USEC 2008 Commercial Viability & ACP Update
For those who have not yet purchased these new UxC reports, you will need to place your order prior to April 1, 2008 to reserve a seat at the seminar. If you have any questions about the reports, please do not hesitate to contact us.
Thank you very much and we look forward to seeing you in Miami.
Report Update
One additional notice regarding our seminar to be held in Miami on April 7, 2008 on the recent UxC special reports for USEC Commercial Viability and the American Centrifuge Program (ACP) Readiness:
Some customers have asked us about an update to both reports following the recent USEC 2007 Earnings Release and separate Press Release on USEC’s progress with the ACP, both dated February 25, 2008. First, both the UxC USEC Viability Report and the UxC ACP Readiness Update largely anticipated the announcements in USEC’s February 25 ACP Progress Report (for example we estimated that the total cost of the ACP would be $3.5 billion with financing). Secondly, any updates that need to be made will be made for the April 7 seminar presentation. All attendees at the seminar will be given a copy of the presentation slides (that will include all updates) and customers who purchased the UxC reports but who cannot attend the seminar will also be given a copy of the seminar slides. We hope this answers your questions about updating the two recent UxC special reports. If you have any further questions, please do not hesitate to contact Ruthanne Neely at 301-941-1975 or Ruthanne.Neely@uxc.com.
Thank you very much and we look forward to seeing you in Miami. Please remember to reserve a seat at the seminar and more than one person is welcome to attend from any customer company.
Our latest USEC Viability Study follows two previous reports, published August 2000 and January 2002, which dealt with earlier issues impacting USEC's business, such as the company's privatization, shutdown of the Portsmouth Gaseous Diffusion Plant (GDP) and renegotiation of the Russian High Enriched Uranium (HEU) Agreement. In this new report, we look at USEC's present situation, where it must execute a complicated transition strategy, going from the current employment of the old, high-cost, high-volume gaseous diffusion technology to the commercialization of a new, more efficient, gas centrifuge technology – the American Centrifuge Plant (ACP). Additionally, USEC must manage a drop in size from an 11-12 million SWU per year company to a smaller 3-5 million SWU per year company, after the currently profitable HEU Agreement with Russia expires in 2013. The demands of shutting down another GDP, commercializing a new technology, and re-sizing the existing infrastructure present critical challenges. Observations reported in this study are primarily based on UxC's analysis of a number of different potential scenarios over the ten--year period from 2008 through 2018. The scenarios look at USEC's SWU, uranium, and other revenues, the costs associated with those revenues, and the annual gross profits USEC can realize under different circumstances. The analyses take into account the degree of success of the ACP, the financing costs of the ACP, and the potential for financial assistance from the U.S. Government. The report is supported by a significant amount of revenue and cost analyses and other relevant data.
Ultimately, the conclusions reached from each of our scenario analyses provide a comprehensive perspective on the potential future course for USEC as a corporation. This unique UxC report should provide valuable insights for all those wondering about the future of USEC, Inc.
Please see the report table of contents in Adobe Acrobat PDF
format.The American Centrifuge: How Ready Is It? – 2008 Update
We believe it is timely to update the UxC assessment of the USEC American Centrifuge Plant (ACP) that was presented in the original November 2006 UxC report entitled "The American Centrifuge: How Ready Is It?" This report accompanies UxC's "Commercial Viability of USEC, Inc. – 2008 Update" report, which indicates that USEC's future is highly dependent on the successful commercialization of the ACP. This new UxC report updates our analysis of the readiness for ACP deployment in the context of the time and cost issues identified in our USEC viability study as well as incorporating the latest progress of the ACP project as reported by USEC over the course of the past year. As such, this report includes updates to our reliability analysis of the ACP centrifuge machines, cost projections for the overall project and specific centrifuge manufacturing costs, as well as other relevant observations. As the ACP project appears to be moving forward on a number of technical, engineering, and financial fronts, this latest UxC report offers a unique perspective on the future course of USEC's crucial ACP undertaking.
Please see the report table of contents in Adobe Acrobat PDF
format.
Pricing Information:
Since these two reports as well as UxC's November 2006 original ACP Study are complementary, we highly recommend that they be purchased together. Therefore, although individual reports are available, package pricing does reflect discounts. In addition, customers of UxC's Enrichment Market Outlook (EMO) are given discounts on these reports. We distribute these reports to subscribers in both printed and Adobe Acrobat PDF format via Internet e-mail. Pricing details for report packages and individual reports follows:
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| USEC Viability & ACP 2008 Update: | ACP 2006 Report & 2008 Update: |
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| All Three Reports: |
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Phone: +1 (770) 642-7745
Fax: +1 (770) 643-2954
Internet: