Page 54 - 2023 Sustainability Report

ENVIRONMENTAL STEWARDSHIP

Greenhouse Gas Emissions

Overview

Scope 1 emissions are direct greenhouse (GHG) emissions that occur from sources that are controlled or owned by an
organization (e.g., emissions associated with fuel combustion in boilers, furnaces, and vehicles). Scope 2 emissions are
indirect GHG emissions associated with the purchase of electricity, steam, heat, or cooling. Although Scope 2 emissions
physically occur at an offsite facility where they are generated, they are accounted for in an organization’s GHG
inventory because they are a result of the organization’s energy use. In our 2021 Sustainability Report we established
our goals for reducing or offsetting our Scope 2 emissions. This was in addition to our existing Scope 1 GHG emissions
reduction commitments for our cement and Magnesia Specialties businesses. In our 2022 Sustainability Report we
established our ambition for the business as a whole to be Net Zero by 2050 for Scopes 1 and 2.

Martin Marietta is an aggregates company (crushed stone, sand and gravel) when viewed in terms of in terms of our
revenue and operational footprint. The vast majority of our facilities are associated with our aggregates business,
including more than 360 quarries, mines and distribution yards. Construction aggregates businesses are not large
emitters of GHGs, with the predominant source being diesel fuel used in trucks and other mobile equipment. We also
have two targeted downstream businesses: ready mixed concrete and asphalt and paving services. Finally, we operate a
small, but strategic, cement business and a Magnesia Specialties business.

In our previous Sustainability Reports, we focused on the metric of GHG intensity per tonne of cement equivalent.
However, because cement is such a small component of our portfolio, focusing only on this metric has resulted in
incongruous comparisons relative to true cement companies.

More specifically, the following tables show that our product portfolio and our strategic cement business differs
dramatically from traditional cement companies. In fact, approximately 62% of our 2023 revenue was from aggregates
production and only 10.4% from cement.

Revenue by Product Line
70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%
Martin Marietta CEMEX Heidelberg Holcim
Cement Concrete Aggregate Other

Sources: based on public filings, sustainability reports and presentations for 2023.

52 2023 SUSTAINABILITY REPORT