PSEG Nuclear Responds to Nuclear Regulatory Commission Announcement Regarding Hope Creek Generating Station
11 January 2005 - 9:48AM
PR Newswire (US)
PSEG Nuclear Responds to Nuclear Regulatory Commission Announcement
Regarding Hope Creek Generating Station LOWER ALLOWAYS CREEK, N.J.,
Jan. 10 /PRNewswire-FirstCall/ -- PSEG Nuclear today issued a
statement in response to a letter released by the Nuclear
Regulatory Commission in advance of its public meeting slated for
Wednesday evening, January 12th. The statement from Chris Bakken is
as follows: "We are pleased the NRC concurs with our assessment
that Hope Creek is safe to operate without replacing the 'B'
recirculation pump shaft until the next refueling outage. Based on
our conversations with the NRC, we now expect to receive a
confirmatory action letter (CAL) from the NRC consistent with the
commitment letter we delivered to them yesterday. Those commitments
include setting up a vibration-monitoring program to continuously
monitor the recirculation pump, taking specific actions to be based
on the vibration data, and making a commitment to change out the
pump shaft during the next refueling outage or sooner if an outage
of a sufficient duration occurs before the next scheduled
refueling. PSEG looks forward to the public meeting with the NRC on
Wednesday evening to further discuss the details of their special
investigation. We anticipate restarting Hope Creek shortly after
the public meeting with the NRC." PSEG also released a copy of
Bakken's commitment letter to Sam Collins, Regional Administrator,
NRC Region I (attached below). This filing contains forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Such statements include, but are not limited
to, statements about the benefits of the business combination
transaction involving Public Service Enterprise Group Incorporated
and Exelon Corporation, including future financial and operating
results, the combined company's plans, objectives, expectations and
intentions and other statements that are not historical or current
facts. Such statements are based upon the current beliefs and
expectations of Public Service Enterprise Group Incorporated's and
Exelon Corporation's management, are subject to significant risks
and uncertainties and may differ materially from actual future
experience involving any one or more of such matters. Actual
results may differ from those set forth in the forward-looking
statements. The following factors, among others, could cause actual
results to differ from those set forth in the forward-looking
statements: the timing of the contemplated merger and the impact of
any conditions imposed by regulators in connection with their
approval thereof; the failure of Public Service Enterprise Group
Incorporated and Exelon Corporation stockholders to make the
requisite approvals for the transaction; the risk that the
businesses will not be integrated successfully; failure to quickly
realize cost-savings from the transaction as a result of technical,
logistical, competitive and other factors; the effects of weather;
the performance of generating units and transmission systems; the
availability and prices for oil, gas, coal, nuclear fuel, capacity
and electricity; changes in the markets for electricity and other
energy-related commodities; changes in the number of participants
and the risk profile of such participants in the energy marketing
and trading business; the effectiveness of our risk management and
internal controls systems; the effects of regulatory decisions and
changes in law; changes in competition in the markets we serve; the
ability to recover regulatory assets and other potential stranded
costs; the outcomes of litigation and regulatory proceedings or
inquiries; the timing and success of efforts to develop domestic
and international power projects; conditions of the capital markets
and equity markets; advances in technology; changes in accounting
standards; changes in interest rates and in financial and foreign
currency markets generally; the economic and political climate and
growth in the areas in which we conduct our activities; and changes
in corporate strategies. While we believe that our forecasts and
assumptions are reasonable, we caution that actual results may
differ materially. We intend the forward-looking statements to
speak only as of the time first made and we do not undertake to
update or revise them as more information becomes available.
Additional factors that could cause Public Service Enterprise Group
Incorporated's and Exelon Corporation's results to differ
materially from those described in the forward-looking statements
can be found in the 2003 Annual Reports on Form 10- K, and
Quarterly Reports on Form 10-Q for the quarterly period ended
September 30, 2004, and the current reports on Form 8-K filed on
December 21, 2004, and December 20, 2004, of Public Service
Enterprise Group Incorporated and Exelon Corporation, as such
reports may have been amended, each filed with the Securities and
Exchange Commission and available at the Securities and Exchange
Commission's website, http://www.sec.gov/. Additional Information
This communication is not a solicitation of a proxy from any
security holder of Public Service Enterprise Group Incorporated or
Exelon Corporation. Exelon Corporation intends to file with the
Securities and Exchange Commission a registration statement that
will include a joint proxy statement/prospectus and other relevant
documents to be mailed by Public Service Enterprise Group
Incorporated and Exelon Corporation to their respective security
holders in connection with the proposed merger of Public Service
Enterprise Group Incorporated and Exelon Corporation. WE URGE
INVESTORS AND SECURITY HOLDERS TO READ THE JOINT PROXY
STATEMENT/PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS WHEN THEY
BECOME AVAILABLE, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION
ABOUT PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED, EXELON
CORPORATION AND THE PROPOSED MERGER. Investors and security holders
will be able to obtain these materials (when they are available)
and other documents filed with the Securities and Exchange
Commission free of charge at the Securities and Exchange
Commission's website, http://www.sec.gov/. In addition, a copy of
the joint proxy statement/prospectus (when it becomes available)
may be obtained free of charge from Public Service Enterprise Group
Incorporated, Investor Relations, 80 Park Plaza, P.O. Box 1171,
Newark, New Jersey 07101-1171, or from Exelon Corporation, Investor
Relations, 10 South Dearborn Street, P.O. Box 805398, Chicago,
Illinois 60680-5398. Participants in Solicitation Public Service
Enterprise Group Incorporated, Exelon Corporation, their respective
directors and executive officers and other persons may be deemed to
be participants in the solicitation of proxies in respect of the
proposed transaction. Information regarding Public Service
Enterprise Group Incorporated's directors and executive officers is
available in its proxy statement filed with the Securities and
Exchange Commission by Public Service Enterprise Group Incorporated
on March 10, 2004, and information regarding Exelon Corporation's
directors and executive officers is available in its proxy
statement filed with the Securities and Exchange Commission by
Exelon Corporation on March 12, 2004. OTHER INFORMATION REGARDING
THE PARTICIPANTS IN THE PROXY SOLICITATION AND A DESCRIPTION OF
THEIR DIRECT AND INDIRECT INTERESTS, BY SECURITY HOLDINGS OR
OTHERWISE, WILL BE CONTAINED IN THE JOINT PROXY
STATEMENT/PROSPECTUS AND OTHER RELEVANT MATERIALS TO BE FILED WITH
THE SECURITIES AND EXCHANGE COMMISSION WHEN THEY BECOME AVAILABLE.
