ArcticZymes Technologies — Environmental & Social Information 2025

Apr 30, 2025

Ar ctic Zymes Sustainabilty

A rcticZymes Technologies supports the United Nations' 17 Sustainable Development Goals. Below we

The purpose of this report is to present our impact and to be used as an internal tool in the future to help us improve our strategic direction and develop ArcticZymes in line with future challenges.

There are still areas where we do not have complete control or sufficient data. It is therefore important that the reader understands that this report provides a fair and transparent overview of our status quo but does not contain complete data on all topics. We will continue to use this report as an improvement tool in the future.

If you are looking for information regarding a specific topic, please refer to the GRI index located on the last pages of this report.

Questions regarding this report can be addressed to our group CFO – Børge Sørvoll

Table of content

01	INTRODUCTION	5	04	ENZYMES	24
Max 1.1	Letter from our CEO	5	4.1	Products for a healthier world	24
1.2	About us	6	4.2	Production Impact	25
1.2.1	Our business value proposition	6	4.3	Products
1.2.2	Our value chain	7	4.4	Innovation	27
1.2.3	Timeline	7	4.5	Use of resources and impact	28
1.2.4	Locations and main markets	8	4.6	Quality Management System
			4.7	Quality Policy	30
02	GOVERNANCE	9	4.8	Product information and marketing	31
2.1	Governance	9		A CONTRACTOR OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF TH	建设部位入 与
2.1.1	Remuneration policy	10	05	SOCIAL: Society
2.1.2	Governance of sustainability			Responsible business conduct	33 & 34
2.2	Materiality			Risk management and internal control
2.2.1	Our approach to sustainability			Responsible Supply Chain	35
2.2.2	Material topics			Local Engagement	36 & 37
2.2.3	Focus areas	14
2.2.4	Stakeholder engagement			ECOLOGY: Future	THE RESERVE OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE PARTY OF THE
2.3	Score board	16 & 17	6.1	Climate statement	39 & 40
No Mee I	The state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the state of the s		6.2	The Footprint
03	SOCIAL: Employees	18	6.3	Energy Management	41 & 42
3.1	Employees		6.4	Waste	42 & 43
3.2	KPIs		6.5	Water Management	44 & 45
3.3	An equal working environment	19			建心建筑
3.4	Creating attractive jobs	20	07	GRI Index	46-49
3.5	Developing employees
3.6	Health and safety	22&23			2
					H. H. H.
				700	5 10 18 18 1 T

01 INTRODUCTION

1.1 Letter from our CEO

"ArcticZymes remains committed to sustainability "

In 2024, ArcticZymes continued advancing our sustainability efforts, focusing on making positive contributions to the environment, society, and human health.

We understand that Environmental, Social, and Governance (ESG) principles are closely tied to our strategic objectives. ESG considerations remain central to our mission of supporting healthier communities and addressing current and future global challenges. Based on our ongoing ESG initiatives, we have identified four key areas: our employees, our enzymes, societal impact, and future sustainability.

Our employees are fundamental to ArcticZymes' entrepreneurial spirit, and cultivating a diverse and inclusive workplace that supports professional growth.

Our enzymes, crucial in molecular research, diagnostics, PCR, and bioproduction applications, reflect our commitment to high standards of quality and safety throughout their lifecycle. Integrity and ethical conduct guide all our business practices. As we continue supplying essential enzymes for advanced healthcare solutions, our goal remains to be a trusted partner in developing and commercializing premium recombinant enzymes.

ArcticZymes remains focused on practical sustainability efforts, supporting initiatives aimed at environmental responsibility, societal wellbeing, and human health. Recognizing our responsibility towards future generations, we encourage innovation in sustainable healthcare solutions.

1.2 About us

The ArcticZymes Technologies group is a Norwegian life science company based in Tromsø. We use access to the marine Arctic to identify new cold-adapted enzymes for the development, manufacturing, and commercialization of novel and high quality recombinant enzymes. Our products are used in molecular research, In Vitro Diagnostics (IVD) and biomanufacturing.

Our value creation from innovative enzyme technologies capitalize on more than three decades of world-class research at the Arctic University of Tromsø, and in col-laboration with other national and international partners we offer niche and high quality life science products. We focus on long-term and sustainable relationships with our business partners and commercial innovators around the world. Therefore, we are constantly striving to work at the highest level, not only meet minimum demands, but to exceed the expectations of our partners.

In doing so, we always ensure that our operations do not significantly impact the ecosystem and that our growth does not have any negative impact on the environment or biodiversity.

Our vision With our daily work we want to make an important contribution to a healthier world. Driven by this goal, our experienced scientists are constantly working to find and unlock new solutions.

Our mission As experts in our field, we discover, develop and provide enzymes without compromises on a consistently high level to make our customers' lives easier.

1.2.1 Our Business Value Proposition

Novel and unique enzymes with premiun quality

We supply unique cold-adapted marine enzymes whose premium quality is guaranteed throughout our production. We focus on building long-term relationships with our customers and always deliver reliably and with the expected quality.

Security of supply Timely, reliable and uninterrupted supply

Partnership appr oach Driving long-term relationships, putting our customers' need at the center of what we do

Unique enzymes Direct access to unique and diverse resources for innovation and development

Premium quality Highly controlled manufacturing

1.2.2 Our Value Chain

Mark et R&D Operations Logistics

ArcticZymes is involved in various collaborative research projects searching for new enzymes (marine bioprospecting) originating from biological sources or sequence databases, fueling the pipeline with potential new enzyme products. Our internal research activity is mainly focused on testing and evaluation of various enzymes originating from collaborative marine bioprospecting activities to ex-plore the technological feasibility and do early proof-of-concept testing. Collaboration with national and international partners is an important part to drive innovation of next generation products. New products and applications can also be developed by changing the properties/formulations of existing enzymes, or by combining different enzymes and other components in kits.

Input from research activities, own ideas and market feedback provides the basis on which different product concepts are developed (concept building). From the described business concepts, management selects and approves a given product concept to enter the Design and Development process.

A typical enzyme product development process in Arctic-Zymes involves producing a recombinant microbial pro-duction strain, developing and optimizing methods for protein expression, purification and quality control (QC), performing biochemical characterization and functional (application) testing.

All ArcticZymes products are temperature sensitive and require special procedures for shipping, handling and storage to ensure product shelf life. Products are stored and handled internally according to routines. Packing of products for shipment to the customer or an external warehouse is handled internally. Shipping, handling, and storage in external warehouses is handled in accordance with external warehouse procedures for temperature sen-sitive products. The requirements for these procedures are specified in the quality agreements between ArcticZymes and external warehouses.

1.2.4 Locations and main mark ets Corporate assembly and Boar d,

02 GOVERNANCE

2.1 Governanc e

Nominat ion Committee

ArcticZymes has a Nomination Committee consisting of three members elected by the Annual General Meeting for a two-year term. According to the Articles of Association, the members of the committee must be shareholders or representatives of shareholders. The Nomination Committee prompts shareholders to propose candidates to the Board of Directors. The Annual

General Meeting elects the Chairman of the Nomination Committee and determines the remuneration of its members. The Election Committee is independent of the Board of Directors and the Company's manage-ment. Annual General Meetings guarantee the shareholders' participation in the body that represents the highest authority in the Company.

1.2.4 Locations and main mark ets Corporate assembly and Board, composition and independence

The Company has no corporate assembly. According to the Articles of Association, the board must consist of 3 to 8 members. Currently, the Board of Directors has 4 members, 3 of whom are elected by the members are considered independent of the Company's main shareholders.

Directors of the Board and the Chairman are elected by the

Annual General Meeting in accordance with the Company's Articles of Association. All members of the board have industry experience and competencies relevant to the company's influence. The Director's term (election period shall not exceed two years. Three new shareholder elected board members joined the board at AGM in June 2024.

The Board has overall responsibility for directing and overseeing the day-to-day management and operations of the Company. Rules of procedure have been established for the work of the Board of Directors. At the end of each year, the Board of Directors establishes a plan for its work, which includes matters that laws and regulations require the Board to address, as well as other issues of importance to the Board in the following year.

There are job descriptions for the CEO and other senior executives. The Board evaluates its own work and competence at least once a year. The evaluation is

presented to the Nomination Committee. The Board, together with the Compensation Committee, evaluates the work of the CEO and other senior executives at least once a year. The achievement of predefined and agreed targets are also evaluated.

Conflict of interest and concerns

To ensure that conflicts of interest are avoided and mitigated, the Company's strategic decisions and governance are focused on the collective best outcome for the Company. All ArcticZymes employees must follow the Code of Conduct, which is posted on the Company's website. If a conflict of interest arises or an employee becomes aware of a violation of policy or ethical guidelines, the employee must investigate the matter on his or her own initiative and notify his or her immediate supervisor. If reporting to a supervisor is not possible, the violation must be reported directly to the CEO.

The concern or conflict may also be directed to the head of our Audit Committee. Incidents may be reported confidentially if desired. Failure to report violations is a violation of the Code of Conduct. All employees must read and sign the Code of Conduct and will be notified of any changes to the policy. ArcticZymes has no formal conflict of interest disclosure procedures to stakeholders. Changes or exceptions to the Code of Conduct can only be made by the Board of Directors. No concerns or conflicts were reported during the reporting period.

