The Nikkei economic newspaper said on Sunday that Japan’s Sumitomo Trading Group will stop investing in new oil projects as part of a shift away from fossil fuels, amid global efforts to reduce greenhouse gas emissions.
The move comes at a time when global mining companies and the role of Japanese trade are reducing their exposure to coal projects, including mining and electricity generation; With the aim of containing carbon dioxide emissions and curbing climate change.
The main Japanese trading houses said that they would stop investing in new projects to develop thermal coal mines or build coal-fired power stations, but this is the first time that a Japanese trading company decided not to invest in new oil projects, according to Nikkei.
The newspaper added, without mentioning its sources, that “Sumitomo” will not participate in the tenders for new oil projects, but will continue its existing oil projects such as those in the North Sea.
In terms of energy and natural resources, Sumitomo will focus its resource management on renewable energy such as offshore wind farms and industrial minerals, such as copper and nickel used in electric cars, Nikkei added.
Sumitomo was not immediately available for comment.