Deepening our transformational process to stregthen performance

2023 Sustainability Report

2023 brought great challenges for Peñoles. Our deep-rooted values and century-long experience have guided us through times of complexity; on these pillars, we are building a profound transformation to respond effectively to challenges and strengthen our economic and socio-environmental performance.

  • Peñoles Creating value
    We have overcome great challenges throughout the economic cycles. We have capitalized on what we have learned, and we will continue to take the necessary steps to substantially improve our performance.
  • Governance
    Strong, reliable corporate governance, accountable for decisions and with active oversight and support from experienced and diverse management, has been fundamental to the organization's success.
  • Climate Change (TCFD)
    We demonstrate our commitment and management of risks and opportunities related to climate change.
  • Environmental
    In 2023, we updated our policy and guidelines for responsible tailings management. And this year, we updated our performance guidelines for water and promoted the creation of a water ESG network with representatives from our operations.

Performance – 2023 Highlights

Environmental


We prepared our report following TCFD principles.

1,216,142 tCO2e
Scope 1 GHG emissions

1,429,896 tCO2e
Scope 2 GHG emissions

35% of energy consumed is clean energy.

Environmental


Water stewardship
41% of water consumed in our operations is municipal wastewater and salt water.

35% of water consumed in our business units located in water-stressed regions is municipal wastewater.

We reuse 78% of the water from our operations and internal services.

Environmental


Environmental excellence

Zero significant tailings and water incidents.

Mine closure
All mining units have a conceptual closure plan that establishes an “ecological reserve,” which is a guarantee fund to cover these activities.

Biodiversity Conservation
We have biodiversity management plans based on applicable regulations.

Environmental


Mining and metallurgical waste management

53% progress in the internal tailings management system.

2.33 Mt of tailings were used as backfill in inactive works inside the mine.

Social


Diversity, equity, and inclusion

12.59%
women in the organization

13.41%
women in leadership positions

Gold Level Recognition in the WIM (Women in Mining) Seal for complying with labor equality and non-discrimination, equity, and inclusion standards in one of the work centers.

Social


Human rights

Identification and evaluation of the Human Rights Risk Catalogue by a multidisciplinary team.

Strong correlation

68% de nuestros empleados directos están cubiertos por acuerdos de negociación colectiva.

Social


Living the Community

100% of our operations consulted communities on their perception of the organization’s social and environmental performance.

US$6.20 M
in social investment

73% local employment

58% local suppliers

47.81% payments to local suppliers

Social


Safety and health

4 fatalities at the Fresnillo plc subsidiary

LTIFR: 7.33
TRIFR: 13.14
High Potential Accident Rate: 10.41

We seek to instill a love of life in our safety culture, demonstrated with discipline through our High Potential Management strategy.

Governance


Responsible value chain

We are certified in compliance with the London Bullion Market Association (LBMA) ESG criteria

Our Supplier Development Program’s objective is to grow local companies, so they can provide better service, with more qualified personnel.

Química del Rey has participated in EcoVadis Sustainability Ranking since 2019.

Governance


Ethics and integrity

We updated our Code of Ethics and Conduct in 2023, emphasizing legal compliance, money laundering prevention, personal data protection, non-discrimination, harassment-free work, and psychosocial risk prevention.

We implemented the BAL Evalúa platform to automate and optimize the third-party due diligence process based on risk levels.