Annual report 2013

Environmental Performance Indicators

Costs to Environmental Protection Measures

In general the Group’s total expenditures and investments in environmental protection in 2013 amounted to 18.1 billion roubles, which is 4.3% less than in 2012. Meanwhile, current expenditures on environmental protection increased by 4.3% in comparison with 2012, amounting to 14.4 billion roubles, including the current expenditures of the Zapolarny Branch– 13.3 billion roubles, and the current expenditures of Kola MMC – 744.5 million roubles.

In general the Group’s total expenditures and investments in environmental protection in 2013 amounted to 18.1 billion roubles, which is 4.3% less than in 2012. Meanwhile, current expenditures on environmental protection increased by 4.3% in comparison with 2012, amounting to 14.4 billion roubles, including the current expenditures of the Zapolarny Branch– 13.3 billion roubles, and the current expenditures of Kola MMC – 744.5 million roubles.

Environmental protection costs of the Group’s foreign companies reached 1.20 million at the NN Australia, 0.05 million at the TNMC, and 0.2 and 2.5 million U.S. dollars at the Nkomati and NN Harjavalta, respectively.

Initiatives to Mitigate Environmental Impacts

Atmospheric Air Protection

Emissions of sulphur dioxide produced at the metal plants of the Company (attributed to high sulphur concentration in the feedstock) represent one of the most major impacts of the Company on the environment. The capabilities of the Company with respect to a reduction in sulphur dioxide emissions are currently limited to the capacities of the operating sulphuric acid plants of Kola and of the Zapolarny Branch, as well as low market demand for products of sulphur utilisation.

After conducting research and considering many options, the Company decided to eliminate emissions by producing elemental sulphur, to be stored on site in compliance with all safety precautions.

The two largest enterprises of the Zapolarny Branch will be revamped to reconstruction – Nadezhda and Copper Factories. Project design and implementation are being carried out by the Techint company (Italy). As a result, emissions of the major air pollutant – sulphur dioxide – into the atmosphere of the Norilsk industrial district will be reduced by more than 80 percent. The Zapolarny Branch will receive up to 1 million tonnes of marketable products (elemental sulphur) per year from the waste gases in the future. The Zapolarny Branch plans to achieve maximum allowable emissions of sulphur dioxide into the environment by 2020.

In accordance with the “Plan for Reduction (Decrease) of Emissions of Pollutants into the Atmospheric Air” approved by the Federal Service for Supervision of Natural Resources in December 2012, OJSC MMC Norilsk Nickel implemented a number of measures designed to reduce emissions of metal-containing dust and sulphur dioxide into the atmosphere to achieve the level established by the relevant regulatory documents.

