Environment ENVIRONMENTAL PROTECTION ORDER NO. EPO SSR. Sears Canada Inc. [Sears] C/O. Lloyd McLellan. Eli Consulting Canada Inc.

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ENVIRONMENTAL PROTECTION AND ENHANCEMENT ACT BEING CHAPTER E-12 R.S.A. 2000 (the Act ) current registered owner of the Lands; WHEREAS the Lands were purchased by Concord on June 18, 2015 and Concord is the hydrocarbon residuals and benzene (the Substances ); the adjacent/downgradient properties (the Off-Site ) n both soil and groundwater for WHEREAS the SEACOR August 1997 Report identified exceedances of then applicable Criteria (RMC) Level II and Level ill course grained soil (CGS) criteria) for both the Lands and provincial guidelines of that time (Alberta Environmental Protection (AEP) Risk Management the Service Station leaked gasoline sometime between the late 7970 s to early 1980 s; WHEREAS the SEACOR August 1997 Report identified that an underground storage tank at identified as commencing operation in 1958 and ceasing operation in 1995; Gas Bar, dated August 1997 [the SEACOR August 1997 Report ], the Service Station was WHEREAS in a SEACOR Environmental Engineering Inc. ( SEACOR ) report titled Environmental Activities Synthesis Report decommissioning in 1995; WHEREAS Sears owned and/or operated the Service Station from 1958 until the WHEREAS Sears operated both a retail clothing store and an automotive repair/gas Bar [the Service Station ], which were located in two separate buildings on the Lands; of Calgary, Alberta from October 31, 1958 until June 18, 2015; owner of the lands legally described as Plan 8210266, Block 21 [the Lands ] located in the City WHEREAS Sears or one of its predecessor companies (Contill Realty Ltd.), was the registered [Collectively the Parties ] 4000, 421 7 Avenue SW Calgary, Alberta T2P 4K9 Concord North Hill GP Ltd. [Concord] And Calgary, Alberta T2P 0R3 7900, 520 3rd October 1995 To August 1997 North Hill Sears Avenue SW, Eli Consulting Canada Inc. Lloyd McLellan C/O Sears Canada Inc. [Sears] ENVIRONMENTAL PROTECTION ORDER NO. EPO-2018101-SSR Environment

used as remediation targets; WHEREAS on March 29, 2016, the environmental consultant, Clifton Associates Ltd, ( Clifton ) Alberta Tier 1 Soil and Groundwater Remediation Guidelines [the Tier 1 Guidelines ] would be Heights Areas Calgary, Alberta [the RAP ], which identified in section 4.1 of the RAP, that the on behalf of Sears, submitted a reported titled Remedial Action Plan for Mall and Hounsfield are not sufficient to confine, manage or remediate the Substances and that further work to delineate rem ediate and/or manage the Substances is required; WHEREAS the Director is of the opinion that the remedial actions taken to date by the Parties the Substance has caused, is causing or may cause an adverse effect on the environment; WHEREAS the Director is of the opinion that a release of a Substance has occurred, and that (the Director ); appointed a Director for the purposes of issuing environmental protection orders under the Act WHEREAS Craig Knaus, Compliance Manager, South Saskatchewan Region, has been Continued operation and maintenance of the DPVE system. Soil Vapour Monitoring Program to characterize soil vapour; and Continue to conduct semi-annual soil vapour sampling events as per the approved groundwater plume on the Lands and Off-Site; Continue to conduct semi-annual groundwater sampling events to characterize the 1,2-DCA in groundwater in the southern extent of the plume in the Off-Site; Completion of additional groundwater monitoring wells to characterize benzene and Lands and Off-Site which required additional work including: WHEREAS there are several data gaps in the information regarding contamination both on the Criteria; and dated May 19, 2017 (Annual summary report Hounsfield Heights Calgary Alberta) identified that Substances are still present above the current Alberta Tier 1 Briar Hill Community SEACOR August 1997 Report. The most recent Annual Summary Report completed by Clifton WHEREAS, numerous delineation and sampling events have been undertaken since the dated January 27, 2017; Monitoring Program ]. The Soil Vapour Monitoring Program was approved by AEP by letter Soil Vapour Monitoring Program (Update Fall 2016), dated October 20, 2016 [the Soil Vapour WHEREAS Clifton Associates on behalf of Sears, submitted a report to AEP titled, Revised accepted by AEP as identified in a letter to Mr. Greg Paliouras of Seats, dated January 27, Areas [the Soil Vapour Guidelines ] to Alberta Environment & Parks ( AEP ), which were 2017; submitted a reported titled Soil Vapour Quality Guidelines for Hounsfield Heights and Mall WHEREAS on August 31, 2016, another consultant, Intrinsik Corp. on behalf of Sears, -2-

