Climate change disclosure

GOVERNANCE
Our ambitions: Shared accountability throughout the organisation Inclusive communication on climate risk and performance Climate disclosures that aim to go beyond compliance and/or external stakeholder expectations Opportunities for awareness and training are available to all Training and building competency are continuous processes, open to all, which adapt to evolving needs of the organisation
Board oversight on climate change	Climate change risk and decarbonisation are Board-level governance issues currently overseen by the Social, Ethics and Sustainability (SES) Committee and the Audit and Risk (A&R) Committee. The Climate Change Working Group (discussed below) reports on climate matters to the SES Committee and to the Chief Sustainability and Corporate Affairs Officer. Climate change and decarbonisation are considered at every SES and A&R committee meeting and are raised to the Board as necessary. Additional meetings to discuss decarbonisation plans and investment are undertaken with these committees as required. The Board approved our Climate Change Strategy in 2021 and the strategy to achieve decarbonisation and the pathway to net zero GHG emissions that was announced in 2022. See related *Media release* In October 2021, our CEO Alberto Calderon joined fellow CEOs of ICMM members to commit to a goal of net zero GHG emissions by 2050 or sooner, in line with the ambitions of the Paris Agreement. *See video*
Board-level knowledge and training	Board-level training on climate change, its application and implications for the mining sector, and AngloGold Ashanti’s strategic response was undertaken in 2021 and 2022. All Company vice presidents and senior management attended similar training in 2021.
Management oversight on climate change	Established in 2020, our Climate Change Working Group is led by the Chief Sustainability and Corporate Affairs Officer. Its members include a cross section of functional leaders from across the Company. This working group reports on climate matters and decarbonisation to the Chief Sustainability and Corporate Affairs Officer and the SES Committee. A decarbonisation project team, led by the newly appointed Vice President: Decarbonisation, was set up to develop, manage, monitor and deliver AngloGold Ashanti’s decarbonisation strategy. The Management Investment Committee, established in 2022, is a multi-disciplinary committee comprising senior executives that reviews all capital projects, including decarbonisation projects. It is chaired by our Chief Operating Officer. The committee meets monthly to review major investment projects and recommends selected projects for Board approval. We have established an internal climate-change focused Financial Reporting Forum in response to emerging SEC and ISSB rules on climate reporting. Through the Forum, we track and analyse emerging climate reporting requirements, enabling us to develop robust systems for climate-related reporting and assurance. We have established a clear link between the achievement of our decarbonisation strategy and executive remuneration: Historically, emissions performance was measured and rewarded against improving on a rear-facing three-year average GHG intensity measure. In 2021, our production plans and the energy budget needed to deliver them was used to determine an annual carbon budget, using each operation’s existing energy mix and taking into account any planned carbon reduction benefits. This forward-looking process is now directly linked to the Deferred Share Plan (DSP) performance metrics in a way that is tangible and within management’s control. As the energy mix and carbon reductions are realised, the process allows adjustments to provide a new baseline for performance. See *Rewarding delivery* in this report.

STRATEGY
Our ambitions: Strategy has a transformational effect on the culture of and innovation within the entire organisation and brings significant benefits for the Company, and for wider social and environmental aspects Multi-dimensional and forward-looking climate scenarios are used to explore important dimensions of climate-related risks Climate action involves collaboration with communities and other interested groups to achieve change
Identification of material risks and opportunities	We take a strategic approach to risk and seek to ensure that climate-related risks and opportunities have been systematically integrated into our existing risk management frameworks, and linked guidance and decision-making processes. Our pathway to net zero and climate change resilience was identified as a priority ESG material sustainability issue in our 2022 materiality process – See *Materiality assessment* in the <SR>. Our climate change strategy also drives the management of physical and transition climate risks within our strategic and operational planning processes.
Disclosure of impacts on and by the business	In addition to our annual *<SR>* in which we disclose our approach to mitigating the effects of climate change and decarbonisation, we published our inaugural Climate Change Report (*<CRR>) in 2021 in alignment with TCFD requirements. In October 2022, we published our strategy to reduce GHG emissions, as well as related 2030 targets. This announcement outlined the scale of capital funding required to achieve this plan and proposed funding sources. See Our business model, Environment* and *Value by stakeholder* in this report and the *<SR>*.
Business resilience to climate-related risks and opportunities	In 2020/21, we undertook a detailed review of our existing Group-level policies, standards and guidelines to identify the key areas where climate considerations could be further incorporated and strengthened. This review highlighted the breadth of functional areas where we see climate change being relevant – often beyond some of the more obvious areas, for example environment policies around water, land use and biodiversity, and closure and rehabilitation, and into other more strategic decision-making processes such as capital investment, acquisitions and divestments, and procurement. Incorporating these climate considerations when we update these Group-level policies will ensure that climate-resilient thinking becomes central to the way in which we work.

