Ecopetrol S A : Sustainability Accounting Standards Board (SASB) 2020

SUSTAINABILITY ACCOUNTING

STANDARDS BOARD (SASB)

METRICS REPORT

2020

ATBLEOFDE TNETNOSIDOC

Metrics
Report
] Message from the CEO of Ecopetrol S.A..........................	02
] EXTRACTIVES & MINERALS PROCESSING SECTOR	............... 03
] 1. OIL AND GAS EXPLORATION AND PRODUCTION................	03
] Activity Metrics..................................................................................................................	03
] Environmental Performance.............................................................................	03
] Social Performance .....................................................................................................	08
] Economic Performance ........................................................................................	12
] 2. OIL & GAS MIDSTREAM ....................................................................	15
] Activity Metrics..................................................................................................................	15
] Environmental Performance ...........................................................................	16
] Economic and Social Performance...........................................................	18
] 3. OIL & GAS REFINING..................................................................................................	20
] Activity Metrics..................................................................................................................	20
] Environmental Performance ...........................................................................	20
] Economic and Social Performance...........................................................	22
] RESOURCE TRANSFORMATION.....................................................................	24
] 4. CHEMICALS.....................................................................................................................	24
] Activity Metrics..................................................................................................................	24
] Environmental Performance ...........................................................................	24
] Economic and Social Performance...........................................................	26

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METRICS REPORT - SUSTAINABILITY ACCOUNTING STANDARDS BOARD •ECOPETROL GROUP 2020	3

SASB1 METRICS

REPORT 2020

About this report

Ecopetrol Group (EG) presents its first report based on the parameters defined by the Sustainability Accounting Standards Board (SASB). Thus, EG continues to make its measurement processes more robust while managing risks and opportunities in relation to sustainability from a Group perspective. In addition, EG hereby reveals to its investors and other stakeholders, the degree of understanding and integration that its administrative, financial, operational, and support teams have achieved in making sustainability central to its business.

Ecopetrol Group's current corporate strategy is based on the pillars of Growth in Reserves and Production, Capital Discipline and Cash Protection and Cost Efficiency. Ecopetrol recognizes the important challenges posed by the new business environment, including the energy transition, climate change, changes in the oil and gas sector, and the need to create shared value for society. In response to these challenges - and acknowledging the industry's role, Ecopetrol has established four fundamental pillars as its roadmap in the energy transition: (i) Increasing competitiveness and resilience in the traditional business, (ii) Diversification of the portfolio without losing focus on Oil & Gas, (iii) Accelerating decarbonization, and (iv) TESG (achieving sustainability by incorporating Technology as an enabler, innovator and accelerator of Environmental, Social and Governance (ESG) issues). Based on these new definitions, Ecopetrol is carrying out a new strategic update in 2021.

We submit a report on the company's sustainable management approach - supported by the contents of Ecopetrol S.A.'s Integrated Sustainable Management

Report and the sustainability reports of Hocol S.A., Cenit Transporte y Logística de Hidrocarburos S.A.S., Oleoducto de Colombia S.A., Oleoducto de los Llanos Orientales S.A., Oleoducto Bicentenario de Colombia S.A.S., Oleoducto Central S.A., Refinería de Cartagena and Esenttia S.A.,in addition to other mechanisms available to Ecopetrol.

This report has been prepared with the support of KPMG for the implementation of the standard. We report on metrics available to each of the mentioned companies for the 2020 period. The results present EG's material issues with a coverage greater than 80% of the SASB metrics, for the Extractives & Minerals Processing sector including the standards for Oil & Gas Exploration & Production, Oil & Gas Midstream applicable to the Transportation and Logistics segment, and Oil & Gas Refining & Marketing applicable to the Refining segment, and the Resource Transformation sector including the Chemicals standard. Ecopetrol Group will continue to work to provide information that was not available for this report in upcoming editions.

Ecopetrol Group upholds its commitment to sustainability and transparency through the most efficient, suitable, and relevant mechanisms, while complying with the highest global standards. This report shows this commitment. We report material sustainability issues while reflecting the alignment of the corporate strategy with these challenges - including the way EG responsibly faces the energy transition.

Felipe Bayón

Chief Executive Officer

Scope of this report by SASB sector and standard

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Oil & Gas Exploration &	Oil & Gas Midstream	Oil & Gas Refining	Chemicals
Production		& Marketing

1 To access the Integrated Sustainable Management Report for Ecopetrol S.A., follow the link: https://www.ecopetrol.com.co/wps/ portal/Home/es/Inversionistas/ informeanual/

2 The metrics reported for Ecopetrol SA include information of the Barrancabermeja refinery

SASB REPORT

EXTRACTIVES & MINERALS PROCESSING SECTOR

1. OIL AND GAS MINERALS PROCESSING SECTOR

Activity Metrics

Code	Accounting Metric	Unit of measure
	Production of: (1) oil, (2)	(1) Thousand	(1) 516,0	(1) 20,2
EM-EP-	barrels per day	(2) 121,8	(2) 15,4
natural gas, (3) synthetic oil,
000.A	(Mbbl/day);	(3) 0	(3) 0
and (4) synthetic gas
	(kbped)3	(4) 0	(4) 0
EM-EP-	Number of offshore sites	Number4	6 Exploratory blocks	2 Productive fields
000.B	2 Productive fields
EM-EP-	Number of terrestrial sites	Number	21 Exploratory blocks	19 Exploratory blocks
000.C	204 Productive fields	39 Productive fields

Environmental Performance

Greenhouse Gas Emissions (GHG)

Code

Accounting Metric

Unit of measure

EM-EP- 110a.1

(1) Gross global Scope 1		(1) 10.181.937 tonCO2-e
	(2) 4%
emissions,5,		(3) A percentage covered
(2) Percentage methane5,	Metric tons	does not apply under the
(3) percentage covered	CO2-e	GHG regulatory emission
under emissions-limiting	Percentage (%)	limit because there is no
regulations5		regulation associated with
		such emissions (released
		methane) in Colombia.

