SUSTAINABILITY

OUR COMMITMENT

Sustainability is an integral part of our business. We believe that responsible resource management is key to a sustainable future, and we strive to lead by example. We are committed to minimizing our environmental footprint, promoting social responsibility, and ensuring economic opportunities for all. Our sustainability goals include reducing greenhouse gas emissions, conserving water, protecting biodiversity, and supporting local communities. We are constantly exploring new technologies and methods to further improve our operations and make a positive impact.

2024 ANNUAL SUSTAINABILITY REPORT

READ

LAND ACKNOWLEDGEMENT

Avalon Advanced Materials Inc. acknowledges that our work takes place within the ancestral and traditional territories of First Nations, and Métis people. We respect Indigenous rights and are committed to deepening our existing relationships while forging new lasting ties which will ensure that future generations benefit from the positive social and economic opportunities related to our operations.

SUSTAINABILITY PRACTICES

Our corporate strategy focuses on continuous improvement and environmental performance by reducing harmful emissions to air, water, and land and improving the efficiency by which we utilize natural resources, energy and materials. Our policies aim to prevent the loss of biodiversity and ecosystem function from our operations.

Energy Management

We aim to identify energy efficiency and optimization opportunities at our project sites. As we work to support a clean energy economy, this will be an important piece of the decarbonization puzzle.

Waste Management

Our objective is to minimize all forms of wastes and ensure the appropriate management of all materials. Where possible, we implement strategies to divert waste from landfills and identify opportunities to participate in the circular economy — economically reducing waste and environmental risk. With the help of our stakeholders, we can mitigate the impacts of our products and encourage recycling through the supply chain and product life cycle initiatives

Water Management

Avalon commits to robust assessments of potential impacts for its advanced projects, collecting and utilizing extensive baseline ecological data, timelines, and quality assurance protocols. In keeping with best practices, site-specific and detailed management plans will be developed for each project location to monitor aquatic effects, site runoff, spill contingency, waste management and other potential risks to water.

Greenhouse Gas and Air Emissions

As a leader in sustainability in the exploration and development industry, Avalon recognizes that energy management is a key component of responsible mining and contributes to our social license to operate. It also significantly contributes to improving project economics. Avalon will ensure adequate resources and skills to optimize energy use and associated greenhouse gas (GHG) reduction. We strive to continuously reduce carbon dioxide equivalents (Co2e), or GHG emissions, at our operations to meet our goal of becoming net carbon neutral by 2035 or sooner.

Indigenous Engagement

We commit to engage with local communities and stakeholders at the earliest possible project stages and throughout the life cycle of the operations in a culturally appropriate manner — respecting the customs, priorities, values and rights of local communities, especially those of Indigenous peoples. Our efforts have been recognized by the Prospectors and Developers Association of Canada with a Distinguished Service Award. Avalon’s ongoing work has culminated in formal agreements with various communities including the Wabeseemoong Independent Nations, the Northwest Territory Métis nation, the North Slave Métis Alliance, the Deninu Ku’e First Nation and the Chapleau First Nation.