Climate Change Data

Environmental Metrics

ESG Focus Areas

• Safety
• Environmental Impact
• Governance
• Human Rights
• Business Ethics

Environmental Achievements

• No oil spill incidents in 2019
• 64% of the fleet equipped with ballast water treatment systems
• Use of low-sulphur fuels to meet emission regulations and avoid scrubber installation

Social Achievements

• Lost Time Incident Rate (LTIR) of 1.0 in 2019
• No serious injuries to personnel
• Implementation of a human rights policy addressing human trafficking and child labor

Governance Achievements

• Established three committees (Audit, Compensation, and Nominating) to ensure responsibilities to shareholders, employees, and stakeholders
• Adherence to a Code of Ethics, Anti-Corruption Compliance Policy, and other policies
• No monetary loss due to legal proceedings associated with bribery or corruption

Climate Goals & Targets

Environmental Challenges

• Greenhouse gas emissions from shipping
• Safety risks associated with cargo loading/unloading and extreme weather
• Potential environmental impact from fluid discharge

Mitigation Strategies

• Implementation of real-time fuel and power consumption tracking for efficient fleet operation and weather routing
• Establishment of Ship Energy Efficiency Management Plans (SEEMP)
• Compliance with international regulations to manage environmental impacts from fluid discharge
• Ballast water treatment systems installation
• Use of low-sulphur fuels

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Demand that vendors and agents respect human rights standards

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather during sea passages

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: SASB Marine Transportation framework

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Continued implementation of fleet renewal program, acquiring three younger second-hand vessels and two newbuildings designed for efficiency and compliance with latest emission standards.
• No oil spill incidents in 2020.
• Established Ship Energy Efficiency Management Plans (SEEMP) to improve vessel efficiency.

Social Achievements

• No serious injuries to people and no material damage to ships in 2020.
• Lost time incident rate (LTIR) of 1.5 in 2020.
• Signed the Charter for More Women in Shipping, achieving 30% women in the onshore workforce by year-end.

Governance Achievements

• No whistleblowing cases or monetary losses from legal proceedings associated with bribery or corruption in 2020.
• Adherence to a published Code of Ethics, Anti-Corruption Compliance Policy, and other relevant policies.
• Established three committees (Audit, Compensation, and Nominating) to ensure responsibilities to shareholders, employees, and stakeholders are fulfilled.

Climate Goals & Targets

Environmental Challenges

• Covid-19 pandemic impacting crew members, travel restrictions, and market unpredictability.
• Need to reduce carbon emissions in line with IMO's GHG strategy.

Mitigation Strategies

• Fleet renewal program to improve emissions and cost efficiency.
• Implementation of SEEMPs to optimize vessel speed and reduce fuel consumption.
• Utilization of performance monitoring and weather routing services.

Supply Chain Management

Responsible Procurement

• Demand that vendors and agents respect human rights standards, prohibiting human trafficking and child labor.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: SASB Marine Transportation framework

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Modernized fleet to reduce carbon footprint, expanding fleet by 20% with 7 more efficient vessels
• Made progress in reducing emissions per ton mile
• Achieved zero spill incidents

Social Achievements

• Achieved targets related to fatalities, complaints, and detentions
• Experienced no serious injuries to people and no material damage to any ships in 2021
• 30% women in total onshore workforce by end of 2021

Governance Achievements

• No monetary loss as a result of legal proceedings associated with bribery or corruption recorded in 2021
• No whistle-blowing cases reported in 2021
• Board established three committees (Audit, Compensation, Nominating) to ensure responsibilities to stakeholders

Climate Goals & Targets

Environmental Challenges

• Lack of viable solution for carbon-free marine transportation
• Slight increase in CO2 emissions per nautical mile due to 20% fleet increase
• Sanction-related issues resulting in data limitations for some metrics

Mitigation Strategies

• Focusing GHG reduction efforts on energy efficiency measures and operational optimization
• Investing in modernizing and improving fleet efficiency, adopting innovative technology
• Exploring the viability of using biofuels (trial scheduled for 2022)

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Strict standards expected from vendors, agents and suppliers; prohibition on human trafficking, bonded/forced work, and child labor

Climate-Related Risks & Opportunities

Physical Risks

• Hazardous weather conditions

Transition Risks

• Increasing environmental regulations, pressure to curb CO2 emissions

Opportunities

• Development of energy-efficient products and services, use of biofuels

Reporting Standards

Frameworks Used: SASB Marine Transportation Standard (2018)

