Imerys : Rapport 2023 - Plan de transition climatique (en anglais)

2023 Progress Report

Climate

Transition

Plan

Aligning with the 1.5°C trajectory

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Contents

Welcome >

At a glance >

Achieving our climate change commitments >Approach and roadmap >

2030 GHG emissions reduction commitments >

Decarbonization levers >

Governance and funding >

Our progress to date >

Understanding our historical emissions >

Tracking our progress: scope 1 and 2 >

Our scope 1 and 2 decarbonization levers in action >

Tracking our progress: scope 3 >

Our scope 3 decarbonization levers in action >

Supporting the transition to a low-carbon economy >Assessing the sustainability of our product portfolio >

Solutions for the energy transition >

Supporting sustainable construction >

Reducing the GHG footprint of consumer goods >

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Welcome

Welcome to Imerys' 2023 climate change transition report, designed to update our shareholders, customers, employees and other stakeholders on the key elements of our climate change strategy and highlight the progress we are making towards achieving our objectives.

As the world's leading supplier of specialty mineral and advanced material solutions, Imerys contributes to a vast range of products that touch every aspect of daily life. A wide variety of industries use our high value-added functional products, ranging from process manufacturing to consumer goods.

Our overriding purpose is to unlock better futures for our people, our customers and our planet. In striving to unlock the sustainable

potential of minerals, we are committed to operating in a responsible manner, respecting natural ecosystems, and ensuring that our solutions benefit our stakeholders and society over the long term.

Responding to the risks and opportunities created by climate change is essential to achieving our purpose. This includes the ways in which we are decarbonizing our operations and value chain, and adapting our product portfolio to support the transition to a low-carbon economy, which are the main focus of this report.

Leah Wilson,

Chief Sustainability Officer

"Our overriding purpose is to unlock better futures for our people, our customers and our planet."

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Imerys climate change transition - at a glance

Commitment

-42%		-25%		€20-
scope 1 and 2		scope 3 GHG		25M
GHG* emissions		emissions
reduction by		reduction by		per year to be
2030 from our		2030 from our		invested up to
2021 base year		2021 base year		2030

Decarbonizing our operations and value chain via 7 primary levers

	Energy			Fuel switching
	efficiency and
			and biomass
	recovery
	Low-carbon			Electrification
	and renewable
	electricity
	Process			Managing
			our product
	innovation
			portfolio
	Working with
	suppliers

Adapting our product portfolio to

a low-carbon economy by…

Developing	Supporting	Reducing
solutions for	sustainable	the carbon
the energy	construction	footprint of
transition		consumer
		goods

*GHG = Greenhouse Gases

Achievement

-24%

scope 1 and 2 GHG emissions reduction in 2023 compared to 2021 base year

-6%

scope 3 GHG emissions

reduction in 2022 compared

to 2021 base year

€50M

invested since 2021

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ACHIEVING OUR CLIMATE CHANGE COMMITMENTS

The climate crisis poses an urgent and irreversible systemic threat to our planet, with almost unimaginable environmental and social consequences. This calls for global action towards a low-carbon economy in line with the internationally agreed acceptable limits of global warming, as set out in the Paris Agreement.

Approach and roadmap >

2030 GHG emissions reduction commitments >

Decarbonization levers >

Governance and funding >

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Imerys is committed to action in response to climate change. This means reducing our greenhouse gas (GHG) emissions in line with a 1.5°C trajectory certified by the Science-Based Targets initiative (SBTi) and developing solutions that support the transition to a low-carbon economy.

Our climate change roadmap is aligned with the commitments of the Paris Agreement, and includes transparent objectives and concrete actions to significantly reduce the GHG emissions of our operations, our value chain and our products.

Approach and roadmap

A systematic approach

To help Imerys achieve its purpose, we have implemented an ambitious, innovative and systematic Group-wide program, called SustainAgility. Aligned with the United Nations' Global Compact Principles and contributing specifically to nine of the UN Sustainable Development Goals (SDGs), SustainAgility is a robust framework focused on empowering our people, growing with our customers, and caring for our planet.

Addressing climate change is a key pillar of SustainAgility. This means that it permeates all aspects of our business, from the energy we buy and the processes we use, to the way we manage our supply chain and the products we provide to our customers.

SustainAgility: vision and ambition

Our climate change strategy is underpinned by a rigorous assessment of the climate-related risks and opportunities facing our business. Imerys faces both physical risks related to climate change and risks and opportunities related to the transition to a low-carbon economy. These risks may impact the Group financially and operationally and require us to both mitigate those risks and adapt how we operate. We will be publishing further information on how we are adapting our operations in forthcoming reports.

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Developing our climate change roadmap

Imerys' journey to identify, map, assess and quantify GHG emissions began in the 2000s. We started monitoring our scope 1 and 2 emissions in 2007 and set our first emissions reduction target in 2018, which was validated by the SBTi in 2019. Since then, we have been continually improving our reporting and now have robust scope 1 and 2 monitoring in place.

