Climate Change Data

MEG Energy Corp.

Climate Impact & Sustainability Data (2021, 2023)

Reporting Period: 2021

Environmental Metrics

ESG Focus Areas

  • Climate Change and GHG Emissions
  • Water and Wastewater Management
  • Health and Safety
  • Indigenous Relations

Environmental Achievements

  • Established a mid-term target of 30% reduction in bitumen greenhouse gas ("GHG") emissions (scope 1 and scope 2) from 2013 levels by 2030.
  • Joined five other oil sands operators in the Oil Sands Pathways to Net Zero Alliance with the objective of working with the Federal and Alberta governments to achieve net zero GHG emissions from oil sands operations by 2050.
  • Published its second ESG report aligned with guidance from Sustainability Accounting Standards Board (SASB) and the recommendations of the Task Force on Climate-related Disclosure (TCFD).

Social Achievements

  • Improved MEG’s lost time incident performance, achieving zero employee and contractor lost time incidents.
  • Released its second ESG report.
  • Completed Indigenous awareness training among active staff and directors.
  • Adopted and rolled out a new Inclusion and Diversity Policy.

Governance Achievements

  • Built the strength and diversity of our Executive Leadership Team, appointing Darlene Gates as Chief Operating Officer and Chi-Tak Yee as Chief Technical Officer.

Climate Goals & Targets

Long-term Goals:
  • Reaching net zero GHG emissions (scope 1 and scope 2) by 2050
Medium-term Goals:
  • 30% reduction in bitumen GHG emissions (scope 1 and scope 2) from 2013 levels by 2030
Short-term Goals:
  • Reach its near-term net debt target of US$1.7 billion

Environmental Challenges

  • Continued to operate in a COVID-19 environment and the difficult circumstances that came with it.
Mitigation Strategies
  • Took immediate steps to keep its employees and contractors, communities and families healthy and its operations running safely.
  • Provided employees and contractors with COVID-19 vaccine educational resources and publicly supported the provincial vaccination rollout plans.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: SASB, TCFD, GRI, UN Sustainable Development Goals (SDGs)

Certifications: CyberSecure Canada

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:Not disclosed
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Health and Safety
  • Climate Change and GHG Emissions
  • Water Management
  • Energy Security
  • Energy Affordability
  • Indigenous Relations

Environmental Achievements

  • Established a new mid-term absolute GHG emissions (Scope 1 and Scope 2) reduction target of 0.63 megatonnes per year by year-end 2030 (approximately 30% of 2019 GHG emissions)
  • MEG achieved an average SOR of 2.27 in 2023 compared to the in situ industry volume weighted average of approximately 3.0.

Social Achievements

  • $72 million spent on goods and services provided by Indigenous businesses in 2022 (a 30% increase over 2021)
  • Launched the Corporation's Diversity, Equity and Inclusion education and awareness campaign

Governance Achievements

  • Not disclosed

Climate Goals & Targets

Long-term Goals:
  • Net zero greenhouse gas emissions by 2050
Medium-term Goals:
  • Reduce absolute GHG emissions (Scope 1 and Scope 2) by 0.63 megatonnes per year by year-end 2030
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Inflationary pressures on the cost of services, treating chemicals and staff
  • Supply chain challenges
  • Reaching payout status in the second quarter of 2023, resulting in higher royalty expense
Mitigation Strategies
  • Continued focus on short-cycle redevelopment programs, enhanced completion designs, optimized well spacing and targeted facility enhancements
  • Marketing asset optimization activities to mitigate the cost of transportation and storage assets
  • Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Severe weather or catastrophic events such as fires, lightning, earthquakes, extreme cold weather, storms or explosions
  • Seasonal weather patterns and the corresponding effects of the spring thaw on accessibility to MEG’s properties
  • Potential increases in extreme weather events may impede operation of pipelines, storage infrastructure as well as refineries
Transition Risks
  • Increases in the price applied to GHG emissions
  • Changes in the political landscape and/or legal, tax and regulatory regimes in Canada, the United States and elsewhere
  • Future legislation or policies that limit the purchase of crude oil or bitumen produced from the oil sands may be adopted in domestic and/or foreign jurisdictions
  • Evolving decarbonization policies of institutional investors, lenders and insurers could affect MEG’s ability to access capital pools
Opportunities
  • Development of energy-efficient products
  • Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed