Polymetal International PLC (LON:POLY), a Russia and Kazakh-based precious metals miner, said it agreed US$400mln of new sustainability-linked financing with interest rates linked to Greenhouse Gas (GHG) emission intensity reduction targets.
The financing consists of two loans obtained from AO Raiffeisenbank and UniCredit.
Raiffeisenbank will provide a 4-year US$200mln term loan with an option to increase the total commitments to US$400mln, while UniCredit will grant a 5-year US$200mln revolving credit facility.
The two loans add to the company's portfolio of sustainability-linked and green financing which now amounts to US$680mln or about 40% of total debt.
"Fast-growing share of sustainability-linked financing in Polymetal's overall debt portfolio reflects our strong focus on sustainable development including a gradual reduction of the company's carbon footprint,” said chief financial officer Maxim Nazimok.
“Combating climate change by increasing energy efficiency and using renewable energy is among our strategic priorities, and the company is actively using ESG-linked financing instruments to facilitate this transition," he said.
Polymetal aims to reduce GHG emission intensity by 30% by 2030, including the intermediate target of 15% by 2025, according to its recently published first Climate Change Report.