Environmental Due Diligence has two phases, with the objective of identifying and assessing any environmental liabilities that could affect the value and regulatory compliance of an asset.
Phase I - Preliminary environmental analysis
This phase aims to identify potential environmental liabilities through a preliminary analysis of the property, considering current, past, and prospective use of materials or substances hazardous to the environment and health. In case of noncompliance, deviations from current regulations and areas that require specific investigation, such as sampling and laboratory analysis, are reported.
Aspects analyzed include:
- sources of water supply, such as groundwater wells and capture from surface water;
- Atmospheric emission points and their management;
- Dedicated areas for the storage and proper management of special and hazardous wastes;
- potential sources of soil and subsurface contamination (storage, equipment, facilities, or other activities that may impact soil, subsurface, and groundwater including both underground storage tanks (USTs) and airborne storage tanks (ASTs);
- Asbestos-containing materials (ACMs) and their management;
- Materials consisting of man-made vitreous fibers;
- Equipment and facilities that may contain synthetic PCB/PCT oils;
- atmospheric ozone-depleting substances (CFCs, HCFCs, Halons) in the cooling, air conditioning, and firefighting system;
- Potential exposure to RADON gas in the basement floors of the building.
Phase II - In-depth environmental analysis
If Phase I detects potential critical issues, a more in-depth assessment is conducted to determine the environmental impact of any environmental components/matrices in due diligence contexts for land or industrial site acquisition.
The main activities include:
- Field inspections and sampling of soil, water and air.
- Analysis of sample results
- Identification of potential risks
- Modeling and risk analysis
- Definition of corrective actions, such as remediation plans or environmental mitigation and monitoring measures.
This methodology ensures effective management of environmental liabilities, supporting informed strategic decisions that comply with current regulations.