ExxonMobil Corp. announced this week that it has given into shareholder requests to divulge new details about the impact of climate change to its business.
The largest U.S. oil and gas producer will now provide shareholders with information on “energy demand sensitivities, implications of two degree Celsius scenarios, and positioning for a lower-carbon future.”
ExxonMobil’s statement, which came three days before the deadline for its 2018 annual meeting resolution submissions, said additional information would be released in the near future, but did not provide details. According to oilandgasinvestor.com, the company’s board originally opposed providing shareholders with a report outlining the potential impact of global warming on ExxonMobil’s long-term outlook.
In a response to the move, Thomas P. DiNapoli, New York State’s comptroller, called ExxonMobil’s decision “a win for shareholders and for the company’s ability to manage risk.”
In an exchange filing, the company said it will increase its disclosure around energy demand changes, the impact of governmental measures to limit global warming to two degrees centigrade by 2030, and measures it is taking to prepare its operations for a lower-carbon future
According to icis.com, the proposal was initially opposed by the company’s management, but in the filing the company said it had “reconsidered” it. The concession is the latest by a large energy player in response to investor concern over the threat that greenhouse gas reduction policy and climate change may have on company earnings in future.
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