Munich Re funds restoration project for California wetlands | Insurance Business America
Allocated funds deemed integral by oil and gas firm
Reinsurance
By
Kenneth Araullo
California-based oil and gas firm Synergy has announced a new initiative to rehabilitate 140 acres of coastal wetlands in the area, in partnership with Munich Re.
This environmental restoration effort is poised to begin with the financial backing provided by Munich Re, an initiative which Synergy touts as marking a step towards the conservation of valuable natural habitats.
Munich Re’s funding is crucial for Synergy’s plans to safely plug and abandon (P&A) legacy oil wells and establish a permanent conservation area for the wetlands. As the project moves forward, Synergy has pledged to keep stakeholders informed on the use of funds and the progress of the wetlands restoration, emphasizing its dedication to transparency and sustainable development practices.
Vikram Nath, managing director of energy transition finance at Munich Re, underscored the company’s satisfaction in providing a financial solution that supports such a meaningful project.
“We are glad to provide this financing solution to Synergy for a significant project that will benefit many stakeholders, including the City of Long Beach and communities that neighbor the Los Cerritos wetlands,” Nath said.
“Synergy is very pleased to begin this relationship with Munich Re. This new financing provides us the funds we need and enables us to immediately begin the abandonment of the Synergy Oil Field and the restoration of 156 acres of prime coastal wetlands. It is a huge win for everyone, especially the communities of Long Beach and Seal Beach,” Synergy CEO and principal John McKeown said.
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