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Oil Supermajors Dig Way Out of Doldrums as Cash Poised to Surge

by Rakteem Katakey: 26 April 2017, 00:01 BST

Big Oil’s struggle against crude’s collapse is starting to ease, giving some companies enough cash to pay shareholders without piling on more debt.

The world’s five biggest non-state oil producers, known as the supermajors, probably increased cash from operations by a combined 67 percent last quarter from a year earlier, according to HSBC Bank Plc analysts Gordon Gray and Kim Fustier. That may allow some to cover dividends and capital spending without borrowing for the first time since 2012, they said.

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Oil and Mining Giants Detail Road Map to Reduce Carbon by Half

by Mark Chediak: 25 April 2017, 05:01 BST

A group of companies and non-profit agencies that includes energy giants Royal Dutch Shell Plc and BHP Billiton said global greenhouse gas emissions could be cut in half by 2040 without impeding economic development, in part by converting grids to use mostly renewable power.

The declining costs of wind, solar and batteries will make it possible within 15 years to build power networks that get as much as 90 percent of their power from renewable sources while providing electricity at a cost that’s competitive with fossil-fuels, according to a report released Tuesday by the Energy Transitions Commission, a group of energy companies, investors and non-profit organizations including the Rocky Mountain Institute.

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Fibre, wi-fi keep most Shell Prelude staff onshore

By Ry Crozier Apr 24, 2017

Implementing a subsea fibre optic link to underpin automation and remote monitoring aboard Shell Australia’s forthcoming Prelude floating liquefied natural gas (FLNG) platform means it will only need to fly people out to the plant “by exception”.

The Prelude project is being closely watched by the LNG sector as a potential model for future gas extraction from increasingly remote offshore fields.

relude’s operations will be monitored remotely from Shell Australia’s collaborative work environment (CWE) in Perth, which acts as the company’s main operations centre.

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Court orders Shell-Exxon criminal probe over Dutch gas quakes

Court orders Shell-Exxon criminal probe over Dutch gas quakes

By Toby Sterling

AMSTERDAM, April 20 (Reuters) – A Dutch court ordered prosecutors to open an investigation on Thursday into whether a Shell-Exxon joint venture bears any criminal responsibility for earthquakes triggered by production at the country’s largest gas field.

No physical injuries have been caused by numerous small quakes, which have damaged thousands of buildings and structures across the north-eastern province of Groningen, and prosecutors had previously declined to act, arguing it was a civil matter.

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Fresh Revelations of Alleged Shell Corruption to be Heard in Italian Court

Fresh Revelations of Alleged Shell Corruption to be Heard in Italian Court

By Chloe Farand • Thursday, April 20, 2017

Court proceedings are due to begin in Italy today to determine whether oil giant Shell will face trial on corruption charges over the purchase of one of Africa’s most valuable oil blocks.

Italian prosecutors claim Shell and Italian oil major Eni concluded a deal for the rights to exploit the Nigerian deepwater oil block OPL 245 with knowledge that the money would fall into the hands of a convicted money-launderer and be turned into political kickbacks.

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Shell opens treatment plant in Argentina shale play

Royal Dutch Shell PLC inaugurated on Tuesday a treatment plant for shale oil and gas in Argentina’s Vaca Muerta shale play, one of the world’s largest.

The plant, announced in 2014, has a capacity to process up to 10,000 barrels per day from the Sierras Blancas, Cruz de Lorena and Coiron Amargo Sur Oeste blocks operated by Shell, the company said in a statement.

“(The plant) receives output from the wells of these blocks, processing the oil and gas to leave it ready for commercialization,” the statement said.

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Shell hit with prohibition notice on Brent Charlie

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The Health and Safety Executive (HSE) said Shell had failed to put appropriate controls in place to protect workers from dangerous gases in one of the platform’s legs.

HSE said the company had identified the risks of exposure to hydrogen sulphide and hydrocarbon gas while accessing the column C1 leg.

