6.29.22 Statement of Work final.pdf

89233122RNA000153

Statement of Work Uranium Reserve Program

PART 1 – GENERAL INFORMATION

1.0 General – The National Nuclear Security Administration (NNSA) has a requirement to purchase domestically produced uranium concentrates as uranium oxide (“U3O8”) to establish a Uranium Reserve program.

1.1 Objectives: The objective of this purchase is to support authorized Government programs in accordance with the Atomic Energy Act of 1954 (AEA), as amended, and the Consolidated Appropriations Act, 2021 (Pub. L. 116-260) and advance the U.S. Government’s goal of supporting a domestic nuclear fuel supply chain.

1.2 Scope: This requirement is to purchase up to an estimated one million pounds of U3O8. The uranium shall be provided by a vendor that has produced uranium at a domestic uranium recovery facility at any time since January 1, 2009. The vendor is not required to be currently producing uranium at a uranium recovery facility. All uranium provided shall be from inventory already in storage at the Honeywell Metropolis Works uranium conversion facility located in Metropolis, Illinois. The uranium shall not have been exchanged, swapped, or augmented with uranium imported from foreign countries and shall not have any peaceful-use or end-use restrictions.

The uranium purchased shall be transferred by book transfer to a Government account at the Honeywell Metropolis Works uranium conversion facility. This requirement is only for the purchase of uranium. No conversion of uranium hexafluoride will be conducted under this requirement.

The Government shall require that each seller deliver U3O8 by book transfer to the Government’s designated account, and that such material meets and conforms to: (a) the specification for purity and other physical or chemical properties of source material as set forth in American Society for Testing and Materials (“ASTM”) Specification C967-13 (or the latest version as of the date of delivery) containing 0.711 weight-percent uranium in the isotope U-235; and (b) the converter’s specifications for acceptance of U3O8 at the time of delivery.

1.3 Delivery Date: The period of performance shall be within 60 days after contract award. The book transfer for uranium shall be within 60 days after contract award.

2.0 DEFINITIONS:

2.1 BOOK TRANSFER - The transfer of Concentrates on the records of the Converter from the account designated by the Seller to the Government’s designated account.

2.2 CONCENTRATES - Natural uranium concentrates in the form of triuranium octoxide (U3O8) which has neither been irradiated nor depleted and which have a concentration of the isotope 235U of 0.711 (nominal) weight percent.

2.3 CONVERTER - The conversion facility owned by Honeywell International Inc. at Metropolis, Illinois, U.S.A.

2.4 DELIVERY DATE - The date of book transfer to the Government account.

2.6 DELIVERABLE - Anything that can be physically delivered but may include non-manufactured things such as meeting minutes or reports.

2.7 ORIGIN - The country in which the Concentrates delivered by Seller to Buyer are mined and/or milled, as specified in the applicable Contract.

2.8 SPECIFICATIONS- The standard specifications for Concentrates in effect at the Converter at the time of delivery of Concentrates, which establishes the acceptability of Concentrates at such Converter for conversion without penalty or surcharge.

2.9 U - Natural uranium containing 0.711 (nominal) weight percent 235U.

2.10 235U -The fissionable isotope of uranium with mass number 235.

2.11 UF6 - Natural uranium hexafluoride containing 0.711 (nominal) weight-percent 235U.

2.12 DOMESTIC URANIUM RECOVERY FACILITY- is a licensed uranium mining, in-situ recovery, or milling facility in the United States.

3. SPECIFICATIONS AND DELIVERABLE SUMMARY

Quantity Book transfer natural U3O8 in accordance with § B of the contract.

Delivery Date:

By book transfer to Buyer’s designated account within 60 days following contract execution

Delivery Location

By book transfer at the Honeywell Metropolis Works conversion facility, Metropolis, Illinois.

Quality Natural uranium shall conform to applicable specifications of the delivery location in effect at time of book transfer.

Deliverable Book Transfer of U3O8 to the Government account 60 days after contract award.

This includes submission of all necessary records to effect the Book Transfer.