LyondellBasell Industries NV
LYB
Materials
3
exclusion reasons
3 themes
This page is part of our public exclusion list — a transparency tool that shows which companies we screen out and why. It is not investment advice, and it is not an accusation. But it is subject to change as our understanding of the facts evolves.
LyondellBasell has been responsible for worker deaths from chemical leaks at its petrochemical plants. A July 2021 acetic acid leak at its La Porte, Texas facility killed two workers, and the company has faced Clean Air Act enforcement actions for hazardous releases.
LyondellBasell’s chemical manufacturing operations have resulted in documented, localized harm to communities near its facilities. In July 2021, a catastrophic release of approximately 100,000 pounds of acetic acid during a maintenance event at its La Porte, Texas plant killed two contractors and injured 30 others, with one person remaining hospitalized. The U.S. Chemical Safety and Hazard Investigation Board is investigating the incident.
Separately, the company has a pattern of air pollution violations impacting neighboring communities. In October 2021, LyondellBasell reached a settlement with the EPA and the Department of Justice requiring it to install pollution control and emissions monitoring equipment at six of its chemical plants in Texas and Iowa. This action addressed systematic Clean Air Act violations at these specific sites. While the company cites an industry-leading safety record in its corporate disclosures, these repeated incidents at individual facilities demonstrate a tangible, ongoing risk to the health and safety of the surrounding communities.
LyondellBasell Industries NV is a global chemical and plastics manufacturing company whose operations are water-intensive and have been linked to significant water resource impacts. The company's manufacturing processes require substantial water volumes for cooling and chemical reactions, placing strain on local water supplies, particularly at its facilities in water-stressed regions.
A 2021 settlement with the U.S. Environmental Protection Agency and Department of Justice, while primarily addressing air violations, documented systemic operational failures at multiple LyondellBasell facilities. The complaint noted failures to properly operate and monitor industrial equipment, leading to excess emissions. This pattern of regulatory non-compliance extends to water stewardship, where the company's large-scale petrochemical operations risk groundwater contamination and depletion. The company's footprint in Texas, an area prone to drought and aquifer strain, highlights the material risk its operations pose to shared water supplies.
LyondellBasell’s sustainability disclosures lack specific, time-bound commitments to reduce absolute water withdrawal or to address the cumulative impact of its operations on watershed health. The company’s water management approach remains focused on efficiency within facilities rather than on preserving the quality and availability of the resource for surrounding communities and ecosystems.
Research Sources
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