Climate Change Data

Environmental Metrics

ESG Focus Areas

• Our People
• Health and Safety
• Working with our Stakeholders
• Respecting our Environment
• Sustaining our Economic Performance

Environmental Achievements

• 20% reduction of environmental non-compliances with operating licences in 2012
• Energy effi ciency and climate change study concluded; combined energy and operational effi ciency program underway

Social Achievements

• Increased investment of approximately US$18.5 million in our host communities in a range of targeted social projects
• Lao national workforce increased to 95%, and 121 Lao and 20 DRC nationals promoted to management roles or achieved certifications

Governance Achievements

• Signifi cant progress in aligning our policies, standards and processes to ICMM’s Sustainable Development Framework
• Internal, group-wide company belief, identity and brand equity process completed

Climate Goals & Targets

Environmental Challenges

• Improving female representation in the workforce (19% in 2011 down to 16% in 2012), particularly in senior management and mine roles
• Remaining alignment and management of Kinsevere’s safety, environment and community processes to MMG Standards
• Preventing fatalities; bringing contractors and partners up to our standards
• Reducing our recordable environmental incidents – up from 39 in 2011 to 97 in 2012 including Kinsevere
• Strengthening MMG Limited’s share price (HKEX 1208) against the HSBC Global Base Metals Index

Mitigation Strategies

• Deployment of new, centralised policies and standards, and strengthening of our Safety Health Environment and Community Management System
• Synergies with our Sepon operation are assisting us to complete the alignment of Kinsevere’s processes to MMG’s practices, and we are strengthening our local community and broader stakeholder relationships in the Democratic Republic of Congo
• Incident and Event Management software deployed to improve recording and monitoring of incidents and hazards
• Environmental reporting module deployed to coordinate data management and reporting
• Successful acquisition and integration of Anvil Mining Limited; nameplate production at Kinsevere mine

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Local procurement strategy
• Supplier Management Standard (under development)

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather

Transition Risks

• Legislative change or compliance impacts on operations (e.g., carbon pricing)

Opportunities

• Energy-efficient projects

Reporting Standards

Frameworks Used: GRI G3 Guidelines, ICMM Sustainable Development Framework

Certifications: ISO 14001

Third-party Assurance: Ernst & Young

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Selected as a constituent stock in the 2012 Hang Seng Corporate Sustainability Benchmark Index

Environmental Metrics

ESG Focus Areas

• Operational Excellence and Continuous Improvement
• Positive Government Relations
• Community Engagement
• Corporate Governance and Business Ethics
• Respect for Human Rights
• Safety and Health
• Social Development and Investment
• Water Access and Sustainable Use of that Resource
• Care of Biodiversity and Management of Environmental Impacts

Environmental Achievements

• 71% reduction in water withdrawn from rivers and creeks
• 8,312 tons of non-hazardous waste recycled/reused/treated
• 100 ha of land rehabilitated

Social Achievements

• US $15.3 million invested in social development programs
• 8,706 direct and indirect jobs created (18% held by Apurímac residents)
• US $36.4 million in local purchases
• Launched women’s forums to promote diversity and inclusion
• Implemented the Nos Cuidamos (We Take Care of One Another) safety program
• Zero fatalities or disabling accidents recorded in 2018

Governance Achievements

• Compliance with standards for responsible behaviour
• Independent Advisory Group met six times in 2018
• Operation in accordance with the U.N. Guiding Principles on Business and Human Rights and the U.N. Global Compact principles

Climate Goals & Targets

Environmental Challenges

• Transport of concentrate on public roads led to complaints and road blockades due to community expectations of additional benefits
• Social conflicts impacting business targets

Mitigation Strategies

• Engaged government to meet some demands
• Established dialogue forums with communities to address concerns
• Continued road maintenance and conservation activities
• Designed a capacity-building plan for district and provincial authorities

Supply Chain Management

Responsible Procurement

• Local purchases of US $36.4 million
• Local Entrepreneur Development Program (LEDP)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

UN Sustainable Development Goals

• SDG 1
• SDG 2
• SDG 3
• SDG 4
• SDG 5
• SDG 6

Social investment projects aligned with the U.N. Sustainable Development Goals (SDGs).

