Environmental group calls on Weiser to investigate Denver-based oil and gas producer’s political contributions
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The Canadian and American arms of an environmental organization are calling on Attorney General Phil Weiser to investigate political contributions made by a Denver-based oil and natural gas producer to GOP-aligned political action committees, a move they say is “potentially illegal.”
The request for an investigation from Friends of the Earth, sent to the Democratic AG in an Aug. 5 letter, centers on $600,000 in political donations from 2018 made by Crestone Peak Resources to the state Senate Republicans’ campaign committee and a pair of right-leaning PACs. That includes two separate donations amounting to $300,000 to the Senate Majority Fund, $200,000 to Better Colorado Now and $100,000 to Protect Colorado Now.
Those represent all but a fraction of Crestone’s political donations to date. The state campaign finance tracking system shows the company’s other contributions amount to $29,500 since 2019. None of those donations surpassed $2,500 individually.
The environmental organizations says those donations were made “in an attempt to prevent the adoption of new health and environmental regulations for oil and gas operations supported by Democrats.” Friends of the Earth added they could amount to a violation of state campaign finance law because Crestone is a subsidiary of a Canadian state-owned enterprise.
Crestone was formed in 2016 in part by the Canada Pension Plan Investment Board, an independent government organization established to monitor and invest the funds in the country’s pension plan. At its outset, CPPIB acquired a Canadian natural gas company’s oil and gas properties in the Denver-Julesburg Basin and remains Crestone’s primary shareholder. The letter pegs CPPIB’s share of the company at 96% ownership.
Crestone officials did not respond to repeated requests for comment.
The Friends of the Earth allegations in the letter hinge on Article 43 of state statutes, which bars limited liability corporations from making donations to political committees if members of that company are entities formed under and subject to the laws of a foreign country, non-U.S. citizens or a foreign government.
“Not only is Crestone Peak Resources a subsidiary company of a Canadian Crown corporation but, at the time of the donations, Mr. Avik Dey, a Canadian and Managing Director, Head of Energy and Resources of the CPPIB, was Chair of the Crestone Peak Resources Board of Directors,” the letter says before going on to note two other Crestone board members who held high-ranking positions at CPPIB at the time of the donations.
According to Friends of the Earth Canada senior policy adviser John Bennett, the organization is encouraging an investigation from Weiser’s office after failing to convince CPPIB or the Canadian Parliament to act.
“A corporation isn’t independent just because it says it is. The Canada Pension Plan Investment Board controls Crestone Peak. CPPIB has no business allowing its assets to be used for illegal political contributions,” Bennett said in a statement.
Hallie Templeton, the deputy legal director of the American arm of Friends of the Earth, said the organization hopes Weiser “swiftly initiates a thorough investigation into these potential violations.”
The request for an investigation comes roughly two months after a newly formed Colorado oil and gas company, Civitas Resources Inc., announced it was moving to acquire Crestone. The Denver Gazette reported in June CPPIB will become Civitas’ largest shareholder and will designate one member to the Civitas board after the deal closes, which is expected to come this fall.