ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT 2022

Company: MONGOLIA ENERGY (276)
Year: 2022
Published: 2022-08-24
Status: Processed
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Extracted ESG KPIs

KPIs are organized by ESG aspects.

The types of emissions and respective emissions data.

Indicator Unit 2020 2021 Report Pages
Heavy metals emission µg/m³ The test result is within the Mongolian Standard 41
NO₂ emission µg/m³ The test result is within the Mongolian Standard No emission measurement was conducted due to the COVID-19 41
Noise measurement points at Camp points 9 52
Noise measurement points at DPP points 6 52
Noise measurement points at Khushuut mine site in 2021 points 82 52
Noise measurement points at Mine office points 7 52
Noise measurement points at Site office points 50 52
Noise measurement points at Workshop points 10 52
PM₁₀ emission µg/m³ Above the permission level 41
PM₂.₅ emission µg/m³ Above the permission level 41
Permissible level of Cd in soil (Khushuut) mg/kg 3 23
Permissible level of Cr in soil (Khushuut) mg/kg 150 23
Permissible level of Ni in soil (Khushuut) mg/kg 150 23
Permissible level of Pb in soil (Khushuut) mg/kg 100 23
Permissible level of Zn in soil (Khushuut) mg/kg 300 23
SO₂ emission µg/m³ The test result is within the Mongolian Standard 41

Direct (Scope 1) and energy indirect (Scope 2) greenhouse gas emissions (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Indicator Unit 2021 Report Pages
GHG emissions (Scope 1) Tonne CO₂ equivalent 24246.39 41
GHG emissions (Scope 2) Tonne CO₂ equivalent 6730.79 41
Greenhouse gas emissions in Scope 1 (Tonne CO2 equivalent) Tonne CO2 equivalent 24257.89 20
Greenhouse gas emissions in Scope 2 (Tonne CO2 equivalent) Tonne CO2 equivalent 1159.39 20
Greenhouse gas emissions per tonne of production (Tonne CO2 equivalent/tonne) Tonne CO2 equivalent/tonne 0.01 20
Total GHG emissions Tonne CO₂ equivalent 30977.18 41
Total greenhouse gas emissions (Tonne CO2 equivalent) Tonne CO2 equivalent 25417.28 20

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 2021 2021-2022 Report Pages
Hazardous waste including medical waste kg 76 75.49 43.13 72.5 35
Hazardous waste including medical waste intensity kg/t 0.000044 0.000036 0.000029 0.0000395 35
Hazardous waste intensity t/t 0.0000018 0.0000028 41
Hazardous waste intensity (t/t) t/t 0.21 0.15 0.13 0.0000037 0.0000028 0.0000041 39
Total hazardous wastes t 2.54 5.11 41
Total hazardous wastes (tonnes) tonnes 88460 99380 98320 4.5 2.5 5.04 39

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 2021 2021-2022 Report Pages
Non-hazardous waste including solid, residential, sewage t 2056.2 1993.4 1346.3 793.7 35
Non-hazardous waste including solid, residential, sewage intensity t/t 0.0012 0.0009 0.0009 0.0004 35
Non-hazardous waste intensity t/t 0.18 0.2 41
Non-hazardous waste intensity (t/t) t/t 0.28 0.29 0.3 39
Total non-hazardous waste (tonnes) tonnes 338757 264795 371253.87 39
Total non-hazardous wastes t 266141.3 372047.57 41

Description of how hazardous and non-hazardous wastes are handled, and a description of reduction target(s) set and steps taken to achieve them.

Indicator Unit 2021 Report Pages
Accrued in special warranty account of Ministry of Environment and Tourism million MNT 229 13

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 2021 2021-2022 Report Pages
Clean coal production (tonnes) tonnes 380932.68 547383.84 648158 932509.51 723000 870100 39
Diesel consumption L 1130000 1270000 41
Diesel consumption intensity L/t 0.79 0.69 41
Diesel electricity production intensity kWh/t 1.06 0.785 0.692 36
Diesel used for electricity production million liters 1.53 1.76 2.24 1.13 1.27 36
Electricity consumption kWh 11466640 14847475 41
Electricity consumption (kWh) kWh 4279430 4765320 5482050 8759040 7220079 9589335 39
Electricity consumption intensity kWh/t 7.97 8.09 41
Electricity consumption intensity (kWh/t) kWh/t 10.07 7.37 7.13 7.26 7.98 7.79 39
Electricity purchased from the provincial grid kWh 364464.8 1379109 1454690 36
Electricity purchased from the provincial grid intensity kWh/t 0.17 0.95 0.79 36
Raw coal for washing (tonnes) tonnes 425098.08 646546.18 768958.1 1206390.98 905300 1231700 39
Tonnes of coal distributed free of charge tonnes 93 537 342 640.7 63
Tonnes of discounted coal sold tonnes 18062.3 55623 51112 60669 63
Total electricity consumption kWh 3323544 3719314 3985400 4246561 5258140 36
Total electricity consumption intensity kWh/t 2.37 2.14 1.89 2.95 2.87 36

