Water is vital to human well-being, the conservation of natural ecosystems and biodiversity, and to Bracell’s operations. We are committed to preserving water resources by protecting springs and riparian vegetation in our areas of operation. Looking ahead, we have set a target to reduce water consumption per metric ton of product by 47% by 2030. This commitment underscores the importance we attach to water stewardship in our operations.

Our water stewardship practices are aimed at minimizing water use in pulp manufacturing, preserving water resources and watersheds, improving operational water efficiency, mitigating water availability risks and impacts, and optimizing effluent management practices.

We monitor and control water withdrawal, discharge, and consumption across both our mill and forestry operations. Our Integrated Management System comprises corporate policies, standard operating procedures, and risk, aspect and impact matrixes. These policies and procedures comply with the requirements of ISO 14001, ISO 9001, Forestry Certification Endorsement Program (PEFC) certification requirements, applicable Brazilian legislation, regulatory standards and international sustainability management protocols.

The Environmental and Certification teams in our forestry and mill operations manage our Integrated Management System. These teams report annually to senior management on continuous improvement in environmental performance and certification compliance.

As part of Bracell 2030, our sustainability roadmap, we have set a target for improving water efficiency in our mill processes. By 2030, we aim to achieve a 47% reduction in water intensity per metric ton of pulp produced, reaching 16.6 m³/adt. In 2025, our water intensity stood at 19.9 m³/adt, in line with our 18.5 m³/adt target for the year.

In our forestry operations, eucalyptus planting is informed by a climate zoning study conducted by our Forest R&D team. This study analyzes historical climate data such as precipitation, temperature, and latitude. Based on collected data, land with greater water availability may be recommended (read more about our management approach in Climate Action).

We are actively engaged in reducing the use of chemicals and inorganic fertilizers in our forestry operations, which can contaminate soil and water resources. In line with international conventions, including the Stockholm and Rotterdam Conventions, we are phasing out sulfluramid and exploring safer alternatives for managing leaf-cutting ants. Our teams participate in collaborative research programs and conduct in-house testing to identify safer substitutes.

To further reduce synthetic fertilizer use, Bracell is exploring the application of organomineral fertilizers produced from organic waste generated by our own facilities. A composting plant feasibility study is currently underway. We have also begun producing potassium sulfate at our Lençóis Paulista (SP) mill from an effluent stream in the pulp production process, reducing reliance on imported potassium chloride.

List of chemicals used

Category	Active ingredient
Fungicide	Azoxystrobin + Difenoconazole
Fungicide	Mancozeb + Azoxystrobin
Fungicide	Metconazole
Fungicide	Pyraclostrobin
Fungicide	Tebuconazole + Trifloxystrobin
Herbicide	Flumioxazin
Herbicide	Fluroxypyr + Triclopyr
Herbicide	Glyphosate
Herbicide	Haloxyfop
Herbicide	Haloxyfop + Clethodim
Herbicide	Indaziflam
Herbicide	Isoxaflutole
Herbicide	Oxyfluorfen
Herbicide	Saflufenacil
Herbicide	Sulfentrazone
Herbicide	Triclopyr
Insecticide	Acetamiprid + Bifenthrin
Insecticide	Alpha-cypermethrin
Insecticide	Bifenthrin
Insecticide	Deltamethrin
Insecticide	Fipronil
Insecticide	Imidacloprid
Insecticide	Isocycloseram
Insecticide	Sulfluramid
Insecticide	Thiamethoxam

Water withdrawal management

At our mill in the Camaçari Industrial Park (Bahia), water is withdrawn from 11 groundwater wells located near the plant within the Recôncavo Norte Watershed. These withdrawals are made under a permit from the Bahia State Environmental Agency (Inema). We also withdraw groundwater at our Bracell Papéis plant in the Northeast, in Feira de Santana (BA), via 14 deep cased wells operating under a permit issued by Inema. The wells are continuously monitored for flow rate, water table levels, and hydro accordance with regulations.

At our Lençóis Paulista (SP) site, water is sourced from six deep cased wells and surface water drawn from the Tietê River, at an intake 22 km from the mill. The site also has a system to collect rainwater. We additionally operate groundwater withdrawal systems at two nurseries in São Paulo: one in Lençóis Paulista and another in Avaí.

Our forestry operations, which supply raw material to both the Camaçari and Lençóis Paulista mills, similarly withdraw both surface and groundwater. Across all operations, our water withdrawal points are distributed as follows: 37 in Bahia, 338 in São Paulo, 44 in Minas Gerais, and 2 in Paraná. All withdrawals are made under permits issued by the respective environmental authorities. Withdrawal points are periodically monitored in accordance with license requirements (learn more under GRI 303-3 Water withdrawal).

In Bahia, we withdraw surface water from six major rivers: Pojuca, Subaúma, Itariri, Inhambupe, Sauípe and Imbassaí. In São Paulo, withdrawals are made from 10 designated Water Resource Management Units (UGRHIs): Aguapeí, Peixe, Upper Paranapanema, Middle Paranapanema, Pontal do Paranapanema, Tietê Batalha, Tietê Jacaré, Tietê Sorocaba, Piracicaba/Capivari/Jundiaí, and Mogi-Guaçu. In Minas Gerais, our water sources include Ribeirão da Onça, Ribeirão Jacurutu and its tributaries, Rio do Peixe, Córrego Sobrado, and Rio Jequitaí. In Paraná, water is withdrawn from Ribeirão Jundiaí. In Goiás, water is withdrawn from a tributary of the Rio Corrente.

We evaluate potential impacts on water resources using an impact matrix that accounts for the scale and intensity of forestry activities. Based on this analysis, we implement preventive and mitigation measures as needed. Regular water quality assessments are conducted to evaluate the effects of our forestry operations. As of 2025, the results indicate no adverse impacts. In São Paulo, water withdrawals are managed through a Power BI dashboard that is updated daily with withdrawn volumes. This information supports monitoring and decision-making to ensure responsible natural resource management.

Risk management in connection with water and effluents

Bracell has a corporate department dedicated to Corporate Risk Management and Business Continuity Management. Risk and business continuity management activities use both a preventive and a reactive approach, often concurrently, and are based on methodologies aligned with internationally recognized standards such as ISO 31000, BSI 31100, COSO ERM, ISO 22301 and NFPA 1600.

The risk management framework adopted in 2023 is formalized under our Risk Management and Business Continuity Policy, which has been signed by Bracell’s President and senior leadership. In addition to the policy, risk management activities are governed by a Corporate Risk Management Process procedure and Business Continuity Risk Management Manual, as well as the Bracell Risk Classification Matrix. All documents are available to employees through the Integrated Management System (SIG). Risk management was implemented at Bracell at the initiative of the President, who serves as the project’s primary sponsor and periodically reviews risk management outcomes.

The Bracell Risk Classification Matrix is the main related policy document. Identified risks are classified based on two parameters: likelihood of occurrence and potential consequence. This matrix defines the criteria that determine each level of likelihood and consequence. 

Given that risks may materialize across multiple dimensions, risk assessments consider impacts related to personal health and safety, the environment, social impact and communities, crews, industrial operations and business, forestry operations and business, legal and compliance matters, financial performance, and reputation.

Regarding water resources, the criteria for determining environmental consequence levels include improper water withdrawals, effluent discharge in non-compliance with applicable legislation, and contamination of water sources.

Water Resources Monitoring Program

Our Water Resource Monitoring Plan tracks withdrawal volumes to ensure compliance with permit requirements and licensing covenants issued by environmental authorities.

Water management in the Camaçari Industrial Park is overseen by an independent firm that monitors both water availability and quality. The district’s Water Resources Management Plan includes risk assessments and action plans for 100% of tenants (read more about effluent management under GRI 303-4 Water discharge).

Bracell protects natural watercourses with vegetated buffer zones. We use official data from the Rural Environmental Register (CAR) to georeference information about the farms we manage. In our geographic information system, we intersect this data with other data sets, such as those compiled in our protected areas and buffer zones. This informs our operational procedures on each property, depending on the constraints and conditions set in management plans (read more in Sustainable Landscapes and Biodiversity).

Consumption management

Our facilities use partially closed-loop water systems that support water recycling throughout the production process, minimizing freshwater withdrawals.

At our new Tissue facility in Lençóis Paulista (SP), water used in manufacturing is extracted directly from the pulp, purified within the process, and then reused. This reduces water intake and enhances overall water efficiency.

At Bracell Papéis Nordeste, in Feira de Santana (BA), wastewater is recovered after treatment and returned to the process, further reducing fresh water consumption. This facility is designed as a fully closed loop, with 100% of process water recycled (read more about the sustainability attributes of our operations under GRI 2-6 About Bracell).

In our nurseries, water is primarily used for seedling irrigation. Excess irrigation water is directed to drainage systems, infiltrating the soil in the eucalyptus stands. In our forestry operations, water serves various purposes, including seedling watering, preparation of chemical treatment mixtures, firefighting, dust suppression and maintenance of service roads, and equipment cleaning.

