Risk management is central to our overarching strategic management process.
Our risk management culture starts at the top. Regular presentations from subject-matter experts keep the Board and its committees apprised of material risks affecting the Company, including economic, environmental, cybersecurity, and social issues. Risk management strategies adopted by the Board are translated into corresponding policies and operational procedures, ensuring effective management and accountability. Employees throughout the organization are trained and incentivized to mitigate risk and put compliance into practice.
CNX’s Chief Risk Officer (CRO) reports to the CEO and works closely with the operational, financial, cybersecurity, and legal teams to identify, assess, and mitigate strategic, operational, compliance, and reputational risks.
ESG Oversight
ESG matters are embedded in our Enterprise Risk Management, under the leadership of the CRO, with support from our Sustainability Committee. This cross-functional leadership team evaluates our ESG performance against our stated targets and drives continuous action and initiatives to ensure progress against our goals. CNX’s Emission Reduction Task Force (ERTF) includes members from our operational, environmental, engineering, and data management teams, and focuses on reducing and improving our emissions footprint. The task force evaluates innovative technologies and processes to target areas with the most significant potential for methane reduction. The Sustainability Committee and the ERTF report up through executive management.
The Chairman of our Environmental, Safety, and Corporate Responsibility Committee—whose membership includes all CNX board members—has formal oversight of ESG issues at the Board of Directors level. Executive management provides regular updates to the committee on matters relating to corporate responsibility, including material topics outlined in this report. CNX’s consideration and assessment of ESG matters extends well beyond the boardroom and includes experts at all levels of the company with clear avenues of elevation to company management.