Oil and gas giant supports Arctic drilling, shields strategy from shareholder review
Press Release Contact: Kyle W. Kempf, Green Century Capital Management, email@example.com, (617) 482-0800
Boston, February 18, 2021 – As the Chevron Corporation (Chevron) deals with the repercussions of its latest oil spill, the company remains committed to potentially exploring and developing the Arctic National Wildlife Refuge Coastal Plain.
To address this failure, Green Century° filed a shareholder resolution with the company, urging it to commit to renouncing oil and gas exploration and production in the Arctic.
Chevron wants to block its shareholders from considering the resolution too, as the company has petitioned the U.S. Securities and Exchange Committee (SEC) to exclude Green Century’s resolution from its proxy statement.
“Chevron’s interest in pursuing its misguided strategy to explore and develop the Arctic National Wildlife Refuge will expose it to a range of substantial and material business risks,” said Green Century Shareholder Advocate Jessye Waxman. “It is telling that the company wants to block its own investors from evaluating and considering these risks.”
The Bureau of Land Management calculated that burning all the oil in the Arctic Refuge would release over 4.3 gigatons of CO2e, equivalent to 64% of U.S. 2018 emissions. The Arctic National Wildlife Refuge is home to more than 200 bird species, 42 types of fish, and 45 mammals, including four threatened species which are protected under the Endangered Species Act.
It is unsurprising then that the prospect of drilling in the artic is wildly unpopular. More than two-thirds (67%) of Americans oppose drilling in the Arctic Refuge, and dozens of global banks, including Goldman Sachs,* JP Morgan,* and CitiBank,* have vowed not to finance drilling in the region, recognizing its inherent risks.
The well-documented ecological and reputational risks associated with Artic drilling have not completely deterred Chevron. Chevron declared its support for drilling in the Arctic Refuge at its 2020 annual general meeting. Now, instead of engaging with Green Century’s resolution, Chevron is attempting to dismiss it.
Asked Green Century President Leslie Samuelrich: “If drilling in the Arctic is a sound business strategy, what does Chevron have to hide? Why try to squelch our shareholder resolution?”
About Green Century Capital Management
°Green Century Capital Management, Inc. (Green Century) is the investment advisor to the Green Century Funds (The Funds). The Green Century Funds are the first family of fossil fuel free, responsible, and diversified mutual funds in the United States. Green Century Capital Management hosts an award-winning and in-house shareholder advocacy program and is the only mutual fund company in the U.S. wholly owned by environmental and public health nonprofit organizations.
*As of December 31, 2020, no securities mentioned were held in the portfolios of any of the Green Century Funds. References to specific securities, which will change due to ongoing management of the Funds, should not be construed as a recommendation by the Funds, their administrator, or their distributor.
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