Lundin_refugees

Two executives of the Swedish oil company Lundin Energy are being investigated as suspects in a war crimes investigation into alleged involvement in the Sudan civil war. A motion tabled at the company’s latest AGM accused it of seeking to deny and delay justice for victims of the war and proposed that the company apply a human rights approach to the legal defence strategy. Investors must seriously consider their exposure to human rights risk as this landmark case draws near.

More than 20 years have passed since Lundin Energy (then Lundin Oil) was prospecting for oil in Sudan. At the time a brutal conflict was raging in the country. According to the 2010 report Unpaid Debt, approximately 160,000 people were forcibly displaced and 12,000 killed in the Lundin oil concession area in Sudan where the presence of oil companies changed the conflict into a war for oil.

These atrocities have been thoroughly documented by reliable sources and led the Swedish Prosecution Authority to initiate an investigation into links between Lundin and reported war crimes. In 2016, the CEO and Chairman of the company, Alex Schneiter and Ian Lundin were designated as suspects in the investigation.

‘Infringes on basic human rights of victims’

Formal charges against corporate actors involved in aiding and abetting war crimes are exceptionally rare, but after a decade of investigations the prosecutor is now preparing to bring charges in this landmark case.

According to Lundin Energy shareholder Egbert Wesselink, from Dutch peace group PAX, the company’s defence lawyers have long sought to have the case dismissed or delayed through a “hostile and uncooperative legal strategy” that “infringes on basic human rights of victims”. To address this, he proposed in a motion to the AGM on 30 March 2021:

“… that the company aligns its legal defence strategy with its human rights policy. In human rights cases, its legal counsels will equally defend and protect the right of suspects to a fair trial, and the right of victims of investigated abuses to access to justice and prompt redress. In the ongoing war crimes investigation, this includes immediate and unrestricted sharing with the Prosecution Authority of any information that is relevant to the investigation, and avoidance of delays.”

Powerful institutional investors

Since its very first days in Sudan, Lundin had the backing of powerful institutional investors, including major Swedish banks and state pension funds. Research published by Swedwatch in 2017 shows that many of these actors invested in the company after connections between Lundin and war crimes were made public.

“The fact that these investors are not acting on the serious allegations against the company makes you question if and how they assess how their investments impact human rights,” says Swedwatch Programme Officer Olof Björnsson.

In recent years, many Swedish investors have reduced their holdings in Lundin, but a number of international investors, including major British and American banks and pension funds, continue to own shares in Lundin and support the company’s management and its policies.

When the trial starts, it will send a strong signal to these and other investors, to identify and address their exposure to human rights risks, especially regarding extractive companies who operate in conflict zones.

“Swedwatch welcomes a legal process that can shed light on the company’s alleged involvement in the atrocities of the oil war in Sudan. The victims of the war in the Lundin concession area have waited decades for justice,” added Björnsson.

  • Focus Areas: High-risk and conflict areas
  • Industry: Energy
  • Publication: Article

Latest publications

Press Contact

This website uses cookies

Cookies consist of small text files. They contain data that is stored on your device. To enable us to place certain types of cookies we need to obtain your consent. At SWEDWATCH, corp. ID no. 802415-4737, we use the following kinds of cookies. To read more about which cookies we use and storage times, click here to access our cookies policy.

Manage your cookie-settings

Necessary cookies

Necessary cookies are cookies that must be placed for basic functions to work on the website. Basic functions are, for example, cookies which are needed so that you can use menus on the website and navigate on the site.

Functional cookies

Functional cookies need to be placed on the website in order for it to perform as you would expect. For example, so that it recognizes which language you prefer, whether or not you are logged in, to keep the website secure, remember login details or to be able to sort products on the website according to your preferences.

Cookies for statistics

For us to measure your interactions with the website, we place cookies in order to keep statistics. These cookies anonymize personal data.

Personalization cookies

In order to provide a better experiance we place cookies for your preferances

Cookies for ad-tracking

To enable us to offer better service and experience, we place cookies so that we can provide relevant advertising. Another aim of this processing is to enable us to promote products or services, provide customized offers or provide recommendations based on what you have purchased in the past.

Ad measurement user cookies

In order to show relevant ads we place cookies to tailor ads for you

Personalized ads cookies

To show relevant and personal ads we place cookies to provide unique offers that are tailored to your user data