Mine Emergency Response Plan (MERP)

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MineEmergencyResponsePlan SandhilQuarry BC PermitQ-1-053 SandhilMaterialsInc. Kitimat,B.C. 2011

Sandhill Materials Inc. (MERP) I. Mine/Operation Information A Mine is a place as defined under the Mines Act (RSBC 1996, updated to July 16, 2002). The following list identifies basic information regarding the Sandhill Rock Quarry Mine: Mine Name & Contact : Sandhill Quarries c/o Sandhill Materials Inc. #9-1790 KLO Road, Kelowna, B.C. V1W 3P6 Tel: (250) 868-8550 Fax: (250) 868-8599 ü Mine Manager Mr. Guy Ferrari (250) 862-0808 Guy@arthon.com ü Safety Manager Mr. Steve Dimond (604) 302-9900 steve@arthon.com ü ü ü ü Mine number : 1650613 Mine permit number : Q - 1 053 Type of operation : Rock drill, blast, crush Location of the property : Within the District of Kitimat Latitude : Longitude : 54 3'22.74"N 128 41'52.39"W ü Number of employees on site, including management and contractors : This number varies with operations. Under a single shift at steady utilization, there may be 15 to 20 employees on site. Sandhill Materials Inc. Page 1

II. Hazard Analysis of Operation This section identifies potential emergencies that could occur at the mine site : Fire Limited opportunity for fire. This could happen in the offices (portable or permanent) or on one of the operating machines. Each machine (Dozer, loader, etc) and office is equipped with a fire extinguisher. Explosives There will be regular drilling and subsequent blasting of rock in the Quarry. All explosives are handled in accordance with federal and provincial regulations and are locked when not in use. All personnel involved with explosives are trained with appropriate tickets for handling, transport, and use. Worker Injury Potential for worker injury is most often Musculoskeletal through falls and trips. Care must be taken when in the sand pit slopes should be maintained to avoid and sand slips or slides. Workers near crushing and sand screening equipmemt are required to wear hearing protection and have annual hearing check-ups. See Sandhill OH&S Manual for details. Trees along the falling perimeter will be inspected at regular intervals and any time operations are within 30 metres. Any trees which indicate potential danger will be brought to the attention of the Mine Manager and will be removed as appropriate. As the pit operations progress, there will be some high pit faces resulting from the mining operations. These areas will be identified to all persons visiting the site in an orientation meeting and all workers will be trained and cognizant of the dangers with falling rocks and debris. Hard hats and safety shoes are to be worn at all times by persons on site in the pit areas. Environmental / Climate Environmental emergencies will be limited to potential fuel spills which would be minor in nature. No fuel tanks of size greater than 500 litres are kept on-site and are either double-walled tanks or have 150% containment berming surrounding the tank, with. Drainage ditches are maintained to handle run-off in the case of high precipitation. Flooding is not a concern because the working property is above the flood plain elevation. Sandhill extraction face wash-outs are possible under high precipitation events. Maintaining proper slope face angles and attention to drainage collection will be required. Equipment Failure All equipment will be operated within normal operating ranges trucks, loaders. Normal wear and tear will be handled through regular maintenance programs. Crushing and screening equipment can be hazardous employee orientations and training are mandatory prior to operating or being near these pieces of equipment. Rocks can be thrown at velocity from crushing equipment. Sandhill Materials Inc. Page 2

In future, a drag-line could be utilized for transport of feed material down the hill. High tension cables are used and must be inspected for wear. Adequate free space adjacent to working areas will be defined. Equipment Collision All truck drivers and equipment operators shall be familiar with right-of-way protocols and travel lanes on and off site. Highway laws & regulations are to be followed at all times. Cell phone use is not permitted in moving vehicles. Sandhill Materials Inc. Page 3

III. Emergency Equipment Emergency equipment is available on site to deal with identified potential emergencies/hazards. This list includes equipment that may be needed in an emergency event : ü Fire extinguishers are contained within each piece of heavy equipment and in the site safety office trailer. ü A pump usable for Fire is available in the tool shed. ü First Aid supplies are contained in the site Safety / First Aid Trailer. ü Rescue equipment is limited to ropes and spine board, contained in the tool shed and First Aid Trailer. ü Equipment can be assigned to an emergency task where appropriate through the foremen, superintendent or Mine Manager. Bulldozers & excavators can be used for building roads, trails, or water containment berms and ditches to direct, dam, or dyke water flows. ü Industrial ambulance or emergency transport vehicle are available by contacting 911. The site is found within the District of Kitimat, where the Hospital is less than 20 minutes away. IV. Trained Personnel All staff will be notified of Safety trained personnel on-site through posted notices and through regular tail-gate meetings and safety meetings. These persons will be capable of dealing with the identified potential emergencies/hazards. ü On-site First Aid providers will be designated and identified ü Contact information for local fire department, search and rescue, and British Columbia Ambulance Service locations will be posted. Kitimat Fire & Rescue Services (Incl. Ambulance) 1101 Kingfisher Street Kitimat, BC, V8C 2N4 Phone: 911 (Emergency calls only) Phone: 250-632-8940 (Non-emergency calls) Kitimat Search and Rescue / Kitimat Emergency Program Phone: 250-632-8945 Fax: 250-632-7163

V. Implementation of the MERP and Incident Command Personnel involved with MERP (see general chart Appendix) ü "First steps", including who to call, how to call and when to call ü The Mine Manager or Engineer will be responsible for implementing the MERP ü The staff in charge of conducting emergency operations will be identified on-site. ü Communication systems to be used during an emergency response will include two- way radios (installed in all equipment), cell phones, land lines, and fax or email (where appropriate) ü The specific identification of personnel with assigned tasks (by function) will occur on-site prior to start-up and at initial meetings. These personnel will include: 1. Mine Manager & Mines Engineer 2. Designated Emergency Co-ordinator 3. Designated First Aid Co-ordinator Procedures and protocols will be documented and posted for : Staff call outs Calling for assistance from other agencies or operations Sending out required notifications to Mines Inspectors (Health and Safety) Sending out required notifications to Provincial Emergency Plan personnel Notifications to surrounding businesses and to users of access roads in emergency events. Emergency Notifications and Mobilization Documentation. VI. Directions to the Site Site and regional mapping is found on the following two pages.

