An oil worker holds raw sand bitumen near Fort McMurray in 2008. THE CANADIAN PRESS/Jeff McIntosh

Norwegian pension fund omits four Canadian firms as it exits oilsands investments

KLP to no longer invest in companies that get more than five per cent of revenue from oilsands

The largest pension fund in Norway has removed four Canadian energy names from its investment list and says it will no longer put money in companies that derive more than five per cent of their revenue from the oilsands.

KLP says it sold US$58 million worth of stocks and bonds as it reduces its tolerance threshold for companies with interests in the oilsands from 30 per cent to five per cent, matching its limit for coal investments.

The fund says it will now exclude Calgary-based Cenovus Energy Inc., Suncor Energy Inc., Imperial Oil Ltd. and Husky Energy Inc. from investment consideration, along with Russia-based Tatneft PAO.

Shares in all four companies have fallen since a year ago as growth outstripped pipeline capacity, leading to steep price discounts and legislated production curtailments in Alberta.

Keith Stewart, senior energy strategist with Greenpeace Canada, says in an email institutional investors are continuing to abandon high-carbon investments because they “can see where the puck is heading.”

READ MORE: Alberta oil and gas producer cleanup cost estimates set too low, says coalition

In a news release, the Norwegian fund which administers more than US$81 billion in assets says a full exit from the oilsands is “great news” for customers because that activity is not aligned with a two-degree Celsius global warming target.

“By going coal and oilsands free, we are sending a strong message on the urgency of shifting from fossil to renewable energy,” said KLP CEO Sverre Thornes in a statement.

The Canadian Press

Like us on Facebook and follow us on Twitter

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

County of Paintearth releases summary of initial round of community engagement sessions

‘Various aspects of the existing Land-Use Bylaw and Municipal Development Plan were reviewed during the sessions’

County of Paintearth council hosts virtual delegation from RMA during June 2nd meeting

The RMA also usually hosts two conferences for municipalities in a given year

Alberta reports just seven new COVID-19 cases

‘Today’s numbers mark an occasion to be celebrated’

Still no confirmed active COVID-19 cases in Red Deer, central zone

There are 15 new confirmed cases were in Alberta, the province said Thursday

Town council moves to re-open community playgrounds

Highlights from the Town council meeting of May 25th

PODCAST: Black Lives Matter in central Alberta

Community organizers come on the show to discuss central Albertan anti-racist movement

Montreal man believes rough arrest caught on video was racially motivated

Montreal man believes rough arrest caught on video was racially motivated

N.B. police shooting of Indigenous woman leads to questions on ‘wellness checks’

N.B. police shooting of Indigenous woman leads to questions on ‘wellness checks’

Minister says reckoning on police violence against Indigenous people needed

Minister says reckoning on police violence against Indigenous people needed

Nunavut to bring in civilian police review after arrest video: minister

Nunavut to bring in civilian police review after arrest video: minister

Trudeau takes a knee at anti-racism protest on Parliament Hill

Trudeau takes a knee at anti-racism protest on Parliament Hill

Liberal MP Marwan Tabbara faces assault, break and enter, harassment charges

Liberal MP Marwan Tabbara faces assault, break and enter, harassment charges

Black Canadians say racism here is just as harmful as in the United States

Black Canadians say racism here is just as harmful as in the United States

Implementation of Divorce Act reforms delayed eight months by pandemic

Implementation of Divorce Act reforms delayed eight months by pandemic

Most Read