ABL : Sustainability Report 2023

D R I V I N G S U S T A I N A B I L I T Y I N E N E R G Y A N D O C E A N S

A B L G R O U P S U S T A I N A B I L I T Y R E P O R T 2 0 2 3

W W W . A B L - G R O U P . C O M

TA B L E O F C O N T E N T S

1. A B L G R O U P A S A
2. T H E A B L G R O U P FA M I LY
3. W H E R E W E W O R K
4. S U S TA I N A B I L I T Y R E P O R T

1. S O C I A L

1 1	C S R I N I T I AT I V E S
1 4	E N V I R O N M E N T
1 7	P R O J E C T C A S E S T U D I E S
1 9	Q U A L I T Y, H E A LT H , S A F E T Y, A N D E N V I R O N M E N T
2 0	G OV E R N A N C E

A B L G R O U P A S A

CONTENTS | ABL GROUP | SUSTAINABILITY REPORT | CSR INITIATIVES | PROJECT CASE STUDIES

ABL Group is a leading independent global consultancy delivering energy, marine, engineering & digital solutions to drive safety and sustainability in energy and oceans.

ABL GROUP ANNUAL REPORT 2023 | 3

T H E A B L G R O U P FA M I LY

CONTENTS | ABL GROUP | SUSTAINABILITY REPORT | CSR INITIATIVES | PROJECT CASE STUDIES

ABL Group ASA - A global brand family combining the deepest pool of expertise across energy, marine, engineering and digital disciplines to drive safety and sustainability in energy and oceans throughout the life-cycle of a project of asset.

1

2

3

4

Global, independent energy, marine and engineering consultant working to de-risk and drive sustainability across projects and assets in Renewables, Maritime and Oil & Gas.

Multi-disciplinary engineering consultancy and software provider specialising in wells and reservoirs.

Specialized engineering, technical advisory and consultant for the commercial development of offshore and onshore renewable energy.

Independent engineering, design and analysis consultants working across marine markets: Renewables, Oil & Gas, Maritime, Small Craft

& Defence and Infrastructure.

K E Y S E R V I C E S

• M A R I N E W A R R A N T Y S U R V E Y ( M W S )

A N D M A R I N E A S S U R A N C E & R I S K

•	E N E R G Y & M A R I N E O P E R A T I O N S S U P P O R T
•	M A R I T I M E S E R V I C E S

K E Y S E R V I C E S	K E Y S E R V I C E S	K E Y S E R V I C E S
• W E L L S & R E S E R V O I R C O N S U L T I N G	• R E N E W A B L E S C O N S U L T I N G	• M A R I N E O P S E N G I N E E R I N G
•	R E S O U R C E S O L U T I O N S	•	O W N E R ' S E N G I N E E R I N G	•	V E S S L & F A C I L I T Y D E S I G N
•	S O F T W A R E	•	T E C H N I C A L D U E D I L I G E N C E	•	A N A L Y S I S A N D S I M U L A T I O N S

ABL GROUP ANNUAL REPORT 2023 | 4

W H E R E W E W O R K

CONTENTS | ABL GROUP | SUSTAINABILITY REPORT | CSR INITIATIVES | PROJECT CASE STUDIES

ABL GROUP ANNUAL REPORT 2023 | 5

S U S TA I N A B I L I T Y R E P O RT

A W O R D F R O M O U R C E O

CONTENTS | ABL GROUP | SUSTAINABILITY REPORT | CSR INITIATIVES | PROJECT CASE STUDIES

2023 has been a year of record global temperatures but also another record high in global renewable energy installations. It is also a year where the UN has highlighted slow progress towards the UN Sustainable Development Goals (SDGs). As a Group, we signed up to the SDGs in 2019 and continue to work towards a fairer and more sustainable planet across all of the SDG categories.

As a knowledge based company without assets, we focus our attention on the work we carry out and how we deliver it.

This year we have focused on maturing our ESG approach and teams, allowing us to record and measure our performance much more efficiently and therefore take targeted action to reduce any negative impacts on the environment and society as well as celebrating and enhancing where we have a positive impact. We are proud that this culminated in being awarded an EcoVadis bronze medal at the end of 2023, putting us in the top 37% of companies assessed by EcoVadis globally. In 2024 we will continue to build on this success as we also prepare for CSRD reporting in 2025.

