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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

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

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

Shell, Korean gas co. ponder LNG partnership with Energy Transfer Partners

South Korean gas company and Royal Dutch Shell are considering throwing their weight behind yet another liquefied natural gas plant.

Energy Transfer Partners announced on Thursday that Korea Gas Corporation and BG LNG Services, a Houston-based subsidiary of Royal Dutch Shell, are interested in working with the Dallas pipeline giant on its Lake Charles LNG Liquefaction Project.

The Lake Charles project in Louisiana is wholly owned by Energy Transfer and its entities. The company expects to build on its existing regasification import facility there. read more

Gas crisis lures Shell to energy trading

by Matthew Stevens: 28 June 2017

Royal Dutch Shell has established a new energy trading business in Australia and has already started work on mitigating the growing political risk of supply-side failure in the liquid natural gas drained east coast gas market.

Shell Energy Australia recently signed its first gas supply contract with a Victorian customer and the plan is to trade actively in Australia’s domestic gas and electricity markets.

The immediate plan is that traders based in Melbourne and Brisbane will bypass existing market structures to deliver gas and electricity to, initially at least, commercial customers up and down the east coast. read more

Shell’s $1 Billion New Zealand Sale Said to Draw OMV, Vermilion

By Brett Foley , Perry Williams , and Scott Deveau
23 June 2017, 04:47 BST

Royal Dutch Shell Plc’s sale of its remaining New Zealand energy assets has drawn interest from companies including OMV AG and Vermilion Energy Inc., people with knowledge of the matter said.

Vermilion has been talking with potential financial partners about bidding together for Shell’s stakes in two New Zealand gas fields, one of the people said. Smaller local energy companies including Greymouth Petroleum Ltd. have also been considering teaming up with other investors for joint offers, the people said, asking not to be identified as details are private. The assets could fetch as much as $1 billion, the people said. read more

Shell to cash in $10bn from divestments in second half

Written by

Biraj Borkhataria of RBC Capital Markets said the influx should go towards reducing the oil major’s debts and act as a clear catalyst for outperformance.

The Anglo-Dutch energy giant’s net debt currently stands about $72billion and Shell wants to shave off about $20billion to reduce gearing − the level of a company’s debt related to its equity capital − to around 20%.

Shell is in the midst of a push to sell $30billion worth of assets between 2016 and 2018 to rebalance its books following its takeover of BG Group. read more

Shell Starts Production At New FPSO In Pre-Salt Brazilian Field

By Zainab Calcuttawala – May 26, 2017, 10:00 PM CDT

Royal Dutch Shell’s Brazilian subsidiary BG E&P Brasil and partners began production in a deepwater field in the Santos Basin on Friday, according to a new report by World Oil.

The floating production storage and offloading vessel (FPSO) P-66 sits at a depth of 2,150 meters and can extract 150,000 barrels of oil and six million cubic meters of natural gas per day. The vessel is the first in a series commissioned by Petrobras to exploit the BM-S-11 block within a consortium. read more

Shell to sell C$4.1 billion stake in Canadian Natural -sources

Shell to sell C$4.1 billion stake in Canadian Natural -sources

By John Tilak and David French: 23 May 2017

TORONTO/NEW YORK, May 23 (Reuters) – Royal Dutch Shell Plc has decided to offload a roughly C$4.1 billion ($3 billion) stake in Canadian Natural Resources Ltd (CNRL) that it acquired as part of a deal to retreat from Canada’s oil sands earlier this year, people familiar with the situation told Reuters.

Shell has been interviewing investment banks to hire a financial adviser for the share sale, four people said in the past week, declining to be named as the discussions are confidential. read more

Shell-BG Merger Benefits Becoming More Clear

: May 8, 2017

When I decided to position for a coming oil price recovery towards the end of 2015, I decided on buying Shell (NYSE:RDS.A), alongside Suncor (NYSE:SU) and Chevron (NYSE:CVX). My investment strategy always has a longer term horizon, therefore Shell was an obvious choice, given the very generous dividend. When deciding to hold a stock for a number of years, it really makes a difference, as long as the dividend is sustainable, of course.

