The AJL Foundation, a Colorado-based private foundation and shareholder of SM Energy, opposes the proposed State Sunlight-Long development due to material environmental, social, and financial risks.
The project’s proximity to the Aurora Reservoir—an essential drinking water source for the Denver metro region—raises serious concerns about potential contamination, long-term environmental harm, and significant financial liabilities. These risks are not only environmental in nature; they are directly relevant to investors and long-term shareholder value.
We are also concerned by sustained community opposition to this project. Developments that lack a social license to operate face increased likelihood of delays, legal challenges, and higher costs—factors that can materially impact project viability and returns.
As investors, we believe responsible capital allocation requires careful consideration of regulatory trends, community impact, and long-term risk. Projects that introduce elevated environmental and social risk—particularly near critical water resources—may undermine both financial performance and public trust.
We urge SM Energy and Colorado regulators to prioritize decisions that protect public health, safeguard vital natural resources, and align with long-term economic and environmental sustainability.
AJL Foundation remains committed to engaging constructively with companies and stakeholders to promote responsible energy development and protect long-term shareholder value.
“Protecting communities, land, and long-term economic stability are central to AJL Foundation’s mission. The proposed State Sunlight-Long Development represents misalignment between short-term extraction and long-term community and investor wellbeing. AJL Foundation believes it is critical that decision-makers, and shareholders, fully account for the environmental, social, and financial risks at stake.”
Kristi Petrie and Alece H.M. Montez
Co-Executive Directors
AJL Foundation
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