Name	Position	Period of service to	Independent of major shareholders	Independent of executive personnel and material business contacts	Shares / options
Frank Mathias	Chairman	2026	Yes	Yes	9,000 shares / 0 options
Sharon Brownlow	Board member	2026	Yes	Yes	10,570 shares / 0 options
Petter Dragesund	Board member	2026	Yes	Yes	521,739 shares / 0 options
Terese Solstad	Board member – employee elec.	2026	Yes	Yes	0 shares / 0 options
Lill-Hege Henriksen	Observer – employee elec.	2026	Yes	Yes	3,088 shares / 0 options

2.1.1 Remuneration policy

Remuneration of the Board

The Annual General Meeting determines the remuneration of the Board of Directors based on the proposal of the Election Commitee. The level of remuneration should reflect the responsibility, expertise, complexity of the business and the time and scope of activity, both on the Board of Directors and its committees. Board compensation should not be linked to the Company's performance. Guidelines for compensation related to ESG impacts will be updated regularly.

The 2024 Annual General Meeting set the remuneration for the Chairman of the Board at NOK 600,000 and NOK 350,000 for each member. The remuneration of the employee representative is 50% of the remuneration of the regular Board member. The employee observer receives no remuneration. The remuneration for the Chairman of the Audit Committee is NOK 75,000 and and Charirman of Remuneration Committee is NOK 50,000. NOK 25,000 for each member. In 2024, a combination of 10 virtual and physical Board meetings were held. The set remuneration for the Board and subcommittees is valid from the resolution date until the next Annual General Meeting.

At the 2020 Annual General Meeting, the former Chairman of the Board received 200,000 options, while the other two Board members received 100,000 and 15,000 options, respectively. The options have a term of 5 years, an exercise period of 3 to 5 years and a strike price of NOK 10,19 per share. This allocation is not in line with the NUES recommendations for good governance but was proposed and recommended by the Nomination Committee. 200,000 share options relating to a former board member was exercised in 2024.

Shareholder votes on remuneration are reflected in the guidelines and described in the remuneration report. At the 2021 Annual General Meeting, 99.8% of the shareholders represented voted in favor of the compensation guidelines and 89.5% voted in favor of the binding guidelines relating to equity instruments. At the 2024 Annual General Meeting, 78% voted in favor of the Remuneration report for 2023.

All compensation paid to members of the Board in addition to their remuneration is disclosed separately in the annual report. No severance or pension plans have been established for members of the Board.

Remuneration of senior managers

The Board of Directors establishes guidelines for the remuneration of senior executives, which are presented to the Annual General Meeting. The Board of Directors shall determine the remuneration of the CEO in accordance with these guidelines.

The CEO shall determine the remuneration of other senior executives in consultation with the Board of Directors. The decision of the Board on the compensation of the CEO and the principles for the compensation of other senior executives shall be based on proposals of the Compensation Committee. The Board shall establish the charter for the Compensation Committee. The Compensation Committee shall seek arrangements that promote the long-term value creation of the Company. Total compensation must be competitive with that of comparable companies. Option programs have been established.

Further information on compensation can be found in our Annual Report.

2.1.2 Governance of sustainability

The preparation of the initial report was carried out by an internal sustainability team, which consisted of key people from all business units. This team was set up to identify and assess potential risks for the entire company and to define relevant initiatives and KPI's for all business units. All employees, including senior management were involved in defining the issues that are material to the business and assessing their importance.

Senior management was involved in the assessment of the materiality analysis and initial draft of the report.

The Executive Board, as ArcticZymes' highest operational governance body, is responsible for approving the sustainability report, including the material topics, and will also be involved in the development of future reports.

ArcticZymes will review the structure and roles for developing and updating the company on sustainable development topics.

To expand the Board's collective knowledge, skills, and experience in sustainable development, we are collaborating with various initiatives, including participa tion in workshops for industry stakeholders. Knowledge in sustainable business will be considered when looking for new board members.

2.2 Materiality

2.2.1 Our approach to sustainability

We believe that our products and product develop-ments contribute to a healthier world through the use of technology. This is embedded in our vision and mis-sion statement and is at the core of everything we do. Our location in the middle of the Arctic gives us an advantage in identifying new cold-adapted enzymes from marine species. Our business model is designed to minimize negative impacts on biodiversity and the use of resources from natural raw materials.

Therefore, when assessing potential impacts, it is important for us to think about the issues that affect both our value creation and our stakeholders. We are aware of the concept of dual materiality and define our most important issues from the perspective of both the potential impact on our value creation and on the environment and the social dimension of our activities and our business partners.

To better understand the impact of what we create and our ability to contribute to a healthier world, we need to align our performance with the expectations of our key stakeholders. For this, a comprehensive insight into the requirements and priorities of our various stakeholders is essential.

In preparing our initial sustainability report for , we addressed this issue by conducting a materiality analysis divided into four steps. As the initial report was presented late 2022, no revision to the materiality analysis has been done.

Identify impact s Prioritization Validation Implementation

2.2.2 Material topics

Identify impacts

ArcticZymes' materiality analysis process involved using Management involvement and external resources to identify potential impacts on environmental. social governance as pects. The process included dialogue CFO initiated the sustainability process and is with key stake holders from six identified stakeholder groups.

through desk-top research, a workshop with our internal sustainability project team, a survey of all employees and managers, a survey of identified stakeholder industry benchmarks and groups, guidance from reporting frameworks (GRI and SASB).

The list of identified issues was then evaluated by the project team in workshops that bundled overlapping material issues. The list was updated in 2024.

Prioritization

ArcticZymes' believes that stakeholder engagement in prioritization provides valuable insight into the key con cerns of our stakeholders and helps us determine our focus and goals. Our prioritization of key issues there included surveys of more than stakeholders from six stakeholder groups to capture importance from different perspectives. This was supplemented by terviews with key stakeholders from each stakeholder group to obtain more detailed views on each topic.

Further assessment of the material issues was carried out by internal experts from different areas of the company. The result of the prioritization was a materiality matrix with three levels of relevance to the report.

Validation

reference our existing corporate strategy were key factors in the and assessment and validation of our materiality. key of the internal sustainability expert group. priorities the material topics the senior management with reference to the The list of material issues was developed in 2022 strategy and long-term goals. The list of topics and the focus of the report were validated management and finally approved by the Board of Directors. There were no material changes to the assessements in 2024.

Materiality matrix Employees Society Enzyme Future Higher Innovation and circular economy Supplier requirements Compliance, equality and compliance and diversity Transparency and product information Employee health, safety, Responsibility to the local community and employment Stakeholders work environment management ■ Use of resources and ■ Product quality Greenhouse gas impact on ecosytsems emissions and energy management Employee learning and 0 Collaboration with official tance regulators and authorities development Competitive Use of certifications that consider different aspects of sustainability Waste and water Data security and privacy Access and affordability Relevant Focus

ArcticZymes ability t o affect environment,

society and go vernance aspect s

Focus

Higher

13 www.arcticzvmes.com

Hiah

2.2.3 Focus areas

Implementation

Our material topics are in line with our corporate strategy and therefore do not lead to any significant changes in our overall strategic goals. In the course of implementing the topics in our operational business, it has become apparent that there is a partial lack of specific information and new KPIs.

Our material topics are important for our value creation and for our stakeholders and are therefore measured, managed and reported through our public channels. The highest level of importance in our materiality matrix, labeled "main focus," includes all material topics on which we will report regularly. The remaining material

topics will be disclosed as part of our annual sustainability reporting. To ensure broad acceptance and internal awareness of our material topics throughout the organization, we have grouped the topics into four focus areas. These areas facilitate internal communication and structure our reporting.

Our first materiality assessment was conducted as part of this sustainability reporting process. The matrix is reviewed regularly in collaboration with the various stakeholders to consider strategic priorities, market needs, relationship improvement and focus alignment.

Employees	Enzyme	Society	Futur e
People are at the core of all our operations and ArcticZymes are committed to developing a work environment that supports all our employees at all stages of life.	At the heart of our operation is our focus on quality and product safety. Ensuring high quality is part of our DNA and is rooted in the way we do our discovery, R&D and production.	By being aware of our role and our impact we can choose targets that will help strengthen a more sustai nable society for the future.	ArcticZymes will push for action to drive sustainability forward – for the planet, the society and the health of people.
		Material topics:
▪ Employee health, safety and environment ▪ Compliance, equality and diversity ▪ Employee learning and development	▪ Innovation and circular economy ▪ Transparency and product information ▪ Product quality ▪ Use of resources and impact on ecosystems	▪ Business ethics and risk management ▪ Collaboration with official regulators and authorities ▪ Competitive behavior ▪ Data security and privacy ▪ Responsibility to the local community and employment ▪ Supplier requirements and compliance	▪ Greenhouse gas emissions and energy management ▪ Waste and water manage ment

Our most important stakeholders are our highly qualified and committed emp-loyees. During the development and evaluation of our material topics, all employees were invited to provide feedback on the topics. As we continue to work on sustainability, we will engage our employees so that they take responsibility and are an integral part of achieving our mission.

