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After false dawn, Big Oil to double down on cost cuts

LONDON (Reuters) – After a brief respite at the start of the year, the world’s top oil and gas companies are set to double down on cost cutting as a recovery in crude prices after a three-year slump falters.

Corporate hopes were raised by a deal between members of the Organization of Petroleum Exporting Countries and other non-OPEC producers to cut production, which lifted oil prices above $58 a barrel in January, after they had slid to as low as $27 in 2016.

But Brent crude prices have since slipped back below $50 and banks have lowered price forecasts, amid surging output from the United States and other nations not bound by the global oil pact. read more

Nigeria Oil Thieves Keep a Lid on Output Even as Bombs Abate

The Agbada oil flow station, operated by Shell in Port Harcourt, Nigeria. Photographer: George Osodi/Bloomberg

On top of that is the cost of clearing up the pollution from pipe ruptures. A 2011 UN study found that such an undertaking at Ogoni, just south of Port Harcourt, could exceed $1 billion and take 30 years.

By Paul Wallace: 20 July 2017, 05:15 BST

The Agbada 2 flow station should have been buzzing with activity, pumping crude to one of Nigeria’s largest export terminals. Instead it was idle in the muggy, mid-morning heat as Wilcox Emmanuel, the facility’s manager, shrugged in resignation about the thieves who’d shut him down.

As much as 30 percent of the oil sent by pipelines through the swampy Niger River delta is stolen, consultant Wood Mackenzie Ltd. estimates. That’s depriving the country of income amid a crippling recession and compounding the pain of a global price slump for Africa’s largest producer. read more

Iran Looks To Close More Deals But Oil Majors Are Cautious

By Gregory Brew – Jul 18, 2017, 9:30 AM CDT

Iran is on track to reach a major national milestone this year, if the nation’s oil spokesmen are to be believed. On Wednesday deputy oil minister Amir Hossein Zamaninia predicted oil production would reach 4 million bpd by the end of 2017, and certainly exceed that level by the end of the Iranian calendar year (March 2018).

Since international sanctions on its oil and gas industry were lifted in January 2016, Iran has managed to increase production to pre-sanctions levels, reaching 3.8 million in May 2017, the highest level in seven years. But 4 million bpd, long a national goal and symbolic of a full recovery, is now within reach. read more

Kazakhstan and Eurasia new oil consortium in a multi-billion Caspian project

LONDON (TCA) — In a move presented as glorious and spectacular, oil companies from Russia (Rosneft), China (CNPC), Kazakhstan (Kazmunaygas), Azerbaijan (SOCAR) and Italy (Eni) have teamed up to form a consortium for the exploration and exploitation of what is expected to be a new “giant” located in the very heart of the northern Caspian tectonic structure. The project, if successful and market demand to remain unchanged, should prolong the position of Kazakhstan as a global-scale oil supplier from 2040 till 2080. The Kazakhs are committed to contribute in the order of a billion greenbacks each year from now to the project. No overall picture of the total price tag has been presented so far. read more

Royal Dutch Shell: Talking The Talk, But Walking The Walk?

: July 12, 2017

Summary

  • CEO Ben van Beurden reinforces Shell’s readiness to play its part in achieving Paris agreement targets, but execution on this goal unclear.
  • Shell to acquire Texas company MP2 Energy, which has renewable energy and demand response focus.
  • Shell endorses Task Force on Climate-related Financial Disclosures report.

There is massive change happening in the transition from fossil fuels to renewable energy in the power and transport industries. While the major oil and gas companies have acknowledged the change, apart from Total (NYSE:TOT) there is little indication that other oil companies Exxon Mobil (NYSE:XOM), Chevron (NYSE:CVX) or BP (NYSE:BP) have concrete plans to change quickly. Here I consider whether Royal Dutch Shell (NYSE:RDS.A)(NYSE:RDS.B) is getting serious about the change.

All of the oil and gas majors are under pressure, but Shell is particularly challenged as its debt has blown out due the acquisition of BG Group for $50 billion. A key part of the next steps involves debt reduction through divestment. The BG investment could prove problematic as the world is awash with new LNG projects coming on stream. For the last 3 quarters it could pay its high dividend (6.9%) from free cash flow, but this was in an environment where the Brent price was $54/barrel. This can’t continue if the oil price stays where it is now. So it is a pretty challenging time for Shell. read more

Oil Majors Face Ratings Cuts Amid Weak Recovery, S&P Global Says

Exxon Mobil Corp., Chevron Corp. and other oil majors could see their credit ratings slashed again if they fail to cut costs and reduce their growing debt loads in the next year, according to an S&P Global Ratings report.

