• Acquiring
  grade B in our first participation in the global ESG project CDP achieving the top
  5 to10% among 340 participating companies in Korea

• Implementing
  business innovation for '2040 Net Zero Carbon Emissions' & '2030 Net Zero Plastic';
  promote business innovation in connection with ESG goals

SKC
announced on January 26 that it received the Special Award for Carbon
Management at the 2021 CDP Korea Awards hosted by Carbon Disclosure Project’s (CDP)
Korea Committee. SKC, which participated in the CDP _ eval_uation for the first
time last year, received a grade B in climate change and water security in
recognition of our carbon management efforts.

CDP is a global non-profit organization _ base_d
in the UK, entailing a global project to _ create_ a sustainable social
foundation. It analyzes management information related to the environment, such
as climate change and water & forest resources, of major listed companies
worldwide and issues an annual report. The report is used as a major ESG
indicator for investment decisions by global financial institutions.

SKC participated in the CDP assessment for
the first time last year and received a grade B in climate change and water security.
The grade is higher than the global average, while among 340 Korean
participating companies, SKC has attained the top 10% in the climate change area
and the top 5% in the water security area. In recognition of our company’s
efforts, SKC was awarded the Special Award for Carbon Management. This year,
only three new participants, including SKC, received the Special Award for
Carbon Management.

SKC
has voluntarily participated in the Carbon Neutrality Target Management System
since 2012 to proactively respond to climate change. Last year, the company
established the targets of net-zero GHG emissions in 2040 and net-zero plastics
in 2030 and _ link_ed its business model innovation with the carbon neutrality
target.

SKC,
which acquired the copper foil business for electric vehicle batteries in
January 2020, decided to increase the production capacity to 250,000 tons, the
world's largest, by 2025 through active investment. We started the silicon
anode material business to improve electric vehicle mileage efficiency and
battery charging speed, and developed and commercialized the high-performance,
low-power semiconductor glass substrate for the first time in the world. We are
also expanding the business of biodegradable materials that reduce the use of
plastics, such as PBAT and biodegradable LIMEX.

In
November 2020, we became the first Korean company to join RE(Renewable Energy)
100 to promote
the use of renewable energy. SK Nexilis, SKC's subsidiary that invests in the
copper foil business, plans to fully implement RE100 by using only 100%
renewable energy at its Malaysian copper foil plant, which began construction
in July last year, and Polish copper foil plant, which will begin construction
this year.

An SKC spokesperson stated, “Our efforts for
carbon management have been well-recognized and acclaimed through obtaining a
BB rating, an improvement from last year in MSCI’s ESG ratings assessment. Going
forward, we will continue pursuing ESG management to achieve sustainable growth
by reducing GHG emissions and waste plastics.” [End]