Temporary Liquid Mud Plant Halliburton Group Canada (Halliburton) is proposing to develop a temporary Liquid Mud Plant (LMP; the Project) at 30 Kyle Avenue, Donovan’s Industrial Park in Mount Pearl, NL on an existing lot to be leased from Pardy’s Waste Management and Industrial Services (Pardy’s), who currently operates at this location. Who is Halliburton? Halliburton operates both globally and locally. It has operated in Newfoundland since 1970, providing oil field services for the offshore oil and gas industry. What’s the Project? The temporary Liquid Mud Plant (LMP) will be located in Donovan’s Industrial Park in Mount Pearl, on an existing lot to be leased from Pardy’s, who currently operates at this location. The LMP will occupy an area of 50 x 100 ft (5,000 ft²) with capacity for storing up to 630 m³ of drill mud. Halliburton and Pardy’s have entered into an agreement for use of seven existing 90m³ vertical above ground storage tanks. Pardy’s will also lease approximately 600 ft² of storage space in their existing warehouse for materials, and provide transportation services to Halliburton (delivery of drill mud to client). Halliburton will use the LMP to blend base fluids and materials into drill mud and brines to meet the specifications of its customer(s). This blending/mixing facility will not be manufacturing chemicals. The main components of the LMP are a mixing tank and a pumping unit. The pumping unit puts pressure on the blended fluids which helps them stay combined in a solution. The facility will operate between 8 and 12 days per month, for 6 to 8 hours per day. What is the Purpose of the Project? The purpose of the Project is to provide drilling mud to the Newfoundland and Labrador offshore oil and gas industry. Halli- burton has a contract to supply drilling fluids to Suncor to support Suncor’s on-going drilling programs in the Newfoundland offshore. Aside from direct hiring, the LMP will provide local benefits through contracts with local suppliers, many of whom are also located in Donovan’s, for things such as supply of hoses, piping, spare parts, and spare parts. Quick Facts • The LMP will be located in Donovan’s Industrial Park, on • It will use seven of Pardy’s existing 90m³ vertical above Pardy’s Waste Management’s lot ground storage tanks (total capacity 630 m³), adjacent • The LMP will occupy an outdoor area of 50 x 100 ft to the LMP site and approximately 600 ft² of enclosed (5,000 ft²) storage space for materials • The facility will operate between 8 and 12 days per • The components of the LMP are designed to reduce dust month, for 6 to 8 hours per day and noise • The facility will blend fluids and there will be no manu- • The blended synthetic mud or brine is considered “low facturing on site; There will be no storage of hazardous odor” chemicals or liquids Project Registration - Kyle Avenue Temporary Liquid Mud Plant Prepared for: Halliburton Group Canada 16 Panther Place Mount Pearl, NL A1N 5B1 Prepared by: Stantec Consulting Ltd. 141 Kelsey Drive St. John’s, NL A1B 0L2 Tel: (709) 576-1458 Fax: (709) 576-2126 File No: 121414756 Final Report May 12, 2017 PROJECT REGISTRATION - KYLE AVENUE TEMPORARY LIQUID MUD PLANT Table of Contents 1.0 INTRODUCTION ............................................................................................................. 1 2.0 GENERAL INFORMATION .............................................................................................. 2 2.1 Geographical Location ................................................................................................... 2 2.2 Undertaking and Proponent ........................................................................................... 2 2.2.1 Undertaking and Location ............................................................................ 2 2.2.2 Proponent Contact Information................................................................... 2 2.2.3 Purpose / Rationale / Need for the Undertaking ....................................... 3 3.0 DESCRIPTION OF THE UNDERTAKING ............................................................................ 4 3.1 Physical Features and Processes Associated with the Undertaking ......................... 4 3.1.1 Physical Features of the Undertaking .......................................................... 4 3.1.2 Alternatives ...................................................................................................... 7 3.1.3 Surrounding Environment .............................................................................. 7 3.2 Construction ...................................................................................................................... 