The world’s largest drillers failed to take advantage of high prices during the boom years before 2014 to repay debt, according to the report published on Tuesday. Instead they embarked on costly investments in new projects and dividends, leaving them unprepared for the painful downturn that ensued. read more

Shell Mulls LNG-Hub Network as Use by Ships and Trucks Expands

By Rakteem Katakey: July 11, 2017

(Bloomberg) — Royal Dutch Shell Plc, the oil company that spent more than $50 billion to buy natural-gas producer BG Group Plc, is looking to expand demand for the fuel in transport to ensure its output is consumed.

Shell is studying developing a global network of liquefied natural gas supply hubs for vehicles including ships, Steve Hill, executive vice president for gas and energy marketing and trading, said Monday at the World Petroleum Congress in Istanbul. read more

After Iran move, Total seen in pole position to snap up Qatar gas deals

By | DOHA/LONDON:Mon Jul 10, 2017 | 8:13 AM BST

Total is well placed to take a lead role in helping Qatar expand output from the world’s largest gas field, largely thanks to its involvement in the Iranian side of the shared deposit, two sources familiar with Doha’s thinking said.

That puts the French oil major ahead of rivals like Exxon and Shell in the early running for developing the expansion, which the tiny Gulf state announced as it seeks to counter growing isolation caused by a regional diplomatic rift.

Total boss Patrick Pouyanne signed a deal this month to develop the South Pars field, as Iran’s part of the shared reserves are known, becoming the first oil major to return to the country since the lifting of sanctions. read more

It’s a world of worry for oil companies

By Ryan Maye Handy: 8 July 2017

India hopes to sell only electric vehicles by 2030. China is offering incentives to buy electric cars and investing heavily in renewable technologies. Volvo will scrap the pure internal combustion engine in favor of hybrids and electric cars.

And on Thursday, France announced it plans to ban the sale of diesel and gasoline-fueled cars by 2040.

The world’s major oil companies might disagree when global demand for petroleum will peak, but the news of the past seven months suggests that they should be worried, if they aren’t already. Nations, states and private companies are demanding cleaner energy, leaving the world’s oil producers to face a reckoning that many haven’t yet accepted. read more

Qatar signals LNG price war for market share in Asia

U.S. and European oil majors such as Royal Dutch Shell and Chevron have invested huge sums over the last decade – often more than they have spent on oil – in an attempt to dominate the LNG market, especially through mega-projects in Australia such as Chevron’s Gorgon or Shell’s Prelude.

By Henning Gloystein and Mark Tay | SINGAPORE

Qatar’s plan to boost liquefied natural gas (LNG) output by 30 percent is the opening shot in a price war for customers in Asia pitting the Gulf state against competitors from the United States, Russia and Australia.

Qatar, facing regional isolation in a diplomatic dispute with its Gulf neighbors, took energy markets by surprise on Tuesday when it said it would raise its LNG production to 100 million tonnes per year – equivalent to a third of current global supplies – within the next five to seven years. read more

Oil majors lost $115 billion in market value since April

ExxonMobil, Chevron, Total, Royal Dutch Shell, and British Petroleum are the five biggest players on the index, which includes 85 other majors. Together, they have lost $115 billion in market value since the beginning of April, Bloomberg reports, according to World Oil.

By Zainab Calcuttawala – Jul 04, 2017, 5:00 PM CDT

Operational improvements in shale and non-shale oil drilling, on top of lower expenses for oilfield services and access to pipeline capacity, have driven down the costs of producing the fossil fuel since the 2014 market crash. But the increase in output has forced barrel prices into a deeper bearish market, causing further damage to corporate bottom lines.