We started scope 3 monitoring in 2018, focusing initially on estimated GHG emissions from purchasing and transportation. In 2021 we improved the ways in which we quantify scope 3 emissions, and in 2023 we extended this to downstream emissions from processing, use and end-of-life of sold products - and also set our first scope 3 emissions reduction target. As a result, our progress on implementing plans to reduce scope 3 emissions is less advanced compared to scope 1 and 2.

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Purchased goods and services

Capital goods

Fuel and energy related activities Transportation and distribution Waste generated in operations Business travel

Employee commuting

Purchased electricity and steam

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Processing of sold products

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End-of-life treatment of sold

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Investments

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Our scope 1, 2 and 3 emissions explained

Scope 1 emissions: direct emissions from the combustion of fuels to produce thermal energy and from the chemical reactions of certain processes at Imerys production sites.

Scope 2 emissions: indirect emissions from our consumption of purchased electricity and steam.

Upstream Scope 3 emissions: any GHG emissions from purchased goods and services, capital goods, fuel and energy related activities, upstream transportation, waste generated in operations, business travel, and employee commuting.

Downstream Scope 3 emissions: any GHG emissions from downstream transportation and distribution, downstream processing, use and end-of-life of sold products, and investments.

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Imerys' climate change journey		2007
Mitigation action in place (bold)	•	First annual GHG emissions reporting

2012

• First solar photovoltaic farms constructed in the UK

			2017
		•	First climate working group established
	2018
	• First emissions reduction target set:
	-36% in tCO2e/M€ by 2030 vs. 2018		2019
	• First mapping of scope 3 emissions
	(purchasing and transportation)
		•	Targets aligned with 2°C trajectory
	2020		approved by the SBTi
	•	I-Nergize program launched to identify
•	Adoption of internal		site-specific energy efficiency actions
	carbon shadow price
•	Climate goverance established		2021

2022

• New emissions reduction trajectory aligned with 1.5°C scenario
• Solar PV farm constructed in Bahrain
• 48% of Imerys' suppliers engaged with science-based reduction targets

• First climate-related risks and opportunities assessment
• First phase of fuel switching to biomass project completed in the US
• First Sustainability-Linked Bond (SLB) launched
• Updated methodology for scope 3 emissions calculation

2023

• Climate governance reinforced, focused on main decarbonization levers
• First estimate of scope 3 emissions from product processing, use and end-of-life
• Scope 1, 2 and 3 targets aligned with 1.5°C trajectory validated by the SBTi
• 100+ decarbonization projects identified and assessed

• Group Power Purchase Agreement program launched
• Second SLB signed
• Detailed financial plan to achieve targets in place

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2030 GHG emissions reduction commitments

We are committed to reducing absolute scope 1 and 2 GHG emissions by 42% by 2030, from our 2021 base year. We are also committed to reducing absolute scope 3 GHG emissions by 25%* within the same time frame. In order to accurately track progress towards our GHG targets, we may recalculate in good faith our base year emissions inventory in case of a recalculation event driving a significant increase or decrease in GHG emissions.

Reducing our emissions in line with the 1.5°C trajectory: 2021 base year vs 2030 target (MtCO2e)

Scope 1
Scope 2
Scope 3 upstream
Scope 3 downstream	Scopes 1&2
	-42%

2.485

Scope 3

-25%

4.263*

3.197

1.442

2021
2030	2021	2030

*Categories included in target

These near-term targets are in line with the most ambitious climate science scenario to limit the mean global temperature rise to 1.5°C, and have been validated by the SBTi.

The Science Based Targets initiative(SBTi) is a corporate climate action organization that enables companies and financial institutions worldwide to play their part in combating the climate crisis, by developing standards, tools and guidance to set GHG emissions reductions targets in line with what is needed to keep global warming below catastrophic levels and reach net-zero by 2050 at the latest.

*This covers the following GHG Protocol categories: purchased goods and services, capital goods, fuel and energy related activities, upstream and downstream transportation and distribution, waste generated in operations, business travel, employee commuting, and investments.

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Decarbonization levers

Reducing our scope 1 and 2 emissions

We have identified six key levers to help us decarbonize our operations to reduce our scope 1 and 2 emissions and meet our 2030 targets.

Energy efficiency and recovery

In 2019 we launched an energy program, called I-Nergize, to evaluate our sites' energy performance and improve energy efficiency, with site-specific action plans, including energy recovery. This program is currently focused on our top 68 energy-consuming sites, which represent 82% of the Group's energy consumption and 80% of our GHG emissions.

Fuel switching and biomass

We have launched a comprehensive program to identify, assess and implement projects to switch fossil fuels to natural gas and biomass waste.

Low-carbon and renewable electricity

We have launched a Group-wide program to increase the sourcing of low- carbon and renewable electricity.

Electrification

We have initiated opportunity studies to identify feasible technologies to enable us to electrify plant equipment.

Process innovation

A dedicated process innovation team within the Group's science and technology organization is conducting process technology research, laboratory testing and pilot studies to develop solutions to reduce our process-related emissions.

Managing our product portfolio

We are currently estimating the GHG emissions associated with producing the main product families in our portfolio. This will help us steer production towards a low-carbon portfolio, identify raw materials that will have a lower impact in operations, and manage our growth while reducing emissions. We are also using this transversal lever to reduce our scope 3 emissions (see p12).