Royal Dutch Shell Group .com Rotating Header Image

Posts on ‘July 13th, 2017’

Corrib gas timeline: 20 years of protests and controversy

12 July 2017

Energy company Shell has sold its 45 per cent stake in the Corrib gas field to a unit of Canada Pension Plan Investment Board (CPPIB) in a deal worth $947 million (€830 million).

Below is a timeline of the controversial gas field’s past.

1996 – Corrib gas field discovery declared by Enterprise Energy Ireland Ltd, which submitted plans to pump it ashore and build an onshore refinery in north Mayo.

2001 – Government petroleum lease granted for Corrib field

April 2002 – Corrib acquired by Shell, which became lead developer with Norwegian company Statoil and Marathon. read more

Critics argue for Groningen shutdown at Dutch court hearing

Jul. 13, 2017 2:59 PM ET|By: , SA News Editor

Angry Dutch residents living near the huge Groningen gas field told a hearing today at the Netherlands’ highest court that production should be totally stopped, accusing oil companies of causing minor earthquakes and the government of lying.

The Council of State is holding two days of hearings to consider appeals against a government plan to cut production at the field by an additional 10% starting Oct. 1.

Gas production company NAM, a joint venture between Royal Dutch Shell (RDS.A, RDS.B) and Exxon Mobil (NYSE:XOM), has accepted responsibility for damage caused by the quakes, for which it is paying more than €1B. read more

Dutch court hearing pits Big Oil against Groningen locals

Bart H. Meijer: JULY 13, 2017 / 12:59 PM

THE HAGUE, July 13 (Reuters) – Angry Dutch residents living near the huge Groningen gas field demanded a total halt to production, accusing oil giants of causing house-damaging earth tremors and the government of lying at a hearing in the Netherlands’ highest court on Thursday.

Two days of proceedings at the Council of State is considering appeals against a government plan to curb production at the massive field by an additional 10 percent from Oct. 1. read more

Shell unloads its stake in Corrib

Development of the Corrib field sparked a series of confrontations between the Irish police and environmental demonstrators before the first gas was brought ashore two years ago: NIALL CARSON/PRESS ASSOCIATION

Royal Dutch Shell has sold its stake in the contentious Corrib gas project off the Republic of Ireland to a Canadian pension fund for up to $1.23 billion.

The Anglo-Dutch energy group agreed to sell its 45 per cent stake in Corrib, about 50 miles off Ireland’s northwest coast, to a subsidiary of the Canada Pension Plan Investment Board.

The latest deal in a $30 billion divestment programme comprises a $947 million payment up front and up to a further $285 million between 2018 and 2025, depending on gas prices and production. read more

Shell’s Corrib exit leaves energy giants up to €2.5bn in the red

13 July 2017

Energy groups behind the controversial Corrib gas field off the Mayo coast are as much €2.5 billion in the red on their investment, as Shell’s move to sell a stake to a Canadian state pension fund has left it with loss of up to €1 billion.

Shell, currently in the middle of selling up to $30 billion (€26.3 billion) of assets to cut its debt pile, has agreed to sell its 45 per cent stake to a unit of the Canadian Pension Plan Investment Board (CPPIB).

The deal could be worth as little as €830 million to Shell but its return may rise by up to €250 million over the next eight years subject to future gas prices and the field reaching certain production targets. This would also boost the value of the other investors’ stakes in the project. read more

Shell secures more land for ethane pipeline

Mary Beth Eastman

Shell Pipeline Co. has acquired an additional six easements necessary for the company to build the 97-mile Falcon Ethane pipeline.

Since December, the company has acquired about 60 easements from Beaver County landowners, mostly in the southwestern in places including Raccoon, Greene and Independence townships.

The pipeline, which won’t be built until 2019, will transport more than 100,000 barrels of ethane and other natural gas liquids daily to Shell’s $6 billion cracker plant being built along the Ohio River in Potter Township. read more

Losses on Corrib near €2bn as Shell sells up

Losses on Corrib near €2bn as Shell sells up

It had been beset by more than a decade of delays and rows with protesters before production began.

Gavin McLoughlin: 

The Corrib gas field has left Shell and its partners in the project with losses running to the best part of €2bn to date.

Shell announced yesterday it was exiting the project in a deal worth potentially as much as €1.08bn, selling its 45pc stake in the project to a Canadian pension fund, Canada Pension Plan Investment Board (CPPIB).

The deal – which is expected to complete next year – will see Shell take an impairment charge of around $350m (€307m) and write off $400m (€350m) in historical currency movements that have impacted on its valuation of the asset. read more

Shell pays compensation to victims of Pakistani oil fire

ISLAMABAD — A subsidiary of Royal Dutch Shell said Wednesday that it made full payment in damages and compensation to the victims of an oil tanker fire in Pakistan that killed 215 people last month, hours after Pakistan’s oil and gas regulator threatened legal action.

The tragedy took place after a fuel tanker crashed and started leaking on the side of a highway and hundreds of people from a nearby village rushed to the scene to collect the spilled fuel. They were engulfed in flames when the spill ignited. read more

Canadian pension fund bullish as Shell pulls plug on Corrib stake

Shell’s disillusionment with the Corrib investment, where protests and opposition delayed production by more than a decade…

13 July 2017

No doubt, Shell is glad to see the back of the Corrib natural gas field, even if it is on track to lose about €1 billion on 15 years of heavy investment in the controversial project.

The sale of its 45 per cent interest in the gas field off the Mayo coast to the Canada Pension Plan Investment Board (CPPIB) for €830 million is part of a $30 billion (€26.3 billion) asset sale programme by the Anglo-Dutch group as it seeks to cut its $90 billion debt pile following its takeover of smaller UK rival BG Group early last year. read more

%d bloggers like this: