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Fri. 3 Jun 2022, 6:53am ET Benzinga News, Guidance
  • Reports $383.7 million of total capital available to fund strategic growth plan, including upsized $341 million raised through successful merger with Spring Valley Acquisition Corporation
  • Maintains significant commercial momentum year-to-date with three new active engagements in the United States and Europe, expanded coalition of strategic partners and investors in the U.S., South Korea and Japan, and reached key technological and licensing milestones
  • Now a publicly-listed company under ticker symbol SMR on the New York Stock Exchange

NuScale Power Corporation ("NuScale Power" or the "Company") (NYSE:SMR), the industry-leading provider of proprietary advanced nuclear small modular reactor ("SMR") technology, today provided a business update and reaffirmed its financial outlook.

"We are extremely proud of our recent public listing, which is built on decades of innovation, investment and the expertise of our talented team, many of whom have dedicated their careers to building and commercializing our groundbreaking technology. At NuScale Power, we've built a strong competitive position, won customer mandates and firmly established ourselves as a first mover in the large, global and largely untapped SMR market," said John Hopkins, President and Chief Executive Officer of NuScale Power. "NuScale Power is well positioned and well capitalized to lead the broader energy industry into the future, one in which nuclear power is increasingly recognized as a critically important solution for cost-effective, 100% carbon-free baseload power."

BUSINESS UPDATE HIGHLIGHTS:

  • Grew customer pipeline to four active relationships around the world. These customers include NuScale Power's anchor relationship with Utah Associated Municipal Power Systems (UAMPS) and newer agreements with Dairyland Power Cooperative in the U.S., S.N. Nuclearelectrica S.A. in Romania and KGHM in Poland.
  • Made substantial progress with its anchor client UAMPS towards deployment in 2029. The Company recently completed its field investigation activities at the project site located within the Idaho National Laboratory near Idaho Falls, Idaho. In parallel, NuScale Power continued to develop a Combined License Application (COLA) and is currently analyzing data collected from the comprehensive site investigation and a two-year monitoring process, which will be presented in the COLA to address key safety and environmental considerations. The COLA will also provide additional project-specific facility design information, which will support the Nuclear Regulatory Commission's ("NRC") safety and environmental reviews, as well as public consultations.
  • Formed new strategic partnerships. NuScale Power partnered with steel manufacturer Nucor in the U.S. and with the Japan Bank for International Cooperation ("JBIC") in Japan, as well as strengthened a partnership with Doosan Enerbility in Korea. All of these partnerships are emblematic of the growing importance of nuclear energy in these regions and around the world, and will play key roles in driving the commercialization of NuScale Power's SMR.
  • Made significant progress on commercialization process including technology and production process development. The Company is ordering long lead-time equipment now, which it believes is a significant competitive advantage. NuScale Power is simultaneously working with its commercial and supply partners on various testing and validation campaigns, while priming the production process through initiatives such as FXM-19 forging trials with both domestic and international forging sources.
  • Reached additional licensing milestones with the NRC in addition to its COLA associated with the UAMPS project. This includes the recent approval of the Building Design & Analysis Licensing Topical Report and the acceptance of three other topical reports for review, including the Rod Ejection Accident Methodology Licensing Topical Report Revision, the Framatome Fuel Applicability Topical report supplement and the Critical Heat Flux Topical report supplement.

FINANCIAL UPDATE:

  • Total available capital remains strong at $383.7 million. This includes $42.7 million in cash or cash equivalents as of March 31, 2022 and $341 million from the assets in trust and upsized PIPE, net of transaction expenses, raised in connection with the recently closed combination with Spring Valley Acquisition Corp. ("Spring Valley").
  • Revenue of $2.4 million and net loss of $(23.4) million for the three month period ended March 31, 2022, compared to revenue of $0.7 million and a net loss of $(22.7) million, respectively, for the same period in 2021.
  • Research and development expenses of $24.4 million for the three month period ended March 31, 2022, compared to $18.8 million for the same period in 2021.

FINANCIAL OUTLOOK:

  • NuScale Power reaffirms financial outlook including $16 million cash revenue for full year 2022 as first shared in its merger announcement with Spring Valley.
  • Sufficient capital to support longer-term business development plans, thanks in part to a $54 million increase in PIPE proceeds from $181 million to $235 million. Actual merger proceeds of $341 million exceeded the $200 million cash need forecasted through 2024 in the projections shared in its merger announcement with Spring Valley

"We are pleased to be off to a great start as the first publicly traded SMR technology provider," said Chris Colbert, Chief Financial Officer of NuScale Power. "In reaffirming our financial outlook, we believe the capital generated through our successful merger can be successfully deployed to support our near-term business development initiatives while driving our long-term growth plan. We remain uniquely positioned to capitalize on the growing and urgent demand for more clean energy around the world, and we look forward to demonstrating the value of our industry-leading technology and asset-light business model to a broader universe of investors, customers and others over time."