A key part of our sustainability journey remains supporting our clients on their renewables and other energy transition projects. We are pleased that our renewables and energy transition revenues have continued to increase year on year to 30% and that we have been able to support 230GW of renewable energy generation across 277 separate projects around the world.

The significant growth of our onshore business as well as our work with development banks has also allowed us to support the deployment of renewable energy to a wider range of developing economies.

We are also delighted that with the acquisition of AGR we have been able to expand our technical knowledge and expertise in other energy transition areas

• specifically carbon capture and storage and geothermal energy. With a world leading team in reservoir storage for CCUS we now have a fantastic platform to lead the way in this area of global growth. We have also worked on a range of exciting projects decarbonizing shipping and port infrastructure.

In addition to our work on renewables and energy transition projects, we have worked on a number of key initiatives in 2023, to ensure that ESG is at the heart of our every day activities:

• Deployment of a group-wide training platform with bespoke content, to train the next generation of energy and maritime professionals.
• Launching a group-wide HR platform allowing us to better track and report on diversity
• Running our first group-wide diversity and inclusion survey
• Taking part in a number of external programmes aimed at improving our ESG performance
• Launching our emissions tracking programme
• Continued support for a wide range of charitable initiatives
• Continuous improvement of our HSE systems
• Continuous improvement of our supply chain engagement with respect to fair working practices

This Sustainability Report will describe our actions to continually improve in areas related to Diversity, Equity and Inclusion (DE&I), the environment and governance. By including this in our Annual Report to shareholders, we also show our commitment to sharing this information with our stakeholders using our primary channels of communication as a key document in our Environmental, Social, and Governance ("ESG") reporting.

REUBEN SEGAL

C H I E F E X E C U T I V E O F F I C E R

ABL GROUP ANNUAL REPORT 2023 | 6

T H E R E P O RT

CONTENTS | ABL GROUP | SUSTAINABILITY REPORT | CSR INITIATIVES | PROJECT CASE STUDIES

Sustainability departmental updates

2023 saw a great deal of growth within the ABL Group Sustainability Team. In April, we appointed a Sustainability Advisor to lead our Sustainability Team in collaborating with various stakeholders to develop and implement the company's sustainability strategy. They were also tasked with supporting the development of new initiatives to help ABL Group become a more sustainable business, along with supporting the management of existing programmes that have already been implemented, particularly the Environment, Social, Governance and Corporate Social Responsibility (CSR) Task Forces.

Our Sustainability Advisor's efforts are aided by our Environmental Analyst, also appointed this year. Our Environmental Analyst is responsible for developing and implementing ABL Group's environmental sustainability strategy, particularly by gathering and managing high quality data and analysis of our Scopes 1, 2, and 3 emissions (see pg. 37 for more on our Emissions Inventory Programme).

In August, Katherine Phillips, former Managing Director of OWC, was appointed as Chief Transformation Officer. Duties of the role include leading the Group's growth aspirations, championing our One Company Culture approach, and overseeing sustainability and ESG initiatives.

Sustainable Development Goals

In line with our commitment to sustainability in our ABL2030 guiding purpose, ABL Group is steadfast in aligning our own strategic objectives with those developed in the UN Sustainable Development Goals (SDGs), along with anchoring our ESG reporting in these principles. Though the Sustainable Development Goals we identified previously still remain relevant and material to us as a business, after the rapid growth we have experienced in the past several years, we deemed it a priority to revisit the goals we align with and through that exercise, we have identified the following goals as being material, or of significant importance, to our business:

C L E A N W AT E R & S A N I TAT I O N

I N D U S T R Y , I N N O VAT I O N , I N F R A S T R U C T U R E

R E D U C E D I N E Q U A L I T I E S

R E S P O N S I B L E C O N S U M P T I O N

L I F E O N L A N D

SUSTAINABLE DEVELOPMENT GOALS (SDGs)

O U R E M P L O Y E E F O C U S

How we do business

O U R B U S I N E S S F O C U S

Where we do business

ABL GROUP ANNUAL REPORT 2023 | 7

CONTENTS | ABL GROUP | SUSTAINABILITY REPORT | CSR INITIATIVES | PROJECT CASE STUDIES

Looking ahead

Throughout 2024, in preparation for the introduction of the Corporate Sustainability Reporting Directive (CSRD) by the European Commission, ABL Group will be developing our commitment to transparent sustainability reporting by conducting a double materiality analysis. This builds on the materiality analysis conducted in 2020 by introducing the concept of impact materiality.