Water consumption in total 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 2021 2021-2022 Report Pages
Amount of fresh water used for residential purpose (m³) m³ 13980 19255 14637 12221 17891 30
Amount of water used for industrial purpose: drainage water (m³) m³ 7920 23726 20882 19507 44913 30
Amount of water used for industrial purpose: drainage water intensity (m³/t) m³/t 0.0056 0.014 0.01 0.013 0.024 30
Amount of water used for industrial purpose: underground water (m³) m³ 45162 59055 74594 44965 110777 30
Amount of water used for industrial purpose: underground water intensity (m³/t) m³/t 0.032 0.035 0.035 0.031 0.06 30
Drainage water fee paid (million MNT) million MNT 14 31.77 13.3 12.3 28.5 30
Fresh water use fee Exempt under the law Exempt under the law Exempt under the law Exempt under the law Exempt under the law 30
Technical water use fee paid (million MNT) million MNT 4.47 24.97 15.5 11.3 21.6 30
Water consumption m³ 190680 301878 41
Water consumption (m³) m³ 41408 47208 76010 130810 113987 128297 39
Water consumption intensity m³/t 0.13 0.16 41
Water consumption intensity (m³/t) m³/t 0.1 0.07 0.1 0.11 0.13 0.1 39

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

Indicator Unit 2015 2016 2016-2018 2017 2018 2019 2019-2020 2020 2021 Report Pages
Disbursed for realization of Environmental Management Plan million MNT 652.8 13
Environmental works completed million MNT 350 261 466 1425 434 385 653 13
Government assessment of MoEnCo's environmental performance Percentage % 84 88 95 93 90 15
Moderately and severely degraded pastures around Khushuut mine percent 14.2 26
Number of residents in new village with completed infrastructure people 400 64
Repairs and restoration of old irrigation system’s bed and ditches (hectares rehabilitated and commissioned under Corresponding Protection program) hectares 420 27
Repairs and restoration of old irrigation system’s bed and ditches (hectares restored in 2021) hectares 5 27

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 2022 Report Pages
Employee headcount in China 355 43
Employee headcount in Hong Kong 33 43
Employee headcount in Mongolia 370 43
Number of heavy duty trucks and other machineries belonging to MoEnCo as of end of March 2021 700 37
Number of herding households receiving compensation for relocation households 24 64
Percentage of employees aged 18-25 in China 7.88% 43
Percentage of employees aged 18-25 in Hong Kong 0% 43
Percentage of employees aged 18-25 in Mongolia 9.45% 43
Percentage of employees aged 26-35 in China 36.90% 43
Percentage of employees aged 26-35 in Hong Kong 18.19% 43
Percentage of employees aged 26-35 in Mongolia 47.57% 43
Percentage of employees aged 36-45 in China 28.17% 43
Percentage of employees aged 36-45 in Hong Kong 27.27% 43
Percentage of employees aged 36-45 in Mongolia 25.41% 43
Percentage of employees aged 46-55 in China 22.82% 43
Percentage of employees aged 46-55 in Hong Kong 27.27% 43
Percentage of employees aged 46-55 in Mongolia 11.89% 43
Percentage of employees aged 55 and above in China 4.23% 43
Percentage of employees aged 55 and above in Hong Kong 27.27% 43
Percentage of employees aged 55 and above in Mongolia 5.68% 43
Percentage of employees of Chinese (HKSAR) nationality in China 0.3% 43
Percentage of employees of Chinese (HKSAR) nationality in Hong Kong 100% 43
Percentage of employees of Chinese (HKSAR) nationality in Mongolia 0% 43
Percentage of employees of Chinese (PRC) nationality in China 99.7% 43
Percentage of employees of Chinese (PRC) nationality in Hong Kong 0% 43
Percentage of employees of Chinese (PRC) nationality in Mongolia 7.84% 43
Percentage of employees of Mongolian nationality in China 0% 43
Percentage of employees of Mongolian nationality in Hong Kong 0% 43
Percentage of employees of Mongolian nationality in Mongolia 92.16% 43
Percentage of employees of other nationalities in China 0% 43
Percentage of employees of other nationalities in Hong Kong 0% 43
Percentage of employees of other nationalities in Mongolia 0% 43
Percentage of female employees in China 18.87% 43
Percentage of female employees in Hong Kong 57.58% 43
Percentage of female employees in Mongolia 19.19% 43
Percentage of full-time employees in China 97.80% 43
Percentage of full-time employees in Hong Kong 97.06% 43
Percentage of full-time employees in Mongolia 86.25% 43
Percentage of male employees in China 81.13% 43
Percentage of male employees in Hong Kong 42.42% 43
Percentage of male employees in Mongolia 80.81% 43
Percentage of part-time employees in China 2.20% 43
Percentage of part-time employees in Hong Kong 2.94% 43
Percentage of part-time employees in Mongolia 13.75% 43
Total MoEnCo’s man-hours worked at Khushuut coal mine man-hours 757556 952348 2671690 3998036 2760200 3886907 47

