Incitec Pivot : 2023 Annual Report

Key Operations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

Who We Are. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

IPL Strategy Snapshot. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Keeping People and the Environment Safe . . . . . . . . . . . . 36

Our People and Culture. . . . . . . . . . . . . . . . . . . . . . . . . . . 38

Sustainability Overview. . . . . . . . . . . . . . . . . . . . . . . . . . . 40

Climate Change. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44

Caring for Our Communities . . . . . . . . . . . . . . . . . . . . . . . 46

Corporate Governance. . . . . . . . . . . . . . . . . . . . . . . . . . . . 50

Board of Directors. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52

Executive Team. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54

Corporate Directory. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 135

CONTENTS

ABOUT US

An ASX100 company, IPL has two industry leading businesses, Dyno Nobel based in the Americas, Asia Pacific and Europe, Middle East and Africa (EMEA) regions and Incitec Pivot Fertilisers (IPF), a leading integrated manufacturer and distributor of fertilisers across the east coast of Australia.

We are an international business with world-scale explosives and fertiliser manufacturing, leading technology solutions, marketing and servicing operations. We are proud to be considered a trusted partner by customers and suppliers.

Serving high quality customers with technological solutions across six continents - Australia, North America, Europe, Asia, South America and Africa - we manufacture ammonium nitrate- based explosives and initiating systems, nitrogen and phosphorus fertilisers, and nitrogen related industrial and specialty chemicals.

We have embraced the challenge of reducing our greenhouse gas emissions while continuing to provide products which help increase yields of food and fibre and access the minerals and aggregates required for new technologies and infrastructure rebuilding. Our ambition is to reach Net Zero operational emissions by 2050, or sooner if practicable. Our Net Zero Pathway shows the enablers and technologies required to reduce our own emissions, along with the expected timeframe for each. Our scope 3 Pathway shows the management strategies and key enablers identified to date to reduce the GHG from each value chain category.

Our climate change management strategy is focused on four key pillars: Ensuring strong governance; Reducing operational emissions; Delivering products and strategies that reduce scope 3 emissions; and Managing strategic business risks and opportunities.

IPL's focus is building our businesses so they thrive and prosper in the long term, at the same time caring for our people, communities, customers and environment.

Dyno Nobel

Dyno Nobel is IPL's international explosives and technical blasting services business and one of the largest industrial explosives distributors in North America and Australia. Blasting is an essential step in extracting the minerals required to meet the world's demand for energy, infrastructure and consumer goods. Construction, mines, quarries and seismic explorers use Dyno Nobel products to achieve safety goals and improve operational efficiency.

With major manufacturing sites across Australia and the US, including key sites in Cheyenne (Wyoming, US), Louisiana (Missouri, US), Waggaman (Louisiana, US) and Moranbah (Queensland, Australia), we provide a full range of reliable explosives products from plants around the world and extensive blasting services. In fact, we boast some of the most highly trained blasters and technical experts in the industry, and operate in Australia, Canada, the United States, Indonesia, Mexico, Chile, Papua New Guinea, Turkey and France.

With a rich technology heritage, IPL's key technology drivers are to improve safety, productivity & efficiency, and sustainability. As mining becomes more complex and regulated, customer needs are refining and changing. With a long history of technical innovation, and excellence in collaborative partnerships, Dyno Nobel understands what our customer's needs are today and the solutions they need for their mining operations of tomorrow.

The energy transition and need for decarbonisation, are driving the significant demand for battery minerals and metals. In addition, miners are having to go deeper and target lower grade orebodies, which increases cost and makes safe access more difficult. New and innovative mining methods are required to extract these valuable products. Future technologies utilising automation that enables remote loading and firing, will play an increasing role in mineral extraction. It will also remove people from hazardous situations.

Our research & development focuses on practical ways to use new technologies to benefit our customers. During 2023 we built an electric Mobile Processing Unit (MPU) complete with solar charging station. Our offer includes DIFFERENTIAL ENERGY®, DigiShot®(1) Plus.4G, Advanced Vibration Prediction Model, Fracture Density Model and our advanced electronic detonators.

