Michael Slezak reports in The Guardian (28.1.16) that Australian thermal coalmines are some of the riskiest in the world for investors because of their exposure to environmental dangers, according to a report from Oxford University.
‘The report – which was supported by Norges Bank Investment Management, managers of Norway’s government pension fund, the world’s largest sovereign wealth fund – also found that Australian, Chinese and US coal-fired power stations were the most vulnerable to environmental risks.
The researchers assessed the assets of the top 100 coal-fired utilities and top 20 thermal coalmining companies for their exposure to a range of environmental risks, including climate-change policies, water stress, air pollution and competition from renewables and gas.
Ben Caldecott , the lead author of the report, said its purpose was to provide information for investors, the broader public and the companies. … Caldecott said the findings meant investors should be very cautious about supporting projects associated with thermal coalmines in Australia, such as Adani’s Carmichael mega-mine and the Shenhua Watermark mine.