Deutsche Bank says it won’t back an new oilsands or coal projects

Deutsche Bank says it won’t back an new oilsands or coal projects

CALGARY — Frankfurt-based Deutsche Bank is joining a lengthening list of European lenders and insurance companies that say they won’t back new oilsands projects.

The German bank says its new fossil fuels policy will also prohibit investing in projects that use hydraulic fracturing or fracking in countries with scarce water supplies and all new oil and gas projects in the Arctic region.

It says its ban on oilsands financing, effective immediately, will include exploration, production, transport or processing, seemingly including oilsands pipelines and upgraders or refineries.

It says it will stop financing and capital markets transactions involving coal mining by 2025 at the latest after achieving a goal last year to reduce its loan exposure to coal-fired power plants by 20 per cent. It says it won’t finance any new coal power plants.

Deutsche Bank says the moves are part of a commitment to align its credit portfolios with the greenhouse gas reduction goals of the Paris Agreement.

Two years ago, Europe’s largest bank, HSBC Holdings plc, announced it would no longer offer financial services for new oilsands projects or pipelines, a move that led to producer Suncor Energy Inc. vowing to end all business with HSBC, including in its conventional oil operations in Europe.

“Deutsche Bank’s updated fossil fuel policy is the latest warning shot telling us that doubling down on coal, oil and gas will sink our economy while destabilizing the climate,” said Greenpeace Canada campaigner Keith Stewart.

“We still have time to protect the workers, communities and regions currently dependent on oil as we navigate this shift and ensure that all Canadians prosper in the new low-carbon economy.”

This report by The Canadian Press was first published July 27, 2020.

Companies in this story: (TSX:SU)

The Canadian Press

oil and gas

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

Just Posted

76 new cases of COVID-19 reported Thursday

Active cases at 1,036, 10,713 recovered cases

Alberta RCMP launch online crime reporting

Select property crimes can now be reported online through the province-wide initiative

COVID-19 tests urged for all teachers and school staff

121 new cases Wednesday, active cases up to 1,040

Two-night fundraiser supports Sylvan Lake family after parent death

Billy Cooney, owner of Cooney Creek Plumbing and Heating, died July 25 after a dirt bike accident

Sylvan Lake Community Partners reorganizes to better serve clients

The facility was thoroughly cleaned and reorganized during its shutdown due to COVID-19

Charges likely in fatal attack at central Alberta medical clinic: RCMP

A vigil was held Monday night to mourn the victim

Wetaskiwin Regional Public Schools receive grant from Indigo Love of Reading Foundation.

WRPS has received $15,975 from the Indigo Love of Reading Foundation.

Three people drown at Crescent Falls

Rocky Mountain House RCMP say the incident occurred Tuesday

Feds seeking private consultant to design firearm buyback program

The ban covers some 1,500 models and variants of what the government considers assault-style weapons

Face masks for teachers can impact learning on young children, experts say

Face coverings, mandatory in most indoor public places across the province, can help limit the spread of COVID-19

New Tory leader must build a strong team in Commons and for the campaign: Scheer

Scheer marked his final day in the House of Commons today as leader of the Opposition

Man accused of killing Red Deer doctor says he does not remember attack

Appearing before a judge, Deng Mabiour, 54, rambled about being sick and needing a doctor

Deaths feared after train derails amid storms in Scotland

Stonehaven is on the line for passenger trains linking Aberdeen with the cities of Edinburgh and Glasgow

Man, 54, charged in connection with fatal attack of Red Deer doctor

Doctor was killed in his walk-in clinic on Monday

Most Read