Work on the Phase 2 Environmental Site Assessment (“ESA”) process for the Sydney Steel site began in February 2003, immediately following submission of the Final Phase 1 ESA Report (SEACOR Environmental Inc.) in January 2003.

A Phase 2 ESA involves collecting soil and water samples in order to determine if environmental contaminants are present. Based on the findings of the Phase 2 programs, further work (“Phase 3”) may be done to gather more information on any areas of interest.

Four areas of the site have undergone Phase 2 & 3 ESAs to date, and another three programs will be carried out in the future to cover the remainder of the site. The areas covered to date are as follows: (A brief summary of each program can be accessed via the following links )

Victoria Road/Maintenance Shops Area

High Dump/Slag Stockpiles Area

Blast Furnace Stockyard/No. 1 & 2 Piers Area

Bar Mill and Mobile Shop Areas

Blast Furnace Area

These areas cover the SYSCO site from the Victoria Road Overpass, around the south end of the site, along the east shore of Muggah Creek (including the slag piles), and around the north end of the site to the International Piers. The middle part of the site (where the rolling mills and steel shops were located) has not yet been assessed.

For some of these areas, both Phase 2 and Phase 3 have been completed, and SYSCO is preparing to address issues identified through the course of the studies. Significant dates for each program are provided in the following table: