https://www.miningweekly.com
Business|Coal|Energy|Mining|Resources
Business|Coal|Energy|Mining|Resources
business|coal|energy|mining|resources

Glencore loses more support for climate plan as as coal questioned

29th May 2023

By: Bloomberg

  

Font size: - +

Investor support for Glencore's climate change strategy weakened, obliging the world’s top coal shipper to again consult with shareholders as it defends one of its most profitable businesses.

While many rivals have long retreated from thermal coal under pressure from investors, Glencore has continued reaping massive profits from mining the dirtiest fossil fuel. The company says the hydrocarbon is essential for the energy transition, but an increasing number of investors don’t want to own coal.

Glencore secured about 70% support for its climate progress report at its annual general meeting on Friday, less than the 76% backing it received last year. Almost 30% of shareholders also backed a resolution urging the company to explain how its thermal coal business aligns with efforts to limit the increase in global temperatures to 1.5 C. That means the commodities giant must engage with investors on both resolutions.

“We will continue to engage with shareholders so as to ensure their views are fully understood and to better understand the reasons behind these results,” Glencore said.

The vote comes as Glencore is in the process of trying to buy rival miner Teck Resources in a $23-billion deal. Glencore — which has been rebuffed by Teck so far — wants to create two new companies, combining their respective metals and coal businesses.

While that would allow Glencore to hive off its thermal coal business, the company has said it has no plans to do so outside of a transaction unless the majority of its shareholders demand it.

A resolution put forward by shareholders with more than $2-trillion of assets under management, urging the company to explain how its thermal coal business aligns with efforts to limit the increase in global temperatures to 1.5 C, failed to get the 50% backing needed for it to be adopted. However, the support it did receive will force Glencore to engage with investors.

Glencore has already introduced a cap on its coal production and promised to reach net-zero emissions by 2050.

About 10% of shareholders also voted against the reelection of the company’s chairman, Kalidas Madhavpeddi.

Edited by Bloomberg

Comments

Showroom

Weir Minerals Africa and Middle East
Weir Minerals Africa and Middle East

Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...

VISIT SHOWROOM 
Weir Minerals Africa and Middle East
Weir Minerals Africa and Middle East

Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Platinum, diamonds, hydrogen make headlines
Platinum, diamonds, hydrogen make headlines
19th July 2024
Magazine round up | 19 July 2024
Magazine round up | 19 July 2024
19th July 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.156 0.191s - 127pq - 2rq
1:
1: United States
Subscribe Now
2: United States
2: