The Balance Bet w een Climat e Change E f orts and Competiti v eness The sect or s adaptation t o climat e chang e A changing climate will affect the mineral and metals sec tor in various wa ys both dir ectly and indir ectly Extr eme weather ev ents and longer term shifts in climate patterns ha v e the potential to damage fix ed assets and disrupt sup ply chains T ypical impacts ar e Flooding dr ought incr eased storm intensity gr eater variability of water supply and an incr eas ing number of hightemperatur e da ys These ha v e led to r eduction in or shut down of pr oduction incr eases in cap ital expenditur e health and safety impacts and made vul nerable c ommunities mor e pr one to social unr est The industry has alwa ys r esponded to the challenges of working in varied ph ysical en vir onments and has dev el oped r obust engineering appr oaches to addr ess those These internal pr oc esses ar e often r eviewed r egularly so that they r emain fit for purpose and periodic updates ma y pr o vide opportune moments to c onsider gr eater in tegration of climate change c onsiderations E ur omines members ar e c ommitted to substantially c on tributing to climate change adaptation E ur opean mining c ompanies not only c ontinuously assess climate risks but also adapt their operations to expected climate changes and pr o vide materials that will assist other industries and society as a whole to adapt to climate change K ey ar eas of c onc ern for the mineral raw material sector ar e water man agement the performanc e of f acilities with long lifespans wher e the design criteria ma y include c ertain climater elat ed assumptions e g rainf all and how climate change ma y impact closur e and post closur e Man y mineral c ompanies alr eady ha v e appr oaches tools data r esour c es and peo ple in plac e to identify and manage risks and opportunities K ey elements ar e 1 Reliability and a vailability of meaningful climate data T o addr ess this c ompanies ar e modelling their r esil ienc e to incr eased fr equency and sev erity of man y extr eme ev ents using various sour c es of data 2 Adequate monitoring systems and r ec ordk eeping C ompanies ar e systematically c ollecting and ana lysing information on how weather and climate ar e impacting operations and performanc e 3 T ranslating changes in climate parameters into specific asset and operational impacts and financial c onsequenc es C ompanies ar e c onducting detailed sitespecific analyses to assess flood depth extent and duration at a f acility and to estimate damage and disruption to the f acility and the financial impacts including downtime loss of r ev enue and r epair upgrade c osts inc orporating climate r esilienc e 4 The inclusion of climate change adaptation c onsider ations in asset design A mineral c ompan y s en vir onmental performanc e and social lic ense to operate ma y be affected as climate change begins to impact host c ommunities and local en vir onments C ompanies ther efor e also in v olv e external stak eholders particularly host c ommunities in discus sions about how to jointly build r esilienc e and manage climate risk Table of Contents page 26 of 35 S ustainabi li ty and Competi ti veness