Diversified miner Anglo American has issued its first sustainability-linked bond valued at €745-million. The bond includes performance targets to reduce Scope 1 and 2 greenhouse-gas emissions by 30% by 2030, compared with the 2016 baseline, and freshwater abstraction in scarce areas by 50% by 2030, compared with the 2015 baseline. Anglo has also set a target to support five jobs off site for every job on site by 2030. The bond matures in September 2032. The issuing of the instrument follows Anglo publishing a Sustainability Financing Framework (SFF). Should the group not meet these targets, a higher final coupon payment will be due to the bond investors. The investors will be owed a coupon increase of 40 basis points accruing from September 2031 for each of the selected key performance indicators that did not achieve its target, or if the verification of the target had not been published. Anglo’s SFF has been established in alignment with the Sustainability-linked Bond Principles 2020, which is administered by the Loan Market Association. These are voluntary guidelines that outline best practice for financial instruments to incorporate forward-looking sustainability performance outcomes and promote the development of sustainability-linked bond markets. The SFF of the company covers bonds, loans and other financing instruments, linking the company’s funding requirements to goals set out in its mine plan.