1. South Pole is a company that develops climate projects to help organizations reduce their climate impact through activities like feed additives that reduce methane emissions from livestock. 2. They provide support for the entire project lifecycle from concept to implementation and operation. They have over 1000 employees in 36 offices worldwide with expertise in engineering, consulting, science, project development and finance. 3. One of their agriculture project focuses is establishing projects using feed additives to reduce methane emissions from livestock like cattle. Adding certain ingredients to cattle feed can reduce the amount of methane produced through their digestion and manure.

1. South Pole Australia
Establishing emissions
reduction projects using
feed additives for
methane abatement
Dr Thomas Schröder - Head of Climate Action

2. Who we are
A profit-for-purpose company founded in 2006 that enables corporates, capital markets,
and the public sector to reduce their impact on climate change, while mitigating risk and
creating value on their sustainability journeys.
South Pole Climate Project Development
We provide support along the entire climate project journey
Concept Feasibility analysis Financial closure Implementation Operation
Global impact, Local reach Expensive Client & Partner Network
1000+ employees in 36 offices: engineers, consultants,
scientists, project developers, and finance experts
2

3. South Pole Global Agriculture Projects
Regenerative
Agriculture/ Carbon
Removal Pilot Project
United States
CarboCert Agriculture
Soils Revitalization
Germany, Austria &
Switzerland
Climate Actions in
Paulig’s
Wheat Supply Chain
Europe
Soil Capital Regenerative
Agriculture Project
Belgium & France
Barry Callebaut’s - Dairy
Project Certification
United States
Climate Actions in
Paulig’s Coffee
Supply Chain
Colombia, Nicaragua &
Brazil
UFA - voluntary
CO2 compensation
Switzerland
Kayong Utara Palm Oil
Plantation Project
Indonesia
Mooh - Feed
additives project
Switzerland
Chocolats Halba Cacao
Agroforestry Insetting
Ecuador & Honduras
CPC Beef Cattle Herd
Management Project
Australia
L'Oréal Peatland
Rehabilitation
Insetting Project
Indonesia
Multicountry Biochar
Grouped Project - CPA
1 - LignoCarbon
Switzerland
Nestlé Latin America
tree planting project
Colombia, Honduras &
Nicaragua
CPC Wrotham Park
Fire Management
Project
Australia
Climate Actions in East
West Tea Company
Global
Mainoru Fire
Management Project
Australia
Nestlé Tree Planting
Feasibility Study
Brazil & Mexico
Upper Murray Landcare Network -
Demonstration Carbon Farming
Australia
Mt. Mulgrave Fire
Management Project
Australia
At own risk project Consultancy/at own risk project Consultancy project Consultancy/project development
3

4. Agriculture emissions in Australia
Grazing beef
44%
1. 15% of Australia’s emissions (2019)
Sheep
Dairy
2. 76.5 MtCO2e (down from 86.2 MtCO2e
18%
(2005)
10%
3. Projected to reach 82 million MtCO2e in
Fuel combustion
2030
9%
Fertiliser and lime use
4. Main factor: livestock numbers
7%
5. Enteric fermentation - second largest
source of global emissions from livestock
supply chains - approximately 40% of
total emissions. Cattle emit 77% of all
enteric methane (Gerber et al., 2013).
Crops
5%
Grain-fed beef
3% Animal emissions
Pigs
Non-animal emissions
2%
Other animals
1%
0 10 20 30 40
Emissions (million tonnes) 4
Source: Grattan Institute

5. How can feed additives reduce
emissions?
Methane: potent greenhouse gas released by ruminants. Global
warming potential 28 times higher than carbon dioxide over
100 years
Ruminants release methane by
1. burping from the rumen
2. exhalation
3. hindgut gas
Feed additives can reduce the amount of methane produced
via 2 different modes of action:
●
●
Rumen fermentation modifiers
Enzyme blockers
5

6. Possible co-benefits of
feed ingredients Increased feed
efficiency and
productivity
Besides emission reductions, feed
ingredients can have various co-benefits
for the farmer and the animals,
depending on the applied product. Better animal
health and
fertility
Nutrition
Confidential. Do not distribute.

