Proposed Heartland Cavern Lateral Pipeline and Meter Station. Public Information Document

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1 Proposed Heartland Cavern Lateral Pipeline and Meter Station Public Information Document April 16, 2015

2 Proposed Heartland Cavern Lateral Pipeline and Meter Station Project 2 Contents Project Necessity... 4 Project Description... 4 Project Specifications... 5 Construction and Operational Safety... 6 Project Schedule... 7 Regulatory Requirements... 7 Contact Information... 8 Further Information... 9 Location of Proposed Project NOVA Chemicals logo is a registered trademark of NOVA Brands Ltd.; authorized use/utilisation autorisée. Responsible Care is a registered trademark of the Chemistry Industry Association of Canada (CIAC).

3 Proposed Heartland Cavern Lateral Pipeline and Meter Station Project 3 Dear Landowners/Stakeholders, RE: Proposed Heartland Cavern Lateral Pipeline and Meter Station Project NOVA Chemicals Corporation (NOVA Chemicals) is proposing to construct a new lateral pipeline segment in the Scotford industrial area to connect the existing Ethylene Delivery System (EDS) pipeline to salt cavern storage facilities being developed at ATCO Energy Storage and Logistics Centre facilities. The new pipeline segment, called the Heartland Cavern Lateral Pipeline, will be owned by AltaGas Extraction and Transmission Limited Partnership and be licensed, constructed and operated by NOVA Chemicals. The proposed pipeline will be approximately 4.0 kilometres long, with an 8-inch ( mm) outside diameter. Located within the Strathcona County, the proposed route is on industrial land and will run in a new NOVA Chemicals pipeline right-of-way (ROW). At NOVA Chemicals we care about the safety of our neighbours and landowners, the communities and the environment along the pipeline systems we operate and at all of our petrochemical facilities. Our commitment to Responsible Care, which includes CAER Community Awareness and Emergency Response ensures the highest standards for health, safety and environmental performance in all of our operations. This package provides you with the following information (also available on our website: under News Room): A detailed description of the proposed project A letter from the President and CEO of the Alberta Energy Regulator (AER) AER Brochure Understanding Oil and Gas Development in Alberta AER Publication Proposed Oil and Gas Wells, Pipelines and Facilities: A Landowners Guide AER Publication The AER and You: Agreements Commitments and Conditions AER Publication Expressing your Concerns How to File a Statement of Concern about an Energy Resource Project Our brochure: TAKING CAER...along the pipelines we operate which is a guide providing you with information on how we are taking CAER along our pipelines. It explains our approach to very high standards for pipeline safety and integrity, our emergency preparedness plans, and landowner rights and responsibilities We are committed to working with impacted landowners and stakeholders. For questions or concerns or further information regarding the Heartland Cavern Lateral Pipeline and Meter Station project, please contact us (see contact information on page 8). We look forward to hearing from you. Yours sincerely, Connie George, Project Manager

4 Proposed Heartland Cavern Lateral Pipeline and Meter Station Project 4 About NOVA Chemicals NOVA Chemicals develops and manufactures chemicals and plastic resins that make everyday life safer, healthier and easier. Our employees work to ensure health, safety, security and environmental stewardship through our commitment to sustainability and Responsible Care. NOVA Chemicals, headquartered in Calgary, Alberta, Canada, is a wholly owned subsidiary of the International Petroleum Investment Company (IPIC) of the Emirate of Abu Dhabi, United Arab Emirates. Project Necessity The Ethylene Delivery System (EDS), an existing pipeline safely operated by NOVA Chemicals for more than 30 years, is used to transport ethylene between NOVA Chemicals Joffre Site petrochemical facilities and customers in the Edmonton/Fort Saskatchewan area. The EDS pipeline has historically used salt caverns for ethylene storage to maintain a continuous, uninterrupted ethylene flow from the Joffre Site to the Fort Saskatchewan industrial market. This project is designed to further ensure an ongoing, effective and continuous ethylene delivery to our customers. Project Description The elements of the proposed pipeline segment include the construction of: (see page 5 for detailed project specifications) a new 4.0 kilometre, 8-inch outside diameter pipeline; a meter station; and facilities for launching and receiving pipeline cleaning and inspection tools. Location: Scotford industrial area, Strathcona County Route: On industrial land, within a new NOVA Chemicals pipeline right-of-way (ROW) Product to be transported: Ethylene used by our customers to produce a variety of consumer and industrial products.

5 Proposed Heartland Cavern Lateral Pipeline and Meter Station Project 5 Project Specifications Substance and H2S concentration Pipeline Origin Pipeline Termination Ethylene, HVP 0.00 mol/kmol H 2S LSD W4M LSD W4M Emergency Protection Zone 750 m from the ROW line Outside Diameter Pipeline Wall Thickness Approximate Length Pipe Grade and Category Max. Operating Pressure Minimum Earth Cover Cathodic Protection AER Pipeline Category- Type: Setbacks Flaring / Venting mm (8 inch) 6.35 mm 3,941 m Grade 359 Category II, CSA Z245.1, CSA Z kpa 1.5 m Yes D-530 There are no Alberta Energy Regulator (AER) setback requirements associated with the proposed pipeline other than the width of the right-of-way (ROW). AER requirements for a High Vapour Pressure pipeline allow permanent structures and public facilities to be built up to the edge but not over top of the pipeline ROW. There will be no flaring, venting, emissions or source of odors associated with the normal operation of this line.

