Deutsche Bank Won't Fund African Oil Pipeline, Source Claims

A person familiar with the situation stated on Sunday that Deutsche Bank (ETR:DBKGn) is not financing a pipeline in Africa that environmental activists claim will relocate thousands of communities and destroy nature reserves.

The largest financial institution in Germany is under pressure to clarify its position on the funding of the proposed $3.5 billion East African Crude Oil Pipeline (EACOP), which would span over 1,400 kilometers from Uganda to Tanzania.

Deutsche has not commented on the idea despite rising criticism ahead of Thursday's annual shareholder meeting. In the coming days, environmental activist organization 350.org will organize a series of demonstrations.

"Numerous large banks and insurers have already withdrawn from this disastrous scheme. As one of the only large European banks that has not yet withdrawn its support for EACOP, we are intensifying pressure on Deutsche Bank "350.org stated in advance of the planned demonstrations.

The French energy firm Total, which is developing the pipeline alongside China National Offshore Oil Corporation, has stated that it is taking measures to alleviate the project's environmental and human impacts.

Deutsche Bank has branded itself in recent years as a bank that businesses can turn to as they move to a greener future.

Last year, Chief Executive Officer Christian Sewing stated, "We have placed sustainability at the center of our business."

The individual, speaking anonymously, stated that Deutsche Bank has never been engaged in the financing of the project.

Deutsche Bank stated in a statement that it does not comment on its clients but that it "supports the transition to a low-carbon economy" and that its policies bar it from financing projects that deliberately remove primary forests, regions of high conservation importance, and peatlands.

On its website, #The STOPEACOP movement asserts that the pipeline threatens the water supply for millions of people and will cut through areas vital to elephants, lions, and chimpanzees.