Climate Change Data

Gibson Energy Inc.

Climate Impact & Sustainability Data (2019, 2022, 2023, Q1 2024)

Reporting Period: 2019

Environmental Metrics

Total Carbon Emissions:88,364 tCO2e (estimated, including Canadian trucking); 54,819 tCO2e (estimated, excluding Canadian trucking)
Scope 1 Emissions:50,407 tCO2e (Moose Jaw Facility, verified)
Water Consumption:236,141 m3 (withdrawal); 235,500 m3 (returned)
Waste Generated:6.98 thousand tonnes (total); 3.75 thousand tonnes (hazardous); 3.23 thousand tonnes (non-hazardous)
Carbon Intensity:0.1272 tCO2e/m3 (Moose Jaw Facility)

ESG Focus Areas

  • Operating with Excellence
  • Working Together
  • Delivering Energy Responsibly

Environmental Achievements

  • Reduced GHG emissions intensity at Moose Jaw facility by approximately 20-25% by installing innovative thermal heat exchanger technology.
  • 99.7% of fresh water diverted or impounded by operations returned to the watershed.
  • 52.7% decrease in total waste generated in 2019 compared to 2018.

Social Achievements

  • Increased community investment donations by nearly 70% compared to 2018, reaching $1 million.
  • Launched Gibson GIVES, a year-round Employee Giving Program, resulting in over 800 employee volunteer hours.
  • Became the Youth Mental Health Champion for the Boys and Girls Clubs of Calgary with a $1 million commitment over five years.

Governance Achievements

  • Formalized board oversight for sustainability strategy and risk management through the Environment, Social, Governance/Health and Safety Committee.
  • Adopted a Diversity and Inclusion Policy.
  • Provided training on sustainability topics to Board members and senior executives.

Climate Goals & Targets

Short-term Goals:
  • Total Recordable Injury Frequency of no more than 0.75 per 200,000 man-hours for employees and a Lost Time Injury Frequency of no more than 0.15 per 200,000 man-hours for employees.

Environmental Challenges

  • Climate change leading to changing regulatory requirements, decreased demand for crude oil, potential litigation, and additional compliance obligations.
  • Supply chain disruptions impacting operations.
  • Difficulties in attracting and retaining critical talent.
Mitigation Strategies
  • Integrating environmental, social, and governance opportunities and risks into the annual Enterprise Risk Management process.
  • Implementing an Operations Management System (OMS) to continuously improve processes and manage risks.
  • Investing in programs to attract, retain, develop, and engage a diverse group of talented employees.

Supply Chain Management

Responsible Procurement
  • Pre-qualification process for suppliers; prioritization of suppliers with strong health and safety performance; Code of Conduct and Ethics applies to all contractors and consultants.

Climate-Related Risks & Opportunities

Transition Risks
  • Changing regulatory requirements
  • Decreased demand for crude oil
  • Potential litigation
  • Additional compliance obligations

Reporting Standards

Frameworks Used: GRI Standards Reporting Framework (Core option), Sustainability Accounting Standards Board (SASB)

Third-party Assurance: Tetra Tech (Scope 1 emissions of Moose Jaw Facility)

Awards & Recognition

  • Finalist in the annual Canadian HR Awards, “Most Effective Recruitment Strategy” category

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:156,806 tCO2e (Market-Based)
Scope 1 Emissions:107,227 tCO2e
Scope 2 Emissions:49,579 tCO2e (Market-Based)
Scope 3 Emissions:710,262 tCO2e
Renewable Energy Share:24.8% (Storage and Handling)
Total Energy Consumption:464,594 MWh
Water Consumption:413,286 m3
Waste Generated:114.2 thousand tonnes
Carbon Intensity:0.000014 tCO2e/$CAD revenue

ESG Focus Areas

  • Climate Change
  • Energy Transition
  • Environmental Stewardship
  • Land & Biodiversity
  • Responsible Procurement
  • Employee Attraction, Retention, Development and Engagement
  • Diversity and Inclusion
  • Indigenous Reconciliation and Engagement
  • Community Contributions
  • Health and Safety
  • Asset Integrity and Resilience
  • Governance

Environmental Achievements

  • 24.8% reduction in Storage and Handling Scope 1 and 2 emissions intensity vs. 2020 base year
  • Completed company-wide biodiversity assessment
  • 1.3 metric tonnes of electronic waste recycled and diverted from landfill
  • Over 99% of all water used in operations safely returned to watershed
  • Implemented 26-megawatt Renewable Power Purchase Agreement

