TATNEFT : Is Among the Leaders of the Global Climate Agenda

TATNEFT has joined the international SBTi (Science Based Targets initiative) initiative on the platform of 'Ambitious corporate actions to prevent the over temperature occurrence above 1.5 degrees Centigrade' (Business Ambition for 1.5 C).

The Company will develop and adopt science-based targets with regard to reducing greenhouse gas emissions and decarbonization in terms of SBTi criteria within 24 months.

TATNEFT Group plans to move on to carbon neutrality by 2050 with a gradual reduction in the greenhouse gas emissions intensity. The Board of Directors has approved a roadmap for achieving the goals mentioned. Currently, there is a program being implemented to ensure carbon neutrality along the entire value chain through the development of 'green' technologies and the prevention of greenhouse gas emissions into the atmosphere. One of the challenges is the formation of product lines with a lower carbon footprint. The plans provide for the production development using renewable energy (generation of clean energy with low carbon content) and biofuels. A promising area' is the use of technologies for the capture and storage of CO2 (Carbon Capture and Storage, CCS). The Company is implementing a program of planting trees as additional compensatory measures.

TATNEFT is one of the first energy companies to join the SBTi platform. The Company considers participation in this initiative as a significant tool in the implementation of the 13th Sustainable Development Goal on the climate and the principles of the UN Global Compact.

Nail Maganov, General Director of PJSC TATNEFT, pointed out in connection with joining the SBTi initiative:

'The oil and gas industry and, including without limitation TATNEFT, play a very important role in preventing the climate change on our planet. Being an energy company, we have a special responsibility to future generations without joint efforts and concrete actions. It is impossible to solve the problems associated with the climate change. The carbon neutrality by 2050 is not just a challenge, but rather it is an objective necessity. For us, making a commitment to setting science-based goals within the SBTi is a conscious and decisive step. The work ahead is not easy, but we are confident in our capabilities. Even today, our innovations in oil production, refining, petrochemicals production, and the electricity generation enable us to increase the operation efficiency and reduce greenhouse gas emissions. The new goals will encourage the introduction f the best available technologies to achieve ambitious climate targets, while contributing to the Company's sustainable development and value growth at the same time'.

Reference Information

The Science Based Targets initiative (SBTi) is a leading international platform for setting science-based goals and integrating best practices to combat the climate change. It is implemented together with the UN Global Compact, the Carbon Disclosure Project (CDP), the World Resources Institute (WRI) and the Worldwide Fund for Nature (WWF).

The SBTi methodology for setting science-based targets for reducing greenhouse gas emissions by oil and gas companies is in the final stage of preparation and will be the basis for the TATNEFT Group to set appropriate targets.

The Company has been maintaining the record of greenhouse gas emissions since 2016. TATNEFT adheres to the standards and recommendations of The Greenhouse Gas Protocol (The GHG Protocol) when building the accounting and reporting system, and provides for the information disclosure regarding the climate aspects in accordance with the recommendations of the Task Force On Climate-Related Financial Disclosures (TCFD).