![]() When the fund announced this year that they plan to allocate 2% of the fund ( about $28 billion) to renewable energy investments, that bodes well for Aker Horizons, a renewable energy holding company that Aker ASA is invested in. With assets totaling $1.3 trillion, the 5.3 million inhabitants of Norway own about a 1.4% stake in all the world’s public listed companies. Does $91 billion sound like a big number? That’s just how much Norway’s fund earned in 2020. Norway’s sovereign wealth fund, which holds the world’s biggest stock portfolio, is the largest sovereign wealth fund controlled by a country on behalf of its citizens. ![]() The “curse of oil” seen in places like Azerbaijan and Saudi Arabia was never a problem for Norway. Their Norwegian pedigree means they’re coming from a place that’s extremely environmentally aware, and more importantly, flush with oil cash that’s being put to good use. Credit: Aker ASA Annual ReportĪker Carbon Capture may be an independently traded company, but they come to the table with lots of industry contacts they can leverage to make things happen. This summer marks one year since Aker’s entry into the renewable energy space with the establishment of Aker Offshore Wind, Aker Carbon Capture and Aker Horizons. That’s why we were quite surprised when a reader told us about Aker Carbon Capture, a publicly traded carbon capture stock that’s listed in the United States as an ADR under the ticker AKCCF, and on the Oslo Stock Exchange under the ticker ACC.OL. But when the world’s richest man offers a $100 million prize for the best carbon capture technology, it implies what we have today isn’t up to snuff.īecause it’s early days for carbon capture technology, there are not very many publicly traded carbon capture stocks. ![]() Earlier this year, we wrote a piece titled When Will Carbon Capture Tech Become Economically Viable? in which we looked at even more startups trying to make carbon capture profitable. Companies are trying to turn carbon into chemicals, plastics, and even food, but these businesses will only scale if they can operate profitably. Capturing carbon and then turning it into products isn’t a novel idea. That’s hardly an economically viable business. The Business of Capturing CarbonĪ few years ago we asked the question, How Can We Reduce Carbon Dioxide in the Atmosphere? In that article, we looked at a company called Climeworks which was removing carbon for $100-per-ton and selling it for $26 a ton. We’re looking for an enterprise that can profitably capture carbon and show us a worthwhile ROI. The alternative is to subsidize carbon capture, but that’s not going to scale, nor will it show green tech investors a return on their investment. The amount of carbon that needs to be reduced is so massive that such a lofty goal will only be accomplished if the end solution can generate a profit for investors. You will not be able to capture carbon at scale, and at a sustainable rate, unless you can do so profitably. But here’s something both camps need to consider. The second camp believes that because so much money is being thrown at solutions to reduce carbon, you can’t help but make money by investing in carbon capture technologies. The first camp believes that reducing carbon will save the planet, and therefore we must pursue this mission at all costs, profits be damned. If you’re looking for a carbon capture stock, you might pitch your tent in one of two camps.
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