Social Achievements

  • 0 Lost Time Injury Frequency (LTIF) and Recordable Vehicle Incident Frequency (RVIF) for three years in a row
  • $1.5M+ in community contributions in 2022
  • 13.9 average annual volunteer hours per employee
  • 100% of employees completed cybersecurity awareness training
  • Increased annual employee mental health support to $15,000 per family
  • Enhanced flexible working options and financial wellness programs for employees
  • Published Indigenous Peoples Policy
  • 98% of Gibson employees and directors completed Indigenous awareness training

Governance Achievements

  • 44% women on Board of Directors
  • Implemented 26-megawatt Renewable Power Purchase Agreement
  • A- CDP Climate Change score for three years in a row
  • Implemented a new regulator-approved Quality Management System (QMS) program for our Moose Jaw Facility

Climate Goals & Targets

Long-term Goals:
  • Net Zero Scope 1 and 2 Absolute Emissions by 2050
Medium-term Goals:
  • Reduce company-wide emissions intensity by 20% by 2030
  • Reduce Storage and Handling emissions intensity by 95% by 2030
  • Reduce Processing emissions intensity by 40% by 2030
  • Reduce company-wide Scope 2 absolute emissions by 100% by 2030
  • Increase women in the workforce to >43% by 2030
  • Increase racial and ethnic minority representation in the workforce to >23% by 2030
  • Increase Indigenous representation in the workforce to >3.5% by 2030
  • Increase women in leadership (VP and above) to >40% by 2030
Short-term Goals:
  • Reduce company-wide emissions intensity by 15% by 2025
  • Reduce Storage and Handling emissions intensity by 60% by 2025
  • Reduce Processing emissions intensity by 30% by 2025
  • Reduce company-wide Scope 2 absolute emissions by 50% by 2025
  • Reduce Moose Jaw Facility Scope 1 and 2 absolute emissions by 15% by 2025
  • Increase women in the workforce to >40% by 2025
  • Increase racial and ethnic minority representation in the workforce to >21% by 2025
  • Increase Indigenous representation in the workforce to >2.5% by 2025
  • Increase women representation on Board of Directors to >40% by 2025
  • Increase racial and ethnic minority and/or Indigenous representation on Board of Directors to 1 person by 2025
  • Increase women in leadership (VP and above) to >33% by 2025
  • Increase racial and ethnic minority and/or Indigenous representation in senior leadership (SVP and above) to 1 person by 2025
  • Community Contributions: At least $5 million (minimum of $1 million annually) by 2025
  • Maintain top quartile safety performance (0.5 or less TRIF) by 2025

Environmental Challenges

  • Planned growth projects may increase absolute emissions in the short-to-medium term.
Mitigation Strategies
  • Long-term solutions are expected to decrease emissions as Gibson progresses toward its targets.
  • Commitment to ensuring new assets are operated safely, responsibly, and sustainably, while improving asset emissions profiles.

Supply Chain Management

Supplier Audits: 100% of new suppliers screened using environmental and social criteria

Responsible Procurement
  • Supplier Code of Conduct and Ethics
  • Labour and Human Rights Policy
  • Increased weighting of sustainability-related questions in RFP process (10%)

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Investment in Renewables
  • Decarbonization
  • Carbon Offsets
  • Modernization and Innovation

Reporting Standards

Frameworks Used: TCFD, SASB, GRI

Certifications: Null

Third-party Assurance: Third-party quantification and verification of Scope 1, 2, and 3 emissions

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • One of Alberta’s Top 75 Employers
  • Canada’s Best Diversity Employers

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:163,999 tCO2e/year (market-based)
Scope 1 Emissions:115,192 tCO2e/year
Scope 2 Emissions:48,807 tCO2e/year (market-based)
Scope 3 Emissions:1,456,406 tCO2e/year
Total Energy Consumption:543,079 MWh/year
Water Consumption:317,175 m3/year
Waste Generated:57.3 thousand tonnes/year

ESG Focus Areas

  • Climate Change and Energy Transition
  • Environmental Stewardship
  • Land and Biodiversity
  • Responsible Procurement
  • Employee Attraction, Retention, Development and Engagement
  • Diversity and Inclusion
  • Indigenous Reconciliation
  • Community Contributions
  • Health and Safety
  • Asset Integrity and Resilience
  • Cybersecurity
  • Emergency Management

