T. Boone Pickens’ eponymous fund, BP Capital Fund Advisors LLC, plans to revamp an oil-focused exchange-traded fund with a shift to renewables in mid-August, according to a filing on July 26. Bloomberg first reported the filing.
The index was co-developed by BP Capital’s investment adviser and Morningstar Inc., according to Bloomberg. It is made up of North American companies that are “leaders in the transition to a low-carbon economy,” according to a regulatory filing.
Pickens’ shut his main hedge fund in January 2018. At the time, he said oil trading had lost its luster and posted on LinkedIn that he wanted to invest in “personal passions like promoting unbridled entrepreneurship.”
Last year, he launched the oil response spinoff to BP Capital and offered investors exposure to companies that benefited from a rise in global crude prices.
The revamped ETF, which will trade as RENW, is based on an index of companies that derive “significant revenue” from renewables or meet a large portion of their energy needs from renewable sources, according to the Bloomberg report, which also said BP Capital “isn’t totally giving up on petroleum—the firm will continue to offer a pipeline ETF, for example.”
Greenfield projects like the Northeast gas pipe are too risky at the moment, the company says.
At DUG Bakken and Rockies, shale executives acknowledged the headwinds, but remained optimistic about the opportunities in the Powder River Basin, the Bakken and, yes, even Colorado.
David T. Merrill has been elected to serve as CEO and president of Unit Corp., which is engaged through its subsidiaries in E&P, contract drilling and gas gathering and processing.