S U S TA I N A B I L I T Y R E P O R T

2021

Orocobre is a dynamic global lithium chemicals supplier and an established producer of boron.

OROCOBRE SUSTAINABILITY REPORT 2021

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Contents

Letter from the Managing Director and CEO About this Report

Forward Looking Projections

About Orocobre

Our Operations and Growth Projects

Olaroz Lithium Facility

Olaroz Stage 2 Expansion Project

Naraha Lithium Hydroxide Plant Project

Cauchari Resource

Borax Argentina

Governance and Risk Management

Governance

Board Sustainability Committee

Sustainability Strategy

Sustainability Framework

Risk Management

Orocobre Risk Management Framework

Climate Change Risk Assessment

Human Rights Risk Assessment

Future Focus-Governance and Risk

COVID-19 Impact and Response

Our People-COVID-19 Response

Communities-COVID-19 Response

Suppliers and Contractors-COVID-19 Response

Market-COVID-19 Impacts

Our 2021 Focus Areas

Our Stakeholders

Materiality Assessment

  1. Our 2021 Performance
  2. Health and Safety
  3. Key Performance Indicators
  4. Future Focus-Health and Safety
  5. Value Chain
  6. Our Customers
  7. Key Performance Indicators

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Our Suppliers

  1. Future Focus-Value Chain
  1. Environment
  2. Site locations and surrounding environment
  3. Overview of Environment for the Olaroz
  1. Lithium Facility
  2. Overview of Environment for Borax Argentina
  1. Key Performance Indicators
  2. Future Focus- Environmental Management

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Future Focus-Water

  1. Future Focus-Energy Use and Carbon Emissions
  2. Future Focus-Waste
  1. Communities and Shared Value
  2. Our Local Communities
  1. Key Performance Indicators
  2. Future Focus-Communities and Shared Value

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Case Studies: Shared Value

  1. People and Culture
  2. Training and Development of Our People
  3. Key Performance Indicators
  4. Future Focus-Diversity

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2021

REPORT

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SUSTAINABILITY

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Materiality Matrix

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Future Focus-Turnover

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Response to material topics

23 Independent Limited Assurance Report Memberships and Affiliations

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OROCOBRE

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Letter from the

Managing Director and CEO

OROCOBRE SUSTAINABILITY REPORT 2021

Thank you for your interest in Orocobre's 2021 Sustainability Report.

I would like to take this opportunity to thank each

of our valued employees and other stakeholders who, despite the continued global impacts of COVID-19, have helped to make FY21 one of the most successful ever for Orocobre.

We have been a signatory to the United Nations Global Compact (UNGC) since 2018, and this report outlines our ongoing commitment to report progress towards these principles. We continue to expand the scope of our sustainability reporting to provide our stakeholders with targeted and meaningful information about our approach to generating long term shared value.

Generating shared value with our communities defines the way that we operate. During FY21 we started implementing the Business for Societal Impact (B4SI) methodology to measure and report on the social impact of our community initiatives.

We also formally declared our support for the Task Force on Climate-related Financial Disclosures (TCFD), demonstrating our continued commitment to identify and address climate risk with increased transparency. We are committed to the reduction of global greenhouse gas (GHG) emissions and the transition of our business to achieve net-zero across our scope 1 and 2 emissions by 2035.

The operational GHG emissions intensity of lithium carbonate produced at the Olaroz Lithium Facility continues to reduce and we have also reduced GHG emissions and water use at our Borax Argentina operations.

Product quality remains a key focus of our operational teams. Quality metrics at our Olaroz Lithium Facility continue to show positive results and the proportion of battery grade production has increased to 48% in FY21, up from 24% in the previous year.

Overall, approximately 86% of our lithium sales in FY21 contributed to the global battery supply chain. At Borax Argentina we completed a restructuring project during the year that resulted in significantly improved safety performance and quality management.

We are committed to achieving a "zero incident- zero harm" workplace and across the Group, we saw significant improvements in safety outcomes this year. Lost Time Injury Frequency Rate (LTIFR) reduced from

2.5 to 1.0, and our Total Recordable Injury Rate (TRIFR) from 4.5 to 2.4. We have also increased the scope of our safety data reporting to better respond to the needs of our investors.

We are looking forward to the completion of construction of the 25,000 tonne per annum Olaroz Stage 2 expansion and commissioning of the 10,000 tonne per annum Naraha Lithium Hydroxide Plant in Japan during FY22.

