Kore Potash plc
Climate Impact & Sustainability Data (2022)
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Climate Change
- Health and Safety
- Community Engagement
Environmental Achievements
- Implemented a nursery onsite and planted seedlings in surrounding areas to offset carbon emissions from diesel fuel use.
- Partnered with NGOs to provide financial assistance for rainforest guards in Conkouati-Douli National Park.
Social Achievements
- Achieved zero lost time injuries.
- Maintained COVID-19 measures, resulting in only one positive case among Congolese employees.
- Full and fair consideration to employment applications irrespective of age, gender, colour, ethnicity, disability, nationality, religious beliefs or sexual orientation.
- Open line of communication between employees, senior management, and the Board.
- Whistleblower procedure in place.
Governance Achievements
- Adherence to sound corporate governance policies.
- Transparent and effective engagement with stakeholders.
- All resolutions passed at the AGM with at least 95% of votes in favor.
- Formal procedures to deal with directors’ conflicts of interest.
Climate Goals & Targets
Long-term Goals:
- Develop a cash generative potash project in the RoC.
Medium-term Goals:
- Formalise an EPC Contract for the construction of Kola and a Financing agreement.
Short-term Goals:
- Complete a fundraise prior to Q4 2023 to ensure sufficient cash to meet ongoing obligations.
Environmental Challenges
- Significant capital requirements for project development.
- Country risk in the Republic of Congo (RoC), including potential political, economic, and other risks.
- Changes in potash commodity prices and market conditions.
- Geological and technical risks.
- Environmental and occupational health and safety risks.
- Government policy changes.
- Retention of key staff.
- Climate change impacts (primarily carbon emissions from Kola operation).
Mitigation Strategies
- Actively engaging with potential lenders, export credit agencies, and equity investors.
- Regular consultations with the local community in RoC and employing local workforce.
- Good relationships with RoC government officials.
- Benefitting from the UK-RoC bilateral investment treaty.
- Planning to be a low-cost producer.
- Engaging with reputable buyers for contractual sales arrangements.
- Appointing reputable third-party technical consultants.
- Continuous improvement of health, safety, and environmental risk management procedures.
- COVID-19 testing and control procedures.
- Employee vaccination program.
- Monitoring changes in legislation.
- Performance management system and incentive schemes to attract and retain key employees.
- Modifications to Kola Project design to mitigate climate change impacts.
- Reviewing options to reduce carbon emissions.
Supply Chain Management
Responsible Procurement
- Prompt payment policy.
Climate-Related Risks & Opportunities
Physical Risks
- Potential impact of sea level rise and weather changes on Kola Project.
Transition Risks
- Changes in energy supply methodology impacting carbon emissions.
Opportunities
- Increased demand for potash due to global climate change.
Reporting Standards
Frameworks Used: JORC Code (2012 edition)
Third-party Assurance: BDO LLP