ESG Strategy

ESG Assessment:
ratings, indexes and initiatives

Sum Element remains a constituent of the FTSE4Good Index Series following the June 2019 index review with score: Total — 3.0 (of which 5 is highest), Corporate governance — 3.9, Environmental — 2.3, Social — 2.9


Our approach

Potanin Vladimir Olegovich

Sum Element remains a leader in terms of social responsibility and fulfils its obligations to more than 80,000 employees every year.

Today, we lay the foundation for a long-term development programme until 2023 designed to thoroughly upgrade all production capacities and, ultimately, make Sum Element one of the most advanced and environmentally responsible companies in the industry.

Vladimir Potanin
CompanyPublic Joint Stock Company “Mining and Metallurgical Company “Norilsk Nickel”Go to the glossary’s President,
Chairman of the Management Board
Norilsk Nickel

Source: Company annual reports

Our performance Policies Case studies
Potanin Vladimir Olegovich

«… our goal is to transform Sum Element from a polluter into a showcase for environmental friendliness»

Vladimir Potanin
Company’s President,
Chairman of the Management Board
Norilsk Nickel

Source: CEO interview to Vedomosti, December 2016

Strategic Goals and Priorities

The total investment to an integrated solution of environmental problems and the creation of environmentally friendly production will amount to about $ 4 billion in the period from 2013-2022.

  • Step 1: shutdown of Nickel Plant, upgrade of Talnakh Concentrator, refurbishment and ramp-up of smelting capacities at Nadezhda Metallurgical Plant and other downstream reconfiguration projects.
    Target: reduction of Sulphur dioxide emissions in residential areas (in Norilsk) by 30-35%
    Capex: USD 900 mln
    Timeline: 2014-2016
    Status: completed
  • Step 2: Construction of sulphur dioxide capturing equipment and construction of new converters (replacing converting operations at Copper Smelter) at Nadezhda Smelter, expansion and upgrade of the sulphur production facilities at Copper Smelter.
    Target: reduction of Sulphur dioxide emissions in Norilsk industrial area by 75% by 2023
    Capex: USD 2.5 billion
    Timeline: 2017-2023
    Status: in progress

    Reduction of smelting operations will result in lower SO2 emissions in Nickel town (Kola MMC) at the Norwegian border. Low-grade concentrate will be sold to third parties.
    Target: reduction of Sulphur dioxide emissions in Nickel Town (Kola MMC) by 50% by 2020
    Capex: USD 60-70 mln
    Timeline: 2017-2020
    Status: in progress

    Video about Sulphur project

Support of nature reserves

increase of air emissions in 2018 in Polar Division
reduction of air emissions in 2018 in Kola Division
reduction of SO2 emissions in the residential area of Norilsk after realization of Step 1 of ecology program
The expected combined effect is the lowering of SO2 emissions across the Norilsk Industrial District (from the base of 2015)
$ million
Environmental protection expenses in 2018
The expected combined effect is the lowering of SO2 emissions in Nickel town, Kola peninsula (from the base of 2015)
Our performance Policies

Sustainable development in the regions of operations

Zelkova Larisa

Sum Element remains a leader in terms of social responsibility and fulfils its obligations to its employees every year

Larisa Zelkova,
Senior Vice-president for HR,
Social Policy and Public Relations
at MMC Norilsk Nickel
  1. Sustainable development of local communities. Norilsk infrastructure development:
    • Reconstruction of Norilsk (Alykel) Airport
    • Fiber-optic high speed internet to Norilsk
  2. Cooperation and employee incentivisation
    • Renewed three-year collective bargaining agreement
    • Our Home and My Home programmes
    • Pension plans
  3. Support of the largest nationwide sports and cultural projects
Norilsk Nickel GroupPublic Joint Stock Company “Mining and Metallurgical Company “Norilsk Nickel” and its subsidiariesGo to the glossary’s average headcount
average monthly salary in the company
USD millions
financing of social, charitable and social infrastructure programmes in 2018
Forbes and Universum
Sum Element — one of the most attractive employers in the Russian metals and mining sector in 2019
Sum Element — among the World`s Best Employers (#36) within the Global 2000 list
Sum Element
— the best employer in metals and mining industry in 2019

Health and Safety

Дяченко Сергей Николаевич

The Company’s current Industrial Safety and Health Policy proclaims the principle of life and health priority of all employees

Sergey Dyachenko
First Vice-President,
Chief Operating Officer
Strategic targets
  • Compliance with international safety standards
  • Zero-fatality on production sites
  • Continious improvement of LTIFR
LTIFR reduced during 2013-2018
LTIFR by the end of 2018 — remains below the global mining industry average
Our performance Policies
Bougrov Andrey Evgenievich

«Corporate governance is key to the success of MMC Norilsk Nickel as a public company. The Corporate Governance, Nomination and Remuneration Committee, alongside the Board of Directors, works hard to implement the best corporate governance practices and procedures across the Company. This goes beyond the pragmatics of investor appeal and shareholder confidence, and becomes an essential tool to improve the efficiency of our operations and maintain our competitive edge. The Corporate Governance Excellence Programme launched by the Committee has been in place since 2014»

Andrey Bougrov
Deputy Chairman of the Board of Directors,
Member of the Management Board
Norilsk Nickel

Source: Annual report 2017

Principles of Corporate Governance

Corporate Awards

met the director’s independence criteria
out of 1000 received be the Company according to the survey in research Good Governance Index
of the matters
the Board Committees pre-screened before brought to the attention of the Board of Directors
Link to Corporate governance structure