But Shell did not adequately describe how control measures would be “organised, controlled, monitored or reviewed”, according to HSE.

The prohibition notice was served early in February.

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Support grows for Australian cross-continent pipeline to combat gas shortages

Apr. 19, 2017 12:42 PM ET|By: , SA News Editor

Australia’s government may support construction of a 1K-mile gas pipeline likely to cost more than A$5B (US$3.8B), WSJ reports, amid growing concern about shortages of liquefied natural gas and blackouts on the country’s populous eastern seaboard.

Two senior ministers expressed support for a transcontinental pipeline as Prime Minister Turnbull met with major LNG exporters including Royal Dutch Shell (RDS.A, RDS.B), Exxon Mobil (NYSE:XOM) and Santos (OTCPK:STOSF) to discuss ways of getting more LNG into the domestic energy market.

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Tanzania Drafts $30B LNG Export Project Deal

Tanzania’s government has prepared a draft agreement with international oil companies willing to take part in a $30-billion LNG export project, and has sent the draft for ministerial review, local media reported on Wednesday, citing a senior official at the Ministry of Energy and Minerals.

State-run Tanzania Petroleum Development Corporation (TPDC) is partnering with ExxonMobil, Statoil, Ophir, and Shell in developing an LNG project that would allow the country to export gas from its offshore resources.

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Dutch to cut Groningen gas production to lower earthquake risk

Apr. 18, 2017 12:56 PM ET|By: , SA News Editor

The Netherlands will cut production of its Groningen gas field by 10% beginning in October to limit the risk of earthquakes, the country’s economy minister says.

Production would be reduced to 21.6B cm/year from 24B cm/year as a first step, according to the minister; output has been cut several times from 53.9B cm in 2013 as criticism mounted the Dutch government had failed to adequately assess the risk from earthquakes caused by production at Europe’s biggest field.

Groningen is operated by a joint venture between Royal Dutch Shell (RDS.A, RDS.B) and Exxon Mobil (NYSE:XOM).

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Nigeria to Start Repayment of $5 Billion Oil Debt This Month

by Elisha Bala-Gbogbo: 

Nigeria will start paying back a $5.1 billion debt owed to international oil companies, including Exxon Mobil Corp. and Royal Dutch Shell Plc, with a first installment this month in accordance with an agreement reached last year.

“The initial payments would be made by the end of April 2017,” Emmanuel Kachikwu, Nigeria’s Minister of State for Petroleum Resources, said in an emailed statement Wednesday. The energy companies are expected to reciprocate “by ensuring that they ramp up investments in the country’s oil and gas sector,” he said.

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Shell claims low-carbon edge

On Monday, reports surfaced that some of Shell’s money circulating in Nigeria was used for payoffs.

April 12 (UPI) — One of the largest oil companies in the world, Royal Dutch Shell said Wednesday it was focused on a low-carbon strategy that was geared toward long-term growth.

Shell highlighted its movement through a changing energy landscape in a sustainability report on activities last year. Chief Executive Officer Ben van Buerden said in the report that lower crude oil prices and a global community coordinated around the U.N.-backed Paris climate agreement meant changes were necessary for the oil and gas business.

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Malabu Scandal: Abacha’s son wants court to stop Nigerian govt, Shell, Agip from operating block

Malabu Scandal: Abacha’s son wants court to stop Nigerian govt, Shell, Agip from operating block

Malabu Oil and Gas Ltd. has asked an Abuja Division of the Federal High Court to stop the sale of a $13. 5 billion deep water project located in the controversial oil block, OPL 245.

The OPL 245, regarded as one of Africa’s richest oil blocks with an estimated over 9 billion barrels of crude, was controversially awarded to Malabu in 1998 by the then petroleum minister, Dan Etete who partly owned the company through a fictional character, Kwekwu Amafegha.

The block was controversially sold to oil giants, Shell and ENI, in 2011 with a large chunk of the $1.1 billion paid ending up in private pockets including those of Mr. Etete.

