Press Release: $658 Billion Norwegian Investment House Cites Uncertainty in Pulling Out of Dakota Access Pipeline Project
Storebrand has made the decision to withdraw all investments from the controversial Dakota Access pipeline, including positions in the North American companies Marathon Petroleum Corporation, Enbridge Inc. and Phillips 66.
“We have come to the conclusion that active ownership is not going to deliver a better outcome, and after an overall assessment of the situation, we have decided to sell these positions,” says Matthew Smith, Head of Sustainable Investments, Storebrand.
“There is too much uncertainty, for us as an investor, as to whether there has been a good process that ensures the rights of all parties in the conflict. There has been involvement by the United Nations, by President Obama, and President Trump. Caught in the middle are the people directly impacted by the pipeline.”
“Generally, it is our belief that we can have a more positive effect on companies and situations by using our position as an owner to affect change. We have successfully done so on many occasions, but it doesn’t always work, says Mr. Smith.”
Storebrand has been in direct contact with the companies, and has worked with international groups of investors. Our most recent initiative is an investor letter, representing 137 investors with $653 billion assets under management, that encourages involved banks that have lent money to the project to use their position and influence to engender positive change and a reconsideration the routing of the pipeline.
“As we have concluded that active ownership is not going to deliver a better outcome, we do hope that this can give a final indication to the involved companies to reconsider the routing of the pipeline, says Mr. Smith.”
- Norway’s largest private investor
- Asset under management: $68,9 billion
- Announced as the world’s most sustainable finance company/bank, by Corporate Knights, in Davos this year, and second in the world after Siemens
About Storebrand’s investments in Dakota Access:
Storebrand’s investment in the project consisted of:
- Philips 66 $11,5 million
- Marathon Petroleum Corporation $7 million
- Enbridge Inc. $16,2 million
- Total $34,8 million