Total expenditures and investments in environmental protection, billion roubles

Facilities, Measures, and Their Implementation Status in 2013

Facilities and Measures Implementation Status
Copper Factory
  • Construction of the cement copper pelletising apparatus at the slag yard of the Copper Factory.
  • Reconstruction of the second production line producing elemental sulphur.
  • Working meetings were held with representatives of the contractor company to address the technical issues of contract implementation.
  • A large number of design and exploration works were conducted.
  • Pilot and semi-industrial tests were conducted in the USA and the Czech Republic. Positive results were obtained.
  • Implementation of the technology of continuous conversion, including utilisation of sulphur dioxide.
  • Work on the topic “Feasibility Study of an Optimal Variant of Copper Nickel-Containing Matte Conversion at the Copper Factory” completed.
  • Research and development activities, including the development and adoption of technological regulations, completed.
  • Work continues in the development of a technology for processing fluid nickel slags obtained in the course of continuous conversion at the Copper Factory within the framework of the pyrometallurgical production at the Nadezhda Metal Plant.
Nadezhda Metal Plant
  • Reconstruction of the sulphur production workshop No. 2 and construction of the warehouse for a long-term storage of sulphur.
  • Analogous to the project “Reconstruction of the Second Production Line for Production of Elemental Sulphur” at the Copper Factory.
  • Conducting step-by-step reconstruction and modernisation of the pyrometallurgical production at the Nadezhda Metal Plant accompanied by a simultaneous modernisation of the systems for purification of waste gases from dust accompanied by replacement of electrical filters.
  • A new high-powered depletion furnace.
  • Pre-commissioning activities.
  • Reconstruction of the Gas Purification Apparatus GPA-2 accompanied by replacement of cyclones with a bag filter––a device characterised by a high degree of purification of waste gases.
  • Reconstruction of dust collection site including installation of a new electrostatic precipitator produced by BHA for purification of waste gases.
  • Procurement of equipment and equipment accessories.
Цементный завод
  • Reconstruction of shaft gas furnaces and purification systems
  • Raising efficiency of the electrostatic precipitator of a grate cooler by installing a bag filter with pulse-jet filter elements therein.
  • Industrial exploitation of the filter carried out.
Кольская ГМК
  • Modernisation of equipment at Kola MMC contributed to a reduction in the amounts of gases ingressing into the workspace, improvement of working conditions, increase in the degree of utilisation of sulphurous gases producing sulphuric acid, and a significant reduction (to the lowest possible levels) of emissions of sulphur dioxide, dust, and other contaminants.
  • Sealing of metallurgical equipment at the melting shop.
  • Computerised system for management of flow of gases emerging from converters.
  • Replacement of obsolete equipment at the sulphuric acid division of the refinery.
  • Intoduction of a new technology of cold briquetting of the concentrate replacing roasting.
Murmansk Transport Branch
  • Conducting regular preventive inspections and repairs of marine and coastal transport.
  • Purchase of marine fuel, the quality of which is confirmed by an independent laboratory.

Regulation of Emissions Under Unfavourable Weather Conditions (UWC)

In order to reduce the level of emissions into the atmosphere and reduce the concentration of pollutants in the residential area of Norilsk during periods of UWC, the enterprises of the Zapolarny Branch use special equipment operation modes, entailing a reduction in production capacities, including the complete cessation of operations.

In 2013, the relevant UWC-related measures were realised a total of 221 times at the metallurgic refineries of the Zapolarny Branch: 78.3% at the Copper Factory, 13.1% at the Nickel Plant, 8.6% at the Nadezhda Metal Plant. Works on monitoring the quality of the air are carried out by an accredited independent laboratory, and the resulting data obtained assists the production departments in ensuring the proper operation of metallurgical units in modes that enable to reduce emissions and decrease atmospheric air pollution in residential areas during UWC. In addition, monitoring data and the forecast levels of the air pollution are brought to the attention of the Norilsk city residents via multiple communication channels.

An action plan is also implemented at Kola MMC during UWC to reduce the negative impacts on the environment. It is put into effect when weather factors contribute to the accumulation of emissions in the atmosphere. In 2013, the UWC modes were used 136 times at the Zapolarny Branch and 133 times at the Nickel branch. UWC lasted for a total of 412.5 days. Kola MMC divisions operated 115 days under UWC. Production was halted for a total of 11 days.

Protection of Water Bodies

Norilsk Nickel has been continuously introducing the most advanced environmental technologies which allow us to reduce impacts on water bodies and, in particular, reduce discharges of pollutants into the surrounding environment (water bodies).

Facilities, measures, and status of their implementation at the Zapolarny Branch in 2013

  • Designing and construction of treatment facilities at the Mayak mine, Golikovo station and the Combined Heat and Power Plant of the Technological Rail Transport Enterprise, columns No. 3 and 4 of the Transport Association “Central Transport Office”.
  • Construction of a water-cooling tower at the Zapolarny mine.
  • Purification of the draining excess at the tailing storage facility of the Nadezhda Metal Plant and other draining excesses.
  • Design and survey works associated with the purification of sewage water at the cement production facilities.
  • Three wastewater outfalls deconstructed.
  • Operation of the modular type local domestic sewage purification facilities fitted with ultraviolet disinfection systems continued.
  • Implementation of measures designed to prepare for spring floods, post-spring floods, dredging works, as well as measures to prevent accidents, pollution and clogging of water bodies.

