ESG Report 2018

WASTE TREATMENT The Group has strict monitoring and control on the wastes generated during the production process . Apart from complying with the national laws and regulations , Inner Mongolia Company also formulates emergency plans and management measures for different types of wastes . The wastes generated by Inner Mongolia Company could be classified into two types , non - hazardous wastes and hazardous wastes . The non - hazardous wastes include waste diatomite , sludge and glass generated by Inner Mongolia Company during production , as well as the general garbage generated in daily operation. Inner Mongolia Company considers recyclable wastes as resources , and collects and delivers them to the qualified units for reuse , so as to minimize the amount of wastes disposed . For example , waste diatomite and sludge could be used for producing organic fertilizer and waste glass is used for recycling . Inner Mongolia Company has formulated stricter treatment procedures to handle hazardous wastes, including hyphae slag, waste activated carbon, waste enzyme, concentrated solution of phenylacetic acid, used mineral oil and concentrated liquid in Mechanical Vapor Recompression (MVR). In order to reduce the amount of wastes discarded, Inner Mongolia Company reuses the recyclable hazardous wastes, such as concentrated phenylacetic acid, for production. During the Year, Inner Mongolia Company has recycled all concentrated phenylacetic acid after undergoing several tests. For the hazardous wastes that could not be recycled, such as waste activated carbon, waste enzyme, and concentrated liquid in MVR, treatment for turning them into harmless wastes was made through the boiler comprehensive treatment system of Inner Mongolia Company. The used mineral oil, which was sealed in barrels to ensure no leakage occurred, was transferred to the unit qualified for hazardous waste treatment for subsequent treatment. The fermented fungi residue was delivered to the qualified unit to produce organic fertilizers. Indicators 2018 2017 Total non-hazardous waste (tons) 43,625 67,042 Total hazardous waste (tons) 251,991 250,023 Total non-hazardous waste per ton of products (tons) 1.10 1.91 Total hazardous waste per ton of products (tons) 6.35 7.12 NO X SO X PM 11 Environmental, Social and Governance Report 2018 The United Laboratories International Holdings Limited

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