FYI Resources ranks in top sixth percentile of peer group in inaugural ESG ratings report

FYI Resources Ltd (ASX:FYI) (OTCMKTS:FYIRF) (FSE:SDL) has received its first Environmental, Social and Governance (ESG) rating, ranking in the top sixth percentile of its peer group.

Sustainalytics, a Morningstar branch and global ESG ratings service, conducted the independent EGS review for the industrial resources developer.

Classed against 153 direct peer and competitor companies and a broader 14,000-strong global industry participant universe, FYI achieved an overall ESG rating of 28 out of 100.

The high purity alumina producing hopeful secured a top ranking in three categories and placed in the top five within five other categories.

Growing FYI under ESG framework

FYI Resources managing director Roland Hill said FYI was committed to developing and continuing a strong corporate culture to implement the company’s ESG objectives.

“FYI’s goal is to efficiently manage and grow our business under a defined ESG framework and to progressively improve the company and its ESG standards. It is pleasing then, to receive our inaugural ESG rating from a globally respected agency.

“The rating itself is outstanding in the context of our peer group results and provides an excellent platform on which FYI can develop and improve our ESG aspirations.

“Importantly, our ESG framework not only provides transparency over our own ESG management and activities, it includes full traceability of our entire integrated supply chain allowing for confident verification of the quality and ethical origins of our HPA.

“We are exceptionally pleased with our ESG achievement. FYI will continue to apply both an ESG and economic overlay to the company to ensure long-term sustainable and shareholder value is created via the development of the company’s innovative, high quality, ultra-pure HPA project.”

FYI’s inaugural results

Out of FYI Resources 153 direct peers, the company clinched a ninth-place ranking it its first ESG report.

Overall, the company’s placement across the ESG categories within the initial statement left it with a ‘medium’ score.

Importantly, because of Sustainalytics’ strict analysis methodology, no company in FYI’s peer group achieved less than a ‘low’ score in the report.

Table outlines how FYI performed In each of the ESG ratings categories.

FYI flagged the initial report last week in a market announcement, notifying shareholders it would adopt the environmental, social and governance (ESG) framework in a bid to improve shareholder outcomes from its kaolin and high purity alumina (HPA) assets.

The industrial resources developer’s WA-based operations, including the Cadoux Kaolin Project and a HPA processing centre in Kwinana, will now fall under global ESG reporting standards and an economic overlay.

Story by ProactiveInvestors