1. Horizontal Directional Drilling (HDD) Arvid Veidmark, III EVP, Senior Estimator Specialized Services Company www.sscboring.com

2. Celebrating 40 Years In Construction! SSC 1969-2009 SSC was founded in 1969 by the Veidmark family. Current owners include Marcia Veidmark, Arvid III, Aaron, and Abe, who all share in the daily operation of the company. Over the years the business has adapted to specialize solely in trenchless technology and is currently recognized as a leading authority on Arizona’s underground. Watch Video

3. Celebrating 40 Years In Construction! HDD-A Trenchless Method  Born from the gas industry  First recorded river crossing in 1971 was 500-ft of 4-in pipe  Method sophistication has grown significantly  2008 at least seven crossing recorded with 42-in diameter in excess of 5,000-ft

4. Celebrating 40 Years In Construction! Record HDD 2009  May 2008 – Nov 2009  10 mile pipeline under harbor in VA.  7 HDD Crossings  One 3,003-ft water-to-water  One 7,357-ft under river  Total 15,439-ft on project  HDD only “permitable” option

5. Celebrating 40 Years In Construction! Expanding Market  Growth largely linked to expansion of natural gas infrastructure  Most projects related to right-of-way work, crossing, permitting or work in environmentally sensitive areas.  Mostly involves installation of 3-in pipe and up to bolster existing transportation infrastructure.  Can reduce construction time because of easier permitting approval

6. Celebrating 40 Years In Construction! Applications  Wide range of applications  Typical small installations – telecommunication service cable  Large installations - pipes up to 48-in  Used to install new pipes with minimal surface disruption

7. Celebrating 40 Years In Construction! HDD 4 - Stage Process  Planning Project requirements Function Diameter Depth Length Material to be installed  Pilot Hole Drilling-Pre-Reaming  Hole Enlargement  Pull Back

8. Celebrating 40 Years In Construction! Stage #1-Planning PlansSpecifications Geotech Report Establish Scope of work ScheduleDesignLocationDimension Product Furnished Product Installed Quality Control Cooperation

9. Celebrating 40 Years In Construction! Project Requirements Intended Function DiameterDepthLength Pipe material Bend radius Schedule Influence Choices Size of Equipment Pipe Material Drilling Methods Other Aspects

10. Celebrating 40 Years In Construction! Function pipe material choices diameter necessity of tight grade tolerances (e.g., gravity fed sewer) INFLUENCE

11. Celebrating 40 Years In Construction! Diameter Photos Courtesy of Vermeer 2009

12. Celebrating 40 Years In Construction! Diameter

13. Celebrating 40 Years In Construction! Depth ground conditions site features existing utilities constraints environmental concerns INFLUENCEDBY

14. Celebrating 40 Years In Construction! Subsurface Utility Engineering  Eliminates Risk Associated With: Redesign costs Higher construction bids Change orders Construction Claims Environmental damage Combines Traditional Practices… With New Technology

15. Celebrating 40 Years In Construction! Cost Benefits of S.U.E. According to Purdue University / Federal Highway Administration study completed in 2000  Reduced facility damage  Eliminated cost of redesign  Increased job safety  Reduced utility relocations  Lower project bids  Improved contractor productivity

16. Celebrating 40 Years In Construction! Stage #2-Pilot Hole Drilling  The pilot hole is drilled from the entry point following the profile and alignment previously designed.  Drilling equipment used is based on the results geotechnical investigations.  Drill path should have as fewest bends as possible  The drill head is tracked at the surface via a drill locater

17. Celebrating 40 Years In Construction! Stage #3 Pre-Reaming  Provides an annular space large enough for new pipeline  May include one or more stages (dependant on diameter/soil condition) Washover pipe Pre-reamer Pull-back pipe

18. Celebrating 40 Years In Construction! Stage #4 Pull Back  Pipeline should be preassembled  Consider drill’s exit angle  Consider duration of complete pull back (including welding & fusing)  Installation should be made with minimal stops Pull-back pipe Reamer Swivel joint Product pipe

19. Celebrating 40 Years In Construction! HDD Video

20. Celebrating 40 Years In Construction! HDD Case Study Superstition Freeway (US 60) Val Vista to Power Road 4” PVC for SRP electric conduit 4 directional bores and pull under ramps GC-FNF Construction Superstition Freeway (US 60) Val Vista to Power Road 4” PVC for SRP electric conduit 4 directional bores and pull under ramps GC-FNF Construction

21. Celebrating 40 Years In Construction!

26. Gila River – 16” Water main

27. Celebrating 40 Years In Construction! HDD/Auger Comparative Estimate PROJECT Gila River Indian Community -Department of Public Works Nelson Road and 1-10 Waterline Crossing Sacaton, Arizona REQUIREMENTS 16” C905 PVC Water Main 416 lineal feet Cross I-10 right-of-way ADOT 10’ + depth requirement Traffic limitations

28. Celebrating 40 Years In Construction! Location of Installation

29. Celebrating 40 Years In Construction! HDD/Auger Estimate Comparison HDDHDD Auger Bore Footage 600’ Conduit 24” # Conduits 1 Footage 600’ Conduit 24” # Conduits 1 Footage 400’ Casing 36’ x.500 Spacer Size 16”x 36” # Spacers 80 Footage 400’ Casing 36’ x.500 Spacer Size 16”x 36” # Spacers 80

30. Celebrating 40 Years In Construction! HDD Option Grade I-10 Eastbound I-10 Westbound 36” Casing

31. Celebrating 40 Years In Construction! Auger Option

32. Celebrating 40 Years In Construction! Labor and Materials HDDHDD Auger Bore 3 man crew = 30 days 3 man crew = 15 days Other Materials grout welding supply chip shore boxes Other Materials grout welding supply chip shore boxes Other Materials bore mud primer/glue permits traffic control Other Materials bore mud primer/glue permits traffic control

33. Celebrating 40 Years In Construction! Cost Comparison Labor and equipment per foot = $257 Material cost per foot =$190.18 HDDHDD Auger Bore Labor and equipment per foot = $98 Material cost per foot =$117 $129,000 $190,000

34. Celebrating 40 Years In Construction! Questions?

35. Celebrating 40 Years In Construction! Discussion Arvid Veidmark, III SSC Consultant, Sr. Estimator arvid@sscboring.com 602-997-6164 www.sscboring.com