Environmental Achievements

  • 22% reduction in Storage and Handling Scope 1 and 2 emissions intensity vs 2020 baseline (excluding Gateway Terminal operations for 2022)
  • 0 reportable spills in 2023

Social Achievements

  • Industry-leading employee Total Recordable Injury Frequency (TRIF) of 0.22, setting a record for the company’s best safety performance
  • Launched Wellness Hub in Calgary Head Office
  • 0 Lost Time Injury Frequency (LTIF) and Recordable Vehicle Incident Frequency (RVIF) for four years in a row
  • $1.6M+ in community contributions in 2023
  • One of Alberta’s Top 80 Employers and Canada’s Best Diversity Employers for the third year in a row
  • Published Gibson’s first Modern Slavery Report
  • Initiated Partnership Accreditation in Indigenous Relations (PAIR)

Governance Achievements

  • 50% women on Board of Directors
  • A- CDP Climate Change score for four years in a row
  • Sustainability-linked loan increased from $750 million to $1 billion

Climate Goals & Targets

Long-term Goals:
  • Net Zero Scope 1 and 2 absolute GHG emissions by 2050
Medium-term Goals:
  • 20% reduction in Storage and Handling GHG emissions intensity by 2030
  • 95% reduction in Moose Jaw Facility Scope 1 and 2 absolute GHG emissions by 2030
  • 40% reduction in company-wide Scope 2 absolute GHG emissions by 2030
  • > 43% women in the workforce by 2030
  • > 23% racial and ethnic minority representation in the workforce by 2030
  • > 3.5% Indigenous representation in the workforce by 2030
  • > 40% women in senior leadership (SVP and above) by 2030
Short-term Goals:
  • 15% reduction in company-wide GHG emissions intensity by 2025
  • 15% reduction in Storage and Handling GHG emissions intensity by 2025
  • 60% reduction in Moose Jaw Facility Scope 1 and 2 absolute GHG emissions by 2025
  • 50% reduction in company-wide Scope 2 absolute GHG emissions by 2025
  • > $5 million in community contributions by 2025
  • > 80% racial and ethnic minority and/or Indigenous representation in senior leadership by 2025
  • > 40% women in the workforce by 2025
  • > 21% racial and ethnic minority representation in the workforce by 2025
  • > 2.5% Indigenous representation in the workforce by 2025
  • > 33% women in leadership (VP and above) by 2025
  • 1 woman in senior leadership (SVP and above) by 2025
  • > 40% women representation on Board of Directors by 2025
  • 1 racial and ethnic minority and/or Indigenous person on Board of Directors by 2025
  • Maintain top quartile safety performance (TRIF < 0.5) by 2025

Environmental Challenges

  • Fluctuations to emissions profile concurrent with changes and growth in the business (growth projects leading to increased absolute emissions in the short-to-medium term)
Mitigation Strategies
  • Ongoing and planned initiatives to achieve emissions reduction targets
  • Fuel switching at Moose Jaw Facility and 26-megawatt Power Purchase Agreement (PPA)
  • Incorporating new assets into portfolio while exploring opportunities to enhance asset emissions profiles
  • Developing an understanding of emissions reduction opportunities for Gateway Terminal

Supply Chain Management

Supplier Audits: 100% of new suppliers screened using ESG criteria; High-risk suppliers assessed via ISNetworld

Responsible Procurement
  • Supplier Code of Conduct and Ethics Policy
  • Labour & Human Rights Policy
  • Sustainability practices and performance questionnaire for all bidders

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events, flooding, sea level rise
Transition Risks
  • Regulatory changes, market shifts, energy demand and supply changes, policy environments, technology availability, carbon pricing and global emissions
Opportunities
  • Investment in renewables, modernization and innovation, decarbonization, carbon offsets

Reporting Standards

Frameworks Used: TCFD, SASB, GRI

Certifications: ISO 14064-3:2019

Third-party Assurance: Brightspot Climate

UN Sustainable Development Goals

  • 7 (Affordable and Clean Energy)
  • 13 (Climate Action)

Initiatives to reduce GHG emissions, invest in renewable energy, and promote sustainable practices

Sustainable Products & Innovation

  • Biofuels Blending Project

Awards & Recognition

  • MSA Safety Award for Canada’s Safest Oil & Gas Employer
  • 2023 CN Safe Handling Award

