Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced water consumption from 13,778m³ in 2021 to 13,204m³ in 2022.
• No reported health and safety incidents leading to time lost, medical treatment, hospitalization, or fatalities in 2022.

Social Achievements

• Nearly all employees are Kazakhs, hired from local villages and Shieli.
• Agreement with Satbayev Technical University for postgraduate student work experience.

Governance Achievements

• Appointed a Group Finance Director and a Kazakhstan Finance Director in 2022.
• Established a sustainability committee comprising the chairman, CEO, and a non-executive director.

Climate Goals & Targets

Environmental Challenges

• Production severely disrupted by Covid-19, domestic riots in Kazakhstan, and the Russian invasion of Ukraine.
• Increased transportation prices and blocked freight routes.
• Increased cost and unavailability of reagents and diesel.

Mitigation Strategies

• Increased the number of vanadium concentrate supply contracts and diversified source location.
• Implemented a plan to convert roasting oven fuel from diesel to gas.

Supply Chain Management

Responsible Procurement

• Increased number of vanadium concentrate supply contracts and diversified source location.

Climate-Related Risks & Opportunities

Opportunities

• Predicted expansion of the global vanadium market due to transition to lower-carbon economy.
• Use of carbon material from ore as a substitute for carbon black.

Reporting Standards

Frameworks Used: Equator Principles, IFC Performance Standards, Financial Reporting Council’s streamlined Energy and Carbon Reporting

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Converted main oven fuel from diesel to liquid gas, resulting in lower costs and emissions.
• Installed air-cleaning equipment, improving the working environment and external emissions.
• Water consumption was 16,985 m3 (2022: 13,204 m3). Currently, no water is discharged from operations.

Social Achievements

• No reported health and safety incidents leading to time lost, staff requiring medical treatment or hospitalization, and no fatalities (2022: nil).
• Nearly all employees are Kazakhstan nationals, mostly hired from local villages and Shieli.
• Agreement with Satbayev Technical University for postgraduate student work experience.

Governance Achievements

• Sustainability committee formed, comprising the chairman, CEO, and a non-executive director.
• Implemented internal controls including cash flow forecasts, contract approval matrix, and payment authorization procedures.
• Board diversity targets not met due to the company's stage of development and size.

Climate Goals & Targets

Environmental Challenges

• Supplier defaults and delays in concentrate delivery, worsened by the war in Ukraine.
• Falling market prices for vanadium pentoxide and molybdenum.
• Geopolitical situation and potential transport route disruptions through Russia.

Mitigation Strategies

• Sourcing concentrates from more reliable counterparties and using a tolling basis to eliminate price movement risks.
• Reviewing alternative transit routes for raw material imports and product exports.
• Monitoring the implications of global sanctions on trading activities.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Sourcing concentrates from more reliable counterparties.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather conditions

Transition Risks

• Availability of concentrates

Opportunities

• Expansion of the global vanadium market due to the transition to a lower-carbon economy.
• Use of carbon material from the ore as a substitute for carbon black.

Reporting Standards

Frameworks Used: Equator Principles, IFC Performance Standards, Financial Reporting Council’s streamlined Energy and Carbon Reporting

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Vanadium electrolyte for VRFBs
• Carbon concentrate for rubber production

Awards & Recognition

• Not disclosed