Environmental

1. GHG Management

• Scope 1 & 2 emissions
• Scope 3 emissions

Scope 1 & 2 emissions

		Unit	2020	2021	2022
Total (Scope 1+2)		tCO2eq	487,265	454,990	364,085
	Direct(Scope 1)		182,254	168,599	124,688
	Indirect(Scope 2)		305,011	286,391	239,397
Total emissions/Revenues		tCO2eq/KRW billion	71.0	68.7	61.3

1. *It is based on all work sites, including overseas, and applies national greenhouse gas management guidelines, IPCC guidelines, and ISO 14064 standards

Scope 3 GHG emission calculation metholodogy

Scope 3 emissions

		Unit	2021	2022
Total (Scope 3)		tCO2eq	53,070,343	35,364,583
	#1. purchased goods and services		2,376,535	4,087,391
	#2. capital goods		미산정	2,745
	#3. fuel and energy related activities		46,247	19,794
	#4. transportation and distribution		522	12,596
	#5. waste generated in operations		4,501	3,455
	#6. business travel		476	684
	#7. employee commuting		3,819	2,500
	#11. use of sold products		50,630,496	31,230,651
	#12. end of life treatment of sold products		7,747	4,767
Total emissions/Revenues		tCO2eq/KRW billion	8,014.3	5,949.0

1. *We calculated scope 3 emissions from 2021

Scope 3 Carbon reduction contributions

Scope 3 Carbon reduction contributions

		Unit	2022
Category 11 (Use of sold products)		tCO2eq	17,547,016

1. *Scope 3 Carbon reduction contributions mean how much our ships delivered to customers have contributed to carbon reduction. However, we do not use contributions as an offset to Scope 3 emissions.
2. **We firstly calculated scope 3 carbon reduction contributions in 2022

2. Energy Management

• Energy consumption
• Carbon Intensity

Energy consumption

		Unit	2020	2021	2022
Energy consumption		TJ	6,798	7,067	5,956
	Direct		1,914	2,060	1,502
	Indirect1)		4,884	5,007	4,454
Total emissions/Revenues		TJ/KRW billion	1.0	1.1	1.0

1. *Based on domestic + overseas sites
2. 1)Electricity, external heat, etc

Carbon Intensity

	Unit	2020	2021	2022
Carbon Intensity1)	tCO2eq/TJ	71.7	64.4	61.1

1. 1)Greenhouse gas emissions (Scope 1+2) compared to total energy use generated in the work sites (domestic + overseas)

3. Water Management

Water Management

		Unit	2020	2021	2022
Total water consumption		Thousand Tonnes	2,859	2,648	2,358
	Water supply		2,859	2,648	2,358
	Ground freshwater(River, Lake)		0	0	0
	Groundwater		0	0	0
	Sea water		0	0	0
Waste water dischare			1,000	838	835
Water recycling			17	17	16
Water stress area1)		-	N.A	N.A	N.A

1. *Based on Geoje shipyard in Korea
2. 1)Countries with less than 1,000 to 1,700 of available water resources per person are classified as 'water stress countries' (International Institute of Population Behavior)

4. Waste Management

Waste Management

		Unit	2020	2021	2022
Total waste consumption (general + hazardous)		ton	60,111	53,380	40,925
	Recycled(external)		28,189	26,315	19,885
	Incinerated(internal)		22,152	19,217	14,113
	Incinerated(external)		2,462	1,776	1,224
	Landfill(external)		7,308	6,072	5,704
General Waste		ton	54,264	48,528	37,244
	Recycled(external)		25,904	24,312	18,192
	Incinerated(internal)		21,997	19,083	14,015
	Incinerated(external)		218	0	19
	Landfill(external)		6,145	5,133	5,019
Hazardous (designated) waste		ton	5,847	4,852	3,681
	Recycled(external)		2,285	2,003	1,692
	Incinerated(internal)		155	134	98
	Incinerated(external)		2,244	1,776	1,206
	Landfill(external)		1,163	939	685
Total emissions/Revenues		Tonnes/KRW billion	8.8	8.1	6.9

1. *Based on Geoje shipyard in Korea

5. Contaminant management

• Air pollution management
• Chemical Contaminant Management
• Water pollutant management

Air pollution management

		Unit	2020	2021	2022
Air pollution Emissions		㎏	79,570	48,109	48,845
	SOx		1,972	1,494	2,828
	NOx		44,677	18,789	18,115
	TSP		32,921	27,826	27,902
Total emissions/Revenues		kg/KRW billion	11.1	7.3	8.2

1. *Based on Geoje shipyard in Korea

Chemical Contaminant Management

		Unit	2020	2021	2022
Total Emissions1)		㎏	1,981,151	1,685,160	1,370,432
	2-propanol(67-63-0)		58,325	60,511	58,820
	Ethyl benzene(100-41-4)		345,492	289,801	250,277
	Toluene(108-88-3)		23,462	25,493	26,637
	Xylene(1330-20-7)		1,533,319	1,289,644	1,015,724
	Ethylene(74-85-1)		20,553	19,711	18,974
	Methyl alcohol(67-56-1)		0	0	0
Total emissions/Revenues		kg/KRW billion	288.8	254.5	230.5

1. *Based on Geoje shipyard in Korea
2. 1)Based on PRTR (Pollutant Release and Transfer Register)

Water pollutant management

		Unit	2020	2021	2022
Total Emissions		㎏	84.8	67.2	73.9
	Biological Oxygen Demand (BOD)		0	0	12.7
	Chemical Oxygen Demand (COD)		40.0	22.0	0
	Total Organic Carbon (TOC)		0	0	19.2
	Suspended Substances (SS)		14.0	25.0	8.1
	Total phosphorus (T-P)		1.0	0	0.7
	Ammonia nitrogen (NH3-N)		29.7	18.6	32.6
	Fluorine (F)		0	0.3	0
	Heavy metals		0.1	1.3	0.6
Total emissions/Revenues		kg/KRW billion	0.012	0.010	0.012

1. *Based on Geoje shipyard in Korea

6. Other environmental indicators

Social

1. Employees

employees

Gender	Male	96.3%	Contract type	Full time	97.7%
	Female	3.7%		Temporary	2.3%
Age	20s	3.2%	Position	Director	0.1%
	30s	28.6%		Executive	0.4%
	40s	38.8%		Manager	37.5%
	50s	29.5%		staff	62.0%

1. *Based on 2022 annual report

2. Employee training

• Training hours
• Training cost

Training hours

		Unit	2020	2021	2022
Total		Hr	447,329	396,412	478,195
	Human resources development1)		135,914	107,019	212,075
	Human rights		39,692	24,014	21,970
	Environment		59,316	55,674	52,650
	Safety		134,503	157,145	132,181
	Compliance		67,590	44,919	37,135
	Quality		2,860	2,540	2,380
	Engineering Design		5,856	3,520	18,360
	Security		1,598	1,581	1,444
Hours per person		Hr	45.2	42.7	54.5

1. 1)Talent, RPA, DT

Training cost

	Unit	2020	2021	2022
Total cost	KRW 100 million	14.4	9.9	19.5
Cost per person	KRW thousand	146.0	106.3	222.4

3. Supply chain management & Winwin growth

• Supply chain management
• Supply chain support

[ Tier 1 supplier ]

[ Purchase cost ]

Supply chain management

		Unit	2020	2021	2022
Tier 1 suppliers		companies	1,756	1,451	1,393
	Significant suppliers in Tier 11)		216	244	222
	Suppliers assessed		216	244	222
Purchase cost		KRW 100 million	39,991	66,586	62,815
	Eco-friendly equipment and materials2)		0.4	8,241	11,192

1. 1)Primary supplier with significant association to the company or risk of negative ESG impact
2. 2)Cost of purchasing dual fuel engine and equipment, selective reduction catalyst, sulfur oxide capture device, eco-friendly (non-use, water-soluble) paint, etc

[ Training support ]

[ Financial support ]

