I am delighted to present our second annual Sustainability Report to all our stakeholders and shareholders. As a leading rare earth magnetics company with parallel supply chains inside and outside of China, Neo delivers many of the advanced materials that enable the world’s transition to green technologies.
At the same time we aim to continuously raise our standards for ESG performance. Building on the foundation of Neo’s Inaugural Sustainability Report, our second annual report expands the breadth and depth of disclosure by reporting against relevant guidelines of both the Sustainability Accounting Standards Board and the Global Reporting Initiative.
We entered 2022 with a broad list of ESG objectives that included investments in our employee health and safety programs, formation of a Green House Gas (GHG) Task Force to plan for long-term carbon emission reductions, immediate steps to reduce GHG emissions and hazardous waste, and greater engagement in our local communities. Over the past year, Neo’s global team has achieved these objectives, and made a many other meaningful advancements in our ESG journey:
We delivered outstanding safety performance across all of our global operations, achieving a lost-time incident rate of 0.22;
We launched a robust GHG measurement and long-range scenario planning exercise for carbon emission reduction, which informs realistic target setting;
We doubled the solar power generation capacity at our Korat, Thailand facility, and executed multiple projects throughout the company to improve energy efficiency;
We redirected naturally occurring radioactive material from legacy storage to a licensed industrial partner in the United States that will use the material as feedstock to produce uranium for nuclear power generation;
I am grateful to Neo’s Board of Directors for their continued support and high expectations of our management team’s public reporting effort. It has been an immensely rewarding undertaking that fits well with the company’s entrepreneurial culture and has already yielded positive results for both the environment and for business.
The sustainability report provides valuable quantitative and qualitative insights from our operating facilities that are tremendously helpful for our management team. Team members can better discuss, debate, and ultimately improve our commitment to sustainability. Equally important, the sustainability report facilitates greater transparency with customers, industry partners, and shareholders.
Once again, this year’s Sustainability report will also serve as Neo’s Communication of Progress to the UN Global Compact. We re-affirm Neo’s continued support and subscription to the UN Global Compact in 2023, ensuring our continued commitment and effort towards this initiative. Neo has thus far upheld the UN Global Compact’s Ten Principles and has made significant developments including the recent Human Rights and Responsible Procurement Policy adopted by our Board of Directors.
I want to thank our team members around the globe for their continued commitment to commercial and ESG excellence. It is an honor to be on this journey to make our world a better place every day, with better and more responsible critical advanced materials.