(Bakken's letter to the NRC) LR-N05-0017 January 9, 2005 Mr. Samuel
Collins, Regional Administrator United States Nuclear Regulatory
Commission Region I 475 Allendale Road King of Prussia, PA
19406-1415 PSEG ACTIONS IN RESPONSE TO NRC CONCERNS REGARDING 'B'
REACTOR RECIRCULATION PUMP HOPE CREEK GENERATING STATION DOCKET NO.
50-354 Reference: Telecon Mr. Chris Bakken, PSEG, and Mr. Sam
Collins, USNRC January 7, 2005 Dear Mr. Collins: In response to our
telephone discussions on January 7, 2005, this letter documents
PSEG Nuclear LLC's (PSEG) commitments regarding the Hope Creek 'B'
Reactor Recirculation Pump. 1) PSEG will implement a
vibration-monitoring program to continuously monitor the 'B'
Reactor Recirculation Pump's primary and secondary harmonic
parameters (total amplitude, 1X and 2X amplitude, and 1X and 2X
phase angle) during future operating cycles. This program shall
include establishing objective criteria that demonstrate that
monitored parameters are within acceptable range and developing
procedures which specify the actions to be taken if the monitored
parameters are outside of the specified range of the acceptance
criteria. We understand that PSEG procedures HC.OP-AB.RPV-0003(Q),
HC.OP-AR.ZZ-0008(Q) Attachment E-4, and HC.ER-AP.BB-0001(Z) Rev. 0,
provided by PSEG letter dated January 4, 2005 meet this commitment.
Further, this program will continue until an inspection of the 'B'
Reactor Recirculation Pump's rotating assembly and replacement of
the pump shaft have been completed. 2) PSEG will notify the NRC
prior to implementing any change to the vibration monitoring and
operating procedures cited above. This notification will provide
sufficient time for the NRC to complete a review of the proposed
changes. 3) PSEG will replace the 'B' Reactor Recirculation Pump
shaft and inspect the pump's rotating assembly and pressure
boundary components (such as the pump casing and cover) at the
earlier of the next refueling outage (RFO13) or during an outage of
sufficient duration to accomplish pump replacement. During the
current refueling outage (RF012) PSEG has completed extensive work
directed toward improving equipment reliability and correcting
long-standing problems. Attachment 1 provides a summary listing of
some of the more significant activities. Should you have any
further questions please contact Christina Perino,
Director-Licensing and Nuclear Safety at 856-339-1989. Very truly
yours, A. Christopher Bakken, III President and Chief Nuclear
Officer Attachment C Mr. D. Collins, Project Manager Salem &
Hope Creek U. S. Nuclear Regulatory Commission One White Flint
North Mail Stop 08B2 11555 Rockville Pike Rockville, MD 20852 USNRC
Senior Resident Inspector - HC (X24) Mr. K. Tosch, Manager IV
Bureau of Nuclear Engineering PO Box 415 Trenton, NJ 08625 Document
Control Desk USNRC Washington DC 20555 Major work completed during
RF12 * Completed replacement of 69 CRD Mechanism and 8 O-Ring
replacements (includes Guide Tube Vacuuming of associated guide
tubes). This included removal of existing CRDM Exchange Machine and
replaced with new equipment * Performed overhaul and material
upgrade of the "B" and "C" Emergency Diesel Generators *
Inspections and valve replacements of "A" Service Water Loop,
including coating repairs and installation of WEKO Seals * Replaced
14 SRV Pilot Assemblies and 9 SRV Bodies * Replaced "C" EDG
Electronic Governor * Replaced "B" EDG Electronic and Mechanical
Governors * Replaced "B" Reactor Recirc Pump Seal and implemented
"B" Reactor Recirc Seal leakoff piping slope modification * Rebuilt
TACS Accumulator Floating Roof * Repaired the "A" Control Room
Chiller Labyrinth Seals * Performed Internal inspection of all 8
MSIVs * Repaired Drywell Insulation * Repaired EDG Exhaust
Stacks/Leaks * Replaced 'A' & 'B' Phase Main Power Transformer
* Performed Fuel Sipping of the entire core * Installed Digital EHC
System * Completed Reactor Level Setpoint Setdown Modification *
Implemented RX Recirc Vibration Monitoring DCP DATASOURCE: PSEG
Nuclear CONTACT: Chic Cannon of PSEG Nuclear, +1-856-339-1111 Web
site: http://www.pseg.com/
Copyright