This trend is mapped clearly in the MSCI’s World Energy Index, which measures the progress of large and medium sized companies in 23 oil-producing countries on a quarterly basis. ExxonMobil, Chevron, Total, Royal Dutch Shell, and British Petroleum are the five biggest players on the index, which includes 85 other majors. Together, they have lost $115 billion in market value since the beginning of April, Bloomberg reports, according to World Oil. read more

Iran’s Gas Wealth Lures Total to Take Dose of Political Risk

By Francois De Beaupuy , Golnar Motevalli and Hashem Kalantari
4 July 2017, 00:01 BST

Total SA made a $1 billion bet on natural gas in Iran, swallowing a hefty dose of political risk in the hope of gaining first-mover advantage in the country with the world’s largest reserves.

The deal to develop phase 11 of the giant South Pars field is the first investmentin Iran by an international energy company since sanctions were eased last year. Total expects it to open the way for further involvement in oil, gas and petrochemical projects there, said Chief Executive Officer Patrick Pouyanne. read more

Total Plows Into Iran, Leaving Shell, BP on Sidelines

By Benoit Faucon and Sarah Kent

The $1 billion pledged Monday by French oil giant Total SA in an Iranian gas field is a breakthrough for the resource-rich country, but it is unlikely to unleash the flood of foreign energy-industry investment that Tehran is seeking.

Total executives signed a contract Monday to press ahead with developing the country’s massive South Pars gas field, in which it holds a 50% operating stake. The contract is the first Iranian exploration and production project awarded to a major European company in 10 years, after a deal with global powers last year ended Western sanctions on Tehran over its nuclear program. read more

Big Oil’s Costly Love Affair With the British Pensioner

Crude’s fall raises new questions about huge payouts.

By Chris Bryant: 29 June 2017

Europe’s big oil companies have spent the past couple of years slashing costs because lower crude prices mean there’s less cash to balance the books. Despite those strains, most have left shareholder payouts untouched.

Now, with oil prices falling back into a bear market, the dividend yields of several European integrated oil stocks have widened again. Levels like these usually indicate a dividend cut is on the cards: 

That’s still probably not the case though. British income investors (and many pensioners) depend on Royal Dutch Shell Plc and BP Plc, which together account for more than 10 percent of FTSE 100 dividends, notes Macquarie. Shell’s alone cost an eye-watering $15 billion. Their boards’ credibility would suffer if they suddenly reversed course. Fortunately for management, there is a get-around but it looks like an expensive fudge. read more

Big Oil: Surviving at $40, Thriving at $60

By Ben Levisohn:  The price of oil is rising today, but that hasn’t helped oil stocks like ExxonMobil (XOM), Chevron (CVX), Total (TOT), and Royal Dutch Shell (RDS.A), which remain little changed or under pressure.

The International Integrateds and Majors can survive in a $40-50/bbl oil price range, in our view; however, we continue to see >$60/bbl required for them to thrive. We expect companies to continue pulling on all operational and financial levers in order to adjust to the oil price reality… read more

Oil Majors Snatch Up Mexican Oil Blocks

By Nick Cunningham – Jun 20, 2017, 4:00 PM CDT

Mexico hosted another oil auction on Monday, auctioning off shallow water oil and gas blocks to international companies. The auction was the latest in a series of offerings related to the country’s historic energy reform, which opened up Mexico’s energy sector to private investment.

The latest auction had modest hopes, as the blocks on offer were in shallow water areas, far from the much more sought after deepwater blocks near the U.S. maritime border. But the results exceeded expectations, with a handful of oil majors jumping into the fray.  read more

Oil firms could waste trillions if climate targets reached: report

By Ron Bousso | LONDON

Oil giants including Exxon Mobil and Royal Dutch Shell risk spending more than a third of their budgets by 2025 on oil and gas projects that will not be feasible if international climate targets are to be met, a thinktank says.

More than $2 trillion of planned investments in oil and gas projects by 2025 risk becoming redundant if governments stick to targets to lower carbon emissions to limit global warming to 2 degrees celsius, according to a report by the Carbon Tracker thinktank and a group of institutional investors. read more

Total and Shell win block in Mexico shallow water oil auction

Mon Jun 19, 2017 | 4:07pm EDT

A consortium comprising France’s Total (TOTF.PA) and Royal Dutch Shell (RDSa.L) won the 15th shallow water oil and gas block put up for auction on Monday, the Mexican oil regulator said.

Block 15 lies off the southern Gulf coast state of Campeche, and includes estimated prospective resources of up to 496 million barrels of oil over an area of 375 square miles (972 sq km).

