Norway’s giant oil fund ditches stake in Australia's AGL over fossil fuel concerns

Trillion-dollar fund also puts BHP on observation list' carrying risk of future divestment

Norway's gigantic sovereign wealth fund has dumped its stake in the Australian energy company AGL, which owns coal-fired power stations including the carbon-intensive Liddell plant in New South Wales, after tightening up its rules on fossil fuels.

Norges Bank, which manages the US$1.1tn Government Pension Fund Global, has also put Australian mining giant BHP on an observation list", placing it at risk of divestment in the future.