ESG Data Center
For a bountiful future for all humanities,
Korea Zinc refines today and prepares for tomorrow.
Environment
Scope1
2.57M tCO2eq
Scope2
0.61M tCO2eq
Scope3
4.61M tCO2eq
Energy Consumption
44,425TJ
Renewable Energy Consumption
0.21TJ
NOx
716.6ton
SOx
966.9ton
TSP
130.9ton
TOC
17.9ton
SS
41.8ton
BOD
7.7ton
T-N
130.9ton
T-P
0.2ton
Environmental Management System
The Onsan Refinery, first acquired ISO 14001 certification in 2015. This certification, which serves as the international standard for environmental management systems, has been maintained through regular renewals. The refinery undergoes annual audits by accredited third-party institutions to assess and improve its environmental management system, ensuring its continued effectiveness.
| Metric | Site | Employee |
|---|---|---|
| Total Number | 2 (Headquaters, Onsan Refinery) | 1,969 |
| Number certified to ISO 14001 | 1 (Onsan Refinery) | 1,693* |
| Proportion | 50% | 86% |
*Number of employee at certified site
Net Zero Scenario
Korea Zinc reported our “Carbon Reduction Plan” during the regular board meeting held on November 8, 2024, and the agenda for this meeting is accessible on our website.
Fleet Fuel Carbon Emission and
Energy Usage
| Metric | FY 2024 |
|---|---|
| Carbon Emission (tCO₂eq) | 470 |
| Energy Usage (MJ) | 6,823,615 |
Energy Usage of
Hydrogen Forklift in 2024
Korea Zinc hosted an inauguration ceremony on August 28, 2024, to mark the completion of a hydrogen refueling station for hydrogen-powered forklifts at its Onsan Smelter in Ulsan. This facility is the first hydrogen refueling station in South Korea to be built within a national industrial complex. It was developed after Korea Zinc received regulatory approval in March 2023 under a sandbox program to construct and operate a station dedicated to hydrogen fuel cell forklifts. In addition to building the refueling station, Korea Zinc introduced five hydrogen-powered forklifts. Of these, four are 5-ton forklifts, and one is a 3.5-ton model. Looking ahead, the company plans to phase in an additional 25 forklifts, bringing the total fleet to 30 units
| Metric | FY2024 |
|---|---|
| Hydrogen (m³) | 2,321 |
| Electricity (kWh) | 43,427 |
Investment in Energy Conservation & Saving from energy Conservation programs
Since 2022, Korea Zinc has invested KRW 40.7 billion in a range of energy-saving initiatives. As a result, the company achieved energy cost savings of KRW 2.4 billion in 2023 and KRW 7.7 billion in 2024.
| No. | Energy Conservation Program | Duration | Investment (milion KRW) |
|---|---|---|---|
| 1 | Electricity Savings Through the Integrated Management of Aging Facilities | Feb 22 ~ Feb 24 | 27,281 |
| 2 | Reducing Greenhouse Gas Emissions Through the Transition of Forklift Fuel from Diesel to Hydrogen | Dec 22 ~ Aug 24 | 5,106 |
| 3 | Electricity Savings Through the Deployment of High-Efficiency Cooling Tower Fans (Phase 1, Units #2) | Sep 23~ Oct 23 | 144 |
| Electricity Savings Through the Deployment of High-Efficiency Cooling Tower Fans (Phase 2, Units #8) | Aug 24 ~ Mar 25 | 610 | |
| 4 | Electricity Savings Achieved by Replacing Aging Equipment with High-Efficiency, Large-Capacity Systems | Sep 24 ~ Jun 25 | 6,204 |
| 5 | Reducing LNG Consumption Through the Reutilization of Exhaust Gas Waste Heat | Dec 24 ~ Jul 25 | 599 |
| 6 | Comprehensive Evaluation of Energy Utilization Across All Facilities and Diagnosis for Energy Efficiency Improvement | Apr 24 ~ Nov 24 | 202 |
| 7 | Optimizing Energy Utilization Through the Implementation of an Advanced Energy Monitoring System | Oct 24 ~ May 25 | 523 |
| Total | 40,669 | ||
Water Resource Risk Management
Korea Zinc recognizes water consumption and water scarcity as critical global trends that require close monitoring. The company conducts an annual water risk assessment of its facilities using the WRI Aqueduct tool, which evaluates risks under short-, medium-, and long-term climate scenarios. Based on the results of this assessment, none of the sites operated by the company are located in regions categorized as areas facing high or extremely high water stress.