In Bahia, Bracell collaborates with public agencies and local communities to help ensure water availability. Monitoring is conducted by an independent firm based in the Camaçari industrial park, which identifies potential risks and implements corrective action (see GRI 303-2 Management of water discharge-related impacts for additional information).

To ensure responsible and compliant water consumption, we conduct regular environmental monitoring across our forestry and mill sites in São Paulo and Bahia. This monitoring is performed by laboratories accredited under NBR ISO/IEC 17025 and includes assessments of both groundwater and surface water quality, as well as potability testing for human consumption, ensuring compliance with applicable regulations.

Reducing natural gas and water consumption

In 2025, we completed an upgrade of the cooking system for one of the pulp production lines at our mill in Camaçari, Bahia. The new cooking process requires less steam and, consequently, less water, and also enables the recovery of 100% of the seal water.In addition, improvements implemented at the mill have increased the reuse of wastewater through recirculation. Together, these initiatives resulted in improved water performance starting in the second half of the year, following the mill’s annual planned shutdown.

We also implemented significant improvements in water measurement systems in our Northeast paper operations. More accurate data collection enables more informed operational and investment decisions related to water and effluent management.

Effluent management and discharge

Our pulp production facilities are certified to ISO 14001:2015, which ensures water consumption and discharge points are systematically managed and controlled within an internal environmental management system, including consumption limits and strategies for reuse and reduction.

We are the first company in the pulp industry in São Paulo to implement three-stage effluent treatment.

• Primary treatment: mechanical removal of fibers and inorganic compounds through solid-liquid separation

• Secondary treatment: biological treatment of organic matter using activated sludge systems to significantly reduce organic load

• Tertiary treatment: final polishing of the treated effluent through a chemical flotation system, ensuring it meets appropriate quality standards before it is returned to the Tietê River.

Tertiary effluent treatment supports high-performance removal of organic load—as measured by Biochemical Oxygen Demand (BOD)—at approximately 98% efficiency, far exceeding federal regulatory requirements (Conama Resolution 430/2011). In addition, approximately 92% of water withdrawals are returned to the Tietê River as treated effluent.

Effluent discharge limits are set in accordance with Brazilian environmental laws and standards, including Article 18 of Decree No. 8.468/1976, Article 16 of CONAMA Resolution 430/2011, the state environmental regulator’s (CETESB) Technical Reference Document, Technical Opinion 072/18/IPSE, and international eco-label standards such as Nordic Swan and the EU Ecolabel (see GRI 2-6 About Bracell for further details).

At our mill in the Camaçari Industrial Park (BA), process water is collected post-use and pumped to Bracell’s on-site primary treatment system, which includes a sedimentation step. The organic effluent is then sent to the local utility, which performs secondary biological treatment (activated sludge), ensuring more than 95% removal of organic load. The treated effluent is then discharged into the Atlantic Ocean through a submarine outfall, in compliance with CONAMA Resolution 430/2011 and the guidelines of the Bahia state environmental authority (INEMA).

We consistently maintain quality standards that surpass national regulatory requirements, with especially rigorous monitoring of parameters like BOD and Chemical Oxygen Demand (COD).

At our operations in São Paulo, BOD levels are approximately 98% above the threshold required by federal regulations (Conama Resolution No. 430/2011), reflecting the efficiency of our exclusive tertiary treatment system.

In our Bahia operations, regular COD monitoring ensures the primary treatment system is performing optimally. The secondary treatment stage effectively reduces organic load, though due to mixing with effluents from other industrial operators within the complex, it is not possible to measure Bracell’s isolated contribution to the final effluent discharged offshore.

In November 2025, we implemented a new washing system at our Bahia pulp mill. This upgrade is expected to positively impact effluent COD levels, with results anticipated from 2026 onward.

River Basin Committees

We are active members of watershed committees in the regions where we operate, where we discuss ways to use water resources more sustainably. We are members of the following committees and programs:

• Recôncavo Norte and Inhambupe Watershed Committee (CBH RNI), in Alagoinhas, Bahia;
• Paranapanema Watershed Committee (CGBH-RL), in Lençóis (BA);
• Watershed Monitoring and Modeling Program (Promab), led by the Institute of Forestry Research and Studies (IPEF), in the states of São Paulo (Piracicaba) and Bahia (Eunápolis), with 30 years of monitoring experience.

We also implement initiatives in partnership with stakeholders, especially local communities and suppliers, to preserve and restore headwater areas and improve water resource efficiency.