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Mr.James L.L. Barton Flag City Chevron October 19,2011 Lodi, California Page 3 of 4 Permitting Prior to beginning work, well destruction permits will be procured from the SJCEHD, and appropriate encroachment permits will be obtained from Caltrans for activities that encroach into the public right of way. SGI will notify the SJCEHD and other necessary parties at least three days prior to initiating field work. Health and Safety Plan The Site Health and Safety Plan (HASP) will be updated in accordance with OSHA regulations 29 CFR 1910.120 prior to initiating field activities. The objective of the HASP will be to provide safe working conditions at the Site during the field activities conducted by consultants and subcontractors. The safety organization and procedures will be established based on an analysis of potential hazards associated with the anticipated field activities. Utility Surveys The well destruction locations will be marked using white paint. Underground Service Alert (USA) will be contacted at least 48 hours prior to sub-surface activities. A private underground utility locating company will be utilized to delineate other potential buried utilities at on-Site and off-Site well destruction locations. Well Destruction Activities Each well will be destroyed utilizing three techniques; grout, wire line explosives, and over drilling (e.g., removing all material within original borehole) to approximately 150 ft-bgs. Well abandonment will be conducted at each well in three phases, as follows: • A detonation cord will be inserted into the center casing of each CMT well with explosives located at each screened interval. A specialized fitting will be used to pump cement/bentonite grout into each location and apply sustained pressure to insure sufficient distribution of the grout through well screens. • The casing will then be sealed and covered with appropriate explosion suppression materials (i.e. anchored drum, backhoe bucket). A charge will be applied to the wire line explosive, effectively breaking the casing and allowing the grout to flow into the formation. • Following wire line charge destruction method monitoring wells will be over-drilled using the original size auger for each boring to the boring total depth to remove all well construction materials. The boreholes will then be grouted using a cement/bentonite- grout from the total depth of the borehole up to just below surface grade. Grout will be