CALGARY, AB, Oct. 20, 2021 /PRNewswire/ -- Pembina Pipeline
Corporation ("Pembina" or the "Company") (TSX: PPL)
(NYSE: PBA) is pleased to announce its commitment to reduce the
Company's greenhouse gas ("GHG") emissions intensity by
30 percent by 2030, relative to baseline 2019
emissions. The GHG reduction target will help guide business
decisions and improve overall emissions intensity performance while
increasing Pembina's long-term value and ensuring
Canadian energy is developed and delivered responsibly.
"Pembina has never been one to shy away from a challenge. As the
world around us continues to evolve, Pembina is embracing the
opportunity to adapt, respond and contribute to a more sustainable
future," said Mick Dilger, Pembina's
President and Chief Executive Officer. "The meaningful target we
have announced today is supported by a solid foundation of baseline
emissions data that will drive accurate and consistent reporting
across the organization moving forward," added Mr. Dilger.
To meet the 2030 GHG emissions intensity target, Pembina will
focus initially on operational opportunities, greater use of
renewable and lower emission energy sources, and investments in a
lower carbon economy.
Operational opportunities
Pembina is pursuing initiatives that will lower both emissions
and operating costs. Through a lens of continuous improvement, the
Company is taking further steps to reduce its environmental
footprint while utilizing its assets more efficiently.
Operational contributions to the achievement of Pembina's target
will include:
- Optimizing pipeline capacity and operations;
- Constructing cogeneration facilities at the Empress NGL
Extraction Facility and Duvernay Complex, as well as additional
potential cogeneration projects at other facilities;
- Modernizing and optimizing compression facilities to reduce the
amount of energy consumed;
- Enhancing leak detection and repair programs at facilities;
and
- Reducing flaring and venting.
Renewable energy and investing in a lower carbon
economy
Pembina has a long history of evolving its business to meet our
stakeholders' needs. The energy evolution to a lower carbon economy
will create new opportunities for Pembina and its stakeholders.
Pembina has recently announced new initiatives, and is actively
exploring others, that represent fundamentally strong business
opportunities and at the same time will contribute to the
achievement of its GHG emissions reduction target including:
- Increasing the use of renewable energy through efforts such as
Pembina's recently announced power purchase agreement with
TransAlta on the Garden Plain Wind Power Project, as well as other
potential renewable power purchase agreements across Pembina's
business;
- Developing the Alberta Carbon Grid, which will allow Pembina to
play a vital role in helping Alberta-based industries effectively manage
emissions and contribute positively to a lower-carbon economy;
and
- Evaluating pilot projects for carbon capture and storage at
Pembina's gas processing and fractionation facilities.
Sustainability Data Update
Pembina publishes a full-length sustainability report on a
biennial basis and in interim years provides an update of its
environmental, social and governance ("ESG") performance metrics on
its website. The Company's 2020 Sustainability Report, which was
released in December 2020, included
ESG performance data for the years 2017-2019. Today, Pembina
released ESG performance data for 2020, highlights from which
include:
- Pembina continued to deliver a safety record that exceeded the
industry average, with a Total Recordable Injury Frequency that was
more than 30 percent lower than the industry average; and
- Pembina invested over $9 million
within communities where it operates and maintained all
pre-pandemic community investment commitments. Through Pembina's
Community Investment Program, it partners with non-profit and
charitable organizations to provide financial and in-kind support
and engage employees to support communities through its
volunteering and donation matching program.
For additional information on Pembina's ESG performance, please
refer to the sustainability performance tables available on
Pembina's website at www.pembina.com/sustainability/.
Over the past few years, in addition to significantly enhancing
its disclosure, Pembina has actively advanced its overall ESG
strategy by integrating sustainability within its long-term
business planning and further embedding sustainability into its
organizational structure and corporate policies and practices.
