91 SECTION 4 SUSTAINABILITY JOURNEY INTEGRATED ANNUAL REPORT 2025 Associated Opportunities By proactively adopting best-practice standards ahead of mandatory deadlines, we gain a significant competitive advantage. Our early alignment with IFRS S2 enhances investor confidence and strengthens our reputation as a transparent, well-governed organisation, supporting access to long-term capital. This forwardlooking approach also prepares our business for future regulatory developments, reducing compliance risks and allowing us to focus on strategic execution rather than reactive reporting. Associated Opportunities A world-class safety record is a powerful business differentiator. Our demonstrated commitment to safety positions us as a preferred partner for major international clients who have stringent safety pre-qualification requirements. This provides a direct competitive advantage in bidding for high-value projects. Furthermore, a strong safety culture improves employee morale, reduces operational downtime, and lowers insurance costs, leading to greater overall efficiency and operational excellence. Workplace Health and Safety Compliance with Evolving Regulatory and ESG Standards Given the nature of our industrial operations (fabrication, construction, site services), there is an inherent risk of serious incidents that could lead to significant harm to our people, alongside major operational disruptions and legal penalties. Risk Description The global landscape for sustainability and climate disclosure is evolving rapidly, with new mandatory standards like IFRS S2 becoming the norm. Failure to keep pace with these complex requirements could lead to non-compliance and loss of stakeholder confidence. Risk Description We manage this risk through a deeply embedded, Group-wide safety culture and robust management systems (as detailed in pages 115 to 117): • Certified HSE Management System: Our HSE Management System is certified to the ISO 45001 standard across 71% of our sites. • Foundational Frameworks: Our culture is built on our “12 Non-Compromising Rules” and “5 Safety Principles.” • Proactive Programmes: We empower our workforce through our CARE Card programme (which generated over 48,000 observations in 2025) and manage our highest risks through our Risk Containment Programme. Our performance is evidenced by the achievement of zero Lost Time Incidents in 2025. Mitigation Strategies and Actions Our mitigation strategy is one of proactive adoption and robust governance: • Board-Level Oversight: Our governance structure, with the Board Sustainability Committee providing direct oversight, ensures that these evolving standards are addressed at the highest level. • Proactive IFRS S2 Adoption: We have committed to a phased adoption of IFRS S2 and have structured our climate disclosures in this report to align with its fourpillar framework. • Expert Engagement: We engage third-party experts to conduct key assessments (such as our CCRA and double materiality assessment) to ensure our approach is aligned with best practices. • Capacity Building: We actively participate in industry initiatives, such as the UNGCMYB IFRS S2 Accelerator, to build our internal expertise. Mitigation Strategies and Actions A major safety failure would have severe consequences, including tragic harm to people, immediate project shutdowns, financial penalties, and irreparable damage to our reputation and social license to operate. Impact Assessment This could result in regulatory penalties, a lower ESG rating, reduced access to capital from sustainabilityfocused investors, and reputational damage. Impact Assessment SUSTAINABILITY JOURNEY
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