Participation in the “Zero Negative Impact on the Environment” Campaign

In June 2013, MMC Norilsk Nickel supported the initiative of the Ministry of Natural Resources and the Environment of the Russian Federation and joined the All-Russian “Zero Negative Impact on the Environment” campaign. Despite the fact that technological process is carried out continuously at all major enterprises engaged in mining and metal production, on June 5 (the Ecologist’s Day) the operation of a number of shops and enterprises was halted for two hours at the production sites at the Zapolarny Branch in Norilsk and at Kola MMC in the Murmansk Region. Additionally, various activities of ecological nature––cleaning, landscaping, etc.––were carried out on this day in the territories where the enterprises are located.

Facilities, measures, and status of their implementation at the Zapolarny Branch in 2013

  • Cleaning of technological sedimentation tank at the Monchegorsk site.
  • The amount of recycled water used in the production process at the concentration plant increased and the use of tailings for creation of hydraulic leveescontinued.
  • Technological specifications for the purification of mine water at the Severny mine developed and adopted.
  • Installation of an automated control system at two pumping stations involved in water recycling.
  • Cleaning of drainage at the Severny-Gluboky mine.

Kola MMC initiated the “Utilisation of Salt Effluents from Nickel Refining” project in Monchegorsk in 2013. A unique technology of full evaporation of liquid wastes obtained in the course of application of chemicals in the production of electrolytic nickel lies at the core of the process. Evaporation of the effluent produces distilled water, and harmful components previously contained therein–sulfate and sodium chloride–are converted into marketable products. The project worth approximately 1.5 billion roubles will be implemented within two years. The zero cycle works were carried out and the construction of buildings was initiated in the reporting year.

Other measures implemented at Kola MMC contributed to an increase in the degree of purification of production discharges, the prevention of negative impacts from nickel production on the ecosystem water bodies in the regions adjacent to the industrial area in Monchegorsk, and a reduction at Kola MMC the discharges of pollutants into the environment (water bodies). Implementation of a new project at Kola MMC will enable the Company to achieve a zero level discharge of sodium chloride and boron, and reduce sodium sulphate discharges by a factor of almost 4.

Activities carried out by the transport enterprises were aimed at ensuring ecologically clean operation of the cargo fleet: preventing pollution of water bodies, marine environment, biological contamination, and reducing the discharge of pollutants (into water bodies).

Facilities and measures implemented at other enterprises belonging to the Norilsk Nickel Company Group, and status of their implementation in 2013

Murmansk Transport Branch

  • Inspection of ship installations intended for wastewater treatment.
  • Transfer of oily water from vessels to specialised organisations.
  • Monitoring of water protection zones of water bodies and control of condition of water and bottom sediments.
  • Provision of equipment for ballast water purification.

OJSC Yenisei River Shipping Company

  • Operation of environmental fleet belonging to the steamship company: collectors of wastewaters, oily waters, and debris from vessels, oil cleaning complex.
  • Purification of oily waters collected from vessels and the oil cleaning complex using two non-self-propelled treatment plants, TP-1 and TP-3.
  • Purification and disinfection of domestic sewage collected from vessels using “DRAIN” installations.

Zapolarny Transport Branch

  • Annual works to protect inundated port areas from spring floods.
  • Removal of production wastes from inundated areas and the cleanup of berths from contamination.

Zapolarny Construction Company, Ltd., Norilsk Trade and Production Association Ltd., and CJSC Taimyr Energy Company

  • Construction (reconstruction) of local treatment facilities continued

Norilsknickelremont Ltd.

  • Modular local treatment facilities for purification of mixed and domestic sewage.

Norilskgeologiya Ltd.

  • Delicate washing modes, special inhibited drilling muds with low content of solids, casing of wells, and liquidation plugging of wells.

A public environmental campaign called “Sowing”, organised by the media company Northern Town, was implemented for the second time in Norilsk with the support of the Zapolarny Branch. In 2013, the “Sowing” campaign coincided with to the anniversary of the city of Norilsk and the Year of Environmental Protection in Russia.

Visitors were given a grass seed mixture and planting instructions, and during the course of a week, were able to participate in greening and landscaping activities in the city. Scientific support for the campaign was provided by specialists of the Far North Agricultural Scientific Research Institute and the young naturalists of the Young Technicians’ Station.

