Environment
The environmental policy of the Vallourec Group highlights several priorities:
- Mitigating the effects of climate change in accordance with the Paris Agreement, particularly through energy efficiency, low-carbon steel making solutions, and the deployment of innovative technologies;
- Adapting the Group’s processes and business model to address climate and transition risks, especially through the development of new energies;
- Controlling and reducing its water footprint, both in terms of withdrawals and discharges;
- Optimizing resource use and promoting a circular economy;
Preventing and controlling sources of pollution, particularly in the air, water, and soil; - Preserving biodiversity;
- Engaging with stakeholders along the value chain on material environmental matters.
Concrete results
* the lowest carbon footprint among premium tubular solutions on the market.
** Recalculated during life cycle analyses as part of the publication of new EPDs.
A number of local assets in our various regions:
- Two electrical furnaces powered by low-carbon energies
- Using scrap metal to create steel
- In Brazil, Vallourec operates a 165,000 acres forest estate:
40% of this area is preserved in its natural state and 60% is used to grow eucalyptus trees for charcoal production.
This charcoal, made from biomass, is used as a substitute for coke in the Jeceaba blast furnace in Brazil for steel production.
Enhanced industrial processes & footprint
Examples of initiatives
More than 98% of the steel used by Vallourec in North America comes from recycled scrap metal
Steel plant & Rolling mill - Youngstown – Ohio USA
• 100% of the electricity purchased is of nuclear origin with a low carbon footprint, at the steel plant
- 275,000 tonnes of CO2 emissions avoided
- More than 485,000 tonnes of steel scrap recycled each year
• Since 2020, rainwater recovery at the rolling mill
As a leader in our sector, we have a responsibility to accelerate the reduction of our carbon footprint at all levels of the Group. We owe it to our employees, our customers, our partners and future generations.
Assessment of the environmental impact of our solutions
The life cycle analysis of our products, carried out with the EPD (Environment Product Declaration) standard, attests to a carbon footprint of 1.45 tonnes of CO₂e emitted per tonne of tube produced, validated by an independent certifier.
This result places our premium tubular solutions as those with the lowest carbon footprint on the market.
A rigorous methodology derived from the EPD standard, with calculations based on PCR 2014:10 “Fabricated Steel Products, Except Construction Products” v2.12 and an audit performed by independent third parties.
Ambitious greenhouse gas reduction program
Our targets were formally validated (“targets set”) by the Science-Based Targets initiative in May 2020, making Vallourec the first company in the oil/para-petroleum industry to obtain this recognition.
Our targets approved for 2025 are as follows, expressed with respect to 2017:
- Reduce the fossil and biogenic carbon footprint of our industrial activities (Scopes 1 and 2, in tCO2e) by 20% in absolute terms
- Reduce the intensity (metric tons of CO2 per million euros of added value) of our purchases of raw materials and services by 45%
- Reduce our Scope 3 indirect emissions by 25% in absolute terms, including our transportation and the use/end-of-life of our products in various markets (in tCO2e)
- Reduce the emissions from our value chain from the purchase of raw materials (including steel) to the use and end of life of our products (Scopes 1, 2 and 3, in tCO2e) by 25% in absolute terms.
In 2022, the Climate Challenge project was launched by the Climate Committee, with sponsorship from an Executive Committee member.This represents a significant step forward in tackling climate imperatives through an ambitious cross-functional plan with top management support. It also covers implementation of a rigorous system for managing the Group’s carbon emissions. The project involves all operational and functional departments, with the common objective of actively contributing to a carbon-neutral world by 2050, through transformation of the Group’s supply and production processes, and diversification of its commercial offering.
Taking 2021 as the base year, Vallourec is now committed to two targets, for 2030 and 2035:
● 30% lower CO2e emissions per ton of tubes sold by 2030, corresponding to a carbon intensity of 1.4 ton CO2 per ton of tube shipped;
● 35% lower CO2e emissions per ton of tubes sold by 2035, corresponding to a carbon intensity of 1.3 ton CO2 per ton of tube shipped.
