techkenyot.com
techkenyot.com March 26, 2019


Norway’s $1 trillion fund to dump oil and gas shares

10 March 2019, 10:38 | Hattie Nash

World’s largest sovereign wealth fund in Norway to dump oil stocks

Infografik Norwegens Bank Fond von Öl abhängig EN

European energy stocks fell sharply after the Norwegian government said its trillion-dollar sovereign wealth fund, the world's largest, will drop oil and gas companies from its benchmark index and its investment universe.

The fund invests Norway's revenues from oil and gas production for future generations in stocks, bonds and real estate overseas.

The government of Norway, the biggest oil and gas producer in western Europe, said it was specifically targeting exploration and production companies, "rather than selling a broadly diversified energy sector".

"The objective is to reduce the vulnerability of our commonwealth to a permanent oil price decline", Finance Minister Siv Jensen said, stressing the move should not be interpreted as a lack of confidence in the future of the oil sector.

Abandoned tents, foxholes left behind by ISIS in Syria
It is unclear how many people remain inside, but the SDF has been surprised by the large numbers streaming out in recent days. On Wednesday, a senior SDF commander said that about 400 ISIL fighters were captured as they tried to leave the enclave.

Norway's $1 trillion wealth fund will begin dumping its shares in oil and gas companies, but stopped short of expelling major producers like Total and Chevron.

Major integrated oil companies will be breathing a sigh of relief, as the Norwegian fund owns large amounts of their shares. The fund said the shift would affect 1.2 percent of its equity holdings.

The decision "does not reflect any specific view on the oil price, future profitability or sustainability of the petroleum sector". "This assessment is thus independent of the government's current petroleum policy, which remains unchanged".

After more than a year of deliberation, the government on Friday approved excluding 150 companies that are held by the fund and classified as exploration and production companies by FTSE Russell.

Solskjaer says Molde contract ended, plays down his Manchester United prospects
Paul Pogba is back from suspension, while Anthony Martial , Nemanja Matic and Ander Herrera could be fit to return from injury.

The Norwegian fund derives its income from the country's own oil and gas industry.

Charlie Kronick, oil campaigner for environment group Greenpeace UK, said: "This partial divestment from oil and gas is welcome, but not enough to mitigate Norway's exposure to both global oil and gas prices and the wider financial ramifications of climate change".

Talking point: The significance of this move is in its motivation: not necessarily one of climate activism, but a clear indication that there is financial advantage in a transition away from fossil fuels. The Norwegian government indicated in its release that it expects most of the future growth in renewable energy to come from companies that do not now have renewable energy as their main business. That oil and gas have contributed millions and millions of tons of carbon dioxide to the Earth's atmosphere during that time.

Last year, a panel of experts appointed by the government advised against divesting oil stocks, arguing it would only have a marginal impact on Norway's oil exposure.

Turbulance injures at least 25 on flight into NY
The National Weather Service's Aviation Weather Center had issued warnings for pilots flying over parts of America's east coast. It was the second mishap on Saturday involving a plane in the NY metropolitan area.

However, environmental organizations in the country want the Finance Ministry to proceed and take new steps that ultimately will result in a full exit from companies engaged in oil and gas.



Other News

Trending Now

Samsung Galaxy S10 Buyers Get Six Free Months of Spotify Premium
Separately, Samsung also announced a promotion with YouTube to give Galaxy S10 buyers access to 4 months of YouTube Premium . If you are buying the new Samsung Galaxy S10 series of smartphones, be sure to check whether the box is sealed or not first.

R. Kelly freed from jail after someone made $161,000 payment
And as he walked out of jail , Kelly had words for the cameras and media members that gathered there to document his freedom, too. Kelly's publicist said then that the singer had $60,000, but the judge insisted Kelly pay the full amount he owed to avoid jail .

Bank of Canada's interest rate decision helps utilities and telecom sectors
Yields on two-year Canadian government bonds dropped 8 basis points to 1.66 per cent, the lowest since December. The bank, however, noted that global economic prospects would improve if ongoing trade conflicts are resolved.

Ball joins Ingram, shut down for season
Lakers coach Luke Walton said earlier this week that Ingram had pain whenever he attempted to lift his arm. There was some mystery behind the reason for Ingram missing the last two games for the Lakers .

Inside access: All the videos from the Ambani wedding ceremony
Google CEO Sundar Pichai , and former United Nations secretary general Ban Ki-Moon are also expected at the star-studded affair. The Jio World Centre situated in Bandra-Kurla Complex (BKC), is the venue for the function.

When will Bryce Harper play for the Phillies in spring training?
Harper said Wednesday he hasn't spoken with MLB about his comments, which could be a violation of the league's tampering rules. Bobby Abreu coaching Phillies outfielder Bryce Harper . yeah, it's not something you ever thought would happen.

Jack Grealish: Second City derby win the 'best day of my life'
Former England defender turned Sky pundit Gary Neville called for Blues to be docked points over the attack on Grealish. The Aston Villa midfielder was reportedly unhurt in the altercation, going on to score the only goal of the match.

LeBron James Passes Michael Jordan On NBA's All Time Scoring List
Ahead of the game, James tweeted the game was going to be " UNREAL " and that he "can't even front". It was the Lakers star's 32,294th career point, moving him into fourth on the list.

U.S. citizens will need a visa to visit Europe starting in 2021
Visa-free travelers, including USA citizens, will need to request ETIAS authorization before visiting the Schengen Area. In June 2018, the European Commission voted in favor of imposing visas on USA citizens in the five countries.

Gerrard says 'slip' pain will not ease even if Liverpool win league
I wouldn't call it stress and I am enjoying it but there is no doubt sleeping is more hard . "I always want to be better". Paul Merson has warned Jurgen Klopp that Liverpool FC are facing a must-win game against Burnley at Anfield on Sunday.