Lawns are the best way of landscaping in the Far North conditions. They are easy to plant and care for, and resistant to emissions of hazardous substances, while the risk of their damage by snowdrifts and snow removal equipment is minimal. Over 2,000 people participated in the landscaping of streets, gardens, and playgrounds in the Norilsk industrial district in 2013. Enthusiastic tree- and shrub-planting workers created new lawns or carried out additional sowing of lawn grass on 161 land plots with a total area of 33.5 thousand square metres.

Waste Management and Reclamation

Measures implemented at the enterprises belonging to the Zapolarny Branch were aimed at improving the safe storage of production wastes resulting from hydrometallurgical repartition and, in the case of Norilskgeologiya Ltd., at ensuring the maximum preservation of top soil.

Facilities, Measures, and Their Implementation Status in 2013

Nadezhda Metal Plant

  • Reconstruction of the tailing storage facility.
  • Development of the channel dam for geomembrane laying.
  • Levee with geomembrane development.
  • Floating pumping station FPS-1 and penstock.

Talnakh Concentration Plant

  • Construction of the tailing storage facility within the framework of a project designed to reconstruct and expand the Talnakh Concentration Plant.

Norilskgeologiya Ltd.

  • Use of rational schemes for transport movement.
  • Crawler tractors and off-road vehicles moving over the snow cover in case of full freezing of the active layer were used to carry out the bulk of transportation and deliveries of materials.
  • Construction of trays that prevent ingress of combustibles and lubricants onto top soil, and the removal of household and industrial wastes from production sites.

In 2013, the activities aimed at the cleanup and improvement of external areas and areas adjacent to roads, and protection of water bodies and water protection zones, as well as the improvement of tourist facilities at the recreation areas, were carried out within the framework of the municipal programme for planting trees and shrubs and restoring urban landscapes and the areas surrounding the Norilsk city in collaboration with the city administration.

Emission of Air Pollutants

Production activities carried out at the diversified industrial-economic complex of the Zapolarny Branch primarily influence the environment in the territory of the municipal entity known as Norilsk city.

The air in this region receives 57 harmful substances (pollutants). Sulphur dioxide is the main pollutant, accounting for approximately 97% of all emissions.

It was demonstrated that the total emission of air pollutants in 2013 did not exceed the environmental emission limits established by the permits issued to organisations of the corporate structure of the Company and their production sites.

Overall, the Zapolarny Branch total emission of air pollutants in 2013 was lower in comparison to 2012 by 26,500 tonnes (-1.4%). This reduction is largely explained by a decrease in the sulphur dioxide emissions by 26,948 tonnes (1.4%) and the carbon monoxide emission by 798 tonnes (13.4%).

The reduction in the sulphur dioxide emission is attributed to processing of raw materials with lower sulphur content and a 3.8% increase in sulphur extraction yielding industrial products at the Nadezhda Metal Plant.

Carbon dioxide emissions decreased as a result of the implementation of organisational and technical measures aimed at stabilisation of the process of combustion of fuels inside mine gas furnaces of the Cement factory.

Production activities at Kola MMC exert significant influence on the environment in the urban areas of Monchegorsk, Zapolarny, and the Nickel settlement. Sulphur compounds and dust containing heavy non-ferrous metals, nickel and copper, are the main pollutants in the processing of copper-nickel raw materials at the industrial sites.

Increase in sulphur dioxide emissions by 15,500 tonnes (11.4%) produced by mainline production and combustion of fuels was recorded at Kola MMC in 2013 in comparison to 2012. This increase is attributed to objective technological reasons: carrying out overhaul of the gas flue of the sulphuric acid division of the Refining plant at the industrial site of Monchegorsk as well as additional emissions resulting from combustion of fuel oil during pre-commissioning works carried out at the site of briquetting at the Zapolyarny site.