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Royal Dutch Shell’s CEO Ben van Beurden hails “significant steps” taken to tackle climate change

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The hailed the progress made in recent years, such as the Paris Agreement, as marking a worldwide change in attitude in moving towards a low carbon economy.

In the opening remarks of the supermajor’s sustainability report for 2016, he describes how Shell is working to help meet the world’s growing demand for more and cleaner energy.

In his introduction, van Beurden said: “In 2016, the world took significant steps towards building a low-carbon energy future. The United Nations (UN) Paris Agreement and the UN’s sustainable development goals came into force, setting new targets for tackling climate change, promoting sustainable economic growth and providing access to modern energy.

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Shell likely to cash in on Ireland’s Corrib

Shell likely to cash in on Ireland’s Corrib

By Silvia Favasuli11 April 2017

After battling for nearly a decade and a half to develop Ireland’s Corrib gas field, Shell may be about to offload its stake in the project just over a year after announcing first gas.

Although Shell has refused to confirm that it is looking to sell, The Sunday Times reported in December that Australian investment bank Macquarie had approached the Anglo-Dutch major about a potential deal.

Ireland’s Business Post followed up the story in early March, stating that “up to three” potential buyers were considering making unsolicited bids for Shell’s 45% stake in the Corrib project, which the two newspapers valued at more than £1 billion ($1.24 billion).

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Nigeria: Malabu Scandal – After Telling Lies for Years, Shell Admits It Knew Etete Would Benefit From $1.1 Billion

“This is a huge U-turn that reveals Shell’s duplicity,”

After repeated denials in various countries, Anglo-Dutch oil giant, Royal Dutch Shell, on Monday finally admitted it had foreknowledge that the $1.3 billion itself and ENI paid to Nigerian government for the OPL 245 oil block licence would ultimately be used to settle convicted former Minister of Petroleum, Dan Etete.

“Over time, it became clear to us that Etete was involved in Malabu and that the only way to resolve the impasse through a negotiated settlement was to engage with Etete and Malabu, whether we liked it or not,” The New York Times quoted Andy Norman, a spokesperson for Shell, as saying in an email Monday.

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Shell dealt with money-launderer to ‘resolve impasse’

Only 24 hours after claiming it had no knowledge of “improper payments” to a convicted money-launderer over a $1.3 billion (£1.1 billion) oil field acquisition in Nigeria, Shell has admitted it had known it was dealing with the controversial figure but doing so was “the only way to resolve [an] impasse”.

The oil scandal involves former Nigerian oil minister Dan Etete, whose company Malabu bought the nine-billion-barrel OPL 245 field off the coast of Nigeria for just $2 million while he was in his government post.

Shell and its Italian partner ENI then bought the field from the Nigerian government in 2011 for $1.3 billion, with more than $1 billion being passed onto a company controlled by Etete, according to Italian prosecutors.

Etete — who was convicted of money-laundering in an unrelated case — denies wrongdoing.

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Shell corruption probe: Top executives knew part of £1.3bn Nigerian oil deal would go to convicted money launderer

In a huge u-turn, the company has now admitted it knew Mr Etete was involved.

Top executives at Shell knew that money they paid as part of a $1.3bn deal for a huge Nigerian oil field would end up in the hands of a convicted money launderer who awarded the asset to his own company when he was oil minister of the country.

Emails seen by The Independent and reported by anti-corruption campaign groups Global Witness and Finance Uncovered, show senior bosses at the UK’s biggest company had been informed that hundreds of millions of dollars could flow through former oil minister Dan Etete to be paid in bribes to former President Goodluck Jonathan and other political figures.

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Shell admits dealing with money launderer

11 April 2017

Shell has admitted for the first time it dealt with a convicted money-launderer when negotiating access to a vast oil field in Nigeria. It comes after emails were published showing Shell negotiated with Dan Etete, who was later convicted of money laundering in a separate case. Shell and an Italian oil company paid $1.3bn (£1bn) to the Nigerian government for access to the field. Investigators claim $1.1bn was passed to a firm controlled by Mr Etete.

