Chairman’s letter

Dear colleagues,

In 2023, Nornickel broadened the scope of its endeavours in key areas of sustainable development. Recognition of our commitment came in the form of top‑tier industry rankings and distinguished professional awards.

For example, Nornickel was named the first‑degree laureate of the national Responsible Business Leadership award. Experts commended the Company's 2035 renovation programme for Norilsk, securing us an award in the Contribution to Sustainable Development of Territories category. We embarked on an ambitious initiative to revitalise the urban landscape of the Arctic fundamentally, ranging from housing and community amenities to improving public spaces and overhauling the transport infrastructure. We are especially proud to see best practices of Norilsk reflected in master plans for the key cities and towns in the Arctic, which were approved by the Russian Government in 2023.

The first stage of Nornickel’s Sulphur Programme launched in autumn 2023, also won the Responsible Business Leadership national award in the Contribution to Addressing Strategic Environmental and Climate Challenges category.

The Clean Norilsk initiative, designed to clear the remnants of Soviet‑era industrial waste, was honoured as the Best Project in the Russian Arctic.

Nornickel actively engages with all stakeholders to develop sustainable solutions and approaches that are thoughtful, balanced, and optimised. For example, by running one of Russia’s largest programmes to support indigenous peoples, Nornickel is guided by the “Nothing about us without us” idea of respecting the interests and needs of indigenous minorities. Correspondingly, programme activities were conceived in consultations with local communities and following an ethnographic expert analysis.

Partnerships with government‑run and research facilities, along with a focus on innovations and digital technologies, have once again proved an effective tool in implementing the corporate sustainability agenda. By teaming up with leading research organisations, Nornickel can successfully identify both risks and opportunities related to climate change. Reliance on digital technologies helps improve the Company's occupational health and safety management system.

MMC Norilsk Nickel’s Board of Directors views sustainability as one of the top priorities on its agenda. Board composition meets the Moscow Exchange's listing rules and is aligned with the Corporate Governance Code recommended by the Bank of Russia. Nornickel's corporate governance framework is designed to take into account and balance the interests of shareholders, the Board of Directors, management, employees, and other stakeholders.

In 2023, the Board’s Sustainable Development and Climate Change Committee reviewed a number of key sustainability projects. Among other things, the Committee reviewed and approved Nornickel’s Sustainable Social Development Strategy and updated the Environmental and Climate Change Strategy to reflect recent geopolitical developments and new challenges. The Committee looked into potential scenarios for the Company’s in‑house power generation through 2050, focusing on low‑carbon technologies. It presented strategic guidelines for the Carbon Neutrality Strategy and integration of ESG metrics into the Company’s risk appetite. The Committee was also actively involved in preparing the 2022 Sustainability Report and the Company’s first standalone reports dedicated to specific areas of focus.

We take pride in asserting that today the Company has established a sustainability culture that resonates with both its position as a leading metals and mining company, as well as the interests and values of contemporary society.