There were other factors which I saw as positive long term prospects that makes Shell stock worth holding on to for a while. Shell’s leadership in the LNG sector, in large part thanks to the BG deal is one of the things that attracted me to the stock. As I stated many times before, I believe that natural gas will eventually become the number one energy source on the planet and as such it will have to become more flexible in terms of delivery. LNG shipments will most likely become a globally strategic industry, which is likely to grow a lot in coming years and decades. read more

Royal Dutch Shell Takes a Big Step Forward in Its Post-BG Merger Plan This Quarter

 

Tyler Crowe: (TMFDirtyBird) May 5, 2017 at 10:33AM

The investment thesis for Royal Dutch Shell (NYSE:RDS-A) (NYSE:RDS-B)radically changed back in 2015, when the company acquired BG Group. The idea of combining these two companies held a lot of promise, but investors would only benefit if management could successfully integrate the company, divest itself of some lower-return businesses, and lower the debt load it took on to get the deal done.

It wasn’t an easy task, but Shell’s most recent couple of earnings reports suggest that management has pulled it off. Here’s a look at its latest earnings release and what management has done recently to get the company one step closer to realizing the potential of that investment thesis laid out a couple of years ago. read more

Divestment, retooling strategy has paid off, Shell says

Divestment, retooling strategy has paid off, Shell says

By Daniel J. Graeber: May 4, 2017

May 4 (UPI) — A divestment and retooling strategy has paid off considerably with first quarter profits more than doubling on improved oil prices, Royal Dutch Shell said.

Shell joins industry peers like British supermajor BP in declaring a first quarter success. Crude oil prices and market conditions have improved since first quarter 2016, and Shell CEO Ben van Buerden said the debt load was cut in part by a free cash flow of $5.2 billion.

Shell in March announced plans to sell off its entire onshore interests in Gabon to Assala Energy Holdings, part of The Carlyle Group, for $587 million. In the fourth quarter alone, the company unloaded more than $1 billion in assets, in large part from North America. In January, it sold off its interests in a package of assets in the British waters of the North Sea for $3.8 billion. read more

Shell’s Big Oil Squeeze

May 4, 2017

Royal Dutch Shell Plc is defying skeptics and showing that it can afford its dividend. Investors just need to believe it hasn’t made too many compromises to do so.

The Anglo-Dutch oil giant generated $9.5 billion of operating cash flow in the first quarter, ample to fund $4.3 billion of investment, $2.7 billion of cash dividend payments and an $850 million interest bill. It even managed to cut debt without the benefit of big asset sales.

This is the third consecutive quarter where Shell has shown it can live within its means. The accounting result was impressive too: $3.5 billion of net income, up from $1.5 billion in the fourth quarter. That’s well ahead of expectations, and without the distortion of lots of one-offs. read more

Shell Pumps a Torrent of Cash as Takeover, Cost Cuts Pay Off

by Rakteem Katakey
4 May 2017, 07:14 BST
4 May 2017, 08:01 BST

Royal Dutch Shell Plc showed it has adapted to a world of lower oil prices, generating a surge in cash flow that allowed it to pay dividends while reducing debt.

The Anglo-Dutch company’s performance helps validate Chief Executive Officer Ben Van Beurden’s $54 billion purchase of BG Group Plc — for which some shareholders complained he overpaid — and the deep spending cuts and asset sales he undertook to protect the balance sheet. 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

Shell’s $390m asset write-off casts doubt on CSG reserves

: Resources reporter: Melbourne: 2 MAY 2017

Shell has written off $390 million worth of newly acquired coal-seam and other gas exploration and evaluation ground associated with the Queensland Curtis LNG plant at Gladstone because of poor drilling and testing results.

Raising more questions over long-term production from Queensland coal-seam gas fields that are supposed to feed Gladstone’s three gas-hungry LNG plants for the next 20 years, the writedowns were revealed as part of $1.2 billion of impairments logged this month in local accounts for Shell’s Queensland subsidiaries. read more

Shell’s Steve Phimister appointed to Oil & Gas UK Board

by – 26/04/2017 3:42 pm

Steve Phimister, who also oversaw the £3billion sale of assets to Chrysaor earlier this year, takes up the position as he enters his new role as vice president of Shell’s UK & Ireland upstream business unit.

Phimister will be taking the place of his Shell upstream predecessor Paul Goodfellow on Oil & Gas UK’s board of directors with immediate effect.

“The Maximising Economic Recovery Strategy and the steps we have taken as an industry to improve efficiency are bearing fruit

“I look forward to shaping the next steps with industry partners as we seek to become a globally competitive basin.” read more

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. read more

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

Written by

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. read more

Shell Employs 92,000 Workers During 2016, Hires 800 Graduates

by  Rigzone Staff | Wednesday, April 12, 2017

Royal Dutch Shell employed an average of 92,000 workers in more than 70 countries during 2016, the company revealed in its 2016 sustainability report released Wednesday.

The company also stated that it recruited “around 800 graduates, 800 experienced professionals and 2,800 people” in its Shell Business Operations last year.

Close to 40 percent of graduate recruits came from universities outside of Europe and the Americas and around 40 percent of the firm’s total workforce is located in countries outside of Europe and North America, Shell highlighted in its latest report. read more

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. read more

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. read more

Shell reluctant to part with California refinery amid asset sale

By Jessica Resnick-Ault and Ron Bousso | NEW YORK

Royal Dutch Shell (RDSa.L) is in talks with several potential buyers for its refinery outside of San Francisco, but the Anglo-Dutch oil giant is reluctant to part with its last asset in California, three people familiar with the process say.

The company is in the midst of a massive asset sale, shedding properties from Thailand to the North Sea to pay down debt following its $54 billion purchase of smaller British rival BG Group last year.

Shell, Europe’s largest oil company, has sold around $15 billion of assets over the past year as part of a planned $30 billion in asset sales to trim debt incurred from the transaction. read more

BP Rallies on Possibilities of a Takeover by ExxonMobil

Zacks: March 14, 2017

Shares of BP plc BP rallied after a London-based newspaper claimed that ExxonMobil Corporation XOM is looking to place a takeover bid for the British energy group.

A bid for BP cannot be ignored as these rumors about ExxonMobil’s interest have been doing the rounds for years. However, analysts believe that such a deal is unlikely as it does not seem to be a strategic fit.

The merger would create a company too big and complex to be managed. The weak oil price environment has resulted in just one big deal – Royal Dutch Shell plc’s RDS.A $54 billion purchase of BG Group Plc in 2016. Other key oil players in the industry have embarked on smaller acquisitions as they intend to preserve cash and maintain their balance sheets. Though oil prices have increased from the 12-year lows of last year, companies are still uncertain if the recovery is sustainable. read more

Shell cancels Prince Rupert LNG project, to move forward on Kitimat project

Mar. 13, 2017 1:36 PM ET|By: Carl Surran, SA News Editor

Royal Dutch Shell (RDS.A, RDS.B) says it is ending development of its proposed Prince Rupert liquefied natural gas project in British Columbia but is still considering the potential of its other Pacific coast LNG option.

Prince Rupert LNG was part of a portfolio of projects acquired in the takeover of BG Group last year, but Shell says the project no longer stacks up against existing options.

Shell said it continues to actively move forward on the proposed Kitimat LNG Canada project in B.C. with its partners, even though last year it indefinitely deferred a final investment decision on it because of market conditions. read more

Shell CEO’s plan for a smaller carbon footprint

Patti Domm: 9 March 2017

Royal Dutch Shell‘s announcement of the sale of $7.25 billion in Canadian oil sands assets Thursday is an important step to turning itself into a company of the future — with a broader mix of energy assets and a smaller carbon footprint.

Shell CEO Ben van Beurden said the company is committed to reshaping itself and believes that renewables and new energy will play a bigger role. The company is retaining just 10 percent of its Canadian sands assets.

“We are right in the middle of transforming the company into the company of the future,” he said at the CERAWeek conference in Houston, sponsored by IHS Markit. read more

Shell cuts debt with US$7.25 billion sale of Canada oil sands

9 March 2017

TORONTO (BLOOMBERG) – Royal Dutch Shell will sell almost all its production assets in Canada’s oil sands in a US$7.25 billion (S$10.24 billion) deal that cuts debt and reduces involvement in one of the most environmentally damaging forms of fossil-fuel extraction.

The company will sell all of its oil-sands interests apart from a 10 per cent stake in the Athabasca Oil Sands mining project, The Hague-based Shell said on Thursday (March 9). It will also continue as operator of the Scotford upgrader and Quest carbon capture and storage project. read more

Shell’s North Sea changing of the guard

Written by Jeremy Cresswell – 06/03/2017 8:50 am

Last month, it emerged that there’s a handover of the helm underway at Shell’s UK Continental Shelf and Ireland business based out of Aberdeen.

After pretty much two years in command, Paul Goodfellow is taking on a new challenge as Shell’s vice president wells based at Rijkswijk in the Netherlands, effective April 1.

Assuming command in Aberdeen is Steve Phimister, who has for the past year been UK “transition lead” for the integration of BG Group’s business into Shell following the successful £36.4billion ($52.6billion) takeover completed early last year.