Shell and the Italian firm ENI agreed a deal with the Nigerian government for the rights to exploit OPL 245, a prime oil block off the coast of the Niger Delta.

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Malabu Scam: Shell Finally Admits Knowing It Was Paying Bribes To Etete

BY SAHARAREPORTERS, NEW YORK APR 10, 2017

Global oil giant, Shell, has been forced to admit that it knew it was paying bribes to Nigerian government officials during the transaction for OPL 245. Shell, which had consistently denied wrongdoing, on Monday, admitted that the transaction lacked fidelity.    

On Sunday, Global Witness and Finance Uncovered exposed freshly leaked emails showing that Shell knowingly participated in a massive bribery scheme for one of Africa’s most valuable oil blocks, which robbed Nigerians of $1.1billion.

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Shell rocked by corruption claims after negotiating with money launderer during £1bn Nigerian oil field purchase


Current chief executive Ben Van Beurden has also been caught up in the investigation. He was not in position when the deal was complete, but after Shell’s Hague offices were raided in February last year, Dutch authorities wire-tapped a call between Van Beurden and then chief financial officer Simon Henry in which Van Beurden allegedly urged Henry not to disclose the raid to shareholders.

Wiretap: After Shell’s headquarters in the Hague were raided in February last year, ceo  Ben Van Beurden urged chief financial officer Simon Henry not to disclose the raid to shareholders

By Sabah Meddings For The Daily Mail

Shell was last night accused of taking part in ‘one of the worst corruption scandals the industry has ever seen’ after buying an oil field in Nigeria.

The Anglo-Dutch giant joined forces with Italian rival Eni to acquire the site off the coast of the West African country for £1billion – giving it access to 9bn barrels of oil, worth nearly half a trillion dollars at today’s prices. But leaked documents suggest it knew much of this cash would fall into the hands of a convicted money launderer and be used to bribe government officials.

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Watchdogs allege Shell knew about Nigeria oil kickbacks

Corruption watchdogs alleged Monday that Shell executives knew that money earmarked for a controversial oil deal was being used to bribe senior Nigerian officials, a claim rebuffed by the petroleum giant.

The allegations by Global Witness and Finance Uncovered refer to the 2011 purchase by oil giants Shell and Eni of OPL245, an offshore oil block estimated to hold 9 billion barrels of crude, for $1.3 billion.

The deal saw the Nigerian government act as an intermediary between the oil majors and Malabu Oil and Gas, a Nigerian company allegedly controlled by former petroleum minister Dan Etete.

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New evidence in Nigeria Corruption Probe: Shell Bosses bribed the oil-minister

Published: Monday, 10 April 2017 18:54

When Shell was buying the OPL 245 oil field in Nigeria for US$1.3 billion, its executives knew that 1.1 billion will land in the pocket of former petroleum minister and convicted money launderer, Dan Etete, media reported Monday.

The BBC claims to have seen emails obtained by anti-corruption charities, Global Witness and Finance Uncovered, which say that Shell representatives were negotiating with Etete for a year before the deal was finalized.

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Leaked emails increase pressure on Shell over Nigerian oil deal

A trove of internal Shell emails seen by the Financial Times and dated between 2008 and 2010 leave no doubt that senior people within the company knew that most of the $1.3bn paid together with Eni for OPL 245 was destined for Malabu, and that much of the money would end up with Mr Etete and associates. Shell had previously said only that the money was paid to a Nigerian government escrow account.

In the intercepted phone call with Mr Henry, Mr van Beurden acknowledged Shell’s own investigation uncovered “unhelpful” and “stupid” email exchanges among former UK intelligence agents hired by the company to help negotiate the OPL 245 deal.

