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Article

14 May 2013

Author:
Egbert Wesselink

[DOC] Clarification of a shareholder proposal

The proposal calls for the implementation of the United Nations Guiding Principles on Business and Human Rights, and the OECD-Guidelines for Multinational Enterprises. The company has endorsed these principles. Notwithstanding, the Board of Directors has unanimously advised against the proposal...My proposal firstly asks for endorsement of the OECD Guidelines, which is already the company’s official policy...[Most of its] language has been taken verbatim from the OECD Guidelines. To object against it, would mean objecting against them and against the company’s official policy...Instituting a grievance mechanism in conformity with the United Nations Guiding Principles on Business and Human Rights is my last proposal. A company that endorses the United Nations Guiding Principles cannot possibly raise any objections to these wordings, but this company does...I understand that the individual executives may need legal council, but I don’t understand why the company should not meet its obligation to remedy people who may have suffered as a result of its operations because its executives are likely to be under criminal investigation...My conclusion is that Lundin Petroleum is currently failing basic requirement of the OECD and UNGP guidelines. A vote against the resolution is a vote in support of this failure.