Yara International ASA · OSL:YAR
Yara International ASA — Nordea lunch presentation 2020
24 slides from Yara International ASA's conference presentation, Jun 9, 2020
Slide 1: Sustainable Business
Sustainable Business Bernhard Stormyr, VP Sustainability Governance 9 June 2020
Slide 2: Introduction
Introduction 2
Slide 3: Mineral fertilizers replace nutrients removed with the harvest
Mineral fertilizers replace nutrients removed with the harvest Supply of crop residues and organic fertilizer NPK • Export of nutrients with the Organic N K harvest material, P humus S Mg • Growing demand for food Mineralisation Ca & feed Crop residues are decomposed to minerals Mineral fertilizers
Slide 4: Improving crop nutrition efficiency and sustainability is core to Yara
Improving crop nutrition efficiency and sustainability from factory to field is core to Yara and crucial for the planet Ag sector represents 25% of global GHG emissions Significant improvement potential Tonnes output per hectare Fertilizer production (2%) 11.0 Enteric Fermentation (4%) Corn: 3.7 Man
Slide 5: Fertilizer reduces the carbon footprint of farming
Fertilizer reduces the carbon footprint of farming Fertilizer - an efficient solar energy catalyst Production is a marginal part of the carbon footprint; efficient application is more important Huge positive effects of fertilizer use, since higher yields enable lower land area use Production App
Slide 6: Yara's ambition is to become climate neutral by 2050
Yara’s ambition is to become climate neutral by 2050 Use HESQ 360 reporting system Update data gathering process to be aligned with PRO energy reporting Yara’s total greenhouse gas Further improving on world Ambition to become climate emissions halved by almost leading performance by CO2 neutral b
Slide 7: Production
Production 7
Slide 8: CO2 intensity reduction target: 10% reduction by 2025
Yara is improving an already world leading performance with CO2 intensity reduction target: 10% reduction by 2025 5.4 Carbon intensity in t CO2/t N Our ambition: 10% reduction1 in CO2eq intensity by 2025 3.3 3.0 • 2025 target reflects GHG emissions already 2.7 considerably reduced from 2005 • Lower
Slide 9: The next step change requires green ammonia production
The next step change requires green ammonia production Nitrate Fossil fuel Hydrogen Ammonia Nitric acid Standard fertilizer fertilizer production CO2 Urea Green fertilizer Renewable Nitrate Hydrogen Ammonia Nitric acid production energy+ H2O fertilizer Main challenges Yara responses: • Major gap is
Slide 10: Decarbonize Yara: exploring climate neutral solutions through partnerships
Decarbonize Yara: exploring climate neutral solutions through innovative partnerships What Example – “Green ammonia” in Australia • Reduce Yara’s direct GHG Feasibility study with emissions ENGIE to produce zero- • Produce zero-carbon emission ammonia nitrogen • Solutions to reduce in-field Designin
Slide 11: Circular Economy – create new business models through recycling nutrients
Circular Economy – create new business models through recycling nutrients in food and agriculture production chains What Value drivers Example • Solutions to use • Strengthen competitive Yara-Veolia partnership recovered materials as advantage; respond to What? Develop the circular sources for N, P
Slide 12: Application
Application 12
Slide 13: Annual nitrogen application is required in order to maintain yields
Annual nitrogen application is required in order to maintain yields Annual N-application is critical for yield Stable global nitrogen consumption pattern Grain yield from Nitrogen fertilizer Million tonnes nitrogen Ton per hectar 120 -43% 9.6 100 80 5.5 60 40 1.8 20 0 With N Fertilizer 1 year withou
Slide 14: The right nitrogen fertilizer rate is key to avoid nitrate leaching
The right nitrogen fertilizer rate is key to avoid nitrate leaching Grain yield (t/ha) Nitrate in soil after harvest (kg N/ha) • Leaching of nitrate into groundwater 10 100 affects water quality and contributes to eutrophication1 9 80 • The main driver for nitrate leaching is 8 60 over-application o
Slide 15: Knowledge and research underpin our advice and services
Knowledge and research underpin our advice and services provided to customers 15
Slide 16: Yara drives sustainable agriculture with the right products and precision farming tools
Yara drives sustainable agriculture with the right nitrogen fertilizer products and precision farming tools Premium products give higher output per hectare and lower in- Precision farming tools field emissions (coffee field trial, Brazil 2018/2019) promote sustainable farming Bean yield (t/ha) Ammon
Slide 17: Precision Farming requires tools as enablers
Precision Farming requires tools as enablers – Yara provides innovative solutions On-farm analysis Low AtFarm Lab Analysis Level of mainstreaming Crop Soil N-Sensor Planning tools ImageIT N-Tester MegaLab High Yara-Plan Offered Solutions 17
Slide 18: Results using Yara solutions: Wheat example from France
Results using Yara solutions: Wheat example from France 21,000 French farmers used the N-Tester to measure the nitrogen status of 710,000 hectares of wheat €19 million additional income 310,000 additional people fed 71,000 tonnes CO2 reduction
Slide 19: Results using Yara solutions: Coffee example from Vietnam
Results using Yara solutions: Coffee example from Vietnam • Improved ripening • Farmer income: ca. + 500 USD / ha • Reduced losses • Yields: +10% • GHG emissions: -15–20% • Bigger berries
Slide 20: Yara and IBM partner to transform the future of farming
Industry-shaping partnerships Yara and IBM partner to transform the future of farming • Combining world-leading capabilities • Building the globally leading Digital Farming data and services platform • Joint innovation teams across Digital Hubs • Bold ambition: reaching 100 million ha incl. millions
Slide 21: Yara Food Chain initiatives address key global challenges
Yara Food Chain initiatives address key global challenges The environmental footprint of agriculture is Yara’s food chain initiatives create connections at the top of the political agenda from production to end consumers • Yara is strengthening its Food Chain Collaboration activities to grow both va
Slide 22: Partnering to promote carbon footprint measurement
Partnering to promote carbon footprint measurement + 10 more Production: Use: Catalyst technology halves Best practice application the emissions
Slide 23: Closing remarks
Closing remarks 23
Slide 24: Sustainability is integrated in our strategy
Sustainability is integrated in our strategy • Yara’s strategy is to become the Crop Nutrition Company for the Future, delivering sustainable crop nutrition solutions to farmers and industry, while delivering superior return on capital • Crop nutrition solutions include products, knowledge and servi