Supply chain support

		Unit	2020	2021	2022
Education support		Persons	32,773	38,923	16,204
	Quality, Safety, Task		32,499	38,759	15,938
	Training of human resources		274	164	266
Financial support		KRW 100 million	3,376	3,271	3,277
	Benefits		371	266	272
	Winwin growth fund		3,005	3,005	3,005
Percentage of cash payment monitoring amount1)		%	66	75	73

1. 1)It is a system that induces the conclusion of fair trade agreements between Tier 1 and Tier 2 suppliers, and refers to the ratio of the amount paid in mutual cash

4. Contribution management

• Contribution cost
• Volunteer hours
• Other activities

Contribution cost

		Unit	2020	2021	2022
Contribution cost		KRW Million	990	930	1,225
	Company		250	250	574
	Employee		740	680	651
Employee contributed		Persons	7,524	6,116	6,356

Volunteer hours

	Unit	2020	2021	2022
Total hours	Hr	10,783	7,112	7,117
Hours per person		1.1	0.8	0.8

other activities

		Unit	2020	2021	2022
Periodic blood donation campaign	Blood donation	Cases	1,689	1,735	1,796
'Bring Back Your Bright Smile' Program1)	Treated persons	Persons	11	9	59
	Treatments	Cases	386	238	287
	Surgeries		52	30	44
	Amount of support	KRW million	500	500	500

1. 1)Support for reconstructive plastic surgery and social rehabilitation programs for low-income youth face deformities

5. Safety & Health

• Safety
• Health

Safety

		Unit	2020	2021	2022
Safety indicators (employee + internal supplier)	Deaths	Persons	2	1	0
	Accident rate1)	%	0.23	0.25	0.30
	LTIFR2)	cases/million hours	1.05	1.26	1.03
Awards and recognition	Amounts	KRW million	215	163	152
	Cases	number	212	176	193
Inspection, Exercise	Internal	cases	340	350	350
	Emergency response		165	157	152

1. 1)(Number of injured ÷ number of workers) x 100
2. 2)Lost Time Injuries Frequency Rate

Health

		Unit	2020	2021	2022
Medical examination	General	Persons	847	770	537
	Comprehensive		9,265	8,573	6,726
Other activicties	Use of internal clinics	counts	57,189	42,180	48,510
	Vaccination	%	90	60	94
	Anti-smoking clinic	Persons	8,289	5,596	0 (Not implemented due to COVID-19)

Governance

Information related to the board of directors can be found on the 'Investment Information-Governance-Board of Directors' section of the company's website.

1. Compliance

2. Quality management

• Quality indicator
• Customer Satisfaction

[ Welding defect rate
(structure, piping) ]

[ Inspection Acceptance Rate
(Process, Mechanical completion) ]

[ Punch¹⁾ ]

1. 1)Improvement requests received from the customers

[ COPQ²⁾ ]

1. 2)Cost Of Poor Quality

Customer Satisfaction

		Unit	2020	2021	2022
Customer Satisfaction Assessment1)	Points	Points	67.1	72.8	66.0
	No. of customer company received	Companies	19	18	16
Response to customer complaints	No. of claims received	Cases	10,433	11,991	9,717
	Average action time against claims2)	Days	49	48	41

1. 1)This is the result of a survey of customers residing in our company, and the questions consist of design/production, equipment, safety, and satisfaction with welfare support Changes to survey criteria in 2022 (expanding survey responses)
2. 2)The period of time it takes to prepare materials, ship, replace, and verify engineers for claims arising after delivery

3. R&D Innovation

R&D Innovation

		Unit	2020	2021	2022
R&D cost		KRW million	50,222	51,577	61,598
	CAPEX		6,342	10,239	7,800
	OPEX		43,880	41,338	53,798
	Compared revenues	%	0.7	0.8	1.0
Number of R&D personnel		명	338	338	370
Intellectual property rights1)		Cases	189	101	285
	Patent		168	97	250
	Utility Model		5	2	6
	Design		8	0	21
	Trademark and software copyright		8	2	8

1. 1)Based on the number of registrations

4. Information protection and security