| Metric | Unit | FY2024 |
|---|---|---|
| Freshwater withdrawn | m3 | 14,725,920 |
| Percentage of fresh water withdrawn in regions with High or Extremely High Baseline Water Stress | Percentage(%) | 0 |
| Amount of water recycling* | m3 | 796,404 |
*Stormwater(rainwater) recycling and RO-treated recycled water
Biodiversity Conservation
Korea Zinc recognizes that biodiversity conservation is a critical foundation for sustainable development across all business activities. The Company strives to minimize negative impacts on natural capital, including areas surrounding its operational sites.
Biodiversity Risks Management through the TNFD LEAP Methodology
To systematically identify and assess dependencies, impacts, risks, and opportunities related to biodiversity within its refining operations, Korea Zinc has established a risk and opportunity management process based on the LEAP Methodology recommended by the Taskforce on Nature-related Financial Disclosures (TNFD).
Locate
Scope Definition &
Identification of Sensitive Areas
- Define the scope of assessment
- Analyze biodiversity-sensitive areas
Evaluate
Assessment of Dependencies
and Impacts
- Conduct analysis using tools based on industry and site characteristics
- Identify key areas based on assessment of dependencies and impacts
Assess
Identification & Analysis of
Biodiversity Risks and Opportunities
- Identify key risks and opportunities related to biodiversity
- Conduct scenario analysis on biodiversity
Prepare
Development & Implementation
of Response Strategies
- Establish and implement strategies to address negative impacts on biodiversity
- Define and manage key biodiversity-related performance indicators
Locate
Korea Zinc identified key operational sites across its value chain based on its non-ferrous metal smelting business model and conducted a GIS-based analysis to assess biodiversity-sensitive locations in and around these sites. In addition, for major directly operated sites, further analysis was carried out using domestic protected area classification systems to identify proximity and adjacency to key protected areas.
| Site | Protected Area Name | Distance | Protected Area Type |
|---|---|---|---|
| Headquarters | Bukhansan | Approx. 5 km | National Park |
| Onsan Refinery | Hoeya Dam | Approx. 8 km | Water Source Protection Area |
| Mujechi Wetland | Approx. 18 km | Wetland Protection Area | |
| Gajisan | Approx. 16 km | Provincial Park | |
| Upper Reaches of the Suyeong River | Approx. 18 km | Water Source Protection Area |
Evaluate
We identified potential dependencies and impacts of our operational activities on nature by utilizing the World Wide Fund for Nature (WWF)’s Biodiversity Risk Filter (BRF) and ENCORE (Exploring Natural Capital Opportunities, Risks and Exposure).
| Category | Details |
|---|---|
| Dependency Factors | Dependency refers to the extent to which a company relies on ecosystem services provided by natural capital. Water-related factors, including precipitation pattern and water supply, were identified as key dependency factor. Korea Zinc reduces water use and enhances water management efficiency through rainwater utilization and wastewater recycling systems. |
| Impact Factors | Impact refers to the negative impacts that a company’s business activities may exert on natural capital. Disturbances caused by noise and artificial lighting were identified as the most significant potential pressure factor. Considering its location within an industrial complex, the impact of the Onsan Refinery is assessed as limited; however, efforts to minimize environmental impacts will continue. |
Assess
Based on the TNFD recommendations and sector guidance of metals and mining, we established a pool of nature-related risks and opportunities. Subsequently, for each identified risk and opportunity, we analyzed the potential impacts on business activities and their timing of occurrence by analysis results, regulatory assessments, industry benchmarking, and internal stakeholder input.
| Category | Type | No. | Key Risks and Opportunities | Potential Financial Impact | Timing |
|---|---|---|---|---|---|
| Physical Risks | Chronic | R1 | Increased scarcity of key natural inputs | Increased procurement costs for water, energy, and mineral raw materials Reduced operational efficiency due to adjustments in production planning | |
| Chronic | R2 | Deterioration of water availability and quality due to operational activities or climate change | Additional water treatment costs to secure process water Increased operating costs due to production disruptions | ||
| Transition Risks | Legal and Policy | R3 | Restrictions on development and permitting, and expanded restoration obligations due to strengthened biodiversity policies and regulations | Reduction in areas available for new exploration within the supply chain Constraints on growth strategy and increased costs for securing reserves | |
| Reputation | R4 | Operational disruptions and reduced business continuity due to conflicts with local communities | Revenue loss due to permitting delays and operational shutdowns Increased costs related to stakeholder engagement and dispute resolution | ||
| Reputation | R5 | Concerns over ecosystem degradation and declining corporate reputation due to strengthened biodiversity conservation demands | Decline in brand value Long-term reduction in enterprise value due to decreased trust from customers and investors | ||
| Opportunity | Resource Efficiency | O1 | Transition to energy-efficient infrastructure and circular production systems and value chains | Reduced consumption of energy and raw materials Lower operating costs and enhanced long-term competitiveness | |
| Products/Services | O2 | Expansion of recycled raw material usage | Reduced dependence on natural resources Stabilization of raw material procurement costs |
Prepare
To effectively manage the key risks and opportunities identified in the Assess phase, we classify and implement appropriate response strategies. In addition, to assess and manage impacts on natural capital—including land, freshwater, oceans, and biodiversity—we are establishing core metrics recommended by TNFD, along with sector-specific metrics outlined in the TNFD Metals and Mining Sector guidance.
| No. | Nature Change Driver | Type | Metric |
|---|---|---|---|
| C1.1 | Land/Freshwater/Marine Use Change | Scale of changes in land, freshwater, and marine ecosystem use | |
| Area of land conserved under a form of formal protection, based on local, national or internationally recognized protection designations | |||
| Coverage by a biodiversity management plan and/or strategy for no net loss or net gain of biodiversity | |||
| C2.1 | Water Pollution and Reduction | Total volume of water discharged | |
| Total volume of freshwater discharged | |||
| Concentrations of key pollutants in the wastewater discharged | |||
| C2.2 | Waste Pollution and Reduction | Weight of hazardous and non-hazardous waste generated by type | |
| Weight of hazardous and non-hazardous waste disposed of incineration | |||
| Weight of hazardous and non-hazardous waste disposed of landfill | |||
| Weight of hazardous and non-hazardous waste disposed of recycle | |||
| Weight of hazardous and non-hazardous waste disposed of other disposal methods | |||
| C2.4 | Air Pollution and Reduction | Emissions of Nitrogen oxides (NO2, NO, NO3) | |
| Emissions of Sulfur oxides (SO2, SO, SO3, SOx) | |||
| Emissions of Volatile organic compounds (VOC) | |||
| C3.0 | Resource Use / Replenishment | Water withdrawal and consumption (m3) from areas of water scarcity, including identification of water source | |
| Water withdrawal in areas of water scarcity as a percentage of the total water withdrawn | |||
| The number and share (%) of sites located in areas of water scarcity | |||
| C3.1 | Resource Use / Replenishment | The specific sustainable management plans/certifications included in the metric, and/or the criteria for inclusion | |
| C5.0 | State of Nature | Level of ecosystem condition by type of ecosystem and business activity | |
| Species extinction risk |
-
Disturbed Land
Korea Zinc operates within government-regulated National Industrial Complex, ensuring compliance with all land use and environmental regulations. The company employs Top Submerged Lance (TSL) technology, which efficiently recycles waste materials to maximize zinc recovery. This process eliminates the need for waste ponds, as residues are processed to extract valuable metals, resulting in minimal environmental disturbance.
-
Spill
Korea Zinc reported zero spills at its operational sites in both 2023 and 2024. This achievement is supported by the company’s robust chemical substance management practices, which are disclosed on page 31 of the Sustainability Report.
Social
Employee
| Number of employees | Permanent employees | Number of female employees | Percentage of female manager | New Hires |
|---|---|---|---|---|
| 1,969 | 1,866 | 118 | 6.27 % | 195 |
Diversity Metric
The total number of employees with diverse national backgrounds is six, consisting of five in Senior Management and one in Junior Management.
| Metric | Unit | FY 2024 | Note |
|---|---|---|---|
| Management position | No. of people | 5 | Includes 3 Australians and 2 U.S. nationals |
| Junior management position | No. of people | 1 | Includes 1 U.S. national |
2024 Annual Average Education Hours Categorized by Gender
| Metric | Male | Female | Total |
|---|---|---|---|
| Accumulated hours | 92,777 | 8,372 | 101,149 |
| No. of employee | 1,851 | 118 | 1,969 |
| Per capita hours | 50 | 71 | 51 |
2024 Annual Average Education Hours by Employee Category
| Metric | Managerial position | Non-managerial position | Total |
|---|---|---|---|
| Accumulated hours | 5,740 | 95,409 | 101,149 |
| No. of employee | 123 | 1,846 | 1,969 |
| Per capita hours | 47 | 52 | 51 |
Promotion on mental health awareness
The company conducts an annual mental health assessment for all employees, including contractors working at operational sites. In 2024, the assessment took place from May 8th to June 28th, evaluating 43 key factors. These factors encompassed the physical work environment, interpersonal conflicts, corporate culture, work-related stress, and the level of autonomy employees have in their roles. Participants identified as experiencing high stress levels were provided with one-on-one counseling sessions, along with the option for more in-depth support if required. Additionally, employees who displayed healthy mental well-being received online educational materials to help sustain and enhance their mental resilience. Furthermore, the company provides all employees with access to free consultation programs each year to support both job satisfaction and emotional well-being.
Product Safety
Korea Zinc produces a diverse portfolio of metals, ranging from base metals to precious and minor metals. The company utilizes a variety of metallurgical processes to extract target metals from different raw materials and efficiently remove impurities, resulting in high-purity products.
The company’s products are registered with the London Metal Exchange (LME) and the London Bullion Market Association (LBMA), demonstrating alignment with internationally recognized quality standards.
Talent Development and Capacity Building
Korea Zinc enhances its competitiveness by strengthening employees’ leadership and job-related competencies and providing language training. We also regularly assess employees’ training needs and conduct satisfaction surveys and training evaluations to support their career development and enhance their performance.
Supply Chain ESG Assessment
Korea Zinc conducts annual ESG assessments of selected key suppliers, reflecting its Supplier Code of Conduct as well as relevant domestic and international requirements, and covering environmental protection and other related ESG topics. These assessments are designed to systematically and comprehensively review whether suppliers meet the Company’s standards and expectations. In 2025, ESG assessments were conducted for key suppliers, and among the assessed suppliers, 10 were selected for additional on-site ESG assessments to more thoroughly review their compliance across ESG topics. As a result of the on-site ESG assessments, no material environmental impacts were identified (0 cases). In addition, to support the enhancement of ESG capabilities among the assessed suppliers, Korea Zinc prepares and provides company-specific diagnostic reports analyzing each supplier’s ESG performance level.
Governance
ESG Committee
Since 2022, Korea Zinc has operated the Sustainability Management Committee as an advisory body to the CEO. On December 23, 2024, we elevated it to the ESG Committee, a committee under the Board as defined by the Commercial Act, and simultaneously established the Sustainability Promotion Committee, as its implementation body. The ESG Committee is positioned as the core decision-making body for ESG management, overseeing the overall direction, performance and major issues of sustainable management across environmental, social and governance sectors.
| Session | Date | No. of Member | Committee Attendance |
|---|---|---|---|
| 1st | 25 Feb | 3 | 100%(3/3) |
| 2nd | 16 Jul | 3 | 100%(3/3) |
| 3rd | 21 Nov | 4 | 100%(4/4) |
Sustainability Promotion Committee
The Sustainability Promotion Committee was established in February 2025 to succeed and expand upon the role of the Sustainability Management Committee, which had been in operation since 2022. With the launch of the ESG Committee under the Board in December 2024, the Sustainability Promotion Committee also assumed responsibility for reviewing agenda items to be submitted to the ESG Committee. With an aim to enhance its expertise, the committee appointed external advisors specializing in environmental, social, and governance area at its inaugural meeting in February 2025.
| Session | Date | No. of Member | Committee Attendance |
|---|---|---|---|
| 1st | 25.02.20 | 12 | 92%(11/12) |
| 2nd | 25.04.30 | 12 | 92%(11/12) |
| 3rd | 25.10.02 | 13 | 100%(13/13) |
Code of Business Ethics
Korea Zinc conducts annual ethics management training, including anti-corruption programs, for all employees, members of the Board, and contract workers. Based on the Code of Ethics, all employees are also required to submit an annual ethical management pledge to reaffirm their understanding and commitment to ethical conduct.