Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Regulations
• Mine Safety

Environmental Achievements

• Completed installation of a hydrated lime injection system and additional dust collectors on both kilns to improve air quality.
• Essentially completed modification to roller mill and related equipment to meet emission standards.

Climate Goals & Targets

Environmental Challenges

• Meeting PM emission limitations from Clinker Coolers as per EPA regulations.
• Potential for increased energy costs due to climate change regulations.
• Potential shift toward carbon-neutral fuels or offset strategies.
• Increased labor costs to acquire specialized expertise for environmental compliance.
• Competition from cement imported from other countries with different environmental regulations.

Mitigation Strategies

• Investing in additional pollution control equipment (hydrated lime injection, dust collectors, roller mill modifications) to meet NESHAP compliance.
• Reassessing NESHAP strategy and planned capital expenditures in response to EPA rule revisions.
• Planning for upgraded dust collectors on clinker coolers and combining kiln stacks.

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks

• Increased number of days with weather conducive for construction (potential for greater profitability)
• Adverse effects on profitability from legislation and regulatory attempts to interfere with natural warming cycle

Transition Risks

• Increased energy costs
• Shift toward carbon-neutral fuels or strategies
• Increased labor costs for specialized expertise

Opportunities

• Increased demand for concrete products due to sustainability, resilience, and energy efficiency

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Meeting particulate matter emission limitations in the latest EPA regulations.
• Potential future GHG regulations.
• Increased energy costs due to inflation and potential climate change regulations.
• Potential impact of new EPA regulations on tributaries and bodies of water on Monarch property.

Mitigation Strategies

• Installation of pollution control equipment (hydrated lime injection system, dust collectors, roller mill modifications, stack combining, continuous emission monitoring equipment).
• Planned upgrades to dust collectors on clinker coolers.
• Reassessment of NESHAP strategy and capital expenditures.
• Negotiated change in postretirement health benefits for Humboldt union employees from defined benefit to defined contribution plan.

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks

• Increased number of days with weather conducive for construction projects.

Transition Risks

• Increased energy costs, shift toward carbon neutral fuels, increased labor costs to comply with environmental regulations.

Opportunities

• Increased demand for concrete products due to sustainability, resilience, and energy efficiency.