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The Recent Revelations About Shell And Nigeria Are “Utterly Indefensible”, Says Development Committee Chair

James Ball: BuzzFeed Special Correspondent: 10 March 2017 

The chair of parliament’s international development committee has called for the government to make clear what it is doing to investigate a $1.3 billion oil deal signed by Shell and Italian oil company ENI in Nigeria.

The call comes after BuzzFeed News and the Italian newspaper Il Sore 24 Ore published “Shell Shocks”, a cache of emails and court documents revealing that Shell top executives signed off on a deal with full knowledge that most of the money would go to Malabu, a company connected to a former Nigerian oil minister, Dan Etete.

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Recorded call reveals Shell worried Nigerian oil deal could lead to U.S. probe

Top executives at Royal Dutch Shell (RDS.A, RDS.B) last year were worried that a controversial Nigerian oil deal may have violated an agreement with the U.S. Justice Department and would prompt an investigation, according to a recorded phone call between CEO Ben van Beurden and Simon Henry, the company’s CFO at the time.

In the call, van Beurden said he was worried that Shell’s own investigators had discovered internal emails that could cast the company in a negative light and widen the investigation by drawing in U.S. authorities; the call was recorded and has now been made public.

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Shell Knew Of Bribe Payments To Nigerian Official, Global Witness Report Alleges

A recent publication of leaked emails has found evidence that Shell knowingly bribed ministers in the Nigerian government. Global Witness, an anti-corruption NGO, described the episode as “one of the worst corruption scandals in the history of the oil industry”.

The affair relates to OLP 245, an offshore oilfield in Nigerian waters that is estimated to hold nine billion barrels of oil, valued at over half a trillion dollars at current prices.

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Shell and the money-launderer: Damning emails of Nigerian deal

BY LUCY TOBIN: 10 April 2017

Shell was today embroiled in a bribery scandal amid allegations that the oil giant knew money paid to the Nigerian government for a $1.3 billion (£1.1 billion) project would go to a convicted money-launderer and potentially pay political bribes.

The claims surround a deal made by Shell and a former Nigerian oil minister Dan Etete, whose company Malabu bought the nine-billion-barrel OPL 245 field off the coast of the African country for a paltry $2 million while he was in his government post.

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Recording Puts Shell’s Nigerian Oil Deal Under a Harsh Light

The investigators were “quite forceful and brusque” and “rattled a few people,” Mr. van Beurden told the finance chief at the time, Simon Henry, when Mr. Henry returned his call. But Mr. van Beurden said he was also worried about something else: Shell’s own investigators had discovered internal emails that could cast the company in an even more negative light and widen the investigation by drawing in the United States law enforcement authorities.

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Eni, Shell deny wrongdoing in Nigeria after allegations of improper payment

Oil majors Royal Dutch Shell (RDSa.L) and Eni (ENI.MI) reiterated on Monday that neither they nor their personnel had been involved in any wrongdoing in Nigeria, including improper payments to Nigerian officials.

The comments follow media reports alleging how hundreds of millions of dollars from the two companies were used for illicit payments.

A joint investigation by BuzzFeed News and Italian newspaper Il Sole 24 Ore on Sunday claims to show transactions worth $1.3 billion made in 2010-2011 that Shell and Eni paid to acquire an exploration licence for an offshore oil block known as OPL 245.

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Royal Dutch Shell: Unsustainable

Quad 7 Capital: Apr. 6, 2017 12:43 PM ET

Royal Dutch Shell (NYSE:RDS.A) (NYSE:RDS.B) has been a name of controversy of late. Why? Well, this is an oil stock and oil prices have meandered. While shares are up substantially off of their multi-year lows seen a year ago, this stock still yields 7%. The dividend payment is the center of most controversy, with so many feeling it is unsustainable. That is what I keep hearing. Unsustainable. They tell me Shell is ‘unsustainable’ at $40 oil. They tell me the dividend is most certainly ‘unsustainable’ in the current climate. Some go so far as to say the entire oil industry is ‘unsustainable.’

