BLACKSTONE DRILLS DEEPER AS INVESTORS SHIFT AWAY FROM FOSSIL FUELS

The report details Blackstone's extensive portfolio of oil, gas, and coal assets, highlighting a pattern of environmental violations and community opposition. It contrasts Blackstone's strategy with a broader trend of declining investor appetite for fossil fuels and notes the firm's political contributions to the Trump administration, which rolled back environmental regulations.

• Blackstone has maintained substantial investments in fossil fuels across multiple funds, including Blackstone Capital Partners, Tactical Opportunities, Infrastructure Partners, Energy Partners, and GSO credit funds. Between 2012 and 2020, the firm raised approximately $18.85 billion for energy-focused funds, including the $4.2 billion Blackstone Energy Partners III fund closed in February 2020.
• The firm's energy portfolio is characterized by significant environmental and regulatory failures. The Rover Pipeline, in which Blackstone holds a 32.4% interest, has faced numerous violations, including the release of 2 million gallons of drilling fluid into wetlands. Additionally, LLOG Exploration, a Blackstone joint venture, oversaw a 2017 leak of 672,000 gallons of crude oil in the Gulf of Mexico, one of the largest spills since the 2010 BP disaster.
• Blackstone continues to invest in coal-fired power despite a precipitous decline in the sector. In 2017, the firm acquired Lightstone Generation, which includes the Gen. James M. Gavin coal power plant in Ohio; this plant was identified as one of the top ten CO2 emitters in the US in 2019, producing 14.25 million metric tons of CO2.
• Blackstone executives have provided significant financial support to President Donald Trump and Republican committees, totaling nearly $4.8 million since 2017. The report argues these contributions coincide with the Trump administration's efforts to slash environmental regulations, such as weakening methane leak standards and restricting states' ability to oppose pipelines, which benefits Blackstone's energy assets.
• The report highlights a divergence between Blackstone's actions and broader market trends. While a 2019 Coller Capital survey indicated that 38% of investors intend to reduce oil and gas investments and 40% expect to increase renewable strategies, Blackstone has continued to acquire assets like Tallgrass Energy in April 2020.
• Blackstone's midstream and downstream investments face ongoing legal and community challenges. The Plaquemines Liquids Terminal in Louisiana, developed by Tallgrass Energy, faces resistance from environmental groups and regulatory delays. Similarly, the Permian Highway Pipeline, involving EagleClaw Midstream Ventures, has been delayed by lawsuits and a drilling accident that released 36,000 gallons of drilling fluid.

APA

Giachino, A. (2020). BLACKSTONE DRILLS DEEPER AS INVESTORS SHIFT AWAY FROM FOSSIL FUELS. Private Equity Stakeholder Project. https://pestakeholder.org/wp-content/uploads/2023/05/Blackstone-Drills-Deeper-PESP-August-2020.pdf

Chicago

Giachino, Alyssa. BLACKSTONE DRILLS DEEPER AS INVESTORS SHIFT AWAY FROM FOSSIL FUELS. Private Equity Stakeholder Project, 2020. https://pestakeholder.org/wp-content/uploads/2023/05/Blackstone-Drills-Deeper-PESP-August-2020.pdf.

Wikipedia

{{cite report |last1=Giachino |first1=Alyssa |title=BLACKSTONE DRILLS DEEPER AS INVESTORS SHIFT AWAY FROM FOSSIL FUELS |publisher=Private Equity Stakeholder Project |date=August 2020 |url=https://pestakeholder.org/wp-content/uploads/2023/05/Blackstone-Drills-Deeper-PESP-August-2020.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{giachino2020blackstone, author = {Giachino, Alyssa}, title = {{BLACKSTONE DRILLS DEEPER AS INVESTORS SHIFT AWAY FROM FOSSIL FUELS}}, institution = {Private Equity Stakeholder Project}, year = {2020}, month = aug, url = {https://pestakeholder.org/wp-content/uploads/2023/05/Blackstone-Drills-Deeper-PESP-August-2020.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }