Climate Change Data

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Commodity price fluctuations
• Failure to discover new reserves
• Inability to retain or renew required drilling rights
• Drilling operations vulnerable to natural disasters
• Capital intensive and inherently uncertain exploration
• Governmental regulation
• Foreign investment and exchange risks
• Labour disruptions
• Access to infrastructure
• Shortages of key inputs
• Managing relationships with local communities
• Potential conflicts of interest among directors

Mitigation Strategies

• Active management of assets and business
• Focussed farmout process for Irish assets
• Seeking additional equity funding if necessary
• Maintaining suitable insurance
• Establishing an anti-corruption and bribery policy
• Appointment of an independent Non-Executive Director as Chairman

Supply Chain Management

Climate-Related Risks & Opportunities

Opportunities

• Enhanced Oil Recovery using injected carbon dioxide

Environmental Metrics

ESG Focus Areas

• Climate change
• Carbon sequestration
• Sustainable energy
• Responsible business practices

Environmental Achievements

• Successfully injected CO2 into the Inniss-Trinity field, initiating Phase 2 of the CO2 EOR pilot project and observing encouraging downhole pressure build-up, indicating CO2 sequestration.
• Established an environmental monitoring program with the Environmental Monitoring Authority (EMA) and began collecting baseline samples.
• Received a Certificate of Environmental Clearance from the EMA for CO2 EOR operations in Inniss-Trinity.
• Reduced the company's carbon footprint by 9 metric tons of CO2 by reducing the need for physical site visits through the installation of satellite communications.

Social Achievements

• Operations provide employment in remote areas of developing countries.
• Established close working relationships with local partners.
• Focus on high levels of health and safety for local workers and the community.
• Staff training focuses on operating safety.

Governance Achievements

• Adherence to the Quoted Companies Alliance (QCA) Corporate Governance Code.
• Established an effective framework of internal financial controls.
• Regularly reviewed the effectiveness of internal financial controls by Executive Management, the Audit Committee, and the Board.

Climate Goals & Targets

Environmental Challenges

• Challenging progress in granting approvals for CO2 injection due to Petrotrin's corporate restructuring.
• Highly volatile oil and gas prices.
• Subsurface geological risks in Morocco (sparse seismic data, poor well log quality, over-pressuring of reservoirs).
• Uncertainty around the success of CO2 EOR (reliance on desktop calculations, lack of offset wells for calibration).
• Political risks in foreign jurisdictions.
• Coronavirus pandemic impacting global economies, financial markets, and oil and gas prices.
• Supply chain disruptions due to the coronavirus pandemic.
• Liquidity and working capital risks.
• Inability to access capital markets for equity or debt finance.
• Regulatory challenges in Ireland.

Mitigation Strategies

• Inniss-Trinity IPSC was extended by two years to allow sufficient evaluation of CO2 EOR results.
• Balancing projects with near-term cash inflow prospects with long-term funding projects.
• Using offset well data and independent consultants to validate geological and seismic interpretations.
• Real-time remote monitoring of CO2 injection parameters and procedures.
• Operating only in countries with stable political environments and established oil and gas codes.
• Implementing a comprehensive set of actions to deal with the impact of coronavirus.
• Maintaining a close dialogue with drilling services providers.
• Successful placing of 89 million shares to raise £3.56 million.
• Corporate overhead reductions.
• Delaying the Guercif drilling program until sufficient working capital is available.
• Seeking drilling partners to reduce net share of drilling costs.
• Developing an economic model for a near-term gas monetization strategy for Guercif.
• Seeking farm-in partners to address financial and technical operating capabilities in Ireland.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Close working relationships with local partners.
• High levels of health and safety for local workers and the community.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Increased operating costs and decreased demand for oil due to climate change legislation.

Opportunities

• Diversification into greener types of energy (gas exploration).
• CO2 sequestration through CO2 EOR.

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 7 (Affordable and clean energy)
• Goal 13 (Climate action)

The company's initiatives contribute to these goals through CO2 sequestration, sustainable energy development, and responsible business practices.

Sustainable Products & Innovation

• CO2 EOR services

Awards & Recognition

• Not disclosed