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

Indicator Unit 2016 2018 2019 2021 Report Pages
Injury frequency rate at Khushuut coal mine 0.67 4.54 1.66 2.83 47
Total recordable injury frequency rate at Khushuut coal mine 6.69 7 5.01 6.94 47

Lost days due to work injury.

Indicator Unit 2016 2016-2019 2018 2019 2020 2021 Report Pages
Calls to accidents on Khuushuut road 18 3 3 1 49
Number of lost time (hour) at Khushuut coal mine hour 1 1 1 1 47

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

Indicator Unit 2017 2018 2019 2020 2021 Report Pages
No. of calls to incidents at the mine 5 11 8 10 7 48
No. of calls to incidents on the Khushuut road or in the community 9 12 14 12 26 48
Number of Khushuut workers who underwent annual medical checkups 249 50
Number of head office staff who underwent annual medical checkups 38 50
Number of internal safety training topics covered 31 30 32 31 28 46
Number of pieces of MoEnCo’s vehicles and mining equipment, and vehicles and equipment belonging to contractors and subcontractors inspected at Khushuut in May 2021 57 37

The percentage of employees trained by gender and employee category (e.g. senior management, middle management).

Indicator Unit 2017 2018 2019 2020 2021 Report Pages
Capacity building training for local rangers (participants) participants 25 27
Number of Khushuut mine procurement managers and accounting team members who took part in 5-days training on international trade codification and COVID-19 challenges people 7 55
Number of attendees 4893 4665 7495 4704 1768 46

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

Indicator Unit 2017 2018 2019 2020 2021 Report Pages
Average training hours (including MoEnCo’s headquarter office staff) hours 11.2 13.97 12.87 13.4 4.51 46
Average training hours completed per Khushuut mine site employee hours 14.8 15.3 15.35 14.7 4.85 46
Total hours of training for disaster readiness offered hours 195 109 200 116 48
Total hours of training offered hours 5197 6457 9584 5075 1864 46

Number of suppliers by geographical region.

Indicator Unit 2017 2018 2019 2020 2021 2022 Report Pages
Amount of locally purchased goods and services (including coal transportation) MNT billion 35.7 47.8 123.7 76.1 125.6 60
Number of contractors and suppliers 149 198 252 261 60
Number of local suppliers and contractors (individuals and businesses) 92 135 113 103 60
Number of transportation and haulage companies contracted to perform hauling, loading, unloading and carrying coal as of end of March 2021 26 37
Number of trusted long-term suppliers with master supply agreements as of first quarter suppliers 25 55
Percentage of Khvod purchased goods and services within MoEnCo’s total procurement percent 59 61
Percentage of total procurement that is locally purchased goods and services (including coal transportation) % 49% 68% 70.9% 59% 84% 60
Share of local procurement in MoEnCo’s procurement percent 84 61

Description of practices relating to engaging suppliers, number of suppliers where the practices are being implemented, and how they are implemented and monitored.

Indicator Unit 2021 Report Pages
Number of MoEnCo’s procurement managers who attended 3-days seminar on organizing tenders and award selection people 3 55

Number of products and service related complaints received and how they are dealt with.

Indicator Unit 2021 Report Pages
Increase in number of patient visits at Khushuut medical center compared to 2019 six-fold 50

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

Indicator Unit 2016-2019 2018 2019 2019-2020 2020 2021 Report Pages
Biotechnical measures: bales of hay distributed bales 200 27
Biotechnical measures: saline fodder distributed tonnes 4 27
Certificate of Commitment to plant one million trees (MoEnCo) trees 1000000 27
Number of Khushuut village households relocated households 174 64
Number of Khushuut village residents relocated people 650 64
Number of cultural center seats in new village seats 100 64
Number of local households, social organizations or companies which received discounted coal 3470 4124 8027 8337 63
Number of representatives in May 2021 inspection team from Khovd office of National Auto Vehicles and Transportation Center and Traffic Police 7 37
Visits/calls/checks of local residents to MoEnCo’s medical center 924 237 126 96 49
Visits/calls/checks of the MoEnCo’s and contractors’ employees to MoEnCo’s medical center 15646 5832 14269 41838 49

