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PROJECT OVERVIEW

COOLING POND REMOVAL

Sydney Tar Ponds & Coke Ovens Clean Up:

Presentation Overview

• Overview: clean up• Profile Cooling Pond project• Consider relationship with First

Nations• Local Economic Benefits

Project Overview• Clean up is 25 years in the making

• One of the most intensely studied and vigorously debated projects of its kind

• Budgeted at $400 million

• Funded by Canada & Nova Scotia - cost share is 70%-30%

Construction-Clean Up

Related Costs

S1

$290,000,000

$110,000,000

$0

$50,000,000

$100,000,000

$150,000,000

$200,000,000

$250,000,000

$300,000,000Allocation of Funds

Related Activities include: preventative works, pre-design, environmental impact assessment, IE, design oversight, & agency operations

Clean Up Scope & Complexion• Spans 7 years

• Begins this summer

• Local contractors expected to supply most services

• Business model - Competitive bid process

Scope & Complexion

11 Projects Comprise Clean Up

Channels

Decontamination Facility

S&S

Surface Cap-TPCO Brook Connector

Cutoff Walls

Groundwater Collection

Water Treatment

Landfill

CO Surface Cap

Governance

PMC

Sydney Tar Ponds

Agency

Independent Engineer

Design Engineer

CLC

Contractors

First Nations

EMC

OAC

Background

• October 2005 - Protocol Agreement

Signed

Canada, Nova Scotia, First Nations

Background cont’d

Cooling Pond designated Aboriginal set aside in

2005

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Background cont’d

• Cooling pond went to tender in 2006

• Recommendations of Environmental Review Panel required a rethink of construction method

• Project pulled back and changed in line with panel recommendations

• Cooling Pond going to tender this summer

Cooling Pond Set Aside cont’d

• Changed construction method this time

Originally-Design Build• Contractor sets out design &

constructs

• Overall responsibility with contractor

• First nations involvement via partnerships

• Non-FN companies in the lead

• Limited FN content

Originally-Design Build• Contractor sets out design &

constructs

• Overall responsibility with contractor

• First nations involvement via partnerships

• Non-FN companies in the lead

• Limited FN content

Currently-Time & Materials• Earth Tech (DE) construction

manager

• Overall responsibility for design implementation with Earth Tech

• First nations involvement direct

• FN companies supply needed labour & materials

• Expanded FN content

Currently-Time & Materials• Earth Tech (DE) construction

manager

• Overall responsibility for design implementation with Earth Tech

• First nations involvement direct

• FN companies supply needed labour & materials

• Expanded FN content

Cooling Pond Set Aside cont’d

• FN contractors will be pre-qualified for standing offer list

• Contractors will be engaged for additional set-aside projects going forward

First Nations

• Discussions going well with FN economic benefits Steering Committee led by Membertou

• Agreement on the establishment of FN LEB Office

• Briefings held with Steering Committee and FN vendors

First Nations cont’d

• Negotiations progressing between government partners and First Nations on a procurement agreement specific to tar ponds and Coke Ovens clean up

• Agreement expected this fall

First Nations cont’dLooking beyond the Cooling Pond, options for involvement of First Nations under discussion

Possible additional projects: i.e.: access roads, capping, materials handling

FN Participation

Models

Set AsideSet Aside

Standing OfferStanding Offer

Local Economic Benefits

Cape Breton content in the clean up is an Agency priority

The way bid packages are scored reflects this

Benefits - Point AllocationBig picture -

Allocation of Points - Macro100 in total

Benefits

Technical & Costing

15

85

Benefits - Point Breakdown

+

Labour & Materials

8 points

Community Input

2 points Ownership

5 points

Clean Up Particulars

• Fundamentally, it’s a big construction project• So, we’ll be needing …

– Aggregates – gravels, stone, clay, till, rip rap– Trucking – Equipment – loaders, excavators, dozers– Operators, labourers, supervisors, testing– Specific materials – liners, pumps, erosion

– Aggregates – gravels, stone, clay, till, rip rap– Trucking – Equipment – loaders, excavators, dozers– Operators, labourers, supervisors, testing– Specific materials – liners, pumps, erosion

Conclusion

• Significant opportunities

• Know your capacity

• Online business directory

• www.tarpondscleanup.ca

Questions / Discussion