Awards & Recognition

• MMG Progress Award for We Think Safety First initiative

Environmental Metrics

ESG Focus Areas

• Human Rights
• Security

Social Achievements

• Provided support and additional resources to support public health initiatives and social systems in Peru and the DRC in response to COVID-19.
• Trained 575 public security personnel across the business (416 in Las Bambas and 159 in the DRC).
• Provided mandatory refresher training for all private security personnel on site throughout the year.

Governance Achievements

• Reviewed and updated MMG Human Rights Policy and MMG Code of Conduct.
• Established human rights working groups in the DRC and Peru to support and guide site implementation of human rights principles, particularly the VPSHR.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic significantly impacted operations, particularly in Peru and DRC, delaying the full impacts of the pandemic and impacting the execution of the VPI action plan.
• Site physical distancing restrictions and training requirements due to COVID-19.

Mitigation Strategies

• Implemented a range of health and safety measures to safeguard workforce, operations, and communities.
• Depended on online communication with sites, including virtual training.
• Resumed in-person training as soon as circumstances allowed.

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct outlining minimum expectations of suppliers in relation to compliance with laws, human rights, modern slavery, health and safety, environmental compliance and ethical business practices.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI 2016 Sustainability Reporting Guidelines, ICMM’s Mining Principles, UN Guiding Principles on Business and Human Rights, UN Universal Declaration of Human Rights, UN Global Compact principles, International Finance Corporation’s Performance Standards, core conventions of the International Labour Organization

Third-party Assurance: ICMM’s ‘Sustainable Development Framework: Assurance Procedure’

Environmental Metrics

ESG Focus Areas

• Safety and health
• Sovereign risk and government relationships
• Strategy and growth
• Land management and rehabilitation
• Social and economic impacts of mine closure
• Tailings and waste rock management
• Water access and use
• Social development and investment
• Community engagement
• Compliance and conformance
• Corporate governance and business ethics
• Human rights

Environmental Achievements

• Dugald River mine entered into a 15-year renewable energy agreement to supply solar power from early 2023.
• Las Bambas improved water management, reducing raw water drawn from the Challhuahuacho River by 66% compared to 2020.

Social Achievements

• Launched a common self-serve platform to automatically record confidential grievances.
• Kinsevere promoted Ursule Ntumba to Senior Mine Engineer, the first Congolese woman to hold this position.
• Las Bambas supported the development of a local school, benefiting 276 students.

Governance Achievements

• 100% of relevant MMG employees trained in anti-bribery and corruption policies.

Climate Goals & Targets

Environmental Challenges

• Ongoing community blockades on public roads between Las Bambas operation and the port, resulting in over 400 days of transport loss.
• COVID-19 pandemic impacting operations and community engagement.
• Artisanal and small-scale mining (ASM) activities on or near tenements.

Mitigation Strategies

• MMG is committed to finding enduring and peaceful solutions with the support of regional and national governments.
• Implemented various COVID-19 safety protocols and community support initiatives.
• Adopted strategies to mitigate ASM risks, including fencing, alarm systems, security management, and community engagement.

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct
• Anti-Corruption policies
• Due diligence assessments

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Water scarcity

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Transition to a low-carbon economy

Reporting Standards

Frameworks Used: GRI Standards: Core option, ICMM's A Practical Guide to Consistent Water Reporting, Minerals Council of Australia (MCA) Water Accounting Framework

Third-party Assurance: CECEP (HK) Advisory Company Limited

UN Sustainable Development Goals

• 1: No Poverty
• 2: Zero Hunger
• 3: Good Health and Well-being
• 4: Quality Education
• 5: Gender Equality
• 6: Clean Water and Sanitation
• 16: Peace, Justice and Strong Institutions

Investments deliver measurable positive impact against UN SDGs 1-6 indicators. EITI alignment supports SDG 16.

