Algoma Steel Group Inc. · NASDAQ:ASTL

Algoma Steel — Corporate Update (September 2018)

27 slides from Algoma Steel's corporate update, Sep 11, 2018

  1. Slide 1: Community Liaison Committee Meeting #26

    Community Liaison Committee Meeting #26 Sept 11, 2018

  2. Slide 2: Agenda

    Agenda 1. Review of June 5, 2018 meeting notes 2. Membership items 3. Site Specific Standards for Particulate, BaP, Benzene 4. Algoma Boat Slip and Port 5. MacLeod Mine WTP update 6. Road Paving / Dust mitigation 7. Noise Abatement 8. Environmental Compliance Approval updates 9. Greenhouse gases 10.

  3. Slide 3: Membership Items

    Membership Items Current Members and Alternates Representation Primary Member Alternate Algoma Fred Post Chris Galizia Algoma Chris Galizia Fred Post Ministry of Environment, Conservation & Parks Lori Greco Ron Dorscht Public David Trowbridge Ildiko Horvath Public Patt Marquis SSM Tribe of Chippewa

  4. Slide 4: Site Specific Standard for Particulate and BaP

    Site Specific Standard for Particulate and BaP • On March 27th, 2015 Algoma received a Site Specific Standard for Particulate accompanied by a Directors Order which sets specific emission limits in cokemaking: – Certified observers (per EPA Method 9 and Method 303) – 5 days per week, 10 Saturdays an

  5. Slide 5: Site Specific Air Quality Standard for Particulate & B(a)P

    Site Specific Air Quality Standard for Particulate & B(a)P Identifies Key Performance Indicators related to Cokemaking Emissions: o average intensity of pushing emissions o average duration of charging emissions o % lid leaks o % off-takes leaks Conformance calculated daily for o % door leaks each b

  6. Slide 6: Continued Success through Operating Adjustments

    Continued Success through Operating Adjustments To date all corrective actions have been successful at reducing opacity below the limit. Corrective actions include: o Taking cross-wall temperature readings to identify problem flues o Cleaning the flues, pins, orifices, risers, flex hoses, venturies

  7. Slide 7: Charging Emissions Below Limit

    Charging Emissions Below Limit Preventative Measures include: Adjusting carbon scraper bar Decarbonizing standpipes, goosenecks and charge holes Cleaning goosenecks, sleeves to the collector main, and steam jets Replacing drop sleeve donuts, bellow bags, and carbon seals Adjusting coal feed systems

  8. Slide 8: Lid Emissions Below Limit

    Lid Emissions Below Limit Preventative Measures include: Applying lid sealant immediately after charging an oven and whenever emissions are observed Replacing damaged or cracked lids Repairing, leveling and grouting charge hole bases to ensure proper seal 8

  9. Slide 9: Off-take Emissions Below Limit

    Off-take Emissions Below Limit Preventative measures include: Replacing the soft seal and adjusting the cap Cleaning the gooseneck, sleeve to collector main, and steam jet Re-packing collar or base of the pipe with refractory Applying masonry seal to small cracks until welding can be completed Repla

  10. Slide 10: Door Emissions Below Limit

    Door Emissions Below Limit Preventative measures include: Adjusting door bolts, frame clips and hour glass clips Cleaning doors, door jambs, sill plates and spotting targets Replacing door cleaner bushes and jamb cleaner blades on frequent schedule Replacing damaged doors and frames. Applying silica

  11. Slide 11: Stack Opacity

    Stack Opacity Continuous corrective actions on all batteries • Part of the investment plan to achieve compliance with SSS limits also focuses on reducing stack emissions from cokemaking • Focus is on reducing intensity of stack emissions 11

  12. Slide 12: Public Complaints

    Public Complaints There were no public complaints received since the last CLC meeting that related to a matter addressed in the SSS Order. The following public complaints were received by the company: • June 6 – Odour and particulate – temperature inversion observed (haze) • July 20 – Road dust at C

