United States Nuclear Regulatory Commission - Protecting People and the Environment

Morning Report for September 14, 1999

                       Headquarters Daily Report

                         SEPTEMBER 14, 1999

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                    REPORT             NEGATIVE            NO INPUT
                    ATTACHED           INPUT RECEIVED      RECEIVED

HEADQUARTERS        X
REGION I            X
REGION II                              X
REGION III          X
REGION IV                              X
PRIORITY ATTENTION REQUIRED  MORNING REPORT - HEADQUARTERS SEP. 14, 1999

MR Number: H-99-0085

                           NRR DAILY REPORT ITEM
                           GENERIC COMMUNICATIONS



Administrative Letter 99-05, "AMENDED REGULATIONS GOVERNING TIMEPIECES
CONTAINING TRITIUM," was issued on September 13, 1999.

This administrative letter was issued to all exempt distribution
licensees to inform them about recent changes to 10 CFR 32.14.  The
amended regulations simplify the licensing process for timepieces
containing tritium gas.

Contact:  Anthony S. Kirkwood, NMSS
          301-415-6140
          E-mail: ask@nrc.gov
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REGION I  MORNING REPORT     PAGE  2          SEPTEMBER 14, 1999

Licensee/Facility:                     Notification:

Gpu Nuclear Corp.                      MR Number: 1-99-0032
Oyster Creek 1                         Date: 09/14/99
Forked River,New Jersey                RI/PC
Dockets: 50-219
BWR/GE-2

Subject: GPU, AMERGEN REACH AGREEMENT ON SALE OF OYSTER CREEK

Discussion:

On September 14, 1999, GPU, Inc. and AmerGen Energy Company announced
that they have agreed in principle for GPU to sell its Oyster Creek
nuclear generating facility in Lacey Township, NJ, to AmerGen for 10
million dollars.  The purchase was conducted using a competitive bidding
process approved by the New Jersey Board of Public Utilities that began
on February 19, 1999.  The next stage of the sale process is the
development and signing of an Asset Purchase Agreement (APA) by October
15, 1999.  The letter of intent assumes a financial closing date of March
31, 2000.

Under the terms of the letter of intent, GPU will fund the 18R refueling
outage, including the fuel.  AmerGen will repay GPU for the outage costs
over a period of nine years.  In addition, GPU will purchase power from
Oyster Creek at a fixed price for three years.  AmerGen will assume full
responsibility for the ultimate decommissioning of Oyster Creek.  At
financial closing, GPU will provide funding for the decommissioning of
430 million dollars.  GPU Nuclear (GPUN) will continue to plan for plant
shutdown and immediate decommissioning until the APA is signed.  When the
APA is signed, planning for the 18R outage will begin and decommissioning
will be planned as a contingency.  GPUN plans immediately to prepare the
NRC license transfer application and develop a base scope, schedule and
cost for the 18R outage.

Oyster Creek has been online for 305 consecutive days since completing
its 17R refueling outage in November 1998.  The current operating cycle
is planned until the Fall, 2000.

The Resident Inspectors have been notified.  GPU, Inc. has notified the
State of New Jersey and has made a press release.

Regional Action:

None

Contact:  Joseph Schoppy             (609)693-0702
          Peter Eselgroth            (610)337-5234
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