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The end is nigh for Shell in New Zealand

  • The Wall Street Journal

Royal Dutch Shell has taken a step towards an exit from its New Zealand assets with a deal to sell its 50 per cent stake in a natural-gas field to local venture partner Todd Energy.

The agreement will also see Shell take full control of a joint-venture company that operates two further gas ventures in New Zealand, simplifying Shell’s operating structure as it looks to offload the assets. Financial terms weren’t disclosed.

The sale of its stake in the Kap­uni field in New Zealand’s Taranaki region to Todd Energy follows a review of operations in the country that Shell announced in December 2015 as part of ­efforts to refocus its natural-gas and deepwater oil businesses following a slump in oil prices.

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Union boss hits out over Shell boss’s bumper pay deal

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The huge increase was revealed in the Anglo-Dutch energy giant’s latest annual report, published yesterday.

Mr van Beurden, who took over as chief executive at the start of 2014, received a £9million-plus boost to his pension in his first year – taking total remuneration to £19.5million – followed by a pay package worth about £4million in 2015.

The big payouts coincide with a severe downturn in the oil and gas industry. Shell has already shed more than 1,000 jobs in its North Sea operations alone.

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Shell switches New Zealand holdings ahead of possible divestment

By Charlotte Greenfield | WELLINGTON

Royal Dutch Shell (RDSa.L) sold its stake in a New Zealand gas field while taking over the field’s operating company as part of a plan to possibly divest its holdings in the country later on, the company said Thursday.

Shell has sold its 50 percent stake in the Kapuni Gas Field, New Zealand’s second-largest, for an undisclosed price and has increased its holding to 100 percent in the joint venture that operates the field, Shell Todd Oil Services (STOS), it said in a statement.

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Shell starts offloading its New Zealand assets

By Ben Collins: Published: Apr 5, 2017 10:13 p.m. ET

WELLINGTON, New Zealand–Royal Dutch Shell PLC (RDSA) has taken a step toward an exit from its New Zealand assets with a deal to sell its 50% stake in a natural-gas field to its local venture partner, Todd Energy.

The agreement will also see Shell take full control of a joint venture company that operates two further gas ventures in New Zealand, simplifying Shell’s operating structure as it looks to offload the assets. Financial terms weren’t disclosed.

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Shell agrees gas supply deals in Australia

By Robb M. Stewart: Published: Apr 6, 2017 2:20 a.m. ET

MELBOURNE, Australia–Under pressure to ensure industry in Australia isn’t hit with a shortfall of natural gas, Royal Dutch Shell PLC (RDSA) said it had agreed short-term sales deals with a power supplier and a maker of explosives.

The energy company is reducing exports of gas from its QGC operation in tropical Queensland in order to supply additional gas to the domestic market this year, said Zoe Yujnovich, the recently appointed chairwoman of Shell’s Australian business.

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Shell sells New Zealand’s oldest gas field in Taranaki to long term partner

LEIGHTON KEITH: Last updated 16:18, April 6 2017

The head of Venture Taranaki sees the sale of New Zealand’s oldest natural gas field in the region as a positive development.

Shell New Zealand country chairman Rob Jager announced the sale of the onshore Kapuni field, which was discovered in 1959, to Todd Energy on Thursday which is part of the oil giants ongoing review of its operations, announced in December 2015.

The field, 85km south of New Plymouth, was uncovered by a joint venture between Shell, BP and Todd and went into full production in 1969.

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Shell’s QGC to sell gas to Orica, Engie as trims LNG exports

Shell’s QGC to sell gas to Orica, Engie as trims LNG exports

Shell has signed two new deals to supply gas to east coast buyers in response to mounting pressure on the Queensland LNG exporters not to let industrial customers on the east coast go short.

The short-term agreements to supply gas to Orica and power producer Engie mean that Shell’s LNG venture in Gladstone will trim LNG exports to make more available for local users, said the oil major’s new Australia chair, Zoe Yujnovich.

However Shell wouldn’t disclose its revised forecasts for LNG exports from its $25 billion Queensland Curtis venture which typically ships about eight cargoes a month from its 8.5 million tonnes a year Curtis Island plant.

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Shell to fuel world’s first LNG-powered Aframax oil tankers

Published April 5, 2017, 10:01 PM

By Reuters 

Dubai – A unit of Royal Dutch Shell will fuel the world’s first LNG-powered Aframax crude oil tankers under a deal signed with Russian shipping company SCF Group (Sovcomflot).

Shippers are looking to liquefied natural gas (LNG) to help them meet stricter emissions regulations in 2020.

Oil tankers are “another marine segment embracing the benefits of LNG fuel,” Maarten Wetselaar, Shell’s integrated gas and new energies director, said in an announcement released on Monday.

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Shell Plans to Tap Gas Hunger in Emerging Energy Demand Center

by Saket Sundria and Debjit Chakraborty: 5 April 2017, 11:46 BST

Royal Dutch Shell Plc plans to boost its gas marketing business in India and may expand its import capacity for the fuel as it seeks to tap the country’s demand-growth potential.

The Anglo-Dutch company is aiming to sell imported natural gas directly to users such as power utilities, fertilizer makers, petrochemical plants and city gas distributors, said Shaleen Sharma, head of upstream development in India. Shell has also set up a team in Singapore to look for opportunities to ship more liquefied natural gas to India, he said.

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LNG producers turn to trading, risk taking to maintain market share

* Large volume, long-term contracts now “more difficult” -Shell

* JERA, Total sign deal with flexible volumes, spot prices

* Woodside, Shell see big opportunity in small-scale LNG

By Osamu Tsukimori

CHIBA, Japan, April 5 Producers of liquefied natural gas (LNG), having shot themselves in the foot with oversupply, and facing calls for flexibility and greater competition from other fuels are taking on more risk and learning to trade, just like any other commodities dealers.

That’s a big change for a market long dominated by large producers such as Royal Dutch Shell and BP which provide major importers with fixed volumes under multi-decade contracts linked to the price of oil.

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Royal Dutch Shell strikes deal to offload its Hong Kong LPG business as $30bn sell-off programme rolls on

By Alex Sebastian For This Is Money10:59, 5 April 2017

Royal Dutch Shell has announced a deal to sell its liquefied petroleum gas business in Hong Kong and Macau to DCC Energy for $150.3million as it continues its $30billion asset sales programme.

The Anglo-Dutch oil major has been active in the two locations for close to 60 years and supplies services which help meet the needs of over 100,000 households. The business will continue to operate under the Shell brand.

Shares in Shell responded positively to the news, climbing 1.3 per cent to 2,127p Wednesday. 

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Petronas May Consider Shell Site for Canadian LNG Project

by Elffie Chew and Natalie Obiko Pearson: 3 April 2017

Malaysia’s Petroliam Nasional Bhd may be looking at building a $27 billion liquefied natural gas export terminal in northwestern Canada on the site of an abandoned Royal Dutch Shell Plc energy project, according to the company’s chief executive officer.

While Petronas, as the state-owned company is known, has yet to make a financial decision to move forward with its Pacific Northwest LNG project in British Columbia, Shell’s Ridley Island site “could be one of the options” for a location for the complex, CEO Wan Zulkiflee Wan Ariffin said in an interview in Kuala Lumpur Friday.

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Despite cuts to jobs, spending, oil giants fail to cover costs

  • SARAH KENT
  • The Australian
  • 12:00AM April 4, 2017

The world’s biggest oil companies are struggling just to break even.

Despite billions of dollars in spending cuts and a modest oil price rebound, ExxonMobil, Royal Dutch Shell, Chevron and BP didn’t make enough money last year to cover costs, according to a Wall Street Journal analysis.

