ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT 2023

Year: 2023
Published: 2023-07-20
Status: Processed

Extracted ESG KPIs

KPIs are organized by ESG aspects.

The types of emissions and respective emissions data.

Indicator Unit 2020 2021 2022 2023 Report Pages
Heavy metals emission µg/m³ The test result is within the Mongolian Standard Some of the contents were either minimal or undetectable in sampling locations 39
NO₂ emission µg/m³ The test result is within the Mongolian Standard No emission measurement was conducted due to the COVID-19 The test result is within the Mongolian Standard 39
Number of different non-poisonous chemicals for which permits were obtained for use, transportation, storage and import chemicals 18 51
Number of different proximate and ultimate analysis and coke activity tests performed by the laboratory for export coal tests 11 51
Number of different testing equipments used for coal analysis equipments 80 51
Number of noise measuring points at Khushuut mine site 82 48
PM₁₀ emission µg/m³ Above the permission level Generally high 39
PM₂.₅ emission µg/m³ Above the permission level Generally high 39
SO₂ emission µg/m³ The test result is within the Mongolian Standard No emission measurement was conducted due to the COVID-19 The test result is within the Mongolian Standard 39

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 2020 2021 2022 Report Pages
GHG emissions (Scope 1) Tonne CO₂ equivalent 24246.39 88107.8 39
GHG emissions (Scope 2) Tonne CO₂ equivalent 6730.79 9785.44 39
Greenhouse gas emissions in Scope 1 (Tonne CO2 equivalent) tonne CO2 equivalent 24257.89 88121.6 21
Greenhouse gas emissions in Scope 2 (Tonne CO2 equivalent) tonne CO2 equivalent 1159.39 1157.62 21
Greenhouse gas emissions per tonne of production (Tonne CO2 equivalent/tonne) tonne CO2 equivalent/tonne 0.01 0.03 21
Total GHG emissions Tonne CO₂ equivalent 30977.18 97893.24 39
Total greenhouse gas emissions (Tonne CO2 equivalent) tonne CO2 equivalent 25417.28 89279.22 21

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

Indicator Unit 2017-2018 2018 2018-2019 2019 2019-2020 2020 2020-2021 2021 2021-2022 2022 2022-2023 Report Pages
Hazardous waste including medical waste (kg) kg 76 75.49 43.13 72.5 151.6 30
Hazardous waste including medical waste intensity (kg/t) kg/t 0.000044 0.000036 0.000029 0.0000395 0.000043 30
Hazardous waste intensity (tonnes/tonne raw coal) t/t 0.15 0.13 0.0000037 0.0000028 0.0000041 0.000001 37
Total hazardous wastes t 2.54 5.11 2.25 39
Total hazardous wastes (tonnes) tonnes 99380 98320 4.5 2.5 5.04 2.1 37
Total hazardous wastes intensity t/t 0.0000018 0.0000028 0.00000064 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 2022 2022-2023 Report Pages
Non-hazardous waste including solid, residential, sewage (t) t 2056.2 1993.4 1346.3 793.7 982.9 30
Non-hazardous waste including solid, residential, sewage intensity (t/t) t/t 0.0012 0.0009 0.0009 0.0004 0.00028 30
Non-hazardous waste intensity (tonnes/tonne raw coal) t/t 0.28 0.29 0.3 0.29 37
Total non-hazardous waste (tonnes) tonnes 338757 264795 371253.87 603160 37
Total non-hazardous wastes t 266141.3 372047.57 604142.9 39
Total non-hazardous wastes intensity t/t 0.18 0.2 0.17 39

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 2014-2021 2017 2017-2018 2018 2018-2019 2019 2019-2020 2020 2020-2021 2021 2021-2022 2022 2022-2023 Report Pages
Clean coal production (tonnes) tonnes 547383.84 648158 932509.51 723000 870100 1474700 37
Diesel consumption L 1130000 1270000 1570000 39
Diesel consumption intensity L/t 0.79 0.69 0.45 39
Diesel electricity intensity (kWh/t) - Khushuut kWh/t 1.06 0.785 0.692 0.447 25
Diesel used for electricity production (million liters) - Khushuut million liters 1.76 2.24 1.13 1.27 1.57 25
Electricity consumption kWh 11466657 14847475 21422177.17 39
Electricity consumption (kWh) kWh 4765230 5482050 8759040 7220079 9589335 14776817 37
Electricity consumption intensity kWh/t 7.97 8.09 6.1 39
Electricity consumption intensity (kWh/tonne raw coal) kWh/t 7.37 7.13 7.26 7.98 7.79 6.99 37
Electricity purchased from the provincial grid (kWh) - Khushuut kWh 364465 1379109 1454690 1452475 25
Electricity purchased from the provincial grid intensity (kWh/t) - Khushuut kWh/t 0.17 0.95 0.79 0.41 25
Raw coal for washing (tonnes) tonnes 646546.18 768958.1 1206390.98 905300 1231700 2112800 37
Tonnes of coal distributed free of charge tonnes 5643.25 537 341.55 640.7 121 62
Tonnes of discounted coal sold tonnes 199461 2750 18062 55623 51112 60669 68507 62
Total electricity consumption (kWh) - Khushuut kWh 3719314 3985400 4246561 5258140 6645990 25
Total electricity intensity (kWh/t) - Khushuut kWh/t 2.14 1.89 2.95 2.87 1.89 25

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

Indicator Unit 2017-2018 2018 2018-2019 2019 2019-2020 2020 2020-2021 2021 2021-2022 2022 2022-2023 Report Pages
Khushuut water consumption - Amount of drainage water used for industrial purpose (m³) 23726 20882 19507 44913 49358 27
Khushuut water consumption - Amount of fresh water used for residential purpose (m³) 19255 14637 12221 17891 19380 27
Khushuut water consumption - Amount of underground water used for industrial purpose (m³) 59055 74594 44965 110777 125189 27
Khushuut water consumption - Drainage water intensity (m³/t) m³/t 0.014 0.01 0.013 0.024 0.014 27
Khushuut water consumption - Underground water intensity (m³/t) m³/t 0.035 0.035 0.031 0.06 0.036 27
Water consumption 190680 301878 462710 39
Water consumption (m³) 47208 76010 130810 113987 128297 268783 37
Water consumption intensity m³/t 0.13 0.16 0.13 39
Water consumption intensity (m³/tonne raw coal) m³/t 0.07 0.1 0.11 0.13 0.1 0.13 37

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

Indicator Unit 2015 2016 2017 2018 2019 2020 2021 2022 Report Pages
Construction of new residential housing at Khushuut camp m2 1440 52
Environmental works completed Million MNT 350 261 466 1425 434 385 653 645 13
Government assessment of MoEnCo's environmental performance Percentage % 84 88 95 93 90 93 14
No. of bushes and shrubs planted by local professional landscaping company in protected areas along Bulgan river basin 6000 35
No. of fruit tree seedlings presented to Uyench soum for public park 200 35
Number of heavy duty trucks and other machineries belonging to MoEnCo and contractors 800 24

