Seatrium Ltd

The Board provides strategic oversight and direction for the Group's sustainability agenda. It has established a Corporate and Social Responsibility Committee (CSRC) dedicated to overseeing sustainability matters. The CSRC is supported by the Group's Sustainability team, which works closely with the Senior Management and Sustainability Working Committees to monitor, manage, implement and report on all sustainability matters and initiatives. This includes integrating sustainability targets into the balanced scorecard of our key executives, thereby enhancing accountability and ownership throughout the organisation. Please refer to page 22 for a detailed overview of our sustainability governance structure and framework. [...] **Our Sustainability Governance Structure** [...] **BOARD OF DIRECTORS** The Board of Directors oversees Seatrium's sustainability strategies, integrates stakeholder feedback, manages risks, and ensures accountability for sustainability performance and reporting. The Board receives updates on key sustainability issues from the CSRC quarterly during Board meetings. Ultimately, the Board is accountable for the Group's sustainability performance and reporting. [...] **CORPORATE SOCIAL RESPONSIBILITY COMMITTEE (CSRC)** The CSRC supports the Board by providing expert guidance on key sustainability topics and convenes quarterly to discuss these issues. The 2024 agenda includes discussions on carbon management, diversity, equity, and inclusion, human rights, community programmes, reporting standards, sustainability performance, sustainability index, and the approval of the sustainability report. [...] **SENIOR LEADERSHIP TEAM (SLT)** The SLT, led by the CEO and comprising key executives from various business and operational units, sets direction and evaluates sustainability performance, with monthly meetings focused on key sustainability matters. [...] **SUSTAINABILITY SECRETARIAT** The Sustainability Secretariat manages and coordinates day-to-day efforts, ensuring alignment across the organisation and reporting key developments to the CSRC and the SLT. [...] To embed sustainability throughout the Company and ensure accountability, we have incorporated sustainability targets into the performance appraisals of senior management. These targets influence both annual remuneration and long-term incentives. For more information, please refer to pages 76 to 77 of the Company's AR2024.

The Board oversees the Group's sustainability agenda and provides strategic direction to the Group's Sustainability Council (SC) and core sustainability working groups. We have set a clear ambition for Sembcorp Marine's sustainable growth with our Sustainability Vision 2030 strategic roadmap. [...] The Board is supported by the SC in its oversight of the Group's sustainability governance. The SC assists the Board in determining the ESG factors, and overseeing the management and monitoring of the material ESG factors, in which seven material issues are determined and adopted under the four key sustainability dimensions, comprising Business Growth, Environmental Sustainability, Social Growth and Corporate Governance. [...] The Board supports the reporting of the Group's sustainability performance in accordance with the SGX Sustainability Reporting Guide, Global Reporting Initiative (GRI) Standards: Core Option, Sustainability Accounting Standards Board (SASB) framework and with reference to the United Nations Sustainable Development Goals (UN SDGs), the Sustainability Reporting Guidance for the Oil and Gas Industry issued by IPIECA, the American Petroleum Institute (API) and the International Association of Oil & Gas Producers (IOGP), and the Task Force on Climate-related Financial Disclosures (TCFD) for materiality mapping and disclosures on performance. [...] The progress against these targets is monitored by our Environmental Sustainability Working Group and Sustainability Council, with oversight from our Board of Directors.

The Board oversees the Group's sustainability agenda and provides strategic direction to the Group's Sustainability Council (SC) and core sustainability working groups. We have set a clear ambition for Sembcorp Marine's sustainable growth with our Sustainability Vision 2030 strategic roadmap. [...] The Board is supported by the SC in its oversight of the Group's sustainability governance. The SC assists the Board in determining the ESG factors, and overseeing the management and monitoring of the material ESG factors, in which seven material issues are determined and adopted under the four key sustainability dimensions, comprising Business Growth, Environmental Sustainability, Social Growth and Corporate Governance. [...] The Board supports the reporting of the Group's sustainability performance in accordance with the SGX Sustainability Reporting Guide, Global Reporting Initiative (GRI) Standards: Core Option, Sustainability Accounting Standards Board (SASB) framework and with reference to the United Nations Sustainable Development Goals (UN SDGs), the Sustainability Reporting Guidance for the Oil and Gas Industry issued by IPIECA, the American Petroleum Institute (API) and the International Association of Oil & Gas Producers (IOGP), and the Task Force on Climate-related Financial Disclosures (TCFD) for materiality mapping and disclosures on performance. [...] The progress against these targets is monitored by our Environmental Sustainability Working Group and Sustainability Council, with oversight from our Board of Directors.

The Board oversees the Group's sustainability agenda and provides strategic direction to the Group's Sustainability Council (SC) and core sustainability working groups. Moving forward, a dedicated Corporate Social Responsibility (CSR) Committee has been established to assist and support the Board in fulling its oversight responsibilities over ESG matters. [...] The Board has established a robust sustainability governance structure/framework which is set out on pages 6, 64, 66 and 67. [...] The Board is supported by the SC in its oversight of the Group's sustainability governance. The SC assists the Board in determining, overseeing the management and monitoring of the material ESG factors, in which eight material issues are determined and adopted under the four key sustainability dimensions, comprising Business Growth, Environmental Sustainability, Social Growth and Corporate Governance. [...] The progress against these targets is monitored by our Environmental Sustainability Working Group and Sustainability Council, with oversight from our Board of Directors.

