IGO Interactive Annual Report 2020

recognised medical predispositions that increase their vulnerability to COVID-19. ENVIRONMENTAL MANAGEMENT IGO’s environmental impacts are relatively minor, however, we have an ongoing commitment to making a real but proportionate contribution to addressing the world’s most pressing environmental challenges: global warming, biodiversity loss, deforestation, water consumption, pollution, soil loss or degradation and waste management. Currently IGO’s single largest environmental impact is land clearing. IGO, like other explorers, need to physically access land to explore by means of on-ground electromagnetic surveys, seismic surveys, surface soil sampling and drilling. Invariably this requires the creation of cleared tracks for the passage of vehicles. Whilst the need for these tracks is temporary, vegetation is removed. To minimise and manage the impact of our activities, we proactively complete environmental and social impact assessments. We then actively plan work in consultation with other land owners (e.g. Traditional Owners or pastoralists), with regard to the flora and fauna likely to be affected, the potential for the accidental introduction of pest species, the potential for the accidental disturbance of ethnographic sites of significance, soil disturbance, and prompt remediation once access is no longer required. In FY20, IGO cleared approximately 122 hectares of land and completed rehabilitation of 577 hectares of land. CLIMATE CHANGE During FY20, IGO has acted to further meet the recommendations of the Taskforce on Climate-related Financial Disclosures (TCFD). We collaborated with external experts to build on our existing climate change risk and opportunity identification and management processes, including application of scenario-based analysis. The intent of this work was to broaden the range of impacts considered, stress test current business and financial strategies, and improve our resilience using the resulting outcomes. IGO will publish an enhanced Climate-related Financial Disclosure in our 2020 Sustainability Report. PROACTIVELY GREEN As part of our strategy to be Proactively Green, IGO has continued to seek ways in which to minimise our impact on the environment. Some examples of this work includes: • In partnership with Zenith Energy, the completion of the Nova 5.5MW solar farm, with first power delivered during December 2019 • In collaboration with Barminco the trial of electric underground vehicles at Nova; and • A workforce led I-GO Green Waste Reduction Initiative recycling over 46 tonnes of waste destined for landfill at Nova in the first six months. Further details on our Proactively Green strategy can be found in our 2020 Sustainability Report to be released in September 2020. SUSTAINABILITY Sustainability is central to IGO’s purpose. We believe in a green energy future and, as a strategic imperative, endeavour to be Proactively Green. We do this both in the choice of commodities we seek to develop and how their development is pursued. Exploration, mining and downstream processing all require access to land, a community licence to operate, energy and other physical inputs, and the drive and inspiration of our people. It is our choices in how we do these things and the resources that are applied that lies at the heart of our Proactively Green philosophy. We believe our approach both serves the aspirations of our people, our investors and the communities in which we operate. Our management of environmental, social and governance issues is increasingly scrutinised by ratings agencies as part of their index scoring evaluations. As a result of our commitment to sustainability, IGO was proud to have been admitted to the Dow Jones Sustainability Index Australia during September 2019. This is an important recognition of our performance in this area and places IGO in the top 30% of companies in the S&P/ASX 200 Index. OUR COMMUNITIES Beyond our people and our investors, a sustainable mining company is dependent on a ‘social licence to operate’: in essence, the support of the community. IGO continues to work hard to maintain our social licence, to be a valued corporate citizen, and to understand the matters that are material to our stakeholders. FY20 has been a very challenging year for many of our host communities and the world at large. In the early part of calendar year 2020 we saw Australia ravaged by bushfires that will have lasting social and economic impacts. In the region around our Nova Operation, large areas of the Great Western Woodland were burnt. These fires caused significant economic hardship for pastoralists, Traditional Owners and residents of the towns within the impacted Shires of Dundas and Esperance. In response, IGO directly engaged the community to explore how we might assist recovery efforts. This resulted in IGO making financial contributions to a range of projects in the region and reaffirms our desire to Making a Difference. In the immediate aftermath of the fires, IGO, our host communities and the world were caught in the growing COVID-19 pandemic. Whilst at the time of writing, the disease has had a limited impact on the health of our people and host communities, for some the social and financial impact has been significant. IGO re-engaged the community regarding what potential actions we could take to help and this took the form of financial and material assistance to support local services as well as adjusting our work plan schedules and travel arrangements to help limit the exposure of host communities to the virus, with particular attention to Aboriginal communities who have At IGO, we care about doing what is right – not just because it is good for business but because it is the right thing to do. Sustainability IGO seeks to be Proactively Green through adherence to our internal IGO Environmental Standards, standards that set performance benchmarks beyond simple compliance with the law. IGO Environmental Standards are available on our website (https:// www.igo.com.au/site/caring/ environment). One of IGO’s Environmental Standards specifies the need for proactive socio-economic impact assessment. In FY19, IGO completed an Environmental Impact Assessment of our exploration activities within the Fraser Range using the services of an expert independent consultant. The assessment considered the many different land systems within the 14,000km 2 of exploration leases that IGO holds in the region. The assessment considered a wide range of activities, impacts and mitigation measures. In FY20, IGO worked to operationalise the outputs of the assessment through new and updated field procedures and management plans. As a result, IGO is increasingly able to minimise or mitigate the impacts associated with our exploration activities. In FY21, we will revisit the IGO Environmental Standards to ensure that they continue to reflect Our Purpose and our strategic imperative to be Proactively Green. CASE STUDY: PROACTIVELY GREEN AT A GLANCE 122 ha Of land cleared, 577 hectares of completed rehabilitation. Safescape Bortana BELV (battery electric light vehicle). ENVIRONMENT IGO completed a large- scale Environmental Impact Assessment (EIA) across all our exploration activities within the Fraser Range Project. 11% FY19 $3.7 M Production royalty payments from Nova made to the Ngadju Native Title Aboriginal Corporation (NNTAC). 23% FY19 $36.4 M Total payments made to government entities in royalties and taxes. 34 — IGO ANNUAL REPORT 2020 IGO ANNUAL REPORT 2020— 35