Environmental, Social and Corporate Governance Investment Policy Statement
EnCap Flatrock Midstream believes that a focus on Socially Responsible Investing (“SRI”), which integrates environmental, social and corporate governance (“ESG”) considerations in our business decisions, is essential to creating value for our investors and developing a more sustainable long-term strategy for our funds and portfolio companies.
EnCap Flatrock Midstream believes that it has a moral obligation to play a role in making the world a better place to live through SRI and that doing so simultaneously creates a superior risk-return profile for our investments. EFM works closely with our portfolio companies to build businesses with a like-minded commitment toward ESG issues.
EFM’s fundamental ESG building blocks can be summarized as follows:
Environmental Policy
- We encourage and embrace the efficient use of natural resources and continuously look for and expect the best environmental solutions for our portfolio companies’ operations.
- We believe that economic considerations alone do not provide sufficient guidance for environmentally conscious decision-making that balances the interests of individuals, communities and future generations.
- We seek to fully comply and/or exceed compliance with applicable environmental regulatory requirements.
Social Policy
- We treat all employees, stakeholders and others who are affected by EnCap Flatrock Midstream’s activities fairly and without prejudice to gender, race, ethnic or national origin, socioeconomic status, age, religion or disability.
- We seek to ensure that EFM’s underlying employees and portfolio companies comply with the highest ethical standards.
- We believe our activities should not only benefit our employees and stakeholders, but the community as a whole.
Corporate Governance Policy
- We seek to ensure that our business practices comply fully, in appearance and deed, with all applicable laws and regulations.
- We strive to maintain EnCap Flatrock Midstream’s reputation by exhibiting diligence, honesty, fairness and transparency in all of our business dealings.
- We ensure that all portfolio companies have in place appropriate frameworks and measures for corporate governance.
EnCap Flatrock Midstream remains committed to a strong, hands-on approach towards ESG issues to promote a more sustainable society.