LONDON - Ferrexpo PLC (LSE: LON:FXPO), a leading iron ore pellet producer, has released its second Climate Change Report, detailing significant progress in reducing emissions and outlining a roadmap to achieve low carbon production by 2050. The report, which includes climate-related risks and opportunities, greenhouse gas footprint data, and decarbonisation initiatives, serves as a pivotal update on the company's sustainability efforts.
The report highlights a marked reduction in emissions since 2019, with Scope 1 emissions down by 58%, Scope 2 by 70%, and Scope 3 by 67%. Ferrexpo's approach to reaching net zero includes the modeling of three scenarios that consider the impact of the ongoing war in Ukraine. The company has identified 30 material climate risks and opportunities across six focus areas and has pinpointed five key decarbonisation projects expected to deliver 90% of the targeted emissions savings.
By 2050, the company aims for a 95% reduction in Scope 1 and 2 emissions and an 84% reduction in Scope 3 emissions, as projected by its future modeling. Executive Chair Lucio Genovese emphasized the report's benchmark-level climate disclosure, noting its analytical rigor and transparency. He confirmed Ferrexpo's commitment to adapting and revising targets as part of its decarbonisation pledge.
Natalie Polischuk, Chair of the HSEC Board Committee, pointed out the report's extensive data and insights that provide shareholders with a clear picture of the company's climate impacts. The report also showcases Ferrexpo's 'Green Mine Initiative', which includes a 10-year plan to electrify operations, with Phase 1 involving global research and Phase 2 focusing on pilot area identification and conceptual design. ABB (ST:ABB) has been appointed for design works and as a potential power equipment supplier.
Yurii Khimich, General Director of Ferrexpo Belanovo Mining, highlighted the Group's proactive approach to integrating climate opportunities into its operations and future plans. The Green Mine Initiative offers a glimpse into Ferrexpo's objectives as a responsible supplier to the green steel value chain, aiming to create replicable Net Zero outcomes across its assets.
The report is a part of Ferrexpo's ongoing commitment to sustainable development and addressing climate change. It is available for review on the Group's website, marking another key milestone in Ferrexpo's decarbonisation plans and enhancing stakeholder understanding of climate-related issues. This article is based on a press release statement from Ferrexpo PLC.
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