Sustainable distribution

In 2012, product distribution involved the handling of some 1.8 million tonnes of cement for transport to the domestic and export markets. Our influence
on export transport is chiefly limited to the choice of ship as the medium of carriage, and this part of the transport may therefore be designated an indirect
environmental impact.

However, in our domestic market we have better possibilities for exercising influence on the environmental impacts of transport in the form of exhaust
emissions, road wear, etc. We therefore also have a responsibility for ensuring that our distribution takes place in a sustainable manner. In 2012, 72% of our cement was distributed by ship and 28% by road tanker or lorry.

All cement manufacture takes place in Aalborg, from which the bulk of production is transported by ship to our eight Danish storage terminals strategically positioned nationwide. Onward transport to the customer is by road. Sustainable distribution The average distance from terminal to customer is just 65 km, which means we avoid long-haul transport by heavy road tankers.

This strategy continued in 2011 with the establishment of a storage facility in Aabenraa for white cement destined for export to the European market.

This facility takes 2 x 270 km of tanker transport off the motorways of Jutland as the cement is now carried to Aabenraa by ship, a more sustainable mode
of transport.

Some road haulage is contracted out to third parties. Customers in Northern Jutland are supplied direct from Aalborg. Distribution of all bagged cement
also takes place from Aalborg.

Aalborg Portland’s focus on use of alternative fuel represents an indirect CO2 benefit as this fuel is locally sourced and therefore travels a much shorter
distance than coal, petcoke and oil.