Sonoco and ENGIE Announce 140 Megawatt Virtual Power Purchase Agreement – Output from Big Sampson Wind Project will be First Renewable Energy Project for Sonoco

HARTSVILLE, S.C., April 08, 2024 (GLOBE NEWSWIRE) -- Sonoco Products Company (“Sonoco” or the “Company”) (NYSE:SON), one of the largest global sustainable packaging companies, and ENGIE North America (“ENGIE") today announced that they have entered into a Virtual Power Purchase Agreement (“VPPA”) for production from ENGIE’s Big Sampson Wind Project (“Big Sampson”), a wind power project currently under construction in Crockett County, Texas.

Under the VPPA and subject to certain conditions, Sonoco and ENGIE have agreed to contract for an estimated 140 megawatts of electricity per year, representing approximately 48% of Sonoco’s U.S. electricity consumption in 2025 and approximately 52% of the expected output capacity of Big Sampson, for a term of 15 years commencing upon Big Sampson’s entry into commercial operation.

The VPPA represents another step in Sonoco’s integrated approach to corporate sustainability. The Company aims to reduce global Scope 1 and Scope 2 emissions by 25% by 2030 from a 2020 baseline through various corporate initiatives, including improved packaging design, installing energy-efficient equipment and procuring renewable energy sources. The VPPA is an example of these efforts, with renewable energy credits acquired under the VPPA expected to help reduce Sonoco’s baseline carbon emissions by approximately 14%.

“Collaborative projects like Big Sampson have the potential to help us make progress toward our emissions targets while delivering clean, reliable power to the communities they serve,” said Elizabeth Rhue, Sonoco’s Vice President of Environmental, Sustainability, & Technical Services. “We are grateful for this long-term partnership with ENGIE as we work together to protect the environment and future generations and continue our promise of delivering ‘Better Packaging. Better Life.’ solutions,” said Rhue.

Big Sampson is a project of ENGIE, a global leader in the net zero energy transition. The project is currently expected to complete in late 2025 and will be an addition to ENGIE North America’s more than seven gigawatts of renewable energy production in operation or under construction across the United States and Canada.

“We are honored that Sonoco selected ENGIE to support their first VPPA, reflecting their commitment to the energy transition. ENGIE’s record of consistently and reliably delivering projects to meet our customer needs is something we are very proud of,” said Dave Carroll, Chief Renewables Officer, ENGIE North America. “The commitment of customers like Sonoco enables the acceleration of projects that underpin the pathway to a net zero future.”