An analysis of financial filings has revealed that the charitable trust managing the endowment for the Bill & Melinda Gates Foundation significantly increased its holdings in major fossil fuel companies during 2024, reaching a nine-year high. This surge comes despite public statements from the Microsoft co-founder advocating for climate action and past claims of divestment from the sector.
From Pledge to Portfolio: A Reversal in Fossil Fuel Investment
The Gates Foundation Trust's investments in companies that extract oil, gas, and coal stood at $254 million at the end of 2024. This figure, uncovered from public 990-PF forms, represents a 21% increase from its 2016 level and is the trust's largest stake in fossil fuel extractors since 2015. When adjusted for inflation, it is the highest value since 2019.
This marks a notable shift from the trust's position nearly a decade ago. In 2015, facing pressure from a global divestment campaign joined by The Guardian's "Keep It in the Ground" initiative, the trust sold off substantial holdings. It reduced its exposure from a peak of $1.4 billion in 2013 to approximately $260 million by 2015, including selling most of its shares in BP and a massive holding in ExxonMobil.
In his 2021 book, How to Avoid a Climate Disaster, Bill Gates reflected on this period. While acknowledging the activists' passion, he expressed scepticism that divestment alone could solve the climate crisis. However, he later stated a personal ethical motive, writing: "I don’t want to profit if their stock prices go up because we don’t develop zero-carbon alternatives... So in 2019 I divested all my direct holdings in oil and gas companies, as did the trust."
The Recent Surge in Oil and Gas Holdings
Following a drop to $133 million by the end of 2020, the trust's investments in fossil fuel producers have climbed steadily. The recent analysis highlights substantial growth in several key holdings between 2015 and 2024:
- Investment in mining giant Glencore rose from $5.7 million to $14.1 million.
- Holdings in BP increased from $8.7 million to $24.2 million.
- The stake in Occidental Petroleum skyrocketed from $23,529 to $7.9 million.
A significant new position was also established in Japanese oil and gas company Inpex, with the trust's holding ballooning from $20 million in 2020 to $139 million in 2024. Some of this growth is attributable to rising stock prices rather than new share purchases, but the overall trend is clear.
Climate Impact and Strategic Shifts
The environmental footprint of the companies in the trust's portfolio is considerable. In 2023, their combined emissions reportedly exceeded the total output of Russia, Japan, and Germany. This investment strategy exists alongside some of the companies facing controversies; for instance, BP and Equinor dealt with shareholder rebellions over greenwashing allegations in 2025.
The rising fossil fuel investments coincide with a recent strategic pivot highlighted by Gates, moving focus from pure emissions reduction towards preventing climate-related poverty and suffering. The Gates Foundation declined to comment on the analysis when approached.
The Guardian's examination used a strict definition of "upstream" fossil fuel producers, counting only companies directly involved in extraction like Chevron, Shell, and BP. It excluded conglomerates with extraction subsidiaries and mutual funds, but included financing arms dedicated to raising capital for extractors.
