Our mission is to supply the world with non‑ferrous metals, efficiently and safely using natural resources and capital to realise people’s aspirations for development and technological progress.
Our values
People are our key value. Throughout its operations spanning more than eight decades in the Far North, Nornickel has built distinctive professional expertise that helps effectively navigate challenges of unprecedented scale and intricacy, while keeping best‑in‑class product quality.
Reliability
Ability to address any challenges to ensure success for the business
Efficiency
Delivering against our targets in due time and at minimum cost
Professional excellence
Ability to effectively deliver a strong performance
Responsibility
Desire to honour our commitments and take on responsibility for our decisions
Growth
Effective production ramp‑up and upgrade, leverage of groundbreaking technologies and development of our people
Teamwork
Commitment and ability of our employees to achieve goals and objectives through teamwork
GRI 2‑6
Nornickel’s strategic priorities:
1
upgrading existing facilities and building new facilities to ramp up production of key metals;
2
improving environmental situation in the regions of operation;
3
maintaining financial stability
The Company complements and expands its strategic priorities in sustainable development in the scope of the Environmental and Climate Change Strategy through 2031 and the Socially Sustainable Development Strategy through 2030.
Nornickel shapes and implements its development strategy in line with global trends, primarily the transition to a low‑carbon economy, and the needs of its key stakeholders – employees, shareholders, investors, and consumers.
The basket of metals unlocks unique opportunities for us to join the leading pack in manufacturing materials required for the energy transition.
In the long run, our rapid growth will be driven by increasing demand for the metals we produce, needed to improve the energy efficiency of transportation and develop renewable energy. A report by the Intergovernmental Panel on Climate Change (IPCC) shows that achievement of the Paris Agreement goal will require a substantial reduction in GHG emissions by 2050. Energy, transport, and construction were recognised as industries with the strongest potential to reduce emissions. The International Energy Agency (IEA) identified the following metals and minerals Source: International Energy Agency. as critical for the global energy transition.
Industry/metal
Copper
Nickel
Cobalt
PGM
Lithium
REE
Chromium
Zinc
Aluminium
Solar power
Wind power
Hydropower
Concentrated solar power systems
Bioenergy
Geothermal power
Nuclear power
Power transmission lines
Electric vehicles and batteries
Hydrogen energy
Relative importance of metals and minerals for low‑carbon energy technologies:
high importance
medium importance
low importance
PGM – Platinum group metals
REE ‒ rare earth elements
Nornickel's Production and Technical Development Strategy focused on its resource base development aims to maximise operating rates and ramp up production capacity of the existing mines. This includes scaling up operations by developing the South Cluster For more details, please see MMC Norilsk Nickel’s Annual Report for 2023. .
Our mid‑term plans include the upgrade of the energy and logistics infrastructure enabling adaptation to physical risks of climate change and better reliability of our production assets in the long run.
Power infrastructure modernisation through 2030
Programme objectives:
1. Modernise generating capacities and the grid infrastructure to replace the retiring equipment and grids;
2. Reduce physical risks and enhance long‑term reliability;
3. Provide a reliable and uninterrupted electricity supply to households and industrial consumers;
4. Ensure compliance with industrial safety requirements, standards, regulations, and specifications for the operation of infrastructure facilities, such as power grids, heat, and water supply;
5. Prevent emergency shutdowns, which consequently lead to production halts.
Contribution to energy efficiency:
Focus on enhancing performance of new CHP power units and an overall reduction of energy losses along the energy generation and transmission chain
Gas and gas condensate upstream and transportation
Modernisation of the gas transmission and gas distribution networks
Drilling and fit‑out of five new gas wells at the Pelyatkinskoye gas condensate field
Power lines
Modernisation of power grids
Water and heat supply networks
Modernisation of water and heat supply networks
Combined heat and power plants
Upgrade of two power units at CHP‑2 in Norilsk
New, more efficient, and fuel‑saving equipment to minimise energy losses
Hydropower plants
Increasing the share of electricity supplied by hydropower plants
Sulphur Programme
To reduce our environmental footprint, we carry on with our Sulphur Programme. After we finished its stage on the Kola Peninsula in 2021, sulphur dioxide emissions went down 90% in 2022 compared to the 2015 baseline. In October 2023, Nadezhda Plant (Norilsk Division) initiated Nornickel's leading environmental initiative – Sulphur Programme 2.0. This marked the commencement of comprehensive trials for the inaugural processing line, which successfully resulted in the recovery of the first batches of sulphur dioxide. The plant is on track to reach its full design capacity by the end of 2024.
Sulphur Programme roadmap
Sulphur Programme 2.0: Reduction of SO2 emissions
2020
Optimisation of smelting operations to cut SO2 emissions in the Russia‑Norway border zone
Shutdown of the obsolete smelting shop in Nickel in December 2020
2x
50% Vs the baseline year (2015). Reduction of SO2 emissions in Nickel and Zapolyarny
2021
Full shutdown of the obsolete copper line at the refining shop on the Kola Peninsula
Metallurgical Shop shut down in March 2021
7x
90% Vs the baseline year (2015). reduction of total SO2 emissions at Kola Division sites
2023-2024
Implementation
Launch of Sulphur Programme 2.0 at Nadezhda Metallurgical Plant to recover furnace gases
~2x
45% Vs the baseline year (2015). reduction of SO2 emissions at Norilsk Division sites after the ramp‑up to design capacity
Redesign, project updates
Launch of Sulphur Programme 2.0 at Copper Plant to cut pollutant emissions substantially
~10x
up to 90% Vs the baseline year (2015). reduction of SO2 emissions at Norilsk Division sites after the ramp‑up to design capacity
Breakdown of the Company’s investment programme for 2023–2024 USD bn
Investments in key strategic projects for 2024 are estimated at USD 3.0–3.2 bn. The projections are subject to a number of factors, including FX fluctuations, supplier availability, and development of alternative design solutions (where necessary). Comprehensive review of design and import substitution solutions is currently underway. Once it is completed, we will further update our investment programme.
Environmental and Climate Change Strategy through 2031
Nornickel has the Environmental and Climate Change Strategy through 2031 approved by the Company's Board of Directors in 2021. The document covers six main areas of the environmental footprint – climate change, air, water, tailings and waste, land and biodiversity – as well as organisational and methodological aspects of developing corporate sustainability management practices. The strategy is designed to meet stakeholders’ expectations, engage them and communicate with them on the way.
Key areas and targets of the Environmental and Climate Change Strategy through 2031
Strategic area
Target indicators
2023 results
Climate change
1. Maintaining absolute GHG emissions from operations (Scope 1 and 2) at around 10 mt of CO2 equivalent through 2030 while growing production
2. Keeping Scope 1 and 2 GHG emissions per tonne of Ni equivalent in the bottom quartile of the GHG intensity curve for the global metals and mining industry
In 2023, absolute Scope 1 and 2 GHG emissions totalled 6.4 mt of CO2 equivalent, while the provision for Sulphur Programme GHG emissions totalled 2.2 mt of CO2 equivalent Excluding GHG emissions from heat and electricity supply to the public.
Air
3. Reducing SO2 emissions by 90% vs 2015
Thanks to the Sulphur Programme, Kola Division’s SO2 emissions declined by 90% vs 2015.
Nadezhda Plant (Norilsk Division) initiated comprehensive trials for the inaugural processing line, which successfully resulted in the recovery of the first batches of sulphur dioxide. The plant is on track to reach its full design capacity by the end of 2024.
Water
4. No interregional or federal emergency situations
In 2023, there were no interregional or federal emergencies with environmental consequences
5. Reducing pollutant discharges by 25% vs 2019 and achieving the maximum permissible emissions rate of 159 kt by 2031
The volume of pollutants discharged in 2023 went down 24.6% y‑o‑y
6. Keeping fresh water withdrawal (excluding mining water) for production needs at 120 mcm (the level of 2020) Excluding the Energy Division.
In 2023, fresh water intake (excluding mining water) for production needs totalled 116 mcm Excluding the Energy Division.
7. Keeping water recycling and reuse rates above 80%
Water recycling and reuse rate was 82.7%
8. Eliminating the CHP‑3 fuel spill consequences: a clean‑up to normalise water indicators by the end of 2022
The CHP‑3 incident clean‑up was completed
Tailings and waste
9. Disposing of 100% of tailings generated by new projects at environmentally safe facilities featuring best‑in‑class technologies, starting 2025
Over the last five years, there have been no environmental incidents at the Company’s hydraulic structures
10. Eliminating (collection and processing) 100% of accumulated waste
Nornickel helped collect 1 mt of waste and over 80 kt of scrap metal, dismantle 347 facilities, and clean more than 4.1 million m2 of contaminated areas in the Norilsk Industrial District.