In April we announced a merger of equals with Galaxy Resources and with the overwhelming support of Galaxy shareholders we have now completed this merger. We would like to take the opportunity to welcome all Galaxy employees and shareholders to Orocobre. The combined company will require a new name, and we will soon put to shareholders a change of name to ALLKEM Limited, recognising our focus on battery chemicals and that together we can achieve more.

I hope you enjoy reading our Sustainability Report, the fifth and final to be published under the Orocobre name. We are proud of the progress we have made this year and we look forward to achieving more together with our world class lithium assets enabling the transition to a net-zero carbon economy.

Martín Pérez de Solay

Managing Director and CEO

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About this Report

Our 2021 financial year (FY21) Sustainability Report illustrates the sustainability performance of Orocobre Limited. The scope of our sustainability reporting includes key performance data from our Olaroz Lithium Facility, operated by Sales de Jujuy S.A. (SDJ) as well as Borax Argentina S.A. (Borax Argentina

or BRX).

The data provided in this document, for both companies, covers the period between 1 July 2020 and 30 June 2021. The scope does not include the Naraha Lithium Hydroxide Project which is managed by our joint venture partner Toyota Tsusho Corporation (TTC).

This report has been prepared in accordance with the GRI Standards(core) and documents the Company's progress against the 10 Principles of the UN Global Compactand contribution to the UN Sustainable Development Goals (SDG).

Limited external assurance was conducted over selected GRI indicators referenced in this report. This included analysis of the application of GRI standards and the principles of content and quality. The independent limited assurance report is included in this report here.

Further supporting information regarding performance in FY21 is available on our website as follows:

  • Performance Data:additional detailed sustainability indicators related to the performance of each focus area

Forward Looking Projections

  • Case Studies:additional information relating to our local community initiatives and programs where we create shared value
  • Management Approach Disclosures:outline of the strategic importance, scope, management approach of our different business areas and topics of relevance to our stakeholders
  • GRI Standards/UNGC/SDG Contents Index:outline of material topics and contents defined by the GRI Standard, the Principles of the UN Global Compact and UN Sustainable Development Goals, which enables the reader to navigate the report and promptly locate information in the Sustainability Report or other complementary documents.

We welcome any comment or suggestion you may wish to share on this report through our email address: sustainability@orocobre.com.

Reports published by the Company contain forward-looking projections (prospective information) within the meaning of applicable securities legislation. Forward-looking information may include, but not be limited to, the results of the Olaroz Feasibility Study, the estimation and realisation of mineral resources at the Company's projects, the viability, recoverability and processing of such resources, costs and timing of development of the Olaroz Lithium Facility, the forecasts relating to the lithium and borate market including market price whether stated or implied, demand and other information and trends relating to any market tax, royalty and duty rates, timing and receipt of approvals for the Company's projects, consents and permits under applicable legislation, adequacy of financial resources, the meeting of banking covenants contained in project finance documentation, production and other milestones for the Olaroz Lithium Facility, and its future financial and operating performance including production, rates of return, operating costs, capital costs and cash flows, potential operating synergies and other matters related to the development of Olaroz and Cauchari. These reports also include references to operations of Borax Argentina corresponding to mining exploitations of Tincalayu and Sijes, as well as the Campo Quijano borate processing plant (including final disposal dumps and evaporation ponds) and the storage and warehousing facilities.

Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from those expressed or implied by such forward-looking information, including but not limited to the risk that further funding may be required, but unavailable, for the ongoing development of the Company's projects; the possibility that required concessions may not be obtained, or may be obtained only on terms and conditions that are materially worse than anticipated; changes in taxes, levies, regulations, policies or legislation; fluctuations or decreases in commodity prices; the possibility that required permits or approvals may not be obtained; uncertainty in the estimation, economic viability, recoverability and processing of mineral resources; general risks associated with the feasibility of the Company's projects; risks associated with construction and development in the expansion of the Olaroz Lithium Facility; unexpected capital or operating cost increases; risks associated with weather patterns and impact on production rate and the uncertainty of meeting anticipated program milestones at the Company's projects.

The Company believes that the assumptions and expectations reflected in such forward-looking information are reasonable. Assumptions have been made regarding, among other things: the Company's ability to carry on its exploration and development activities, the timely receipt of required approvals, the price of lithium and borates, the ability of the Company to operate in a safe, efficient and effective manner and to obtain financing when required and on reasonable terms. Readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which may have been used. There can be no assurance that forward-looking information will prove to be accurate, as action results and future events could differ materially from those anticipated in such information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

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Orocobre Limited published this content on 29 November 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 November 2021 06:59:03 UTC.