Glencore Gets Rich on Coal, But Questions Persist Over Exit Plan – by Thomas Biesheuvel (Bloomberg News – June 14, 2022)

https://www.bnnbloomberg.ca/

(Bloomberg) — Glencore Plc is getting rich on coal. The company is on course for another year of bumper profits, its shares just hit a record high — a feat that looked unlikely for most of the last decade — and investors are set for a windfall of returns. But some of them are now asking exactly how it’s all going to end.

For years the commodities giant has sought to balance two competing aims: securing the huge potential returns from its coal business and keeping investor support for mining the world’s most polluting fuel.

Until recently, its shareholders appeared overwhelmingly content with a promise to stop producing coal once the current mines run out.

Now, it’s being forced to revisit the debate. Enough shareholders voted against the climate-change plan in April to trigger a consultation process, which is now under way. And some investors are pushing for increased detail about the wind-down plan, and assurances that coal production numbers will not jump back up in the years ahead.

For the rest of this article: https://www.bnnbloomberg.ca/glencore-gets-rich-on-coal-but-questions-persist-over-exit-plan-1.1778428