Glencore Plc is a multinational mining and commodity trading company.
Glencore plc (LSE:GLEN) produces, refines, processes, stores, transports, and markets metals and minerals, and energy products in the Americas, Europe, Asia, Africa, and Oceania.
Glencore is the biggest producer of thermal coal in Australia. Glencore has plans for new and expanded coal mines, including a greenfield coal mine in Qld. ACCR undertook an analysis of Glencore’s progress on its climate plan, finding the company’s forward coal production and emissions targets are not aligned with the goals of the Paris Agreement. ACCR also released a short report into the super-emitting Glencore Hail Creek coal mine, estimating the company is materially underestimating fugitive methane emissions from coal operations in Australia.
Glencore’s 2023 AGM saw record votes against the company, with 30% of shareholders voting against its Climate Plan and 29% voting for a co-filed resolution requesting the board include greater disclosures of the emissions and capex alignment of its thermal coal business.
ACCR is commenting on today’s widely anticipated announcement from Glencore plc that it will not demerge its coal business, including the newly acquired Elk Valley Resources (EVR).
As Glencore plc prepares its 2023 Climate Action Transition Plan, investors and the company have an opportunity to improve its strength and credibility.
29.22% of Glencore shareholders voted in support of the thermal coal resolution. The result is a clear indication that institutional capital is increasingly alert to the risks of thermal coal and investors expect disclosures that enable them to navigate energy transition risks.
Research presentation for investors, covering our analysis of Glencore’s 2022 Climate Report; updated analysis on forward coal emissions; the Teck bid; and the co-filed shareholder resolution on thermal coal disclosure.
Based on current disclosures by Glencore and its stated strategy, the company’s forecast cumulative emissions from coal production do not appear to be Paris-aligned.
ACCR released research showing that based on current disclosures by Glencore and its stated strategy, the company’s forecast cumulative emissions from coal production do not appear to be Paris-aligned.
A global coalition has filed a Shareholder Resolution to Glencore PLC (LON:GLEN) seeking greater insights into the specific plan to align thermal coal production.
Methane measurement technology is improving all the time, and coal miners like Glencore cannot continue to bat off the unwanted attention on Scope 1 emissions.
ACCR believes the overwhelming support Glencore received for its climate plan in 2021 was unwarranted, and there is ample reason to vote against its climate plan and progress at the 2022 AGM.
