Marubeni Corporation (Green Bond 2021)
Type of Engagement: Annual Review
Date: June 24, 2022
Engagement Team:
Kosuke Kanematsu, kosuke.kanematsu@sustainalytics.com, (+81) 3 4571 2277
Marie Toyama, marie.toyama@sustainalytics.com, (+81) 3 4510 7394

Introduction
In September 2021, Marubeni Corporation (“Marubeni”) issued a green bond aimed at financing expenditures
related to Renewable Energy, Environmentally Sustainable Management of Living Natural Resources and Land
Use, Sustainable Water and Wastewater Management, and Pollution Prevention and Control (USD 500 million
5-Year Green Bond, hereinafter the “2021 Green Bond”). As of March 31, 2022, the proceeds have been
allocated to projects in each of the four Eligible Categories. In June 2022, Marubeni engaged Sustainalytics
to review the projects funded through the 2021 Green Bond and assess whether the projects met the Use ofProceeds criteria and the Reporting commitments outlined in the Marubeni Corporation’s Green Bond
Framework (the “Framework”).1

Evaluation Criteria
Sustainalytics evaluated the projects funded with proceeds from September 2021 to March 2022 based onwhether the projects:
1.
2.

Met the Use of Proceeds and Eligibility Criteria outlined in the Framework; andReported on the impact indicators for each Use of Proceeds criteria outlined in the Framework.

Table 1 lists the Eligibility Criteria and associated impact indicators for the Use of Proceeds category towhich the proceeds were allocated.
Table 1: Use of Proceeds, Eligibility Criteria, and associated impact indicators
Use of Proceeds

Eligibility Criteria

Impact indicators

Renewable
EnergyRenewable Energy
Investment in or expenditures related to development,
construction, management, and/or operation &maintenance from renewable energy with directemissions of less than 100g-CO2 / kWh including:• Power generation
capacity (MW)

EnvironmentallySustainable
Management ofLiving Natural
Resources andLand Use•

Solar energy•

Wind energy•

Geothermal energy•

Biomass energy (runs exclusively on woodpellets produced from externally certified woodand chip)•Small scale hydro energy (Maximum of 25 MW
in installed capacity)

Externally certified afforestation
Investment in or expenditures related to tree planting,management, operation & maintenance, research &development from FSC/PEFC certified afforestation

1 Marubeni Corporation’s Green Bond Framework is available at the following link:

https://marubeni.disclosure.site/en/sustainability/pdf/greenbond/greenbond_framework_en.pdf© Sustainalytics 2022

• Environmental impact
such as the achieved
reduction in CO2emissions (t-CO2)• Planting area (ha)Annual Review

Marubeni Corporation
Sustainable
Water andWastewater
Management

Pollution
Prevention andControl

Water supply and sewage
Investment in or expenditures related to development,
construction, management, and/or operation &maintenance from water supply and sewage businessincluding:•Water Supply-Related Facilities•

Sewerage Management-Related Facilities•Facility/Equipment•PipesMagnesium refining
Investment to or expenditures related to research &development and capital investment from magnesium
refining business• Water management
capacity• Magnesium smelting
capacity (t)Issuing Entity’s Responsibility
Marubeni is responsible for providing accurate information and documentation relating to the details of theprojects that have been funded, including description of projects, amounts allocated, and project impact.

Independence and Quality Control
Sustainalytics, a leading provider of ESG and corporate governance research and ratings to investors,
conducted the verification of Marubeni’s 2021 Green Bond Use of Proceeds. The work undertaken as part ofthis engagement included collection of documentation from Marubeni employees and review of
documentation to confirm the conformance with the Framework.
Sustainalytics has relied on the information and the facts presented by Marubeni with respect to the projects
in the Eligible Categories. Sustainalytics is not responsible nor shall it be held liable if any of the opinions,findings, or conclusions it has set forth herein are not correct due to incorrect or incomplete data provided byMarubeni.
Sustainalytics made all efforts to ensure the highest quality and rigor during its assessment process andenlisted its Sustainability Bonds Review Committee to provide oversight over the assessment of the review.

Conclusion
Based on the limited assurance procedures conducted, 2 nothing has come to Sustainalytics’ attention thatcauses us to believe that, in all material respects, the reviewed bond projects, funded through proceeds ofMarubeni’s 2021 Green Bond, are not in conformance with the Use of Proceeds and Reporting Criteria outlinedin the Framework. Marubeni has disclosed to Sustainalytics that the proceeds of the 2021 Green Bonds werefully allocated as of March 31, 2022.

2 Sustainalytics limited assurance process includes reviewing the documentation relating to the details of the projects that have been funded, including

description of projects, and project impact, which were provided by the Issuer. The Issuer is responsible for providing accurate information. Sustainalytics
has not conducted on-site visits to projects.
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Marubeni Corporation
Detailed Findings
Table 2: Detailed Findings
Evaluation
Criteria

Procedure Performed

Factual Findings

Use ofProceeds
Criteria

Verification of the projects funded by the2021 Green Bond from September 2021 toMarch 2022 to determine if projects alignedwith the Use of Proceeds Criteria outlined inthe Framework and above in Table 1.

All projects reviewed
complied with the Useof Proceeds criteria.

ReportingCriteria

Verification of the projects funded by the2021 Green Bond from September 2021 toMarch 2022 to determine if the impact ofprojects were reported in line with theimpact indicators outlined in the Framework
and above in Table 1.

All projects reviewed
reported on impactindicators per Use ofProceeds criteria.

Error orExceptions
Identified
NoneNone3

Annual ReviewMarubeni Corporation

Appendix
Appendix 1: Allocation of Green Bond Proceeds
Net Bond
Proceeds
Allocation(USD-mn)

Use of Proceeds

Renewable Energy

228.8

Environmentally Sustainable Management of Living
Natural Resources and Land Use

173.9

Sustainable Water and Wastewater Management

84.7

Pollution Prevention and Control

12.7

Total Net Bond Proceeds Allocated:

500

Total Net Bond Proceeds Unallocated:

0Total Net Bond Proceeds from Green Bond issuance:

500

Appendix 2: List of impact indicators
Use of Proceeds

3Impact indicators3

Renewable Energy• Power generation capacity: 572.8 MW• CO2 reduction amount: 689,562.7 t

Environmentally Sustainable
Management of Living NaturalResources and Land Use• Planting area：88.0 thousand ha

Sustainable Water andWastewater Management• Water management capacity: 109,637,929 m3

Pollution Prevention and Control• Magnesium smelting capacity: 16,700 t• CO2 emission intensity: 2.5 t/Mg t

Impact Reporting by Marubeni is available at: https://marubeni.disclosure.site/en/sustainability/pdf/greenbond/greenbond_reporting_en.pdf
4Annual ReviewMarubeni CorporationDisclaimer
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Marubeni Corporation

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