The company has secured a US $ 1.4 billion sustainability loan from lenders for five years until 2026.
The new facility refinances the company’s existing unused facility that was scheduled to expire in 2023.
The new facility will be linked to South32’s emission reduction commitments and efforts to improve efficiency in energy and water use.
South32 Chief Financial Officer Katie Tovich said sustainability is at the heart of the company’s goal and an integral part of its strategy.
“We are taking meaningful action for the benefit of our stakeholders, our planet and our business,” she said.
“Our new revolving credit facility provides South32 with continued access to substantial liquidity and is one of the first in the mining industry to be directly linked to sustainability performance, aligning our focus and access to capital.”
Earlier this year, South32 announced a target to reduce Scope 1 and 2 emissions by 50% by fiscal year 2035.
“The inclusion of specific measures on our sustainability performance demonstrates our commitment to make a difference by developing natural resources in a way that improves the lives of people now and for generations to come,” said the President of South32, Karen Wood.
“With recent changes to our compensation framework to align with our commitment to decarbonize and reshape our portfolio, the new facility reinforces this alignment between our business and stakeholders. “
South32 shares were down 0.2% to A $ 3.80.