Wildfires erupt in Canada crude patch in threat to oil sands
One 7-acre fire is within about 6 miles of MEG Energy Corp.’s Christina Lake site, which produced almost 100,000 barrels a day in May.
MP Pension of Denmark is looking into expanding its blacklist of fossil-fuel assets to encompass bonds, after confirming it has now exited oil stocks worth 870 million kroner ($131 million).
Stocks banned from MP’s portfolio include Lukoil PJSC, ExxonMobil, BP, Chevron, PetroChina, Rosneft, Royal Dutch Shell, Sinopec, Total, Petrobras and Equinor.
“None of the companies was on a path that could be reconciled with the goals in the Paris agreement,” Anders Schelde, MP’s chief investment officer, said in a statement. “So they were removed from our portfolio.”
Schelde said MP is now looking at debt instruments tied to the fossil-fuel industry, in an effort to expand its ESG strategy.
“In future, we’ll look not just at stocks but also at bonds issued by firms involved in coal and oil sands,” he said.
More specifically, MP will sell bonds “in a handful of companies” that get more than 25% of their revenue from thermal coal, the fund said in an emailed reply to questions on Tuesday. What’s more, MP will review its ESG strategy annually to see whether it can do more, it said.
In its stock portfolio, MP said it still needs to review two companies that “meet the definitions in our list of reasons to divest,” namely Eni and Repsol.
(By Frances Schwartzkopff and Christian Wienberg)
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