Protection and Enhancement Act, DO HEREBY ORDER: THEREFORE, I, Craig Knaus, the Director, pursuant to section 113 of the Environmental of the Act; WHEREAS the Parties are a person responsible for the Substance, as defined in section 1 (tt) 1. The Parties shall immediately re-commence the semi-annual soil vapour monitoring (high AB ; i. the remediation and/or Risk Management Plan ii. the remediation and/or Risk Management Plan b. A detailed description of the work that will be c. A schedule of implementation to implement the to meet the Soil Vapour guidelines as per Soil Vapour Quality Guidelines for Hounsfield Heights and Mall [the Criteria J for all other media; and undertaken for both the Lands and the Off-Site areas Groundwater Remediation Guidelines, as applicable Areas August 31, 2016 and Alberta Tier 1 Soil and migrated including all soil, subsoil and West to which the Substances may have groundwater. areas, including to the North, South, East and for all Substances in, on or under all Offsite including alt soil, subsoil and groundwater; and for all Substances in, on or under the Lands a. A proposal outlining: 6. The Remediation Plan shall include, at a minimum, the following: Reclamation Sign Off Advisory Committee. meets the requirements for professional sign criteria as established by Remediation and 5. The Remediation Plan shall be prepared by a qualified environmental professional that remediate the Substances on the Lands or any of the Substances from the Lands that have migrated to the Off-Site areas (the Remediation Plan ). 4. The Parties shall by December 15, 2018, submit a written plan to the Director to 2016 Supplemental Drilling Report Hounsfield Heights-Briar Hill Community, Calgary, plume based on the data gaps identified in the Clifton Associates report July 2016 titled, 3. By July 1, 2018, complete delineation activities to fully delineate the dissolved gasoline Monitoring and Sampling Report, July 14, 2017. described in most recent program demonstrated in 2017 Second Quarter Groundwater 2. Immediately recommence the Groundwater sampling and monitoring program as including a sampling event prior to March 30, 2018); and low water table events) as described in the Soil Vapour Monitoring Program, -3-

Director. accordance with the schedule of implementation that is approved by the 7. The Company shall implement the work set out in the Remediation Plan in Director. than March 4, 2019, or as otherwise approved by the Rem ediation Plan, with a completion date of no later c. A summary of the results of the posted finalized and stamped reports b. copies of all finalized and stamped sampling and monitoring reports. a. regular status updates 72. The Parties shall post on the communications website: affected by the release. Parties shall provide the web address for the website to the Off-Site landowners 11. Within 5 business days of the communications website being activated, the activate a communications website. 10. The Parties shall within 30 days of the date of this Order, create, publish and individually or collectively. release within 3 business days of the inquiry being sent to the Parties 9. The Parties shall respond to inquiries from Off-Site landowners affected by the - Summary - List - An - Any - A - A - Identification monitoring work undertaken; of data gaps with recommendations to address - Details on the operation of the Soil Vapour Extraction system monitoring and remediation work. - Recommendations summary of the results obtained within the year; summary description of all assessment, remediation and recommended changes to improve communication; explanation of how these concerns were addressed; of any concerns that arose from other parties; of the communications with the affect landowners that occurred during the year; them, and; and an evaluation of the effectiveness of the system; and commitments for future assessment, i) At a minimum, each Annual Report all of the following: of each year for the previous January yst to December 31st time period, b. Annual Report are required to be submitted to the Director by March 31 with the first submission due March 31, 2019. monitoring event occurred. by the end of the 2id month following the month the sampling and/or media soil, vapour, ground water) are to be submitted to the Director a. Final, stamped versions of sampling and monitoring reports (for any 8. The Parties shall submit written status reports to the Director as follows: -4-

: I DATED at the City of Calgary in the Province of Alberta, this day of February, 2018. matter under this Act or any other legislation. in no way precludes any enforcement proceedings being taken regarding this Take notice that this environmental protection order is a remedial tool only, and approvals in complying with this order. Notwithstanding the above requirements, the Parties shall obtain all necessary section 91 is enclosed. For further information, please contact the Board Secretary at #306 Peace Hills Trust Tower, 10071-109 Street, Edmonton, Board. There may be a strict time limit for filing such an appeal. A copy of Alberta, T5J 3S8; telephone (780) 427-6207; fax (780) 427-4693. a right of appeal against this decision to the Alberta Environmental Appeals Section 97 of the Environmental Protection and Enhancement Act may provide Compliance Manager (the Director) South Saskatchewan Region Original Signed By: Craig Knaus Compliance Manager (the Director) South Saskatchewan Region Cfaig KnaLis -5-