(Reporting by Adriana Barrera)

SOURCE

Get Ready for Peak Oil Demand

By Lynn Cook and Elena Cherney: 

Forecasts for peak oil demand diverge by decades. The Paris-based International Energy Agency argues that demand will grow, albeit slowly, past 2040. And the two biggest U.S. oil companies, Exxon Mobil Corp. and Chevron Corp. , say peak demand isn’t in sight.

But some big European producers predict that a peak could emerge as soon as 2025 or 2030, and they are overhauling their long-term investment plans to diversify away from crude oil. Royal Dutch Shell PLC and Norway’s Statoil SA are placing bigger bets on natural gas and renewables, including wind and solar. read more

ShareAction urges investors to reject BP, Shell pay policies leftright 2/2leftright

Graphic from a Financial Mail On Sunday article published in Sept 2015

Campaign group ShareAction on Tuesday called for investors to oppose remuneration policies at oil majors BP and Royal Dutch Shell as the policies were not tied closely enough to targets to reduce carbon emissions.

ShareAction said this meant both companies’ plans were misaligned with the interests of long-term shareholders.

ShareAction said it had contacted shareholders at both companies and was helping pension savers to write to their funds about voting down the remuneration policies. read more

New Shell finance boss says North Sea remains important to oil and gas giant

MARK WILLIAMSON: 5 MAY 2017

ROYAL Dutch Shell’s new finance chief has said the company will continue to invest in the North Sea where it is making good returns but declined to rule out selling off more UK assets.

Speaking after Shell posted a 140 per cent increase in first quarter profits, Jessica Uhl said the North Sea remains important to the firm although rationalisation moves will leave it with a much reduced presence in the area.

The oil and gas giant agreed in January to sell a portfolio of mature assets which account for around half its UK production to Chrysaor for up to $3.8 billion. read more

Shell’s first-quarter profit more than doubles

By Ron Bousso | LONDON

Royal Dutch Shell reported a sharp rise in net profit on Thursday, beating analyst forecasts and joining its peers as stronger oil prices and improved refining margins boosted revenue after nearly three years of downturn.

A billion dollars in cost savings and budget cuts made over the past three years, as well as around $20 billion of asset sales following the $54 billion acquisition of BG Group last February, also helped increase cash flow and boost profits.

After completing the integration of BG Group in the third quarter of last year, the company and investors are turning their focus to increasing revenue and reducing debt as oil prices appear to recover. read more

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. read more

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. read more

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. read more

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. read more

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. read more

YPF, Shell sign deal for Vaca Muerta pilot project

Argentina’s state-run oil company YPF SA said it reached a preliminary deal with Royal Dutch Shell Plc on Thursday to develop oil and gas assets in the Vaca Muerta shale field, involving a $300 million investment from Shell.

Both companies will take a 50 percent stake in the Bajada de Añelo field to develop a pilot program, which will be operated by Shell, YPF said in a statement. The agreement is subject to approval by provincial authorities, and Shell’s investment will come in two phases, YPF said. read more

Shell and Total set to provide electric car charging ports at UK and Dutch garage forecourts

Written by Energy reporter – 30/01/2017 1:47 pm

Oil supermajors Royal Dutch Shell and Total are preparing to introduce battery charging points at European petrol stations as the the energy giants respond to rising sales of electric cars.

A selection of Shell’s filling stations across the UK and Netherlands will be the first to offer the service later this year, according to the Financial Times.

Total is said to be working on a similar move in a bid to capitlise on the emerging electric car market. read more

Shell is expected to report huge annual profit gains as oil prices recover

Recovering oil prices mean Shell will bag a huge profit compared with last year’s (Source: Getty)

Courtney Goldsmith: 29 Jan 2017

Royal Dutch Shell’s annual profits are expected shoot up following last year’s dramatic 80 per cent decline as oil prices continue to inch up.

The oil giant is forecasted to post a profit of $8.17bn (£6.51bn), more than double its profit of $3.8bn the previous year, the Telegraph reported.

