Grupo Argos Foundation. Report

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1 2017 Grupo Argos Foundation Report

2 Thanks to the Conservamos la Vida program, the Andean bear can move freely through a corridor of more than 11,000 square kilometers. Julie Larsen.

3 We Promote Environmental Conservation Context The Grupo Argos Foundation is a part of the sustainability strategy and policy of Grupo Argos. The work of the Foundation focuses on environmental conservation that includes preservation, restoration, sustainable use, sustainable practices of communities and the protection of biodiversity. In this way, it contributes globally to the achievement of sustainable development goals and climate change goals through the following lines of intervention: Biodiversity It develops projects in the company of communities that seek the protection of focal species, that is, species that due to their characteristics, required area and the connectivity of their habitat are key for the planning and management of conservation. Water It technically and financially contributes in the creation and management of partnerships and long-term financial mechanisms for the conservation of water basins that supply population centers. Through these mechanisms, the conservation of biodiversity and the supply of drinking water are sought. Social Inclusion It generates social inclusion and environmental education projects that allow the generation of awareness about the care of the environment and the strengthening of productive organizations that are committed to the protection of water and biodiversity through the implementation of sustainable productive practices.. 3

4 Alliance with Cuenca Verde for the preservation of the water basins that supply the Aburrá Valley. Belmira (Antioquia). Santiago Vergara.

5 Our Management Model The intervention model of the Foundation is based on giving a business perspective to the protection of biodiversity, seeking the articulation of compensation actors and resources and volunteers towards environmental conservation. This model is projected as the most powerful vehicle to generate impact, being efficient in the allocation of resources and ensuring the sustainability of interventions. Articulation Environmental Compensations Voluntary Actions Efficiency Environmental Conservation Impact Public Resources Private Resources and Cooperation Sustainability 5

6 Our Achievements in Figures Social and environmental investment 7,267 million pesos Planted trees 363,371 Capture of 943,710 TONS/CO 2 EQ Protected basins 2,500 hectares Replenish 15 million liters per planted hectare E.I Environmental education 136 Educational facilities 40,000 students Fauna protection corridors 11,000 KM 2 Andean bear protection Protected areas alliance 2 million hectares MOBILIZATION OF RESOURCES With our management and alliances model, in 2017 we achieved to unite third-party resources of 10,000 million pesos for the development of environmental conservation and social management programs. 78% Alliances 22% GAF 6 Grupo Argos Grupo Argos Foundation Report 2017

7 Outstanding Programs Biodiversity Conservamos la vida: Protects the Andean bear Stage: diagnosis and agreement Prioritized nuclei: Dagua, Munchique and el Aguila Families with potential conflict with the bear: 397 surveyed Habitat loss by: agricultural expansion, deforestation, hunting Total area and project intervention 11,000 km 2 Total area and project intervention: 8 educational institutions intervened Allies: Grupo Argos Foundation, Colombia National Natural Parks, WCS, CVC, Argos, Celsia and the Smurfit Kappa Foundation. Environmental education program in areas of influence of the bear corridor. 7

8 OUTSTANDING PROGRAMS Alliance for the conservation of biodiversity, territory and culture. Rodrigo Duran Bahamon. Alliance for the conservation of biodiversity, territory and culture Stage: Agreement and statement of protected areas in Colombia. Areas: 8 new areas, located in 7 regions of the country, which are part of the 25 priority terrestrial ecoregions of greatest biological diversity in the world. Declared in 2017: The Cabo Manglares Bajo Mira y Frontera Integrated Management District, which has 190 thousand hectares. Goal: 2 million hectares of strategic ecosystem protection for the country. Allies: Grupo Argos Foundation, Colombia National Natural Parks, WWF, WCS and the Mario Santo Domingo Foundation. 8 Grupo Argos Grupo Argos Foundation Report 2017

9 Reforestation and Forest Restoration Plantings: 363,371 native tree species Capture Potential: 943,710 tons/co 2 eq C0 2 tons Purpose: Plantings were carried out in different areas of the country, in order to protect biodiversity and water resources. Native species produce countless environmental services, which allow populations to be benefited and have water regulation, food, shade, purer air and an associated biodiversity that contributes to our natural heritage. Andean bear habitat. Conservamos la vida project. Diana Cuevas

10 OUTSTANDING PROGRAMS Biodiversity Corridors (Sucre and Cordoba) Purpose: Fauna inventory in forest plantations, in order to carry out an adequate biodiversity management and protection. Area: San Onofre (Sucre) and Puerto Libertador (Cordoba) Identified Species: Puerto Libertador: 30 wild bird species, 18 amphibian species, 13 reptile species and 16 mammals species, highlighting the high abundance of the Caribbean Guacharaca (Ortalis garrulla), which is an endemic specie of Colombia. In the San Onofre area 07 wild bird species, 24 amphibian species, 34 mammal species and 14 reptile species were recorded. In this area, a tree frog specie was found that was not registered for the area. Allies: Grupo Argos Foundation, Tekia and CES. Emerald-eyed tree frog found in Sucre. Esteban Alzate 10 Grupo Argos Grupo Argos Foundation Report 2017

11 The Euphonia laniirostris is one of the birds that lives in the biodiversity corridors that we preserve in Sucre and Bolívar. Sergio Chaparro 11

12 OUTSTANDING PROGRAMS Water care is one of the priority initiatives that we execute in more than 2,500 water basin hectares in the country. Belmira (Antioquia) Santiago Vergara.

