Business strategy
At LW Bogdanka, we are aware of the challenges faced by the entire mining industry, in Poland and worldwide. We know that the changes are necessary and inevitable. At the same time, however, we also understand that coal is still an indispensable raw material for the national economy, and the jobs that we create, directly and indirectly, are crucial to the development of the entire region.
Our transition proceeds thoughtfully and rationally, so as to take the best care of the company and, above all, the people associated with it. We proceed on the basis of the LW Bogdanka Development Strategy, which addresses the challenges raised by the market environment and stakeholders. We combine continuity and transition, trusting that this is the only approach that will allow us to look boldly into the future.
The key assumptions of our strategy are as follows:
- diversification, i.e. expansion of business areas. We envisage an increase in the share of the so-called green initiatives (production of components for RES, development of RES) and development of land surfaces after mining operations are discontinued
- identifying, appraising and documenting new coal resources (coking coal - type 35)
The implementation of non-core business activities will create new jobs. Some of the employees currently employed in mining will have the opportunity to move on to new jobs that will be created within the organization..
In line with the strategy, we will endeavor to remain the most cost efficient producer of steam coal in Poland, which effectively competes with other coal producers and suppliers, while at the same time maintaining the present production potential until 2040. The work on updating the Business Strategy, including its ESG aspects, began in 2022. The document is to be adopted in the autumn of 2022.
The overarching values guiding the LW Bogdanka Group are integrity, professionalism and responsibility.
These values ensure harmonious development of the Group, which pursues its business objectives in line with social expectations and environmental requirements. After four years of implementation of the “Social Responsibility Strategy for 2018-2021”, following a series of dialogue sessions with the Company's key stakeholders based on the AA1000 standard, the Company achieved most of its targets, maintaining its position as a leader in sustainable development in the Region.
The main objectives of the Strategy were:
- to ensure the highest level of occupational safety
- to reduce the impact of activities on the safety of local natural environment
- to ensure safety and stimulate development of the local community
- to pursue transparent and accountable management practices
As part of Lubelski Węgiel Bogdanka S.A.'s business operations focused on sustainable development goals, as well as in connection with the completion of the Social Responsibility Strategy for 2018-2021 and plans for continuous improvement, thus increasing the Company's involvement in the development of organizations and the local environment in economic, social and environmental aspects, the Company took a decision to develop and adopt an ESG Strategy, which will be implemented as an integral part of LW Bogdanka S.A.'s business strategy. The ESG Strategy will focus on the same areas, but with a new focus on environmental, social and governance (ESG) factors, taking into account the perspectives of various stakeholder groups, legal conditions, market trends as well as a long-term plan for the so-called just transition and challenges facing the mining industry.