Mercer International Inc.'s climate targets validated by the Science Based Targets initiative

Rhea-AI Summary

Mercer International announced the approval of its 35% Greenhouse Gas (GHG) reduction target by 2030 by the Science Based Targets initiative (SBTi), marking it as a leader in the forest and paper products sector. The target, set from a 2019 baseline, aims to reduce Scope 1 GHG emissions per tonne of pulp and absolute Scope 2 and Scope 3 GHG emissions. This initiative aligns with the goals of the Paris Agreement for limiting global warming. Senior Vice President and CFO David Ure emphasized the company's commitment to a net-zero future and collaboration with stakeholders to reduce carbon footprints.

Positive

• Approval of 35% GHG reduction target by 2030, recognizing Mercer as a leader in sustainability.
• First North American forest and paper products company to receive SBTi approval.
• Commitment to align with the Paris Agreement, enhancing long-term sustainability.

Negative

• None.

NEW YORK, April 20, 2022 (GLOBE NEWSWIRE) -- Mercer International Inc. (“Mercer” or the “Company”) (Nasdaq: MERC) announced its 35% Greenhouse Gas reduction target by 2030 has been approved by the Science Based Targets initiative (SBTi) as consistent with the levels required to meet the goals of the Paris Agreement. The approval formally recognizes Mercer as a leading company and the first in Canada and one of the first North American companies in the forest and paper products sector with approved targets.

As disclosed by SBTi, Mercer’s commitment is to reduce Scope 1 GHG emissions by 35% per tonne of pulp by 2030 from a 2019 base year. In addition, we are also committing to reducing absolute Scope 2 and Scope 3 GHG emissions by 35% by 2030 from a 2019 base year. These targets are consistent with reductions required to keep warming to well below 2°C.

"We believe SBTi is recognized as the most reputable standard to validate climate targets, and this recognition provides clarity and confidence in our 2050 pathway to net-zero emissions and a more sustainable future,” said David Ure, Senior Vice President and CFO. He went on to state, "We look forward to continued collaboration with our customers and supply chain with a common purpose to reduce greenhouse gas and our carbon footprint.”

SBTi helps companies establish science-based targets to reduce greenhouse gas emissions and transform business operations to fit the future low-carbon economy. Targets adopted to reduce greenhouse gas (GHG) emissions are considered to be "science-based" if they are in line with what the latest available climate science says is necessary to meet the goals of the Paris Agreement – to limit global warming to well below 2°C above pre-industrial levels and pursue efforts to limit warming to 1.5°C.

SBTi is a collaboration between CDP, United Nations Global Compact (UNGC), World Resources Institute (WRI), World Wide Fund for Nature (WWF) and one of the We Mean Business Coalition commitments.

About Us

Mercer International Inc. is a global forest products company with operations in Germany, the USA, and Canada with a consolidated annual production capacity of 2.3 million tonnes of pulp and 550 million board feet of lumber, and 140 thousand cubic meters of CLT. To obtain further information on the company, please visit its website at https://www.mercerint.com.

The preceding includes forward-looking statements which involve known and unknown risks and uncertainties which may cause our actual results in future periods to differ materially from forecasted results. Words such as "expects", "anticipates", "are optimistic that", "projects", "intends", "designed", "will", "believes", "estimates", "may", "could" and variations of such words and similar expressions are intended to identify such forward‐looking statements. Among those factors which could cause actual results to differ materially are the following: the highly cyclical nature of our business, raw material costs, our level of indebtedness, competition, foreign exchange and interest rate fluctuations, our use of derivatives, expenditures for capital projects, environmental regulation and compliance, disruptions to our production, market conditions and other risk factors listed from time to time in our SEC reports.

APPROVED BY:

Jimmy S.H. Lee
Executive Chairman
(604) 684-1099

David M. Gandossi, FCPA, FCA
Chief Executive Officer
(604) 684-1099

Contact

If you would like more information, please contact:

Bill Adams
Vice President, Sustainability & Innovation
(604) 891-2617

FAQ

What is Mercer's GHG reduction target announced in April 2022?

Mercer announced a 35% reduction target for greenhouse gas emissions by 2030, approved by the Science Based Targets initiative.

Why is Mercer's GHG target significant for investors?

The approval positions Mercer as a leader in sustainability within the forest and paper products sector, potentially enhancing its market reputation and appeal to environmentally conscious investors.

Which initiatives validate Mercer's sustainability goals?

Mercer's GHG reduction target is validated by the Science Based Targets initiative, which aligns with the goals of the Paris Agreement.

When is the target year for Mercer's GHG emissions reduction?

Mercer's target year for a 35% reduction in GHG emissions is set for 2030.

How does Mercer's GHG target relate to the Paris Agreement?

The target is consistent with the levels required to meet the Paris Agreement's goal of limiting global warming to well below 2°C.