Glencore has signposted its ambition to be a net-zero emissions company by 2050.
The first steps will be managing the operational footprint followed by investing in the metals portfolio, reducing coal production and supporting deployment of low emission technologies.
That’ll equal a 40 percent reduction in emissions by 2035.
The package will include a future for the company’s coal assets in Australia said Glencore CEO Ivan Glasenberg.
“The world today depends on fossil fuels – coal, natural gas and oil – to meet its energy needs,” he said.
“Under all credible scenarios, fossil fuels will continue to be an important part of the global energy mix for many years to come.
“We do not believe that selling our coal mines would help reduce the associated emissions.
“Responsible stewardship of our coal assets and responsible reduction of our coal portfolio, while maintaining a focus on our high-quality coal assets in Australia, supports our ambition to reduce our total emissions to achieve net zero by 2050.”
A significant portion of Glencore’s earnings was derived from the metals and minerals that enabled the transition to a low-carbon economy, said Mr Glasenberg.
“As the world prioritises renewable technologies, battery storage and electric mobility, our business is well-positioned to meet the growing demand for the commodities that underpin these future focused industries.
“Our products enable the transition to a low-carbon economy. We are one of the largest producers and suppliers of copper, cobalt and nickel – metals that are essential to batteries used for electric vehicles and energy storage, as well as the infrastructure required for the transmission of renewable energy.
“The world is going to require many times more metal than is currently produced. Glencore has a large production footprint and pipeline of projects in the commodities needed to build renewable energy grids, electrify transport and meet every day needs.
“We also operate a large recycling business, through which we enable the reuse of critical products needed to deliver the transition to a low-carbon economy.”
The commitments are published in Glencore’s Climate Report 2020: Pathway to Net Zero.