SWITZERLAND – The world is facing the challenge of meeting the increasing energy needs of a growing population, while radically reducing its carbon footprint. Glencore believes the commitments and trajectory it outlines show how it is part of the solution.
Ivan Glasenberg, chief executive officer commented, “A significant portion of Glencore’s earnings is derived from the metals and minerals that enable the transition to a low-carbon economy. 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 ambition to be a net zero total emissions company by 2050 reflects our commitment to contribute to the global effort to achieve the goals of the Paris Agreement.”
Glencore products enable the transition to a low-carbon economy. The company is 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 needs these commodities if it is to achieve the goals of the Paris Agreement and limit the rise of global temperatures.
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.
It also operates a large recycling business, through which we enable the reuse of critical products needed to deliver the transition to a low-carbon economy.
The world today depends on fossil fuels – coal, natural gas and oil – to meet its energy needs. Under all credible scenarios, fossil fuels (oil, gas and coal) will continue to be an important part of the global energy mix for many years to come.
Glencore does not believe that selling its coal mines would help reduce the associated emissions. Responsible stewardship of its coal assets and responsible reduction of its coal portfolio, while maintaining a focus on our high-quality coal assets in Australia, supports its ambition to reduce our total emissions to achieve net zero by 2050.
A low-carbon future requires low-carbon metals. As a mining and trading company, Glencore is uniquely positioned to work directly with its customers and relevant industry groups to support and promote the greater use of low-carbon metals, and to form strategic partnerships that enable critical transitions in transportation, infrastructure and energy systems.
Glencore publishes Climate Report 2020: Pathway to Net Zero, which sets out our climate ambition and the pathway to achieve it, and assesses its portfolio against principal climate scenarios in the mid- and long-term.