Growth in first ever tagging and hole identification using DGPS

Dyno Nobel commercialised the first ever tagging and hole identification using Differential Global Positioning System (DGPS) technology in 2021. In the last 12 months, its use at key Australian sites has grown significantly. Paired with DigiShot® Plus.4G, DGPS technology allows individual blastholes to be identified via the system's high location accuracy of less than one metre. This revolutionises the deployment and tagging of detonators, with the potential to positively impact overall mining outcomes.

Customers directly benefit through proven improvements in productivity during the blasting process. A recent time and motion study at a customer site conducted by IPL has shown a

40 per cent reduction in the tagging process when using DGPS compared to conventional systems. The flexible tagging path also enables shotfirers to start at any hole and tag in any sequence.

Automatic hole identification helps eliminate out of sequence firing (due to incorrect hole identification and marking), which has the potential to improve safety outcomes. This technology is capable of integration into fully autonomous deployment and tagging, which is set to revolutionise the industry.

Incitec Pivot Fertilisers

IPF is the leading fertiliser manufacturer and distributor on the east coast of Australia. Our people, products and services support farming communities and contribute to maximising growers' yields, which in turn helps feed millions around the globe. Resilient, diverse and proud, we are driven by science, innovation and maximising soil potential.

The business has integrated operating assets including Australia's largest fertiliser manufacturing infrastructure - Phosphate Hill and our Geelong plant. Our fertiliser products are distributed via IPF's network of 17 strategically placed primary distribution centres with the majority (11) at key deep-water ports.

As part of our commitment to a sustainable future, our Gibson Island facility has the potential to become the world's first existing ammonia plant to be retrofitted to use renewable hydrogen. We continue to work with our partners at Fortescue Future Industries on the exciting potential transformation of the Gibson Island manufacturing plant to a green ammonia facility. A final investment decision is planned before the end of this calendar year.

Through our comprehensive "Agronomy in Practice" training course we help educate and develop the capability of Australian agronomists. Using an interactive and engaging program with hands-on activities and assessments at every step of the way, it's the ultimate course in soil, plant tissue and water sampling. It delivers practical interpretation analysis enabling great stewardship and productivity increases from our fertiliser

plus soil health recommendations.

Our Enhanced Efficiency Fertiliser range helps growers maintain yields while reducing the GHG emissions associated with nitrogen fertilisation. When it comes to liquid fertilisers, easier storage, more sustainable, precise applications and expanded application windows make them an increasingly popular choice, and

we're pleased to be bringing these products to growers, who are looking to capitalise on the significant productivity and sustainability benefits delivered.

IPF's leading brands include Granulock®, SuPerfect® and our patented nitrification inhibitor eNpower®. With a dedicated network of suppliers and agents across the east coast of Australia, as well as our NATA-accredited Nutrient

Advantage® Laboratory, Incitec Pivot Fertilisers supports farmers with the crop nutrition insights and products they need to maximise yield potential in an efficient way. Further afield, through our global trading business Southern Cross Fertilisers, we sell and trade in major offshore agricultural markets including Asia Pacific, the Indian subcontinent, the United States, Latin America and other international locations.

Smart fertilisers

Incitec Pivot Fertilisers is the lead industry partner in the Australian Research Council funded Hub for Smart Fertilisers (the Hub). The multidisciplinary Hub is applying plant and soil science, chemistry and chemical engineering to develop new biochemical nitrogen inhibitors and the next generation of 'smart fertilisers' to increase the efficiency of nitrogen use by up to 20 per cent, meaning farmers can apply less fertiliser.

Based at the University of Melbourne, the work of the Hub is aimed at saving farmers money whilst reducing impacts on the environment, including reducing losses to the air as GHG and to waterways through leaching, resulting in better tools for agriculture businesses to manage their fertiliser use.

Food and agribusiness are critical to Australia's economy and is on track to contribute $92 billion to the national economy in 2022-23 and aims to achieve a $100 billion farm gate output by 2030. The agricultural industry directly employs around 239,000 people and is a major source of jobs in rural and regional Australia.(2)

The Hub is a partnership between the University of Melbourne, La Trobe University, Incitec Pivot Fertilisers and Elders Rural Services Australia, and involves representatives from key agricultural businesses and development corporations.

ABOUT US