Recent highlights from Pembina's ESG journey include:
- Incorporated ESG performance into incentive compensation for
all employees;
- Obtained independent third-party limited assurance of Pembina's
2020 Scope 1 and Scope 2 GHG emissions;
- Completed its inaugural Carbon Disclosure Project
submission;
- Implemented a fugitive methane leak detection and repair (LDAR)
program at all Canadian natural gas processing, natural gas
pipeline transportation and handling operations. This program aims
to reduce methane emissions by at least 40 percent from 2012 levels
by 2025;
- Amended the Company's Code of Ethics to include Human Rights;
adopted a new Anti-bribery Policy and Community Relations Policy;
and updated its Indigenous and Tribal Relations Policy;
- Continued to advance Pembina's Equity, Inclusion and Diversity
strategy:
-
- Increased board diversity, with women now representing 36
percent of Pembina's Board of Directors;
- Enhanced diversity at the executive level, including the
appointment of a female member to the senior executive team.
Currently, over 20 percent of Pembina's executive team identify as
female;
- Established inclusion networks for women and LGBTQ2S+ to
further support an inclusive and diverse workplace;
- Launched the 'Conversations for Change' series, which featured
a variety of panels where employees shared their experiences with a
focus on gender, Indigenous culture and reconciliation, mental
health, and LGBTQ2S+ pride; and
- Continued developing equity, diversity and inclusion targets
that will be announced later this year.
- Announced transformational Indigenous-led partnerships on two
significant projects:
-
- Partnering with the Haisla Nation to develop the proposed Cedar
LNG Project, the largest First Nation- owned infrastructure project
in Canada with one of the cleanest
environmental profiles in the world; and
- Formation of Chinook Pathways, a partnership with Western
Indigenous Pipeline Group to pursue ownership of the Trans Mountain
Pipeline, following completion of the construction of the Trans
Mountain Expansion project.
- Pembina has successfully improved or maintained ESG scores and
or rankings on the following globally recognized rating agencies:
Sustainalytics ESG Rating; MSCI ESG Ratings; ISS Quality
Score.
Looking forward, a dedicated ESG team has been formed and will
play an important role in further advancing Pembina's ESG journey.
In 2022, Pembina will continue to make progress towards aligning
its disclosure with the Task Force on Climate-related Financial
Disclosure (TCFD) reporting framework while continuing to explore
additional opportunities to quantify and analyze climate-related
risks and opportunities, and industry best practices.
For more information on Pembina's ESG strategy and performance,
please visit Pembina's Website.
About Pembina
Pembina is a leading transportation and midstream service
provider that has been serving North America's energy
industry for more than 65 years. Pembina owns an integrated system
of pipelines that transport various hydrocarbon liquids and natural
gas products produced primarily in western Canada. The Company
also owns gas gathering and processing facilities; an oil and
natural gas liquids infrastructure and logistics business; and is
growing an export terminals business. Pembina's integrated assets
and commercial operations along the majority of the hydrocarbon
value chain allow it to offer a full spectrum of midstream and
marketing services to the energy sector. Pembina is committed to
identifying additional opportunities to connect hydrocarbon
production to new demand locations through the development of
infrastructure that would extend Pembina's service offering even
further along the hydrocarbon value chain. These new developments
will contribute to ensuring that hydrocarbons produced in the
Western Canadian Sedimentary Basin and the other basins where
Pembina operates can reach the highest value markets throughout the
world.
Purpose of Pembina:
To be the leader in delivering integrated infrastructure
solutions connecting global markets:
- Customers choose us first for reliable and value-added
services;
- Investors receive sustainable industry-leading total
returns;
- Employees say we are the 'employer of choice' and value
our safe, respectful, collaborative and fair work culture; and
- Communities welcome us and recognize the net positive
impact of our social and environmental commitment.
Pembina is structured into three Divisions: Pipelines Division,
Facilities Division and Marketing & New Ventures Division.
Pembina's common shares trade on the Toronto and New
York stock exchanges under PPL and PBA, respectively. For
more information, visit www.pembina.com.
Forward-Looking Information and
Statements
This news release contains certain forward-looking
information and statements (collectively, "forward-looking
statements") that are based on Pembina's current expectations,
estimates, projections and assumptions in light of its experience
and its perception of historical trends. In this news release, such
forward-looking statements can be identified by terminology such as
"should", "may", "will", "continue", "if", "to be",
"expects", and similar expressions suggesting
future events or future performance.
In particular, this news release contains forward-looking
statements relating to plans, targets and strategies with respect
to GHG emissions; intended outcomes as a result of
Pembina's GHG emission intensity reduction target;
plans and strategies to improve Pembina's ESG
performance; and the impact the GHG emission intensity reduction
target is expected to have on
Pembina's business. These forward-looking statements
are being made by Pembina based on certain assumptions that Pembina
has made in respect thereof as at the date of this news release,
regarding, among other things: that current technologies are
sufficient to achieve reductions in GHG emissions targets; the
ability of Pembina and any required third parties to effectively
engage with stakeholders; oil and gas industry exploration and
development activity levels; the success of Pembina's operations
and growth projects; the availability of individuals with the
skills required for Pembina's business and in
the geographic locations in which Pembina operates necessary to
achieve Pembina's GHG reduction target by 2030;
broad compliance with Pembina's plans,
strategies, programs and goals across the reporting and monitoring
systems among its employees, stakeholders and service providers;
the continued availability of capital at attractive prices to fund
future capital requirements relating to existing assets and
projects; the availability of data, samples and information
necessary to develop and evaluate targets, goals, programs and
strategies; that counterparties to material agreements will
continue to perform in a timely manner; that there are no
unforeseen events preventing the performance of contracts; that
there are no unforeseen material construction, integrity or other
costs related to current growth projects or current operations;
prevailing regulatory, tax, and environmental laws and regulations;
and the availability of coverage under Pembina's insurance
policies.
While Pembina believes the expectations and material factors
and assumptions reflected in these forward-looking statements are
reasonable as of the date hereof, there can be no assurance that
these expectations, factors and assumptions will prove to be
correct. Readers are cautioned that events or circumstances could
cause actual results to differ materially from those predicted,
forecasted or projected. By their nature, forward-looking
statements involve numerous assumptions, known and unknown risks
and uncertainties that contribute to the possibility that the
predictions, forecasts, projections and other forward-looking
statements will not occur, which may cause actual performance and
financial results in future periods to differ materially from any
projections of future performance or results expressed or implied
by such forward-looking statements. These known and unknown risks
and uncertainties, include, but are not limited to: the regulatory
environment and decisions; the ability of Pembina to raise
sufficient capital (or to raise sufficient capital on favourable
terms) to fund future expansions and growth projects and satisfy
future commitments; failure to negotiate and conclude any required
commercial agreements or failure to obtain project sanctioning;
increased construction costs, or construction delays, on Pembina's
expansion and growth projects; labour and material shortages;
non-performance or default by counterparties to agreements which
Pembina or one or more of its affiliates has entered into in
respect of its business; reliance on key industry partners,
alliances and agreements; the strength and operations of the oil
and natural gas production industry and related commodity prices;
the continuation or completion of third-party projects; actions by
governmental or regulatory authorities including changes in tax
laws and treatment, changes in royalty rates, climate change
initiatives or policies or increased environmental regulation;
adverse general economic and market conditions in Canada, North
America and worldwide, including changes, or prolonged
weaknesses, as applicable, in interest rates, foreign currency
exchange rates, commodity prices, supply/demand trends and overall
industry activity levels; risks relating to widespread epidemics or
pandemic outbreaks, including risks relating to the duration,
geographic scope and severity of the COVID-19 pandemic; the extent
to which the COVID-19 pandemic continues to impact the global
economy and cause, directly or indirectly, a decline in commodity
prices; the extent, timing and sustainability of economic recovery
in relation to the COVID-19 pandemic; changes in credit ratings;
counterparty credit risk; technology and cyber security risks; and
certain other risks detailed from time to time in Pembina's public
disclosure documents including, among other things, those detailed
under the heading "Risk Factors" in Pembina's management's
discussion and analysis and annual information form, each for the
year ended December 31, 2020, and
Pembina's management's discussion and analysis dated August 5, 2021 for the three and six months'
ended June 30, 2021, which can all be
found at www.sedar.com and with the U.S.
Securities and Exchange Commission at
www.sec.gov and are also available on Pembina's
website at www.pembina.com.
The forward-looking statements are expressly qualified by the
above statements and speak only as of the date of this document.
Pembina does not undertake any obligation to publicly update or
revise any forward-looking statements contained herein, except as
required by applicable laws. The forward-looking statements
contained in this news release are expressly qualified by this
cautionary statement.
Investor Relations: Scott Arnold,
(403) 231-3156, 1-855-880-7404, e-mail:
investor-relations@pembina.com, www.pembina.com