AGM climate vote shareholder consultation update
28 October 2022
At the Company's AGM held on 28 April 2022, 76.28% of votes cast supported Resolution 13, to approve the Company’s 2021 Climate Progress Report (Climate Resolution). In accordance with Provision 4 of the UK Corporate Governance Code, as more than 20% of votes were cast against the Climate Resolution, Glencore has consulted with shareholders and is providing an update on the views received and actions taken.
Glencore engaged with shareholders prior to the AGM and continued such dialogue through extensive engagement with major investors after the vote. This process, including, but not limited to specific consultation in accordance with Provision 4 of the Code, has given us valuable insights on the evolution of shareholders’ views and voting approach on our strategy and progress, representing a wide cross-section of shareholders who voted in different ways on our Climate Resolution.
Glencore is grateful to all those who have taken the time to engage on this important issue. We have reflected carefully on the feedback received and will continue to engage with shareholders and other stakeholders, as well as monitor external market developments. Insights from this engagement have been and will continue to be factored into our internal deliberations for consideration.
Shareholders continue to reinforce that climate strategy will remain an important area of focus. There was broad support for our climate strategy, recognising the importance of maintaining a strategy that remains resilient to the risks and opportunities of the evolving energy transition, and encouragement to continue our focus on progressing towards our ambition of achieving a net zero total emissions footprint by 2050. A limited number of shareholders looked for opportunities to accelerate our current total emissions reduction pathway (50% reduction by 2035), while some raised the prospects for incremental growth in our coal production. However, the overwhelming majority of shareholders reiterated their support for our current responsibly managed coal decline strategy and associated targets.
In response to constructive recommendations received, we will:
- publish our Climate Progress Report on the same date as our Annual Report in March 2023 (previously released in the December period), to ensure alignment and consistency across both reports
- enhance disclosures in the Climate Progress Report regarding our planning and progress around the execution of our climate strategy
- provide more detail on our Board and management governance of climate matters, and
- engage further with key proxy voting advisors to seek an improved understanding of our climate strategy in various areas.
We look forward to updating shareholders on our progress against our strategy and next steps at our full year results presentation in February 2023. Further details on Glencore’s response to the outcome of our Climate Resolution vote will be provided in our 2022 Climate Report and 2022 Annual Report and Accounts to be published in March 2023.
For further information please contact:
t: +41 41 709 28 80
m: +41 79 737 56 42
t: +41 41 709 24 62
m: +41 79 904 33 20
t: +41 41 709 26 19
m: +41 79 944 54 34
t: +41 41 709 27 55
m: +41 79 735 39 16
t: +41 41 709 28 47
m: +41 79 152 09 05
Glencore LEI: 2138002658CPO9NBH955
Notes for Editors
Glencore is one of the world's largest global diversified natural resource companies and a major producer and marketer of more than 60 responsibly - sourced commodities that advance everyday life. Through a network of assets, customers and suppliers that spans the globe, we produce, process, recycle, source, market and distribute the commodities that enable decarbonisation while meeting the energy needs of today.
Glencore companies employ around 135,000 people, including contractors. With a strong footprint in over 35 countries in both established and emerging regions for natural resources, our marketing and industrial activities are supported by a global network of more than 40 offices.
Glencore's customers are industrial consumers, such as those in the automotive, steel, power generation, battery manufacturing and oil sectors. We also provide financing, logistics and other services to producers and consumers of commodities.
Glencore is proud to be a member of the Voluntary Principles on Security and Human Rights and the International Council on Mining and Metals. We are an active participant in the Extractive Industries Transparency Initiative.
Glencore recognises our responsibility to contribute to the global effort to achieve the goals of the Paris Agreement. Our ambition is to be a net zero total emissions company by 2050. In August 2021, we increased our medium-term emission reduction target to a 50% reduction by 2035 and introduced a new short-term target of a 15% reduction by 2026.
The companies in which Glencore plc directly and indirectly has an interest are separate and distinct legal entities. In this document, “Glencore”, “Glencore group” and “Group” are used for convenience only where references are made to Glencore plc and its subsidiaries in general. These collective expressions are used for ease of reference only and do not imply any other relationship between the companies. Likewise, the words “we”, “us” and “our” are also used to refer collectively to members of the Group or to those who work for them. These expressions are also used where no useful purpose is served by identifying the particular company or companies.