1. The Dalles, 04.04.2011 Industrial Certification Northwest Aluminum Company The Dalles, Oregon Douglas C. MacCourt Ater Wynne LLP US German Bilateral Working Group Portland, Oregon USA

2. The Dalles, 04.04.2011

3. Overview of Presentation History of site use and cleanup Regulations influencing site reuse Site contamination Features influencing site reuse Value of Certification Conclusions/Discussion

4. The Dalles, 04.04.2011 Columbia River, Region 10

5. The Dalles, 04.04.2011 Region in Transition Key trade link to Asia Regional transportation hub Changing economies, changing uses, changing views

6. The Dalles, 04.04.2011 Setting Location similar longitude and latitude to heavy industrial and mining sites in Germany Long and important connection of town to site

7. The Dalles, 04.04.2011

8. Recent History: Power and Metal

9. The Dalles, 04.04.2011

11. Plat Map

12. The Dalles, 04.04.2011 Site Use History Aluminum reduction processing began at the site in 1958 and was operated by Harvey Aluminum until 1971, when Martin Marietta Aluminum (Martin Marietta) acquired the plant. Northwest Aluminum leased portions of the plant from Martin Marietta in 1986, and in 1991 purchased those portions of the plant not affected by certain deed restrictions in an EPA Record of Decision (ROD) with Martin Marietta. Plant operations continued until the last few years.

13. The Dalles, 04.04.2011 Regulatory History Hazardous waste landfill containing spent potliner permitted under RCRA in mid-1980’s Federal Superfund (NPL) listing 1987; remedial actions at site under EPA CERCLA and DEQ RCRA authorities CERCLA Record of Decision (ROD) in 1988 and Consent Decree in 1989 for the site, including two CERCLA landfills for cleanup wastes Delisted from NPL in 1996 and the final post- closure permit for the landfills was issued in 2000

14. The Dalles, 04.04.2011 Cleanup Legacy Issues As part of the sale to Northwest Aluminum, LMC retained ownership and operation of one RCRA landfill and two CERCLA landfills. The operations and maintenance program includes landfill cap monitoring, leachate collection and treatment, and groundwater monitoring. DEQ currently provides regulatory oversight of the operations and maintenance for the three landfills under its Hazardous Waste Program. Approximately $25 million dollars to remove wastes from landfill Issue in redevelopment of site

15. The Dalles, 04.04.2011 Regulations Influencing Site Reuse Superfund o Federal Environmental Protection Agency (EPA) cleanup program RCRA o Federal hazardous waste management program State of Oregon programs governing land and water pollution

16. The Dalles, 04.04.2011 Site Investigation: Areas of Interest

17. The Dalles, 04.04.2011 Main Manufacturing Building

18. The Dalles, 04.04.2011 Covered Storage Area

19. The Dalles, 04.04.2011 Paste Plant Structures

20. The Dalles, 04.04.2011 Administrative Building

21. The Dalles, 04.04.2011 Closed Hazardous Waste Landfill

22. The Dalles, 04.04.2011 Closed Solid Waste Landfill

23. The Dalles, 04.04.2011 Closed Scrubber Sludge Ponds

24. The Dalles, 04.04.2011 Industrial Site Certification NAC applied early to the Oregon Economic and Community Development Department (OECDD) for “Industrial Site Certification” Purpose to coordinate and obtain all regulatory clearances in advance of sale and verify conditions of the site so that new construction can begin within 180 days of certification Sites can be certified for one or more of eight industry profiles, allowing the State to identify needed facilities or site improvements and develop capital investment or mitigation plans prior to certifying them

25. The Dalles, 04.04.2011 Certification Value: Buyers Certification adds value to industrial sites by making their development less expensive and risky for a prospective purchaser Since the process requires extensive collaboration among state and local entities, prospective purchasers are assured that regulatory agencies are convened, ready and willing to help them locate their business at a certified site Oregon only state in US to incorporate brownfield clearances in industrial certification process

26. The Dalles, 04.04.2011 Certification Value: Owner/Seller Owner moved to the “front of the line” for state agency approvals (e.g., No Further Action determination from DEQ for potential contamination, wetlands determinations and permits from DSL, endangered species and cultural resources) Local governments provide assurances that the industry certification profile conforms to local zoning regulations and that there is local support for the development. Any systems development or other charges are clearly identified

27. The Dalles, 04.04.2011 Partners in Certification Owners: Northwest Aluminum Company and Golden Northwest Aluminum Holding Company Port of The Dalles State of Oregon o Governor’s Office o OECDD o DEQ and other state agencies Potentially, other property owners who may benefit from certification (e.g., LMC)

28. The Dalles, 04.04.2011 DEQ Voluntary Cleanup Program NAC signed Letter Agreement with VCP on November 21, 2007 Work plan under development to obtain a No Further Action (NFA) determination o Work Plan being developed by NAC environmental consultant, CH2MHill, Inc. o Work Plan due to DEQ within 60 days of execution of Letter Agreement DEQ reviewing demolition progress and waste disposal

29. The Dalles, 04.04.2011 Site Contamination Summary Soil contamination o Mostly addressed during past cleanups o Unknown conditions beneath production buildings o Likely contaminants are hydrocarbons Groundwater contamination o Currently identified around closed solid waste landfill o Unknown conditions beneath production buildings o Likely contaminants are fluoride, cyanide, & sulfate

30. The Dalles, 04.04.2011 Process to “Close” the Site Preliminary assessment Site investigation Risk assessment Clean up planning Clean up implementation and monitoring Site closure

31. The Dalles, 04.04.2011 Other Features Impacting Reuse Rail and road access Electrical power infrastructure Water wells with rights to use water

32. The Dalles, 04.04.2011 Charrette Structure and Results

33. The Dalles, 04.04.2011 For More Information Douglas C. MacCourt Ater Wynne LLP www.aterwynne.com dcm@aterwynne.com (503) 226-8672