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Responsibility for preservation of the environment is an integral part of Uralkalis business. The Company invested RUB 3,987 million in environmental protection in 2018. In addition to current expenditures associated with protecting the atmosphere, water, and land resources, Uralkali is investing in the modernisation of existing machinery and the installation of new pollution control equipment, staff training, and the development of internal monitoring and control systems, as well as scientific research.

Energy Efficiency

Energy Efficiency

Energy Efficiency

From the end of 2017 to the middle of 2018, Uralkali conducted another energy audit. According to the audit results an energy passport of the enterprise and a draft energy saving programme for 20192023 were prepared.

Targeted funding of energy saving measures was provided in 2018.

In the reporting year, 20 frequency converters were put into operation, over 3,000 light fixtures were replaced for energy efficient more than 9,000 meters of pipelines were repaired with the replacement of thermal insulation, and 205 valve blankets were installed.

Target indicators in relation to fuel and water saving were achieved in full. Uralkali is considering the possibility of awarding staff members of the production facilities that reached the established indicators.

In 2018, the actual amount of generated electricity decreased by 5% compared to 2017 and totalled 324.85 million kWh. The reduction in generation was due to the scheduled overhauls of generating equipment.

The volume of electricity consumption in 2018 saw an increase compared to 2017 due to putting new equipment in operation.

Use of associated petroleum gas

Use of associated petroleum gas

As part of the Energy Saving Programme, the Company uses associated petroleum gas, which it purchases from oil and gas companies of the Perm Region.

This approach makes it possible not only to reduce the Companys natural gas consumption by providing economic efficiency, but also to prevent the flaring of associated gas by oil companies, thus contributing to atmosphere protection.

In 2018, the volume of associated gas used by Uralkali and its subsidiaries and affiliates in Russia totalled 149.42 thousand tonnes of oil equivalent.

Greenhouse gases emissions

Greenhouse gases emissions

Greenhouse gases emissions

Greenhouse gas emissions are the main factor of climate change, CORPORATE SOCIAL RESPONSIBILITY regulated by the UN Framework Convention on Climate Change. Higher concentration of greenhouse gases in the atmosphere increases the natural greenhouse effect, which can have adverse effects on natural ecosystems and humanity.

In December 2015, 175 countries, including Russia, signed the Paris Climate Agreement, defining measures to combat climate change, primarily aimed at reducing the emissions.

Uralkali understands the importance of controlling greenhouse gas emissions and keeps relevant records. During the reporting period, the Groups CO2- equivalent emissions amounted to 1,819.8 thousand tonnes, which is 5.4 thousand tonnes less compared to 2017 due to a decrease in the total energy consumption.

Emissions into the atmosphere

Emissions into the atmosphere

Emissions into the atmosphere

The Companys enterprises have an environmental protection department which is responsible for emissions of pollutants into the atmosphere

As part of the Companys programme to expand its existing production facilities, Uralkali is upgrading its waste treatment equipment. As a result, the operational efficiency of treatment facilities is increasing, thus reducing the Companys environmental impact

The Groups pollutant emissions remained at the level of 2017. All atmospheric emissions from stationary sources are within the regulated limits

Water resources

Water resources

The Company aims to reduce consumption of water for industrial needs and minimise the impact of wastewater disposal on the environment.

In 2018, the total water intake for industrial needs and utility services at Uralkali in Russia increased by 0.9% to 18.94 million m3 from 18.77 million m3 in 2017. The water intake from surface sources totalled to 15.04 million m3 (excluding water intake for third parties).

The flow rate of water in recycled and reused water supply systems at Uralkali increased by 18.129 million m3 compared to 2017 and totalled 122.439 million m3.

Waste management

Waste management

Waste management

Mining activities generate significant amounts of waste. The Company is doing everything possible to prevent its negative impact on the environment. In particular, Uralkali is making the following efforts:

  • modernisingbothexisting and new facilities to increasethe recovery ratio of valuable components from ore (top priority);
  • backfilling the mined-out areas of mines;
  • recycling waste into products;
  • involving waste in secondary use (waste recycling into products for sale, transfer for the preparation of raw materials used in soda production);
  • neutralising and disposing of waste at sites that meet the requirements of sanitary and environmental legislation.

The Companys enterprises produced 32.38 million tonnes of waste in 2018. More than 99% of it was industrial waste of hazard class V (halite waste and clay-salt slurries). In 2018, the Company reached a 8% growth of halite waste and clay-salt slurries compared to 2017 and a 75% growth compared to 2013. The increase in waste utilisation was due to the increase in backfilling the mined-out areas of the mine.

Over the past six years, 79.6 million tonnes of waste have not been received by the Companys facilities due to the increase in the backfilling rates, which contributed to the reduction of environmental impact in regions where Uralkali operates.

The Companys halite waste is also used for the production of:

  • industrial sodium chloride;
  • halite mineral concentrate.