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 7 (Affordable and clean energy)
• Goal 13 (Climate action)
• Goal 8 (Decent work and economic growth)
• Goal 14 (Life below water)
• Goal 16 (Peace, justice and strong institutions)
• Goal 9 (Industry, innovation and infrastructure)

Pangaea's efforts in fleet modernization, energy efficiency, responsible recycling, ethical conduct, and collaboration with research institutions contribute to these goals.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Improved AER by 9.3%
• Increased DWT capacity by 8%
• 100% of owned fleet equipped with modern ballast water treatment systems
• Zero spill incidents

Social Achievements

• Zero fatalities
• Zero complaints
• Zero PSC detentions
• 33% women in onshore workforce (10% improvement from previous year)

Governance Achievements

• No monetary loss from legal proceedings associated with bribery or corruption
• No whistle-blowing cases reported

Climate Goals & Targets

Environmental Challenges

• Lack of viable solution for carbon-free marine transportation
• Increasing regulations to curb CO2 emissions
• Access to biofuel options still in developmental stage
• Managing risks associated with hazardous weather conditions and cargo handling

Mitigation Strategies

• Focus on energy efficiency measures and operational optimization
• Biofuel trials
• Investment in fleet renewal and modernization
• Implementation of Ship Energy Efficiency Management Plans (SEEMP)
• Utilizing performance monitoring and weather routing services
• Investing in modern hull coatings
• Strict compliance with anti-corruption and anti-bribery laws
• Implementation of HSE management processes

Supply Chain Management

Responsible Procurement

• Human Rights Responsibility Policy prohibiting human trafficking, bonded/forced labor, and child labor

Climate-Related Risks & Opportunities

Transition Risks

• Increasing regulations to curb CO2 emissions
• Lack of viable solution for carbon-free marine transportation

Opportunities

• Transition to a low carbon economy through digitization and research of innovative energy-efficiency technologies

Reporting Standards

Frameworks Used: SASB Marine Transportation Standard (2018)

UN Sustainable Development Goals

• Goal 14: Life Below Water
• Goal 9: Industry, Innovation and Infrastructure
• Goal 3: Good Health and Well-being
• Goal 13: Climate Action

Pangaea's commitments and initiatives align with these SDGs through fleet modernization, energy efficiency improvements, responsible recycling, and collaboration with organizations focused on ocean conservation and research.

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Decreased wAER by 3%
• Decreased total energy consumption by 7.9%
• 100% of Pangaea’s owned fleet was equipped with modern ballast water treatment systems
• Nordic Nuluujaak received the ice class bulker silent designation certification from DNV making the 1st bulker to receive a key silent designation

Social Achievements

• Lost time incident rate (LTIR) was 1.04 in 2023, a decrease from the previous year (1.9 in 2022)
• Implemented a learning management system (LMS) at its terminals
• Implemented new official “Life Saving Rules” for terminal employees

Governance Achievements

• No monetary loss as a result of legal proceedings associated with bribery or corruption was recorded in 2023
• No whistle-blowing cases were reported in 2023

Climate Goals & Targets

Environmental Challenges

• Lack of commercially viable solution for carbon-free marine transportation
• Increasing international scrutiny to ensure strict compliance with anti-corruption and anti-bribery laws
• Managing risks in operations inherent in the shipping industry (hazardous weather conditions and cargo handling at ports)

Mitigation Strategies

• Focus on energy efficiency measures and operational optimization to reduce GHG emissions
• Implementation of Pangaea’s Code of Ethics and Anti-Corruption Compliance Policy
• Implementation of various safety standards and procedures globally across the Company to mitigate safety risks

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Strict prohibition of human trafficking, bonded/forced work, and child labor from vendors, agents and suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Hazardous weather conditions

Transition Risks

• Increasing environmental regulations

Opportunities

• Fleet modernization and efficiency improvements, innovative technologies

Reporting Standards

Frameworks Used: SASB, Marine Transportation Standard (2018)

Certifications: DNV’s ‘SILENT-E’ (Nordic Nuluujaak)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 13 (Climate Action)
• Goal 14 (Life Below Water)

Pangaea's initiatives related to energy efficiency, GHG emission reduction, and marine resource protection contribute to these goals.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed