ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT 2021

Year: 2021
Published: 2021-08-27
Status: Processed

Extracted ESG KPIs

KPIs are organized by ESG aspects.

The types of emissions and respective emissions data.

Indicator Unit 2016 2018 2020 2021 Report Pages
Heavy metals content in the air measured at the mine office (31 different heavy metals, Khushuut mine) in compliance with MNS 5885:2008 20
Khushuut NO2 content, MNS 4585: 2016 permissible level µg/m³ 200 15, 16
Khushuut PM10 content, average of 24 hours, point: Khushuut river, Dec.22 µg/m³ 40 19
Khushuut PM10 content, average of 24 hours, point: Khushuut river, Dec.23 µg/m³ 60 19
Khushuut PM10 content, average of 24 hours, point: Khushuut river, Dec.24 µg/m³ 100 19
Khushuut PM10 content, average of 24 hours, point: Khushuut river, Dec.25 µg/m³ 120 19
Khushuut PM10 content, average of 24 hours, point: Khushuut river, Dec.26 µg/m³ 90 19
Khushuut PM10 content, average of 24 hours, point: Khushuut river, Dec.27 µg/m³ 70 19
Khushuut PM10 content, average of 24 hours, point: Mine office, Dec.22 µg/m³ 60 19
Khushuut PM10 content, average of 24 hours, point: Mine office, Dec.23 µg/m³ 80 19
Khushuut PM10 content, average of 24 hours, point: Mine office, Dec.24 µg/m³ 120 19
Khushuut PM10 content, average of 24 hours, point: Mine office, Dec.25 µg/m³ 150 19
Khushuut PM10 content, average of 24 hours, point: Mine office, Dec.26 µg/m³ 110 19
Khushuut PM10 content, average of 24 hours, point: Mine office, Dec.27 µg/m³ 90 19
Khushuut PM10 content, average of 24 hours, point: Petrol station, Dec.22 µg/m³ 50 19
Khushuut PM10 content, average of 24 hours, point: Petrol station, Dec.23 µg/m³ 70 19
Khushuut PM10 content, average of 24 hours, point: Petrol station, Dec.24 µg/m³ 110 19
Khushuut PM10 content, average of 24 hours, point: Petrol station, Dec.25 µg/m³ 130 19
Khushuut PM10 content, average of 24 hours, point: Petrol station, Dec.26 µg/m³ 100 19
Khushuut PM10 content, average of 24 hours, point: Petrol station, Dec.27 µg/m³ 80 19
Khushuut PM10 content, average of 24 hours, point: Settlement, Dec.22 µg/m³ 40 19
Khushuut PM10 content, average of 24 hours, point: Settlement, Dec.23 µg/m³ 60 19
Khushuut PM10 content, average of 24 hours, point: Settlement, Dec.24 µg/m³ 100 19
Khushuut PM10 content, average of 24 hours, point: Settlement, Dec.25 µg/m³ 120 19
Khushuut PM10 content, average of 24 hours, point: Settlement, Dec.26 µg/m³ 90 19
Khushuut PM10 content, average of 24 hours, point: Settlement, Dec.27 µg/m³ 70 19
Khushuut PM10 content, average of 24 hours, point: Tahilt spring, Dec.22 µg/m³ 30 19
Khushuut PM10 content, average of 24 hours, point: Tahilt spring, Dec.23 µg/m³ 50 19
Khushuut PM10 content, average of 24 hours, point: Tahilt spring, Dec.24 µg/m³ 90 19
Khushuut PM10 content, average of 24 hours, point: Tahilt spring, Dec.25 µg/m³ 110 19
Khushuut PM10 content, average of 24 hours, point: Tahilt spring, Dec.26 µg/m³ 80 19
Khushuut PM10 content, average of 24 hours, point: Tahilt spring, Dec.27 µg/m³ 60 19
MNS 4585: 2016 permissible level for PM10 µg/m³ 100 19
Number of air sampling locations at Khushuut mine site locations 5 14
Number of different non-poisonous chemicals used by the lab with permits chemicals 18 43
Number of noise measurement points at Khushuut mine site points 82 21
Permissible noise level at Khushuut (MNS 4585: 2016) decibels 80 21
Reduction in dust concentration by water spraying at DPP percent 40 19

Total hazardous waste produced (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Indicator Unit 2016-2017 2017-2018 2018 2018-2019 2019 2019-2020 2020 2020-2021 Report Pages
Hazardous waste including medical waste kg 76 75.49 43.13 27
Hazardous waste intensity kg/t 0.000044 0.000036 0.000029 27
Hazardous waste intensity (t/t) t/t 0.21t/t 0.15t/t 0.13t/t 0.0000037t/t 0.0000028t/t 32
Total hazardous wastes (tonnes) tonnes 88460 99380 98320 4.5 2.5 32

Total non-hazardous waste produced (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Indicator Unit 2018 2019 2019-2020 2020 2020-2021 Report Pages
Non-hazardous waste including solid, residential, sewage t 2056.2 1993.4 1346.3 27
Non-hazardous waste intensity t/t 0.0012 0.0009 0.0009 27
Non-hazardous waste intensity (t/t) t/t 0.28t/t 0.29t/t 32
Total non-hazardous waste (tonnes) tonnes 338757 264795 32

Direct and/or indirect energy consumption by type (e.g. electricity, gas or oil) in total (kWh in '000s) and intensity (e.g. per unit of production volume, per facility).

Indicator Unit 2016-2017 2017 2017-2018 2018 2018-2019 2019 2019-2020 2020 2020-2021 Report Pages
Clean coal production (tonnes) tonnes 380932.68 547383.84 648158 932509.51 723000 32
Diesel electricity intensity (Khuushuut) kWh/t 1.06 0.785 26
Diesel used for electricity production (Khuushuut) million liters 1.53 1.76 2.24 1.13 26
Electricity consumption (kWh) kWh 4279430 4765320 5482050 8759040 7220979 32
Electricity consumption intensity (kWh/t) kWh/t 10.07kWh/t 7.37kWh/t 7.13kWh/t 7.26kWh/t 7.98kWh/t 32
Electricity purchased from the provincial grid (Khuushuut) kWh 364464.8 1379109 26
Free and discounted coal provided to Khushuut village heating plant tonnes 93 23 52
Grid electricity intensity (Khuushuut) kWh/t 0.17 0.95 26
Raw coal for washing (tonnes) tonnes 425098.08 646546.18 768958.1 1206390.98 905300 32
Tank capacity for water spraying at DPP tonnes 16 19
Tonnes of coal distributed free of charge tonnes 93 537 342 53
Tonnes of discounted coal sold tonnes 18062.3 55623 51112 53
Total electricity consumption (Khuushuut) kWh 3323544 3719314 3985400 4246561 26
Total electricity intensity (Khuushuut) kWh/t 2.37 2.14 1.89 2.95 26

Water consumption in total and intensity (e.g. per unit of production volume, per facility).

Indicator Unit 2016 2016-2017 2017 2017-2018 2018 2018-2019 2019 2019-2020 2020 2020-2021 Report Pages
Acceptance of MoEnCo’s Comprehensive Water Use Report by Government Accepted with good level of Government approval 23
Amount of drainage water used for industrial purpose (m³) 15976 7920 23726 20882 19507 24
Amount of fresh water used for residential purpose (m³) 13846 13980 19255 14637 12221 24
Amount of underground water used for industrial purpose (m³) 28878 45162 59055 74594 44965 24
Drainage water fee paid (million MNT) million MNT 14 31.77 13.3 12.3 24
Drainage water use intensity (m³/t) m³/t 0.0056 0.014 0.01 0.013 24
Technical water fee paid (million MNT) million MNT 4.47 24.97 15.5 11.3 24
Underground water use intensity (m³/t) m³/t 0.032 0.034 0.035 0.031 24
Water consumption (m³) 41408 47208 76010 130810 113987 32
Water consumption intensity (m³/t) m³/t 0.10m³/t 0.07m³/t 0.10m³/t 0.11m³/t 0.13m³/t 32

Description of whether there is any issue in sourcing water that is fit for purpose, water efficiency target(s) set and steps taken to achieve them.

Indicator Unit 2018 2020 Report Pages
Capacity of automated sprinkler irrigation system installed on topsoil pile tonne water tank 10 29
Number of water sprinkler machines at DPP 3 19

Description of the significant impacts of activities on the environment and natural resources and the actions taken to manage them.

Indicator Unit 2011 2014 2015 2016 2016-2019 2017 2017–2019 2018 2019 2020 2021 Report Pages
Area in Darvi soum for protecting Bayangol natural spring 2000 31
Area of rare shrub nurturing along river banks in Uyench soum 5000 31
Areas where beaver huts are located as part of beaver protection efforts hectares 25 31
Environmental works completed Million MNT 350 261 466 1425 434 385 10
Fodder purchased for wild animals (Darvi soum environmental officers) tonnes 2 52
Government assessment of MoEnCo's annual environmental management % 84 88 95 93 11
Hay purchased for wild animals (Darvi soum environmental officers) bales 100 52
Hectares of land rehabilitated and commissioned under the Corresponding Protection Program hectares 470 380 50 30
Height of environmental protection fence around DPP and customs control area meters 12–15 19
Length of Khushuut road commissioned km 311 48
Length of environmental protection fence around DPP and customs control area meters 2292 19
Length of road maintained on Khushuut road meters 45000 48
Length of water misting system at Khushuut mine meters 20–30 19
Number of heavy duty trucks and other machineries belonging to MoEnCo 600 22
Number of native trees planted on slopes of Khushuut hills trees 7000 29
Number of seedlings planted through land re-cultivation seedlings 1000 29
Radius of area cleaned during All Staff Cleaning Weekend at Khushuut mine km 3 44
Rehabilitated land handed over to Tsetseg soum government hectares 15 52
Total number of soil sampling points monitored quarterly 21 28
Width of water misting system at Khushuut mine meters 35–40 19

Total workforce by gender, employment type (for example, full- or part-time), age group and geographical region.

Indicator Unit 2016 2017 2018 2019 2020 2021 Report Pages
Chinese (HKSAR) employees (China) percentage 0.3% 35
Chinese (HKSAR) employees (Hong Kong) percentage 100% 35
Chinese (HKSAR) employees (Mongolia) Nil 35
Chinese (PRC) employees (China) percentage 99.7% 35
Chinese (PRC) employees (Hong Kong) Nil 35
Chinese (PRC) employees (Mongolia) percentage 8.6% 35
Employment provided by Khushuut project (annual employment) workers 1700 50
Employment provided by Khushuut project (average workers per year, duplicated count) workers 4700 50
Female employees (China) percentage 20.8% 35
Female employees (Hong Kong) percentage 60.6% 35
Female employees (Mongolia) percentage 20.2% 35
Full-time employees (China) percentage 98.0% 35
Full-time employees (Hong Kong) percentage 100% 35
Full-time employees (Mongolia) percentage 89.2% 35
Headcount (China) 288 35
Headcount (Hong Kong) 33 35
Headcount (Mongolia) 347 35
Male employees (China) percentage 79.2% 35
Male employees (Hong Kong) percentage 39.4% 35
Male employees (Mongolia) percentage 79.8% 35
Men and women ratio at the mine site (Khushuut operation) 83/17 36
Men and women ratio at top management position (Khushuut operation) 50/50 36
Mongolian employees (China) Nil 35
Mongolian employees (Hong Kong) Nil 35
Mongolian employees (Mongolia) percentage 91.4% 35
Number of auto mechanical engineers in vehicles control team at Khushuut 4 22
Number of full-time occupational safety and health management (OSHM) professionals at Khushuut mine site persons 16 38
Number of professionals working full time at the Khuhuut mine site chemical lab persons 42 43
Number of repairmen in vehicles control team at Khushuut 17 22
Other nationality employees (China) Nil 35
Other nationality employees (Hong Kong) Nil 35
Other nationality employees (Mongolia) Nil 35
Part-time employees (China) percentage 2.0% 35
Part-time employees (Hong Kong) Nil 35
Part-time employees (Mongolia) percentage 10.8% 35
Percentage of local people hired (Khushuut operation) 76.9% 36
Percentage of people working at the mine site (Khushuut operation) 92.2% 36
Percentage of total workforce from Khovd province percent 77 49
Total MoEnCo's man-hours worked at Khushuut coal mine hours 757556 952348 2671690 3998036 2760200 39
Total number of people working at Khushuut operations (including part-time, temporary and contractor’s employees) 1727 36

Number and rate of work-related fatalities occurred in each of the past three years including the reporting year.

Indicator Unit 2016 2018 2019 Report Pages
Injury frequency rate at Khushuut coal mine 0.67 4.54 1.66 39
Total recordable injury frequency rate at Khushuut coal mine 6.69 7 5.01 39

Lost days due to work injury.

Indicator Unit 2016 2016-2019 2018 2019 2020 Report Pages
Calls to accidents on Khushuut road 18 3 3 40
No. of lost time (hour) at Khushuut coal mine hour 1 1 1 39

Description of occupational health and safety measures adopted, and how they are implemented and monitored.

Indicator Unit 2017 2018 2019 2020 2021 Report Pages
Mandatory quarantine period for incoming shift workers at Khushuut camp days 7-14 41
No. of calls to incidents at the mine 5 11 8 10 39
No. of calls to incidents on the Khushuut road or in the community 9 12 14 12 39
Number of assessment groups received for COVID-19 prevention measures groups 7 44
Number of attendees (internal safety training) 4893 4665 7495 4704 37
Number of fixed water misting systems at Khushuut mine 4 19
Number of internal safety training topics covered 31 30 32 31 37
Number of supervisors for coal transport truck inspection at Khushuut road and Bulgan border crossing 15 22
Number of times COVID-19 prevention actions were observed, inspected and assessed by officials at the camp and Uyench CBY times 7 42
Total number of workplace safety inspections by OSHM safety team at Khushuut mine site inspections 409 38

The average training hours completed per employee by gender and employee category.

Indicator Unit 2017 2018 2019 2020 Report Pages
Average training hours (including MoEnCo’s headquarter office staff) hours 11.2 13.97 12.87 13.4 37
Average training hours completed per Khushuut mine site employee hours 14.8 15.3 15.35 14.7 37
Number of general training sessions organized by medical team (excluding COVID-19 related training) sessions 4 41
Total hours of training for disaster readiness offered hours 195 109 200 116 39
Total hours of training offered hours 5197 6457 9584 5075 37

Number of suppliers by geographical region.

Indicator Unit 2016 2017 2018 2019 2020 2021 Report Pages
Amount of locally purchased goods and services (including coal transportation) MNT billion 16.07 35.7 47.8 123.7 76.1 50
Coal transportation service fees paid billion MNT 33.35 49
Number of Khovd transportation companies recruited 24 49
Number of bridges maintained on Khushuut road bridges 17 48
Number of businesses and citizens of Khovd province engaged as suppliers 113 45
Number of contractors and suppliers 198 252 49
Number of local suppliers and contractors (individuals and businesses) 135 113 49
Number of transportation and haulage companies contracted for coal transport 26 22
Percentage of locally purchased goods and services of total procurement % 45 49 68 70.9 59 50
Total purchases of goods and services from local businesses and individuals billion MNT 76.12 49
Value of services and products purchased from Khovd province suppliers billion MNT 76.12 45
Value of services and products purchased from Khovd province suppliers (HKD equivalent) HKD 5207547000 45

Number of concluded legal cases regarding corrupt practices brought against the issuer or its employees during the reporting period and the outcomes of the cases.

Indicator Unit 2017 Report Pages
Payments to Khovd budget in taxes, charges and fees during Cooperation Agreement MNT billion 6.2 50

Focus areas of contribution (e.g. education, environmental concerns, labour needs, health, culture, sport).

Indicator Unit 2016-2019 2018 2019 2020 Report Pages
No. of districts involved in Corresponding Protection Program 4 4 4 4 30
Number of local households, social organizations or companies which received discounted coal 3470 4124 8027 53
Number of participants in All Staff Cleaning Weekend at Khushuut mine people 350 44
Visits/calls/checks of local residents to MoEnCo’s medical center 924 237 126 40
Visits/calls/checks of the MoEnCo’s and contractors’ employees to MoEnCo’s medical center 15646 5832 14269 40
Willow seedlings donated to Uyench soum environmental office for planting in beaver habitat areas seedlings 3000 31

Resources contributed (e.g. money or time) to the focus area.

Indicator Unit 2014-19 2016-2019 2017 2018 2019 2020 Report Pages
Coal supplied to Khovd domestic needs and donations during agreement period tonnes 72950 50
Donations to local community (Khovd Development Fund) MNT billion 6.7 50
MoEnCo's contribution to Khuushuut Development Fund MNT million 6350.83 665.62 1604.93 2146.1 1598.8 51
No. of trees planted and nurtured under Corresponding Protection Program 35000 11000 9000 3000 30
Number of All Staff Cleaning Weekend events organized at Khushuut mine events 3 44
Number of members in urgent response task force for COVID-19 prevention persons 15 41
Number of patients treated by MoEnCo's medical team at mine site health center (three soums) patients 126 52
Number of recipients of free coal 33 36 37 53

The types of emissions and respective emissions data.

Standard Indicator Unit 2020
Airborne Particulate Matter (PM) Emissions µg/m³
NOₓ Emissions µg/m³
PM10 Emissions µg/m³ 82.5
PM2.5 Emissions µg/m³ 66.7
SOₓ Emissions µg/m³

Total hazardous waste produced (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Standard Indicator Unit 2016-2017 2017-2018 2018 2018-2019 2019 2019-2020 2020 2020-2021
Total Hazardous Waste tonnes 88460 99380 98320 4.5 2.5
Total Hazardous Waste Intensity (By Product Weight) kg/t 0.000044 0.000036 0.000029
Total Hazardous Waste Intensity (By Unit Product) t/t 0.21 0.15 0.13 0.0000037 0.0000028

Total non-hazardous waste produced (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Standard Indicator Unit 2018 2019 2019-2020 2020 2020-2021
Total Non-Hazardous Waste Intensity (By Unit Product) t/t 0.0012 0.0009 0.28 0.0009 0.29

Direct and/or indirect energy consumption by type (e.g. electricity, gas or oil) in total (kWh in '000s) and intensity (e.g. per unit of production volume, per facility).

Standard Indicator Unit 2017 2018 2019 2020
Diesel Fuel Consumption million liters 1.53 1.76 2.24 1.13
Direct Energy Intensity (By Unit Product) kWh/t 1.06 0.785
Grid Electricity Consumption kWh 364464.8 1379109
Grid Purchased Electricity Intensity (By Unit Product) kWh/t 0.17 0.95
Purchased Electricity kWh 364464.8 1379109
Total Electricity Consumption Intensity (By Unit Product) kWh/t 2.37 2.14 1.89 2.95

Water consumption in total and intensity (e.g. per unit of production volume, per facility).

Standard Indicator Unit 2016 2017 2018 2019 2020
Groundwater Withdrawal 28878 45162 59055 74594 44965
Water Consumption 41408 47208 76010 130810 113987
Water Consumption Intensity (By Revenue) m³/t 0.1 0.07 0.1 0.11 0.13

Description of the significant impacts of activities on the environment and natural resources and the actions taken to manage them.

Standard Indicator Unit 2015 2016 2017 2018 2019 2020
Total Investment in Ecological Restoration Million MNT 350 261 466 1425 434 385

Total workforce by gender, employment type (for example, full- or part-time), age group and geographical region.

Standard Indicator Unit 2021
Number of Employees in Hong Kong persons 33
Number of Employees in Mainland China persons 288
Number of Employees in Overseas persons 347
Number of Full-time Employees persons 282
Number of Part-time Employees persons 6
Number of Total Employees persons 668
Percentage of Female Employees percent 20.8
Percentage of Full-time Employees percent 98
Percentage of Male Employees percent 79.2
Percentage of Part-time Employees percent 2

Lost days due to work injury.

Standard Indicator Unit 2016 2018 2020
Lost Days Due to Work-related Injuries hour 1 1 1

Description of occupational health and safety measures adopted, and how they are implemented and monitored.

Standard Indicator Unit 2017 2018 2019 2020
Number of People Receiving Training on Work Safety people 4893 4665 7495 4704
Number of Safety knowledge lectures lectures 31 30 32 31

The average training hours completed per employee by gender and employee category.

Standard Indicator Unit 2017 2018 2019 2020
Average Training Hours per Employee hours 11.2 13.97 12.87 13.4
Total Training Hours hours 5197 6457 9584 5075

Number of suppliers by geographical region.

Standard Indicator Unit 2016 2017 2018 2019 2020
Number of Local Suppliers 135 113
Number of Total Suppliers 198 252
Proportion of Spending on Local Suppliers % 45 49 68 70.9 59

Resources contributed (e.g. money or time) to the focus area.

Standard Indicator Unit 2017 2018 2019 2020
Total Public Welfare Donations MNT million 6700 1604.93 2146.1 1598.8
Total Social Investment MNT million 6700 1604.93 2146.1 1598.8