ENVIRONMENTAL PERFORMANCE


EMISSIONS MANAGEMENT
ENERGY EFFICIENCY

CDM PROJECTS

In 2006, the Company implemented a Clean Development Mechanism (CDM) project to reduce nitrous oxide emissions from the nitric acid plant. Thanks to this project, CO2 equivalent emissions at the Prillex América complex in Mejillones are down 98%.

Enaex currently has two CDM projects in place to reduce nitrous oxide emissions (N2O) during the production of nitric acid, a raw material used in the production of ammonium nitrate.

These projects reduce potential emissions by nearly 90%. In 2017, the United Nations issued Enaex Certificates of Emissions Reductions (CERs) for nearly 669 thousand tons of CO2 equivalent.

GHG EMISSIONS REDUCED THROUGH CDM PROJECTS
(M Ton CO2 eq)

.
In 2017, the Coverage Percentage * of this report is 62%.
* Percentage of Coverage = Enaex Chile ** / Enaex S.A.
** Enaex Chile = Enaex S.A. discounting international subsidiaries.

2017 CARBON FOOTPRINT

In 2017, total2 CO2 equivalent emissions were approximately 1.3 million tons, up 9% from the year prior, primarily due to process emissions and indirect emissions from third and related parties. However, addition of a new power generation turbine at the Prillex plant meant nearly 10,000 tons of CO2 was not released into the atmosphere.

ENAEX CARBON FOOTPRINT RESUME

Unidad 2016* 2017*
Direct Emissions Mt CO2 eq 233 254
Indirect Emissions From Electricity Consumption Mt CO2 eq 37 27
Other Indirect Emissions Mt CO2 eq 915 999
Corporate Carbon Footprint Mt CO2 eq 1.182 1.281

.
* Calculated and verified by SGS Chile S.A.

PRODUCT LIFE CYCLE ANALYSIS

In 2016, the Company was the first to develop a Life Cycle Assessment model for its products. This analysis uses ISO 14,040 and PAS 2050:2011 methodologies to estimate the environmental impact of the individual processes related to product manufacturing, distribution, use and availability and thus create a differentiating element for its customers.

Greenhouse gas (GHG) emissions by ton of product can also be included as an emissions factor for the explosive products and thus be used to estimate the impact, in terms of tons of CO2 equivalent, of blasting in the mining production process.

CO2 emissions of Enaex products have been significantly reduced through the Company's Clean Development Mechanism (CDM) and Energy Efficiency (EE) projects.

The emissions factors for products are updated every two years. Ammonium nitrate fell 23% this year thanks to efficiency improvements and emissions reductions.

Tons of CO2 equivalent/year 2015-2017 2015 2017
Prillex® Ammonium nitrate 1,71 1,31

.

THUS, BY USING ENAEX PRODUCTS, CUSTOMERS CAN REDUCE CO2-EQUIVALENT EMISSIONS BY UP TO 40% IN THEIR BLASTING PROCESSES.