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

Indicator Unit 2018 2019 2020 2021 2022 2022–2023 2023 Report Pages
Employee age group - 25 and below (China) 7.25% 41
Employee age group - 25 and below (Hong Kong) 0% 41
Employee age group - 25 and below (Mongolia) 14.12% 41
Employee age group - 26-35 (China) 34.49% 41
Employee age group - 26-35 (Hong Kong) 14.71% 41
Employee age group - 26-35 (Mongolia) 44.91% 41
Employee age group - 36-45 (China) 29.57% 41
Employee age group - 36-45 (Hong Kong) 26.47% 41
Employee age group - 36-45 (Mongolia) 23.61% 41
Employee age group - 46-55 (China) 22.61% 41
Employee age group - 46-55 (Hong Kong) 29.41% 41
Employee age group - 46-55 (Mongolia) 12.50% 41
Employee age group - 55 and above (China) 6.08% 41
Employee age group - 55 and above (Hong Kong) 29.41% 41
Employee age group - 55 and above (Mongolia) 4.86% 41
Employee gender - Female (China) 18.84% 41
Employee gender - Female (Hong Kong) 55.88% 41
Employee gender - Female (Mongolia) 16.44% 41
Employee gender - Male (China) 81.16% 41
Employee gender - Male (Hong Kong) 44.12% 41
Employee gender - Male (Mongolia) 83.56% 41
Employment type - Full-time (China) 98.01% 41
Employment type - Full-time (Hong Kong) 100% 41
Employment type - Full-time (Mongolia) 93.71% 41
Employment type - Part-time (China) 1.99% 41
Employment type - Part-time (Hong Kong) 0% 41
Employment type - Part-time (Mongolia) 6.29% 41
Expansion of camp kitchen building area at Khushuut camp m2 337.16 52
Headcount (China) 345 41
Headcount (Hong Kong) 34 41
Headcount (Mongolia) 432 41
Men and women ratio at the mine site at Khushuut operation 87/13 42
Men and women ratio at top management position at Khushuut operation 50/50 42
Number of MoEnCo employees 497 59
Number of MoEnCo employees or their families who received cash assistance for medical emergency or overcoming life circumstances people 8 43
Number of MoEnCo employees who became 'Honorary Miner' as nominated by the Ministry of Mining and Heavy Industry people 2 43
Number of MoEnCo employees who received cash prizes people 12 43
Number of people working at Khushuut mine (including employees and contractors) 2462 59
Number of people working at Khushuut mine, including employees of MoEnCo and its contractors people 2462 43
Number of professionals working full time at the Khushuut mine chemical laboratory people 49 51
Percentage increase in number of people working at Khushuut mine compared with previous year % 31.3 43
Percentage of Khushuut mine workforce who are citizens of Khovd province % 79 59
Percentage of MoEnCo employees who are citizens of Khovd province % 89 59
Percentage of local people hired at Khushuut operation % 83.08% 42
Percentage of locally hired professionals at the Khushuut mine chemical laboratory 100% 51
Percentage of people working at the mine site at Khushuut operation % 93.36% 42
Total MoEnCo’s man-hours worked at Khushuut coal mine hours 2671690 3998036 2760200 3886907 4636758 47
Total number of people working at Khushuut operations (including part-time, temporary and contractor’s employees) people 2428 42

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

Indicator Unit 2022 2023 Report Pages
Employee turnover rate % 24.70% 19.21% 42
Employee turnover rate by age group: 25 and below % 38.46% 34.92% 42
Employee turnover rate by age group: 26-35 % 23.26% 22.68% 42
Employee turnover rate by age group: 36-45 % 26.67% 14.36% 42
Employee turnover rate by age group: 46-55 % 20.34% 11.68% 42
Employee turnover rate by age group: 55 and above % 17.02% 17.78% 42
Employee turnover rate by gender: Female % 18.00% 18.99% 42
Employee turnover rate by gender: Male % 26.64% 19.27% 42
Employee turnover rate by region: China % 45.14% 22.97% 42
Employee turnover rate by region: Hong Kong % 6.06% 6.06% 42
Employee turnover rate by region: Mongolia % 9.51% 16.76% 42

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

Indicator Unit 2018 2019 2021 2022 Report Pages
Injury frequency rate at Khushuut coal mine 4.54 1.66 2.83 4.88 47
Total recordable injury frequency rate at Khushuut coal mine 7 5.01 6.94 15.096 47

Lost days due to work injury.

Indicator Unit 2016-2019 2018 2019 2020 2021 2022 Report Pages
Calls to accidents on Khushuut road 18 3 3 1 3 50
Number of lost time (hour) at Khushuut coal mine hour 1 1 1 2 47

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

Indicator Unit 2018 2019 2020 2021 2022 Report Pages
No. of calls to incidents at the mine 11 8 10 7 8 48
No. of calls to incidents on the Khushuut road or in the community 12 14 12 26 4 48
Number of MoEnCo employees who underwent annual medical checkups employees 377 50
Number of attendees (internal safety training) 4665 7495 4704 1768 5220 45
Number of internal safety training topics covered 30 32 31 28 28 45

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

Indicator Unit 2022 Report Pages
Number of MoEnCo’s and contractors’ workers trained in wellness and healthy habits (excluding COVID-19 related) workers 427 50
Number of laboratory staff attending training organized by the National Accreditation Center for laboratories on requirements for testing and calibration of technical laboratory equipment people 7 51
Number of training sessions organized by Khushuut medical team (excluding COVID-19 related) sessions 31 50
Number of workers involved in vocational training, on-the-job training and professional development workers 5220 60

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

Indicator Unit 2018 2019 2020 2021 2022 Report Pages
Average training hours (including MoEnCo headquarter office staff) hours 13.97 12.87 13.4 4.51 4.51 45
Average training hours completed per Khushuut mine site employee hours 15.3 15.35 14.7 4.85 13.6 45
Total hours of training for disaster readiness offered hours 109 200 116 158 48
Total hours of training offered hours 6456.6 9584 5075 1864 5478 45

Number of suppliers by geographical region.