7. Selection of available technologies
Overview of some available feed additives
ER Potential
(%)
Milk yield
increase (%)
Co-benefits Considerations
●
●
●
Improved feed efficiency
Increased milk fat and protein
Lower ammonia waste indicators
Agolin
Ruminant
● Limited CH4 reduction
potential
Positive: only product with
data available for PD
11-13% 3.5% - 10%
●
(Rumen modifier)
● High dose may present
performance and health
issues in dairy cattle and
result in decreased DMI
and milk yield
● Environmental benefits at the
production stage
FCE benefits
High success in high-fibre diet in
sheep
Seaweed -
asparagopsis
30-90%
(depending on
dosage and
application)
●
●
N/A
(Enzyme blockers) ● Challenge of bromoform
uptake
● High emission reduction potential
Chemical product that needs to
be authorised by government,
hence, safe to use
● Multiple applications per day
needed
Quickly metabolised
No production gain and might
decrease effectiveness
30 - 75% beef
20 - 30%
grazing or dairy
●
3NOP
(Enzyme blockers)
N/A ●
●
7

8. Carbon credits ≡ 1 tonne of CO e being
avoided or removed
from the atmosphere.
2
One (1) carbon credit
Business Opportunity:
Carbon credits flow
With feed ingredients, less
methane is released by cows
CH4 CH4
CH
4
Ruminating cows release about
100kg* of CH 4 per head/year The revenue flows back to the farmers
Finance the project
development,
Carbon compensation
offered through carbon
credits
CH
4
CH4
CH
4
CH4
including the feed
ingredient
CH4
CH4
*IPCC, Flachowsky et al. 2008
The voluntary buyers pay for the carbon credits.
8
Confidential. Do not distribute.

9. Who participates in the projects?
Feed ingredient
producer
South Pole Project partner Livestock owner
For example:
Role: Role: Role: Role:
●
●
Provides academic
proof of ER potential
Delivers GHG-
●
●
●
Assess project
feasibility
Register project
Annual MRV
Trading carbon
credits
● Aggregate livestock
owners as project
participants
Act as project owner
with the carbon
standard
●
●
●
Feeding the additive
to their animals
Emissions reduction
happens here
Reporting and data
requirements, e.g,
dosage
reducing feed ●
additive to the feed
provider/distributor
(e.g. feed mills,
cooperatives)
9
Confidential. Do not distribute.

10. Project Registration Steps
Overview of key steps and documentation for VCS project Registration & Issuance
Key Project Development Steps
Project Design
Document
(PDD)
Project
Validation
VVB*
Project
Registration
Monitoring
Period
Verification Credit Issuance
VVB*
*Validation/Verification Body (VVB):
An organization approved by Verra to
act as a validation/verification body.
Costs of project development vary depending on
scale and scope of the project.
South Pole as a project developer works on a
commission basis
10

11. International methods
Main eligibility criteria of most relevant carbon methods
VM0041 - Reduction of Enteric Methane
Emissions from Ruminants through the
use of feed ingredients
Reducing Methane Emissions from
Enteric Fermentation in Dairy Cows
through Application of Feed Supplements
Methodology
Standard VCS GS
●
●
●
●
Additive approved for animal use
Demonstrated efficacy
●
●
Dairy farms, producing milk for at least three years
Milk yield must not drop below baseline yield at
same or lower energy input
Main Eligibility
Criteria
On-farm consumption must be traced
Additive won’t increase methane in manure ● The project activity is not mandated by law
Crediting
periods 3x7 years or 10 year fixed 3x5 years
●
●
Emissions if livestock operations continue
business as usual practices
● Average activity and emissions over at least 3
continuous years, ending 2 years or less, before
project activities start
Baseline
If there is no data, a control group of animals
can be used as a baseline, while running the
project 11

12. Australian methods
Main eligibility criteria of most relevant carbon methods
Reducing greenhouse gas emissions by
feeding dietary additives to milking
Livestock feed additive working group
Methodology
Standard ERF ERF
● Must be located within Australia ● South Pole is a member of the feed additive
taskforce for developing a new method under the
Clean Energy Regulator
●
●
●
Dairy farm where milking cows are pasture grazed for
at least 9 months each year.
Main Eligibility
Criteria
Fat in diet must be less than 70 grams of fat per
kilogram of dry matter intake in any season.
Very limited set of eligible feed additives
●
●
Australia specific method
Includes farmers, supplement producers, academics,
support bodies and service providers;
●
●
Method which better meets needs of all parties.
Method should be more flexible, practical, include
more feed additives and allow for wider use
For beef and dairy cattle and other ruminants
Crediting
periods
7 years
Baseline Three most recent years before the start of the project ●
12

13. Data requirements for initial assessment
Technical assessment to analyse carbon credits potential. Following information required*:
Project setup
Project setup details including geographical scope (country/ region), animal categories to be
included (cattle, dairy cows, etc.), business as usual (BAU) details before project implementation,
coordination and information exchange possibilities with farmers and envisioned carbon claims
(offsetting vs. value chain valorisation).
Feed ingredient fed
Feed ingredient that will be used for the project, including government approval and peer-
reviewed evidence outlining efficacy in reducing methane (if available to the project partner).
Project implementation
Feeding management plan in the BAU and project scenario, indicating a first estimation of
the energy intake (daily dry matter intake (DMI) and fat content of feed) as well as the
number of animals involved over the first crediting period of seven years (scaling plan).
*Please note that the extent of information needed differs depending on the applied standards and methodologies. The examples in this presentation are taken
13
from the VCS methodology VM0041.
Confidential. Do not distribute.

14. Data requirements for annual reporting
South Pole to do MRV. Verification undertaken by independent auditors. Following
information* required annually:
Energy intake
The main parameter for the calculations of methane emissions from livestock is the energy
consumed through the feed [MJ/ kg]. Therefore, the daily dry matter intake (DMI) and fat
content of feed must be reported (i.e. daily DMI per cow indicated on feeding plans, fat level of
feed either <4% or 4-6% based on relevant regional sources).
Feed ingredient fed
Farmers must document that they have purchased the feed ingredient and maintained the
applicable dosage (e.g. for AGOLIN® 1g / cow and day) by providing relevant documentation (i.e.
receipts from stores or feedmills, signed feed records).
Number of animal days
To estimate how much methane was avoided, it is require to indicate how much livestock
has been fed with the feed ingredient on a daily basis according to animal categories
(i.e. the farmer reports that a herd of 100 Holstein cows was fed with AGOLIN® for one
year, which equals 36.500 days for this animal category).
*Please note that the extent of information needed differs depending on the applied standards and methodologies. The examples in this presentation are taken
14
from the VCS methodology VM0041.
Confidential. Do not distribute.

15. South Pole’s experience in feed additives
Currently developing 3 feed additive projects
Projects under development
Advisory and assessments
15

16. Your Contact
Here to help you along your carbon farming project journey
Dr Thomas Schroder
Head of Climate Action
t.schroder@southpole.com
Sydney · 0405 03 80 58
Interested?
Contact us for a free feasibility assessment of your dairy farm / cattle operation
16

17. Executive Summary
Who we are
A profit-for-purpose company founded in 2006 that enable corporates, capital markets, and the public
sector to reduce their impacts on climate change, while mitigating risk and creating value on their
sustainability journeys.
South Pole Climate Solutions
Global Impact - Local Reach
Support along the entire corporate sustainability journey
Our staff of 600+ employees in over 19 offices
around the world includes engineers,
consultants, scientists, project developers, and
finance experts.
Footprinting
to measure
climate impacts
Renewable energy
Planning and sourcing
Climate Risk Strategic Advisory
Targets, and goal-
setting
Carbon credits
Planning and
sourcing
Assessments and
planning for
corporate
resiliency
Climate investments
Dedicated funds and purchase
facilities
20
Confidential. Do not distribute.