2.2.4 Stakeholder Engagement

Stakeholders	How we engage	Expectations	Our response
Employees Our employees are a diver-se team of highly educated and committed people. Their input is important because they live the stra-tegy but also because they are industry experts	• Internal channels • Employee surveys • Regularly training • Information meetings • Yearly Group mee tings and workshops • Dialogs with respon sible leader • Whistle blower channel	• Healthy and safe work environment • No green washing • Education and training – development	• New internal system from 2022 to map out education and training needs and completed education modules • Systematically working with improving our health, safety and working environment • Training employees in necessary processes according to their job description and role in the company • Facilitating other health-promoting measures, such as an hour of free workout each week
Suppliers We select our suppliers based on ability to meet our requirements for safe raw materials, and perform periodic audits to confirm our own and suppliers' performance according to certifications	• Regular audits • Supplier orders • Development projects • Regular direct dialogue • Long-term relationships	• Ethical standards, responsible business • Product development (market entry and innovation) • Reduction of CO2-emissions	• Code of conduct • Collaboration with national and international partners to drive innovation of next generation products • Mapping our impact, we ensure the necessary over-view and can implement measures when needed
Customers Our customers are mainly comprised of long-term relationships. Our products are an integrated and cri-tical part of our customers business development	• Customer meetings • Orders • Product information • Development projects • Long-term relation ships • Audits from our customers	• Product safety • Ethical business • Quality in product and delivery • Reduction of waste and CO2-emissions • Product and packaging innovation • Supplier demands on ESG • Employee welfare • Personal and long-term relationships	• Welcoming all audits and controls of our company and seeing this as an integral part of our ability to guarantee high quality products to the market • Maintaining an effective and appropriate quality management system that systematically identify, ma-nage, and control our hazards and risks to continu-ously improve our performance in product develop-ment, manufacturing, and sales • Respecting the rights and dignity of all human. Establishing training for employees in human rights • ISO 13485 certification • Establishing routines for assessing suppliers on ESG topics
Owners/Shareholders We seek to provide accurate and reliable infor-mation about our company to form good information for decision making for our owners and the public	• Investor meetings and presentations • Quarterly/annual reports	• Environmental aspects of production – reduc-tion of CO2-emissions and limiting footprint • Profitability and innovation • Growth that does not harm the environment • Responsible business • Market entry	• Mapping our impact, we ensure the necessary over-view and can implement measures when needed • Risk management • Code of conduct
Society We share our knowled-ge and engage in our community to contribute to developing our local region, market and society. This includes the public as well as regulators and municipality	• Involvement in uni versities with student assignments and employment • Social events and participation in con ferences • General openness about our production and strategies • Public reporting	• Local presence with continuing HQ in Tromsø • Strong contribution to local education and student environment • Contribution to local research environment • Local employment • Use of local suppliers • Ethical sourcing • ESG-demands towards suppliers • Reduction of CO2-emission • Knowledge sharing	• Close cooperation with scientific communities, universities and industry experts • Contributing to education and work experience for students (internships and thesis) • Selecting suppliers based on their ability to meet our requirements for safe raw materials according to our specifications • The company strives to use local suppliers where this is considered feasible • Local support and use of highly skilled business developers locally • Establishing routines for assessing suppliers on ESG topics
Business Partners Our close collaboration with educational institu-tions, industry clusters and researchers has been an important part of our journey. We continue to be a stakeholder in these environments, and both collaborate with and hire employees from our partners	• Engagement in industry clusters • Regular direct dialogue • Development projects • Partnerships, joint initiatives • Meetings and seminars	• Market development and market innovation (application) • The use of enzymes in other value chains • Become a significant European actor • Contributing to development for other companies with their products • Storytelling about production method so others can learn • Show KPI's for energy/CO2 in production • Show economic impact of production and location in north • Contribute to creating tomorrows biotech industry in Norway	• Close cooperation with scientific communities, universities and industry experts • Collaboration with national and international partners to drive innovation of next generation products Mapping our • impact, we ensure the necessary over-view and can implement measures when needed

2.3 AZT Score board

Focus ar ea	KPI	Metric	Target	2024	Status
	Gender balance	Female/male	50%/50%	64%/36%
	Gender balance in leading positions	% balance in mgt. positions	50%/50%	37/63%
	Number of internships pr year	Number	2	0
	Number of thesis	Number	Min. 1	0
	Competence evaluation of all employees per year	% of employees	100%	94%
Emplo yees	Average hours of training per year per employee	Average hours	100%	Insufficient data
Emplo yees	Sick-leave	% of employees per year	< 4,6%	4,00%
	Work related injuries	Number of injuries	0	0
	Risk evaluation of chemicals and procedures	% of chemicals/proce- dures evaluated	100% of chemicals and pro- cedures assessed by 2024: All chemicals classified as dangerous assessed by 2024	100%
	Promoting work related activities (Arctic- Zymes will arrange minimum 3 activities per year)	% of participants in activities	>80%	<80%
	Relation between dry ice/styrofoam (packing efficiency)	Packing efficient	<10	3.91
	Product launch per year	Number	4-5 per year	2
	Number of incidents of release of GMO to the environment	Number	0	0
Enzyme	Number of critical deviations from customer audits	Number	0	0
Liizyiile	Number of critical deviations from certification audits	Number	0	0
	Critical suppliers audited within deadline	Number of suppliers audited within deadline	100%	100%
	Incidents of non-compliance related to information, labelling and market communication	Number of incidents	0	0

Green: On target

Yellow: On track

Red: Need action

16

Focus ar ea	KPI	Metric	Target	2024	Status
	Corruption incidents	Number of confirmed incidents	0	0
	Anti-corruption training	% of all employees trained	100%	No training in 2024
	Human rights training	% of employees trained	100%	No training in 2024
Society	Supplier impact – number of critical suppliers assessed for social impacts	Number	100%	0
	Environmental impact – number of critical suppliers assessed for environmental impact	Number	100%	0
	Proportion of senior management hired from local community	Number	50%	57%
	Scope 3 – emissions, tCO₂e	See GHG-emissions for details	Reduction, target not set	22.9
.	Number of Shipments to warehouses per year	Maximum number of shipments pr year	18 to each warehouse	13 to USA and 18 to Europe
Futur e	Map amount of general waste to align contribution towards common goal for facility		65% by 2024	55%
	Wrongfully declaration of waste	Numbers of incidents	0	0
	% of shipments with reused packaging	% of products	> 80%	100%

03 SOCIAL: Employees

3.1 Employees

Our employees are the heart of what we do and in the developing and improving of our products. We focus on developing creative teams, preserving the entrepre neurial spirit which makes us good, and creating a culture that is inclusive and impactful on a business and a personal level.

We work systematically to improve our health, safety and work environment to create a motivating workplace for our employees. This is done through various policies, procedures, guidelines and HR processes that are available to all employees. We

The future of the company and its ability to attract and retain a skilled workforce are critical to its success. We promote an active dialogue between all levels of the company, pay attention to employee well-being and en courage all employees to work towards better health, both physiological and physical.

We strongly believe in the diversity and continuous de velopment of our employees. We are committed to applying equal rights, responsibilities and opportunities and to promoting the personal development of all our employees

Our approach

We work systematically to improve our health, safety and work environment to create a motivating workplace for our employees. This is done through various policies, procedures, guidelines and HR processes that are available to all employees. We have defined targets against which we manage and continuously measure our performance. For a detailed overview of KPIs, please refer to our scoreboard. A more detailed description of our approach and impact management can be found in the following chapter.

Material topics

Employee health, safety and environment Compliance, equality and diversity Employee learning and development

3.2 KPIs

Number of employees 31.12.2024*

• Total employees 35 women, 20 men
• Permanent employees, Norway 30 women, 18 men
• Temporary employees, Norway 1 women, 0 men
• Permanent employees, Europe/US 1 women, 5 men

*Data is collected through the company's payroll system. We have hired our foreigners through 3rd party contracts with job descriptions in the company and which complies with national laws and regulations regarding employment protection.

Employees turnover - % (Number)

Location	Age		Gender
	< 30	30 - 50	> 50	Women	Men
ArcticZymes HQ Tromsø	29% (2)	71% (9)	71% (2)	38% (5)	62% (8)
Europe/US		50% (1)	50% (1)		100% (2)
SUM	13% (2)	67% (10)	20% (3)	33% (5)	67% (10)

New employees – % (Number)

Location	Age		Gender
	< 30	30 - 50	> 50	Women	Men
ArcticZymes HQ Tromsø	25% (1)	50% (2)	25% (1)	50% (2)	50% (2)
Europe/US			100% (2)	50% (1)	50% (1)
SUM	17% (1)	33% (2)	50(3)	50% (3)	50% (3)

3.3 An equal working envionment

"A diverse workforce is important for building a sustainable organization."

We see bringing together people from different back-grounds as key to productivity and innovative ideas.

An inclusive environment

Every employee in the company must behave with respect and integrity towards everyone he or she meets at work. Every employee must help create an environment that is free from bullying, harassment and discrimination - whether based on religion, color, gender, sexual orientation, age, nationality, race or disability. Any behavior that may be perceived as degrading or threatening will not be tolerated. ArcticZymes respects each employee's right to a private life and private interests, but requires openness and loyalty to the Group and the Group's interests.

Gender equality

ArcticZymes as a company is committed to hiring and promoting employees of all genders. All genders are considered equal in terms of career opportunities and salary. At the end of the year, 35 women and 20 men were employed by the Group. At the end of 2024, the Board of Directors consisted of 4 members, 2 of whom are women. The employee representative is a woman.

The gender balance in the table displays that the Group now consists of 64% women and 36% men.

Achieving diversity and equality at all levels of the company is of imporatnce to us. It will therefore continue to be a focus in the future.

