Climate Change Data

Environmental Metrics

ESG Focus Areas

• Human rights
• Labor standards
• Equality and non-discrimination
• Social matters
• External environment
• Anti-corruption

Environmental Achievements

• Production technology and titanium component production methods use less raw material and substantially less processing/machining compared to similar products produced with conventional technologies. This generates significant energy and waste savings and the company’s technology and production processes are therefore more environmentally friendly than conventional processes.

Social Achievements

• Established a detailed Covid-19 prevention and preparedness policy to protect employees, business partners and the workplace, while safeguarding uninterrupted and efficient operations. The company has operated in compliance with all national and regional rules and recommendations regarding the pandemic.
• No harassment cases were reported or investigated in 2020.
• No injuries or accidents were reported or investigated in 2020.
• Employee Satisfaction Index for 2020 was 3.7 based on a scale from 1 to 5 where 5 is the best.
• No corruption or bribery cases were reported or investigated in 2020.
• No concerns were raised via internal or external channels in 2020.

Governance Achievements

• Operating under established principles and procedures for sound corporate governance, including risk management and internal controls, rules of procedure for the Board of Directors and management, and equal treatment of shareholders.
• Developed a framework including a Code for ethical behavior and business conduct, policies for anti-harassment, anti-corruption, anti-bribery, raising concerns (whistleblowing), confidentiality and IP, and systematic HSE work, as well as a detailed quality manual to secure compliance with the international aerospace standard AS9100 and ISO 9001 – Quality Management Systems.
• Supports the UN Nation’s Global Compact initiative, and the company’s Code of Ethics and Business Conduct is compatible with UN Global Compact and OECD’s guidelines for Multinational Enterprises.

Climate Goals & Targets

Environmental Challenges

• The COVID-19 pandemic severely restricted the level of activity around the world and directly impacted the Group’s business, leading to temporary shutdowns and organizational restructuring with a 40% reduction in headcount.
• Uncertain global commercial aerospace market.

Mitigation Strategies

• Implemented a significant organizational restructuring with approximately 40% reduction in headcount to reduce cash spend.
• Reorganized from a functional approach to process-based “Value Streams” to rapidly increase the velocity of internal processes and improve ability to react to dynamic market conditions.
• Restarted global operations in June 2020 with the reduced workforce.
• Secured shareholder loans and a convertible loan facility to improve the equity position and attract new capital.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: IFRS

Certifications: AS9100D, ISO 9001

Environmental Metrics

ESG Focus Areas

• Environmental Sustainability
• Social Responsibility
• Corporate Governance

Environmental Achievements

• 70% less raw material used compared to conventional processes
• Estimated 2 GWh in annual energy consumption savings per fully utilized RPD® machine, representing approximately 1,100 MT of reduced CO2 emissions per machine per year

Social Achievements

• Only one non-Perfect HSE Day company-wide in 2021
• Developed a framework including Code of Conduct, policies for anti-harassment, anti-corruption, anti-bribery, raising concerns (whistleblowing), and systematic HSE work
• Implemented a new Long Term Incentive Plan

Governance Achievements

• Commitment to ensure trust in the Company and enhance shareholder value through effective decision-making and improved communication
• Structured corporate governance framework according to the Norwegian Code of Practice for Corporate Governance (with some exceptions noted in the report)

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impact on commercial aerospace market
• Increased uncertainty in the market for titanium raw material due to the conflict in Ukraine
• Inflationary risks impacting labor and material costs

Mitigation Strategies

• Expanded product offering to the defense industry and select industrial groups
• Exploring ways to diversify the supply chain to ensure continuity of supply
• Continuously monitoring market conditions and timing efforts in hiring, capital investment, and supply chain development

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: AS9100D

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• RPD® technology for producing structural titanium parts

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Sustainability
• Health, Safety, and Environment (HSE)
• Social Responsibility
• Diversity & Inclusion
• Corporate Governance

Environmental Achievements

• RPD® technology uses 70% less raw material than conventional processes.
• Each fully utilized RPD® machine can save approximately 2 GWh in annual energy consumption, representing approximately 1,100 MT of reduced CO2 emissions per machine per year.

Social Achievements

• Only one day in 2022 was not a Perfect HSE Day (no injuries, first aid, or spills).
• Implemented a full salary benefit during parental leave in Norway.
• Adopted a new Long Term Incentive Plan.
• Focus on removing gendered-normative language within job ads and job descriptions to improve diversity.

Governance Achievements

• Corporate governance framework structured according to the Norwegian Code of Practice for Corporate Governance.
• Adopted a Code of Conduct.
• Established board instructions.

Climate Goals & Targets

Environmental Challenges

• Transitioning from development to serial production.
• Need to raise additional capital to fund operations.
• Inflationary risks impacting labor and material costs.
• Geopolitical risks affecting titanium supply chain.
• Attracting, hiring, training, and retaining sufficient talent.

Mitigation Strategies

• Actively seeking additional capital through private placements and exploring longer-term financing options.
• Closely monitoring inflationary risks and controlling expenses.
• Exploring ways to diversify the supply chain.
• Offering competitive wages and benefits to attract and retain talent.
• Implementing programs to improve diversity and inclusion.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: IFRS

Certifications: AS-9100 Rev D

Third-party Assurance: Ernst & Young AS

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• RPD® technology for producing structural titanium parts.

Awards & Recognition

• Not disclosed