Successful risk management not only ensures long-term sustainability, but also can create a competitive advantage.
A trusted and proven approach to managing risk is essential to the ongoing sustainability and commercial viability of our business. It is the backbone of our social licence to operate, assuring stakeholders that we understand the possible risks of our activities, have taken adequate steps to avoid or mitigate them to an acceptable level and have systems in place to operate responsibly.
The risks Santos faces include environmental, health, safety, fraud, security, climate change, operability, supplier selection, joint ventures, financial, project execution, commercial, investment and divestment risks.
We manage these by:
A systems-based approach
Santos’ processes are aligned with ISO 31000 Risk Management – Principles and Guidelines, which defines risk as the effect of uncertainty on objectives. The overall aim of our systematic approach is to identify, avoid and mitigate the impact of events that could have a material impact. Specific management approval is required for acceptance of risks above certain levels. We use risk management processes to record and monitor all significant risk assessments undertaken by the Company.