Indicator Unit 2018 2019 2020 2021 2022 Report Pages
Amount of locally purchased goods and services (including coal transportation) MNT (HK$144.5 million), MNT (HK$207.5 million), MNT (HK$334.3 million), MNT (HK$366.2 million), MNT (HK$692.5 million) MNT47.8 billion MNT123.7 billion MNT76.1 billion MNT125.6 billion MNT270 billion 59
Number of contractors and suppliers 198 252 261 273 59
Number of local suppliers and contractors (individuals and businesses) 135 113 103 116 59
Number of transportation and haulage companies contracted for coal transport 26 24
Percentage of total procurement that is local % 68 70.9 59 84 92 59

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

Indicator Unit 2014-2021 2016-2019 2016–2021 2016–2022 2017 2018 2019 2020 2021 2022 Report Pages
No. of districts involved in tree planting and nurturing 4 5 5 35
No. of local households, social organizations or companies which received discounted coal 4124 3470 4124 8027 8337 11394 11394 62
Number of participants in All Staff Cleaning Weekend at Khushuut mine 260 52
Number of soums in Khovd province funded by Khovd Khushuut Development Fund soums 10 60
Visits/calls/checks of local residents at MoEnCo’s medical center 924 237 126 96 88 50
Visits/calls/checks of the MoEnCo’s and contractors’ employees at MoEnCo’s medical center 15646 5832 14269 41838 39857 50

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

Indicator Unit 2014-2020 2016–2021 2016–2022 2017 2018 2019 2020 2021 2022 2022–2023 Report Pages
MoEnCo's annual budget for its Corresponding Protection Program MNT 66239 92246 71976 56995 150038 463335710 32
MoEnCo's contribution to Khushuut Development Fund MNT billion, MNT million 7949.63 1598.8 2034.18 6.7 60
MoEnCo's contribution to Khushuut Development Fund (approximate HKD equivalent) HK$ million 21.68 4.36 5.41 17.18 60
No. of recipients of free coal 36 37 47 30 62
No. of tree seedlings donated to three soums for shelterbelt planting 14000 35
No. of trees planted and nurtured 40000 60200 20200 35
Number of All Staff Cleaning Weekend events at Khushuut mine 3 52
Number of people who received other distinctions from the Government people 5 43
Number of people who received top government medals for outstanding work in the mining industry of Mongolia people 5 43
Number of projects funded by Khovd Khushuut Development Fund projects 67 60

The types of emissions and respective emissions data.

Standard Indicator Unit 2020 2021 2022
NOₓ Emissions µg/m³ The test result is within the Mongolian Standard No emission measurement was conducted due to the COVID-19 The test result is within the Mongolian Standard
PM10 Emissions µg/m³ Above the permission level Generally high
PM2.5 Emissions µg/m³ Above the permission level Generally high
SOₓ Emissions µg/m³ The test result is within the Mongolian Standard No emission measurement was conducted due to the COVID-19 The test result is within the Mongolian Standard

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 2020 2021 2022
Direct GHG Emissions (Scope 1) tonne CO2 equivalent 24246.39 24257.89 88121.6
Indirect Energy Emissions (Scope 2) tonne CO2 equivalent 1159.39 1157.62
Total GHG Emissions tonne CO2 equivalent 25417.28 89279.22
Total GHG Emissions Intensity (By Product Volume) tonne CO2 equivalent/tonne 0.01 0.03

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

Standard Indicator Unit 2017-2018 2018-2019 2019-2020 2020 2020-2021 2021 2021-2022 2022 2022-2023
Total Hazardous Waste tonnes 99380 98320 4.5 2.54 2.5 5.11 5.04 2.25 2.1
Total Hazardous Waste Intensity (By Unit Product) t/t 0.15 0.13 0.0000037 0.0000018 0.0000028 0.0000028 0.0000041 0.00000064 0.000001

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 2020 2021 2022
Total Non-Hazardous Waste Intensity (By Product Weight) t/t 0.28 0.18 0.2 0.17
Total Non-Hazardous Waste Intensity (By Unit Product) t/t 0.0012 0.0009 0.0009 0.0004 0.00028

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 2018 2019 2020 2021 2022
Diesel Fuel Consumption L 1760000 2240000 1130000 1270000 1570000
Grid Electricity Consumption kWh 364465 1379109 1454690 1452475
Purchased Electricity kWh 364465 1379109 1454690 1452475
Total Direct Energy Consumption L 1760000 2240000 1130000 1270000 1570000
Total Electricity Consumption Intensity (By Unit Product) kWh/t 2.14 1.89 2.95 2.87 1.89
Total Indirect Energy Consumption kWh 364465 1379109 1454690 1452475

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

Standard Indicator Unit 2017-2018 2018 2018-2019 2019 2019-2020 2020 2020-2021 2021 2021-2022 2022 2022-2023
Groundwater Consumption 59055 74594 44965 110777 125189
Water Consumption 47208 76010 130810 190680 113987 301878 128297 462710 268783
Water Consumption Intensity (By Revenue) m³/t 0.07 0.1 0.11 0.13 0.13 0.16 0.1 0.13 0.13
Water Consumption in Office 19255 14637 12221 17891 19380
Water Consumption in Production and Operation 23726 20882 19507 44913 49358

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 2022
Total Investment in Ecological Restoration Million MNT 350 261 466 1425 434 385 653 645

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

Standard Indicator Unit 2022 2023
Number of Employees in Hong Kong 34
Number of Employees in Mainland China 345
Number of Employees in Overseas 432
Number of Female Employees 134
Number of Full-time Employees 782
Number of Male Employees 707
Number of Part-time Employees 29
Number of Total Employees 497 811
Percentage of Employees Aged 30-50 % 54.01
Percentage of Employees Aged Above 50 % 10.41
Percentage of Employees Aged Below 30 % 10.74
Percentage of Employees in Hong Kong % 4.19
Percentage of Employees in Mainland China % 42.55
Percentage of Employees in Overseas % 53.27
Percentage of Female Employees % 16.54
Percentage of Full-time Employees % 96.42
Percentage of Male Employees % 87.19
Percentage of Part-time Employees % 3.58

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

Standard Indicator Unit 2022 2023
Turnover Rate of Employees Aged 30-50 % 23.26 22.68
Turnover Rate of Employees Aged Above 50 % 17.02 17.78
Turnover Rate of Employees Aged Below 30 % 38.46 34.92
Turnover Rate of Employees in Hong Kong % 6.06 6.06
Turnover Rate of Employees in Mainland China % 45.14 22.97
Turnover Rate of Female Employees % 18 18.99
Turnover Rate of Male Employees % 26.64 19.27
Turnover Rate of Total Employees % 24.7 19.21

Lost days due to work injury.

Standard Indicator Unit 2018 2020 2021 2022
Lost Days Due to Work-related Injuries hour 1 1 1 2

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

Standard Indicator Unit 2018 2019 2020 2021 2022
Number of People Receiving Training on Work Safety people 4665 7495 4704 1768 5220
Number of Safety knowledge lectures lectures 30 32 31 28 28

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

Standard Indicator Unit 2022
Percentage of Employees Trained percent 100

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

Standard Indicator Unit 2018 2019 2020 2021 2022
Average Training Hours per Employee hours 13.97 12.87 13.4 4.51 4.51
Total Training Hours hours 6456.6 9584 5075 1864 5478

Number of suppliers by geographical region.

Standard Indicator Unit 2018 2019 2020 2021 2022
Number of Local Suppliers 135 113 103 116
Number of Total Suppliers 198 252 261 273
Proportion of Spending on Local Suppliers % 68 70.9 59 84 92

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

Standard Indicator Unit 2014-2020 2020 2021 2022
Total Social Investment MNT billion 21.68 4.36 5.41 6.7