Sandhill Materials Inc. Sandhill Materials Inc. Page 7

VII. Contact Lists FIRST CALL - ALL EMERGENCIES: 911 Ambulance: 911 Fire: 911 ü Mine Name & Contact : Sandhill Aggregate Mine c/o Sandhill Materials Inc. #9-1790 KLO Road, Kelowna, B.C. V1W 3P6 Tel: (250) 868-6550 Fax: (250) 868-6599 ü Mine Manager Mr. Guy Ferrari (250) 862-0808 guy@arthon.com ü Safety Manager Mr. Steve Dimond (604) 302-9900 steve@arthon.com Kitimat Fire & Rescue Services (Incl. Ambulance) 1101 Kingfisher Street Kitimat, BC, V8C 2N4 Phone: 911 (Emergency calls only) Phone: 250-632-8940 (Non-emergency calls) Kitimat Search and Rescue / Kitimat Emergency Program Phone: 250-632-8945 Fax: 250-632-7163 The Workers' Compensation Board. Workplace safety and health inquiries 604 276-3100 Claims or rehabilitation inquiries 6951 Westminster Highway, Richmond Monday-Friday 8:00 a.m.-4:30 p.m. Phone 604 231-8888, Toll-free 1 888 967-5377 Employer and assessment 604 244-6181 Human resources 604 276-3009 Prevention & Occupational Health & Safety 604 276-3100 Workers' Compensation Board claims correspondence to: Workers Employers PO Box 4700 Stn Terminal PO Box 8940 Stn Terminal Vancouver, BC V6B 1J1 Vancouver, BC V6B 1H9 Toll-free fax 1 888 922-8807 Toll-free fax 1 888-922-8803 Greater Vancouver fax 604 233-9777 Greater Vancouver fax 604 233-9722

VIII. Training On-going training for all persons will be facilitated through tail-gate sessions, safety meetings, and through regular review of site procedures, protocols and activities. Further training for task specific operations, such as emergency coordination and safety will be undertaken on an as-needed basis. IX. Records Records associated with the MERP will be housed with the safety meeting records and site operations records. These will be maintained on site in the safety office. Records will include : ü Training and courses ü Equipment checks ü Implementation of emergency procedures (if applicable) activity records ü Incident debriefing (where applicable) X. Dynamic Nature of this Plan These guidelines are meant to be dynamic and will be added to as operations or information changes. The Mine Manager will ensure plans are updated as may be required from time to time due to changes in personnel, equipment, the mine plan, or operation locations. Toolbox sessions will permit testing the MERP with affected persons including evacuation drills and coordination at muster points. Evacuation procedures will be posted and communicated to all affected personnel.

APPENDIX Emergency and Spills Response Typical Roles and Responsibilities See Also Spill Response Plan Role/Function Designated Emergency or Spills Response Coordinator First Person On-Scene Spill Response Communications Evacuation Fire Fighting First Aid Traffic Physical Plant Coordination Alternates and Assistants Responsibilities Ultimately responsible for all activities related to the emergency or spill response, reporting and clean-up. Upon being informed of an emergency or spill, he/she will proceed to the site to confirm the incident and its cause and severity, and initiate response actions in accordance with the ESRP. He/she will authorize all external communication and use of off-site resources, liaise with others involved in the response and ensure clean-up is satisfactory. He/she will ensure that any required follow-up monitoring is conducted, equipment is inspected and that the ESRP is revised as required based on new information. All employees have the responsibility for emergency and spill detection and reporting. The first person on-scene should assess the situation and, if qualified, start initial containment and response procedures, provided it is safe and feasible to do so. He/she should notify the Emergency or Spills Response Coordinator as soon as possible and offer assistance as requested. A spill response team is mobilized at the direction of the Spills Coordinator. The team will carry out spill response practices and procedures and work cooperatively with outside contractors or authorities. Responsible for liaison between the specific spill or emergency site and the Emergency or Spills Response Coordinator. He/she will provide the relevant information about the spill/emergency to other members of the response team, internal staff and outside authorities, as directed by the Coordinator. Responsible for ensuring that all employees have been evacuated and have assembled in a designated area(s). He/she will count all employees to ensure that all are evacuated, remain orderly and are prepared to assist in the response actions, if necessary. Responsible for ensuring that all fire extinguishers are checked in accordance with Ministry of Energy and Mines regulations and that any fire prevention systems are tested and checked according to insurance and corporate requirements. He/she will co-ordinate all fire fighting activities required on-site. Responsible for the administration of standard first aid to injured employees or the public. Responsible for ensuring that the emergency or spill area is cleared of all unnecessary vehicles and equipment and that access to hydrants, pumping connections and spill response equipment is maintained. Responsible for the utility and service shutdown of the physical plant. He/she supervises the shut down of all equipment and processes under the direction of the Emergency or Spills Response Coordinator. At least one alternate and assistant should be designated for each of these functions.