BP faces a shareholder revolt over its participation and investment in the Canadian tar sands project, reports The Daily Telegraph. Only last month Shell faced a similar revolt by asset managers and a group of pension funds.
The groups calling on BP to reconsider involvement in tar sands include the Co-Operative Asset Management, the UNISON Staff Pension Scheme and the COIF Charities Investment Fund. They have filed a motion asking BP not to commit $10bn to its Sunrise oil sands development.
Canadian tar sands is controversial because apart from the environmental damage caused by drilling for oil in the area, it’s argued that the process emits more carbon dioxide than normal drilling.
Only last week the chief executive of BP said the company would continue with its plans in Alberta, Canada. It remains to be seen whether this motion from investors will change his opinion.
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Source: The Daily Telegraph (08.02.10)
Tags: business utilities