That Goodfellow should be on the move surprised some in the North Sea community, but this has been a hectic period. read more

Shell defies doubters by predicting boom for liquefied natural gas

The Telegraph: Shell defies doubters by predicting boom for liquefied natural gas

Jillian Ambrose20 FEBRUARY 2017 

Royal Dutch Shell has brushed off concern that the burgeoning market for liquefied natural gas is already oversupplied, after paying £36.5bn to buy market leader BG Group.

Shell’s first outlook report for LNG since the tie-up has predicted a market boom as demand from countries including China and India which will outpace the string of new project start-ups.

The market for LNG imports has already grown considerably in recent years but market commentators have raised fears that an explosion of new projects might flood the market. A deluge of LNG could push down prices just as Shell works to pay down the heavy cost of the tie-up. read more

Shell says new LNG buyers want shorter, smaller contracts

Shell says new LNG buyers want shorter, smaller contracts

By Reuters20 February 2017

LONDON, Feb 20 (Reuters) – Royal Dutch Shell, the world’s biggest liquefied natural gas (LNG) trader following its takeover of BG Group last year, said new LNG customers that will drive demand are looking for shorter and smaller contracts.

Shell expects much of new LNG demand to come from countries that want to replace declining domestic gas production — which has already happened in Egypt and Pakistan — and those countries that are looking at LNG to complement pipeline and domestically produced gas, like China or Morocco. read more

Shell’s Paul Goodfellow to move on after £3billion sale

Written by Jeremy Cresswell – 17/02/2017 7:39 am

After roughly two years steering the unit through huge changes against a background of the third major oil price storm to rock the North Sea, Paul Goodfellow is taking on a new challenge as Shell’s executive vice president wells based at Rijkswijk in the Netherlands from April 1.

Assuming command in Aberdeen is Steve Phimister, who has for the past year been UK “transition lead” for the integration of BG Group’s business into Shell following the successful £36billion takeover completed early last year. read more

Can BP plc and Royal Dutch Shell plc survive the coming oil price crash?

By The Motley Fool  Feb 15, 2017

Last year’s surprise OPEC and non-OPEC oil production cuts were supposed to herald a new area of higher energy prices, but it hasn’t really happened. Oil bulls who predicted oil could hit $60 or $70 a barrel will have been disappointed, with the price stalling around $55. If the price can’t rise now, when will it rise? Or could it even crash?

Oil slip

Any further slippage would spell bad news for FTSE 100 giants (LSE: BP) and Royal Dutch Shell(LSE: RDSB). They are banking on a higher oil price to keep the cash flowing, and ensure their dividends are sustainable in the longer run. read more

3 big questions hanging over Royal Dutch Shell plc

The Motley Fool: 3 big questions hanging over Royal Dutch Shell plc

By The Motley Fool  Feb 14, 2017

A stagnating oil price has seen investor appetite for Royal Dutch Shell(LSE: RDSB) seep away from recent multi-year highs.

The crude colossus saw its share price strike its highest since November 2014 a month ago, but fresh fundamental fears have seen Shell — like many of its London-quoted peers — retrace more recently.

Shale producers returning

Arguably the biggest driver behind Shell’s decline has been a steady build in the US rig count.

With drillers across the Atlantic becoming ever-more-comfortable with oil prices anchored around the $50 per barrel mark, the number of units in operation has been steadily increasing since the autumn. read more

Shell names Yujnovich as chair, Smith to lead global trading

MATT CHAMBERS: Resources reporter Melbourne 4 Feb 2017

Shell Australia chairman Andrew Smith has been promoted to lead the oil major’s global trading business and will be replaced in April by the oil giant’s Canadian-based head of oil sands and former Rio Tinto executive Zoe Yujnovich.

Mr Smith, who has been at the helm of Shell Australia since 2013, has been promoted to lead Shell’s Singapore-based trading and supply business as executive vice- president.

During Mr Smith’s tenure, Shell has become the biggest producer of Australian LNG thanks to the Gorgon project in which it has a non-operating stake, and the acquisition of BG Group. Mr Smith played a key role in the deal. read more

Shell To Sell Another $5B In Assets, Misses Profit Expectations

By Tsvetana Paraskova – Feb 02, 2017, 3:03 PM CST

Royal Dutch Shell (NYSE:RDS.A) is making “significant progress” on selling another US$5 billion worth of assets, chief financial officer Simon Henry said on Thursday after the oil supermajor reported 2016 profits below analyst expectations.