Reporting Period: Q1 2024

Environmental Metrics

Total Carbon Emissions:189 Mt CO2e (~42 million cars*) (2021)
Carbon Intensity:Lowest in peer group (2022)

ESG Focus Areas

  • Climate Change
  • Diversity & Inclusion
  • Governance
  • Community Engagement
  • Safety

Environmental Achievements

  • Completed fuel switching project at Moose Jaw Facility, reducing emissions
  • Placed the Biofuels Blending Project into service with customer Suncor, reducing emissions by ~5,000 tonnes of CO2e/year
  • Completed acquisition of the Gateway Terminal, further reducing Gibson’s industry-leading carbon intensity
  • Diluent Recovery Unit (DRU) displaces Scope 3 emissions compared to conventional DilBit-by-rail, providing an estimated emissions displacement of over 57 ktCO2e annually

Social Achievements

  • Maintained top quartile safety performance among peers for the second year in a row in 2023
  • Maintained Lost Time Injury Frequency, Recordable Vehicle Incident Frequency and Fatality rates of 0 for both employees and contractors for the fourth year in a row
  • Launched Women Development Program
  • Expanded D&I Policy and implemented new Labor and Human Rights Policy
  • 95% Employee Participation In Community Giving
  • Announced signature $1mm multi-year partnership with Trellis to support youth mental health

Governance Achievements

  • Appointed ESG expert, Judy Cotte, to Gibson’s Board of Directors
  • Achieved >40% Board gender diversity
  • Achieved >50% Board members from diverse groups
  • Established a dedicated Sustainability and ESG Committee
  • 35% of 2024 Short Term Incentive Plan tied to ESG Metrics

Climate Goals & Targets

Long-term Goals:
  • Net Zero Scope 1 & 2 emissions by 2050
Medium-term Goals:
  • Reduce overall greenhouse gas intensity by 20% (2030)
  • Reduce aggregate greenhouse gas intensity by 95% (Storage & Handling) (2030)
  • Reduce aggregate greenhouse gas intensity by 40% (Processing) (2030)
  • Reduce absolute Scope 2 emissions by 100% (2030)
  • Women in workforce > 43% and > 40% VP and above (2030)
  • Racial & Ethnic Minority Representation > 23% (2030)
  • Indigenous Representation > 3.5% (2030)
Short-term Goals:
  • Reduce overall greenhouse gas intensity by 15% (2025)
  • Reduce aggregate greenhouse gas intensity by 60% (Storage & Handling) (2025)
  • Reduce aggregate greenhouse gas intensity by 30% (Processing) (2025)
  • Reduce absolute Scope 2 emissions by 50% (2025)
  • Reduce absolute Scope 1 & 2 emissions (Moose Jaw Facility) by 15% (2025)
  • Women in workforce > 40% and > 33% VP and above (2025)
  • At least 1 woman holds an SVP or above role (2025)
  • Racial & Ethnic Minority Representation > 21% (2025)
  • At least 1 racial & ethnic minority and/or Indigenous Person holds an SVP or above role (2025)
  • Indigenous Representation > 2.5% (2025)
  • Community Contributions: At least $5 MILLION (minimum of $1 million annually) (2025)
  • Maintain 80% workforce participation in community giving program (2025)
  • Achieve and maintain top quartile safety performance (TRIF ≤ 0.5) (2025)
  • Board of Directors: > 40% women (2025)
  • Board of Directors: At least One racial & ethnic minority and/or Indigenous Member (2025)

Environmental Challenges

  • Reducing Scope 1 and 2 emissions at Moose Jaw Facility
  • Reducing overall GHG intensity
  • Addressing indirect emissions (Scope 2)
Mitigation Strategies
  • Fuel switching at Moose Jaw Facility
  • Biofuels Blending Project
  • Investment in renewables
  • Power Purchase Agreements (PPAs)
  • Carbon Capture and Storage (CCS)
  • Carbon offsets
  • Modernization and innovation

Supply Chain Management

Responsible Procurement
  • Supplier Code of Conduct and Ethics

Climate-Related Risks & Opportunities

Opportunities
  • Energy transition
  • Renewable products and services

Reporting Standards

Frameworks Used: CDP, MSCI, S&P CSA, Sustainalytics, TCFD

Sustainable Products & Innovation

  • DRUbitTM
  • Renewable diesel

Awards & Recognition

  • One of Alberta’s Top 75 Employers
  • Canada’s Best Diversity Employers