KBR Inc.

Climate Impact & Sustainability Data (2019, 2020)

Reporting Period: 2019

Environmental Metrics

Total Carbon Emissions:114,840 tCO2e (Scope 1, 2, and Scope 3 Category 6)

Scope 1 Emissions:4,324.3 tCO2e

Scope 2 Emissions:34,577.9 tCO2e

Scope 3 Emissions:75,812.4 tCO2e (business travel)

ESG Focus Areas

Climate Change
Health, Safety & Security
Governance
Inclusion & Diversity
Community Engagement
Risk Management
Efficient Energy
Sustainable Travel
Recycle/Reuse
Supply Partners

Environmental Achievements

Achieved carbon neutrality in 2019 by offsetting Scope 1, 2, and business travel (Scope 3 Category 6) emissions through wind farm projects in India and Plastic Bank initiatives.
90% overall reduction in water use across the Reservoir Train Station project lifecycle.
20% reduction in greenhouse gas (GHG) emissions from material reductions in the Reservoir Train Station project.
37% reduction in GHG emissions across the Buckley Street Underpass project’s construction and operation.
Diverted 100% spoil, 97% construction waste, and 65% office waste by volume from landfill in the Buckley Street Underpass project.

Social Achievements

Launched One Ocean sustainability education program, connecting with over 1,000 students globally.
Established a Global Sustainability Committee in 2019 to align and implement sustainability practices.
Developed an action plan for the establishment of the Global Inclusion and Diversity Council.
Achieved an SROI of £92,702,989 and a total economic impact of £522,932,687 through U.K.-based projects in 2019.
Published its Reconciliation Action Plan (RAP) to provide a framework for realizing the vision of reconciliation with the Indigenous Peoples of Australia and Torres Strait Island.

Governance Achievements

Established a Global Sustainability Committee in 2019.
Implemented a robust Enterprise Risk Management (ERM) framework.
Aligned governance with social, economic, and environmental efforts by embedding sustainability into the overall business strategy at the board level.
Enhanced control environment, awareness, and training around ethical behavior to create a low-risk environment for misconduct and reputational risk.

Climate Goals & Targets

Long-term Goals:

Net-zero carbon emissions by 2030

Medium-term Goals:

Set a science-based target for long-term Climate Action Plan
Commit to net-zero by 2030

Short-term Goals:

Develop a Sustainable Business Travel policy
Implement ISO 14001 for own buildings
LEED/ISCA/BREEAM certification and green energy procurement strategy for owned facilities and offices

Environmental Challenges

Climate change impacts (extreme weather, regulatory changes, market shifts)
Supply chain disruptions
Human rights vulnerabilities in the supply chain
Data privacy and cybersecurity risks

Mitigation Strategies

Developed alternative sourcing strategies
Implemented a robust Enterprise Risk Management (ERM) framework
Risk-based approach in assessing human rights vulnerabilities in the supply chain
Multifaceted approach to data security, including annual cybersecurity awareness training and compliance with industry standards.

Supply Chain Management

Responsible Procurement

Supplier Code of Conduct
Risk-based approach to assessing human rights vulnerabilities
Pre-qualification questionnaires
Performance evaluations
Shop surveys
Combating Trafficking in Persons (CTIPs) plan

Climate-Related Risks & Opportunities

Physical Risks

Extreme weather

Transition Risks

Changes in government policy
Increased connectivity
Social activism
Shifts in the energy mix

Opportunities

Energy transition
Hydrogen sector
Green ammonia
Renewables

Reporting Standards

Frameworks Used: GRI Core Option, SASB, TCFD, UN Global Compact

Certifications: ISO 9001, ISO 14001, ISO 45001, ISO 27001, ISO 20000, NIST 800-171, Cyber Essentials, Cyber Essentials Plus

Third-party Assurance: ClimatePartner (for climate and carbon data); Third-party verification of financial data (2018 Annual Report and Form 10-K)

UN Sustainable Development Goals

Goal 1
Goal 3
Goal 4
Goal 5
Goal 8
Goal 10
Goal 12
Goal 13
Goal 16
Goal 17

KBR's sustainability pillars and initiatives contribute to various SDGs, including those related to poverty, health, education, gender equality, economic growth, reduced inequalities, responsible consumption and production, climate action, peace, justice, and partnerships.

Sustainable Products & Innovation

KBR ROSE® Residue Upgrade Solution
KBR MAX-ISOM™ Isomerization Technology
KBR K-SAAT™ Solid Acid Alkylation Technology
KBR VCC™ Veba Combi-Cracking
K-PRO™
Ammonia technology
Green ammonia (KBR K-GreeN™)
Blue ammonia

Awards & Recognition

National Safety Council “CEOs Who Get It” List (Stuart Bradie)
South Dakota Safety Council’s Award for Honor for Exceptional Workplace Safety Performance
Associated Builders and Contractors (ABC) National Excellence in Construction® Eagle Award
South Dakota Safety Council (SDSC) Award of Honor
SATORP Contractor Safety Award
Stella, Nova and Super Nova Awards (KBRwyle)
Exceptional Scores from Considerate Constructors Scheme
KBR Race Equality Award
WISE ONE TO WATCH AWARD
DIVERSITYFIRST LEADERSHIP AWARD

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:Not disclosed

Scope 1 Emissions:Not disclosed

Scope 2 Emissions:Not disclosed

Scope 3 Emissions:Not disclosed

Renewable Energy Share:Not disclosed

Total Energy Consumption:Not disclosed

Water Consumption:Not disclosed

Waste Generated:Not disclosed

Carbon Intensity:Not disclosed