Shell’s current cost of supplies (CCS) – a key measure comparable with net income – came in at US$1.8 billion, excluding identified items, compared with US$1.6 billion for the fourth quarter 2015, the company said today. Full-year 2016 CCS earnings attributable to shareholders excluding identified items dropped to US$7.2 billion from US$11.4 billion in 2015. read more

Royal Dutch Shell is changing, CEO says

By Daniel J. Graeber: Feb. 2, 2017

(UPI) — Royal Dutch Shell continues to focus on an aggressive divestment strategy after cutting $15 billion from its books last year, its CEO said Thursday.

“We are gaining momentum on divestments, with some $15 billion completed in 2016, announced, or in progress, and we are on track to complete our overall $30 billion divestment program as planned,” CEO Ben van Beurden said in a statement.

The Dutch supermajor, trimmed down after a merger last year with British energy company BG Group, reported an 8 percent decline in profit last year for one of its weakest performances in more than a decade. read more

Shell posts earnings of $3.5 billion in 2016; an 8% slide from $3.8 billion in 2015

Silvia Amaro | @Silvia_Amaro: 2 Feb 2017

Oil major Royal Dutch Shell posted fourth-quarter earnings of $1.0 billion, compared with $1.8 billion for the same quarter a year ago.

Ben van Beurden, chief executive officer of Royal Dutch Shell, said that such earnings figures do not “look good” for investors but he is “very pleased” with the performance for the full year as the company completed its merger with gas utility BG. Shares were 1.5 percent higher in early trade on Thursday. read more

Royal Dutch Shell’s key earnings fall 44%

The results will disappoint investors who hoped for a stronger show of momentum on the back of higher oil prices and continues the choppy performance by Shell since its $50bn takeover of BG Group completed last year.

FULL FT ARTICLE

Shell boss Ben van Beurden delivered worse than expected full year results

Jillian Ambrose2 FEBRUARY 2017 • 8:55AM

Royal Dutch Shell has dashed investor hopes for a resurgence in profits after reporting disappointing earnings from its exploration and production business.

Europe’s largest oil company was expected to announce full-year profits double those of last year, but instead they fell 8pc to $3.8bn (£2.99bn),  their lowest level in over a decade.

The results came in well below City forecasts. Analysts had been expecting the company to make $8.17bn on a current cost of supplies (CCS) basis, a standard measure of profit in the industry. read more

What Shell Could Unload Next As Part Of Its $30B Divestiture Program

By Claire Poole: CONTRIBUTOR: 31 JAN 2017

Royal Dutch Shell plc (NSYE:RDS.A) has been on a divestiture spree after its debt-laden $50 billion purchase of BG Group plc last year, the latest being its sale of some of its oil and gas properties in the North Sea to private equity-backed Chrysaor Holdings Ltd. for $3.8 billion as well as its stake in a Thailand field to Kuwait Petroleum Corp. for $900 million. The sales — which follow the recent unloading of assets in Saudi Arabia, Japan and Australia  – are nudging it toward 40% of the $30 billion divestiture goal it hopes to reach by the end of next year. What could be next? read more

Shell Sells $4.7 Billion of Fields as Disposal Push Accelerated

Royal Dutch Shell Plc, looking to pare debt swollen by last year’s acquisition of BG Group Plc, accelerated its drive to shed assets on Tuesday by agreeing to the sale of fields in the North Sea and Thailand for as much as $4.7 billion.

The disposals include the sale of about half the company’s North Sea oil and gas assets for as much as $3.8 billion to Chrysaor Holdings Ltd., Shell said. Earlier Tuesday, the company agreed to sell its stake in an offshore Thai gas field to a unit of Kuwait Petroleum Corp. for $900 million. read more

Shell to sell North Sea assets to Chrysaor for $3.8 billion

By Ron Bousso | LONDON

Royal Dutch Shell (RDSa.L) has agreed to sell a package of oil and gas fields to private equity-backed Chrysaor for $3.8 billion, giving the Anglo-Dutch group a major boost in its drive to reduce debt following the acquisition of BG Group.

The deal, which accounts for more than half of Shell’s production in the North Sea, will breathe new life into the ageing North Sea where production has steadily declined since the late 1990s and where oil majors such as Shell and BP have struggled to generate profits. read more

Shell, BP results preview: Look past top line figures to find positive story, analyst says

Written by Mark Lammey – 30/01/2017 7:48 am

Investors monitoring the fourth quarter results of Shell and BP must look beyond the top line figures to get a good reading of the firms’ vital signs.