To calculate each companies’ free cash flow — the excess cash remaining after costs — the Journal deducted the firm’s dividends and capital expenditures from its cash from operations. All four firms fell short of cash flow for the year, although Exxon said it broke even by its own metrics, which exclude dividends. The analysis also showed that the four companies ended last year with more debt than they began it.

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Why Royal Dutch Shell plc should be worth £40 per share

Peter Stephens | Monday, 3rd April 2017

Shell (LSE: RDSB) has enjoyed a relatively prosperous recent period. Since the start of 2016, its shares have risen in price by around 42% as the outlook for the Oil & Gas industry has improved. However, there could be a long way to go until the company appears to be fully valued. In fact, a share price of £40 would not be excessive. This means there could be the potential for an almost 100% capital gain over the medium term.

Dividend strength

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Shell’s Wetselaar says LNG contract destination clauses “not really crucial”

CHIBA, April 4 (Reuters) – Royal Dutch Shell’s integrated gas and new energies director, Maarten Wetselaar, said on Tuesday that destination clauses in long-term liquefied natural gas (LNG) supply contracts that have linked suppliers and customers for decades are “not really crucial”. “They’re not really crucial in contracts anyway, once you’ve delivered LNG into a tank, it is quite expensive to get it out again and ship it to someone else,” Wetselaar said, speaking on the sidelines of a gas conference in Chiba, Japan.

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Shell withdraws from Kakinada gas project

Ayan PramanikApril 3, 2017

European oil and gas company Royal Dutch Shell has decided to discontinue its earlier proposal for a floating liquefied natural gas (LNG) import terminal off the Kakinada coast in Andhra Pradesh. The company said ample research had showed lack of adequate demand for liquid gas. “We have put a pause on that project. We worked closely with our partners and engineers and took it to the point where our engineering work was done and we were ready to go. We looked around (but) there was not enough demand. We cannot just spend hundreds of millions and do nothing. So, life …

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Shell plans to double Hazira LNG plant capacity – India head

By REUTERSPUBLISHED: 13:13, 31 March 2017

By Arathy S Nair and Tanvi Mehta

March 31 (Reuters) – Royal Dutch Shell Plc plans to double the capacity of its liquefied natural gas import facility at Hazira on India’s west coast to 10 million tonnes a year, a top company executive said on Friday.

Shell Gas B.V, a unit of Royal Dutch Shell Plc, owns a 74 percent stake in Hazira LNG Ltd, while Total Gaz Electricite France, a unit of France’s Total SA, holds the rest.

“We’ve done all the work, now it’s sort of taking a look at when is the right timing in terms of demand that’s available,” Nitin Prasad, chairman of Shell Companies in India, told Reuters, without giving a timeline for the expansion.

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Big Oil Vows to Keep Dividends Up as Prices Falter

by Rakteem Katakey: 30 March 2017, 00:01 BST 30 March 2017, 11:40 BST

As they guided Europe’s largest oil companies through the industry’s worst slump in two decades, the bosses of Royal Dutch Shell Plc and BP Plc had a simple message for investors: we’ll protect the dividend at all costs.

Not everyone is convinced they’ll be able to keep their word. Even after they raised billions of dollars by cutting costs, selling assets and adding debt, cash is pouring out of both companies in the form of hefty shareholder dividends. Yields on those payments — which fell through 2016 as crude started to recover — have risen this year, typically a signal that investors fear a cut in payouts.

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‘Biggest Oil Discovery In UK Waters This Century’

BY DR. BENNY PEISER, GWPF ON MARCH 27, 2017

Hurricane Energy has made a further oil discovery west of the Shetland Islands days after Royal Dutch Shell and BP won exploration licences in an area the UK is counting on to breathe new life into its struggling oil and gas industry. The latest find adds to a series of successful wells drilled by Hurricane in a geological formation that analysts say looks likely to be the biggest new oil discovery beneath UK waters this century.

FULL ARTICLE

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