Position level	Age		Gender
	< 30	30 - 50	> 50	Women	Men
Senior mgt.		25% (2)	75% (6)	37% (3)	65% (5)
Middle mgt.		50% (3)	50% (3)	33% (2)	67% (4)
Other	29% (11)	63% (24)	8% (3)	76% (29)	24% (9)
Consultants		66% (2)	34% (1)	33% (1)	67% (2)
SUM	20% (11)	56% (31)	24% (13)	64% (35)	36% (20)

KPI	Target	2024
Gender balance female/male	50/50%	64/36%
Gender balance in leading positions female/male	50/50%	37/63%

3.4 Creating attractive jobs

Culture and employee satisfaction

We believe that workplace culture is key to employee satisfaction. Therefore, we strive to create a positive and professional work environment. By focusing on creativity, inclusion and diversity, we ensure not only growth, but also growing employee motivation. Our work requires commitment and passion and leads to meaningful results. We work together to accelerate research, drive innovation, and increase lab productivity. With our expertise and our latest innovations, we help our customers in their efforts to make a better world.

Personal development

At ArcticZymes, everyone's work has a purpose. By driving the personal development of our employees, we also strengthen our culture. We provide training and development to our employees because we believe that continuous employee development is key to remaining competitive and attractive.

Salary

The Company has entered into a collective bargaining agreement with a trade union which applies to 50% of all employees of the Company. For all other employees not bound by collective agreements, the company's general policy is that all employees in the Group are treated equally, regardless of whether they are bound by contracts or not. The Company has standardised employment agreements for all Norwegian employees. For international employees, agreements are drawn up in accordance with the national laws and regulations of the respective country.

КРІ	Target	2024
Number of internships per year	2	0
Number of thesis	Min. 1	0

Creating attractive local jobs

We believe that agood work environment creates attractive jobs, and our goal is to attract and retain the most talented employees. We work closely with scien-tific communities, universities and industry experts and consciously support local students to attract the next generations of colleagues.

UiT - The Arctic University of Norway in Tromsø has a focus on research and education in biotechnology. For ArcticZymes, as one of the largest local biotechnology companies in the region, it is natural support students, including internships, in their education. Frequently. ArcticZymes employees give lectures or presentations to students at UiT. Over the vears, several students have completed their bachelor's or master's thesis at ArcticZymes with supervisors from the company. Manv of students are also part-time employees, gaining valuable work experience.

3.5 Developing employees

Training and education

We are committed to helping our employees reach their full potential by providing them with ample opportunities for growth and development. All innovation, manufacturing, quality control, quality assuran ce and commercial activities are supported by highly qualified personnel.The ISO 13485:2016 standard includes requirements for the training of all employees. ArcticZymes meets these requirements and helps its employees reach their full potential in areas not covered by the standard.

All new employees at ArticZymes participate in an onboarding process at the beginning, where they complete all internal training required for the position. There are special competency requirements for production and quality control employees whose tasks can affect product quality. Internal and external training is documented to comply with the ISO 13485:2016 standard.

ArcticZymes conducts an annual competency assessment of all employees. This identifies the need for internal and external training to provide the proper compe-

KPI	Target	2024
Competence evaluation of all employees per year	100% of relevant employees	94%
Average hours of training per year per employee	Insufficient data in this reporting period

tency development for each employee in the following year.

ArcticZymes does not document employee training in any special software. Competency assessment results are documented through a matrix, but we do not have data for average training hours per year per employee. In the future, we will consider to invest in new internal systems and programs to improve the skills of our employees. We also aim to have a fully documented training system to ensure that all training is documented to comply with the standard and our internal processes.

	Senior management (inc luding CEO)	Middle management	Other emplo yees (permanent position)	Women (t otal)	Men (t otal)	Compet enc e evaluations in total
Competence Evaluation	3	4	25	23	9	32

3.6 Health and safety

Health and safety management system

ArcticZymes complies with the Norwegian Occupational Health and Safety Act, which is maintained through various policies, procedures, guidelines and processes that are available to all employees.

It is mandatory for employees to read documents pertaining to health and safety routines at ArcticZymes. All employees participate in basic first aid training. In addition, all laboratory and production personnel receive hands-on training in health and safety routines in the laboratory/production facilities. ArcticZymes has established a system for reporting work-related injuries. These reports are used to identify actions that can help prevent similar injuries in the future. None work-related injuries were reported in 2024. There was one injury in 2023.

Safe repor ting of misconduct

ArcticZymes has established guidelines in its Code of Conduct to help employees raise and report concerns internally. These are explained in more detail in the "About Us" section, found under www.arcticzymes.com. These policies cover all personnel matters including misconduct issues related to sexual harassment and/or discrimination allegations.

ArcticZymes will not impose sanctions on employees who inform individuals in positions of responsibility or the Audit Committee of possible violations of policies and procedures, ethical guidelines, applicable laws or other objectionable circumstances in ArcticZymes' b2usiness. These individuals must take 2 any action they deem appropriate to investigate reported violations. If a

violation occurs, ArcticZymes will take such disciplinary or preventive action as it deems appropriate. There were no reports of misconduct in 2024, nor 2023.

Risk assessment

All chemicals and processes should be risk assessed to determine how users should protect themselves when working with them. ArcticZymes has already risk assessed several procedures and chemicals. The majority of chemicals were risk assessed in 2024. There are still some processes that need to be assessed.

Sickness r ate

Sick leave days totaled 508 days in 2024, compared to 891 days in the previous year. The cumulative sick leave rate was 4.0%, compared to 6.6% in 2023. No specific initiatives were taken during the year to improve the work environment.

KPI	Target	2024
Sick leave	< 4.6 %	4.0 %
Work-related injuries	0	0
Risk Evaluation of chemicals and procedures	100% of chemicals and procedures assessed by 2024: All chemicals classified as dangerous assessed by 2024	100 %

Emplo yee participation in the creation of an HSE culture

In all company activities, the relationship with HSE is taken seriously and followed up. To ensure the safety, health and welfare of employees, safety officers and employee representatives are elected. They receive the necessary training and courses to be able to perform their duties properly. One of the most important tasks of the safety officer is to participate in regular inspections to ensure that work processes comply with the Occupational Health and Safety Act and to highlight any deviations and opportunities for improvement.

Promoting employee healt h

We also facilitate other health-promoting measures to ensure the health of our employees, such as one hour of free training per week. The Company has sponsored "Ti på topp", Yoga and strength training for interested employees. 30 employees participated in "Ti på "Topp", whereas 18 employees participated in Yoga and 25 employees in strenght training.

The goal was to encourage all ArcticZymes employees to be more active and feel better.

Occupational health service

Employees have access to the occupational health service, which works preventively to ensure that the workplace is safe and healthy in accordance with guidelines and requirements. It provides advanced health checks, priority consultations with physiotherapists and psychologists, ergonomics in the workplace, first aid courses and HSE courses. This information is available to all employees on the company's website.

KPI	Target	2024
Employee	>80% of participants in activities (min. 3 activities arranged per year)
participation in company arranged activities	Yoga	73% (18 emp.)
	Ti på Topp	82% (34 emp.)
	Strenght training	61% (25 emp.)

04 ENZYMES

4.1 Products for a healthier world

With an ever-growing population and an expected increase of 2 billion people by 2050, frequent contact between people can potentially contribute to faster transmission of diseases and epidemics. The outbreak and spread of disease can significantly impact not only human health, but also our economic and social environments. In the last two decades, the world has experienced three major pandemics: SARS CoV-1, MERS, and SARS CoV-2 (COVID-19), as well as influenza viruses such as swine flu, Ebola, and Zika.

Today there are thousands of known viruses that can infect humans, and it's likely that there are many more undiscovered viruses. Therefore, the world needs efficient and safe diagnostics and vaccine development now and in the future.

At ArcticZymes, we develop enzymes for molecular research and diagnostic applications such as PCR methods, as well as enzymes for bioproduction as used in vaccine development. Our main focus is on highest quality and product safety. At the same time, we attach great importance to transparent information about our products.

To ensure the highest product quality, meet market expectations and provide reliable truthful information about our products, we are ISO 13485 certified and have integrated this into all our processes.

All employees are regularly trained and updated to meet requirements and ensure that our production meets market promises. Through regular product testing and risk assessments, we ensure the safety of our products and supply to our customers.

To help our customers develop next-generation solutions and create a better world, ArcticZymes distributes billions of enzyme units every year. What drives us is the desire to innovate and produce enzymes that help our customers achieve their goals. Our innovation process therefore regularly incorporates feedback and testing from customers. Our ambition is to bring new products to market every year, and to become a leading supplier of safe, high-quality products that meet our customers' expectations and regulatory requirements.

Material topics

Innovation and circular economy Transparency and product information Product quality Use of resources and impact on ecosystems

Our approach

Our manufacturing and innovation processes have mini-mal negative impact on the environment and biodiversity. Nevertheless, our production is subject to strict regulations regarding the reuse of certain materials used in the production and storage of our raw materials and enzymes, such as plastics.

The transfer of biomaterials is also regulated and re-quires appropriate packaging and refrigeration to ensure safe transport and avoid loss or exposure. Recording our impacts provides us with the necessary overview of our impacts from production and distribution and gives us the opportunity to look for efficient solutions and measures to further improve our process-es for a healthier world.

We have defined targets against which we manage and measure our performance. A detailed overview of the KPIs can be found in our scoreboard. A more detailed description of our approach and impact management can be found in the following chapter.