The biological phase of disturbed land rehabilitation was carried out on an area of 78.8 ha. The project will continue until 2030
11. Increasing/maintaining the share of non‑mineral waste (other than gypsum) recycling
12. Increasing/maintaining the share of mineral waste recycling above 30%
13. Increasing the share of gypsum waste recycling
Efforts are underway to increase/maintain the share of non‑mineral waste recycling
Land
14. Rehabilitation of 117 ha/year of disturbed land and land clean‑up in towns and cities near production sites
Some 131 ha of disturbed land were rehabilitated, including landscaping of 5 ha, reforestation of 112 ha, and reclamation of 14 ha
Biodiversity
15. Reducing a negative impact on biodiversity, including forest conservation near production sites
The second season of the Big Scientific Expedition is over. The team discovered two new species and introduced two innovative scientific developments into the protocol of assessing the state of ecosystems
Stakeholder expectations, engagement and communications
The roadmap for compliance with international standards is in progress
18. Compliance with IRMA requirements
Throughout 2023, Nornickel updated its Strategy to accommodate a new external landscape, lessons learned, more stringent Russian environmental laws, and the heightened standards called for by our customers. The updated Strategy is split into obligatory (meeting statutory requirements, seven target areas) and voluntary (incorporating additional measures) sections. It encompasses over 300 steps in total. The Company's Board of Directors approved the new document in February 2024.
Sustainable Social Development Strategy through 2030
In 2023, Nornickel's Board of Directors approved the Sustainable Social Development Strategy through 2030 (the “Strategy”). The Strategy centres around four strategic priorities: health and safety, talent management and corporate culture, development of technologies and products that help foster technological and social progress, and involvement in the lives of local communities and society at large. The Strategy is pivotal to meeting the UN SDGs.
Major businesses are intrinsically connected to the advancement of regions and prosperity of society at large. Nornickel is committed to its long‑term strategic priorities. By focusing on each of them, we reaffirm our sustainability and honour our obligations to all stakeholders.
Employee health and safety is the No. 1 priority in Nornickel’s Sustainable Social Development Strategy through 2030. It goes beyond industrial safety, as we strive to provide our people with conducive working conditions and opportunities for professional growth and development aligned with the needs of the economy of the future.
Larisa Zelkova,
Senior Vice President – HR,Social Policy and Public Relations
Developing the system of financial and non‑financial incentives to bolster adherence to safety rules
Implementing a programme to overhaul safety culture at facilities
Rolling out the I Understand initiative to every unit to embrace webinars, newsletters, and posters spotlighting strategies to counteract stress and burnout
Aligning working conditions with the needs of our staff
Backing initiatives aimed at improving living standards
Consistently mitigating safety risks to an acceptable level
Assessing contractors' conformity with safety rules and deploying a rating system to incentivise exemplary contractor performance
Advancing a system for production monitoring and ensuring compliance with industrial safety requirements
Building capabilities and integrating fire risk management tools
Perfecting the monitoring system for buildings and structures and ensuring timely, quality maintenance and repairs
Talent management and corporate culture
Attracting young talent and experienced professionals, including to Russia’s Far North
A Top‑3 employer in Russia's mining and metallurgical sector according to leading rankings
Designing and refining the employer value proposition alongside communication channels and formats for engaging with job seekers
Boosting visibility on job search platforms and tapping into new target recruitment regions
Conducting targeted initiatives to recruit and bolster the involvement of young talent
Facilitating employee retention, professional growth and development
Introducing a competency assessment system for professional, managerial, and corporate skills, followed by tailored training suggestions
Running projects to foster a continuous learning culture
Rolling out a programme of appointments from the internal talent pool to all Company facilities
Deploying the In Good Company corporate programme for young professionals
Improving onboarding to welcome new employees and enhancing engagement of seasoned professionals
Enhancing and rolling out the comprehensive onboarding framework for roles at all tiers
Putting to action insights gleaned from the annual employee engagement survey
Development of technologies and products that help foster technological and social progress
Pioneering technologies and products that benefit society at large
Establishing KPIs congruent with the development and execution of these initiatives
Executing projects and initiatives to identify and design technology and products that address social needs via the Company's products, such as water purification systems using palladium, batteries for green transport, hydrogen energy solutions, etc.
Ensuring supply chain transparency in terms of social criteria
Supply chain transparency
Consistently exercising supply chain transparency measures, including assessments of corruption risks, publications of due diligence reports and ESG audit results, procurement disclosures, and adherence to industry association standards