Emission of air pollutants, thous. tonnes

Use of Water Resources

Enterprises belonging to the Norilsk Nickel Group of companies withdraw water from the surface and groundwater sources (see Appendix 2. Key Performance Indicators) to satisfy the household, industrial and technological water use needs of companies (98%) as well as to satisfy the needs of the population and the shipping industry. Water withdrawal is carried out in accordance with the relevant limits set out in contracts for the use of water resources. Water withdrawal does not exert any significant influence on water bodies.

In 2013, the total amount of water withdrawn by the Group increased by 6%. The total amount of water received by the Zapolarny Branch in 2013 decreased in comparison to 2012 by 2.3 million cubic metres, which is mainly attributed to fluctuations in the volumes of mine and quarry water inflow.

Several enterprises belonging to the Group obtain water from the networks of other organisations, including the Open Joint-Stock Company Norilsk-Taimyr Energy Company (NTEC). Enterprises of the Open Joint-Stock Company NTEC, including three Combined Heat and Power Plants, are the largest consumers of water withdrawn from the surface water sources. Increase in the volume of water withdrawn by the NTEC by 24.5 million cubic metres in comparison to 2012 is attributed to the increase in the share of electricity generated by the Combined Heat and Power Plant-2 in 2013.

The amount of water withdrawn from the municipal water supply increased in 2013 due to changes in accounting scheme at the Monchegorsk site (Kola MMC) leading to an increase in the total amount of water withdrawn by 442 thousand cubic metres (1.2%). Meanwhile, the amount of water withdrawn from the surface sources decreased by 4.6%.

There was an insignificant increase in the total amount of water used by the Group (2%). This figure decreased by 3.7% for the Kola MMC in comparison to 2012 due to implementation of organisational and technical measures aimed at optimisation of water supply schemes and economical consumption of water, scheduled repairs of recycling water supply systems, water supply system optimisation, and other measures.

Wastewater Discharges

In 2013, the Company continued implementing measures aimed at optimisation of water consumption and reduction in the amounts of discharges of wastewater into surface water bodies.

In 2013, the total volume of wastewater discharged by the enterprises belonging to the Norilsk Nickel Group decreased by 0.4 million cubic metres in comparison to 2012. The total volume of wastewater discharged by the Zapolarny Branch also decreased during the same period by 6.1 million cubic metres (16%) and the total of volume of wastewater discharged by the Kola MMC decreased by 1.8 million cubic metres (7%), which is attributed to low water content and rainfall deficit in the Murmansk Region in 2013, as well as liquidation of drainage of the Zapadny quarry at the Zapolyarny site and reduction in the volumes of discharges through the drainage at the Tsentralny quarry in connection with a crossflow of water into the underground workings of the Severny mine.

Total amount of water withdrawn, millions of cubic metres

Receiving water bodies for wastewater discharges

  • Enterprises located in the Krasnoyarsk region
  • Water bodies of the Kara Sea basin, including the Yenisei River basin and the Norilo-Pyasinskaya water system.
  • OJSC Kola MMC
  • Water bodies of the Barents Sea basin.
  • OJSC Archangelsk Sea Commercial Port
  • The Northern Dvina river
  • Nortrans-Norilsk, Ltd., Metal Scrap Recycling Plant, Ltd.,
  • Norilskgeologiya, Ltd.,
  • Vostokgeologiya, Ltd.,
  • Murmansk Transport Branch,
  • Archangel Transport Branch,
  • Krasnoyarsk Transport Branch, Gipronikel Institute, etc.
  • Drain into sewer networks of other organisations.

Total Group’s discharges of untreated polluted wastewater decreased by 23%. The decrease at the Zapolarny Branch amounted to 5.4 million cubic meters (18%). This decrease is attributed to the fluctuations in volumes of the mine water inflow as well as the commissioning of 4 local sewage treatment plants intended for domestic wastewater.

At the Kola MMC the discharge of untreated polluted wastewater is carried out at the Zapolyarny site. The discharges decreased by 85.4% at this location as a result of low extent of spring floods. Hence, discharge of floodwater from the tailing storage facility of the concentration plant did not occur in 2013.

Total Group’s discharges of polluting substances contained in wastewater decreased by 21.7 thousand tonnes (13.5%) primarily due to reduction in the volume of discharges at the Monchegorsk site attributed to reduction in consumption of reagents used for manufacturing of products.