4.1 Product s for a healt hier w orld 4.2 Production impact

Billions of units of ArcticZymes enzymes are sold to customers each year to ensure their ability to develop next-generation solutions and create a better world. We pride ourselves on creating products with little negative impact on the environment.

The raw materials for our enzyme production are produced in closed systems by cultivating microorganisms that have been genetically modified to produce the enzymes. Thus, the company does not harvest any material from nature or take advantage of natural ar-eas to obtain raw materials. The raw materials used for inhouse cultivation are standard inorganic and organic chemicals and protein hydrolysates, totaling less than 100 kg/year. Emissions from upstream production (cultivation) are modest amounts of carbon dioxide and in-activated (autoclaved) microorganisms. After inactivation, organic waste that may contain microorganisms is shipped as hazardous waste to external recipients for proper destruction.

The raw material derived from the microorganisms undergoes a purification process that releases small amounts of harmless chemicals, primarily sodium chloride in quantities less than 100 kg/year. Potentially toxic/ harmful waste (radioactive isotopes, solvents, etc.) from the laboratory is treated, labeled, and delivered to an external recipient for proper destruction according to the

KPI	Target	2024
Relation between dry ice/styrofoam (packing efficiency)	<10	3.91

Packaging materials

Equipment for production and shipping requires the use of materials that have a negative impact on the environment and have limited recyclability due to the nature of the product and requirements for exposure and safe biomaterials. The main materials used in the production and packaging of our enzymes are special grade plastics to reduce unwanted exposure and ensure safe handling, and styrofoam and dry ice to ensure proper temperature. ArcticZymes does not have complete measurements of the weight or volume of other input and packaging materials. In order to more efficiently ship our products in the future and reduce the use of dry ice in our shipments, we will evaluate whether alternative, more environmentally friendly packaging materials are available.

Material	Metric
Dry-ice	5 542 kg
Styrofoam	1 418 kg

instructions in the HSE data sheet. ArcticZymes promotes environmental protection by minimizing environmental damage and developing, promoting and using environmentally friendly technologies. The impact on the environment is considered in all processes and we choose environmentally friendly solutions wherever possible.

4.3 Products

Molecular tools (R esearch & Diagnostics)

Molecular enzymes are important tools used in molecular biology workflows to accomplish specific tasks. Such enzymes are of general use in molecular research and molecular diagnostics (MDx). This includes the entire ArcticZymes product range and products in the innova-tion pipeline. The classical and most widely used technologies are PCR-based methods (polymerase chain reaction). Therefore, most of ArcticZymes' enzymes are also used to support PCR-based workflows.

Biomanuf acturing

ArcticZymes supplies customers with SAN products used in the phases of their therapeutic or vaccine development. The SAN portfolio is ideally suited for customers using SAN to purify and remove unwanted

nucleic acid from therapeutic viruses such as adenovirus, adeno-associated virus (AAV) and lentivirus. This makes them safe for use in patients and mitigates the risk of unwanted side effects.

ArcticZymes supplies SAN products to more than 200 customers. Most customers are involved in gene ther-apy and represent a mix of academic/clinical laboratories, small/medium biotech companies, contract devel-opment and manufacturing organizations (CDMOs), and large pharmaceutical companies. The majority of SAN business is from CDMOs that develop and manufacture therapeutic products on behalf of other companies.

Sales by category

Nucleic Acid Extraction, Amplification and Sequencing technologies

Molecular Tools (R esearch & MDx)

Viral vector, gene therapy and Protein production

Biomanuf acturing (Ther apeutics)

4.4 Innovation

ArcticZymes has an ambitious innovation pipeline to expand the product range. Our goal for the next 2–6 years is to be able to offer our customers a complete portfolio of synergistic enzymes for the different mar- kets we serve. Our innovation activities are supported by collaborative projects with national and international partners, and more than 30% of our employees are in- volved in research and development.

Part of our innovation is customer-driven – Voice of Customer (VOC) – with a feedback loop to ensure that it meets the future needs of our customers. Information is gathered through direct feedback, surveys and in-quiries from our customers and combined with our own analysis. This analysis forms the basis for discovery and development by our academic partners (universities) by searching for enzyme sequences with the desired function.

Innovation process

Discovery

DNA Sequencing of organisms from marine Arctic & other habitats

Manufacturing

Fermentation of microorganisms & down-stream chromatography

Development

Identifying & screening novel enzymes and making of microbial production host

Commercialization

B2B product offering & support for integration into customer workflow

The discovery of new enzymes begins with the sam-pling and sequencing of organisms from the marine Arctic by academic collaborators. By screening these organisms and their genetic information, we can identify

and select commercially attractive and unique enzymes for further investigation. Following this screening, the feasibility of expressing and producing this enzyme will be evaluated. The enzyme will be recombinantly expressed in microorganisms that have been genetically engineered to produce these enzymes. The expression will be optimized, and the subsequent recovery and purification of the enzyme will be preliminarily optimized. Upon completion of the preliminary development/optimization, a prototype of the enzyme is produced and offered to customers for testing. By offering prototypes to our customers, we obtain valuable feedback and information about their needs and requirements.

Product development of the enzyme includes further optimization in terms of making a good production clone for recombinant expression and optimization of manufacturing. A critical part of development is deciding on a formulation where the enzyme is stable, both in the final product and during the various stages of the manufacturing process. The product development phase is the most time-consuming phase, as production protocols and enzyme assays must be optimized, verified and validated. Once product development is complete, the enzyme is transferred to production to produce verification batches.

The batches are analyzed in quality control to verify that the production process produces an active and pure enzyme of high quality. Application data on the use of the enzyme will be collected to provide instructions on the recommended conditions for the use of the enzyme. The enzyme is integrated into the customer's technology, and the customer validates the performance and use of the product.

KPI	Target	2024
Product launch per year	4-5 per year	2

4.5 Use of resources and impact

"Our business model is designed to have a minimum impact on biodiv ersity and the ecosyst em in which w e source our raw materials. "

Collecting raw materials

To source new targets ArcticZymes have collaborated with the University of Tromsø, The Arctic University of Norway in bioprospecting in the arctic regions to look for enzymes with novel functionalities. We also participate in several projects funded by the Norwegian and European Research Councils to identify and characterize new enzyme functions.

There are different ways to do bioprospecting depending on what our targets are. We often obtain our targets from metagenomic data, i.e., we look for gene sequences of interest in a large pooled collection of genes sequenced from, for example, a sludge sample. The amount of raw material needed for DNA sequencing has decreased over the years. The new genes we find in metagenomic databases can be inserted into microorganisms that can translate the genes and, in that sense, produce the enzyme we are interested in. This process of discovery, development and creation of production protocols for new enzyme products is a complicated and time consuming process that often takes many years.

KPI	Target	2024
Number of incidents of release of GMO to the environment	0	0

Autoclaving

To prevent the release of genetically modified microorganisms into the environment, we use decontamination by autoclaving. In this, process, the solution is heated to 121°C for > 20 minutes, which ensures that there are no viable cells in it that will be discharged into the wastewater treatment system.

Sample size

When sampling for bioprospecting, the amount is small enough to not affect the population of the species sampled. If there is a hit on a target enzyme of interest, the amounts needed to sequence an entire organism are vanishingly small (< 10 kg, depending on the size of the organism).

Reversibility of effects

Research projects that focus on marine bioprospecting often collect a variety of samples for a few weeks. The rest of the year is then spent in the lab identifying and analyzing target molecules of interest, which are then further developed in our innovation pipelines. Since the extraction of raw materials is not continuous and the amount of material removed from the environment is relatively small, the reversibility of the extraction is considered complete.

4.6 Quality Management System

Since December 2017, ArcticZymes has been certified according to ISO 13485:2016. ISO 13485 is a standard for quality management systems in organizations involved in one or more phases of the medical device life cycle. As a manufacturer of enzymes for R&D, components for the production of in vitro medical devices and excipients for the production of cell therapy products, the quality of our products is a top priority.

ArcticZymes has implemented a comprehensive Quality Management System (QMS) to ensure that products developed, manufactured and sold are of the highest quality and safe for users and patients. Under this QMS, we systematically identify, manage and control our hazards and risks to continuously improve our performance in product development, manufacturing and distribution.

KPI	Target	2024
No critical deviations from customer audits	0	0
No critical deviations from certification audits	0	0

The QMS governs all activities related to the Group's business processes, support systems as well as management and monitoring processes. It must ensure full traceability in terms of product development history and batch-specific data.

The main legal requirements on which the quality system is based are the following:

• EN ISO 13485 Medical Devices Quality management systems -Requirements for regulatory purposes
• Regulation (EU) 2017/746 (In Vitro Diagnostic Regulation, IVDR)
• Relevant requirements in the Good Manufacturing Practic-es (cGMP) guidelines (for the intended use if the company provides bioprocess grade enzymes as components or raw materials to support the customer's GMP requirements)

ArcticZymes' quality management system requirements are controlled and maintained in accordance with ISO 13485:2016. ArcticZymes manufactures stand-alone enzymes and functionalized solutions (kits) for specific applications, and the scope of the ISO 13485:2016 certificate includes the following processes: Purchasing, Product Development, Sales and Marketing, Manufacturing, Storage and Distribution. This also applies if one or more of these processes are outsourced.

