BASF presents roadmap to climate neutrality

BASF is setting itself even more ambitious goals on its journey to climate neutrality and wants to achieve net zero emissions by 20501. Based on the most recent progress in developing low- emission and CO - free 2 technologies, the company is also significantly raising its medium- term 2030 target for reductions in greenhouse gas emissions: BASF now wants to reduce its greenhouse gas emissions worldwide by 25 percent compared with 2018 – and to achieve this despite targeted growth and the construction of a large Verbund site in South China. Excluding the effects of the planned growth, this means cutting CO emissions in half in the current business by the end of this

2 decade. Overall, BASF plans to invest up to € 1 billion by 2025 to reach its new climate target and a further € 2 billion to € 3 billion by 2030.

In 2018, BASF Group's worldwide emissions amounted to 21.9 million metric tons of CO equivalents. In 1990, this

2 figure was roughly twice as high. The new 2030 emissions goal represents a reduction of approximately 60 percent compared to 1990 levels, which exceeds the European Union's target of minus 55 percent. “The new climate goals underscore our determination and BASF's commitment to the Paris Climate Agreement. Climate change is the greatest challenge of the 21st century. In response, we must adapt our processes and our product portfolio. We need to accelerate this transformation now. We must first concentrate on the initial steps of this journey, not the final ones. That is why BASF will increase its use of renewable energies. And we will accelerate the development and deployment of new CO - free processes for the production of chemicals. With transparency and offerings to systematically and

2 incrementally reduce the carbon footprint of BASF products throughout the entire value chain, we help our customers in all industries to reduce the carbon footprint of their own products,” said Dr. Martin Brudermüller, Chairman of the Board of Executive Directors of BASF SE.

At the heart of the long- term transition toward net zero CO emissions by 2050 is the use of new technologies,

2 which will replace fossil fuels such as natural gas with electricity from renewable sources.

In addition to the planned investments in renewable energies, BASF is pursuing a number of specific flagship projects such as the world's first electrically heated steam cracker, methane pyrolysis technology for the CO - free

2 production of hydrogen from natural gas, PEM ( proton exchange membrane) water electrolysis system for CO - free

2 production of hydrogen from water and electricity, and one of the largest carbon capture and storage ( CCS) projects under the North Sea.

Based on Scope 1 and Scope 2 emissions of the BASF Group; other greenhouse gases are converted into CO equivalents according to the Greenhouse Gas Protocol çevrilmiştir