Norsk Hydro Asa · OSL:NHY
Norsk Hydro Asa — ESG Presentation (November 2020)
18 slides from Norsk Hydro Asa's sustainability presentation, Nov 11, 2020
Slide 1: Hydro - We are aluminium
November 11 2020 :
Slide 2: Hydro is a global aluminium company
Hydro is a global aluminium company …with a Norwegian heritage 40 35 000 Countries Employees Present in 140 locations and communities 30,000 Customers Hydro is a fully integrated aluminium company with presence along the entire value chain Raw Primary Energy Products Recycling materials Metal 2
Slide 3: Environmental pioneer and progress highlights
Pioneer: Cut electrolysis Karmøy technology Primary production: 3 decades of emissions by pilot 15% more 70% based on environmental 70% energy renewable reporting since 1990 efficient power
Slide 4: 2030 Ambition: Cut CO2 emissions by 30%
2030 Ambition: Cut CO2 emissions by 30% -36% -22% 4
Slide 5: Continued progress requires a technology shift
But continued progress requires a technology shift Investing in R&D for low- or zero-carbon technology toward 2050 On the path to ZERO Exploring different paths toward 2050: • Carbon-free process • Carbon Capture and Storage (CCS) Carbon Capture and Utilization (CCU) • Biomass anodes 5
Slide 6: Brazil-Norway Biodiversity Research Consortium and new targets
Brazil-Norway Biodiversity Research Consortium New - 1 to 1 rehabilitation of available key mined areas (ongoing) targets towards - Utilise 10% of bauxite residue 2030 output (2030) - Recycle 65% of spent pot lining (2030) - 50% reduction in fossil fuel related, non- GHG emissions (2030 on 2017 base
Slide 7: Closer to our local communities – building trust
Closer to our local communities – building trust We succeed when the communites around us succeed Social responsibility Human rights Partnership with Social projects impact UNICEF signed 10 programs and projects assessment Work with education and skills targeting education and 2018 2030 development
Slide 8: Fuel source most important differentiator for aluminium
Fuel source most important differentiator for aluminium CO2e emissions from primary aluminium full value chain Tonnes CO2e/tonne aluminium, 2020 18 16,5 16 14 12 10 10 8 6 ~4 4 0,1 2 0 Global Average Hydro’s smelter based on renewable power Bauxite Electrolysis process emissions Other Alumina Power
Slide 9: Growing Hydro's renewable business: becoming a wind park operator in Norway
Growing Hydro’s renewable business: Becoming a wind park operator in Norway Sourcing platform for fully-owned smelters, Norway1) TWh 20 18 16 14 12 10 8 6 4 2 0 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 Current captive Statkraf
Slide 10: Aluminium CO2 footprint by origin
Aluminium CO2 footprint by origin 100% Post Circal 75R REDUXA Primary Primary Primary Consumer 75% Post 4.0 extrusion Global produced with Consumer ingots average* coal power kg CO2e Europe 15.0 – 19.0 /kg Al 20 4.0 15 10 16.5 15.0 5 5.7 4.0 0.5 2.3 0 *) Including transportation and ancillary produc
Slide 11: Greener products: From REDUXA 4.0 to 2.0
Greener products: From REDUXA 4.0 to 2.0 New energy mix in Alunorte important enabler to reach 2.0 From REDUXA 4.0 Towards REDUXA 2.0 by 2030 Primary aluminium Primary aluminium <0.6 3.4 – 4.0 kg CO2e/kg AI 0.1 Other 1.6 Casting Smelting 1.4 0.1 -0.3 Casting 0.1 Smelting 2.0 kg CO2e/kg AI 0.2 PCS 1.
Slide 12: Growing demand for Hydro's greener facade solutions
Growing demand for Hydro’s greener facade solutions 60 Hydro CIRCAL-project for 250 MNOK in 16 countries during 1 year Sales volume Hydro CIRCAL 45000 40000 35000 30000 25000 Økern Portal, Norway 20000 15000 10000 5000 0 2019 2020 2021 Sales volume tonnes Ticon, Norway HELL energy drinks 12
Slide 13: A car made of 100% recycled material would have ~85% reduced CO2 footprint
A car made of 100% recycled material would have ~85% reduced CO2 footprint CO2 breakdown (virgin material) CO2 breakdown (recycled material) (XC60 ICE example) kg (XC60 ICE example) kg Ferrous metals 3,439 Ferrous metals 573 Polymer 400 83% Polymer 67 Aluminium 2,926 Aluminium 146 Elastomer 421 Elas
Slide 14: An opportunity for Automotive OEMs to reduce CO2 footprint of producing a car
An opportunity for the Automotive OEMs to drastically reduce the CO2 footprint of producing a car The Volvo case – total CO2 emissions from producing a car would be 30% lower with 75R -18% -23% -30% 7 971 49% 6 561 6 109 5 657 VolvoAverage EI Hydro REDUXA 4.0 CIRCAL 75R Global European Average Alumi
Slide 15: Sustainable Finance supporting EU Green Deal
: Sustainable Finance supporting EU Green Deal EU Taxonomy initiaitve included as part of sustainable finance workstream Taxonomy regulation: an activity is substantially contributing to climate change mitigation if it • Has greenhouse gas emission levels that correspond to the best performance in t
Slide 16: Changing regulatory environment beyond EU taxonomy
In addition to EU taxonomy, we are operating within a changing regulatory environment …which have implications for Hydro and Three key carbon leakage measures… aluminium • Low-carbon competitiveness depends on EU Emissions Trading free allowances to support investments in System (ETS) green transiti
Slide 17: 2030 ambition: roadmap to cut CO2e emissions by 30%
2030 ambition: roadmap to cut CO2e emissions by 30% Innovation and technology development key enablers toward CO2-free processes Ambition to reduce own Greener energy mix at Alunorte: R&D for low- or zero-carbon emissions by 10% in 2025, Key enabler for new climate technology towards 2050 30% by 203
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