The Anglo-Dutch business is also expected to announce the latest development in its drive to ditch $30bn worth of assets following its £35bn takeover of BG Group. Shell is predicted to report the $3bn sale of its North Sea oil and gas assets – almost half of its total assets worth $7bn in the North Sea – to a private-equity-backed explorer. read more

Shell bounces back as oil price enjoys a slick resurgence

Shell bounces back as oil price enjoys a slick resurgence

Jillian Ambrose28 JANUARY 2017 • 7:00PM

Royal Dutch Shell is poised to lead a comeback this week as it reveals annual profits have more than doubled on the back of the recovering oil price.

The Anglo-Dutch oil giant is expected to post bumper profits of $8.17bn (£6.91bn), a huge jump on the $3.8bn it reported at the depths of the market downturn.

Alongside the profit boom, Shell is expected to announce the $3bn sale of its North Sea oil and gas assets to a private-equity-backed explorer. read more

Nigeria Tells Shell, Eni to Temporarily Cede Oil Field Control

by Yinka Ibukun and Elisha Bala-Gbogbo: 27 January 2017

A Nigerian court has ordered Royal Dutch Shell Plc and Eni SpA to cede control of a jointly owned oil license to the government amid an investigation into how they purchased the asset.

The companies’ control of Oil Prospecting License 245 is suspended pending “investigation and prosecution of suspects” including companies and individuals accused of possible “acts of conspiracy, bribery, official corruption and money laundering,” according to documents from the Federal High Court in Abuja. read more

Shell Gabon employees end strike after deal

By AFP   |   23 January 2017   |   11:00 am

Shell Gabon’s 400 staff have returned to work, ending an 11-day walkout after a deal was reached with management over the planned sale of the business, union sources said Monday.

“Work has resumed at all sites operated by Shell Gabon,” after the government helped mediate a deal regarding workers’ compensation, said the ONEP union which had originally organised the open-ended strike.

Royal Dutch Shell, one of the two historic operators alongside French group Total, is selling its Gabon oil assets. read more

Oil majors, car makers to push hydrogen technology to help cut emissions

Ben van Beurden, chief executive officer of Royal Dutch Shell, speaks during a news conference in Rio de Janeiro, Brazil, February 15, 2016. REUTERS/Sergio Moraes

The heads of some of the world’s biggest oil firms and automakers agreed on Tuesday to push for broader global use and bigger investments in using hydrogen to help reduce emissions and arrest global warming.

The oil firms’ and car makers’ chiefs said the plan was part of global efforts to keep global warming well below 2 degrees Celsius, an ambitious goal agreed by 195 countries in Paris in 2015. read more

Toyota, Shell Among Giants Betting $10.7 Billion on Hydrogen

by John Lippert: 17 January 2017, 21:00 GMT Updated on 18 January 2017, 00:23 GMT

Toyota Motor Corp. and four of its biggest car-making peers are joining oil and gas giants including Royal Dutch Shell Plc and Total SA with plans to invest a combined 10 billion euros ($10.7 billion) in hydrogen-related products within five years.

In all, 13 energy, transport and industrial companies are forming a hydrogen council to consult with policy makers and highlight its benefits to the public as the world seeks to switch from dirtier energy sources, according to a joint statement issued from Davos, Switzerland. The wager demonstrates that batteries aren’t the only way to reduce pollution from cars, homes and utilities that are contributing to climate change. read more

Royal Dutch Shell plc: New Condition in Iran Agreement

Published By: Eunice Gettys on January 17, 2017 11:52 am EST

Coming ahead of Western sanctions being uplifted over its nuclear program, Iran is in full zest to boost its production at pre-sanction levels. Not just the oil rich country but even the Big Oil companies are aggressively seeking to pave ways in the lucrative fields of Iran.

With Total SA (ADR) (NYSE:TOT) taking the lead via the South Pars project, followed by Royal Dutch Shell plc (ADR) (NYSE:RDS.A), Eni SpA (ADR) (NYSE:E), and BP plc (ADR) (NYSE:BP), Iranian news agency has reported that the country is aiming to exploit the rivalry between these companies.  read more

Shell, Total likely to join hands in Iran

Mon 16 January 2017 

TEHRAN, Jan. 16 (MNA) – A consortium is likely to be formed by Britain’s Royal Dutch Shell, France’s Total as well as an Iranian company for development of Azadegan oilfield.

On the verge of inviting the first tender for development of Iranian oilfields in the post-JCPOA era, Shell and Total have embarked on a rivalry over development of Iran’s largest oil field.

