GlobalData offers a comprehensive analysis of Antofagasta, providing key insights into its Environmental, Social, and Governance(ESG) factors. By closely monitoring and aggregating mentions of climate change and associated ESG keywords, GlobalData delivers valuable information on Antofagasta‘s ESG performance. GlobalData’s company profile on Antofagasta offers a 360-degree view of the company, SWOT analysis, key financials, and business strategy including insights on ESG implementation among other information. Buy the report here.
Antofagasta, a Chilean mining company, continue to advance its decarbonisation plan to identify intermediate goals towards carbon neutrality by 2050 or earlier, depending on the development of
technologies that can be implemented at its operations. Antofagasta’s latest filings mentioned the keywords ‘Emissions’ and ‘Climate Change’ most number of times in relation to 'Climate Change'.
In 2021, the company set more ambitious targets to reduce direct and indirect emissions (Scopes 1 and 2) by 30% by 2025 compared to the 2020 baseline, equivalent to a reduction of 730,000 tCO2e, and to achieve carbon neutrality by 2050 or earlier, technology permitting. However, as of April 2022, all of its electricity consumption comes from renewable energy based supply contracts. This reduced its Scope 2 emissions, leading to meeting the 0% reduction commitment earlier than anticipated. During 2023, the company will establish a new medium-term emission reduction goal for 2030.
Antofagasta Minerals, recognises its responsibility for upstream and downstream emissions and have aggressively adopted measures to mitigate the carbon footprint of our operations. By the end of 2020, it had reduced its Scope 1 and 2 greenhouse gas (GHG) emissions by over 580,000 tonnes of carbon dioxide equivalent (tCO2e), exceeding the target set in 2018 to reduce emissions by 300,000 tCO2e by 2022.
Antofagasta has already met this target three years early and has power supply contracts from renewable sources for all mining operations since April 2022, resulting in an estimated reduction of close to 900,000 tonnes of CO2 equivalent compared to 2021. The company has taken steps to reduce emissions, including implementing action plans to manage physical and transition risks of climate change, integrating these risks into its key risk matrix, and pursuing continual improvement in environmental performance issues such as water stewardship, energy use, and climate change.
Antofagasta has also launched circular economy initiatives, such as recycling high-density polyethylene piping and sending disused mine haulage truck tyres for recycling. The company has approved a new Circular Economy Strategy to be implemented in 2023 and is studying and improving the genetics of plants that can grow in harsh desert conditions and produce biofuels.
In conclusion, Antofagasta is committed to reducing its withdrawal of continental water, increasing the use of sea water and reused water, and improving the overall efficiency. The company uses the carbon price in capital allocation decisions and growth project evaluation and incorporates it into its financial planning cycles. Antofagasta is working with other International Council on Mining and Metals member companies to develop a guide to measure and report the industry's Scope 3 emissions with a view to having a common standard to define reduction goals.