REGISTERED NUMBER: 07968009 (England and Wales)

Report of the Directors and

Financial Statements for the Year Ended 31 December 2025

for

Responsible Commodities Sourcing

Initiative Ltd

Page

Company Information

1

Report of the Directors

2

Report of the Independent Auditors

4

Income Statement

8

Balance Sheet

9

Notes to the Financial Statements

10

DIRECTORS:

Mr M Debusmann

Mr T Douma

Mr L Rieth

Mr J Vajda

Ms G H Van Der Mark

Mr R J Walter

Ms K Warrick

Ms N Wendler

Mr C Liddiard

Mr S Bertolo

Mr G Smith

REGISTERED OFFICE:

79 Tonbridge Road

Hildenborough

Tonbridge

TN11 9BH

REGISTERED NUMBER:

07968009 (England and Wales)

AUDITORS:

Nordens Audit Limited

Statutory Auditors

The Retreat

406 Roding Lane South

Woodford Green

Essex

IG8 8EY

The directors present their report with the financial statements of the company for the year ended 31 December 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of a membership organisation promoting responsible sourcing practices within the commodities sector

REVIEW OF BUSINESS

This Audit Report presents a balanced and comprehensive review of the organisation's development and performance during the 2025 financial year, together with its position at the year-end. The review has been prepared in a manner consistent with the size and relatively non-complex nature of the organisation's operations and is set within the context of the principal risks and uncertainties it faces.

The Responsible Commodities Sourcing Initiative (RECOSI) is a global membership organisation that actively develops ESG programmes to drive continuous improvement in responsible commodities sourcing. Our members are the most forward-thinking energy and infrastructure companies.

As a leadership organisation, we bring together companies to work on responsible energy commodities sourcing practices, developing solutions that can have real world sustainability impacts.

In 2025, we launched RECOSI's first three-year strategy since the organisation made the transition from Bettercoal to RECOSI. The strategy builds on RECOSI's mission, vision and purpose and looked at diversifying the work programme to create further value for members.

The primary focus of our work looks at our sector-specific programmes, which currently include Bettercoal and RECOSI Gas, and looks at exploratory work on hydrogen and bioenergy.

Bettercoal, launched in 2012, is an internationally recognised standard for the coal industry. Its purpose is to promote the continuous improvement in the mining and sourcing of coal.

In 2025, we kicked-off a review of the Bettercoal Programme to respond to the changing coal market landscape. As part of this, the Board approved the development of a Bettercoal Desktop stage to facilitate engagement with coal producers and provide a new option to participate in the programme. This work will be completed in 2026.

We also continued with the Bettercoal assessment programme, carrying out two site assessments against the Bettercoal Code in the last quarter of 2025. These processes will be completed in 2026 and two new companies should be positioned to become Bettercoal Producers.

The RECOSI Gas Programme is a new ESG framework, developed by RECOSI members, for responsible gas supply chains from production to sale. We developed the RECOSI Gas Responsible Sourcing Criteria, which were approved by the Board in October 2025, and work was undertaken to prepare for the official launch in January 2026.

Another focus for 2025 was to raise RECOSI's profile and to strengthen our internal and external communications. In August 2025, we started working with a senior communications contractor, who has helped with this endeavour, and we have seen positive results already including growing our LinkedIn following, updating our messaging documents and creating bespoke documents and assets to support our membership.

We continue to add value to our members, not only through the development and implementation of our ESG programmes, but through activities such as the Annual RECOSI Members' Meetings, which were held in Paris in November 2025. The event brings members together to discuss critical issues impacting our work, with expert speakers and panel discussions.

At our AGM in 2025, members approved four new directors, replacing colleagues from the member companies, along with the appointment of a new Chair, demonstrating our members' continued commitment to our work.

The new fee structure approved in 2024 and implemented for the first time in 2025, has worked well, with no expense/work area going over budget. This has meant that the fee structure remains in place for 2026. As our work and the interests of our members expand, we will continue to review our fee and membership structures to adapt to the developments in our industry.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2025 to the date of this report.

Mr M Debusmann

Mr T Douma

Mr L Rieth

Mr J Vajda

Ms G H Van Der Mark

Mr R J Walter

Ms K Warrick

Other changes in directors holding office are as follows:

Ms H Duan - resigned 27 November 2025

Mr M Favarato - resigned 27 November 2025

Dr D E Mausbeck - resigned 27 November 2025

Mr F Plumacher - resigned 27 November 2025

Ms N Wendler - appointed 27 November 2025

Mr C Liddiard - appointed 27 November 2025

Mr S Bertolo - appointed 27 November 2025

Mr G Smith - appointed 27 November 2025

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the surplus or deficit of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Nordens Audit Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

ON BEHALF OF THE BOARD:

Ms G H Van Der Mark - Director

25 June 2026

Opinion

We have audited the financial statements of Responsible Commodities Sourcing Initiative Ltd (the 'company') for the year ended 31 December 2025 which comprise the Income Statement, Balance Sheet and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2025 and of its surplus for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Report of the Directors has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit; or

-	the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Directors.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity and determined that the most significant are those that:

- had a direct effect on the determination of material amounts and disclosures in the financial statements. These include but are not limited to the Companies Act 2006, GDPR, employment and Health & Safety legislation and tax legislation, and

- do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty. These include operational and employment laws and regulations including health and safety regulations, environmental regulations and GDPR.

