2021.01.14_CCOA.p2.c.ii_ChemoursSeepConstructionLetter

Joel M. Gross

+1 202.942.5705 Direct
[e-mail]

Arnold & Porter Kaye Scholer LLP
601 Massachusetts Ave., NW | Washington, DC 20001-3743 | www.arnoldporter.com

January 14, 2021
Francisco Benzoni
Special Deputy Attorney General
North Carolina Department of Justice
PO Box 629
Raleigh, NC 27602
[e-mail]

Geoff Gisler
Southern Environmental Law Center
601 West Rosemary Street, Suite 220
Chapel Hill, NC 27516-2356
[e-mail]
Re: Chemours Consent Order Addendum - Seeps Schedules
Dear Mr. Benzoni and Mr. Gisler:
I write on behalf of our client Chemours in follow up to Chemours’s October 16,
2020 letter to DEQ and Cape Fear River Watch regarding the Seep C Construction
Schedule and in reply to your November 19, 2020 response letter to me.

First, Chemours commenced operation of the flow-through cell system for Seep C
on December 16, 2020, in accordance with the schedule set forth in Chemours’s October
16th letter and your November 19th response. As Chemours has reported to DEQ, since
operation commenced, there have been two significant episodes of flooding from the
Cape Fear River that prevented the operation of the Seep C system. The first flooding
episode prevented system operation between December 25 and 28, and the second
flooding episode prevented system operation between January 2 and 8. At present, the
floodwaters have receded and the Seep C system is fully operational.

Second, as Chemours has regularly discussed with DEQ, there also have been
delays with the permitting process for the flow-through cell systems being constructed for
Seeps A, B, and D. The Army Corps initially informed Chemours that the systems for
Seeps A, B, and D would require a modification to the Section 404 permit issued for Seep
C, and that Chemours could not submit the application for the permit modification for
Seeps A, B, and D until it completed construction of the Seep C system. Nonetheless,
promptly upon receiving the permit for Seep C, Chemours engaged with DEQ and the
Army Corps in an attempt to expedite the permit modification process for Seeps A, B,
and D. The Army Corps then allowed Chemours to submit the permit modification
application on October 23, 2020, before the Seep C construction was complete. On

January 14, 2021
Page 2

October 30, the Army Corps commenced a 15-day public comment period on the permit
modification for Seeps A, B, and D, through November 13. See Army Corps Public
Notice at https://saw-reg.usace.army.mil/PN/2020/SAW-2019-00206-PN.pdf. The Army
Corps provided the comments received to Chemours on November 16, and Chemours
promptly provided responses to the Army Corps on November 18. However, the Army
Corps did not issue the final permit modification until December 18 and did not provide
authorization to commence construction activities in the Seeps A, B, and D stream beds
until December 29.1

In order to meet the construction completion dates for Seeps A, B, and D in the
Consent Order Addendum (February 22, March 15, and April 5, 2021, respectively),
Chemours had planned on a construction start date no later than December 7 in the
stream bed for Seep A. As the same construction machinery will need to be used to
install the necessary sheet pile for each seep, a December 7 start date in the Seep A
stream bed would have provided enough time to complete construction at Seep A and
then Seeps B and D by the sequential dates in the Consent Order Addendum. Since the
permit issuance and authorization did not take place until later, that has affected the
schedules for each of Seeps A, B, and D.

Additionally, the significant flooding from the Cape Fear River, as noted above,
has further delayed the commencement of stream bed construction activities. Chemours
could not start construction in the Seep A stream bed during the flooding. After the
floodwaters receded, Chemours has worked to stabilize the muddy conditions to allow for
construction machinery access. In the area around Seep A, Chemours has also built
roads, marked out construction spaces, staged construction equipment, removed trees,
and undertaken erosion control measures. Chemours anticipates commencing
construction activities in the Seep A stream bed on or about January 18.

Please find enclosed Chemours’s remaining schedule for completing construction
of the flow-through cell system for Seep A. Chemours is continuing to evaluate the
remaining schedules for Seeps B and D and will keep DEQ and Cape Fear River Watch
informed. The enclosed Seep A remaining schedule is based on working 10-hour days,
six days a week, with a contingency for five days of weather-related delays. As shown
on the schedule, the anticipated date for the Seep A system to be operational is March 25,
2021. We believe this schedule represents an expeditious plan for completing
construction, in light of the permitting and flooding delays, and falls within the scope of

1 In an effort to expedite construction, Chemours commenced construction-related activities outside the
stream beds and preparatory work for Seeps A, B, and D for which the permit issuance was not required.

January 14, 2021
Page 3

Paragraph 7 of the Addendum regarding delays in obtaining necessary permits and
Paragraph 32 of the Consent Order regarding force majeure.

Please let us know if you have any concerns with Chemours’s remaining schedule
for Seep A or need any further information to evaluate it.

Sincerely,

Joel M. Gross

Enclosure:
Seep A Construction Schedule

Cc:
Sheila Holman, DEQ
William F. Lane, DEQ
Michael Abraczinskas, DAQ
Michael Scott, DWM
Danny Smith, DWR
David C. Shelton, Chemours
Todd Coomes, Chemours
John F. Savarese, WLRK
Kemp Burdette, CFRW

ID Task Name Duration Start12Seep A3Soil Bench Material Import4 daysMon 1/18/214Sheet Pile Installation 80 Feet Upstream4 daysFri 1/22/215Sheet Pile Installation 80 Feet Downstream4 daysThu 1/28/216Installation of Aggregate Subgrade in Dam2 daysWed 2/3/217Form and Pour Flow‐Through Cell & Bypass20 daysFri 2/5/218Install Piping and Weirs in Flow Through Cell8 daysFri 3/5/219Seep Channel Regrading30 daysThu 1/28/2110Hydrotest and Commisioning3 daysMon 3/15/2111Install Concrete Cap on Dam5 daysThu 3/18/2112Reactor Operational 1 dayThu 3/25/2113Restore Aggregate Roadway and Access Pad3 daysFri 3/26/211415Schedule includes 5 days of weather related delays132027310172431714212871421284Jan '21Feb '21Mar '21Apr '21TaskSplitMilestoneSummaryProject SummaryInactive TaskInactive MilestoneInactive SummaryManual TaskDuration-onlyManual Summary RollupManual SummaryStart-onlyFinish-onlyExternal TasksExternal MilestoneDeadlineProgressManual ProgressPage 1Project: 1-12-21 Seep A RevisedDate: Wed 1/13/21