Halite waste is transferred to third parties for the production of:

  • deicing agent;
  • saline solution for production of soda.

In 2018, 1.12 million tonnes of halite waste from previously accumulated at Company facilities were used.

Waste tonnage at in-house facilities has been declining over the recent years. By the end of 2018, the decrease amounted to 10%.

In the reporting period, Uralkalis waste placement at the municipal landfill amounted to 18.8 thousand tonnes. The decrease has been detected over the last six years and amounted to 54% compared to 2013 and 20% compared to 2017. This decrease in waste disposal is due to the efficient operation of the crushing and sorting plant and the increase in the tonnage of waste transferred to third parties. In 2018, 1.1 million tonnes of waste were transferred to third parties for use and neutralisation from 1.04 million tonnes in 2017.

Since 2013, the Company has successfully implemented a project for processing old reinforced concrete slabs into crushed stone. During this time, more than 115 thousand tonnes of large reinforced concrete products that remained after total buildings and structures renovation were recycled. The produced crushed stone was used as fill for temporary roads, dams and temporary construction sites. By doing this, placement of 25,000 tonnes of reinforced concrete waste at the Berezniki municipal solid waste landfill was prevented in 2018.

Land resources and biodiversity

Land resources and biodiversity

Uralkali is aware of the importance of minimising possible negative environmental impact and implements projects aimed at preserving biodiversity. In 2018, sterlet (sturgeon) juvenile fish was raised in special conditions on the territory of Dobryanskiy Rybovodnyy Tsentr LLC upon the Companys order. On ecologists opinion, this type of fish shall play positive role in ecological balance of the Kama fauna. An optimal site was chosen for releasing juvenile fish so they could adapt in the open water body. Presence of sterlet food potential in the water body, and water and air temperatures, as well as the distance which the juvenile fish was expected to overcome in the container, were taken into account. Employees of the State Research Institute of Lake and River Fisheries strictly monitored the observance of all these factors. The total number of the juvenile fish was over 57 thousand, and the total weight was around 233 kilograms.

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OJSC "Uralkali" (OJSC "Uralkali", Company,) is one of the world’s leading potash producers. Our aim is to produce potash fertilizers to satisfy the worldwide demand for the high-quality food; we develop potash deposits in an efficient and responsible manner in order to ensure continuous development of the Company.

We follow the principles of social responsibility and we know how important it is to respect the interests of all our stakeholders (employees, partners, investors, shareholders, government authorities, public organizations, the media and the residents of the regions of Uralkalis corporate presence). We know that, as a large industrial company, we are expected to be reliable, open and stable. We aspire to fully meet these expectations in full by consistently implementing the strategy of sustainable development.

Planning our work for years ahead, we care about the well-being of the future generations and honor the obligations that we have undertaken voluntarily:

  • Securing the well-being and personal development of our employees;
  • Taking into account the unique social features of the regions where we work both when solving current problems and when making decisions regarding the Companys new projects;
  • Taking all necessary actions in order to reduce the negative impact on the safety, health and living conditions of our employees, partners and residents of the territories of Uralkalis corporate presence;
  • Maintaining an open dialogue with all the Companys stakeholders, regularly informing all interested parties of the situation in the Company and the status of the actions taken in order to reduce and eliminate environmental and social risks;
  • Taking into account the opinions of the stakeholders when making decisions in the sphere of industrial, environmental and social safety when realizing current and future projects.

Our social policy serves as a guide for each employee of OJSC "Uralkali" and it is reflected in all our programs and plans. We understand how important it is to fulfill our obligations in a full and timely way and we are committed to finding a balance between the interests of the Company, its employees and other stakeholders. We believe that this balance is the only true foundation for the harmonious growth and development of OJSC "Uralkali" and society as a whole.

URALKALIs Health, Safety and Environment Policy

OJSC “Uralkali” aims to be a leader in every aspect of its operations.

Health, safety and environment are key priorities for us and serve as a framework for every action and decision we make, irrespective of the type of activity.

We fully realise that no achievement or economic benefit may justify death of people or damage to human health and the environment of our planet. Each and every employee of OJSC Uralkali has the right to be provided with safe and comfortable conditions of labour. With that, the Company expects that every employee will strictly abide by safety regulations and will demonstrate responsible attitude towards own and fellow colleagues life and health. Only through maintaining a mutually responsible behaviour in health, safety and environment will we be able to achieve a greater level of development for our business.

Our goals are very simple and clear:

  • Zero accidents;
  • Zero industrial emergencies;
  • Reduction of environmental impact.

To achieve these goals and to ensure the maximum compliance with legal and regulatory requirements, we must create a health, safety and environment management system based on established standards.

An efficient management and continuous improvement of the corporate health and safety culture will enable us to gain significant progress in preventing and/or mitigating HSE-related issues.

We strongly believe that a successful implementation of these efforts will create conditions for the sustainable development of OJSC Uralkali.

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