Climate Change Data

Thungela Resources Limited

Climate Impact & Sustainability Data (2023)

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:729 kt CO2e/year
Scope 1 Emissions:295 kt CO2e/year
Scope 2 Emissions:433 kt CO2e/year
Scope 3 Emissions:32,033 kt CO2e/year
Renewable Energy Share:Not disclosed
Total Energy Consumption:3.14 million GJ/year
Water Consumption:27,115,000 m3/year
Waste Generated:2331 tonnes/year
Carbon Intensity:3.56 kg CO2e per TTM

ESG Focus Areas

  • Environmental Stewardship
  • Shared Value for Stakeholders
  • Responsible Decision-Making and Leadership

Environmental Achievements

  • Reduced scope 1 and 2 GHG emissions by 2.5% to 729 kt CO2e from 748 kt CO2e in 2022.
  • Achieved 96% water reuse/recycling rate.
  • Reduced freshwater abstraction by 64% from the 2015 baseline.
  • Reduced potable water abstraction from EWRP by 45% from the 2015 baseline.
  • Achieved 69% water treatment rate.
  • Reduced PM10 exceedances from 163 in 2022 to 38 in 2023.

Social Achievements

  • Achieved 98% HIV testing rate among employees.
  • 96% of HIV-positive employees are on ART.
  • Reduced new HIV infections from 33 in 2022 to 20 in 2023.
  • Reduced TB cases from five in 2022 to two in 2023.
  • Reduced voluntary labour turnover from 5.0% to 3.8%
  • Increased historically disadvantaged persons in senior management from 60% to 65%.
  • Increased women in senior management from 30% to 34%.
  • Contributed R156 million to the Sisonke Employee Empowerment Scheme and the Nkulo Community Partnership Trust.
  • Thuthukani programme supported 12 suppliers, 222 enterprise development beneficiaries, and 50 businesses with technical enablement, creating 114 additional jobs.

Governance Achievements

  • Restructured board committees to optimize efficiency and effectiveness.
  • Achieved a 'BBB' ESG risk rating from S&P.
  • Improved overall ESG score from 3.5 out of 5 in 2022 to 4 out of 5 in 2023.
  • 97% of digitally connected employees completed code of conduct training.

Climate Goals & Targets

Long-term Goals:
  • Achieve net zero emissions by 2050 (from 2021 baseline).
Medium-term Goals:
  • Not disclosed
Short-term Goals:
  • Reduce scope 1 and 2 emissions by 30% by 2030 (from 2021 baseline).
  • Incorporate a minimum of 19 MW of renewable electricity by the end of 2026.

Environmental Challenges

  • Transnet Freight Rail (TFR) performance impacting coal exports.
  • Kromdraai incident (uncontrolled release of mine-impacted water).
  • Illegal mining activities.
  • Delays in environmental authorisations.
  • Increase in PM2.5 exceedances.
Mitigation Strategies
  • Developed alternative sourcing strategies (trucking coal).
  • Implemented remediation measures at Kromdraai (fish breeding facility, reverse osmosis plant, phytoremediation).
  • Strengthened partnerships with law enforcement.
  • Engaged with authorities on pending permits.
  • Investigating causes of PM2.5 exceedances and implementing corrective actions.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Preferential local procurement.
  • Integration of community-focused criteria in contracts.
  • Support for supplier development through Thuthukani.

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • High rainfall
Transition Risks
  • Regulatory changes
  • Market shifts
  • Demand destruction
Opportunities
  • Development of energy-efficient products and processes
  • Renewable energy integration
  • Carbon capture, utilization, and storage (CCUS).

Reporting Standards

Frameworks Used: GRI Standards (core compliance), GRI 12: Coal Sector Standard 2022, AccountAbility AA1000 Assurance Standard, AccountAbility Principles Engagement Standard, ICMM's sustainable development principles and reporting framework, IFRS® Accounting Standards, IFRS Foundation’s Integrated Reporting Framework, King IV™ Report on Corporate Governance for South Africa 2016, London Stock Exchange and UK Disclosure and Transparency Rules, JSE Listings Requirements, South African Companies Act, 71 of 2008

Certifications: ISO 14001, ISO 45001, Top Employers

Third-party Assurance: IBIS Environmental Social Governance Consulting Africa (Pty) Ltd

UN Sustainable Development Goals

  • Goal 4 (Quality Education)
  • Goal 8 (Decent Work and Economic Growth)
  • Goal 9 (Industry, Innovation, and Infrastructure)
  • Goal 13 (Climate Action)

Strategic priorities align with SDGs as detailed in the 'Approach to ESG' section.

Sustainable Products & Innovation

  • High-quality, low-sulfur export coal.

Awards & Recognition

  • Top Employers certification
  • MineSafe 2023 best-in-class award (Goedehoop Colliery)
  • CDP 'B' rating