Financial Times: Lex: “Royal Dutch/Shell is trying to regain its reputation.”
“Thanks to high oil prices Shell’s share price has more than regained the ground lost in this year’s reserves scandal. But, while a rising tide lifts all boats, there is little in Shell’s strategy to significantly narrow the gap with rival BP”
Posted 23 Sept 04
At least Shell is facing up to reality. After years of sub-standard performance on reserve replacement, capital expenditure is set to rise. A focus on larger prospects and a bias towards gas, where returns are high and Shell has a leadership position, appear sensible. It is, however, a case of “jam tomorrow”. Emphasising how thickly the jam might be spread cannot hide the fact that production is expected to be broadly flat until 2009. No production growth and a target of 100 per cent reserve replacement until 2008 will not narrow the gap with its peers.
Gearing is expected to drop to about 15 per cent by the end of the year, below the 20 per cent floor of its targeted range, but Shell would not commit to share buybacks for 2005. The group is now using a $25 a barrel oil price for cash-flow planning, suggesting buybacks will be less generous than rival BP, which is still using $20. Individual investment projects at Shell, however, are still assessed at more conservative oil prices.
Disposals are set to rise, with $10bn-$12bn planned for 2004-06. This is welcome, but a more radical step would have been to sell even more mature assets and sharpen the focus on gas. Perhaps shrinking the company is unpalatable to Shell’s management, despite a commitment to urgency and action.
Thanks to high oil prices Shell’s share price has more than regained the ground lost in this year’s reserves scandal. But, while a rising tide lifts all boats, there is little in Shell’s strategy to significantly narrow the gap with rival BP
This website and sisters royaldutchshellplc.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.
Royal Dutch Shell conspired directly with Hitler, financed the Nazi Party, was anti-Semitic and sold out its own Dutch Jewish employees to the Nazis. Shell had a close relationship with the Nazis during and after the reign of Sir Henri Deterding, an ardent Nazi, and the founder and decades long leader of the Royal Dutch Shell Group. His burial ceremony, which had all the trappings of a state funeral, was held at his private estate in Mecklenburg, Germany. The spectacle (photographs below) included a funeral procession led by a horse drawn funeral hearse with senior Nazis officials and senior Royal Dutch Shell directors in attendance, Nazi salutes at the graveside, swastika banners on display and wreaths and personal tributes from Adolf Hitler and Reichsmarschall, Hermann Goring. Deterding was an honored associate and supporter of Hitler and a personal friend of Goring.
Deterding was the guest of Hitler during a four day summit meeting at Berchtesgaden. Sir Henri and Hitler both had ambitions on Russian oil fields. Only an honored personal guest would be rewarded with a private four day meeting at Hitler’s mountain top retreat.
IN JULY 2007, MR BILL CAMPBELL (ABOVE, A RETIRED GROUP AUDITOR OF SHELL INTERNATIONAL SENT AN EMAIL TO EVERY UK MP AND MEMBER OF THE HOUSE OF LORDS: 
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A head-cut image of Alfred Donovan (now deceased) appears courtesy of The Wall Street Journal.
