As the world transitions towards a more sustainable and equitable framework, EnergyX is committed to enacting and following an ESG policy that meets the standards for a start-up of its size – and will adjust it accordingly as the company grows and its status changes.
Purpose
At Energy Exploration Technologies Inc., (the “Company” or “we”), our mission first and foremost is to continue to develop, enhance and scale our direct lithium extraction and solid-state battery technologies. In conjunction with this mission, we believe that by implementing meaningful and impactful ESG practices, we can increase employee morale and productivity while reducing the Company’s overall risk profile. Therefore, we take ESG factors into consideration in all applicable and appropriate aspects of our business, including our research, analysis, due diligence, experimentation, decision-making and other operations. The purpose of this ESG Policy (the “Policy”) is to institutionalize this philosophy, consistent with our values as a Company operating in the larger renewable energy sector.
Accountability and Maintenance
At a Company level, the Executive Team will be responsible for both (1) the continued development, implementation and maintenance of the policy and (2) tracking compliance with the Policy by its employees. In addition, the Executive Team hopes to engage with customers, suppliers and other third-party service providers, as applicable and appropriate, with the goal of ensuring that each party maintains an ESG policy that is appropriate, and, preferably, in line with the Policy.
Policy Standards and Social Responsibility Goals
All employees of the Company will endeavor to do the following with a goal of improving Company performance, building a culture of ethics and integrity and minimizing physical, financial and other risks, while acknowledging that each line of business will require customization to address unique operations or market:
- We will incorporate consideration of ESG factors as an integral part of how the Company conducts its day-to-day operations. We believe this holistic approach to assessing risk and opportunity enhances our operational processes at each stage:
- We will work to identify and discuss ESG risks and opportunities on a continuing basis and no less frequently than each quarter.
- Areas of focus will include but are not limited to:
- Legal and Regulatory: We will adhere to the highest standards of conduct intended to avoid even the slightest appearance of negligent, unfair or corrupt business practices, and adhere to legal and regulatory practices, both domestic and foreign, at all times.
- Governance: We will ensure that the Company establishes and abides by corporate governance structures (including the existing Board of Directors and other appropriate committees that may be formed in the future) that provide appropriate checks and balances, including in the areas of: audit, risk management, fair and properly aligned compensation plans, and conflicts of interest.
- Workplace: We will ensure that the Company maintains compliance with all relevant labor laws, supports the payment of competitive wages and benefits to employees, and respects the human rights of individuals who may be directly or indirectly impacted by the Company’s investment decisions – including avoiding child or forced labor, or entities that utilize discriminatory hiring or pay policies.
- Product Quality and Safety: Ensure that the Company maintains the highest standards for the quality and safety of all products developed and sold.
- Diversity, Equity and Inclusion: We will strive to make recruitment and retention of employees more inclusive, including by tracking hiring and promotion statistics by gender and race/ethnicity.
- Environmental: We will diligently look for and assess environmental risks, utilizing third-party experts, as necessary, to maintain high standards of environmental compliance and reporting, and in particular will seek to reduce our carbon footprint and improve our stewardship of water and other precious resources in order to minimize the social cost of business operations.
- Community/Social: We will strive to make a positive impact on our local communities and, wherever possible, society at large.
- If applicable and appropriate, we will require certain internal teams to report on their ESG compliance and issues on at least an annual basis. If applicable and appropriate, we will strive to require our customers, suppliers and other third-party service providers to provide similar ESG reporting.
- Notwithstanding the foregoing, there may be instances where the Company determines that it has limited ability to influence the control of ESG considerations in its customers, suppliers or other third-party service providers. In such instances, the Company may encourage such third parties to consider relevant ESG principles.
- We will seek to be transparent in our approach to incorporating ESG consideration in the Company. We will provide timely information to our investors on the matters addressed in the Policy and be responsive to information requests regarding such matters. The format of such information may vary between written reports or informal verbal reports.
Questions
If you have any questions regarding the Policy, please contact the Company’s General Counsel, Kevin Shin (kevin.shin@energyx.com).