Worley Limited Sustainability-Linked Bond Framework Second-Party Opinion (2021)
Sustainability Linked Bond or Note
Use of Proceeds
Sustainalytics is of the opinion that the Worley Limited Sustainability-Linked Bond Framework aligns with the Sustainability-Linked Bond Principles 2020. This assessment is based on the following:
Selection of Key Performance Indicators (KPIs)
Worley Limited Sustainability-Linked Bond Framework includes one KPI, absolute Scope 1 and 2 emissions for the operationally controlled entities and assets of Worley Group (see Table 1). Sustainalytics considers the KPI to be adequate given that it directly measures emissions, follows an external methodology, and can be benchmarked, and based on a consideration of the proportion of Worley’s total GHG emissions that it accounts for.
Calibration of Sustainability Performance Target (SPTs)
Worley has established an SPT to reduce absolute Scope 1 and 2 emissions by at least 57,177t CO2-eq. by FY2025, which is a 50% reduction with respect to restated FY2020 baseline of 114,343t CO2-eq. Sustainalytics considers the SPT to be aligned with the Issuer's sustainability strategy and considers the SPT to be highly ambitious based on a comparison with past performance and peers’ targets, and on its alignment with science-based trajectories. The achievement of the SPT will contribute to SDG 9.
Worley Limited will link the bond's financial/ structural characteristics to the achievement of the SPT, namely an increase in the redemption price, the SPT needs to be achieved.
Worley Limited commits to report on an annual basis on its performance on the KPI in its annual Sustainability Report, the ESG section of the Annual Report, and on the Company website. The reporting commitments are aligned with the SLBP.
Worley Limited commits to have external limited/ reasonable assurance conducted on its KPI performance at the communicated SPT deadline, which is aligned with market expectations.