The company has secured a sustainability-linked loan of US$1.4 billion from lenders for a five-year term to 2026.

The new facility refinances the company's existing undrawn facility that was due to expire in 2023.

The new facility will link to South32's emissions reduction commitments and efforts to improve energy and water use efficiency.

South32 chief financial officer Katie Tovich said sustainable development was at the heart of the company's purpose and formed an integral part of its strategy.

"We are taking meaningful action to benefit our stakeholders, our planet and our business," she said.

"Our new revolving credit facility provides South32 with continued access to substantial liquidity and is one of the first in the mining sector to be directly linked to sustainability performance, aligning our action and access to capital."

Earlier this year, South32 announced a goal to reduce scope 1 and 2 emissions by 50% by the 2035 financial year.

"The inclusion of specific measures on our sustainability performance demonstrates our commitment to make a difference by developing natural resources in a way that improves people's lives now and for generations to come," South32 chair Karen Wood said.

"Together with the recent changes to our remuneration framework to align with our commitment to decarbonise and reshape our portfolio, the new facility strengthens this alignment between our business and stakeholders."

Shares in South32 were down 0.2% to A$3.80.