Preliminary Site Investigations for Potential Acquisition, VIC and WA

Overview

iEnvi was engaged by an international manufacturing company to undertake preliminary site investigations (PSIs) at two coatings manufacturing facilities — one in Victoria and one in Western Australia — to inform a potential purchase. The objective was to identify any existing or historical contamination, assess potential risks to human health and the environment, and recommend practical next steps to support the client’s acquisition decision.

Why a Preliminary Site Investigation (PSI)?

A PSI is a focused due-diligence step used to determine whether a property is likely to be contaminated and whether further investigation (detailed site investigation or environmental audit) is required. For property transactions this helps manage acquisition risk, lender requirements and regulatory duty-of-care obligations.

What we did

• Historical review of site use and surrounding land (desktop records and aerial imagery).
• Site walkover inspections of process areas, chemical storage, waste handling and infrastructure.
• Identification and photographic documentation of potential release points and receptors (e.g. stormwater drains, nearby sensitive land uses).
• Preliminary risk screening and practical recommendations for short-term risk management and next investigative steps.

Key findings

• Issues with chemical storage that did not meet best-practice bunding or segregation standards.
• Evidence of leaking chemical waste in the vicinity of a stormwater drain.
• Historical presence of a service station adjacent to one site and identified potential contaminated gas (petroleum) discharge in the local area.
• Operational processes and on-site waste streams that present ongoing future risk without improved controls.

Risk and compliance implications

These findings indicate a plausible pathway for contaminants to reach sensitive receptors (surface water, groundwater, neighbouring properties) and create potential human health or ecological risk. A PSI is an appropriate first step under Australian contaminated land practice; if contaminants or plausible contaminant linkages are confirmed, further investigation (detailed site investigation) and, where required, formal audits or notifications to regulators may be necessary to satisfy purchaser, lender and statutory obligations.

Recommendations (practical and staged)

1. Immediate operational controls: improve chemical bunding, segregate incompatible materials, and contain/remove obvious leakage to prevent off-site discharge.
2. Stormwater protection: isolate and inspect the stormwater drain area; consider temporary containment and sampling of stormwater if evidence of leakage persists.
3. Phase 2 (Detailed Site Investigation) where PSI indicates likely contamination: targeted soil and groundwater sampling at identified hotspots and potential pollutant pathways.
4. Regulatory engagement: check state contaminated sites registers and notify regulators if required; prepare for possible environmental audit or regulatory remediation notices if significant contamination is confirmed.
5. Commercial risk actions: incorporate investigation and remediation cost allowances into the acquisition negotiations, and consider conditional purchase terms or remediation bonds if necessary.

Practical takeaways for buyers and developers

• A PSI reduces transaction risk by clarifying unknown liabilities and informing realistic cost and timeline estimates for any required investigations or remediation.
• Early, pragmatic site controls (bunding, spill response, drainage protection) are low-cost steps that reduce immediate risk and potential regulatory escalation.
• Where PSIs identify potential contamination, expect a Detailed Site Investigation to include soil, groundwater and possibly vapour sampling; these results drive remediation options and cost estimates.

Closing and how we can help

If you are considering acquisition, iEnvi can deliver clear, commercially focused PSIs, manage subsequent detailed investigations, and help you present reliable information to lenders, buyers or regulators. Call us on 13000 43684 or contact us for a confidential discussion about your site and transaction timetable.