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CLIMATE CHANGE STRATEGY Valeura%u2019s climate change strategy is squarely focussed on managing its greenhouse gas (GHG) emissions. The Company%u2019s foundational objective is to ensure transparent and accurate accounting and reporting of greenhouse gas (GHG) emissions, in compliance with local and international regulations. Valeura follows a data-driven approach to evaluate, select, and implement GHG reduction programmes, with an overall objective of managing GHG emissions intensity. As a baseline, emissions under Category 1 and 2 have been verified in accordance with ISO 14064-1 standards, providing a robust foundation for these efforts. ASSESSING CLIMATE-RELATED RISKS AND OPPORTUNITIES Valeura has conducted an assessment of climate-related risks and opportunities to evaluate potential impacts. This exercise is embedded as part of the Company%u2019s broader Enterprise Risk Management (ERM) framework which assesses all business-related risks and opportunities.Valeura%u2019s climate-related risk assessment aligns with the International Financial Reporting Standards (IFRS) S2 requirements and considers both physical and transition climate drivers across current and future time horizons, extending through the next 10 year period. Each risk driver was qualitatively rated against the Company%u2019s corporate risk criteria to determine significance. Similarly, each opportunity driver was rated based on its potential opportunity to the business.No %u201cMajor%u201d or %u201cMassive%u201d climate-related risks are expected within the next decade, as mitigation and adaptation measures are in place. This includes the establishment of a Business Continuity Plan to maintain operational resilience, asset integrity, and workforce health and safety in the event of extreme weather events. The most significant risks were assessed to have %u201cmoderate%u201d impact, as defined in appendix 3. Specifically, identified physical risks were impacts associated with cyclones and winds (R1) as well as the potential for a rise in sea level, thereby causing damage to offshore infrastructure. Meanwhile, the most significant transition risk identified is stakeholder perception (R9).Valeura has implemented mitigation measures for high physical risks, including a Typhoon Evacuation Plan. Additionally, the Company aims to manage its transition risks (stakeholder perception) through its ongoing initiatives to reduce GHG emissions intensity. The Company has also identified various climate-related opportunities, with the most significant assessed to have a %u201cmoderate%u201d impact. Amongst other opportunities, these include opportunities from resource efficiency improvements (O3).VALEURA ENERGY INC. 031