Date filed
31 May 2022
Keywords
Countries of harm
Current status
No resolution
Sector
NCP

Allegations

On 31 March 2022, eight civil society organisations from South Sudan (Civil Society Coalition on Natural Resources, Liech Victims Voices, South Sudan Council of Churches), Norway (Norwegian Church Aid, Norwegian People’s Aid), Sweden (Swedwatch, Global Idé), and the Netherlands (PAX) (‘the complainants’), representing an estimated 200,000 South Sudanese victims of alleged gross and systematic human rights violations, filed a complaint against Aker BP ASA (‘Aker BP’) and Aker ASA. Aker ASA is the main shareholder of Aker BP.

The complainants allege that Aker BP did not comply with the OECD Guidelines in its acquisition of over 96% of the net value of Lundin Energy AB (‘Lundin Energy’), an oil and gas company which they argue is directly linked to gross and systematic violations of international humanitarian law and other egregious human rights abuses in South Sudan. They say that the acquisition establishes a direct link between Aker BP and the abuses in South Sudan. According to the complainants, the acquisition of Lundin Energy’s oil and gas assets by Aker BP means that the former will lack sufficient resources to remedy the thousands of people who were allegedly impacted by the company’s operations during the civil war in Sudan. Due to the merger, Lundin Energy retains responsibility for the abuses in South Sudan while at the same time no longer being able to pay reparations to the alleged victims. The merger therefore deprives Lundin Energy of the ability to fulfil its responsibility under the OECD Guidelines as it deprives it of the means to adequately address the severe ongoing (unremediated) impacts. The complainants claim that through adequate human rights due diligence, Aker BP should have known about the impact of its merger with Lundin Energy. The fact that it seemingly did not carry out due diligence on the merger constitutes a failure to comply with the Guidelines.

The complainants allege that Aker ASA, being the main shareholder of Aker BP, substantially contributed to the realisation of the merger between Aker BP and Lundin Energy. They argue that both Aker ASA and Aker BP failed to conduct human rights due diligence on the merger, did not meaningfully engage with stakeholders, and contributed to the facilitation of ongoing (unremediated) human rights impacts.

The complainants also refer to ongoing proceedings by the Swedish Prosecution Authority (principal agency in Sweden responsible for public prosecutions), which has indicted two Lundin Energy executives for their complicity in war crimes. Swedish prosecutors have also announced that they will request the court to declare Lundin Energy’s operation in South Sudan a criminal enterprise and to forfeit all profits from the purchase.

The complaint was filed prior to the finalisation of the merger and sought suspension of the merger until such a time as Aker ASA carried out due diligence in accordance with the Guidelines. Among other things, they also sought for Aker BP to take all necessary measures to ensure that the merger agreement will be amended so that Lundin Energy retains sufficient financial means to provide effective remedy to victims of the human rights violations that the company stands credibly accused of having contributed to.

Relevant OECD Guidelines

Outcome

On 27 February 2023, the Norwegian NCP partially accepted the complaints against Aker BP and Aker ASA and offered its good offices to the parties. The NCP determined that the parts of the complaints that merit further consideration were questions concerning the companies’ due diligence with regards to human rights in connection with the merger.

On 18 June 2025, the Norwegian NCP published its final statement. Mediation in August 2023 failed to reach an agreement and the complaint was referred back to the NCP for further examination. The NCP determined that while Aker ASA and Aker BP conducted business-related, financial and legal due diligence, which also encompassed some aspects of human rights due diligence, the due diligence did not adequately and independently address the risks of adverse impacts of the transaction on the victims’ right to an effective remedy. The NCP’s determination focused on Aker BP, which was the party to the transaction in question:

“… Even though Aker BP viewed the indictment by the Swedish Prosecuting Authority as a red flag, and had as premise for its due diligence that there was a risk that Lundin Energy had contributed to adverse human rights impacts as described in the indictment, the human rights due diligence that Aker BP has carried out does not meet the expectations of the Guidelines on the following issues:

a. The deeper analysis of the risk of Lundin Energy (now Orrön Energy) being held responsible for contributing to grave human rights violations in Sudan (today’s South Sudan) while operating there, and the consequences thereof, was not carried out.

b. The risk that Lundin Energy/Orrön Energy would not be financially capable of offering adequate remedy to victims, should responsibility be established, was not properly assessed.

c. Aker BP did not seek to mitigate the risks of the transaction’s potential negative impacts on the victims’ right to an effective remedy.”

The NCP made no determination regarding the complainants’ claim that Aker BP contributed and continues to contribute to adverse human rights impacts connected to denial of the right to effective remedy.

[H]uman rights due diligence in connection with mergers and acquisitions must – when the circumstances indicate that the transaction may have other negative impacts on the human rights of those affected – have a broader scope. In this Specific Instance, the scope of the human rights due diligence must cover the risk of negative impacts on the right to an effective remedy for the victims of Lundin Energy’s alleged contribution to war crimes in Sudan.”

The NCP recommended for Aker BP to carry out human rights due diligence related to the transaction in line with the Guidelines, including meaningful stakeholder engagement and assessment of its role in relation to the potential negative impact of the transaction on the victims’ right to an effective remedy. Based on this due diligence, Aker BP should, where appropriate, seek to take a role in remediation, such as by using its leverage to encourage the business relationship to participate in processes to provide for remedy (e.g. Aker BP could seek to engage with Orrön Energy and its owners to facilitate a process where possible remedial actions are explored). The Norwegian NCP also made other recommendations in terms of the Aker companies’ due diligence concerning mergers and acquisitions.

The NCP will follow-up on its recommendations and any other activities relevant to the issues raised within one year.

Note: The case page on the NCP’s website includes all submissions made by both parties and external expert opinions.

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