Mubadala Energy Reports Major ESG Advancements in 2023

Mubadala Energy, the Abu Dhabi-headquartered international energy company, has announced substantial progress in its Environmental, Social, and Governance (ESG) initiatives, according to its 2023 sustainability report. The company has achieved a remarkable two-thirds reduction in Scope 1 and 2 greenhouse gas (GHG) emissions from 2022 and nearly halved its energy consumption across its operated portfolio, marking a significant acceleration in its decarbonization efforts.

The 2023 report highlights Mubadala Energy’s strategic shift towards gas, increasing its gas weighting from 66% in 2022 to 69% in 2023. As a lower carbon-intensive fuel, gas is pivotal in supporting a sustainable energy transition. The company has also made strides in new energy sectors, including Carbon Capture Utilization and Storage (CCUS) and geothermal energy.

Mansoor Mohamed Al Hamed, Managing Director and CEO of Mubadala Energy, emphasized, “Our fifth annual sustainability report underscores our commitment to placing sustainability at the core of our operations. We are proud of our significant reductions in emissions and energy consumption, alongside our advancements in social impact and governance. Our operational excellence and safety record, combined with our investments in people and communities, drive our continued progress.”

The company’s recent achievements also include the announcement of a major gas discovery in Indonesia, reinforcing its strategy to leverage gas as a bridge fuel in the energy transition. Sumiyyah Mohammed, Vice President of Growth and New Energies, highlighted the importance of collaboration in advancing new energy solutions, stating, “Our partnerships in CCUS and geothermal energy are crucial to leading low-carbon solutions in the region.”

Key Highlights from the 2023 Report:

Environmental:

– Zero significant spills reported from inception to date.

– Commitment to plant 700,000 mangroves in the UAE by 2030.

– 62% reduction in flared gas compared to 2022.

Social:

– Zero total recordable injury rate (TRIR) and lost-time injury rate (LTIR) across all operated assets.

– Over 24,000 beneficiaries from CSR projects in 2023, impacting over 1 million people in the past decade.

– 27% female representation across the organization, surpassing industry averages.

Governance:

– Zero incidents of non-compliance with applicable laws and regulations in 2023.

– 72% of total spending directed towards local suppliers.

– 43% of the Board of Directors are independent members.

Mubadala Energy’s 2023 Sustainability Report adheres to Global Reporting Initiative (GRI) Standards and aligns with the Task Force on Climate-related Financial Disclosures (TCFD) recommendations. The report provides an in-depth review of the company’s operational and environmental impact, social contributions, human capital, and governance, also examining its alignment with the UN Sustainable Development Goals.