union NRG Energy, Inc.

1313 L Street, N.W. 211 Carnegie Center Washington, DC 20005 Princeton, NJ 08540

NOC-AE-07002190 Page 4 of 4 Brian Almon Susan M. Jablonski Public Utility Commission Office of Permitting, Remediation and Registration William B. Travis Building Texas Commission on Environmental Quality P.O. Box 13326 MC-122 1701 North Congress Avenue P.O. Box 13087 Austin, TX 78701-3326 Austin, TX 78711-3087 Judge, Matagorda County Mr. Terry Parks, Chief Inspector Matagorda County Courthouse Texas Department of Licensing and Regulation 1700 Seventh Street Boiler Division Bay City, TX 77414 P.O. Box 12157 Austin, TX 78711

UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION In the Matter of )

)

STP Nuclear Operating Company ) Docket Nos. 50-498

) 50-499 South Texas Project Units 1 and 2 )

AFFIRMATION I, Thad Hill, being duly sworn, hereby depose and state that I am Manager and President of Texas Genco GP, LLC; the General Partner of NRG South Texas LP, and I am Executive Vice President and Regional President, NRG Texas of G Energy, Inb., that I am familiar with the content of the Attachment 2A (revised) being- bmitted in support of an application for order approving indirect transfer of control of licenses; and that the projections provided in A (revised) are true and correct projections to th best of my knowledge and belief.

Thad Hill Manager and President STATE OF TEXAS( )

• I)

COUNTY OF 4A,4 / )

Subscribed and sworn to me, a Notary Public, in and for the State of Texas, this

• day of July, 2007.

., ROSE GALLARDO Public in an r the State of Texas

....... Notary Public, State of Texas My Commission Expires March 23, 2008

ATTACHMENT I 10 CFR 2.390 Affidavit of Thad Hill

UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION In the Matter of )

)

STP Nuclear Operating Company ) Docket Nos. 50-498

) 50-499 South Texas Project Units I and 2 )

AFFIDAVIT I, Thad Hill, Manager and President of Texas Genco GP, LLC; the General Partner of NRG South Texas LP, and Executive Vice President and Regional President, NRG Texas of NRG Energy, Inc. do hereby affirm and state:

1. I am authorized to execute this affidavit on behalf ofNRG South Texas LP and NRG Energy, Inc.

2. NRG South Texas LP is providing information in support of its Application for Order Approving Indirect Transfer of Control of Licenses. The information being provided in Attachment 2A (revised) contains financial projections related to its ownership of the South Texas Project Electric Generating Station. Attachmnent 2A (revised) constitutes proprietary commercial and financial information that should be held in confidence by the NRC pursuant to the policy reflected in 10 CFR 2.390(a)(4), because:

i. This information is and has been held in confidence by NRG South Texas LP and its affiliates ii. This information is of a type that is customarily held in confidence by NRG South Texas LP and its affiliates, and there is a rational basis for doing so because the information contains sensitive financial information concerning projected revenues and operating expenses of NRG South Texas LP.

iii. This information is being transmitted to the NRC voluntarily and in confidence.

iv. This information is not available in public sources and could not be gathered readily from other publicly available information.

I

v. Public disclosure of this information would create substantial harm to the competitive position of NRG South Texas LP and its affiliates by disclosing its internal financial projections.

3. Accordingly, NRG South Texas LP requests that the designated documents be withheld from public disclosure pursuant to 10 CFR 2.39:(a)(4). '7 Thad Hill Manager and President STATE OF TEXAS )

COUNTY OF )

Subscribed and sworn to me, a Notary Public, in and for the State of Texas, this ___--_ day of July, 2007.

ROSE GALLARDO R' Notary Public, State of Texas My Commission Expires March 23, 2008 State of Texas 2

ATTACHMENT 2 (revised)

Projected Income Statement of NRG South Texas LP (Non-Proprietary Version)

NOC-AE-07002190 Page 1 of 1 Projected Income Statement of NRG South Texas LP

($'s il lO00s) 2007 2008 2009 2010 2011 2012 Assumed STP Capacity (MWe)

Assumed STP Capacity Factor Total MWhs Available (1000s)

Weighted Average Price Revenue ($)

Nuclear Fuel ($)

Gross Margin ($)

Operation & Maintenance ($)

General and Administrative ($)

Taxes Other than Income ($)

Nuclear Fuel Amortization Add-back ($)

EBITDA ($)

Depreciation & Amortization ($)

EBIT ($)

Interest Expense ($)

EBT ($)

Tax Expense (33%) ($)

Net Income ($)