At the same time, with arrival of Japan’s Inpex Corporation for the same purpose, National Iranian Oil Company (NIOC) is seeking to take the most out of capacities of the three oil giants by shaping a consortium with presence of an Iranian firm. read more

Shell oil workers in Gabon begin “unlimited” strike on Thursday

Royal Dutch Shell workers in Gabon began an “unlimited” strike on Thursday at all the company’s operations in the Central African OPEC member country, the workers’ union wrote in a letter to employees.

Shell is in advanced talks to sell its Gabon assets, which one source estimated could be worth $700 million, leaving workers worried about layoffs or being moved to new locations, the union said.

The national union of petroleum employees (ONEP) said the strike “will cover all of Shell Gabon’s operations (Libreville, Port-Gentil, Gamba Rabi, Koula and Toucan)”. read more

Shell High Court battle looms, could trigger further cases against multinationals

Shell High Court battle looms, could trigger further cases against multinationals

Written by Reporter – 06/01/2017 1:51 pm

A court in London will decide in coming weeks whether Shell can face trial in the UK over oil spill allegations in Nigeria.

Some legal experts have predicted it could attract more cases against multinationals in Britain.

The High Court is set to judge whether members from two communities in Nigeria’s oil-rich Delta region, can sue the Anglo-Dutch company in British courts.

The communities say Nigerian courts are unfit to hear the case against Shell subsidiary Shell Petroleum Development Company of Nigeria (SPDC). read more

BP opts out of Iran deals ahead of Trump hard line on Tehran

by: Andrew Ward, Energy Editor: 2 Jan 2017

BP has opted out of the first wave of agreements to develop oil and gas reserves in Iran after the lifting of international sanctions — setting it apart from its two biggest European rivals Royal Dutch Shell and Total.

However, BP, which has its corporate roots in the Anglo-Persian Oil Company… is taking a more cautious approach ahead of a Donald Trump presidency which threatens renewed diplomatic tensions with Tehran.

FULL FT ARTICLE

Shell Expected to Sign Iran Oil Deal Despite Uncertainty Over Trump

Update: Shell Signs Preliminary Iran Oil Deal Despite Uncertainty Over Trump

By BENOIT FAUCON and SARAH KENT: U

LONDON— Royal Dutch Shell PLC on Wednesday said it had signed a memorandum of understanding with Iran’s state oil company to explore future ventures, signaling that giant energy companies won’t be deterred by President-elect Donald Trump’s pledge to undo the Iran nuclear deal.

Shell is the largest company to wade back into Iran since the U.S. and other world powers lifted sanctions in January in exchange for Tehran’s agreement to strict limits on its nuclear program. The British-Dutch firm follows Total SA of France, which last month signed a $4.8 billion deal to develop a large gas field in Iran and is negotiating for an oil deal now. read more

Shell, Total to sign oil deals with Iran

Dec. 7, 2016 5:48 AM ET| By: Yoel Minkoff, SA News Editor

Royal Dutch Shell (RDS.A, RDS.B) and Total (NYSE:TOT) will signinitial agreements today to develop oil and gas fields in Iran, in the first European petroleum deals in the country since sanctions eased earlier this year.

But the plans open both companies to potential risks from the incoming Trump administration.

Though Total is French and Shell is jointly headquartered in London and The Hague, both companies have substantial American operations. read more

Shell and Total Said to Sign Initial Oil Deals With Iran

by Hashem Kalantari , Sam Wilkin , and Golnar Motevalli

December 7, 2016 — 2:12 AM EST: Updated December 7, 2016 — 9:39 AM EST

Royal Dutch Shell Plc signed an agreement to assess three of Iran’s largest oil and gas fields as OPEC’s third-biggest producer looks to boost output with the help of international companies.

Shell signed a memorandum of understanding to evaluate the Azadegan and Yadavaran oil fields near the Iraqi border, and the Kish gas deposit in the Persian Gulf, Gholam-Reza Manouchehri, deputy director of the National Iranian Oil Co., said at a signing ceremony in Tehran on Wednesday. read more

Shell ties in bonuses to reinforced emissions strategy

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By Ron Bousso and Karolin Schaps | LONDON

Royal Dutch Shell plans to link part of its executive bonuses to greenhouse gas emissions and conduct more active screening of future investments to further efforts to reduce the energy group’s carbon footprint, its CEO told Reuters.