13 Agua Cuenca Verde: The Medellin Water Fund. Purpose: The Foundation is a partner of Cuenca Verde, through this fund the main basins that supply Medellin and the Aburrá Valley with 90% of the water they consume are protected. Impacted hectares: hectares that supply the basin, an average of 15 million liters of water per planted hectare. Planted trees: more than 27,000 native species in riverside zones for the protection of the water resource. Alliance: Cuenca Verde is a corporation in which public and private partners participate, motivated by the conservation of water sources, such as: Grupo Argos, Empresas Públicas de Medellín, Cornare, Grupo Nutresa, Postobón and the Metropolitan Area, among others. 13

14 OUTSTANDING PROGRAMS Cartagena Water Fund Purpose: The foundation supported the creation of the Water Fund as one of the solutions to channel the required actions of green infrastructure to ensure the quantity and quality of the water resources of the Cartagena supply basins. Priority populations: In Bolívar, Rocha, Puerto Badel and Correa. In Córdoba, San Onofre. Work lines: Sustainable productive systems, restoration and conservation of ecosystems, water governance, basic sanitation and education for sustainable development. The conservation work with fishermen associations allows the care of the quality of water in the Dique Canal. (Bolivar) Santiago Ramirez.

15 Actions taken: Mangrove plant nursery with 20,000 seedlings in which 60 families, environmental education workshops with the community and fishermen associations participate for the sustainable use of the mangrove and the associated biodiversity. Allies: Grupo Argos Foundation, the Dique Canal Promoter Foundation, the Cartagena City Hall, Cardique, The Nature Conservancy, the Cartagena Chamber of Commerce and Aguas de Cartagena, among others.

16 OUTSTANDING PROGRAMS Alliance for water in the Montes de María Purpose: The Foundation is part of the great alliance for water in the Montes de María, together with the Semana Foundation and Patrimonio Natural, which aims to generate drinking water alternatives for the population and the care and protection of water resources. Actions taken: Together with the communities and the Crecer en Paz Foundation, we achieved the planting of 69,000 tropical dry forest native species o contribute to the protection of artificial and natural water sources through the implementation of forest cover. Start of the diagnosis to know the drinking water situation of 50 educational institutions, 10 rural aqueducts and 5 irrigation systems and the vegetal coverage of the prioritized water sources. We achieved the planting of 69,000 tropical dry forest native species 16 Grupo Argos Grupo Argos Foundation Report 2017

17 Green Race (Carrera Verde, in Spanish) Purpose: This year we participated with the Natura Foundation as promoters of the Green Race in Bogotá and Medellín, achieving to generate awareness about the protection of forests. Participants: 8,000 runners Tree planting: 24,000 native tree species in Antioquia, Cundinamarca and Santander that contribute to the capture of 5,750 tons CO 2 in the next 15 years. The trees that are planted thanks to the Green Race are able to capture 5,750 tons of CO

18 OUTSTANDING PROGRAMS Social Inclusion Verde Vivo: social inclusion Social Inclusion: Since 2016 the Grupo Argos Foundation, in alliance with the Celsia Foundation and other organizations, has been developing the Verde Vivo program, which seeks to generate installed capacities in educational institutions and in the territory for the sustainability of an environmental culture. Intervention: 136 educational centers that benefit 40,000 students. Verde Vivo environmental educational program in the Andean bear corridor. 18 Grupo Argos Grupo Argos Foundation Report 2017

19 Foundation Crecer en Paz Purpose: In 2015 the Grupo Argos Foundation, as a commitment to the post-conflict in Montes de María, donated to the Crecer en Paz Foundation 6,600 hectares of land and 1,100 hectares of teak forest plantation established in the municipalities of Carmen de Bolívar and Ovejas for the development of productive sustainable projects with the communities. Activities developed: Four reservoirs with a total capacity of 300,000 m 3 of water were expanded and constructed, which ensures the availability of water for high-tech crops. The establishment of 30 hectares of fertirrigation by drip and spray with the highest technology and the production of plant material for the establishment of 10 hectares of Lorraine avocado, 10 hectares of sweet potato and 10 of export yam was initiated. The sustainability activities of the 600 hectares of teak plantation were carried out and the sanitary thinning of several lots of the 2010 plantation was started. Continued with the technical assistance for beekeepers grouped in community apiaries. 19

20 OUTSTANDING PROGRAMS Forestry Development Purpose: The Foundation, through Tekia, a forestry sector company, achieved the development of the Leading Sustainable Productive Units program ( Liderando unidades productivas sostenibles ) in the municipality of San Onofre and Puerto Libertador (Cordoba), which aimed for the support of the region's farmers in the transfer of technology oriented to teak forest plantation silviculture as an efficient and effective tool to promote sustainable development and the promotion of the forestry sector in the area. Beneficiaries: 55 forest producers which to date have 196 hectares (ha) of teak and are located in 9 communities, in the municipalities of San Onofre and Puerto Libertador, Córdoba. Sustainable Business Cooperation Network Strategy - RED CES (acronym in Spanish for Red de Cooperación Empresarial Sostenible) Purpose: The Foundation has joined as an accompanying entity to unite technical, social, environmental and financial efforts for the structuring of an integral network that allows the articulation of the stakeholders of the public and private sectors, the NGOs and the communities of the Caribbean coast territory, in order to achieve sustainable, innovative communities that promote regional growth and development. Beneficiaries: Red-CES is initially implemented in the municipalities of Santiago de Tolú, Toluviejo and San Onofre, in the department of Sucre; Puerto Libertador, in Córdoba; Luruaco, Puerto Colombia and Barranquilla in Atlántico, and Arroyohondo in Bolívar.

21 Plantation forest in San Onofre 21

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