Published on May 5, 2022
A shareholder proposal was submitted by Bâtirente, with the support of Æquo, asking for Imperial Oil to adopt a policy of ceasing exploration and development of new oil and gas fields. The resolution garnered the support of 6,9% of votes of minority shareholders (Exxon Mobil owns approximately 70% of Imperial Oil’s common equity). This relatively low score is not surprising considering that this is an emerging issue, and no Canadian company has yet taken such a stance. Nevertheless, the proposal allowed for the board and shareholders to consider the risks associated with continuing to grow oil and gas reserves at a time when the world needs to reduce the combustion of fossil fuels. The International Energy Agency states that if we were to follow a pathway to net zero emissions by 2050, there would be no need for exploration and developments of new oil and gas fields. For more information, see our Investor Memo and Proxy circular.