We will move to ensure that in addition to analysing our financial materiality, or the impact of sustainability risks and opportunities on ABL Group, we are also examining ABL Group's impact on society and the environment.

EcoVadis Certification

During 2023 we were delighted to announce that ABL Group was awarded a bronze medal by EcoVadis - the world's most trusted provider of business sustainability ratings - following a comprehensive evaluation of our sustainability practices.

The EcoVadis assessment process assesses an organisation's ESG (environment, social, and governance) credentials, against 21 sustainability criteria across 4 core themes: environment, labour & human rights, ethics and sustainable procurement.

The process both validates a company's sustainability commitments and performance and identifies key actions for improvement year-on-year.

The bronze medal puts ABL Group in the top 37% of companies assessed globally, with its top performances identified in environment, and labour & human rights.

"We are really proud to receive this important award and acknowledgement of ABL Group's commitment to ESG principles. ESG and our commitment to drive sustainability in energy and oceans, sit at the very foundation of ABL Group and are paramount to our continued growth. This is an important milestone in confirming our commitment and in giving us the tools to further improve."

KATHERINE PHILLIPS

CHIEF TRANSFORMATION OFFICER,

ABL GROUP

Social

This past year has been a period of growth for our Social Task Force. In August, we defined our group charter, which outlined the scope and responsibilities to be managed by the Task Force. These responsibilities are grouped into three main categories: employee wellbeing; diversity; and social impact, or CSR (p. #), which all tie into our ABL2030 commitment to prioritise diversity and inclusion. All three categories are equally responsible for stakeholder engagement in the sense of focusing on open and transparent communication with all stakeholders, including employees, clients, suppliers, local communities, and shareholders.

Employee Wellbeing

In September 2023, 16 employees based in our London office from across ABL, ABL Group, Longitude and OWC, were trained as Mental Health First Aiders. This in-person training educated staff on how to identify the symptoms of mental health issues, along with developing confidence to support a colleague experiencing a mental health crisis.

In 2024, the Employee Wellbeing Task Force will work to support our Human Resources team to explore options for an Employee Assistance Programme and encourage employee health check assessments throughout ABL Group.

Diversity & Inclusion

Our Diversity & Inclusion Sub-Task Force is led by Adriana Vargas-Colwill, a Senior Consultant with OWC. The organisation of our D&I Sub-Task Force has been strongly influenced by the Royal Academy of Engineering Inclusive Leadership Programme (see p.# for more details). To efficiently accomplish the goals set out by the Social Task Force, we developed several Working Groups in 2023, all working toward specific themes within D&I:

Awareness: In 2023, Diversity & Inclusion training was made mandatory for all employees of ABL Group. 2024's focus areas will include further strengthening our D&I strategy to improve our communications and training offerings, with our next training due to take place in the London office in Q1.

Data: In May 2023, we launched our first D&I survey (results below). In 2024, we aim to make our data gathering and analyses processes more robust, which will be supported by the capabilities of our new HR information system, enABLe, which was rolled out throughout the second half of 2023.

Company Policies: This Working Group is a newly established initiative, which endeavours to support our HR department in reviewing company policies by determining guiding principles which can then be implemented to the legal requirements of each jurisdiction in which ABL Group operates.

Governance & Leadership: The role of this Working Group is to support the Inclusive Leadership Programme team in developing a D&I Policy which extends to all our offices globally. In seeking out regional advisors from all the regions in which ABL Group operates, our intent is to have input from a wide array of stakeholders.

Employee Resource Groups (ERGs): The fifth Working Group of the D&I Sub-Task Force focuses on setting up internal communities which are aligned with protected characteristics and which are a way for everyone at ABL Group to feel recognised and connected. In 2024, each ERG will set their objectives and develop a strategy, with the intention of having a positive impact on business culture and to influence progress.

Royal Academy of Engineering Programme

In June 2023, a team of leaders from ABL was selected to join the Royal Academy of Engineering (RAEng) Inclusive Leadership Programme alongside teams from 11 other engineering organisations. As part of this programme, the team has attended training sessions to better understand inclusion in the workplace, and received guidance on how to embed this understanding into practice. Members of the team are also taking part in both reciprocal mentoring and sponsorship programmes with guidance from the Royal Academy of Engineering.

