Page 63 - 2022 Sustainability Report

ENVIRONMENTAL STEWARDSHIP

project which is not scheduled to be complete and operational until 2024. In the United States, our research indicates that
no carbon capture project has proceeded beyond the feasibility stage.

Despite the fact that this technology remains in its early stages for cement production, we now believe that enough
resources, both intellectual and financial, have been directed at the issue, that a viable technological solution will be
developed. For example, in the United States Inflation Reduction Act passed in 2022, substantial federal funding was been
made available to jump-start R&D and commercialization of technology, such as carbon capture. This will be beneficial for all
industries, but most particularly the cement sector. In the past, federal funding of CCS R&D and pilot projects was not
available in the US. EU cement companies like Heidelberg have already benefited from government funding for CCS projects.
For example, its Brevik, Norway CC project is funded mostly by Norway and the EU (more than 85% of the costs are
covered). We expect that this infusion of funding will hasten the development of carbon capture technology and when the
right technology emerges, with only 2 cement plants and our strong balance sheet, we will be in a position to implement
this technology quickly.

Relevant to all of these considerations is the still-pending rulemaking by the U.S. Securities and Exchange Commission with
respect to climate disclosures, including GHG emissions reporting and third-party assurance requirements that will make
careful and accurate measurement and disclosure of emissions even more important. We are carefully monitoring these
developments and taking a measured and prudent approach with respect to adding disclosures around concepts that may
be subject to new and specific requirements in the near term.

Environment and Community First

Woodville Wind Turbine Project to Reduce Emissions, Provide Community Aid

This artist rendering shows the future view of Woodville’s office once the three turbines have been constructed.

Our Magnesia Specialties Woodville, Ohio Lime operation entered into an agreement in late 2021 that will decrease the
site’s greenhouse gas emissions and provide valuable community assistance for decades to come. The deal with industrial
power company One Energy will bring three wind turbines to the division’s Woodville, Ohio, operation that are projected
to lower the site’s Scope 2 GHG emissions by up to 10,000 metric tonnes per year. Construction on the project
commenced in 2022 on a reclaimed section of the property. When completed in May 2023, each turbine base will stand
about 260 feet tall and feature three 143-foot blades.

Before signing the formal agreement, One Energy worked with Martin Marietta to conduct a series of feasibility studies.
The studies took into account a wide number of factors, including the turbines’ potential shadow and noise impacts and
the potential for ice to become hazardous and/or affect turbine performance during the colder months. Once up and
running, the turbines will immediately help the Woodville plant meet its energy needs. Though their impact will vary from

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