Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Social Aspects
• Governance

Environmental Achievements

• Reduced floater emission intensity by 5% over the past two years.
• Implemented rig-specific power management policies, installed energy optimization advisory tools, and upgraded drillships with ABS EHS-E notation.
• Used biodiesel blends on VALARIS 106 in Indonesia.

Social Achievements

• Improved overall TRIR and LTIR in 2023 compared to 2022.
• Valaris Basic Training Program recognized by the Center for Offshore Safety with its 2023 Safety Leadership Award.
• Launched Onshore Leadership Engagement program.
• No statistically significant pay gaps observed based on gender or race.
• Expanding maternity leave offering and introducing caregiver benefits in 2024.

Governance Achievements

• Improved ESG ratings with MSCI and Sustainalytics in 2023.
• Aligned executive compensation with ESG performance by setting personal safety, process safety, and spill prevention performance components.
• Adopted a clawback policy consistent with the requirements of Rule 10D-1 in September 2023.

Climate Goals & Targets

Environmental Challenges

• Difficult challenges on the safety front in 2023, including the loss of three lives.
• Fleet emission intensity for 2023 increased by 15% compared with the 2019 baseline due to a change in fleet mix.
• Limited availability of biofuel blends across all geographies.
• Lack of access to electricity for jackup rig electrification.

Mitigation Strategies

• Learning from safety incidents and committing to protecting personnel.
• Enhanced emissions reduction roadmap with an idea generation tool and database.
• Proactively engaging with customers to offer biofuel blends.
• Exploring jackup rig electrification with customer participation.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Supplier due diligence process.
• Requiring suppliers to abide by UN Global Compact, UN Universal Declaration of Human Rights, and ILO Declaration on Fundamental Principles and Rights at Work.

Climate-Related Risks & Opportunities

Physical Risks

• Severe floods, hurricanes

Transition Risks

• Increased insurance expenses, carbon taxes, policies mandating decreased offshore licensing, reduced demand for services, evolving customer preferences, costs to transition to lower-emission technologies, reputation risks

Opportunities

• Improved efficiency, use of lower-emission energy sources, innovation of low-emission products and services, transition to low-emission alternatives, access to new markets and funding, attracting talent

Reporting Standards

Frameworks Used: SASB, TCFD, GRI, CDP

Certifications: ISO 9001:2015, ISO 14001:2015

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 1
• Goal 8
• Goal 3
• Goal 4
• Goal 12
• Goal 13
• Goal 14
• Goal 16

Valaris' operations impact and shape these SDGs through job creation, training programs, health care benefits, support for local economies, resource efficiency, emission reduction efforts, marine ecosystem protection, and ethical conduct.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Center for Offshore Safety’s Safety Leadership Award