Information not available for 2020.

EM-EP- 110a.2

Amount of gross global Sco-
pe 1 emissions from:
(1) flared hydrocarbons6,		(1) 908.468
(2) other combustion6,		(2) 7.791.613
(3) process emissions6,	Metric tons CO2-e	(3) 1.275.217
(4) other	(4) 0
vented emissions6 and		(5) 206.639
(5) fugitive emissions6

Information not available for 2020.

3 For 2020, the figures are reported in thousand barrels oil equivalent as it is the most widely used unit of measurement for the oil and gas sector.

4 The productive fields correspond to Chuchupa and Ballena where Ecopetrol S.A. has 57% stake while Hocol S.A. holds 43%.

5 - 6 For Ecopetrol S.A. this metric is generated under the ISO 14064-1 methodology and the GHG Protocol, and the organizational inventory limit is set as operational control. Through this approach the company measures 100% of the GHG attributable to the operations of which it has control, including the assets operated by Refinería de Cartagena and Cenit. Additionally, the inventory at year-end was updated for this report. Thus, this data varies with respect to what was reported in Ecopetrol's Integrated Sustainable Management Report 2020.

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METRICS REPORT - SUSTAINABILITY ACCOUNTING STANDARDS BOARD •ECOPETROL GROUP 2020	5

Code

Accounting Metric

Unit of measure

EM-EP- 110a.3

Discussion of long-term and short-term strategy or plan to manage Scope 1 emissions,

emissions reduction tar- gets, and an analysis

of performance against those targets

Ecopetrol defined four (4) action lines as its main pillars to face the energy transition:

1. Continue reinforcing business competitiveness in the oil & gas market: The group anticipates greater resilience in its portfolio, which will continue to be the focus, in order to meet the peak of the Oil demand. Furthermore, increase the commitment to new businesses that arise from the energy transition.
2. Lower Carbon footprint as a result of portfolio diversification: The group is exploring new commercial opportunities in the electricity value chain on the energy transmission. Moreover, new businesses such as green hydrogen, carbon capture, and the use of natural climate solutions, among others, aim at complying with the Group's growth criteria, cash protection, and capital discipline.
3. Meet decarbonization objectives: Focus on the reduc- tion of carbon emissions in the operation and value chain, and align these with established goals . Ecopetrol Group seeks to reduce its CO2e emissions by 25% (scopes 1 and 2) compared to a 2019 baseline and having net zero emis-

Discussion and sions by 2050 for scopes 1 and 2. In addition, Ecopetrol

Analysis seeks to reduce 50% of its total emissions by 2050 (scopes 1, 2 and 3). To meet these goals, the company will focus on four (4) main drivers: a) Permanent update and verification by a third party of the GHG emissions inventory, b) Portfolio overhaul considering carbon intensities and an internal carbon price for project valuations, c) Gradual incorporation of carbon emission technologies (energy efficiency in operations, gas flaring, fugitive emission and venting reductions, use of renewable energies, fuel substitution, hydrogen and carbon capture, usage and storage), and d) Natural Climate Solutions (NCS) as a cost-efficient mechanism to compensate residual emissions7.

1. Achieve sustainability through TESG (Technology, Environment, Social and Governance), a concept adop- ted by Ecopetrol, which puts technology at the heart of sustainable management of the environmental, social and governance issues. This approach is particularly focused on climate change, water management, and regional development. This concept also addresses other themes such as biodiversity, circular economy, HSE (Health, Safety and Environment), and diversity and inclusion.

Air quality

Code	Accounting Metric		Unit of measure
						Information about air
	EAir emissions of the				emissions by mobile sources
				and stationary sources is
	following pollutants: (1)
			(1) 31.470 tonNOx	not available for this period.
	NOx (excluding N O) 8, (2)
			(2) 22.548 tonSOx	It is important to clarify that
EM-EP-	Sox8, (3) volatile	2
		Metric tons (t)	(3) 114.423 tonVOCs	the existing boilers on fields
120a.1	organic compounds (VOCs)
	(4) 4.043 tonPM10 (Factor	are not operating since
	8, and (4)
				emission is for PM total)	November 2019 and electric
	particulate matter (PM10)	8

generators do not require isokinetic studies because their capacity is under 1 MW.

7 For more details on the roadmap proposed by the Company to achieve its medium and long term goals, visit: https://www.ecopetrol.com.co/wps/ portal/Home/ es/?page=detalleNoticias&urile=wcm:path%3A%2FEcopetrol_WCM_Library%2FAS_en%2FNews%2FNoticias-2021%2Femissions-reduction

8 For Ecopetrol, this metric is generated under the ISO 14064-1 methodology and the GHG Protocol, and the organizational inventory limit is set as operational control, within this approach the company counts 100% of its GHG emissions attributable to the operations of which it has control, including the assets operated by the Refinería de Cartagena and Cenit. Additionally, the inventory at year-end was updated for this report and it varies with respect to what was reported in Ecopetrol's Integrated Sustainable Management Report 2020.