Climate Change Data

Environmental Metrics

ESG Focus Areas

• Emission Management
• Water Management
• Land Use and Restoration Management
• Spill Prevention
• Corporate Governance
• Risk Management
• Diversity and Inclusion
• Ethics and Policies
• Health & Safety
• Stakeholder Engagement & Community Impact
• Indigenous Engagement
• Employee Development

Environmental Achievements

• Reduced GHG emissions and carbon dioxide re-injected rather than flared to the atmosphere
• Bi-fuel conversion to natural gas from diesel on drilling rigs and completion pumping equipment
• Wastewater reused for operations
• Pad drilling to reduce surface disturbance
• Zero methane emission sites
• Reduced flaring
• On-site electrical generation
• Sequestered 16,482 tonnes of CO2 from Glacier Gas Plant processes in 2020
• Cumulatively injected over 75,000 tonnes of CO2 since 2011
• Generated over 580,000 carbon offset credits since 2011 (prior to 2019)

Social Achievements

• Exceptional health and safety performance and outstanding staff contributions
• Consistent industry-leading Certification of Recognition results
• Continuous stakeholder engagement during challenging times
• Commitment to create value and employment opportunities for the communities where we operate
• Investment in staff resulting in high engagement and low turnover
• Contributed $60,000 in 2020 and well over $1 million since 2013 to various charities

Governance Achievements

• Implemented numerous governance improvements and enhancements
• Achieved an ISS Governance Quality Score of “1” (low governance risk)
• 6 out of 7 directors are independent (at December 2020)
• Every director received over 99% approval vote by shareholders
• Broad variety of Board skill set and expertise

Climate Goals & Targets

Environmental Challenges

• Future legislation and policy changes impacting operations, performance, and competitiveness
• Potential for changing public perceptions of oil and gas production
• Reduced demand for Canadian natural gas due to lack of egress
• Commodity price volatility
• Unexpected operational problems or deliverability uncertainties
• Operational hazards (fire, explosion, blowouts, etc.)
• Cybersecurity risks

Mitigation Strategies

• Proactive engagement with government and industry groups
• Sustainability/ESG reporting and increased public awareness
• Market diversification strategies
• Diligent well supervision, effective maintenance, and infrastructure design for extreme weather
• Preventative measures (maintenance, testing, backup procedures, training)
• Enterprise-level defense system, business continuation planning

Supply Chain Management

Responsible Procurement

• Utilizing local suppliers and businesses whenever possible

Climate-Related Risks & Opportunities

Transition Risks

• Future legislation and policy changes

Opportunities

• Creating a revenue stream from the sale of carbon offsets
• Creating a new class of low emissions energy (Blue Natural Gas)
• Reducing GHG emissions by installing CCS equipment

Reporting Standards

Frameworks Used: GRI, SASB

Sustainable Products & Innovation

• Blue Natural Gas

Environmental Metrics

ESG Focus Areas

• Climate Change
• Health & Safety
• Indigenous Relations
• Community Engagement
• Diversity, Equity and Inclusion
• Governance

Environmental Achievements

• Established the world's first commercial-scale CCS project on post-combustion natural gas at the Glacier Gas Plant, capturing 47,000 tonnes of CO2 per annum in Phase 1.
• Achieved significant progress towards Net Zero Scope 1 and 2 emissions by 2025 target.

Social Achievements

• Implemented Indigenous Scholarship Program in 2022.
• Maintained a strong health and safety record, exceeding regulatory standards.
• Actively engaged with communities through landowner and industry synergy group meetings.

Governance Achievements

• Established an Anti-Bribery and Anti-Corruption Policy in 2022.
• Achieved 30% female representation on the Board in 2022.
• Enhanced ESG oversight through Enterprise Risk Management system and regular reporting to the Board and Committees.

Climate Goals & Targets

Environmental Challenges

• Achieving Net Zero Scope 1 and 2 emissions by 2025 is predicated on a functional CCS regulatory environment, which is still being developed.

Mitigation Strategies

• Actively working towards alignment with TCFD to manage climate-related risks and opportunities.
• Deploying various emission reduction initiatives, including solar panels, waste heat recovery, and site electrification.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Changes in legislation and regulations

Opportunities

• Development of low-cost CCS technologies

Reporting Standards

Frameworks Used: TCFD (working towards alignment)

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Entropy's iCCSTM technology

Awards & Recognition

• 2022 Hydrocarbon Processing Award for Sustainability (Entropy)
• 2022 TSX30 Award

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• 8% decrease in Scope 1 and 2 emissions intensity from 2021
• 13% decrease in methane emissions intensity from 2021
• 16,785 tCO2e of pre- and post-combustion CO2 captured and sequestered in 2022
• No reportable spills impacting the environment

Social Achievements

• 99% COR Audit score
• Less than 2% employee turnover
• 13 internal promotions
• 33% female representation on the Board of Directors
• Awarded five scholarships in 2022 through the Indigenous Scholarship Program
• $233,000 donated to various charities

Governance Achievements

• 30% female representation on the Board of Directors achieved
• Established a Board and Management Diversity Policy

Climate Goals & Targets

Environmental Challenges

• Increased severity and frequency of extreme weather events
• Government policies restricting GHG emissions
• Competition in the low-carbon energy sector
• Shifting consumer demand for lower-emission products
• Stigmatization of the oil and gas industry
• Delays in Canadian government advancing carbon policy

Mitigation Strategies

• Robust Emergency Response Plans
• Asset management program
• Diversification of physical and financial gas sales points
• Maintaining insurance
• Maintaining awareness of potential policy changes
• Changes in capital allocation
• Design and build low-emitting facilities
• Securing external investor funding
• Forward commodity prices, hedging strategies, market diversification
• Annual ESG reporting
• Achieving net-zero emissions
• Communication strategies, engagement and consultation
• Market-competitive compensation and benefits program

Supply Chain Management

Supplier Audits: All contractors pre-qualified using a third-party compliance management solution

Responsible Procurement

• Proof of insurance and WCB coverage required from contractors
• Evaluation of contractor safety programs

Climate-Related Risks & Opportunities

Physical Risks

• Increased severity and frequency of extreme weather events

Transition Risks

• Government policies restricting GHG emissions
• Shifting consumer demand
• Changing investor sentiment

Opportunities

• Resource efficiency improvements
• Participation in the carbon market
• Marketing of carbon capture and storage technology

Reporting Standards

Frameworks Used: SASB, GRI, TCFD

Certifications: ISO 14065:2013 (emissions)

Third-party Assurance: Brightspot Climate Inc.

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Blue natural gas (planned)

Awards & Recognition

• Hydrocarbon Processing Award for Sustainability (Entropy)