The Board provides strategic direction and oversees the Group's sustainability agenda. It has established a Corporate and Social Responsibility Committee (CSRC) to provide oversight over sustainability matters. The CSRC is supported by the Group's Sustainability team who works closely with the Group's Senior Leadership Team to oversee, monitor, and manage ESG matters including sustainability reporting. Please refer to page 24 for more details on the sustainability governance structure and framework. [...] At Seatrium, our Board of Directors exercises oversight over the Group's sustainability strategies and programmes, The Board considers sustainability issues and stakeholder feedback as part of the Group's strategy, business and operation plan, including sustainability-related risks and opportunities associated with climate change. The Board is ultimately responsible for the Group's sustainability performance and reporting. The Board is supported by the CSRC in fulfilling its oversight responsibilities over ESG matters. The CSRC meets quarterly to provide guidance on sustainability matters, covering topics on carbon management, diversity, equity and inclusion. Since its establishment in February 2023, the CSRC has met four times between May and December 2023. The Senior Leadership Team, led by the CEO, comprising key executives from various business and operational function units, meets monthly for decision-making and providing guidance on key sustainability matters, including strategies, plans, performance and reporting.

The Board provides strategic direction and oversees the Group's sustainability agenda. It has established a Corporate and Social Responsibility Committee (CSRC) to provide oversight over sustainability matters. The CSRC is supported by the Group's Sustainability team who works closely with the Group's Senior Leadership Team to oversee, monitor, and manage ESG matters including sustainability reporting. Please refer to page 24 for more details on the sustainability governance structure and framework. [...] At Seatrium, our Board of Directors exercises oversight over the Group's sustainability strategies and programmes, The Board considers sustainability issues and stakeholder feedback as part of the Group's strategy, business and operation plan, including sustainability-related risks and opportunities associated with climate change. The Board is ultimately responsible for the Group's sustainability performance and reporting. The Board is supported by the CSRC in fulfilling its oversight responsibilities over ESG matters. The CSRC meets quarterly to provide guidance on sustainability matters, covering topics on carbon management, diversity, equity and inclusion. Since its establishment in February 2023, the CSRC has met four times between May and December 2023. [...] The Senior Leadership Team, led by the CEO, comprising key executives from various business and operational function units, meets monthly for decision-making and providing guidance on key sustainability matters, including strategies, plans, performance and reporting.

Sembcorp Marine's Board of Directors and Senior Management Committee (SMC) have oversight of climate-related risks and opportunities through the Sustainability Council which oversees our corporate sustainability strategies, policies, performance and mitigation actions. The Sustainability Secretariat reports to the Sustainability Council and coordinates with the Economic, Environmental, Social and Governance (EESG) working groups to implement strategies, identify emerging issues and engage our stakeholders on sustainability issues, including climate-related matters. To guide the Group's strategic direction, the Board and SMC meet annually to review key business plans while taking into account climate-related risks and opportunities.

The Board oversees the Group's sustainability agenda and provides strategic direction to the Group's Sustainability Council (SC) and core sustainability working groups. Moving forward, a dedicated Corporate Social Responsibility (CSR) Committee has been established to assist and support the Board in fulling its oversight responsibilities over ESG matters. [...] The Board has established a robust sustainability governance structure/framework which is set out on pages 6, 64, 66 and 67. [...] The Board is supported by the SC in its oversight of the Group's sustainability governance. The SC assists the Board in determining, overseeing the management and monitoring of the material ESG factors, in which eight material issues are determined and adopted under the four key sustainability dimensions, comprising Business Growth, Environmental Sustainability, Social Growth and Corporate Governance. [...] The Board supports the reporting of the Group's sustainability performance in accordance with the SGX Sustainability Reporting Guide, Global Reporting Initiative (GRI) Standards, Sustainability Accounting Standards Board (SASB) framework and with reference to the United Nations Sustainable Development Goals (UN SDGs), Sustainability Reporting Guidance for the Oil and Gas Industry issued by IPIECA, American Petroleum Institute (API) and International Association of Oil & Gas Producers (IOGP), and the Task Force on Climate-related Financial Disclosures (TCFD) for materiality mapping and disclosures on performance. [...] The ESG targets in these facilities are aligned with Sembcorp Marine's performance targets set out in the Group's Sustainability Report on pages 6 and 7. Sembcorp Marine will provide annual updates on our performance in our annual sustainability reports. The progress against these targets is monitored by our Environmental Sustainability Working Group and Sustainability Council, with oversight from our Board of Directors.

RISK MANAGEMENT AND GOVERNANCE

Sembcorp Marine's Risk Management and Governance Structure comprises the Board, Board Risk Committee ("BRC"), Enterprise Risk Management Committee ("ERMC"), Risk Champions, Risk Sub-Committees and the Risk Management Office under the Chief Risk Officer ("CRO").

