Bloomberg – Och-Ziff Capital Management Group LLC will invest as much as $500 million in projects that bury greenhouse gases blamed for global warming and create tradable emissions credits.
Och-Ziff, the hedge-fund firm run by Daniel Och, also bought 10 percent of the emission credit company Blue Source LLC, chief executive officer Bill Townsend said. Townsend wouldn’t disclose the value of the deal, which closed Aug. 14.
Emissions credits from projects that reduce global warming gases are voluntarily traded in the U.S. by companies and others seeking to enhance their environmental image. Congress is debating legislation that would mandate reductions in greenhouse gases and create a market for emissions credits that utilities and large manufacturers would need to meet pollution targets.
“To us, it’s pretty dramatic,” Townsend said in an interview yesterday. “We think that this will probably fund us for the next three years of investments.”