Metsä Board Annual Review 2024

METSÄ BOARD Annual review 2024

E3 – Water and marine resources

Emissions to air tn

Reporting principles for metrics Emissions to water and air include the material emissions from Metsä Board’s production units. Emissions are also reported to the authorities. Water discharges are determined based on laboratory meas- urements. Emissions to water are calculated as a combination of waterflows and concentrations. Any wastewater discharges of third parties handled in the wastewater treatment plants are excluded from reporting. Emissions to air are determined based on continuous and/or one-off measurements. The final emissions are calculated as a combination of airflows and concentrations. Emissions are allocated to internal and external inflows by first making an assumption, based on prior measurements, of the reduction in chemical oxygen demand (COD) for each inflow, and later adjusting them to correspond to the unit’s actual COD reduction. Other emissions are allocated based on the flow. At integrated mills, the amount of COD is allocated to parties using the wastewater treatment plant based on the quality of COD. Discharges fed through external (usually municipal) wastewater treatment plants are taken into account with the assumption of an 85% reduction in COD. Limitations of measurements based on flow measurements are discussed under E3 – Water and marine resources . Biological oxygen demand (BOD) and emissions of phosphorus and suspended solids are calculated based on the flow, using the following residual concentrations: BOD 10 mg/l, total phosphorus 0.5 mg/l and suspended solids 10 mg/l. Total nitrogen emissions are considered to be zero, as municipal wastewater contains excess nitrogen, and the reduction of BOD binds nitrogen to bio- mass, reducing the unit’s total nitrogen emissions. A seven-day measuring period (BOD7) is used to determine BOD. The metrics have not been validated by an external party.

2024

2023

Sulphur (SO 2 )

184

176

Impacts, risks and opportunities related to water and marine resources

Nitrogen oxides (NO X )

1,363

1,285

Business operations and value creation 2 This is Metsä Board 4 CEO’s review 6

Particles (PM2.5)

Impacts

Risks and opportunities for Metsä Board

Management

2024

Vesi

Water withdrawals : Metsä Board’s production units are located in areas at low or low-medi- um water risk that have large surface water re- serves. Metsä Board’s operations are designed so they do not affect other parties’ rights or opportunities to use water. The amounts of water withdrawals are presented in the Water withdrawals and consumption and wastewater discharges table Water consumption : The production process of pulp and paperboard products requires plenty of water. However, water consumption is low in relation to the volume of water used. Of all the water consumed, approximately 95% is returned to waterbodies after use, and the remaining 5% evaporates in the process or is bound to the products. Wastewater discharges : Metsä Board’s pro- duction generates wastewater discharges. The cooling water returned to waterbodies may also have a local heating impact. The impacts, risks, opportunities and manage- ment methods related to water discharges are discussed under E2 – Pollution .

Opportunity: The production units’ locations in areas of low water risk supports the company’s competitiveness in a changing climate. Better resilience to climate change-in- duced weather phenomena offers cost benefits. The com- pany’s target of reducing process water use offers cost benefits, improves energy efficiency and helps minimise water risk. The reduced need for clean water and recycling of process water in production processes reduce the water load on natural waters and improve Metsä Board’s reputa- tion as a responsible operator. Risk : If the company is unable to reduce its water use in line with the target, it will lose the cost benefits from reduced water use and will fail to minimise water risks. Metsä Board’s reputation as a sustainable operator suffers.

• The production units are located in areas at low or low-medium water risk. • Process development and the adoption of new tech- niques reduces water use and increases water recycling in the production process, decreasing the need to withdraw more raw water. • The best available techniques are used and system- atically incorporated into production. Environmental performance is monitored continuously. Actions related to water discharges are described in greater detail under E2 – Pollution .

Ammonia (NH 3 )

59,360

Strategy and financial targets

The table includes only the emissions from those production facilities that exceed the facility-specific threshold value defined in Annex II of Regulation (EC) No 166/2006. Data for the comparison year is not available.

Value creation

Financial development 10 Key figures 12

Emissions to water

Report of the Board of Directors

2024

2023

20 20 37 70 89 96

• Sustainability statement

Nitrogen (N)

156

165

General information

Adsorbable organic halogen (AOX)

E – Environment

Chemical oxygen demand (COD)

9,743

10,645

S – Social responsibility

Biological oxygen demand (BOD)

635

840

G – Governance

Phosphorus (P)

Annexes to the Sustainability statement

2024

98 Consolidated financial statements 102 Notes to the consolidated financial statements 150 Parent company financial statements 153 Notes to the parent company financial statements 166 The Board’s proposal to the Annual General Meeting for the distribution of funds 167 Auditor’s Report 171 Sustainability statement assurance report 173 Shares and shareholders 177 Ten years in figures 178 Taxes 179 Production capacities 181 Calculation of key ratios and comparable performance measures Corporate governance 183 Corporate governance statement 190 • Board of Directors of Metsä Board 194 • Corporate Management Team of Metsä Board

Arsenic (As)

Positive impact on the environment and society or on Metsä Board’s business Negative impact on the environment and society or on Metsä Board’s business Neutral impact on the environment and society or on Metsä Board’s business

Cadmium (Cd)

148

Chromium (Cr)

Copper (Cu)

204

Metsä Board’s 2030 sustainability target

Quicksilver (Hg)

Nickel (Ni)

2,566

2030 target

2024

2023

2022

2018

Reduction in process water use per produced tonne from the 2018 level, %

-35%

-11%

+3,5%

-11% 21 m 3 /tn

The figures for the comparison years have been revised retroactively. The wet pulp production line acquired by Metsä Board in Kemi in 2024 has not yet been factored into the water and energy efficiency target calculations.

Environmental permit deviations at Metsä Board’s mills

Progress in targets • Reduction in process water use per produced tonne from the 2018 level – Compared to the previous year, process water use was more efficient in 2024 due to the mill’s higher production and the actions adopted. For example, water recycling was enhanced at the Kyro and Simpele mills.

Metsä Board’s strategic 2030 sustainability targets, and their setting and monitoring, are discussed in greater detail under Sustainability governance and strategy and Material sustainability-related impacts, risks and opportuni- ties . The Group’s target concerning water resources is based on estimates of what can be achieved with the best available techniques (BAT). The use of the best available techniques is discussed under E2 – Pollution .

Date of incident

Mill

Incident

Corrective actions

Simpele

4/2024

Wastewater nitrogen emission exceeded the permit limit CO 2 emissions exceeded the daily permit limit Suspended solids reduction was below the permit limit

More precise nutrient dosage during shutdown at the treatment plant

Kyro

6/2024

Complaint to fuel supplier

Äänekoski

9/2024

More precise process adjustment

196 Remuneration report 201 Investor relations and investor information

Report of the Board of Directors | METSÄ BOARD ANNUAL REVIEW 2024