Awards & Recognition

• MMG Las Bambas won first place in the XXIV National Safety Competition (Peru).

Environmental Metrics

ESG Focus Areas

• Human Rights
• Security
• Community Relations

Social Achievements

• Trained 446 public security personnel and 535 private security contractors on VPSHR and related topics.
• Developed and updated operational documents and governance mechanisms to include human rights content.
• Actively engaged with local communities to address concerns and prevent encroachment on mining tenements.

Governance Achievements

• Implemented a three-lines-of-defense assurance process to ensure compliance with standards.
• Established site-specific grievance mechanisms aligned with the MMG Stakeholder Grievance Management WQR.
• Developed a Whistleblower Framework for reporting improper conduct, including human rights breaches.

Climate Goals & Targets

Environmental Challenges

• Ongoing social unrest and artisanal mining activity around the Kinsevere operation.
• Community protests, roadblocks, and site invasions at Las Bambas.
• Social unrest and increasing demands for compensation and employment at Las Bambas.
• Political instability in Peru and the DRC.

Mitigation Strategies

• Strengthening community engagement ties and exploring alternative employment opportunities at Kinsevere.
• Reviewing the VPI action plan and implementing new controls at Las Bambas.
• Undertaking a comprehensive human rights review of systems and processes at Las Bambas.
• Working closely with local governments and authorities to address security concerns.

Supply Chain Management

Responsible Procurement

• Code of Conduct
• Anti-Corruption Standard
• Supply, Fatal Risk, Social Performance and SSHE Performance Standards

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI 2021 Sustainability Reporting Guidelines, ICMM Mining Principles, UN Universal Declaration of Human Rights, UN Global Compact principles, International Finance Corporation’s Performance Standards, International Labour Organization core conventions

Third-party Assurance: ICMM’s ‘Sustainable Development Framework: Assurance Procedure'

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Set a Net Zero by 2050 GHG emissions target and an interim reduction target of 40% in Scopes 1 and 2 emissions by 2030, from a 2020 baseline.
• Developed a Scope 3 emissions inventory in 2023.

Social Achievements

• No confirmed non-compliance incidents or grievances in relation to labour practices that have had a significant impact on the Group in 2023.
• Total community investment spend of US$31,849,655 in 2022 across SDGs 1-6.
• Updated stakeholder grievance mechanism in 2022 to fully align with the Whistleblower Framework.

Governance Achievements

• Maintained high standard of corporate governance practices demonstrated through an experienced Board, sound risk management and internal controls, and transparency and accountability to all stakeholders.
• Complied with the principles of good corporate governance as set out in the Corporate Governance Code (CG Code) of the Hong Kong Listing Rules, those of the ICMM and all external reporting obligations.
• No confirmed significant non-compliances with the Company’s Code of Conduct identified and no legal cases regarding corrupt practices brought against the Company or its employees in 2023.

Climate Goals & Targets

Environmental Challenges

• Two Barminco contractors were fatally injured at the Dugald River mine on Wednesday 15 February 2023.
• Intensifying extreme weather events globally requiring assessment and building resilience.

Mitigation Strategies

• Commitment to zero fatalities and reduction of recordable injuries.
• Implementation of a climate strategy to reduce GHG emissions.
• Strengthening GHG emission data collection, reporting, risk assessment and future projections.

Supply Chain Management

Responsible Procurement

• Due Diligence requirements
• Supplier Code of Conduct and Anti-Corruption Framework

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14001

UN Sustainable Development Goals

• SDG1
• SDG2
• SDG3
• SDG4
• SDG5
• SDG6

Direct investment in addressing the UN SDGs 1–6