4.7 Quality policy

ArcticZymes Technologies is to be a leading provider of safe, high-quality enzymes for molecular biology, biomanufacturing/processing and diagnostics. We achieve our quality policy by:

• Maintaining an effective and appropriate quality management system that systematically identify, manage, and control our hazards and risks to continuously improve our performance in product development, manufacturing, and sales
• Selecting suppliers based on their ability to meet our requirements for safe raw materials according to our specifications
• Establishing measurable objectives and conducting regular audits to confirm our own performance, as well as that of our suppliers, in accordance with the certifications we hold and the expectations of our customers, and to operate in accordance with our business strategy

An important part of ArcticZymes' design and development process is risk management. Our goal is to produce high quality enzymes that meet expected specifications and customer requirements. AZ has a science-based and systematic approach to assessing, controlling, rejecting or accepting risks. Risks are reviewed throughout the product life cycle in accordance with ISO 13485, ISO 14971 and applicable cGMP requirements.

KPI	Target	2024
Critical suppliers audited within deadline	100%	100% 3 suppliers within deadline

4.8 Product information and marketing

Our quality management system is implemented to ensure quality in all our processes, including marketing and selling practices. This also entails our product information and labeling. The correct and transparent information to users and patients is a vital part of achieving our ambitions of becoming a leading supplier of safe and high-quality products and ensuring that our products meet market expectations and regulatory requirements. ArcticZymes have full traceability on all components and raw materials used in our processes. Our products meet our specifications shown on our certificate on analysis and are labelled according to standards and regulations.

There are no requirements regarding information of content that can have environmental and social impact. In absence of requirements for such product information, it has historically not been included in our product information. ArcticZymes products are compliant with requirements set forth in RoHS. The products do not contain any of the restricted substances referred to in Article 4(1) of Directive (EU) 2015/863 in concentrations at or above their tolerated maximum concentration value. According to Article 56(3) Regulation (EC) 1907/2006 (REACH Regulation), products from Arctic-Zymes AS are exempt from registration and authorization requirements imposed by the REACH regulation for the use in Scientific Research and Development (SRD).

Some of our products contain Triton X-100. For these products, the presence of Triton X-100 and its concentration is indicated in the corresponding Product Specification, Certificate of Analysis and Safety Data Sheet (SDS). ArcticZymes also offer Triton free versions of our products.

Providing SDS is not required for any of our products as the concentration of harmful substances is below the tolerated maximum level. Nevertheless, SDS is provided if requested by customers.

ArcticZymes will review best practice in our industry and assess our product labeling regarding ISO 13485 certification and GHS (Global Harmonization Standard) to uncover potential improvements. There has not been identified or registered any non-compliance with regulations or voluntary codes regarding product information, labelling or marketing communication in the reporting period.

KPI	Target	2024
Incidents of non-compliance related to information, labelling and market communication	0	0

05 SOCIAL: Society

Business integrity and ethics are essential to Arctic-Zymes. Our goal is to be the preferred provider for the development, manufacture and commercialisation of novel and high-quality recombinant enzymes. Through our materials analysis, we have evaluated our positive and negative impacts on the environment, the economy, and people. The analysis highlights the importance of business ethics, risk management, responsibility, collaboration and competitive behavior to our presence in society.

Supplying products to a global market and operating in a global supply chain poses risks to our ethical behavior and integrity. ArcticZymes' business relationships are guided by our core values: to be a reliable and collaborative partner that strives to excel in all areas of business. We have a deliberate and ongoing focus on business ethics and competitive behavior that we believe has a positive impact both directly on the marketplace and on the local communities in which ArcticZymes has a presence. This also applies indirectly to how we influence our partners and set supply chain requirements.

Potential negative impacts are managed through defined guidelines, comprehensive policies, instructions and routine descriptions to manage all potential risks and achieve our overall goal.

Material topics

Data security and privacy

Collaboration with official regulators and authorities

Competitive behavior

Supplier requirements and compliance

Our approach

By documenting our impacts, we get the overview we need and can take action when needed. By being aware of our role and our impact, we can choose goals that contribute to strengthening a more sustainable society in the future. This is because we strongly believe that contributing to our local communities also has a positive impact on our people and our culture.

We have defined targets against which we manage and measure our performance. For a detailed overview of KPIs, see our scoreboard. A more detailed description of our approach and impact management can be found in the following chapter.

5.1 Responsible business conduct

Our Business Ethics

ArcticZymes is committed to maintaining the company's high ethical standards and reputation. We want to be seen as a company that promotes healthy and sustainable leadership and a culture that creates superior employee performance, fulfillment and results. Therefore, it is important for us to instill the right core values in our employees so that they can deal with ethical issues in the best possible way.

To achieve this, we have established ethical guidelines about our behavior toward each other and the outside world, including how to avoid violating the law. All employees must individually confirm in writing that they will work to prevent discrimination, promote equality, advance human rights and fight all forms of corruption in their position. These guidelines are in line with the principles of the UN Global Compact and are publicly available on our website. Through collaboration and discussion with our stakeholders, we continuously work to identify our negative impacts and help improve them.

Violations of the Company's Code of Conduct may result in disciplinary action, up to and including termination of employment.

KPI	Target	2024
Corruption incidents	0	0
Anti-corruption training for all employees	100%	No training in 2024
Human rights training for all employees	100%	No training in 2024

Anti-corruption and competitive behavior

ArcticZymes desires fair and open competition in all markets. We are committed to conducting our business ethically and with integrity. We operate with zero tolerance for corruption in any form. Under no circumstances shall we cause or be involved in a violation of general or specific competition laws, such as illegal pricing cooperation, illegal market sharing, or any other conduct that violates relevant competition laws. We conduct risk assessments of our operations and value chain and have implemented measures and controls to prevent corruption and anti-competitive behavior. Anti-corruption policies are implemented through our Code of Conduct and communicated to all employees and members of governing bodies and are openly available on our website. ArcticZymes has not experienced any incidents of corruption or anti-competitive behavior in 2024.

Data security , privacy and confidentiality

Every ArcticZymes employee is bound by law and written agreement to maintain confidentiality. All company and other matters that could give third parties unauthorised access to confidential information must be kept confidential. All employees should exercise caution when discussing internal matters to avoid being overheard by unauthorised persons. The obligation of confidentiality continues even after termination of an employment or contractual relationship with Arctic-Zymes Technologies, as long as the information is of a sensitive nature or otherwise confidential. ArcticZymes respects employees' rights to privacy. The General Data Protection Regulation (GDPR) has been Norwegian law since 2018. The GDPR provides assurance that personal data that is legitimate for a company to collect and use will not be used for other purposes. ArcticZymes has not experienced a breach of data security, privacy or confidentiality in 2024.

Human Rights

Respect for the rights and dignity of all people is the foundation of a civilized society. ArcticZymes supports the protection of international en human rights and strives to ensure that the Group and its employees do not abuse or participate in the abuse of human rights. ArcticZymes has not experienced any incidents of human rights violations in 2024.

Collaboration wit h regulatory authorities

ArcticZymes complies with the relevant laws and requirements of national and international authorities in the markets in which we operate, and the safety of our products and our production is guaranteed by our ISO certification. In addition, we welcome all audits and inspections of our company and consider this an integral part of our ability to guarantee high quality products to the market.

5.2 Risk management and internal control

How we evaluate risk and manage internal control

Together with ArcticZymes' auditor, the Audit Committee and the Board of Directors conduct an annual review of internal controls. A financial manual describing financial management is prepared. ArcticZymes' quality system ensures procedures for risk management and internal control of processes and products in accordance with applicable regulations and customer requirements. The enzyme operation was certified to ISO13485 in December 2017 and is subject to annual audits to maintain registration. The Board of Directors believes that internal control is adequate and considers that the main risk areas are as follows:

• General risks associated with government regulation and competition
• Financial risks related to currency exchanges
• Risks associated with the result and commercial adaptation of long-term product development
• Patent risks
• Risks related to key personnel and the possibility of losing this personnel
• Product liability
• Key suppliers and dependence on them
• Legal disputes which may arise

Procedures for dealing with insider information and breaches of internal policies and procedures have been implemented and apply to all employees. The procedures reflect the Oslo Stock Exchange guidelines and MAR regulations introduced on March 1, 2021. Procedures have also been established for regular reporting of financial statements. In addition, management reports to the Board of Directors at least once a month on progress with development and other operational processes. The Board of Directors must continuously review whether the company is living its values and following its ethical guideline

Quality management system

ArcticZymes Technologies has implemented a comprehensive quality management system to ensure that the products developed, manufactured and sold are of high quality and safe for users and patients. The quality management system is based on the principles of current good manufacturing practice (cGMP) and the requirements defined in the ISO 13485 standard. The quality management system ensures that we:

• Select suppliers based on their ability to meet our requirements for safe raw materials according to our specifications.
• Perform manufacturing and quality control using validated procedures and qualified equipment.
• Continuously follow up on any quality-related deviations or customer complaints.
• Evaluate and approve all changes that may potentially impact product quality or external or internal requirements, following an established change control procedure.
• Conduct periodic audits to confirm our own performance as well as that of our suppliers in accordance with certifications we hold.

5.3 Responsible supply chain

Maintaining a responsible supply chain is an essential part of our sustainability efforts. To ensure a high-quality standard of our enzymes, the quality of our raw materials is critical. We strive to understand and monitor key ESG risks in our supply chain and work to develop guidelines and risk assessments to positively contribute to climate impacts, human and labor rights, and corruption when selecting our suppliers.

