October, 2014
Presented to:
Presented by: David Birkett, President
Gina MacInnis, Environmental Consultant
About the project
Alton Natural Gas Storage (Alton) is investing$100 million to create natural gas salt cavernstorage facilities near Truro, Nova Scotia
The storage facility will help meet NovaScotia’s increasing demand for natural gas.
Alton has received all major environmentaland regulatory approvals
Consistent with the new Nova ScotiaEnvironmental Goals and SustainableProsperity Act
Anticipated in service date – Q2 2017
Components of a salt cavern
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Alton location map – water pipeline route
3
Met with the chiefs of the Sipekne’katik (formerly known as Shubenacadie or Indian Brook) and
Millbrook First Nations in 2006
Invited the chiefs and councils to participate in the Nova Scotia government’s environmental
assessment process
Met with Native Council of Nova Scotia – July and November, 2007
Sent update letters in September 2007 to the chiefs of Sipekne’katik and Millbrook First Nations
Mi’kmaq Ecological Knowledge Study (Membertou Geomatics Consultants) December 2006 for the Alton Natural Gas Storage project
Met on November 15, 2007, with the economic development officers of the Sipekne’katik and
Millbrook First Nations
Achieved Environmental Approval, Alton Underground Gas Storage Project
December 2007
Consultation and environmental approvals
Alton has conducted numerous consultations and studies
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Presented and discussed the project in September 2008 with the Kwilmu’kw Mau-klusuaqn
Mi’kmaq Rights Initiative (KMKNO)
Hosted a site tour and supplier session for Mi’kmaq owned businesses in July 2009
Updated Eric Christmas of the KMKNO and Native Council of Nova Scotia up to and including an
open house session on November 30, 2011
Mi’kmaq Ecological Knowledge Study (Membertou Geomatics Consultants) March 2012 for the Gas Lateral project
Invited the KMKNO and the Native Council of Nova Scotia to provide submissions to the
environmental assessment process related to the Alton Natural Gas Storage pipeline in February
2013.
Achieved Environmental Approval, Alton Gas Pipeline
May 2013
Consultation and environmental approvals
5
Alton has conducted numerous consultations and studies
River Monitoring (Pre-construction) 2005 – 2007, preliminary independent studies by Jacques Whitford, Martec, Matrix,
Soltech, Thaumas and Department of Fisheries and Oceans (DFO)
2008 - 2014, Dalhousie University researchers, hydrodynamics of the river, river salinity, inventory of fish species present and the wider food web
Detailed monitoring plan during operations was approved by DFO for river salinity and species
Groundwater Monitoring Monitoring since 2009 (good baseline)
4 monitoring locations/wells at cavern site
4 monitoring locations/wells along the waterlines
Wetlands Both the gas pipeline and water pipeline routes were adjusted to avoid wetlands
Protecting the environment
In 2008, Alton began seven years of river monitoring to establish
comprehensive ecological knowledge of the Shubenacadie River
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In the river: Understanding the Shubenacadie
To best understand the ecosystems of
the river we needed answers to:
Protecting the environment
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What species are present?
What time of year?
In what numbers?
We also needed to know: The salinity, depth and temperature of the water.
Over 4,000 hours were spent in the river
collecting data
Background data on:
• Gaspereau/American shad
• Atlantic silverside
• Smelt
• American eel
• Atlantic tomcod
• Threespine stickleback
• Northern pipefish
• Winter flounder
• Killifish
• Cunner
• Mummichog
• Grass shrimp
• Sand shrimp
• Mysids, Copepods, Amphipods
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Protecting the environment
Mysid Copepod
Silverside Sand shrimp
Eel, flounder and striped bass larvae
New Eggs 24 Hours 48 hours, close to hatch 3 days post –hatch; 5mm long
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When spawning occurs?
How many eggs may be present?
Length and weight measurements of larvae and juveniles?
Environmental factors impacting the eggs?
Protecting the environment
In the lab: understanding of the ecosystem
Over 10,000 hours were spent in the lab
counting and analysing the data
Refrain from brining when large numbers of striped bass eggs are present; brining can be stopped immediately
The brine release schedule is based on the river velocity and flow data to minimize any impact on the ecosystem
Water intake will occur through a gabion wall to minimize the chances of drawing in fish and small organisms
An observational well is located within the water intake so that organisms will be detected if drawn in
Sampling at the water intake and brine discharge site for the presence of any species, their numbers, and life stage
Acoustic tagging of Atlantic salmon smolt and adult striped bass to monitor their use of the constructed channel
Constant salinity monitoring with 14 devices
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Protecting the environment
Significant measures to protect the fish habitat
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Protecting the environment
Other environmental factors influence the survival rate of eggs and
larvae
Rainfall
Wind (eggs stranded on sandbank)
Water temperature
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Protecting the environment
Approximately 55 million cubic
meters of waters enters the
Shubenacadie river per tidal cycle.
Up to 5,000 cubic meters of brine is
released into the Shubenacadie
river per tidal cycle.
55M
5,000
Cubic meters per tidal cycle
Represents
only 0.009% of
total water flow
The amount of brine released into the Shubenacadie river represents
only a small fraction of the total tidal water that flows into the river per
tidal cycle
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Protecting the environment
Approximately 1.47 million metric
tons of salt enters the
Shubenacadie river per tidal cycle.
Up to 1,400 metric tons of salt will
be released into the Shubenacadie
river per tidal cycle.
The amount of actual salt released into the Shubenacadie river
represents only a small fraction of the total salt concentration
1.47M
1,400
Metric tons per tidal cycle
Represents
only 0.095% of
total salt
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Protecting the environment
Salinity in the Alton Channel will mirror the natural salinity of the
Shubenacadie River
The tidal
Shubenacadie river
naturally
experiences a
range of salt
concentrations.
All organisms
living in a tidal
river are
accustomed to
range and
changes in salt
levels
Alton Channel – Shubenacadie River
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Alton infrastructure
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Alton infrastructure
Water intake will occur through the gabion wall to minimize the chances
of drawing in fish and small organisms
Brining pond allows us to control the flow of brine into the river
and manage the salinity levels
Natural gas utilities
use storage for…
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Why natural gas storage caverns?
Increase in winter demand from 2010 to 2024 = 4.9 Bcf/d
Increase in summer demand from 2010 to 2024 = 1.1 Bcf/d
Source: Black & Veatch
Winter seasonal
loads which continue
to grow
Operational
Flexibility/Savings
Stable and secure
supply
Lower overall gas
costs for consumers
Growing peak demand in residential
and commercial sectors
Benefits to Nova Scotians
Storage of natural gas benefits all NovaScotians
Creating approximately 70 jobs duringconstruction; two major contractors arelocal
Provides a stable and secure supply ofnatural gas for heating homes, businesses,hospitals and universities
Eliminates natural gas price volatilitylowering costs for consumers
Consistent with the new Nova ScotiaEnvironmental Goals and SustainableProsperity Act
Natural gas emissions are significantlylower than other fossil fuels
Agreement signed with Heritage Gas Limited
as first customer
Components of a salt cavern
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APPENDIX
20
Alton project update
River site almost complete – Gabion wall and Channel
22
Alton project update
Settling pond
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Alton project update
First cavern completed
on October 5, 2014
Cavern was drilled a total
depth of 1,000 meters
Drill pads for second and third storage cavern
23
Alton project update
On October 10 , drilling started on Pad #2
Pad #2 Pad #3
Pump building almost complete. Pumps are expected to be
installed in late October.
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Alton project update
October 2014September 2014