As part of the programme, the team is currently at the start of a project to improve inclusivity in the workplace, supported by the D&I specialists at Included who provide the training for the programme. This project will align with the work being carried out by ABL's Social Task Force to ensure that it continues when the programme ends in late 2024.

D&I Survey

In 2023, ABL Group held our first Group-wide Diversity & Inclusion Survey. The survey posed questions on raising EDI issues in the workplace, feeling of belonging at ABL Group, peoples' ability to be themselves in the workplace, and perceived bias. Notable findings included:

For all age groups, there was agreement that employees can raise issues related to D&I with management

Around 70% of men and women feel that they can discuss D&I issues

ABL GROUP ANNUAL REPORT 2023 | 8

CONTENTS | ABL GROUP | SUSTAINABILITY REPORT | CSR INITIATIVES | PROJECT CASE STUDIES

Overall results from the survey showed areas for improvement, which the Social Task Force and RAEng Inclusive Leadership Programme team will collaborate on. We plan to continue monitoring and collecting data regularly in order to measure progress in these areas.

How strongly do you agree with the statement 'I feel able to raise equality, diversity, or inclusion issues with my line manager or other management at ABL'?

"The EDP has allowed me to travel the world and learn the ropes of the marine and energy industry. Through the ABL program I was exposed to a wide variety of sectors which allowed me to develop both my technical and managerial skills. During the program I have met great people and learned to appreciate different cultures and ways of thinking. This broad experience and training has paved the way for my recent promotion to director level within OWC."

"Being part of the Shadow Board's first cohort has been a very rewarding journey, enriching both personally and professionally. Our purpose is to contribute to major company issues, direction, wellbeing and generally just have a voice in initiatives that could impact all employees.

The Shadow Board is made up of 12 young professionals from the ABL Group, including professionals from all regions in the company. This has added value to our discussions as it amplifies the depth

Figure 1

Engineer Development Programme

The ABL Group's annual International Engineer Development Programme, commencing each September (targeted at recent graduates), continues to be a pivotal initiative for cultivating engineering expertise across a spectrum of disciplines, including naval architecture, marine, offshore, civil, geotechnical, and electrical engineering. Accredited by prestigious bodies like RINA, IMarEST, and ICE, this four-year programme offers participants a chance to undertake four placements in different global ABL Group locations, currently involving 20 professionals across 12 locations.

It equips them with diverse skills ranging from design engineering to casualty investigation, enhancing adaptability and flexibility in a rapidly evolving field. Successful completion opens pathways to full professional membership and Chartered Engineer status, affirming ABL Group's commitment to nurturing future leaders in the energy and marine sectors.

Many alumni of the EDP are taking increasingly senior leadership roles across the ABL Group, underlining the value of the programme. As an example, Riccardo Felici, who participated in the EDP when he first joined the group, has recently been promoted to the role of APAC Director for OWC.

RICCARDO FELICI

APAC DIRECTOR, OWC

Shadow Board

Throughout 2023, the ABL Group Shadow Board has initiated and driven a series of strategic initiatives aimed at improving the company. Serving as ambassadors for staff across the organisation, they have provided fresh input to senior leadership. The Shadow Board's primary task during Q1 and Q2 was to assess the existence of a One Company Culture (OCC) across the Group, including its various brands, service lines, and markets, and to formulate a strategy for improvement. Initially, the Shadow Board distributed a survey to all staff, receiving responses from over 50% of full-time employees. The overall results were positive, demonstrating respondents' commitment to strengthening our OCC. The results also identified areas where efforts were needed to further integrate smaller and newer subsidiaries for enhanced OCC. Subsequent to the analysis of themes and results, the Shadow Board presented a comprehensive OCC improvement strategy to senior management, unveiled at the ABL Management Meeting in May 2023.

Shadow board presenting at the Spring 2023 Management Meeting Istanbul, Turkey

of our discussions, ensuring different points of view from a market perspective and cultural nuances are considered.

Personally, as the Chair, this role has been my gateway to leadership, providing me with invaluable insights into the intricate dynamics of our organization. From crafting strategies to define our company culture to spearheading initiatives on staff retention and succession planning, every project has been a key to a broader understanding of our company and its leadership."

ANA PIRRONE

CHAIR OF THE ABL

SHADOW BOARD

Since then, an OCC focus group has been established to follow up, refine, and implement the strategy, supported by the Shadow Board and led by our Chief Transformation Officer, Katherine Phillips.