18. Our
ecosystem
of clients &
partners
21
Confidential. Do not distribute.

19. The opportunity
Reduce emissions of
enteric fermentation
Agriculture accounts for 10% of global annual GHG
emissions and livestock supply chains emit an estimated
total of 8.1 gigatonnes carbon dioxide equivalent (CO e) a
2
year. */**
Enteric fermentation (i.e. methane generated during the
digestive process of ruminants) contributes about 3.5
gigatonnes CO e, which corresponds to 43% of the
2
livestock sector’s emissions.*
Feed ingredients, including feed additives, offer farmers
the opportunity to profit from generated carbon credits
through the reduction of enteric fermentation as well as
additional co-benefits.
Maintaining sustainable livestock
farming can help both mitigate and
adapt to climate change.
22
* FAO 2021, ** McKinsey 2020,
Confidential. Do not distribute.

20. Climate action
credits
Business Opportunity: Carbon credits flow
Ruminating cows release about 100kg* of CH 4 per head/year
CH4 *IPCC, Flachowsky et al. 2008
CH4
CH4 CH4
CH4
CH4
≡ 1 tonne of CO e
being avoided or
removed from the
atmosphere.
2
With feed ingredients, less methane is released by cows
One (1) carbon credit CH4 CH4
CH4
Carbon credits are tradable certificates
that result from specific emission
reduction activities (e.g., reduction of
methane emitted by cows).
The revenue flows back to the farmers
Finance the project Carbon compensation
offered through carbon
credits
development,
including the feed
ingredient
A carbon credit is a certificate can be
bought by any public or private
organisation to compensate for their
own emissions. Additionally, by trading
certificates on carbon markets, the
generated income can help finance
climate projects.
The voluntary buyers pay for the carbon credits.
23
Confidential. Do not distribute.

21. Possible co-benefits of feed ingredients
Besides emission reductions, feed ingredients can have various co-benefits for the
farmer and the animals, depending on the applied product.
Increased feed efficiency and
productivity
Animals need energy for outputs, e.g. milk production. This
energy is provided by the feed intake. Some feed ingredients
increase the feed efficiency (e.g. the same milk yield can be
achieved with less feed input) or can increase the
productivity (e.g. more milk yield is achieved with the same
feed input)
For some feed ingredients, studies show an increase the
overall animal health as well as increased fertility (e.g. better
results with less insemination attempts).
Better animal health and
fertility
Some feed ingredients have nutritional benefits, such as
increased protein and nitrogen availability.
Nutrition
24
Confidential. Do not distribute.

22. Feed additive example:
AGOLIN® RUMINANT
AGOLIN® RUMINANT is a blend of food
grade plant actives (essential oils) designed
to optimize feed intake, animal health and
performance as well as GHG production in
ruminants.
As a high-level estimation, feeding 10 cows with
AGOLIN® for one year (365 days) has the potential
Free flowing powder or water dispersible liquid with
pleasant smell; to reduce methane of ~4 tCO
2
e, which
corresponds
Recommended dosage: 1 g / cow / day;
Organic version is also available (AGOLIN® NATURU);
In line with the feed legislation of EU, Japan, USA
and others;
to 4 carbon credits.
All active compounds are listed and accepted by
EFSA and JECFA*;
GMO-free;
No influence on milk composition and taste.
25
Confidential. Do not distribute.
* Joint Expert FAO/WHO Committee on Food Additives

23. Data requirements for initial assessment
As a starting point, South Pole will perform a technical assessment to analyse carbon credits potential. To participate
in the project and benefits from generated carbon credits, project partners need to provide the following
information*:
Project setup
Project setup details including geographical scope (country/ region), animal categories to be
included (cattle, dairy cows, etc.), business as usual (BAU) details before project implementation,
coordination and information exchange possibilities with farmers and envisioned carbon claims
(offsetting vs. value chain valorisation).
Feed ingredient fed
Feed ingredient that will be used for the project, including government approval and peer-
reviewed evidence outlining efficacy in reducing methane (if available to the project partner).
Project implementation
Feeding management plan in the BAU and project scenario, indicating a first estimation of
the energy intake (daily dry matter intake (DMI) and fat content of feed) as well as the
number of animals involved over the first crediting period of seven years (scaling plan).
*Please note that the extent of information needed differs depending on the applied standards and methodologies. The examples in this presentation are taken
26
from the VCS methodology VM0041.
Confidential. Do not distribute.

