October 31, 2024

Regarding your inquiry, we would like to respond as follows.
Due to confidentiality obligations, we cannot respond to questions regarding individual transactions.

Mizuho acknowledges that it is absolutely essential to make a phased transition from demand of oil and gas to reach net-zero emissions by 2050, while also emphasizing an orderly transition, based on our recognition that it is important to reconcile its efforts to decarbonization with a stable energy supply and the economics & stability of energy prices. Amid this context, Mizuho examined the policy once again in light of the current international agreements, energy supply and demand, and national policies, etc. Given the importance of stable energy supply, Mizuho decided not to introduce the across the board prohibition clause for new financing and investment for oil and gas extraction projects. When making new financing and investment for oil and gas extraction projects, Mizuho verifies the environmental and social impacts, including the sufficiency of greenhouse gas emission reduction measures, alignment with national policies for stable energy supply and decarbonization, and the clients' transition strategy/status of measures for the transition, before making a decision on the transaction.

In October 2024, Mizuho revised its medium-term targets for financed emission through investment and financing in the oil and gas sector, and added Scope 1 and 2 emissions from companies and projects primarily engaged in gas liquefaction and oil refining to the target.

In addition, Mizuho applies the “Equator Principles” when participating in projects that involve large-scale development or construction. Mizuho has established and is implementing the “Environmental and Social Management Policy for Financing and Investment Activity” for investment and financing in companies and projects that are expected to have a negative impact on the environment and society...