Supply chain evaluation

All of our critical suppliers are qualified based on regulatory compliance and our quality management system. They must meet all requirements established by our ISO 13485:2016 certification. These requirements relate firstly to the quality of the products and secondly to limiting risks to our enzymes that could have a detrimental effect on the final product.

Our most critical suppliers are subject to an annual audit program. In addition, ArcticZymes conducts onsite audits of these suppliers at semi-annual intervals. Less critical suppliers are assessed through a questionnaire-based evaluation and reassessment based on performance and complaints.

Improving t he monitoring of key ESG risk

Currently, none of our critical suppliers are screened for their environmental and social impacts. To improve our position as a supplier of high-quality enzymes, we aim to make our supply chain more sustainable in the future. ArcticZymes is therefore working on an improved supplier qualification process. Our goal is to improve the efficiency of our processes and ensure that all suppliers meet our standards and maintain their quality. In addition, the supplier qualification program will be expanded to include environmental impact and social respon-sibility from 2024.

The Norwegian Transparency Act (July 2022) aims to ensure that companies respect basic human rights and working conditions. ArcticZymes is also covered by the Act and is already working on appropriate adjustments. With the improved supplier qualification process, we aim to identify and assess our impact and that of our supply chains on this issue. In parallel, we will conduct due diligence (OECD) to embed and improve it, and provide information and remediation as needed.

KPI	Target	2024
Supplier impact – number of critical suppliers assessed for social impacts	100%	0
Environmental impact – number of critical suppliers assesed for environmental impact	100%	0

5.4 Local Engagement

Our commitment to the local community

As part of our local community, we as a company feel the need to actively contribute to the well-being of our surroundings. ArcticZymes aims to be recognized as a company with high ethical standards and an excellent reputation.

We strongly believe in partnerships and local activities for our community and have made them an important part of our work, which will be even more important in the future. We define local partners as companies that operate near our headquarters in Tromsø, Norway. ArcticZymes strives to work with local suppliers wherever possible.

Local partnerships

ArcticZymes creates value through innovative enzyme technologies based on more than three decades of

world-class research at the Arctic University of Tromsø (UiT) and in collaboration with other national and international partners.

Sponsorships

ArcticZymes has allocated NOK 50,000 for sponsorships for children and activities involving employees. The sponsorships are awarded four times a year with a maximum of NOK 5,000 per activity. The company aims to increase this amount as the company continues to grow.

Percentage of senior management hired from the local community

ArcticZymes has a senior management team consisting of 8 individuals. Senior Executive Management is the highest level of management in the company and is responsible for planning, directing and controlling the company based on the strategies approved by the Board of Directors. The Senior Executive Management holds regular meetings to discuss all aspects of business development.

ArcticZymes Technologies ASA with its subsidiary ArcticZymes AS is based in Tromsø, Norway, where the headquarters and laboratories are located. 57% of the senior executives are based at the headquarters in Tromsø. The CEO, vice president of sales and vice president of corporate development are located in Malmø, Sweden, Helensburgh, UK and London, UK, respectively.

The Company has established logistics centers in the United States and the Netherlands to better serve cus- tomers. The company has no employees in these centers.

KPI	Target	2024
Proportion of senior managment hired from local community	50%	57%

Name	Position	Location
Michael Akoh	CEO	Malmø, Sweden
Børge Sørvoll	CFO	Tromsø, Norway
Marit Sjo Lorentzen	VP Operations	Tromsø, Norway
Olav Lanes	VP R&D and Applications	Tromsø, Norway
Paul Blackburn	VP Sales & Marketing	Helensburgh,UK
Grethe Ytterstad	VP Quality	Tromsø, Norway
Jeremy Gillespie	VP Corporate Development	London, UK
Ruth HAltenburger	PMO Manager	Tromsø, Norway

06 ECOLOGY: Future

ArcticZymes will drive action to advance sustainability – for the planet, society and people's health. To ensure a better future for the next generation, we recognize our responsibility to drive innovation and technology for sustainable healthcare. It gives us great pride to be involved in solving the greatest health challenge of our lifetime.

ArcticZymes' activities have limited negative impact on the environment. Nevertheless, we will continue to push for sustainability in any development of new tech-nologies and products. The company recognises that enzyme manufacturing can impact the environment if appropriate measures are not taken to ensure recycling and safe handling of chemicals. Our policies maintain our performance in terms of our environmental footprint, waste and water management. Excipients and chemi-cals that cannot be recycled in production processes are collected and returned to an approved manufactur-er for environmentally sound recycling. Procedures are established for the collection of various types of waste from the laboratories and for the separation of waste from other operations by source. Energy consumption in the production process is modest. It is considered to have minimal impact on the environment.

Material topics

Greenhouse gas emissions and energy management Waste and water management

Our approach

We will strive to reduce our impact as much as possible in the future. To this end, we have listed some measures to reduce our carbon emissions.

We have defined targets against which we manage and measure our performance. A detailed overview of our key performance indicators can be found in our scoreboard. A more detailed description of our approach and management of our impacts can be found in the following chapter.

6.1 Climate statement

GHG Protocol

We prepared our carbon footprint to provide an over- view and control of the company's total emissions. In- put data was obtained from internal and external sourc- es and converted into kilograms of CO2 equivalents (kg CO2e) based on the internationally recognized GHG Protocol1 . The following greenhouse gases are includ- ed in the statement: CO2, CH4 (methane), N2O (nitrous oxide), SF6, HFK and PFK gases. The climate statement is divided into three sections that include both direct and indirect emission sources. The statement is based on the principle of operational control, i.e. the emission sources that we control are also taken into account.

Scope 2

Includes indirect emissions from purchased electricity and district heating measured in rented premises in Tromsø. For electricity consumption, there is a certificate with a guarantee of origin, which ensures that the electricity supplied by Noova Energi System AS is emission-free. All energy for the period comes from en- vironmentally friendly hydropower supplied by Norwegian hydroelectric plants. ArcticZymes' energy from district heating comes from Kvitebjørn Varme, where the emission factor used is lower compared to other district heating suppliers. This is due to the fact that district heating systems generate energy based on different fuels, which vary from site to site depending on which energy sources are available.

Scope 1

Includes emission from water usage. The emission factor includes both water supply and water treatment.

Scope 3

Includes emissions that can be indirectly linked to the organization's activities but are outside our control. Our largest sources of emissions are transportation and waste. Transportation includes employee and external travel (flights, employee vehicles, cabs, and trains) and product shipments (flights, electric delivery vehicles, and fossil fuel trailers). Our waste fractions include residual waste (incineration and landfill), paper and cardboard, glass and metal, plastics, e-waste, organic waste, and hazardous waste.

Climate statement

	Source	Unit	Energy	Unit	Emissions 2024
Scope 1	Water	m3	565	kg CO 2 e	191
Scope 2	Electricity	kWh	208 639	kg CO 2 e	0
Scope 2	District heating	kWh	197 242	kg CO 2 e	2 121
Sum Scope 1 + 2				kg CO 2 e	2 312
Caona 2	Transportation	km	574 648	- kg CO₂e	13 138
Scope 3	Transportation	tonn.km	3 821	kg CO2e	4 175
Scope 3	Waste	kg	5 265	kg CO 2 e	43
Scope 3	Dry-ice	kg	5 585	kg CO 2 e	5 585
Sum Scope 3				kg CO 2 e	22 941
Total				kg CO 2 e	25 253
Intensity	Employee 4		55	Number of employees	Intensity
Energy intensity				kWh/Number of employees	7 3795
Intensity emissions (Scope 1 + 2)				tCO 2 e/number of employees	0.042
Intensity emissions (Scope 1 + 2 + 3)				tCO 2 e/number of employees	0.46

^1.The analysis is based the guidelines from GHG Protocol: A Corporate Accounting and Reporting Standard», the international standard developed by "the Greenhouse Gas Protocol Initiative" – GHG Protocol.

6.2 The footprint

Our measur es to reduce our carbon emissions:

• We place high demands on our value chain and our business partners in terms of sustainability, transparency and ethical business practices. As a result, we will prioritize low emissions as a factor for new business relationships.
• The company will continue to recycle all products suitable for recycling and look for innovative ways to increase its progress. Excipients and chemicals that are not suitable for recycling will be collected and returned to an approved

manufacturer for environmentally sound recycling. We are committed to reducing our general waste and will map it to contribute to our facility's shared recycling goal.

• We will continue to monitor our Scope 3 performance and reduce our impact by 2030.
• We will evaluate the maximum number of shipments per year to our warehouses in the U.S. and Europe.

^2.Emission factors for energy consumption: Guarantee of origin Certificate by Noova Energi System AS (electricity), calculations based on https://www.fjernkontrollen.no/kvitebjorn-varme/ (district heating)

^3. Emission factors for transportation and waste: UK Gov. Dep. BEIS "Conversion factors 2024: full set (for advanced users)"

^4.0 ur employees and their expertise are our most important resource, and the strongest driver for our use of energy and emissions. The number of employees as FTE's is therefore used as the denominator when calculating energy and emissions intensity

^5. Energy included is electricity and district heating

KPI	Target	2024
Scope 3 - emissions, tCO 2 e	Reduction
Number of shipments to warehouses per year	18 per warehouse	13 to USA 18 to Europe

Intensity-ratio	calculated	by	number	of	employ	eers	per	year-	end
-------------------------------------	------------	----	--------	----	--------	------	-----	-------	-----

KPI	Target	2024
Scope 1 (tCO 2 e)		0,2
Scope 2 (tCO 2 e)		2,3
Intensity on emission (Scope 1 + 2, tCO 2 e/number of employees)		0,45
Scope 3 (tCO 2 e)		22.9
Intensity on emissions (Scope 1 + 2 + 3, tCO 2 e/number of employees)		0,46

6.3 Energy Management

Our plant is connected to the local grid in Tromsø, which is supplied with electricity from renewable hydropower sources. Our energy supplier has provided a certificate of origin for all energy consumption during the reporting period.