8 3.2.1 Potential Sources of Pollutants and Management Measures During Construction ....................................................................................... 8 3.3 Operation .......................................................................................................................... 9 3.3.1 Maintenance ................................................................................................ 10 3.3.2 Potential Sources of Pollutants and Management Measures During Operation .......................................................................................... 10 3.4 Occupations ................................................................................................................... 11 3.5 Related Documents ....................................................................................................... 12 3.6 Approval of the Undertaking ........................................................................................ 12 4.0 SCHEDULE .................................................................................................................... 12 5.0 FUNDING ..................................................................................................................... 12 i File No. 121414756 PROJECT REGISTRATION - KYLE AVENUE TEMPORARY LIQUID MUD PLANT LIST OF APPENDICES Appendix A Site Layout Appendix B Mount Pearl Business Park Directory Appendix C 2002 QMAX Solutions Registration for Mixing and Reconditioning Drill Fluids at 30 Kyle Avenue Appendix D Certificate of Approval, Pardy’s Waste Management and Industrial Services, 2013-2017 Appendix E Halliburton Global LMP Fluids Manual Appendix F Halliburton Company Policy – Health, Safety, and Environment Appendix G Halliburton Company Policy – Equal Opportunity Employment LIST OF TABLES Table 1 Components of the Kyle Avenue LMP .............................................................. 5 Table 2 Primary Materials to be Stored On-site .............................................................. 9 Table 3 Potential Sources of Pollutants and Mitigation/Management Measures .............................................................................................................. 10 Table 4 Occupations for Temporary Halliburton Drill Mud Plant ................................ 11 LIST OF FIGURES Figure 1 Temporary LMP Location ..................................................................................... 1 Figure 2 Project Site at 30 Kyle Avenue, 05 May 2017 .................................................... 4 Figure 3 Example of a Mixing Tank .................................................................................... 6 Figure 4 Example of a Truck Mounted Elite Pumping Unit ............................................. 6 Figure 5 Nearest Residential Area to the LMP ................................................................. 8 ii File No. 121414756 PROJECT REGISTRATION - KYLE AVENUE TEMPORARY LIQUID MUD PLANT INTRODUCTION May 12, 2017 1.0 INTRODUCTION Halliburton Group Canada (Halliburton) is proposing to develop a temporary Liquid Mud Plant (LMP; the Project) at 30 Kyle Avenue, Donovan’s Industrial Park in Mount Pearl, NL (Figure 1) on an existing lot to be leased from Pardy’s Waste Management and Industrial Services (Pardy’s), who currently operates at this location. This undertaking potentially requires Registration under Section 43(4)(b) Environmental Assessment Regulations of the Newfoundland and Labrador Environmental Protection Act. The purpose of the Project is to provide drilling mud to the Newfoundland and Labrador offshore oil and gas industry. Halliburton has an initial three-year contract to supply drilling fluids to Suncor, extending from July 2017 to July 2020, to support Suncor’s on-going drilling programs in the Jeanne d’Arc Basin. The LMP will occupy an area of 50 x 100 ft (5,000 ft² or 465 m²) (Figure 1) with capacity of up to 630 m³ of drill mud. Halliburton and Pardy’s have entered into an agreement for use of seven 90m³ vertical above ground storage tanks (total capacity 630 m³), adjacent to the LMP site (Figure 1). Pardy’s will also lease approximately 600 ft² of enclosed warehouse space for storage of base fluids and materials and provide transportation services to Halliburton (delivery of drill mud to client). The LMP site was registered for environmental assessment in 2002 by QMAX Solutions. The QMAX undertaking was released without further assessment. The site, which at the time of registration was a greenfield site, was permitted for mixing and storage of up to 840 m³ of drill mud, as well are reconditioning / treatment of used muds. Temporary LMP Location Pardy’s Existing Storage Tank Warehouse Figure 1 Temporary LMP Location 1 File No. 121414756 PROJECT REGISTRATION - KYLE AVENUE TEMPORARY LIQUID MUD PLANT GENERAL INFORMATION