Preston Swafford, our Chief Nuclear Officer & Executive Vice-President of our Nuclear team, recently gave this presentation at the 20th Pacific Basin Nuclear Conference in Beijing, China. He spoke about our collaboration with China to develop the Advanced Fuel CANDU Reactor™ (AFCR), a nuclear reactor designed to use recycled uranium and thorium as fuel. We are working to help China achieve its long-term goals of closing its nuclear fuel cycle, increasing energy independence and reducing carbon emissions through widespread deployment of nuclear.

1. ›The Advanced Fuel CANDU Reactor &
its contribution to a sustainable fuel cycle
›Preston Swafford, Chief Nuclear Officer & EVP, Nuclear
PBNC, April 6, 2016

2. Global expertise delivered locally
2

3. Power sector expertise
3

4. Nuclear capabilities
4

5. World-class safety
5
› We put people first
› Our goal: ‘zero injuries and incidents’
across our offices and worksites
Ethics & compliance
› Strong ethics & compliance culture
› Compliance training and annual
certification for all employees
› Antitrust and competition policy

6. Canada’s Life Extension of CANDU Reactors
- Copyright - © [2016] SNC-Lavalin Inc. and its member companies. All rights reserved. Unauthorized use or reproduction is prohibited. 6
› Leading role in Climate Change
› Over $25 billion investment
› 30 year life extension of 10 CANDU units at
Darlington and Bruce Power

7. The AFCR™
& its contribution to a
sustainable fuel cycle

8. China – Canada partnerships
- Copyright - © [2016] SNC-Lavalin Inc. and its member companies. All rights reserved. Unauthorized use or reproduction is prohibited. 8
› Long history of co-operation since the 1990s
› Qinshan CANDU project a great success
› Successful demonstration of Natural
Uranium Equivalent (NUE) fuel

9. Collaboration on CANDU new build projects
- Copyright - © [2016] SNC-Lavalin Inc. and its member companies. All rights reserved. Unauthorized use or reproduction is prohibited. 9

10. - Copyright - © [2015] SNC-Lavalin Inc. and its member companies. All rights reserved. Unauthorized use or reproduction is prohibited. 10
CANDU fuel cycle

11. AFCR advantages
- Copyright - © [2016] SNC-Lavalin Inc. and its member companies. All rights reserved. Unauthorized use or reproduction is prohibited. 11
› No fundamental design changes needed
› No re-enrichment needed for NUE or RU fuel
› Neutron economy for Th fuel
› Synergies with LWR fleets

12. 2014: Major AFCR milestones
- Copyright - © [2016] SNC-Lavalin Inc. and its member companies. All rights reserved. Unauthorized use or reproduction is prohibited. 12

13. - Copyright - © [2016] SNC-Lavalin Inc. and its member companies. All rights reserved. Unauthorized use or reproduction is prohibited. 13
AFCR benefits to China
› Increasing the utilization of Uranium reserves by 20%
› Increasing China’s low carbon electricity production
by 2 billion MWh per year
› Displacing 26 million tonnes of CO2 per year
› Reducing the overall spent fuel burden

14. - Copyright - © [2016] SNC-Lavalin Inc. and its member companies. All rights reserved. Unauthorized use or reproduction is prohibited. 14

15. Vision for the future
- Copyright - © [2016] SNC-Lavalin Inc. and its member companies. All rights reserved. Unauthorized use or reproduction is prohibited. 15
› CANDU technology key to “greening” China’s
nuclear energy production
› China – Canada co-operation mutually beneficial
› Our partnerships can power the world

16. snclavalin.com
Building
what matters