Antofagasta : AGM 2024 - CEO’s Presentation Transcript

Annual General Meeting 2024

Presentation Script

Iván Arriagada

Chief Executive Officer

8 May 2024

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• Thank you, Mr. Chairman, and good morning.
• I would like to take a few minutes to share with you the way we work here at Antofagasta, our growth pipeline, view on the copper market and how we are well-positioned to take advantage of opportunities in the future.

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• Before we begin, here we have our usual cautionary statement, which I encourage you to consider, as it is important.

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• To begin, I will highlight our purpose, and why it is important for understanding our business strategy.
• We are committed to "developing mining for a better future," a purpose we demonstrate through our strong safety record, dedicated workforce and growing investment in technology and innovation. Here you see an example of our innovation on wheels - one of our autonomous haul trucks at Centinela.
• We understand that, as a modern mining company, the success of our business is based on delivering value to a wide range of stakeholders - from local communities and governments to employees and investors. Our presentation today will discuss our recent performance across these areas, and how we are progressing toward our targets.

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• First, a few words on safety, which is paramount.
• At Antofagasta, we are proud of the results that we have achieved over many years, and we remain committed to delivering strong safety performance.
• Our production, and the development of our project pipeline, are predicated on operating within a safe working environment, where we manage a wide range of safety metrics, including leading indicators like reporting hazards and risks and near miss events.
• Shown here is the decrease that we have seen in our total injury frequency rate, with our operations now performing ahead of our peers in the global mining industry, and remaining fatality free in 2023. I am also pleased to report that our strong safety performance has continued in the course of 2024.

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• Another key element of our business strategy is our approach to our people.
• We place great importance on development.
• Shown here is our recent path in promoting gender diversity, with all our operations seeing improvements in 2023, as we progress toward our target of 30% female representation by 2025.
• In parallel, we are also advancing diversity in leadership and supervisor roles as this is an important aspect of embedding cultural change. We have seen an increase in female representation within leadership roles. Women now fill almost a third of these roles, which is ahead of the trend seen in our workforce as a whole.
• Notably, diversity at the Board level has increased, with 45% of the

seats now held by women directors - an increase from 20% five years

ago.

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• Moving now to climate change, we recognise the importance and impact that this is having on our society. We know - we see every day - the consequences of changing environmental conditions in the regions in which we operate.
• With this in mind, we developed new emissions targets last year, having met our previous goals in 2022. We recently announced these targets alongside our Climate Action Plan, which you can find on our website.
• Our main area of focus in advancing toward our Scope 1 and 2 targets is the reduction of diesel use, which represents around 60% of Scope 1 emissions from our Mining Division. Our Scope 2 emissions have largely been eliminated through our move to renewable electricity over the last several years.
• For our Scope 3 emissions target, which are associated with our value chain, our 'Suppliers for a Better Future' programme will be integral to achieving this target, given our suppliers represent more than 50% of this category of emissions.

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• Now I'd like to turn to water, which is a topic linked to climate change, and an important area for us given the continuing drought in the vicinity of Los Pelambres.
• 2023 was a pivotal year for our business - the first time that withdrawals from sea water exceeded continental water sources.
• This result was made possible through our decision to invest in our desalination plant for Los Pelambres, which is shown here in the picture, with operations commencing at the middle part of last year.
• In parallel, Centinela and Antucoya have operated using raw sea water for a number of years, which means we are well on our way toward achieving our goal of 90% of our water coming from either sea or recirculated water.
• We expect to reach this target following work to double the capacity of the Los Pelambres desalination plant, and this construction work began earlier this year.

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• On biodiversity, we operate in two very distinct ecological environments in Chile.
• As the Chairman pointed out, at Los Pelambres, in the central region of Chile, to advance towards nature positive outcomes, we support the protection of habitats that have a combined area of more than six times the size of our operations, including a number of nature reserves.
• In the north of Chile, we are partners in initiatives to protect local species. One example is our Desierto Verde flora project at Zaldívar, which aims to increase our knowledge of plant species that might be adaptable to desert environments.
• Last year, we made our commitment to be nature positive by 2030, pledging to halt biodiversity loss and promote the health of existing habitats. Progress will be measured through the health, abundance, and resilience of ecosystems where we operate as well as in other locations, including initiatives involving our value chain.
• Finally, 2023 was an important year because we confirmed that we operate in compliance with the global industry standard on tailings management - GISTM
  - in line with the required timeline for our main facility at Los Pelambres, and two years ahead of schedule for Centinela.

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• On the topic of communities, you can see the broad range of initiatives we are undertaking, ranging from short-term responses to help communities affected by events such as the wildfires in central Chile earlier this year, to longer-term initiatives. In responding to the recent wildfires, this work included efforts to rebuild the Botanical Gardens of Viña del Mar, which was almost completely destroyed.
• At Los Pelambres, Somos Choapa helps to deliver effective community support through programmes such as Confluye and APRoxima. These initiatives are aimed at helping communities with water supply and adapting to the ongoing drought in the Choapa Region. Somos Choapa is now into its 10th year of operations.
• As part of this work, in March 2023, we inaugurated the Chillepín medical centre, which directly supports nearly 7,000 local residents.
• More recently, in March of this year, we commenced construction of water sewage infrastructure in the town of Caimanes, through a partnership with the regional government.

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