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www.terrahdd.com ENGINEERING ENVIRONMENT GEOTECHNICAL CONSTRUCTION-SUPERVISION Project: 2021 NGTL System Expansion Project Document Title: HDD Feasibility Report - Mcleod River Crossing Report Number: 00796-THD-C-RP-0013_2020-09-09 Rev No Description Rev Date Originator Reviewer Approver 0 ISSUED FOR USE SEPT. 09 2020 PL/PP SG/PP/BR SG TerraHDD SOLUTIONS INC. “Your Trenchless Solutions Provider” 1 INTRODUCTION ................................................................................................................... 3 Table of Contents 2 SCOPE OF WORK .................................................................................................................. 3 3 GEOTECHNICAL/GEOPHYSICAL PROGRAM ........................................................................... 4 GEOTECHNICAL INVESTIGATION .................................................................................................................. 4 GEOPHYSICAL INVESTIGATION ..................................................................................................................... 6 GROUNDWATER ........................................................................................................................................... 6 4 SITE CONDITIONS AND HDD DESIGN SUMMARY ................................................................... 7 5 HDD DESIGN CRITERIA ......................................................................................................... 8 DESIGN BASIS ................................................................................................................................................ 8 BORE GEOMETRY AND ALIGNMENT CONSIDERATION ................................................................................. 8 ENTRY AND EXIT ............................................................................................................................. 8 VERTICAL DESIGN RADIUS .............................................................................................................. 9 INSTALLATION DEPTH .................................................................................................................. 10 LENGTH ........................................................................................................................................ 10 HDD BORE SIZE ............................................................................................................................. 10 CASING ....................................................................................................................................................... 10 BUOYANCY ................................................................................................................................................. 11 WASTE VOLUME AND SOURCE WATER ASSESSMENT ................................................................................ 11 DRILLING SCHEDULE ................................................................................................................................... 12 WORKSPACE AND STAGING AREA .............................................................................................................. 12 STEERING CONTROL .................................................................................................................................. 12 6 HDD EVALUATION ............................................................................................................. 13 PIPELINE PARAMETERS ............................................................................................................................... 13 PIPE WALL THICKNESS ................................................................................................................................ 13 PULLING LOAD & STRESS ANALYSIS ............................................................................................................ 13 ANNULAR PRESSURE (HYDROFRACTURE) CALCULATION ........................................................................... 18 7 BREAK-OVER (PIPE LIFTING SUPPORT) ................................................................................ 22 8 CROSSING SPECIFIC RISKS AND MITIGATION MEASURES ..................................................... 23 FRACTURED BEDROCK ................................................................................................................................ 23 CASING INSTALLATION ............................................................................................................................... 23 PIPELINE DRAG SECTION ............................................................................................................................. 23 LOSS OF CIRCULATION OR FLUID RELEASE .................................................................................................. 23 NOISE AND TRAFFIC CONTROL ................................................................................................................... 24 9 OTHER RISKS AND MITIGATION MEASURES ........................................................................ 24 10 CROSSING CONTINGENCY .................................................................................................. 25 11 CONCLUSION ..................................................................................................................... 26 APPENDIX 1 HDD DESIGN DRAWING 2021 NGTL System Expansion Project Nova Gas Transmission Ltd. 1 INTRODUCTION Nova Gas Transmission Ltd. (“NGTL”), a wholly owned subsidiary of TC Energy, proposes to construct, own and operate new pipeline facilities in Alberta that will form an integral part of the existing NGTL System. These facilities are referred to as the 2021 NGTL System Expansion Project. The Project includes approximately 345km of 1,219mm (NPS 48) pipeline, valve sites, pipeline tie-ins, three compressor unit additions, and one control valve. The proposed pipeline additions are in eight sections that will loop existing NGTL System mainlines. Six (6) high-priority anticipated trenchless crossings have been identified for this project, including: • Smoky River • Little Smoky River • McLeod River • Pembina River • North Saskatchewan River • Wapiti River TerraHDD Solutions Inc. (TerraHDD) was retained to complete a Horizontal Directional Drill (HDD) final feasibility study based on the geotechnical conditions for all crossings excluding Little Smoky River & Wapiti River. Preliminary feasibility assessment of the selected trenchless method has been conducted for the crossings in June 2018. The survey information for this project was provided by Midwest surveys Inc. (Midwest) and the geotechnical investigation was carried out by Golder Associates Ltd. (Golder). Based on these available data TerraHDD conducted HDD design and this engineering feasibility report for Mcleod River Crossing. 2 SCOPE OF WORK The scope of work for the engineering feasibility evaluation includes: • Horizontal Directional Drill design based on provided alignment • Annular pressure calculation based on geotechnical conditions • Break-over Design • Final engineering feasibility report addressing the viability of the HDD installation at the crossing location and presenting potential construction related concerns • Design report 00796-THD-C-RP-0013_2020-09-09 HDD Feasibility Report - Mcleod River Crossing Page 3 of 29 2021 NGTL System Expansion Project Nova Gas Transmission Ltd. 3 GEOTECHNICAL/GEOPHYSICAL PROGRAM As part of the HDD feasibility evaluation process Golder has completed geotechnical and geophysical investigations, specifically to provide information for the crossing methodology at this location. Refer to geophysical survey and geotechnical reports (00796-GAL-C-RP- 0005_Rev 0 & 00796-GAL-C-RP-0018_A) issued by Golder for the Mcleod River Crossing for detailed geotechnical investigation results at the crossing. GEOTECHNICAL INVESTIGATION A total of five (6) geotechnical boreholes were drilled. There were two drilling program that took place for this crossing. The first drilling program drilled five boreholes from May 08 through May 23, 2019 with two boreholes (MR19-HDD-BH01, and BH02) on the South side of the crossing and the other two boreholes (MR19-HDD-BH03 and 04) on the North side of the crossing. The fifth Borehole MR19-HDD-BH04A was drilled adjacent to the MR19-HDD-BH04 to gather additional overburden sample. As a result, both boreholes had similar result so only MR19-HDD-BH04 is shown on the HDD drawing and is addressed in this report. The second drilling program consisted of drilling a single borehole (MR20-HDD-BH-01) by the new entry location. This was drilled between July 13 to July 16, 2020. Table 1 highlights borehole ID, surface elevation, bedrock depth and termination depth. Table 1: Borehole Summary Surface Bedrock Termination BH ID Elevation Depth Depth MR19-HDD-BH01 901.2m 4.6m 41.2m MR19-HDD-BH02 901.6m 6.3m 55.1m MR19-HDD-BH03 915.7m 19.9m 80.2m MR19-HDD-BH04 917.4m 21.7m 57.9m MR20-HDD-BH-01 917.8m 24.8m 29.3m Borehole MR20-HDD-BH01 is the closest borehole to the entry location of the proposed HDD, located on the south side of the crossing. The borehole report shows that the surficial material is a soft silty clay layer down to a depth of 8.1m followed by sandy silty clay (till) with a trace of gravel and coal to a depth of 23.4m. The sandy silty clay (till) is cohesive and firm to very stiff. Beneath this overburden, the borehole encountered completely weathered mudstone (possibly bedrock) to a depth of 24.8m. Bedrock (weather