Total energy consumption within the organization (kWh)

We have access to ArcticZymes consumption through Siva Science Park's internal system. This shows our total energy consumption on an annual basis. The chart below shows in detail our monthly consumption in kW. The total for 2024 includes electricity and district heating. There has only been minor changes in consumption over the last few years. ArcticZymes, tries, where possible,

Energy consumption (kWh)

6.4 Waste

To achieve our climate goals, it is important that we focus on waste management, reducing waste pollution and reusing it wisely. To do this, we need to know where our waste comes from and how it is treated so that we can reduce our consumption of resources and materials. We believe that a circular economy is essential to ensure sustainable production in the future.

Responsible wast e management

We have waste plans in place to ensure that our waste is handled, stored and delivered in a responsible and environmentally friendly manner. All waste is categorized in the waste plan and stored in accordance with applicable regulations. Waste must be recycled wherever possible. All of our hazardous waste is recycled for energy, with the energy used for heating at our waste supplier and the remaining superheat in a district heating system providing heat for nearby industry and public

and private buildings. Auxiliary materials and chemicals that cannot be recycled in the production processes are collected and returned to an approved manufacturer for environmentally sound recycling.

Procedures have been established for the collection of various types of waste from the laboratories and for the separation of waste from other operations by source. To ensure that there are no undesirable incidents or damage related to auxiliary materials, chemicals, and hazardous wastes, we have established KPIs for the declaration of these wastes and performed measurements.

Reuse of materials

We reuse as much as possible of the packaging materials we receive with incoming packages. All clean materials, including dry ice pellets, gel packs, Styrofoam boxes, plastic pillows and bubble wrap that have not

Our plant operator, the SIVA Innovation Centre, takes care of our general waste and has set a goal for the entire plant to achieve a 65% waste separation. Our efforts are aligned with these goals to help reduce our collective negative impacts. Our waste data is based on estimates of our waste handled by the bro-ker and is not accurate for the reporting period. Beginning of 205, the plant operator has started registering waste on every individual companyviual company.

KPI	Target	2024
Map amount of general waste to align contribution towards common goal for facility	65% sorting	55%
Wrongfully declaration of waste	0	0
% of shipments with reused packaging	80%	100%

Waste	Category	%
Residual, combustion	Residual	35%
Mixed paper	Recycled	13%
Organic	Residual	23%
Mixed metals	Recycled	1%
EE waste	Recycled	2%
Glas	Recycled	3%
Hazardous waste	Sorted	23%

6.5 Water Management

In order to contribute to a lower negative impact, we need to be aware of the use of natural resources. ArcticZymes grew out of Arctic marine development, where natural resources are essential to our work and water is a key raw material.

Tromsø, and our share is estimated on a square meter basis for our premises.

Responsible use of water

Our products and industry have strict and complex regulations. This can be challenging in terms of production and process design. To help make a positive impact, we are trying to get a better overview of our overall water consumption. However, since there are no water meters directly connected to our operations, we currently do not have accurate information about our consumption. Water consumption is monitored by our service pro-vider for the entire facility at SIVA Innovation Centre in Tromsø.

Water-related impact s

Our facilities are located in an area where there are no significant water-related impacts, such as water stress, water scarcity, or impacts to the local water environment and surrounding communities. The Company has no impact on water quality, availability or pollution, and this is not likely to change in the near future. Nevertheless, we recognize the importance to our industry of water management and ensuring that hazardous waste-water is not released into the environment.

Water consumption

Consumption m3

01 Withdrawn

The water we use in ArcticZymes' production department comes from Lake Øvre langvann on Ringvassøy. Damvann serves as a reservoir. The water is piped through the Simavika waterworks on Ringvassøy and to Tromsø Island in Tromsø municipality. The water is pretreated with pressure screens to remove particles before being treated with chalk and CO² to prevent corrosion on the water pipes downstream. The water is then disinfected with sodium hypochlorite before being distributed to Tromsø and ArcticZymes. (ref. hovedplan vannforsyning 2007-2018.)

02 Consumed

The tap water is further treated internally with a water purification system that uses reverse osmosis (RO) to remove ions from the water. RO water is used when very large quantities of buffers are required for chromatography and the quality of this water is sufficient for this purpose. In sensitive areas, reverse osmosis water is further purified using ion exchange to obtain ultra-pure water. This water quality is most commonly used for the production of buffers, stock solutions and media for microbiology.

03 Discharge

The used water from our production department is dis-charged to the drain and enters the Tromsø Municipal-ity wastewater treatment plant. If the water has been used for growth media and contains small amounts of genetically modified microorganisms (GMOs), it is first autoclaved at 121 °C for 30 minutes to destroy any liv-ing GMOs before being discharged to the wastewater treatment plant. The treatment plant is located in Breivika, about 1 kilometer south of the ArcticZymes site. If the water contains toxic chemicals, it is collected by the local Perpetuum waste management facility and delivered for safe disposal.

07 GRI Repor t

GRI Standard	Name	Page	Omissions	Description
GRI 2 General Disclosures 2024
1. The organization
and its reporting practices
2-1	Organizational details	2, 5, 9
2-2	Entities included in the organization's sustainability reporting	2		Report includes entire Group. Information based on consolideted numbers
2-3	Reporting period, frequency and contact point	2
2-4	Restatements of information		N/A
2-5	External assurance	2
2. Activities and workers
2-6	Activities, value chain and other business relationships	5, 8-10, 31-32	d. N/A
2-7	Employees	19
2-8	Workers who are not employees	19
3. Governance
2-9	Governance structure and composition	11
2-10	Nomination and selection of the highest governance body	9
2-11	Chair of the highest governance body	9
2-12	Role of the highest governance body in overseeing the management of impacts	11
2-13	Delegation of responsibility for managing impacts	11
2-14	Role of the highest governance body in sustainability reporting	11	b. N/A
2-15	Conflicts of interest	9
2-16	Communication of critical concerns	9, 25
2-17	Collective knowledge of the highest governance body	9
2-18	Evaluation of the performance of the highest governance body	10	c. N/A
2-19	Remuneration policies	9-10
2-20	Process to determine remuneration	12
2-21	Annual total compensation ratio	12, 23		For detailed information regarding remuneration, see annual report and remuneration guidelines on our webpage
4. Strategy, policies and practices
2-22	Statement on sustainable development strategy	7
2-23	Policy commitments	11, 33-34, 38-40		https://arcticzymes.com/ corporate-information/
2-24	Embedding policy commitments	11, 24-25, 33-34, 38-40

GRI Standard	Name	Page	Omissions	Description
2-25	Processes to remediate negative impacts	11, 17, 18, 24-26, 33, 39-40
2-26	Mechanisms for seeking advice and raising concerns	11, 25
2-27	Compliance with laws and regulations			No reported incidents or breaches to laws or regulations in the reporting period
2-28	Membership associations			Member of Biotech North - industry cluster
5. Stakeholder engagement
2-29	Approach to stakeholder engagement	15, 17
2-30	Collective bargaining agreements	18
GRI 3 Material topics
3-1	Process to determine material topics	13
3-2	List of material topics	15-16	b. N/A
Focus area: Employees
GRI 3 Material topics
3-3	Management of material topics	17, 20
GRI 401 Employment
401-1	New employee hires and employee turnover	18
GRI 403 Occupational Health and Safety
403-1	Occupational health and safety management system	22-23
403-2	Hazard identification, risk assessment, and incident investigation	25	c. N/A
403-3	Occupational health services	23
403-6	Promotion of worker health	23	b. N/A
403-9	Work-related injuries	22
GRI 404 Training and Education
404-1	Average hours of training per year per employee	21	N/A	We do not have complete data of hours of training, but are implementing a new HR system and expect to have more data for later reporting
404-2	Programs for upgrading employee skills and transition assistance programs	21
404-3	Percentage of employees receiving regular performance and career development reviews	21
GRI 405 Diversity and Equal Opportunity
405-1	Diversity of governance bodies and employees	19

GRI Standard	Name	Page	Omissions	Description
Focus area: Future
GRI 3 Material topics
3-3	Management of material topics	17, 44
GRI 302 Energy
302-1	Energy consumption within the organization	39-42	a. and b.: N/A
302-3	Energy Intensity	39-40
GRI 303 Water and Effluents
303-1	Interactions with water as a shared resource	44-45	b., c. and d.: N/A
GRI 305 Emissions
305-1	Direct (Scope 1) GHG emissions	39-40	b. and c.: N/A
305-2	Energy indirect (Scope 2) GHG emissions	39-40	b. and c.: N/A
305-3	Other indirect (Scope 3) GHG emissions	39-40	b. and c.: N/A
305-4	GHG Emissions Intensity	39-40
GRI 306 Waste
306-3	Waste generated	43

ArcticZymes T echnologies A SA

Sykehusveien 23 N-9294 Tromsø, Norway

• T (47) 7764 8900
• E contact@arcticzymes.com
• I www.arcticzymes.com