Norway Wealth Fund Drops Israel’s Delek for Ethical Breaches (1)

Norway’s $1.5 trillion sovereign wealth fund dropped Israeli oil and gas producer Delek Group Ltd from its portfolio due to an “unacceptable” risk of serious ethical breaches tied to petroleum prospecting off the Western Sahara coast.

The move was based on a recommendation from the Council on Ethics, which said Delek’s agreement with Morocco to explore the offshore region of Western Sahara was inconsistent with the wishes and interests of region’s people and contributed to maintaining the area’s unresolved situation. Morocco, the council said, lacks legal or sovereign rights over natural resources in that area.

Delek didn’t immediately respond to ...