In Q3, the Shadow Board's second task focused on staff retention and succession planning. After extensive internal and external data gathering, the Shadow Board proposed a set of group-wide solutions to improve staff retention, designed to seamlessly integrate with the upcoming upgrade to group HR systems. Furthermore, the Shadow Board developed a clear internal process for succession planning that is implementable, maintainable, and measurable for success. In line with the task-based approach, the ABL Shadow Board has had the opportunity to gain insight and add value to the management of the ABL Group. They will continue their 18-month tenure through June 2024.

ABL GROUP ANNUAL REPORT 2023 | 9

enABLe

Our new Human Resource Information System (HRIS) is now being used to collect and analyze demographic data related to employees, providing insights into the composition of the workforce in terms of gender, ethnicity, age, and other relevant factors. By having a clear understanding of our data, we will be able to set realistic D&I goals and track progress over time. The system can also provide real-time analytics and dashboards, enabling HR professionals and leaders to monitor D&I metrics continuously. This allows for timely interventions and adjustments to D&I strategies.

The HRIS will also be used to support fair and unbiased performance evaluations by providing tools for setting clear and measurable performance criteria. This can in turn be used to identify high-potential employees from diverse backgrounds for leadership roles through succession planning and by building a pipeline of diverse talent for key positions - helping to ensure that recognition, promotions, and development opportunities are distributed equitably. The system will also be used to assist in analyzing compensation data to identify and rectify gender or ethnicity pay gaps - and to comply with upcoming reporting requirements in the EU and around the world.

Mentorship scheme

CONTENTS | ABL GROUP | SUSTAINABILITY REPORT | CSR INITIATIVES | PROJECT CASE STUDIES

EMPLOYEE DIVERSITY 2023

STAFF POPULATION			NEW STARTS (EXCL . DWP/AGR)
7 6 9 M A L E	1 5 8 M A L E
2 9 8	F E M A L E
6 4 F E M A L E
3 9	U N K N O W N
3 3 U N K N O W N

1 P R E F E R N O T T O S AY	2 5 5 T O TA L
1 1 0 7 T O TA L

Figure 2

MENTEE EXPERIENCE

MENTOR EXPERIENCE

ABL Group's mentorship programme, known for its structured approach and commitment to professional growth, operates on a biannual application cycle, reflecting the organisation's dedication to continuous development and employee engagement. In its recent iteration, the programme successfully forged over 200 mentor-mentee relationships, a testament to its effectiveness and popularity within the company. This robust participation showcases ABL Group's ability to foster a nurturing environment that is conducive to both personal and professional advancement.

Additionally, the programme's growing appeal is evidenced by the surge in applications for the upcoming cycle, with more than 150 aspiring participants. This increasing interest underscores the value that both mentors and mentees derive from the programme. It not only facilitates the sharing of knowledge and experience but also strengthens internal networks and supports career

"The mentorship programme has been highly beneficial for me. Being partnered with an experienced colleague came at the perfect time as I had just begun a new role with ABL MWS. My mentor has offered a lot of great advice regarding the role of an MWS both in the office, but also how to conduct myself whilst on attendance for clients. Having someone to bounce questions and ideas off of in an informal setting, has given a new perspective to my development and training in the role and has helped to grow my confidence, particularly whilst offshore. There are a lot of highly skilled people to learn from in ABL, but having regular calls and building a rapport with my mentor is something unique."

"Mentoring is a key part of our training process, and it is good for our business. As a mentor, I find mentoring personally rewarding! The challenges for a mentee clearly haven't changed much over my career in the industry but how this looks depends on where one is on their career path. For me, mentoring provides a good opportunity to pass on my experience, but also to learn from our mentees.

I find our mentoring conversations very interesting, and I look forward to our meetings. These conversations are useful and provide me with an opportunity to see things from the mentee's perspective; I often see that our goals are well aligned despite the generation and experience gap. As a mentor, our suggestions and guidance can be a useful validation for a mentee and this brings value."

progression within the ABL Group. The mentorship programme thus stands as a crucial pillar in the Group's strategy to cultivate a dynamic and skilled workforce, ready to meet the challenges of an evolving industry.

CALUM MURDOCH	RODGER DICKSON
MD OFFSHORE
NAVAL ARCHITECT, ABL
MARINE OPERATIONS

ABL GROUP ANNUAL REPORT 2023 | 10