Andrada Mining : Sustainability Report

SUSTAINABILITY REPORT

January 2023

CONTENTS

Foreword	3
Sustainability highlights	4
Scope and boundary of this report	6
Chapter 1: Governance of Sustainability	7
Chapter 2: Our People	11
Chapter 3: Our Communities	14
Chapter 4: Health and Safety	19
Chapter 5: Responsible Stewards of The Environment	22
GRI and SASB annexure	28

2	Sustainability Report 2022

FOREWORD

As a CEO and prospector, I believe the mining industry needs to continue on its path to become more inclusive. This has brought together a group of professionals with a collective mindset to do things differently at Andrada. We are building a culture where sustainability and environment, social and governance (ESG) performance is imbedded throughout our value chain. This ethos will drive our ambition to be the African tech-metals champion.

This is our first Sustainability Report and seeks to demonstrate the efforts of the Andrada team who continue to be encouraged by the Board through the ESG Board sub-committee. From a governance perspective the company has adopted best practice policieswhich are now available on our website. As we move forward, we will look to implementing these policies throughout the organisation. We have during the year developed a draft ESG strategy which will be presented to the Board for approval before the end of 2022.

Mining needs to create a symbiotic relationship between development and communities. We plan to forge a way for integrated sustainable development in whatever we do. Self-sustaining community development initiatives are therefore as important to us as is our own success. Through the multiplier effect which is as a result of our activities at Uis, wider benefits accrue to our community. Our contractors provide a good example of this; businesses have started up as a direct result of the Uis Tin Mine returning to production. During the financial year, we contributed over N$143 million to the Namibian economy and funded over N$185,000 in community projects. We will continue to focus on skills improvement programmes as this will have a positive benefit to the Uis Tin Mine and Namibia.

Uis has also seen growth and development such as work to tar the road from Swakopmund. To ensure an adequate supply of water for the road project, Uis residents and our operations, we contracted hydrogeologists to model the road construction water requirements against our requirements for the extended life of mine. Water will continue to be a strategic item for Andrada and we will continue to optimise how we utilise this valuable resource. Thinking positively, the tarred road will increase our ability to move goods and materials, allowing us to consider solar or wind energy and desalination technology. We are working towards long-term sustainable solutions to ensure safe production, but also benefit our community. Providing basic services like water and power will ensure lasting benefits for Uis. In the spirit of working with our community, we have also commenced with closure planning, as the town of Uis has experienced first-hand the effects of unplanned mine closure on their economy. As we work towards better understanding our environmental footprint, we will continue to focus on reducing Scope 1 and 2 emissions at an operational level.

It would be remiss to overlook the growing pains of such an exceptional project like rejuvenating and growing the Uis Tin mine. Through this process, we've been given the opportunity to examine our performance statistics across the various ESG topics and identify where we are most at risk. Our Health and Safety statistics and staff turnover have challenged us but we are being proactive in addressing identified issues. Over the past months we've contracted two independent Health and Safety Risk specialists who will continue to train us all in improving our safety culture, safety systems and ultimately performance. To advance ESG, we have appointed an experienced ESG Manager to further develop our strategy and drive implementation in the company.

Andrada has shown ESG improvements over this past financial year, and the team is committed to advance this even further. With the upcoming expansions, I have every confidence we can meet and overcome every challenge.

Sustainability Report 2022

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SUSTAINABILITY SNAP SHOT

N$ 186 918

invested in local community development projects

N$ 143 MILLION

spent with local and national suppliers during FY22

86% of employees and 36% of contractors received Health, Safety and Emergency Response Training during the year

12.53 total recordable injury frequency rate per million man-hours worked

8 208 tonnes of CO2e produced

0.018 tonnes CO2e / tonne ore processed

4

Sustainability Report 2022

Sustainability Report 2022

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SCOPE AND BOUNDARY OF THIS REPORT

We are pleased to produce our first ever Sustainability Report. The report sets out our policies, management approach to sustainability, and performance data for our most material sustainability issues for the 2022 Financial Year (1 March 2021 - 28 February 2022).

This report has been prepared to align with the requirements of the Sustainability Accounting Standards Board (SASB), and in accordance with the GRI Standards 'core' option. Unless otherwise stated the data contained in this report refers to our sole operation the Uis Tin Mine in the Erongo Region of Namibia, and the currency amounts in the report are expressed in Namibian dollars, unless otherwise indicated.

Name	Location	Status	End Products
Uis	Erongo, Namibia	Mining Licence	Tin, with potential by-products Tantalum and
Lithium
Nai-Nais	Erongo, Namibia	Mining Licence	Tin, Lithum
B1C1	Erongo, Namibia	Mining Licence	Tin, Tantalum
Brandberg	Erongo, Namibia	Exploration Licence	Tin, Tungsten, Copper

6	Sustainability Report 2022