Climate Change Data

Environmental Metrics

ESG Focus Areas

• Health and Safety
• Environment
• Sustainability
• Quality

Environmental Achievements

• Significantly reduced onshore electricity consumption through office space optimization.
• Started tracking refrigerant consumption on all vessels to reduce greenhouse gas emissions.
• Took steps to change refrigerant to a lower global warming potential type.

Social Achievements

• Several vessels completed significant periods without Lost Time Injuries (LTIs).
• Positive client feedback with over 84% rating GMS services as Satisfied or Very Satisfied.
• 86% of clients indicated they were Very to Extremely likely to use GMS in the future.

Governance Achievements

• Implemented a new online survey tool (SurveyMonkey) for collecting client feedback.
• Reviewed and updated approximately 195 documents across the company to reflect the new direction and processes.

Climate Goals & Targets

Environmental Challenges

• Three injuries reported (two LTIs and one MTC).
• Safety-critical equipment failures (35% of incidents).
• Difficulty in getting passes on time for vessels in new regions.

Mitigation Strategies

• Investigating safety-critical equipment failures to improve equipment performance through better maintenance and inspection.
• Internal corrective actions triggered by areas of client dissatisfaction.
• Addressing overdue corrective and preventive actions (CPARs).

Supply Chain Management

Supplier Audits: 1

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Health and Safety
• Environment
• Sustainability
• Quality

Environmental Achievements

• 17% decrease in electricity consumption due to office relocation
• 30% decrease in refrigerant emissions due to refrigerant change
• 0.3% reduction in Scope 1 direct emissions despite a 14% increase in vessel utilization

Social Achievements

• No recordable injuries (LTIR and TRIR = 0.00)
• Maintained high safety standards during COVID-19 pandemic with increased hygiene, social distancing, and frequent testing
• Significant milestones achieved by vessels in days without Lost Time Injury (LTI), totaling over 100 years combined

Governance Achievements

• Review of 195 documents across the company to update policies, manuals, and procedures
• Relocation to a new office with impressive sustainability credentials (LEED® rating system)

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic causing significant disruption, including travel restrictions and quarantine requirements
• Extended offshore team rotations leading to fatigue and stress

Mitigation Strategies

• Implemented increased hygiene standards, social distancing, mask-wearing, and frequent staff testing
• Frequent communication with staff to address concerns and provide updates
• Vaccination of a large proportion of staff

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Health and Safety
• Environment
• Sustainability

Environmental Achievements

• 95% reduction in CO2 emissions from electricity consumption due to office relocation and downsizing.
• 4% decrease in air travel CO2 emissions due to changes in crew rotations.
• 25% decrease in refrigerant emissions through better maintenance and equipment.
• Trialing drinking water machines to reduce plastic water bottle usage.

Social Achievements

• Reduction in total reported incidents from 45 in 2020 to 22 in 2021.
• Lost Time Injury (LTI) Rate of 0.51 per million hours worked.

Governance Achievements

• Implementation of a Marine Enterprise Resource Planning (ERP) system (Cloud Fleet Manager) integrating HSEQ management, Planned Maintenance, and Crewing.

Climate Goals & Targets

Environmental Challenges

• Continued restrictions on travel and quarantine requirements impacting offshore operations.
• Two recordable injuries in January 2021 (one LTI).

Mitigation Strategies

• Review of Business Management System and implementation of CFM.
• Comprehensive review of Carbon Footprint and inclusion of climate change in internal risk management.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Climate change
• Employees
• Human rights
• Principal risks and impact on business activity
• Remuneration Policy

Environmental Achievements

• Reduced Scope 3 emissions by 32.0% since 2021 baseline. Improved waste recycling to 58.5% in 2023 from 1.0% in 2022 and 0.0% in 2021.
• Implemented energy efficiency measures (e.g., booking flights based on carbon emissions).

Social Achievements

• Improved Lost Time Injury Rate (LTIR) from 0.1 in 2022 to zero in 2023.
• Decreased employee turnover to 12% in 2023 from 16% in 2022.
• Employee engagement survey showed 91% participation rate, with high scores in workplace solidarity and feeling valued.

Governance Achievements

• Appointed Haifa Al Mubarak to the Board as an independent non-executive director, promoting board diversity.
• Implemented a robust internal control manual and conducted internal audits of HR and IT functions.
• Successfully reduced net leverage ratio to 3.05 times (2022: 4.4 times).

Climate Goals & Targets

Environmental Challenges

• Reduced utilisation due to customer concentration, competition from ADNOC, and evolving client requirements.
• Difficulty securing appropriate capital structure due to poor financial performance and warrant issuance.
• Meeting Arabian Peninsula local content requirements.
• Ensuring safe and reliable operations amidst geopolitical events and potential equipment failures.
• Maintaining liquidity and covenant compliance in a high-interest rate environment.
• Attracting, retaining, and developing a skilled workforce.
• Navigating legal, economic, and political conditions in operating regions.
• Compliance with anti-bribery and corruption regulations and other complex regulations.
• Cybersecurity threats.
• Climate change (transition and physical risks).

Mitigation Strategies

• Strengthening client engagement, diversification strategies, and customization capabilities.
• Focus on deleveraging, investor relationship management, and increased share price.
• Embracing local content regulations, establishing long-term partnerships, and improving local content scores.
• Prioritizing safety, implementing robust HSEQ management, and regular maintenance.
• Careful liquidity management, optimizing capital expenditure, and monitoring covenant compliance.
• Effective communication, training, and engagement initiatives, remuneration policy, and resource planning.
• Emergency response planning, insurance coverage, workforce planning, and monitoring inflation and interest rates.
• Code of conduct, anti-corruption training, and regulatory compliance database.
• Multi-layer cybersecurity defenses and engagement with third-party specialists.
• Climate scenario analysis, legal and policy monitoring, physical infrastructure improvements, and long-term planning.

Supply Chain Management

Responsible Procurement

• Prioritizing local content, engaging with suppliers on carbon footprint, and introducing additional social and environmental screening criteria.

Climate-Related Risks & Opportunities

Physical Risks

• Increased average temperatures
• Rising sea levels
• More frequent sandstorms
• Decreased precipitation

Transition Risks

• Enhanced emissions reporting obligations
• Exposure to carbon pricing
• Increased stakeholder concern
• Shifts in consumer preferences
• Stigmatisation of sector
• Changing customer behaviour
• Increased cost of raw materials
• Costs to transition to lower emissions technology

Opportunities

• Improving efficiency reduces operating costs and enhances resilience.
• Mobilising vessels in the renewables sector.

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 9001, ISO 14001, ISO 45001

Sustainable Products & Innovation

• Researching low-emission vessels.