Anglo American PLC said on Tuesday it was progressing towards its ambition to become carbon neutral across its operations by 2040.
The London and Johannesburg-listed miner said its Scope 1 and 2 carbon emissions were 21% below the peak levels of 2019 at the end of 2022.
Scope 1 emissions cover the green house gas emissions that a company makes directly, while scope 2 emissions cover those that it makes indirectly.
‘This significant reduction reflects our transition to 100% renewable electricity supply across our South America operations, with Australia to follow in 2025,’ the group said.
In southern Africa, now the largest source of Scope 2 emissions, the miner has partnered with EDF Renewables to develop 3 to 5 gigawatt of clean generation capacity over the next decade.
‘While Scope 3 emissions reduction is largely dependent on the decarbonisation of our value chains and the steel industry in particular, which represents the significant majority of our footprint, we are progressing on our target to halve these emissions by 2040,’ the diversified mining group said.
Scope 3 emissions covers emissions that the company is indirectly responsible for, up and down its value chain.
Carbon neutrality is a state of net zero carbon dioxide emission, which mean that some greenhouse gases are still being released, but these are offset by removing an equivalent amount of greenhouse gases from the atmosphere.
Anglo American Chief Executive Duncan Wanblad said: ‘Addressing climate change is an increasingly urgent challenge for all businesses. With our diversified product portfolio, we are well-placed to responsibly deliver many of the critical metals and minerals the world requires to transition to a cleaner, greener world.’
‘Our commitment to being part of the solution begins in our own business by meeting our carbon neutrality goals, while recognising that partnerships are vital to deliver our shared endeavour of a low carbon future,’ Wanblad said.
Shares in Anglo American rose 3.8% to R 1,037.78 in Johannesburg. In London, they climbed 1.7% to 2,760.50 pence.
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