24. Data requirements for annual reporting
South Pole as will organize the monitoring, reporting and verification (MRV), necessary to issue and subsequently sell carbon
credits. The verification is undertaken by independent auditors to ensure objectivity. To participate in the project and benefits
from generated carbon credits, farmers need to report the following information* annually:
Energy intake
The main parameter for the calculations of methane emissions from livestock is the energy
consumed through the feed [MJ/ kg]. Therefore, the daily dry matter intake (DMI) and fat
content of feed must be reported (i.e. daily DMI per cow indicated on feeding plans, fat level of
feed either <4% or 4-6% based on relevant regional sources).
Feed ingredient fed
Farmers must document that they have purchased the feed ingredient and maintained the
applicable dosage (e.g. for AGOLIN® 1g / cow and day) by providing relevant documentation (i.e.
receipts from stores or feedmills, signed feed records).
Number of animal days
To estimate how much methane was avoided, it is require to indicate how much livestock
has been fed with the feed ingredient on a daily basis according to animal categories
(i.e. the farmer reports that a herd of 100 Holstein cows was fed with AGOLIN® for one
year, which equals 36.500 days for this animal category).
*Please note that the extent of information needed differs depending on the applied standards and methodologies. The examples in this presentation are taken
27
from the VCS methodology VM0041.
Confidential. Do not distribute.

25. Steps towards collaboration
Project development process
Concept Initial Preliminary
Assessment
Financial closure Implementation Operation
Outcome: Outcome: Outcome:
The climate action
program is
developed and
registered and
eligible to generate
carbon credits.
Outcome:
Emission reductions
are monitored,
All parties share a
common vision and
understanding of
the benefits of
implementing a
climate action joint
project using a feed
ingredient.
Outcome:
Estimation of the
climate action
potential of the feed
ingredient within
the targeted
Financial contracts
are closed between
the participants of
the programme,
including the sale
and delivery of the
feed ingredient,
carbon credits
ownership and
contractual relation.
verified and reported.
Generated carbon
credits are sold to
reimburse
livestock operations.
The feed ingredient
is distributed to the
farmers and fed to
the livestock.
participants.
Ongoing
communication and
reporting.
The respective
requirements and
roles of the partners
are aligned.
28
Confidential. Do not distribute.

26. South Pole’s expertise
South Pole’s interdisciplinary and globally distributed team of experts can provide
comprehensive solutions to achieve climate goals.
● South Pole draws on over a decade’s worth of experience designing, developing,
implementing, operating, monitoring and verifying the impacts of international carbon
projects. South Pole has a deep understanding of the carbon market, its dynamics and
its different actors.
South Pole has sound theoretical and
practical knowledge of carbon offsetting
projects and has been the leading
developer of international offsetting
projects for the past 10 years. ●
●
South Pole develops and supports projects across the world, including regenerative
agriculture projects, renewable energy, sustainable transport, waste management
and forestry projects.
We manage all financial and operational
aspects, delivering measurable impacts
and providing end-to-end carbon asset
management and valorisation solutions
for all types of projects.
South Pole has an extensive ecosystem of clients and partners including private sector
actors, public institutions, NGOs and humanitarian organisations. In addition, South Pole
works closely with voluntary carbon standards in the development of methodologies.
References for feed ingredient projects
●
●
●
Mooh Cooperative grouped project (Switzerland), under registration with Verra
(VM0041). More information available here.
Barry Callebaut feed additive grouped project (US), under registration with Verra
(VM0041). More information available here.
UFA Swiss Climate Feed (Switzerland), registered under CSA (ISO). More information
available here.
29
Confidential. Do not distribute.