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© 2007 ALCAN INC

Sustainable Ecosystems and Social Stewardship

Waterloo, Canada

16 June 2007

Alcan - Aluminium Climate Change and Product Stewardship

Paola KistlerDirector Environment, EHS FIRST

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© 2007 ALCAN INC

BAUXITE AND ALUMINA PRIMARY METAL

ENGINEERED PRODUCTS PACKAGING

A World Leader in Aluminum and Packaging

Alcan Inc.2006 Revenues: US$20 billionEmployees: 65,000Facilities: 470Countries: 61

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© 2007 ALCAN INC

A Strategic Approach to Climate Change

Alcan’s proactive and progressive approach to the reduction of GHG emissions has been driven by a “win-win” philosophy – driven by a sustainability approach.

Alcan’s strategy includes:

Continued reduction in process-related GHG emissions

Development of new technologies

Promoting the use of aluminium as a contributor to reduce GHG emissions through product lifecycle

Engagement in the development of a global policy framework

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© 2007 ALCAN INC

Alcan recognized early the need to tackle GHG emissions

Smelter emissions - Worldwide comparison 1990 to 2006:

Total smelter emissions (direct + indirect) reduced by 25% Production increased by 35% Intensity decreased by 45% 2006-2010 objective to further reduce direct GHG intensity by

10%

Already in 2000 Alcan launched its first TARGET program, a company-wide greenhouse gas management program

TARGET includes reduction objectives

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© 2007 ALCAN INC

Electricity consumed per kg of hot metal produced — Scope 2

15.8 15.7 15.7 15.7 15.8 15.8 15.9 15.8 15.8 15.915.4 15.1 15.2 14.9

14.2

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12

13

14

15

16

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1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

kWh/

kg A

l

Continuous improvements in energy efficiency in Alcan’s smelters to reduce GHG from electricity production

Natural Gas18%

Petroleum11%

Coal23%

Nuclear7%

Renewable41%

Alcan’s energy mix

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© 2007 ALCAN INC

Alcan Smelting Technology Sales: Delivering GHG reductions linked with cost efficiency

Alcan-Pechiney leading smelting technology is used by many companies

Alcan has made an R&D commitment to develop a 20 percent more energy efficient and environmentally friendly cell

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© 2007 ALCAN INC

Raw material, production and distribution phases: Alcan greenhouse gas emissions total 32 million tonnes of CO2eq (10 t /t Al)

PFC 3 (1.0 t / t Al) Anode consumption 5 (1.7 t /t Al) Smelter Electricity 15 (5.0 t/t Al) Casting, Boiler 6 (2.0 t/t Al) Other 3 (0.5 t/t Al)

Use phase and end of life phase: Alcan’s products can deliver reductions of Millions of tonnes of GHG to our

customers Automotive 100 kt for light weighting: Reduction of 3 Mill tonnes of

CO2eq 100 planes with new alloys: Reduction of 30 Mill tonnes of CO2eq 5000 t for solar cooker: Reduction of 30 Mill tonnes of CO2eq

Product Stewardship = Sustainability aspects + life cycle thinking

End of Life (disposal)

Raw materials/suppliers

AlcanProduction

DistributionUse by Alcan’s

customer

Final use(consumer)

Life cycle assements are the key tools in the assessment of a product‘s footprint

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© 2007 ALCAN INC

Aluminium and Climate Change Opportunities

Recyclability

Opportunity: high recycling rates (90%) decrease substantially product footprint, better than competitive materials

Light weight

Opportunity: replacing heavier materials in transport applications

Electrical properties

Opportunity: Increase size of cable to improve energy efficiency

Barrier function

Opportunity: More packaging of food to decrease food spoilage

Brightness, reflectivity

Opportunity: new product for renewable energy generation

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© 2007 ALCAN INC

1 Tonneof

aluminium

20 Tonnesof C02e

Emissions

1 Tonneof

aluminium48-80 Tonnes

of C02eEmissions

Cooperation with customers in aerosapce

Sustainable Trains

Cars for today and tomorrow

Serving our Customers in a Carbon-constrained World

-15 -Tonnes

due to new aluminum alloys &

techniques

300,000 Tonnes of

CO2e emissions

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© 2007 ALCAN INC

The Solar Cooker a win-win Product

1 Tonneof

aluminium 2000 - 3000 Tonnesof C02e

Emissions

Poverty alleviation by reducing costs of fuel and by generating income.

Avoidance of deforestation and its environmental consequences

Avoidance of respiratory diseases and eye diseases caused by cooking with firewood inside the house

Avoidance of infectious diseases by providing the possibility to sterilize water at no cost with Solar Cookers.

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© 2007 ALCAN INC

Committed to Mitigating Global Warming

Energy efficiency

Technology advancements

Product design and development

A common goal

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© 2007 ALCAN INC

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