RISK MANAGEMENT
Our ambitions: Climate risk assessment integrated into relevant decision-making processes Impacts quantified, including in economic terms where feasible and useful, which pick up wider social and environmental aspects Climate impacts are assessed for critical supporting infrastructure, supply chains, communities and ecosystems Controls also seek out opportunities to maximise benefits for communications and ecosystems
Risk identification, assessment and management	We have mapped physical climate change risks across our operations, supply chains and communities (facilitated by an external party) and, in 2023, will undertake a more detailed internal review of these to gain an updated understanding of any residual financial effects. In respect of our transition risks: The market for gold has been considered extensively by the Word Gold Council (WGC), and as a relative risk (between gold and other commodities). Climate change is seen to be an opportunity for gold. See the *WGC report* and our *<CRR>*. In 2021, we engaged the Carbon Trust to undertake an assessment of the carbon pricing risk faced by AngloGold Ashanti in each country of operation after which a qualitative risk index was developed to compare our exposure to carbon pricing risk in each of these countries Climate legislation-related risks, including imposition of asset-level GHG emission caps and allowance requirements, and the reputational risk of not meeting our energy transition and decarbonisation plans, have been incorporated into our enterprise risk management process. This process is overseen by the A&R Committee A current area of focus in 2023 is to assess, understand and develop an indicative quantification of climaterelated risk on the annual business plan.
Engagement with stakeholders	We have engaged with a wide range of stakeholders on climate change and decarbonisation. Some of these engagements included: Shareholders: In addition to our annual reporting, we hosted a market call in October 2022 to brief investors and analysts on our decarbonisation plans. Our approach to climate change and decarbonisation process is included in all shareholder engagements (both in groups and with individuals) Employees: In addition to the climate change training provided to senior management and management, we have developed specific communications material for employees, and our operating regions have been encouraged to continue this engagement on what this means for their respective region. Our community development team has over the past two years engaged with internal site community leads on the potential physical impacts of climate change on communities (such as adverse weather events, migration, agricultural impacts) and the potential for collaboration on building community resilience Communities: Engagement with communities has included discussions on changing weather patterns and their potential impact. Our community investment projects are increasingly geared to address climaterelated issues. For example, the impact of climate change on agriculture, or the need for bridges and other infrastructure to cope with adverse weather events Governments: Engagements with government stakeholders have taken place where this is opportune or necessary, such as in Australia and Colombia Industry bodies: As a member of the ICMM, we regularly engage with our mining peers and are currently participating in a study to understand the industry’s Scope 3 GHG emissions, particularly in respect of climate accounting
Integration with current risk process	We have incorporated the findings of physical climate change risk assessments undertaken in 2021, into our enterprise risk management system, integrating existing site-specific threats to the extent possible. As we advance our understanding of these and transitional risks, they too will be integrated into the existing site risk registers. This underscores our belief that climate considerations are key modifiers of our existing profile of risk and should not be managed as standalone issues

METRICS AND TARGETS
Our ambitions: Benefits metrics are developed to monitor and improve outcomes for wider social and environmental aspects Scope of climate metrics and targets will in the future consider upstream and downstream value chain The impact/outcomes of external activities are routinely monitored, evaluated and reported Comprehensive and transparent internal and external climate reporting
Disclosing climate – related metrics	We disclose a wide range of metrics in our annual *<SR>* and related *<ESGD>*, including energy consumption and intensity, our Scope 1 and 2 GHG emissions and intensity.
Setting climaterelated targets and reporting on performance	In October 2022, we published our strategy to reduce absolute Scope 1 and 2 GHG emissions by 30% by 2030 (compared to 2021), and our pathway to achieve net zero GHG emissions by 2050. See *Roadmap to Net Zero. These targets are closely supported by the annual emission targets set through our discretionary remunerations system. We will report on progress every year in our <SR>*.

METRICS AND TARGETS

Our ambitions:

Benefits metrics are developed to monitor and improve outcomes for wider social and environmental aspects
Scope of climate metrics and targets will in the future consider upstream and downstream value chain
The impact/outcomes of external activities are routinely monitored, evaluated and reported
Comprehensive and transparent internal and external climate reporting

Disclosing climate – related metrics

We disclose a wide range of metrics in our annual <SR> and related <ESGD>, including energy consumption and intensity, our Scope 1 and 2 GHG emissions and intensity.

Setting climaterelated targets and reporting on performance

In October 2022, we published our strategy to reduce absolute Scope 1 and 2 GHG emissions by 30% by 2030 (compared to 2021), and our pathway to achieve net zero GHG emissions by 2050. See Roadmap to Net Zero. These targets are closely supported by the annual emission targets set through our discretionary remunerations system. We will report on progress every year in our <SR>.