Newmont Commits to New Climate Targets Including Net Zero Carbon Goal
Gold mining giant Newmont Corporation (NYSE: NEM, TSX: NGT) announced today new science-based climate targets, including a commitment to achieve a 30% reduction in greenhouse gas (GHG) emissions by 2030, and an ultimate goal to reach net zero carbon emissions by 2050.
According to Newmont, its new targets align with Science-Based Targets Initiative (SBTi) criteria and aim to help the company in developing specific emissions reduction pathways and meeting the Paris Agreement objective of being well below 2° Celsius global temperature change. The specific 2030 targets provided by the company are for a 30% reduction of combined absolute Scope 1 and 2 emissions, a 30% reduction of combined Scope 1 and 2 emissions intensity, a 15% reduction in Scope 3 emissions, and a 10% replacement of fossil fuel-based electricity generation with renewables-based sources.
To achieve its new goals, the company will embed its climate commitments into its capital investment process. Newmont stated that it will implement a new energy and climate investment standard, to be combined with its existing investment standards including shadow carbon pricing, in order to ensure that the 2030 reduction targets are embedded into investment decisions for projects such as fleet vehicles, production equipment, onsite renewable power generation and energy efficiency. The company will also engage its partners and joint ventures in an effort to align joint venture operations targets and supply chain related emissions with Newmont’s targets.
Newmont also announced that it will begin reporting via The Climate-Related Financial Disclosures (TCFD) guidelines, and intends to issue its first annual TCFD report in 2021. According to the company, the TCFD report will detail Newmont’s governance, strategy and portfolio resilience to a range of climate scenarios, as well as tracking the Company’s annual progress toward implementing its 2030 strategy, meeting its 2030 targets and executing emissions reduction projects across its global portfolio.
Tom Palmer, President and CEO of Newmont Corporation, said:
“At Newmont, we hold ourselves to high standards — from the way in which we govern our business, to how we manage relationships with our stakeholders, to our environmental stewardship and safety practices. We fundamentally understand the human contribution to climate change and understand we reap what we sow. It is our responsibility to take care of the resources provided to us. We take these climate change commitments seriously, and make them because our relationship with the planet is absolute. We want a world that is not just sustainable, but thriving for generations to come.”