Chairman’s Letter

Dear colleagues,

Andrei Bougrov

I am happy to present Nornickel's first public climate change report. Prepared in accordance with international recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD), it describes the steps that we have been taking to address the global challenge of climate change, and outlines the key outcomes we have delivered so far. While this is our first report that focuses exclusively on climate change, it is an area that we have been exploring for quite a while now, with public reporting on our climate change efforts in place since 2016.

We are committed to achieving UN Sustainable Development Goal 13 Climate Action and the goal under the Paris Agreement to hold the increase in the global average temperature to well below 2 °C and to pursue efforts to limit the temperature increase to 1.5 °C above pre-industrial levels in the second half of the 21st century. In line with Russia’s Low-Carbon Development Strategy approved by the government and targeting carbon neutrality by 2060, Nornickel will continue its endeavours to reduce greenhouse gas emissions. As part of that commitment, the Company aims to increase the share of renewables in its energy mix, improve the efficiency of its operations, and research into, develop, and introduce new low-carbon technology. I am proud to say that products made by Nornickel boast one of the lowest carbon footprints in the industry.

The Company has a robust system in place to manage and allocate responsibilities for the climate agenda. In 2021, our Board of Directors approved the Climate Change Policy. Climate issues are on the Board’s radar on an ongoing basis. Since 2021, the Board has the Sustainable Development and Climate Change Committee in place, responsible for overseeing Nornickel’s progress against the corporate climate change strategy. In 2022, the Committee reviewed key outcomes achieved as part of our climate action projects, including those designed to improve resilience to physical climate risks and adjust to climate change. The Committee also reviewed Nornickel’s public reporting on climate change as part of Norilsk Nickel Group’s Sustainability Report.

Nornickel pursues and seeks to expand its cooperation with the academic community, engaging in comprehensive joint research of climate and climate-related factors and the impact that those have on production facilities across the Company's footprint. We also monitor developments in the global economy associated with the low-carbon transition. Our first public climate action report provides details on what we have achieved so far.

The Board of Directors expects the Company to go ahead with its strategic projects and initiatives to combat climate change, along with cooperation with industry peers, local communities, R&D centres, and stakeholders at large to identify the best solutions to address global climate change.

Chairman of MMC Norilsk Nickel Board of Directors
Andrei Bougrov