Canacol Energy Ltd. Provides an Update on its ESG Strategy & Presents its 2020 Sustainability Report - Seite 2

All of the actions that Canacol carries out in response and benefit of its stakeholders are framed in our sustainability model and are based on our corporate values, strategies and objectives from an ESG perspective. With the goal of becoming a leading company in sustainability, continuous improvement has become a fundamental axis within Canacol. As a result, Canacol created a comprehensive model focused on implementing and leading best practices in corporate sustainability affairs at a global level.

Canacol is committed to further developing its six-year ESG strategy that has four priorities:

• A cleaner energy future: deliver natural gas under the highest environmental and operational efficiency standards.
  
  
• A safe and committed team: maintain best-in-class health and safety practices and promote a diverse and inclusive culture.
  
  
• A transparent and ethical business: adopt the best practices, encourage respect for human rights, and ensure ethics and integrity in everything Canacol does.
  
  
• A society guided by sustainable development: promote and maintain close and transparent relationships that guarantee Canacol’s nearby communities’ growth and quality of life.
  

In 2020, the Corporation reviewed how different stakeholders access and use ESG information in order to better understand their needs. Based on this review, Canacol made improvements to the way it manages and reports sustainability. The Corporation reduced duplications, integrating more information in the Corporation’s Annual ESG report thereby increasing the coverage of ESG methodologies and standards.

In 2020, the Corporation’s Annual ESG Report covered: GRI’s Oil & Gas G4 Sector Disclosures, Sustainability Accounting Standards Board (SASB), Carbon Disclosure Project (CDP), Task Force on Climate-Related Financial Disclosures (TCFD), Corporate Sustainability Assessment S&P Global, standards suggested by Bloomberg, the United Nations Sustainable Development Goals (SDGs) and the World Economic Forum Guide: Measuring Stakeholder Capitalism.

The 2020 ESG highlights for Canacol include the following:

• A cleaner energy future
  
  
  • The reduction of the Corporation’s carbon emissions intensity (kg CO2 eq / BBL-eq) and direct carbon emissions (metric tonnes of CO2eq) by 25% and 11%, respectively, against a 2019 baseline.
    
  • We have replaced diesel fuel with natural gas in our operations. 88% of the energy generated came from self-produced natural gas. This led to reduced emissions, air pollution and carbon footprint.

• A safe and committed team