Climate change is one of the most pressing issues the world is facing today. Increasing GHG emissions has had a profound effect on the natural greenhouse effect, resulting in an increase in average global temperatures on the planet. Beyond the environmental impacts that are already being felt, it is widely accepted that this will in the long term have significant global socio-economic consequences.

Uralkali acknowledges the importance of global warming and makes every effort to contribute to tackling climate change.

GHG emissions

Over the past few years, the Company has managed to consistently lower its GHG emissions intensity while increasing production. In 2021, Uralkali conducted a detailed study to assess the Companys GHG emissions (Scopes 1-3), as well as the core products carbon footprint. These calculations served as the basis for the Companys Climate Strategy.

The results showed that, given its specific production processes, the potash industry is characterized by a low carbon footprint compared to other types of fertilizers and a range of different products from the broader natural resources extractive industry.

The benchmark analysis covering GHG emissions of global potash fertilizer producers showed that Uralkalis GHG emissions intensity was one of the lowest in the sector.

Results of quantification of GHG emissions and benchmark analysis

Climate Strategy

Uralkalis Climate Strategy contains quantitative GHG emissions reduction targets:

  • A 10% reduction in GHG emissions by 2025, and 20% by 2030.

  • An increase in the share of green electricity energy in total energy consumption to 20% by 2025 and to 45% by 2030.

  • Achieve carbon neutrality by 2050

The strategy outlines seven priority areas aimed at reaching these goals:

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In the short and medium-term, the Company will direct its efforts at increasing the energy efficiency of its production and infrastructure assets, transitioning to low-carbon fuel types, including moving away from using fuel oil. Uralkali will pay special attention to its program aimed at developing renewable energy. In late 2021, the Company undertook a pilot program procuring electricity generated from renewable sources. 

Uralkali has planned and already partially launched a range of research and development projects and pilot projects in the following areas: CO2 capture and storage, reduction of fuel consumption, conversion of automotive vehicles to alternative types of energy and forest climate projects. 

The preliminary amount of investment required to reach the Companys climate goals by 2030 is estimated at US$ 50-100 million.

Uralkali Climate Strategy overview