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

Indicator Unit 2014-2020 2017 2018 2019 2020 2021 Report Pages
MoEnCo's annual budget for its Corresponding Protection program Million MNT 66239 92246 71976 56995 150038 26
MoEnCo's contribution to Khushuut Development Fund million MNT 7949.63 1604.93 2146.1 1598.8 2034.18 62
Number of members in urgent response task force 15 50
Number of recipients of free coal 33 36 37 47 63
Total compensation paid to herding households for relocation MNT 209000000 64
Total compensation paid to herding households for relocation (HKD equivalent) HKD 556191.29 64

The types of emissions and respective emissions data.

Standard Indicator Unit 2020 2021
PM10 Emissions µg/m³ None None
PM2.5 Emissions µg/m³ None None
SOₓ Emissions µg/m³ None None

Direct (Scope 1) and energy indirect (Scope 2) greenhouse gas emissions (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Standard Indicator Unit 2021
Direct GHG Emissions (Scope 1) tonne CO2 equivalent 24246.39
Indirect Energy Emissions (Scope 2) tonne CO2 equivalent 6730.79
Total GHG Emissions tonne CO2 equivalent 30977.18
Total GHG Emissions Intensity (By Product Volume) tonne CO2 equivalent/tonne 0.01

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 2021 2021-2022
Total Hazardous Waste tonnes 88460 99380 76 98320 75.49 4.5 43.13 2.5 5.11 5.04
Total Hazardous Waste Intensity (By Unit Product) kg/t 0.21 0.15 0.000044 0.13 0.000036 0.0000037 0.0000018 0.0000028 0.0000028 0.0000041

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 2021 2021-2022
Total Non-Hazardous Waste Intensity (By Unit Product) t/t 0.0012 0.0009 0.28 0.18 0.29 0.0004 0.3

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 2016-2017 2017 2017-2018 2018 2018-2019 2019 2020 2021
Diesel Fuel Consumption L 1530000 1760000 2240000 1130000 1270000
Grid Purchased Electricity Intensity (By Product Weight) kWh/t 0.17 0.95 0.79
Purchased Electricity kWh 364464.8 1379109 1454690
Total Electricity Consumption kWh 3323544 3719314 3985400 4246561 5258140
Total Electricity Consumption Intensity (By Product Weight) kWh/t 10.07 2.37 7.37 2.14 7.13 1.89 2.95 2.87

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

Standard Indicator Unit 2016-2017 2017 2017-2018 2018 2018-2019 2019 2019-2020 2020 2020-2021 2021 2021-2022
Groundwater Withdrawal m³ 45162 59055 74594 44965 110777
Water Consumption m³ 41408 47208 76010 130810 190680 113987 301878 128297
Water Consumption Intensity (By Revenue) m³/t 0.1 0.07 0.1 0.11 0.13 0.13 0.16 0.1

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 2021
Total Investment in Ecological Restoration million MNT 350 261 466 1425 434 385 653

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

Standard Indicator Unit 2016 2017 2018 2019 2020 2021 2022
Number of Employees in Hong Kong 33
Number of Employees in Mainland China 355
Number of Employees in Overseas 370
Number of Total Employees man-hours 757556 952348 2671690 3998036 2760200 3886907 758
Percentage of Female Employees % 19.19
Percentage of Full-time Employees % 86.25
Percentage of Male Employees % 42.42
Percentage of Part-time Employees % 2.2

Employee turnover rate by gender, age group and geographical region.

Standard Indicator Unit
Turnover Rate of Employees in Hong Kong %
Turnover Rate of Employees in Mainland China %
Turnover Rate of Female Employees %
Turnover Rate of Male Employees %
Turnover Rate of Total Employees %

Lost days due to work injury.

Standard Indicator Unit 2016 2018 2019 2021
Lost Days Due to Work-related Injuries hour 1 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 2021
Number of Safety knowledge lectures 31 30 32 31 28

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

Standard Indicator Unit 2017 2018 2019 2020 2021
Average Training Hours per Employee hours 11.2 13.97 12.87 13.4 4.51
Total Training Hours hours 5197 6457 9584 5075 1864

Number of suppliers by geographical region.

Standard Indicator Unit 2017 2018 2019 2020 2021
Number of Local Suppliers 92 135 113 103
Number of Total Suppliers 149 198 252 261
Proportion of Spending on Local Suppliers % 49 68 70.9 59 84

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

Standard Indicator Unit 2014-2020 2017 2018 2019 2020 2021
Total Social Investment million MNT 7949.63 66239 1604.93 71976 56995 150038