Addressing Sustainability Issues by Expanding Fundraising Bas

Mitsui O.S.K. Lines,  announced the conclusion of its first commitment line agreement through “Positive Impact Finance”  with Mizuho Bank.

“Positive Impact Finance” is a type of ESG financing based on the Positive Impact Financing Principles. Under the “Mizuho Positive Impact Finance” that MOL has signed with Mizuho Bank, company’s social impact  is comprehensively and quantitatively assessed by using an impact assessment framework originally developed by Mizuho Research & Technologies. If the assessment is identified as “intended to create a positive impact,” the loan will be provided for ongoing support of the initiatives.

The MOL Group identifies five “sustainability issues” as social issues to be prioritized through its businesses, and established a specific action plan to address these issues, the MOL Sustainability Plan (MSP), as part of the management plan “BLUE ACTION 2035.”

The loan affects the achievement of the sustainable development goals (SDGs) from Mizuho Bank, with key performance indicators (KPIs) for each of the following themes based on MOL’s sustainability issues. MOL was deemed eligible for the loan and the contract was concluded.

Theme	KPI	Target/Policy	SDGs
Employment, water (quality), biodiversity and ecosystem services	Achievement of the “four zeroes” (MOL and its consolidated subsidiaries in Japan and overseas) No. of serious marine accidents No. of serious cargo incidents No. of occurrences of marine pollution by oil spills No. of fatal workplace accidents	Every year: Achieve zero cases
Biodiversity and ecosystem services	No. of vessels equipped with ballast water treatment systems (MOL-owned vessels)	FY2023: 260 vessels
Climate, resource efficiency and safety	GHG emissions intensity of ocean transport (Major domestic and overseas MOL and its group ship operating companies)	2035: 45% reduction (compared to 2019)
	Environmental Investment (MOL and its consolidated subsidiaries in Japan and overseas)	FY2023-2025: ¥650 billion
	No. of clean alternative fuel-powered vessels delivered (MOL Group)	2020s: Start operation of net-zero emission ocean-going vessels 2030: 90 LNG- and methanol-fueled vessels 2035: 130 net-zero emission ocean-going vessels
Atmosphere	SOx emissions per ton-mile (MOL and its major consolidated subsidiaries in Japan and overseas)	2030: 14% reduction (compared to 2020)
Inclusive and healthy economy and employment	Training of foreign human resources (MOL Group)	Every year: human resource development at the maritime academy established in the Philippines End of 2023: Launch a training project for foreign personnel working in the wind power generation field in the Philippines.
	% of women in management positions (Non-consolidated land-based positions)	FY2025: 15%
	MOL Group Key Positions (MGKP, Note 4) Incumbent composition rate (women, from outside the Head Office, under 40s)	FY2025: Female – 8% From outside the Head Office – 30% Under 40s – 15%
Energy	Promotion of offshore wind power related projects (MOL Group)	Every year: Initiatives such as participation in offshore wind power generation projects

The progress and results of these initiatives will be disclosed in the Integrated Report and other media issued by MOL. In concluding the Loan, MOL obtained a third-party opinion from Japan Credit Rating Agency, Ltd., about conformity with Principles for Positive Impact Finance for the assessment and consistency with the “Basic Concept of Impact Finance” compiled by the Positive Impact Finance Task Force, which was established based on Paragraph 2 (4) of the Outline for Establishing the High-Level Panel on ESG Finance set up by Japan’s Ministry of the Environment.

[Outline of the Loan]