  13. Slide 13: MECP Comments

    MECP Comments A 13

  14. Slide 14: Site Specific Standards

    Site Specific Standards The Benzene SSS approval requires continued addition to Benzene Emission Control (BEC) systems and on site monitoring to identify missing sources • North Raw Liquor Tank – removed from service in late spring • Planning has started to install remaining controls by 2020 year en

  15. Slide 15: Industry / Technical Standard

    Industry / Technical Standard Regulatory Instrument to replace existing SSS’s • The MECP commenced discussions with sector on new Industry / Technical / Site Specific Standards for multiple air contaminants • Contaminants could include: Particulate, B(a)P, Benzene, SO2, Stack Opacity, Metals (x4) •

  16. Slide 16: Boat Slip Sediment

    Boat Slip Sediment Dredging occurred in summer 2017 The objective was to remove legacy contaminated sediment A post-dredge sediment sampling was completed in May 2018. Analysis and interpretation of results are pending from consultant. 16

  17. Slide 17: Port of Algoma

    Port of Algoma • As a result of the mediation between the relevant stakeholders to negotiate port arrangements for a reorganized Algoma following its emergence from the CCAA Proceedings, the Buyers and Port of Algoma stakeholders have reached an agreement in principle and are working toward inking t

  18. Slide 18: MacLeod Mine Water Treatment

    MacLeod Mine Water Treatment • WTP commissioned in June 2018 and is performing exceptionally well 18

  19. Slide 19: Road Paving / Particulate Control

    Road Paving / Particulate Control Continued efforts to reduce particulate include paving: • Trans East Yard 43,054 ft2 • North Coke Making Road 29,430 ft2 • #1 Gate In Road at Praxair 61,440 ft2 • #4 Gate North Bridge Apps 6,300 ft2 • #7 Blast Furnace Track Crossing 8,000 ft2 • Cost ~ $1.25 Million

  20. Slide 20: Noise Abatement

    Noise Abatement • Three ventilated, acoustically controlled cooling tower fan motor enclosures were installed in July • Reduced noise levels from 85 dBA to 73 dBA at source • Cost $120,000 20

  21. Slide 21: Noise Abatement

    Noise Abatement • Engineering complete for 2 gas cleaning plant fan motor enclosures • Fabrication underway • Installation anticipated in November • Cost ~$1,076,000 21

  22. Slide 22: Noise Abatement

    Noise Abatement • Re-design and final engineering complete for new BOSP muffler • Installation anticipated in December maintenance shutdown – aligned with crane availability • Cost $635,000 22

  23. Slide 23: New Environmental Compliance Approval Applications

    New Environmental Compliance Approval Applications • Algoma submitted an administrative ECA amendment application for noise requesting a six year extension on the remaining five noise sources • Basis of request: • 6 control measures installed in past 6 years at cost of $2.86 million • Progressive re

  24. Slide 24: New Environmental Compliance Approval Applications

    New Environmental Compliance Approval Applications • Algoma submitted an ECA application for a surface and groundwater treatment facility at base line ditch as per previous communications 24

  25. Slide 25: Greenhouse Gas Regulations

    Greenhouse Gas Regulations Ontario Cap and Trade regulation revoked • Allowances to be retired for compliance purposes • No reimbursements for purchased allowances • GreenOn program closed - funding eliminated - Project Peregrine postponed • Ontario to fight federal backstop regulations • Ontario in

  26. Slide 26: Public Open Houses

    Public Open Houses • Last open house held on December 5, 2017 at the Polish Canadian Hall located at 232 Goulais Avenue. • Next open house will be scheduled in fall, 2018 – preferably after exit from CCAA 26

  27. Slide 27: Next Meeting

    Next Meeting • Proposed 2018 Schedule: • September 11th, 2018 (today) • December 4th, 2018 • March 5th, 2019 • June 4th, 2019 27

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