Iain Armstrong, divisional director at Brewin Dolphin, said the fourth quarter was notoriously hard to predict as oil and gas deliveries tended to be down.

Mr Armstrong said the two majors’ headline figures could be disappointing, unless strong demand from China gives them a boost.

He also said Shell should be in a position to sell more of its North Sea assets, thanks to improved oil prices and the BG Group acquisition showing signs of fruition. 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 continues evolution by parting with Saudi corporation

By Daniel J. Graeber: Jan. 23, 2017

Royal Dutch Shell said its move to sell off its share in a petrochemical joint venture with a Saudi partner is part of its effort to retool its regional focus.

Shell sold its stake in a joint venture effort to Saudi Basic Industries Corp. for $820 million in a move that solidifies the Dutch supermajor’s shifting priorities in the wake of last year’s acquisition of BG Group.

The agreement marks the end of a joint venture agreement that was set to expire in 2020. read more

Royal Dutch Shell: A Lot Of Debt

Brandon Dempster: Jan 19, 2017

Royal Dutch Shell (RDS.A, RDS.B) has a sizeable debt wall ahead of them. With nearly $20 billion in debt due over the next five years, this company is going to have to be firing on all cylinders in order to not just meet these principal repayments, but to generate enough cash flow to fund the sizeable dividend, boost capital expenditure per the company’s Q3 2016 guidance, and still remain in positive free cash flow territory. It’s important that investors take a tough look at the debt due this year and understand the company’s current liquidity position. read more

Oil Major Shell Plans To Shrink As Oil Rebounds

By Nick Cunningham – Jan 03, 2017, 3:07 PM CST

Oil prices are rising and the industry is poised for a rebound, with U.S. shale spending set to soar in 2017. But for Royal Dutch Shell, this year will be much more mundane as years of high spending and ballooning deficits force the Anglo-Dutch oil major to retrench.

Even as the New Year promises to bring a sharp improvement in the finances of oil companies across the world, including Shell, not everyone will approach the rebound in the oil market in the same way. Smaller U.S. shale companies, with assets concentrated in some highly profitable areas such as the Permian, are planning to sharply increase spending and drilling. But the oil majors are less nimble, having assets diversified upstream and downstream, spread out across the globe. They were able to weather the oil price downturn better than their smaller peers, but they respond much more slowly to fluctuations in the oil market. That stability is a feature for many investors looking to avoid volatility, but it also means that 2017 may not bring much excitement from the majors. read more

Shell Seeks to Streamline in 2017

…saddled with a mountain of debt…

By SARAH KENT: Jan. 3, 2017 7:00 a.m. ET

LONDON— Royal Dutch Shell PLC has a goal for 2017: Slimming down. The British-Dutch oil-and-gas giant bulked up in February with the roughly $50 billion acquisition of BG Group PLC, giving Shell a dominant position in liquefied natural gas and some of the world’s most prized offshore oil fields in Brazil. It also saddled the company with a mountain of debt—$78 billion at the end of the third quarter—that is higher than peers such as Exxon Mobil Corp. read more

No Harm to Royal Dutch Shell plc (ADR) (RDS.A) Dividends

Published By: Myrna Salomon on December 27, 2016 09:41 am EST

For income savvy investors, a dividend yield of 6.95%, one of the highest in industry is certainly attractive. Having said this, Royal Dutch Shell plc (ADR) (NYSE: RDS.A) not only has such a lucrative yield, but also has history of sustaining it for the longest time.

The payout ratio is also appreciable, with company paying out dividend but retaining one third of its profits for future growth. On average, its reserves have increased by 3% on annual basis. This goes on to reflect that investors’ wealth is also increasing over time, along with company’s ability to grow consistently. read more

Shell to offload Dragon gas port

Danny Fortson: December 18 2016: The Sunday Times

Shell has begun quietly sounding out potential buyers for its share of a giant gas- import complex in west Wales.

The FTSE 100 company owns half of Dragon LNG, a terminal at Milford Haven that reheats super-chilled liquid natural gas after it is delivered by tankers. The site has the capacity to provide 10% of Britain’s gas needs.

Petronas, Malaysia’s state oil producer, owns the other half and is likely to have first right of refusal. Dragon is yet another asset that has been put up for sale by Shell, which has pledged to raise $30bn (£24bn) through a global disposal programme to offset the cost of its takeover of rival BG. read more

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