PAO Severstal (SVST) 
Severstal's position on Climate Change 
04-Feb-2021 / 12:42 MSK 
Dissemination of a Regulatory Announcement that contains inside information according to REGULATION (EU) No 596/2014 
(MAR), transmitted by EQS Group. 
The issuer is solely responsible for the content of this announcement. 
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Severstal's position on Climate Change 
 
PAO Severstal is a vertically integrated steel and steel-related mining company with its major assets in Russia. 
Severstal is committed to the sustainable development of the Russian economy and Russia's climate change policy, 
Severstal has set a goal of reducing GHG intensity per tonne of steel by 3% by 2023 compared with the 2020 base year. 
The total reduction will be about one million tonnes CO2-e. 
Welcoming the strategic goal of Russia's state climate policy taken as a whole and carbon regulation in particular, we 
believe that state support measures for research in low-carbon technologies for the steel industry and promotion of 
climate related projects should become an important component of climate policy, including establishment of a 
regulatory environment (changes in tax legislation, establishing a national framework of climate projects) and 
infrastructure (development of hydrogen energy, availability of "long" investments, funding innovation, facilitating 
the development of steel scrap market, etc.). 
Contributing to the global efforts to achieve the Paris Agreement goals, Severstal is fulfilling its commitments 
already announced, and it is assuming additional commitments. Severstal believes that GHG emissions reduction targets 
should be consistent with the Paris Agreement goals and take into account the nationally determined contributions. 
Severstal believes that the rate of GHG emissions reduction may differ significantly depending on the geographical 
location of production facilities and different opportunities, including access to breakthrough technologies and the 
availability of low carbon infrastructure. For "primary" steel production, a separate goal should be set which is 
driven by technology features and the lack of alternative technologies (not all steel grades can be produced from steel 
scrap). 
Facilitating bringing financial flows in line with the low carbon development pathway, Severstal has been investing in 
renewable energy by participating in an international pilot project for production of wind power plants' equipment in 
Russia. Severstal has a joint venture with Windar Renovables and RUSNANO - VRS Towers LLC, launched on 12 December, 
2018. The expected annual capacity is 300 MWt. In addition to external sustainable investments Severstal takes into 
account CO2 factors in the investment related decisions. 
As a responsible company, Severstal considers it necessary to assess GHG emissions at all stages of raw material mining 
and production of our products. Severstal believes that the carbon footprint and carbon intensity should be calculated 
using a common methodology approved by industry associations. 
Understanding the importance of assessing the Company's contribution to global GHG emissions, Severstal has calculated 
its GHG emissions for Scopes 1, 2 and 3; Severstal supports mandatory independent assurance of GHG emission information 
which would allow for an unbiased assessment of companies' contribution to GHG emissions as a company, and as an 
industry as a whole. 
As a result of the necessity to adapt Severstal's assets to the potential adverse impacts of climate change, Severstal 
recognises the physical risks associated with climate change, and, for example, monitors on a regular basis the 
condition of buildings, structures and permafrost soils on sites located in the Arctic region. We share the TCFD's view 
that better information would allow companies to incorporate climate-related risks and opportunities into their risk 
management and strategic planning processes. As this occurs, companies' understanding of the financial implications 
associated with climate change will grow, empowering investment to sustainable and resilient solutions, opportunities, 
and business models. 
Being open to cooperation in looking for optimal approaches to decarbonisation in the steel industry, Severstal is 
ready to cooperate willingly with any legitimate mechanisms focused on GHG emissions reduction. At the same time, 
Severstal supports the idea of establishing implementation rules regarding Article 6 of the Paris Agreement as soon as 
possible, including requirements for bilateral (or multilateral) projects (clause 6.4). 
Recognising that, due to the nature of traditional technologies, the steel industry is one of those industries where it 
is difficult to dramatically reduce GHG emissions, Severstal wishes to draw attention to compensation measures that 
facilitate GHG absorption, including carbon capture and storage technologies, certificates of origin of electricity and 
potential of projects in "land use, land-use change and forestry" (LULUCF). 
Demonstrating the seriousness of its intentions, Severstal has been supporting climate initiatives and taking an active 
part in expert platforms such as: the Net Zero Steel Initiative; Climate Action 100+ (an investor initiative to ensure 
that the world's largest GHG emitters take the necessary measures in connection with climate change); the Net-zero 
Steel Pathway Methodology Project (development of methodological approaches); Step Up WSA's positive change programme 
(selection of the best available technologies). 
In accordance with the Paris Agreement, Severstal is striving to cover all the aspects of combating climate change and 
take the maximum possible actions: 
  ? by making efforts to limit the temperature increase, it is eager to reduce GHG emissions throughout the entire 
    production chain, and looking for additional opportunities to compensate for non-reducible emissions; 
  ? by building resilience to climate change, it has been taking measures to adapt the Company's assets; 
  ? by directing its financial flows in line with the low-carbon pathway, it has been investing in renewable energy; 
    taking into account CO2 factors in making investment-related decisions, etc. 
 
 
 
Alexander Shevelev, 
Chief Executive Officer 
AO Severstal Management 

For further information please contact:

Investor Relations

Evgeny Belov

T: +7 (495) 926-77-66

evgenii.belov@severstal.com

Public Relations

Anastasia Mishanina

T: +7 (495) 926-77-66

anastasia.mishanina@severstal.com

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P?? Severstal is one of the world's leading vertically integrated steel and steel related mining companies, with assets in Russia, Latvia and Poland. Severstal is listed on MOEX and the company's GDRs are traded on the LSE. Severstal reported revenue of USD6,870 million and EBITDA of USD2,422 million in 2020. Severstal's crude steel production in 2020 reached 11.3 million tonnes. www.severstal.com -----------------------------------------------------------------------------------------------------------------------


ISIN:          US8181503025 
Category Code: MSCH 
TIDM:          SVST 
LEI Code:      213800OKDPTV6K4ONO53 
Sequence No.:  92946 
EQS News ID:   1165803 
 
End of Announcement  EQS News Service 
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February 04, 2021 04:43 ET (09:43 GMT)