6 Proposed Heartland Cavern Lateral Pipeline and Meter Station Project 6 Construction and Operational Safety At NOVA Chemicals we care about the safety of our neighbours, the landowners, communities and the environment along the pipeline systems we operate and at all of our petrochemical facilities. As in all of our operations, proposed construction activity will be conducted with the utmost consideration for public safety, landowners adjacent to our facilities, and environmental integrity. Strict guidelines will be in place to make sure construction is carried out safely and with minimal inconvenience to landowners and others in the area including the following: Comprehensive measures will be taken to minimize construction noise impacts, in compliance with the AER Directive Noise Control. No significant noise is expected from the operation of the proposed pipeline and associated pipeline installations During construction, traffic may increase for a short period of time at the tie-in point and along the ROW All necessary measures will be taken to mitigate any noise impacts in the area Comprehensive dust control mitigation measures will be incorporated in the construction procedures Coordination with local authorities will take place throughout construction, to ensure effective equipment transportation control and pipeline construction safety During construction we will work with landowners to minimize disturbance, and topsoil will be salvaged and replaced to maintain soil capability Following construction, in consultation with landowners, we will ensure disturbed lands are appropriately reclaimed as quickly as possible, in accordance with requirements outlined in our Environmental Protection Plan Once the project enters the operational phase, system monitoring and control including leak detection capabilities will be accomplished through the Supervisory Control and Data Acquisition (SCADA) equipment and the ROW will be routinely inspected by operations staff

7 Proposed Heartland Cavern Lateral Pipeline and Meter Station Project 7 Project Schedule Pipeline Meter Station Project planning: design, routing, environmental reviews, and engineering 1 st to 3 rd Quarters, st to 4 th Quarters, 2015 Regulatory licensing 2 nd to 3 rd Quarters, 2015 Construction 3 rd and 4 th Quarters, nd and 3 rd Quarters, 2016 Completion and commissioning 3 rd and Quarter, 2016 Project consultation and communication will be ongoing through all development phases of the project Regulatory Requirements Once stakeholder input is received and the public consultation and notification process is completed, NOVA Chemicals plans to submit regulatory applications for the proposed Heartland Cavern Lateral Pipeline and Meter Station including: An Energy Development application to the AER for the pipeline lateral for a licence to construct and operate the proposed pipeline, in compliance with Part 4 of the Alberta Pipeline Act and AER Directive 056; An application to the AER for a Pipeline Agreement (PLA) disposition for approval of any impact to bed and banks of Astotin Creek, in compliance with Section 3(1)(a) of the Public Lands Act; A Code of Practice Notification for all water bodies traversed by the proposed pipeline, in compliance with Alberta Water Act; An application for approval in compliance with the Alberta Water Act, for any wetlands impacted by the proposed meter site; and, County Development Permit(s) and any other permits required.

8 Proposed Heartland Cavern Lateral Pipeline and Meter Station Project 8 Contact Information Thank you for taking the time to review this project information. We are seeking the input and views of landowners and stakeholders along the route of the Heartland Cavern Lateral Pipeline and Meter Station Project prior to submitting project applications to regulatory agencies. We encourage open, two-way communication with all our project stakeholders. We are committed to incorporating your suggestions where possible and ensuring the safe and environmentally sound construction and operation of this project. For additional information about this project or for any clarification you require, please contact us and we will be happy to provide you with all the help we can, at: NOVA Chemicals Pipeline Office #6, Street Red Deer, AB T2P 3V3 Telephone: Project Contacts: Connie George, Project Manager Connie.George@novachem.com Al Kennedy, Pipeline Regulatory Compliance Al.Kennedy@novachem.com NOVA Chemicals Corporation Emergency Toll Free Line: For more information on the salt caverns, please contact: ATCOEnergy Solutions Barry Station, Director, Infrastructure Development barry.station@atcoenergysolutions.com Justin Heskes, Manager, Storage Solutions justin.heskes@atcoenergysolutions.com

9 Proposed Heartland Cavern Lateral Pipeline and Meter Station Project 9 Further Information The following information is enclosed with this project description document: A detailed description of the proposed project A letter from the CEO of the Alberta Energy Regulator (AER) AER Brochure Understanding Oil and Gas Development in Alberta AER Publication Proposed Oil and Gas Wells, Pipelines and Facilities: A Landowners Guide AER Publication The AER and You: Agreements Commitments and Conditions AER Publication Expressing your Concerns How to File a Statement of Concern about an Energy Resource Project Our brochure: TAKING CAER.along the pipelines we operate which is a guide providing you with information on how we are taking CAER along our pipelines. It explains our approach to very high standards for pipeline safety and integrity, our emergency preparedness plans, and landowner rights and responsibilities Other AER publications are available upon request and online at EnerFAQs (Q&As) What is the AER? Having Your Say at an AER Hearing Inspections and Enforcement of Energy Developments in Alberta Explaining AER Setbacks Flaring and Incineration All About Alternative Dispute Resolution (ADR) How to Register a Private Surface Agreement Fact Sheets Alberta Energy Regulator Governance Assurance, Compliance, and Enforcement Closure Abandonment, Reclamation, and Remediation Emergency Planning, Preparedness, and Response Environmental Protection and Enhancement Act Mines and Minerals Act Public Lands Act Water Act Reclamation and Remediation Responding to an energy incident

10 Proposed Heartland Cavern Lateral Pipeline and Meter Station Project 10 Location of Proposed Heartland Cavern Lateral Pipeline and Meter Station Project

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