SAVANNAH RESOURCES PLC
Climate Impact & Sustainability Data (2020, 2023)
Reporting Period: 2020
Environmental Metrics
Waste Generated:around 6,850,000 t/year of sterile overburden material
ESG Focus Areas
- Economic Development
- Social License to Operate
- Corporate Social Responsibility
- Environmental Sustainability
- Benefit Sharing
Social Achievements
- Savannah Resources is available to ensure the smooth functioning of the benefit sharing mechanisms and to contribute financially to a Community Development Fund that finances several programs focused on the local community.
Climate Goals & Targets
Environmental Challenges
- The project has faced some resistance at the local level, largely due to misinformation and poor management of prospecting and licensing processes in similar projects elsewhere in the country.
- Doubts about the economic impacts of the project and reservations about its environmental impacts.
Mitigation Strategies
- The company hired the University of Minho to carry out an independent study on the economic impacts of the project and its context in the national and local economies, and even in the European economy.
- The company is available to ensure the smooth functioning of the benefit sharing mechanisms and to contribute financially to a Community Development Fund.
Supply Chain Management
Climate-Related Risks & Opportunities
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Environmental
- Social
- Governance
Environmental Achievements
- Received a positive environmental impact declaration (DIA) with conditions from the Portuguese environmental regulator in May 2023 after a three-year process.
- Project design features innovative water system combining onsite collection with significant recycling, making the project self-sustaining for its water needs.
- Comprehensive rehabilitation of all impacted land and water courses.
- New road to keep project-related traffic out of local villages and towns.
Social Achievements
- Active engagement with local stakeholders since 2017, including supporting local organizations, working with local businesses, and employing local people.
- Project expected to generate over 350 direct jobs and around 2,000 indirect and induced jobs.
- Significant financial resources committed to supporting community initiatives and education.
- Completion of around 400 interviews with local residents for the Social Impact Assessment.
Governance Achievements
- Appointment of Emanuel Proença as CEO and two new Non-Executive Directors.
- Successful GBP6.5m fundraise in challenging market conditions.
- Commissioned an Independent Review and external Legal Opinions following the announcement of Operation Influencer investigation, which found no evidence of wrongdoing by the Company.
Climate Goals & Targets
Long-term Goals:
- Become a major player in Europe’s new lithium battery chain.
Medium-term Goals:
- Begin construction in 2025 and commission the Project in 2026.
Short-term Goals:
- Complete the Definitive Feasibility Study by the end of 2024 and the RECAPE phase of the environmental licencing process shortly afterwards.
- Secure land access required for the project.
Environmental Challenges
- Persistent negative media coverage of the Project.
- Announcement of Operation Influencer investigation by the Portuguese Public Prosecutor.
- Legal cases brought in relation to the Project.
- Significant fall in lithium prices during 2023.
Mitigation Strategies
- Increased intensity of stakeholder engagement activities.
- Commissioned an independent legal review and legal opinions, which found no evidence of wrongdoing.
- Proactive steps taken to clarify the Company’s position and re-establish confidence.
- Continued investment in the project despite market challenges.
Supply Chain Management
Responsible Procurement
- Preference given to local suppliers of goods & services
Climate-Related Risks & Opportunities
Awards & Recognition
- Overseas Direct Investment Award from HM Ambassador