Approximately 20 treatment facilities for industrial and domestic wastewater are planned to be built over the period between 2013 and 2018, which, in combination with measures aimed at the improvement of water circulation systems, will enable the Company to reduce discharges of pollutants by almost a factor of 6 and achieve target values with respect to all discharges of wastewater. By 2017, all the wastewater will be purified (to establish standards of purity) prior to being discharged.

Total volume of wastewater discharges, millions of cubic metres

Share and total volume of water recycled and reused by the companies belonging to the Group, millions of cubic metres

Water Recycling and Reuse

The Zapolarny Branch of the Company implemented a technological water recycling system to satisfy the needs of the ore-dressing and metallurgical complex of enterprises.

In 2013, the share of recycled and reused water increased from 85.7% to 92.2% in comparison with the previous period.

At Kola MMC, the mine and process waters are reused for stowing of the Severny mine and for washing of trolleys at the Kaula-Kotselvaara mine. The mine water purified using treatment plants is used instead of the industrial water at the mine. The purified mine water is also used for flotation at the concentration plant, and for cooling of compressors at the energy and power supply shop. In addition, the recycling water supply systems are used to cool the equipment at shops, for granulation and hydrotransportation of metallurgical slag.

Most of the water is reused at the mining facilities

Significant portion of the water used at the concentration plants is found within the recycling water supply

Restoration Works in the Territory of Kola MMC

Minimisation of anthropogenic impact of the generated wastes on the environment is one of the objectives of the Company in the field of waste management. Over 90% of the production wastes generated at the enterprises of the Company are classified as class 5 hazards (wastes virtually non-hazardous to the environment).

The total amount of waste generated by the Norilsk Nickel Company Group decreased by 2995.6 thousand tonnes ­in 2013 in comparison to 2012 (6.9%). This decrease is attributed to a reduction in waste production by the Zapolarny Branch.

A reduction in the volume of waste production resulted in a decrease observed across all indicators related to waste management (consumption, disposal). The use of waste in the production processes by the Company’s enterprises reduced by 1540.02 thousand tonnes in the reporting year in comparison to 2012 (7.69%).

The proportion of waste used in the production process relative to the total amount of waste produced at the Zapolarny branch, Kola MMC, and the Company as a whole remained stable at approximately 50% over the past 5 years (2009-2013).

The share of materials representing recycled or reused wastes has increased. The total share for the entire Company was 5.53% in 2013 against 4.68% in 2012.

In accordance with the requirements established by the relevant environmental protection legislation, the Company’s enterprises perform works on the development of draft standards for waste production and waste disposal limits, and obtain permits in the field of waste management.

In 2013, the relevant development works were conducted and permits were obtained by the:

  • Archangelsk Transport Branch
  • Zapolarny Branch
  • Norilskpromtransport, Ltd.
  • OJSC Yenisei River Shipping Company

Also in 2013, OJSC Yenisei River Shipping Company obtained a license for the neutralisation (incineration) of wastes.

Waste Disposal

Wastes produced by the Zapolarny Branch are disposed of at the 21st disposal facility, with a total area of 4.4 thousand hectares. Waste volumes do not exceed the established limits. A decrease in waste generation by 16.36% was recorded at the Zapolarny Branch in 2013 in comparison to 2012. This decrease was attributed to the reduction in waste volumes generated in the process of extraction of ore minerals at the Zapolarny and Kayerkansky mines resulting in decreased amounts of waste destined for disposal.

Waste levels produced at Kola MMC increased by 18.2% in 2013 in comparison to 2012 due to an increase in class V waste generation, namely overburden in the process of development of the mine at the Zapolarny site using open-pit methods.

At the same time, a 27.4% increase in the use of overburden for restoration of depleted quarries was observed.

The amount of waste sent to third parties for subsequent use or neutralisation decreased by 29.5%, which is attributed to a decrease in the formation of the iron and steel scrap.

Restoration Works in the Territory of Kola MMC

Kola MMC systematically works on the restoration of disturbed lands in the areas adjacent to the production facilities at the production site in Monchegorsk, including directly near the existing shops – metallurgical and nickel carbonyl division. Grass and flowers (daisies and polar willow-herb) braided on the waste grounds in the summer of 2013.

Reclamation of disturbed top soil along with planting of trees and shrubs was also carried out within the framework of restoration of lands. In 2013, the activists of the Company planted 20 thousand pine seedlings on 5 hectares of anthropogenic wasteland in Monchegorsk. Organic fertilisers obtained from sedimentation tanks at the Murmanskaya poultry factory were used to achieve reclamation of heavily eroded soils. This in turn resolved the problem of overfilling of dung storage facilities at the poultry factory and reduced the risk of contamination of the Kola River, which is used to withdraw water to supply the southern districts of Murmansk. Approximately three thousand seedlings purchased with funds belonging to Kola MMC were also planted in parks and on lawns in the Nickel settlement (See also section “Programmes Aimed at Restoration of Biodiversity and Conducting Bioremediation”).

Environmental Impacts of the Transportation of Products, Goods, Materials and Human Resources

Motor Transport

Technical inspections of vehicles and other equipment are conducted on a regular basis and measurements of the amounts of pollutants in the exhaust gases are carried out on a quarterly basis at the Group’s enterprises in order to prevent the excess emission of pollutants into the atmosphere. Internal and external inspections (audits) aimed at the assessment of compliance of measures implemented with applicable legislation are conducted on a regular basis. All current impacts originating from the transportation of cargo and personnel are within the permissible limits established by the current applicable requirements.

Zapolarny Transport Branch exerts no significant impact on the environment in the course of the transportation of products, as almost all products are transported in containers. Emissions into the atmosphere from mobile sources are within the permissible emission limits.

Environmental impacts associated with transportation of products, goods, and materials, as well as the transportation of Kola MMC personnel are not regarded as significant. The spillage of combustibles and lubricants at the facilities engaged in the maintenance of the rolling stock is not allowed, and the facilities are equipped with a safety system (hard coating, dyking, and oil removers).

Pipeline Transportation

Transportation of products produced by OJSC Taimyrgaz (gas and gas condensate) is carried out via main pipelines (gas pipelines and condensate pipelines) along the Pelyatkinskoye Gas Condensate Field-Dudinka-Norilsk route, which reduces the negative environmental impact of transportation systems related to transportation of products.

Water Transport

All transport vehicles at OJSC Archangelsk Sea Commercial Port are subjected to annual inspections conducted in the prescribed manner to ensure emissions are within the limits established by relevant technical guidelines. The washing of transport vehicles is carried out in special areas designated for the washing of rolling stock. The limits established by technical standards have never been exceeded.

The environmental fleet of OJSC Yenisei River Shipping Company, which conducts its operation in the Yenisei water basin, comprises 23 units. Environment conservation measures implemented by the streamship company minimise the impact on biodiversity of the Yenisei river basin.

Rail Transport

Technological Rail Transport Enterprise (TRTE) at the Zapolarny Branch of the OJSC MMC Norilsk Nickel is responsible for the  transport of technological cargo and manufacturing equipment for various divisions of the Zapolarny Branch. Specialised railway containers are used for the transportation of raw materials and finished products. Significant environmental impacts associated with the transportation of cargo by TRTE were not identified.

The first phase of implementation of the transport monitoring system

for monitoring the vehicle fleets of the Company was completed: 800 transport vehicles were equipped with GLONASS/GPS-based navigation and telematics equipment.

Road-freight vehicles, as well as special types of vehicles – all-terrain vehicles, fuel-servicing trucks, and diesel locomotives – were fitted with fuel consumption monitoring systems. All transport vehicles were equipped with fuel level sensors, and some units received on-board terminals.

The measures implemented ensured a 20% reduction in fuel consumption, and hence achieve the reduction of emissions. The discipline among drivers was also improved, downtime was eliminated, and full control over the movement of vehicles was established, which is important for ensuring the safety of personnel working in the Polar regions. Based on the results of tests conducted, it was decided to equip all transport vehicles of the subsidiary – Norilsk Industrial Transport – with the fuel level sensors.