Climate Change Data

Wanguo International Mining Group Limited

Climate Impact & Sustainability Data (2022, 2023)

Reporting Period: 2022

Environmental Metrics

Scope 1 Emissions:972.9 tonnes (Xinzhuang); 3,773.5 tonnes (GRML)
Scope 2 Emissions:50,845.8 tonnes (Xinzhuang); 7,765.6 tonnes (GRML)
Total Energy Consumption:50,998,787 kwh/year (Xinzhuang Mine); 7,024,700 kwh/year (GRML)
Water Consumption:3,952,000 tonnes/year (total); 550,000 tonnes/year (new water, Xinzhuang Mine); 31,700,000 tonnes/year (GRML)

ESG Focus Areas

  • Safety Production
  • Employment Training and development
  • Employment and Welfare
  • Environmental Protection and energy savings
  • Social and Culture Development

Environmental Achievements

  • Achieved excellence in environmental protection as a Jiangxi ecological mining area and green development; completion of technical reform and upgrade of lead and zinc processing plant realizing the benefit to energy saving and consumption reduction.
  • Gold Ridge Mine obtained approval in dewatering plan for direct discharge of tailing storage facility water from Environment and Conservation Division in Ministry of Environment, Climate Change, Disaster Management and Meteorology of Solomon Islands.
  • Xinzhuang Mine has a valid pollutant discharge permit from the relevant local environmental protection department to undertake mining and processing activities at their respective mining site.
  • Water recycling rate of 94.5% in Yifeng Wanguo and 70% in Gold Ridge Mine.

Social Achievements

  • Achieved a zero-accident and safe year in 2022.
  • GRML supports the Student Job Training Program in the local community.
  • Donated approximately RMB1.7 million for local charitable activities in Yifeng and RMB 0.8 million in Solomon Islands.

Governance Achievements

  • Compliance with all applicable code provisions of the CG Code, except for the deviation from code provisions C.2.1 and C.2.7.
  • Established written guidelines for securities transactions by relevant employees.
  • Adopted a written whistleblowing policy.

Climate Goals & Targets

Environmental Challenges

  • Concentration of mining operations at a single site (Xinzhuang Mine).
  • Accuracy of mineral resources and reserves estimates based on assumptions.
  • Risks of safety production in a hazardous industry.
  • Fluctuations in commodity markets.
Mitigation Strategies
  • Actively pursuing acquisitions of new mines (Walege Mine and Gold Ridge Mine).
  • Completed additional exploration in Xinzhuang Mine, increasing geological reserves.
  • Implemented measures to ensure compliance with regulatory requirements and production safety.
  • Considering the use of hedging products and expanding product mix to mitigate market fluctuations.

Supply Chain Management

Supplier Audits: 55 major suppliers (Xinzhuang Mine); 128 international and 110 PRC suppliers (Gold Ridge Mine)

Responsible Procurement
  • Management of suppliers and assessment policy

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • Damage to assets and equipment
  • Disruption of supply chains
Opportunities
  • Shifting to renewable energy sources

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:30,624 tCO2e (Xinzhuang) + 52,825 tCO2e (Gold Ridge)
Scope 1 Emissions:1,024 tCO2e (Xinzhuang) + 28,131 tCO2e (Gold Ridge)
Scope 2 Emissions:29,600 tCO2e (Xinzhuang) + 24,694 tCO2e (Gold Ridge)
Total Energy Consumption:55,415,101 kWh (Xinzhuang) + 141,020,192 kWh (Gold Ridge)
Water Consumption:4,868,459 m³ (Xinzhuang) + 2,954,189 m³ (Gold Ridge)
Waste Generated:665,091 tons (Xinzhuang) + 1,126,146 tons (Gold Ridge)
Carbon Intensity:0.03 tCO2e/tonnes of ore mined (Xinzhuang); 0.04 tCO2e/tonnes of ore mined (Gold Ridge)

ESG Focus Areas

  • Environmental protection
  • Social responsibility
  • Corporate governance
  • Energy and resource utilization
  • Pollutant discharge management
  • Tailings pond management
  • Environment and natural resource management
  • Coping with climate change
  • Occupational health and safety
  • Employee training and development
  • Community investment
  • Supply chain management
  • Product responsibility
  • Intellectual property protection and technological innovation
  • Anti-corruption

Environmental Achievements

  • Completed the re-greening of 1.5 hectares of the Xinzhuang Mine area and tailing ponds
  • About 88.2% of Xinzhuang mine’s water is recycled
  • Replaced wet cyclone dust collector with a bag filter dust collector to improve dust removal and reduce waste gas emissions
  • Established a water treatment system for the treatment of heavy metals at Xinzhuang Mine
  • Adopted a new tailings dry stacking process at Xinzhuang Mine, recycling 80% of backwater and recovering 80% of sand

Social Achievements

  • Strengthened training and education for employees to improve their professional skills
  • Actively participate in public service initiatives to provide support for local communities
  • RMB 5.87 million in community investments

Governance Achievements

  • Established a sound ESG management system
  • Defined ESG-related targets
  • Strengthened ESG information disclosure and communication
  • Established an ESG Committee

Climate Goals & Targets

Environmental Challenges

  • Supply of water from reservoirs during the dry season at Gold Ridge Mine
  • Extreme weather events such as tropical cyclones and floods, as well as sea level rises and seawater intrusion at Gold Ridge Mine
  • Policy and regulatory risks related to carbon neutrality goals in China and the Solomon Islands
Mitigation Strategies
  • Gold Ridge Mine has two dams for reserving water with storage capacities of 2,000 m³ and 50,000 m³
  • Developed an emergency plan and carried out emergency drills to avoid the impact of extreme weather and natural disasters
  • Identified and assessed the management process for climate-related risks

Supply Chain Management

Responsible Procurement
  • Supplier Management and Assessment System
  • Implementation Rules for Procurement
  • Measures for Product Returns and Replacement

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather (floods, typhoons)
  • Sea level rise
  • Seawater intrusion
Transition Risks
  • Policy and regulatory risks related to carbon neutrality

Reporting Standards

Frameworks Used: Environmental, Social and Governance Reporting Guide (Appendix C2 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited)

Awards & Recognition

  • Green mine (Xinzhuang Mine)
  • High-Tech Enterprise
  • Jiangxi Specialised and Sophisticated SME
  • Provincial Enterprise Technology Centre of Jiangxi
  • Excellent Scientific and Technological Enterprise of Yichun