In line with our purpose of powering better lives in Africa and beyond, our ambition is to provide resources (energy, commodities, capital and people) critical to ensuring a low-carbon world.
We must balance South Africa's socio-economic development, which relies on coal-generated power, with supporting the transition to a lowcarbon economy. These major changes will raise future challenges and increase external risks for those who do not adapt. They will also present significant opportunities for those who can evolve.
Forces in our macro-economic context, markets
and other short to
medium-term social and
environmental trends
could present
opportunities or risks to
our business model and
thus affect our ability to
create value.
Material risks and related
opportunities are key factors
that must be managed to
ensure our continued
success. We further assess
climate risks according to
the recommendations of
the TCFD.
Our stakeholder
relationships and active
engagements are crucial in
understanding and
delivering value and
impact.
These elements inform the themes we consider material to our value creation and influence our strategic direction.
Our purpose is the reason we exist. It guides our long-term decision making and daily actions. To achieve our purpose, we must deliver on three core areas of value. These are the linchpins of our relevance and sustainability as a business. Value for Exxaro is therefore inextricably tied to our ability to achieve these aims:
Cennergi provides 229MW of wind energy to Eskom and aims for a 1.6GW capacity of internal and external offtake by 2030 as part of our renewable energy expansion
Financial close of the LSP reinforces our commitment to sustainable energy investments. This will reduce scope 2 emissions by 27% on completion in 2025
For each stakeholder group, we also aim to create and preserve relevant value:
We create value for the governments and regulators in the regions where we operate through transparent operations that contribute to economic growth and energy access, and collaborate on projects echoing national and regional energy strategies and sustainability objectives.
We empower our employees with opportunities for career growth, equitable compensation, and a safe work environment. We are also committed to delivering resources to power a clean world, resonating with our people's aspirations for a sustainable future.
By integrating community needs into our operational strategy, we aim to foster sustainable growth and a resilient socioeconomic structure that supports community prosperity and our business's sustainability. Our initiatives are tailored to support a just transition to a sustainable future, creating employment and reskilling opportunities for communities living in and around our operations.
We deliver value through our early value strategy and our market to resource strategy to meet our customers' needs while contributing towards energy security in South Africa and beyond. We also seek to supply minerals and energy that enable the energy transition, nurturing trust-based, innovative partnerships that support our collective vision for sustainable development.
We are bolstering the energy sector while strategically decarbonising to augment our coal business's competitive edge and longevity. Our diversification into key minerals and energy underpins a sustainable development vision. This strategic direction strengthens trust and delivers long-term value to investors through responsible growth and investment in the future.
In our approach to supplier engagement, we focus on local procurement, which supports community businesses and aligns with our sustainability goals by reducing logistical impacts. This not only strengthens local economies but also fosters deeper community ties. Concurrently, we are dedicated to enhancing our supply chain's robustness and reliability, which we achieve by investing in our suppliers' capabilities and advocating for best practices. Additionally, our suppliers are integral to our decarbonisation journey. We educate them on climate change, carbon pricing, and adaptation strategies, deepening their understanding and encouraging active participation in climate resilience and mitigation efforts.
We minimise our environmental impact through responsible mining practices, investment in renewable energy initiatives, and a deep commitment to biodiversity and the natural world.
Report Index
IR