COINDU | Sustainability Report - 2024

SUSTAINABILITY REPORT 2024 In terms of GHG emissions reduction from the 2019 base year, the data reflects a significant decrease under both the market-based and location-based methodologies. Under the market-based approach, emissions decreased from 2282,1 tCO 2 e in 2019 to 863,0 tCO 2 e in 2024, representing a 62% reduction. This sharp decline is primarily attributed to the acquisition of Guar- antees of Origin for electricity consumption at COINDU’s facilities in Portugal (Joane and Arcos), resulting in zero market-based emissions for these sites. Using the location-based method, emissions declined from 2078,6 tCO 2 e in 2019 to 1021,3 tCO 2 e in 2024, a reduction of over 50%. This reduction is largely due to the ongoing decarbonization of the elec- tricity grid in Portugal, evidenced by the substantial drop in national emission factors between 2019 and 2024. These improvements are most evident in Portugal, where renewable energy policies have had a direct impact. For Mexico, in the absence of any contractual instruments or renewable energy agreements, a supplier-specific emission factor is applied. Consequently, the same emission factor is used for both the location-based and market-based methods, resulting in identical GHG emissions under both approaches. COINDU’s Tetla facility in Mexico shows no variation between meth- odologies, as no market-based instruments are in place and the same supplier-specific emission factor is applied to both methods. Additionally, Mexico’s most recent publicly available emission factor data dates from 2021, limiting the analysis of decarbonization trends in that market. 99