Global zinc producer sets target to reduce greenhouse gas emissions and reach neutrality by 2040 and net zero by 2050
Nexa Resources S.A. (“Nexa Resources” or “Nexa” or the “Company”) (NYSE Symbol: “NEXA”) has announced new long-term environmental, social, and governance (“ESG”) commitments. Aligned with the Paris Agreement and focused on reducing the impacts of climate change, Nexa plans to reach net-zero greenhouse gas emissions (“GHG”) by 2050, and net neutrality – the balance between carbon emissions and absorption – by 2040.
To accomplish this objective, Nexa has established commitments to reduce direct emissions (scope 1) by 20%, a total reduction of 52 thousand tons of carbon equivalent by 2030, with 2020 as the baseline year. In addition, the Company plans to maintain the high use of renewable resources in its energy matrix. Regarding scope 3 emissions, the Company started mapping its entire value chain to align with the goal to become net zero by 2050.
“We look forward to further improving our sustainability trajectory. Every year, we’ve been reducing GHG emissions, developing projects related to scope 1 reduction, and seeking to keep our energy matrix mostly renewable”, says Ignacio Rosado, Nexa’s CEO. Currently, the Company’s decarbonization efforts include several initiatives, such as the use of biomass to generate steam, hydrogen injection systems in automotive machines, tests with bio-oil in zinc furnaces, natural gas as a replacement for fuels such as liquefied petroleum gas (LPG) and diesel, and commercial agreements for the exclusive use of renewable energy in Brazil and Peru, among other initiatives.
Based on the market studies performed by the Company, Nexa already has one of the smallest carbon footprints, compared to other zinc producers (scopes 1 and 2). In 2021, this translated to about 0.41 tons of CO2 equivalent per ton of commercialized zinc and zinc oxide.
“Our ESG strategy includes commitments across different areas, such as water usage and disposal, safety and workplace, and the reduction of CO2 equivalent emissions, in line with the Sustainable Development Goals of the United Nations”, concludes Rosado. In addition, topics such as waste and dam management, local development, decommissioning, and human rights are also included in Nexa’s ESG strategy and underpinned by our pledge to integrity and transparency.
Find out more information and details about Nexa’s ESG strategy and commitments through 2030 at the website.
Nexa’s 8 long-term commitments include:
Emission Reduction and Neutrality: Nexa has been reducing GHG emissions for more than a decade, and currently has one of the lowest carbon footprints in the world in the zinc production industry (scopes 1 and 2). In alignment with the Paris Agreement, Nexa’s goal is to reach net zero by 2050.
1. Absolute reduction of scope 1 emissions by 20% (52 thousand tons of CO2 equivalent), keeping Nexa’s electrical energy matrix almost entirely composed of renewable sources;
2. Reach neutrality of emissions by 2040;
3. Reach net zero by 2050.
Safety: The Company seeks to be a model when it comes to safety, focusing on building a safer environment with zero fatalities and a reduction of severe accidents through a robust cultural transformation program in health and safety, including awareness campaigns, counseling, and monitoring for both employees and third parties.
4. Zero fatalities in all operating units;
5. Consolidate all units in the first quartile (*) of the mining industry with regard to the Total Recordable Injury Frequency Rate (“TRIFR”).
(*) Currently, the average Nexa operation is already in the 1st quartile of the industry, considering 2021 as the base year.
Water usage and disposal: Nexa prioritizes the responsible management of water and seeks to reduce its consumption by 2030.
6. 10% reduction of water consumption in mining operations (from 1.68 m³/ton of ROM (*) to 1.51 m³/ton of ROM) and metallurgy units (from 24.01 m³/ton of metal to 21.61 m³/ton of metal), considering as a baseline the consumption of the last 12 months (2021-22).
(*) Run-of-mine: crude ore, extracted directly from the mine without undergoing any kind of processing.
Plurality (diversity, equity, and inclusion): Nexa is committed to being an increasingly plural company, with diversity, equity, and inclusion, to promote an environment of opportunity, recognition, and acceptance for all. Our goals by 2030 include:
7. 30% of women in the workforce; (*)
8. 30% of women in leadership positions.
(*) Currently, we already have 16.5% women in our workforce, and 21% in leadership positions. The Aripuanã Unit in Brazil is already ramping up with 30% women