Commitment to Governance
We are committed to building a diverse culture and workplace through a strong and sustainable governance framework. This is a commitment that must follow regulatory standards, with the goal of strengthening The Board's and management's accountability, ultimately creating superior performance and building trust.
Governance at Pieridae is based on that foundation of integrity. There are no moral shortcuts. We are committed to much more than meeting legal requirements and obligations. At Pieridae, we will continue to improve Pieridae’s overall governance by updating and enhancing our corporate policies. An example of this is our clean Institutional Shareholder Services (“ISS”) Report issued in 2020.
Under the umbrella of Board oversight and guidance, Peridae’s senior leadership team defines the goals and measurement to build a stronger company within the overarching framework of strategic goals that are influenced by an ESG mindset. Leaders then develop and sign annual performance agreements whose foundation is born of these goals. A drive to achieve them flows from an individual’s values, with the added incentive that these signed goals are tied to compensation, making everyone accountable for the company’s success.
I am excited to join Pieridae's board and contribute to the success of this progressive Canadian company. Pieridae's commitment to ESG including: reduction in green house gas emissions; advancement of indigenous relations and employment; and, increasing women on its board and executive team all contribute to increasing stakeholder value at this important time for the company, our province and country.” Chair of the Governance & ESG Committee Kiren Singh.
Investors are continuing to expect more and more transparency from Boards in how they oversee particular topics. ESG oversight is no exception. Because ESG strategy should align with business strategy and focus on material risks and business drivers, the full board will want to understand the ESG messaging and how those risks are being mitigated.
Ultimately, ESG issues will be relevant to all committees.
Assists Pieridae’s directors in preparing and disclosing the company’s consolidated financial statements, the satisfactory performance of the independent audit function and assessing and mitigating risk.
Nomination and Compensation Committee
Assists Pieridae’s directors with oversight of the effective governance of the company, the management of its human resources, the compensation of its directors and Officers and the evaluation of their performance.
Reserve and Health, Safety and Environment Committee
Assists Pieridae’s directors with proper and timely regulatory compliance, compliance under National Instrument 51-101 - Standards of Disclosure for Oil & Gas Activities, protects employees and the environment’s health and safety, ensures Pieridae carries out appropriate environmental and social practices or mandates in the areas where it operates, and reviews and approves management policy.
Governance and ESG Committee
Assists Pieridae’s directors in ensuring the adequacy and effectiveness of the Board's governance practices; review the composition of the Board members ensuring that an appropriate number of directors serve on the Board as well as identifying the competencies, skills and diversity that the Board, as a whole, should possess; review and provide guidance as to the content of the Corporation’s ESG framework and to consider and to recommend policies that conform with the framework; help set the Corporation’s general strategy with respect to ESG matters.
Pieridae ESG Committee's Mandate
Pieridae has established an ESG Committee, with representation from across the company, to establish and progress the mandate below.
This mandate supports the company’s ESG strategy to ensure Pieridae remains focused on its material ESG risks and opportunities.
The ESG Committee will work with Pieridae’s leadership and teams throughout the organization to achieve the following:
- Minimize the harmful impacts to the world around us.
- Build prosperous communities through inclusion and respect.
- Identify opportunities for increasing efficiencies and streamlining operations.
- Minimize regulatory and legal risk.
- Satisfy stakeholder needs to maximize long-term stakeholder value.
- Enhance investment opportunities through optimal ESG performance.
- Increase employee productivity through integrating ESG into a ‘One Pieridae’ culture.
- Ensure ESG performance is linked to executive compensation.
- Assist Board in carrying out governance and oversight responsibilities for ESG.
Diversity and Inclusion
As part of its new policy, the company aspires to increase the diversity on its Board, and within the organization generally, and will be taking appropriate action to achieve that objective.
Diversity on the Board and the senior leadership team demonstrates the company’s dedication to diversity at all levels within the organization and its commitment to foster an inclusive corporate culture that is based on merit and is free of bias, whether conscious or unconscious.
Pieridae took tangible action in 2020 by adding Kiren Singh to the Board in the summer of 2020. Ms. Singh is a financial executive and corporate director who served as Chief Financial Officer, Vice President Risk Management and Treasurer during her 30-year career in the energy sector. She brings a wealth of financial experience to our Board which will help immeasurably as we move to finalize financing for our Goldboro LNG Project and the upstream development.
When it comes to equity, we recognize this needs to be linked with a culture of inclusion. While Pieridae has taken initial steps, more discussion needs to occur, including exploring ways to analyze and then elevate anti-racism and equity.
“Ms. Singh brings a wealth of financial experience to our Board which will help immeasurably as we move to finalize financing for our Goldboro LNG Project and the upstream development,” said Pieridae CEO Alfred Sorensen. “We will also look to her government relations experience as we continue to discuss financial support with different levels of government during the final push for the Project.”
A company can have the most advanced and well-thought-out business strategy in place, but if that strategy is not supported by robust risk management, issues may occur that could have a profound and material impact on both the corporation and its stakeholders
ESG and risk management can intersect in a number of areas. For example, dealing with a negative environmental issue is positive from the ‘E’ standpoint, but the solution could be detrimental in social areas such as job creation, overall economic impact and community prosperity, including Indigenous Peoples and a path to reconciliation. So, the difficult balances when making decisions and setting targets should be assessed across the ESG continuum.
Pieridae has in place a wide variety of policies designed to both manage risk, govern sustainability and ensure proper governance, this includes:
- Code of Ethical Conduct Policy;
- Disclosure, Trading and Anti-Corruption Policies;
- Health, Safety and Environment Policy;
- Diversity and Inclusion;
- Prevention of Harassment Policies;
- And Whistleblower Policy.
Code of Ethical Conduct
Pieridae’s objective is to maintain the highest standards of ethical business behaviour. Ethical conduct by employees means being honest and fair when they interact with colleagues as well as customers, suppliers, lenders, investors and other stakeholders of the Company and the public. Pieridae’s reputation for business integrity is a critical asset that can only be strengthened through the efforts of its employees and the fact that employees avoid activities or have interests that could taint their reputation or the company’s.
The Company is committed to the highest standards of ethics, morality, and law in its commercial activities. The purpose of this policy is to encourage employees to report, anonymously or not, suspected breaches of the law or ethical conduct.