The new initiative by the Anglo-Dutch group comes in response to mounting pressure from investors to adapt to an expected flattening in oil consumption within as little as five years and international plans to phase out fossil fuels by the end of the century to combat global warming. read more

Shell to Start Feeling Norway Heat on Ormen Lange Gas Project

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By Mikael Holter: November 30, 2016 

Norway expects Royal Dutch Shell Plc to go forward with a shelved project to boost recovery of natural gas at the Ormen Lange field and warned it will start pushing the company for progress from next year.

“A clear message to Shell is that we expect that it seizes the opportunities that exist at Ormen Lange and comes to a decision to take this forward,” Bente Nyland, the head of the Norwegian Petroleum Directorate, said in an interview in Oslo on Wednesday. “There are a lot of resources at Ormen and we have to get them out.” read more

Nigeria reaches a deal to pay $5.1 billion in unpaid bills to oil majors – minister

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By Felix Onuah

Nov 17 Nigeria has reached a deal to pay $5.1 billion in unpaid bills to oil majors including Royal Dutch Shell and Exxon Mobil, the minister of state for oil said on Thursday.

The Nigerian National Petroleum Corporation (NNPC), the OPEC member’s state oil firm, has amassed a total of $6.8 billion in unpaid bills up to December 2015, so-called cash calls, that it was obliged to pay under joint ventures with Western oil firms, with which it explores for and produces oil. read more

Nigeria Reaches $5.1 Billion Debt Settlement With Oil Majors

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By Elisha Bala-Gbogbo and Rakteem Katakey: November 17, 2016

Nigeria reached a $5.1 billion settlement to reimburse foreign oil companies including Exxon Mobil Corp. and Royal Dutch Shell Plc for past operating costs.

The amount, less than the $6.8 billion previously discussed, will be settled through crude-oil sales over five years and will be interest free, Petroleum Minister Emmanuel Kachikwu told reporters in the capital, Abuja, Thursday.

“What we have been able to put together has enabled us to shave about $1.7 billion in savings for the federal government from the $6.8 billion that was owed,” he said. “The barrels to pay those will come from incremental barrels generated by the oil companies, not from the current 2.2 million-barrel-a-day production. read more

How Royal Dutch Shell plc Has Changed in the Past Three Years

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SHELL EMPLOYEE AT WORK. IMAGE SOURCE: ROYAL DUTCH SHELL.  

By Reuben Gregg Brewer (ReubenGBrewer: Nov 17, 2016

Royal Dutch Shell plc (NYSE:RDS-A) (NYSE:RDS-B) is one of a small collection of international energy giants. That group, which includes companies like ExxonMobil (NYSE:XOM) and Chevron (NYSE:CVX), as a whole, is thought of as oil companies. But over the past few years, Royal Dutch Shell has taken steps to tip the balance toward natural gas, a key difference investors need to know about. read more

Big Oil Looks Past Profit Crunch as Cash Flow Shows Recovery

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By Javier Blas: November 9, 2016

Ask any oil-company accountant, “what’s the difference between income and cash flow?” and they’re likely to say income makes the headlines, cash pays the bills.

It may be glib, but there’s a nub of truth there. Cash generation is the yardstick used to judge a company’s ability to invest and pay dividends, and it’s been growing at the biggest oil producers for three quarters in a row.

Last quarter the world’s largest listed energy companies — Exxon Mobil Corp., Royal Dutch Shell Plc, Chevron Corp., Total SA and BP Plc — reported cash from operations of almost $26 billion, up 67 percent from the previous three months and more than double the first-quarter amount, according to data compiled by Bloomberg. read more

FT: Western oil companies reach $5B deal with Nigeria

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Nov. 8, 2016 10:23 AM ET|By: Carl Surran, SA News Editor

Nigeria’s government has reached an outline settlement to resolve a dispute with western energy firms that would pay the companies $5B to cover exploration and production joint venture costs in the country, Financial Times reports.

Nigeria’s petroleum minister tells FT that Royal Dutch Shell (RDS.A, RDS.B), ExxonMobil (NYSE:XOM), Eni (NYSE:E), Chevron (NYSE:CVX) and Total (NYSE:TOT) accepted the settlement of costs incurred during 2010-15, and hopes a deal can be finalized by year-end. read more

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