The Board is responsible for risk oversight and setting an appropriate tone from the top, which is cascaded across the Group through policies and procedures. The BRC supports and assists the Board in overseeing that management has put in place adequate and effective risk management systems, frameworks, policies, procedures and processes; reviewing and endorsing the Group's risk appetite and risk tolerance limits for approval by the Board; reviewing risk reports from management which include the Group's risk profile, major risk exposures and material risk issues; as well as management's response and actions taken to monitor and control such exposures or issues.

The responsibility for risk management and effective internal controls lies with the ERMC. Chaired by the President & CEO, the ERMC drives key risk management initiatives and reviews risk issues across the Group. Supporting the ERMC are the Risk Champions and the Risk Sub-Committees for Credit, Project Risk Management and Foreign Exchange.

These sub-committees are chaired by senior management appointed by the President & CEO. Collectively, the Risk Champions and the Risk Sub-Committees oversee the various risk categories with clear assignment of responsibilities.

The Board of Directors (the "Board") of Seatrium prioritises sustainability and continual ESG enhancement, integrating these principles into the company's core values and culture. The Board provide strategic guidance and oversight on sustainability. This commitment extends to managing ESG risks and opportunities for long-term stakeholder value and positive societal and environmental impact. The Board's comprehensive approach address various sustainability issues, including climate, biodiversity, and Diversity, Equity, and Inclusion ("DEI") concerns, integrating across all business operations. [...] Health, Safety and Environment ("HSE") Policy & Framework: Seatrium's HSE framework is championed by the Board and Senior Leadership Team, employees, contractors, and stakeholders. Its Corporate Social Responsibility Committee steers the HSE policies and framework, and the Group HSE Committee, together with various sub-committees at the yards, is responsible for developing the relevant procedures and controls and deploying the HSE strategies and work plans. Its HSE Policy applies to all employees and third parties working at its premises.

Sembcorp Marine's Board of Directors and Senior Management Committee (SMC) have oversight of climate-related risks and opportunities through the Sustainability Council which oversees our corporate sustainability strategies, policies, performance and mitigation actions. The Sustainability Secretariat reports to the Sustainability Council and coordinates with the Economic, Environmental, Social and Governance (EESG) working groups to implement strategies, identify emerging issues and engage our stakeholders on sustainability issues, including climate-related matters. To guide the Group's strategic direction, the Board and SMC meet annually to review key business plans while taking into account climate-related risks and opportunities. [...] The Sustainability Council oversees the Group's sustainability performance. Led by the President & CEO, the Council is tasked with creating value for all our stakeholders by integrating economic, environmental, social and governance standards and responsibilities into the Sembcorp Marine approach to business. The Council, comprising sustainability champions from various working groups, is responsible for advancing Sembcorp Marine's sustainability opportunities, and managing our environmental and social impacts through formulating corporate sustainability strategies, policies and mitigation actions. The Council reports to the SMC, which meets regularly to discuss major operational issues. The SMC reports Sembcorp Marine's performance and targets at our Board Executive Committee meetings. The Sustainability Secretariat coordinates with the working groups to implement strategies, identify specific emerging issues and engage stakeholders. All Sembcorp Marine employees are expected to uphold the Group's sustainability efforts.

The Board of Directors (the "Board") of Seatrium prioritises sustainability and continual ESG enhancement, integrating these principles into the company's core values and culture. The Board provide strategic guidance and oversight on sustainability. This commitment extends to managing ESG risks and opportunities for long-term stakeholder value and positive societal and environmental impact. The Board's comprehensive approach address various sustainability issues, including climate, biodiversity, and Diversity, Equity, and Inclusion ("DEI") concerns, integrating across all business operations. [...] Health, Safety and Environment ("HSE") Policy & Framework: Seatrium's HSE framework is championed by the Board and Senior Leadership Team, employees, contractors, and stakeholders. Its Corporate Social Responsibility Committee steers the HSE policies and framework, and the Group HSE Committee, together with various sub-committees at the yards, is responsible for developing the relevant procedures and controls and deploying the HSE strategies and work plans. Its HSE Policy applies to all employees and third parties working at its premises.

Describe the process(es) your organization has in place to ensure that your engagement activities are consistent with your overall climate change strategy[…]To promote and support the advancement and sustainable development of the Singapore's offshore and marine industry, our senior management volunteered their time and expertise through various industry associations and public councils where they hold appointments. The Group also established collaborations with industry partners and participated in relevant external programmes.

Our senior leaders involved in policy making are members of our Board, EXCO, SMC and Sustainability Council. Participating actively in policy studies and R&D programmes including technology grant calls have allowed us to advance the use of renewable and clean energy in our operations. Collaborating with government agencies in joint lab projects enabled us to make the renewable and clean energy more viable, accessible, reliable and safer for the industry as well as help to make user-friendly policy. These ensure that our direct and indirect activities that influence policy are consistent with our overall decarbonisation/climate change strategy.