We obtained an understanding of how the company are complying with those legal and regulatory frameworks by making enquiries with management and those responsible for legal and compliance frameworks. We corroborated our enquiries through review of correspondence with regulatory bodies and gaining an understanding of the entity level controls of the company in respect of these areas and the controls in place to reduce opportunity for fraudulent transactions.

We discussed among the audit engagement team including relevant internal tax specialists, regarding the opportunities and incentives, including management override of controls, that may exist within the organisation for fraud and how and where fraud might occur in the financial statements. We also communicated the applicable laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit.

The risk of management override of controls was identified as an area where the financial statements could be susceptible to material misstatement due to fraud. Key areas considered included the potential for inappropriate journal entries affecting the profit for the year and possible management bias in accounting estimates.

Procedures performed to address these were as follows:

- Walkthrough testing was carried out to identify and assess the design effectiveness of controls, management have in place to prevent and detect fraud, including known of suspected instances or non- compliance with laws and regulations and fraud,

- Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process,

- Using analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatements due to fraud,

- Assessing the appropriateness of accounting estimates and challenging any significant assumptions or judgements made by management,

- Incorporating testing of manual journal entries that were posted throughout the year. In particular, we focused on material journal entries, journal entries posted with unusual account combinations, and journal entries crediting revenue or cash. These were scrutinised for evidence of unusual entries,

- Selecting specific revenue transactions based on risk criteria and obtaining supporting documentation including sales invoice and corresponding purchase documentations to ensure revenue was appropriately recorded,

- Reviewing specific cost of sale transactions based on risk criteria and reviewing invoice documentation to ensure the expense was appropriately recorded,

- Evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Lorraine Curtis BFP ACA FCCA (Senior Statutory Auditor)

for and on behalf of Nordens Audit Limited

Statutory Auditors

The Retreat

406 Roding Lane South

Woodford Green

Essex

IG8 8EY

25 June 2026

TURNOVER

846,601

831,269

Administrative expenses

840,180

668,661

OPERATING SURPLUS

4

6,421

162,608

Interest receivable and similar income

11,885

918

SURPLUS BEFORE TAXATION

18,306

163,526

Tax on surplus

-

-

SURPLUS FOR THE FINANCIAL YEAR

18,306

163,526

FIXED ASSETS

Tangible assets

5

1,586

1,209

CURRENT ASSETS

Debtors

6

776,824

569,625

Cash at bank

556,253

549,689

1,333,077

1,119,314

CREDITORS

Amounts falling due within one year

7

841,310

645,476

NET CURRENT ASSETS

491,767

473,838

TOTAL ASSETS LESS CURRENT LIABILITIES

493,353

475,047

RESERVES

Income and expenditure account

493,353

475,047

493,353

475,047

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Board of Directors and authorised for issue on 25 June 2026 and were signed on its behalf by:

Ms G H Van Der Mark - Director

1.	STATUTORY INFORMATION

Responsible Commodities Sourcing Initiative Ltd is a private company, limited by guarantee , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life.

Computer equipment

-

25% on cost

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Going concern

The financial statements have been prepared on the going concern basis, which the directors believe to be appropriate for the reasons stated below.

Having reviewed the company's financial forecasts and expected future cash flows, the directors have a reasonable expectation that the company has adequate resources available to continue in operational existence for the foreseeable future, a period of not less than 12 months from the date of approval of these financial statements.

Based on the considerations set out above, the directors believe that it remains appropriate to prepare the financial statements on a going concern basis. The financial statements do not include any adjustments that would result from the basis of preparation being inappropriate.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 5 (2024 - 5 ) .

4.	OPERATING SURPLUS

The operating surplus is stated after charging:

31.12.25

31.12.24

£

£

Depreciation - owned assets

794

966

5.	TANGIBLE FIXED ASSETS

Computer

equipment

£

COST

At 1 January 2025

4,158

Additions

1,171

At 31 December 2025

5,329

DEPRECIATION

At 1 January 2025

2,949

Charge for year

794

At 31 December 2025

3,743

NET BOOK VALUE

At 31 December 2025

1,586

At 31 December 2024

1,209

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.25

31.12.24

£

£

Trade debtors

759,977

551,500

VAT

9,557

12,303

Prepayments

7,290

5,822

776,824

569,625

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.25

31.12.24

£

£

Trade creditors

1,928

1,534

Taxation and social security

26,044

22,296

Other creditors

813,338

621,646

841,310

645,476

8.	LIMITED BY GUARANTEE

The company is limited by guarantee, each member having to contribute such amounts not exceeding £1 as may be required in the event of the company being wound up whilst they are still a member or within one year thereafter.

The number of member organisations as at 31 December 2025 is 14 (2024:17). All Members contributed

membership fees in 2025.

The Board is composed of Directors from ten RECOSI Member companies - Enel Global Trading, EnBW, JERA Global Markets, Onyx Power, RWE, Uniper, Vattenfall, BEW Berliner Energië und Warme, ENGIE Global Energy Management, ResInvest Commodities - and the Executive Director.